How can we integrate more renewable energy without compromising the stability of the electricity grid? After three years of research, the Flexibility Potentials and User Behaviour Analysis (FlexBeAn) project provides some answers. Conducted by the Luxembourg Institute of Science and Technology (List), Creos and the SnT at the University of Luxembourg between 2022 and 2025, this study sets out eleven recommendations for public authorities, regulators and grid operators aimed at developing flexibility in electricity consumption.
Three years of research into flexibility
As Luxembourg expands its solar and wind power generation, maintaining a balance between supply and demand is becoming more complex. Unlike conventional power stations, these energy sources generate power depending on weather conditions, whilst demand is rising with the growth in electric vehicles and heat pumps.
The ‘FlexBeAn’ project focuses on ‘demand flexibility’, that is, the ability of consumers to shift part of their consumption to times when electricity is in abundance or in lower demand. “Flexibility – that is, the ability to adapt electricity consumption or generation – is becoming a key driver of the energy transition.”
To measure this potential, the researchers developed models covering the residential, commercial and industrial sectors. They simulated various scenarios up to 2040 in order to assess the impact of increasing electrification and decentralised energy systems. At the same time, household surveys and analytical tools were used to examine the influence of consumers’ energy knowledge and motivation on their willingness to adjust their consumption.
SnT focused on the economic aspects, in particular the effects of dynamic pricing and financial incentives, whilst Creos contributed its operational expertise as the national grid operator.
The 11 recommendations
1. Focus on open systems
Researchers recommend promoting home energy management systems (HEMS) based on open and interoperable technologies. In their view, this approach helps to preserve consumer choice and avoid dependence on a single supplier.
2. Make certain forms of public aid conditional
The report proposes that subsidies for electric vehicles, heat pumps, batteries and photovoltaic panels should encourage the use of equipment capable of communicating with these open systems.
3. Train installers
The project calls for improved training for electricians and installers so that they can become proficient in the new smart energy management systems.
4. Develop common standards
The partners also recommend speeding up the European standardisation of communication protocols between devices in order to facilitate their roll-out.
5. Adjust network tariffs
The document suggests introducing network tariffs that reward consumers who are able to shift their consumption to times when demand on the network is lower.
6. Encourage the feed-in of electricity
The researchers propose investigating pricing mechanisms that encourage owners of batteries or solar panels to feed electricity into the grid when it is needed.
7. Develop dynamic pricing
The report supports electricity contracts where the price fluctuates in line with the market. It recommends, however, that these arrangements be accompanied by protective measures to limit the risks to consumers.
8. Further opening up the flexibility markets
The authors propose reducing the minimum bid size on balancing markets to enable more market participants, particularly smaller installations, to take part.
9. Strengthening the energy culture
The project aims to improve consumers’ understanding through awareness-raising initiatives and simple tools that enable them to monitor and manage their consumption. The researchers emphasise that “technical potential alone is not enough” and that behavioural factors play a decisive role in the adoption of flexibility.
10. Expand the number of industrial pilot projects
The partners recommend launching more pilot schemes with businesses in order to identify industrial processes that could bring flexibility to the grid.
11. Facilitate flexible connections
Finally, the report proposes developing flexible connection agreements to enable certain electricity consumers or generators to be connected more quickly, even where the grid still requires upgrading.
Tools for network managers
In addition to the recommendations, the project has resulted in several operational tools. The List has developed a simulator that enables network operators to model different flexibility scenarios and update their assumptions over time. “This tool enables a more dynamic approach to grid planning, rather than relying on static forecasts,” says the institute.
The partners have also published a document entitled ‘North Star’, which sets out the project’s key findings and 11 recommendations. The findings have been forwarded to the Department for Energy and the national regulator to inform future regulatory frameworks and market mechanisms relating to demand flexibility.
