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SEDC White Paper: Empowering Residential and SME Consumers – October 2016

As the European energy system progresses, the need to empower the consumer has become an increasingly more important and central theme for the future of European energy policy. Yet today, only a small amount of (Residential and SME) consumers are able to actively participate in the energy market or track their energy use.

After having clarified the motivation and benefits related to demand-side flexibility, the SEDC White Paper outlines specific challenges to enabling the employment of Demand-Side Flexibility at the residential and SME level. It also emphasizes different approaches and business models: Implicit DSF, Explicit DSF, Local optimisation needed to help monetise residential and SME consumer engagement.

This paper is concluded with a set of 12 policy recommendations to support the business models described and unlock the potential of residential demand-side flexibility.