The VIII WFER will have a previous training day and different activities with recognized international experts. We encourage you to check out the program to identify the various activities and contents and make the most of your WFER experience!
Day 1Tues, March 21st
Free Lunch Time
Day 2Wednes, March 22nd
Free Lunch Time
ICER and Speakers Dinners
Day 3Thurs, March 23st
Free Lunch Time
Day 4Fri, March 24th
Market integration of renewable energies
Alberto Pototschnig (CEER with support from FSR)
This training module will explore the impact of a greater penetration of renewables on the electricity systems and markets. The module will start with a characterisation of the different types of renewable-based generation, in terms of their variability, predictability and dispatchability, as well as their cost structures. The technical characteristics of renewable-based generation will be used to assess the way in which its development impacts the electricity system and the effect on the residual load, with the resulting need for greater system flexibility. Moreover, the impact of the different locations of renewables with respect to conventional generation on the power flows on the system will be explored and the resulting issues (e.g. loop-flows) highlighted.
On the other hand, the economic characteristics of renewable-based generation will be used to assess the way in which their development affects electricity markets in their different designs. The module will also consider how to deal with excess renewable-based generation and how to ensure sufficient back-up capacity. The module will conclude by presenting a taxonomy of the different phases in the integration of renewable-based generation in developing and mature markets, as well as real-life examples of approaches to overcome grid-related and market-related challenges.
Utility ownership of ‘behind the meter’ assets
Jackie Ashley CAMPUT
The electricity industry is in the midst of a transformation, as technology and innovation disrupt traditional models from generation to beyond the meter. Resources ‘beyond the meter’ (including customer demand side response, energy efficiency programs and distributed generation) may be able to compete ‘head to head’ with utility owned supply side options. A question for regulators is what role should the utility play in their development.
Join us to discuss regulatory frameworks and case studies as regulators grapple with these issues. Illustrative case studies will include utility investment in energy efficiency programs, advanced meter infrastructure, EV charging stations, thermal energy systems, LNG/CNG fueling stations and more.
In pursuit of regulatory excellence
The energy regulator has two fundamental missions a) to establish or propose regulations to develop the legal framework through regulatory mechanisms to achieve energy or environmental policy objectives efficiently and as cost-effectively as possible and b) to supervise the functioning of energy markets and the performance of regulated activities. But, does the energy regulator have the conditions of independence, economic autonomy, specialization, and competence to perform these functions?
1) In the ethics, social and corporate responsibility fields, how can we solve conflicts of interest, and attend to accountability to comply efficiently with the energy and environmental policy objectives?
2) What participation and transparency mechanisms are in place for the regulatory processes?
3) What are the principal tools of the regulator to monitor processes performed by the energy agents?
4) What mechanisms the regulator uses to update technical and economic information, maintaining its degree of specialization?
5) What are the tools to inform society and protect consumers?
Fostering srategic alliances for the energy transition: the mining and energy correlation
Technological advances in the energy sector have a huge impact on the mining sector, which is a major energy consumer. In some countries, like Peru, mining represents a significant component of GDP. Considering that the incorporation of more clean energy sources in mining processes can help to decarbonize the economy and, in turn, the use of minerals, such as copper and lithium, can boost the development of storage and electromobility technologies, how can we turn the mining sector into an ally for the energy transition?
1) Why should we see renewable energy and mining as complementary markets?
2) How has the increase in non-conventional renewable energy impacted the costs of mining processes?
3) How can electricity demand from mining be managed efficiently?
4) Is there a single energy transition model in the sector or how have countries adapted to the gradual change considering their energy matrix?
5) What other emerging technologies exist, for example, to monitor energy consumption in the sector?
Decarbonisation in Energy Regulators’ Decision Making
How can energy regulators make decisions that help accelerate the energy transition, and do they have the mandate to do it?
Energy regulators around the world have many responsibilities; making sure that the lights stay on, that energy is fully accessible, and that consumers can afford it. But with the energy sector at the forefront of emission reductions to reach international climate changes commitments, and climate impacts putting energy infrastructure at risk, how can regulators make decarbonisation part of their day-to-day decision making? While many regulators do not have decarbonisation goals explicitly as part of their mandate, some have interpreted their mandates to include action on climate change, and some have sought changes to their legal basis in order to make decisions that accelerate the energy transition.
The Regulatory Energy Transition Accelerator is conducting a review into different ways that energy regulators take decarbonisation into account in their decision making. This panel will be an opportunity to explore some case studies from around the world of mandates that have changed, including climate impacts on energy systems in risk assessments, and incentivising carbon free electricity production.
- How much room for manoeuvre do you have to interpret your own mandate, and how much do you rely on your government to set your objectives?
- Can regulators assess climate risks in the same way that market risks are assessed?
- What would decision making processes look like if decarbonisation was a key goal?
Energy markets perspectives in a post-pandemic world
In times of depleting fossil fuel-based sources of energy, the competitiveness of new sources of energy becomes crucial. To identify other energy sources and methods by which electricity can become more competitive and accessible to consumers, it is important to analyze the global energy market conditions and trends to see how sustainable policies and economic power can help us to reach more consumers worldwide.
Hence, there is a need to understand energy markets comprehensively. Furthermore, we need to address risk management and regulations for new regulatory interventions in a post-pandemic world considering different geopolitical scenarios. Moreover, we need to address the impact of energy reforms, cutting-edge technology, and climate ambitions.
