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Energy Transition, Distributed Energy Resources, and Flexibility Services: A Systematic Literature Review

Author

Listed:
  • John García Rendón

    (Escuela de Finanzas, Economía y Gobierno, Universidad EAFIT)

  • Stephania Mosquera-López

    (Orkestra-Instituto Vasco de Competitividad Universidad de Deusto)

Abstract

The Paris Agreement’s worldwide pledge to keep global warming to 1.5°C has sped up the energy transition, and with this, the deployment of renewable energy sources, increasing the demand for electrical systems’ flexibility. To investigate the role of Distributed Energy Resources (DERs) in providing flexibility services that support the integration of non-conventional renewable energy (NCRE), this study performs a systematic literature review using the PRISMA approach. DERs enable decentralized, smart grid-based energy models that complement conventional centralized systems. According to the review, which examines 697 papers published between 2010 and February 2024, research has grown exponentially since 2015, especially in Europe. The study examines the functions of emerging agents, such as prosumers, aggregators, and Distribution System Operators (DSOs), and highlights important flexibility services, such as frequency regulation, voltage control, and congestion management, using bibliometric and content analysis. The results show that although DERs greatly improve grid resilience and the integration of renewable energy sources, several institutional, economic, technological, and social barriers prevent their complete implementation. New market mechanisms and regulatory frameworks that promote flexibility and active demand-side participation are needed to address these issues.

Suggested Citation

  • John García Rendón & Stephania Mosquera-López, 2026. "Energy Transition, Distributed Energy Resources, and Flexibility Services: A Systematic Literature Review," Documentos de Trabajo de Valor Público 023622, Universidad EAFIT.
    • Handle: RePEc:col:000122:023622
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    Keywords

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    JEL classification:

    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • L94 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Electric Utilities
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • C18 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Methodolical Issues: General

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