Broad collaborative innovation initiative for the energy supply of the future

KEMA takes initiative for Smart Energy Collective

Arnhem, The Netherlands, 6 December 2010 – More than twenty companies in the Netherlands have agreed to collaborate on the development of intelligent energy concepts. Under the name Smart Energy Collective, they will set up a number of large-scale demonstration projects across the Netherlands relating to smart grids – intelligent energy networks – with a total of around 5,000 private and small business end-users. Through this initiative, the Smart Energy Collective aims to gain the edge over developments made overseas. It is believed that the SEC is the most significant industry initiative in Europe dedicated to the practical development of smart energy services and networks. The participating bodies are (in alphabetical order): ABB, Alliander, Enexis, Eneco, Essent, Gasunie, GEN Nederland, Heijmans, HUMIQ, IBM, Imtech, Itron, KEMA, Logica, Nedap, NXP Semiconductors, Philips, Rabobank, Siemens, Stedin, TenneT and Unica Installatiegroep.

Bernard Wientjes, Chairman of VNO-NCW, the Confederation of Netherlands Industry and Employers:
“As VNO-NCW we are very enthusiastic about this joint initiative. This is the kind of innovation the Netherlands need, both in terms of industry and knowledge development, in order to stay at the forefront internationally and to make the most of the opportunities the energy transition offers. Smart energy and smart grids are essential for this energy transition and offer both end users and industry great opportunities. The industry has good ideas for this transition with concrete solutions. It would be nice if the Dutch government would support and facilitate these.”

Stephan Singer, Director Global Energy Policy, WWF:
"WWF welcomes the move of many Dutch and international companies to kick-start the deployment of smart grids in the Netherlands. WWF urges enhanced development in this area to help achieve 100% renewables by 2050 in the most cost-effective way. We support the Commission's assessment that the full use of smart grids may save 10% of primary energy in Europe. Therefore, this initiative is strongly invited to expand its work across Europe and WWF is looking forward to work with the companies"

Prof.dr. Ernst ten Heuvelhof, Chairman Taskforce Smart Grids:
"It is a positive development that these 22 companies have taken the initiative to realize this project. It is fully in line with the vision and action programme that the Taskforce Smart Grids has framed, commissioned by the Dutch Ministry of Economic Affairs, Agriculture and Innovation. Smart grids are essential for an energy supply, based on a higher share of renewable energy. Large-scale demonstration projects like these are necessary to test these new concepts.”

Jeroen de Swart, Chairman of Netbeheer Nederland, the Association of Energy Network Operators:
“We anticipate considerable and far-reaching changes to our energy supply over the coming decades. The complexity of our energy infrastructures and networks will continue to increase. Smart grids are the key connective element for enabling the transition to a sustainable energy system. The changes also need to happen quickly in order to meet the sustainability targets in place in the Netherlands. This joint initiative is therefore of great importance, which is why we at Netbeheer Nederland are lending the Smart Energy Collective our full support.”

Pier Nabuurs, Chairman of the Steering Committee for the Smart Energy Collective and CEO of KEMA:
“Through this initiative, the participating bodies are taking a vital step toward developing the energy supply of the future. Collaboration and open innovation are fundamental to this. For these reasons, other parties which could add value to this collaborative imitative may also join. It is vital that the Netherlands is properly prepared for the future, including in terms of energy, and that it not only maintains but expands upon its competitive position.”

Smart Energy Collective
The Smart Energy Collective (SEC) is an industry-wide collective of a broad range of companies that aims to anticipate future energy supply through open innovation, while consulting with end-users and other involved parties. Smart energy and smart grids − intelligent energy concepts and networks − enable consumers to have more control of their own energy management. By increasing the comfort of use and the access to the energy system, cost savings can be realized. In addition, smart energy and smart grids lead to a more sustainable energy supply and acceleration of the required product innovation. The large-scale Smart Energy demonstration projects are required for the practical development and testing of smart energy concepts and networks. The projects also need to ensure the sustainability of our energy supply and advance the speed of commercial product innovation. 22 parties are currently involved in the SEC; with a number of other parties in discussions to come on board.

Changing energy landscape
The International Energy Agency’s (IEA) World Energy Outlook 2010 concluded that energy demand will increase by 36% between 2008 and 2035, largely due to increased standards of living in countries such as China. The share of sustainable energy will double during this period to 14%. The importance of natural gas will also increase, as natural gas is a flexible back-up fuel that can be used if wind and/or solar energy are temporarily unavailable and it is also the most environmentally friendly fossil alternative. The general expectation is that demand for electricity in particular will increase through the increasing use of electrical devices and heat pumps, and as a result of the development of electric transportation. Over the coming decades, electricity will be generated in a distributed way due, to an increasing degree, to the use of (small-scale) sustainable energy sources such as solar-PV and wind, as well as biomass and green gas making up a larger share of the fuel mix. This changing energy landscape not only has significant consequences for the energy infrastructure and the manner in which the supply and demand for energy are met, but will probably also affect the roles of energy producers, suppliers, end users and the other parties involved in energy supply of the future. These changes create opportunities for both the end user and for industry.

Changes to the energy infrastructure
To make these developments possible and to enable end users to have more control over their own energy management, changes will need to be made to the energy infrastructure. These changes are also needed to facilitate a sustainable energy supply with a higher share of renewable energy. Whereas the current system is concerned with one-way traffic (from a power plant to the end user), two-way traffic will become increasingly common in future. This means that electricity will be fed back into the grid and/or exchanged between end users. Smart grids are a fundamental prerequisite for this. By making optimum use of ICT technology, an energy infrastructure will be created which will, in part, come to resemble the internet.

+++Information for editors, not for publication+++ For more information about this press release, please contact Rolf van Stenus, Press Officer for the Smart Energy Collective (tel. +31 (0)26 3 56 2607 or e-mail mediarelations@smartenergycollective.com).