1) In which direction is the energy sector moving?
2) Has the quest to tap the cheapest source of energy changed power generation trends?
3) How have the pandemic and the geopolitical scenario impacted the perspectives of energy markets? What is the impact in your region?
4) How are regulators addressing climate risk management and greenhouse gas emission reduction (Net Zero)?
5) What is the future of energy demand? How are governments and consumers changing their energy consumption?
Ensuring reliable utilities - Houston do we have a problem?
Every year, electric and gas utilities' assets are threatened by the impact of climate change, and cybersecurity attacks. This poses substantial long-term risks to the reliability of utility service, also to public safety. This panel will explore how energy utilities and regulators can take a broad view of vulnerabilities and use collaboration, creativity, and resilience to overcome these challenges.
1) What are the essential resilience requirements for a rapidly evolving grid?
2) What is the regulator’s role?
3) How can we increase Distributed Generation while improving its resilience?
Powering the UN 2030 Agenda
Policy coordination is key to addressing the challenges of the energy sector. The 2030 Agenda for Sustainable Development, COP26, and The European Green Deal are just some examples of international coordination mechanisms in an increasingly interconnected world.
ICER's aim is to raise public and policy-maker awareness and improve their understanding of energy regulation and its role in addressing a broad spectrum of socio-economic, environmental, and market issues. But in what ways is international cooperation helping us to develop regulatory intelligence?
1) How are regulators addressing through international cooperation local and global challenges? (Case studies)
2) What is the role of International Technical Cooperation in accomplishing this? Experiences of agents, such as USAID, GIZ, KOICA, APCI, etc
Innovation and Disruptive Technologies - The Regulator’s role and the dilemmas we face
The energy outlook is more complex than ever. Innovations and advancing technology represent some of the factors driving the energy transition and creating new standards. What are these new technologies? What role, if any, should utilities play in their development? And how should long-term technology plans be approached?
1) What assumptions are being made about the future of the energy sector? Which assumptions are already being challenged?
2) How can utilities and regulators move forward if the industry looks completely different in the future? Will they be ready to compete with these new dynamics and new players?
3) How can regulators and utilities proactively monitor these potential shifts within the fundamental nature of their business model?
Towards Universal Access – empowering and educating the user
The net-zero (decarbonization) challenge is unprecedented – in scale, complexity, in speed. Smart grids allow consumers to be active participants in responding to this challenge, but the public may not support it without an understanding of the benefits. Solar PV and microgrids can help to connect communities without access to energy, but they may not be considered in utility planning and rates would become unaffordable without any type of subsidy. What can policy and regulation do to address these barriers?
1) To what extent are energy regulators involved in universal access to energy (access to electricity and access to clean cooking)?
2) Are communities without access to energy included in energy planning?
3) Are regulators able to establish simple rules for access, connection, and operation of photovoltaic home systems or mini grids?
4) Do regulators have the power to establish cross-subsidies in rates to help communities without access to energy?
5) Access is not just a grid connection – it is getting electricity when needed. How can regulators and utilities empower consumers to play an active role in energy security?
6) What mechanisms are available to regulators to facilitate access to and use of energy for vulnerable people?
Shaping the energy landscape - Building trust with stakeholders
Stakeholder interest and engagement in energy projects continue to increase as do their expectations about regulators and utilities, calling for greater transparency. Renewable energies have garnered attention as examples of projects that engender public, and community participation. Broader participation helps to raise issues associated with the presence or absence of energy projects and the ensuing effect on members of a community. In this regard, some of the challenges we are currently facing are identifying barriers to participation and ensuring that mechanisms are in place for equity in participation.
1) What types of projects have the most participation?
2) Are utilities equipped to manage public participation?
3) How do we define community participation? What are the benefits? Are there any drawbacks?
4) How can regulators facilitate participation? What models are worth emulating?
5) What metrics are there that show correlations between community participation and the success of energy projects?
The dynamics of water & energy regulation interdependence
The dynamics of economic growth and climate change impact the availability of energy and water resources. Water is vital not only for daily human use but also is present in almost every energy production process. According to the World Bank, electricity represents "5 % to 30% of the total operating cost of water and sewage utilities (World Bank, 2012), but in some countries such as India and Bangladesh, it can be as high as 40% "(WAAP, 2015). Furthermore, energy is used to extract, convey, and deliver water of appropriate quality for human use and wastewater treatment before their return to the environment. Both areas have historically been regulated and managed separately, although an integrated planning approach may be useful to use these resources more efficiently.
Examples of water-energy linkages include providing access under growing demand conditions, combined power and desalination plants, combined heat and power plants, utilization of geothermal resources, and energy recovery from wastewater.
1) Is it possible for synergies to exist for water and energy regulation?
2) Should there be one national regulator for energy and water or should they be separate entities? Are consumer's expectations different for each sector?
3) Is it necessary to have a different regulatory methodology for water and energy?
4) What is the future of energy and water utilities? Different? Similar?
5) How can we promote efficiency in both sectors?
Are regulatory reforms the final leap?
The energy sector reforms seek to improve a regulatory framework that provides predictability and legal certainty. While the focus of the first wave of reforms was to ensure energy security and fiscal stability, nowadays universal energy access and energy transition play a key role.
Considering the above, Peru created the Multisectoral Commission for the Reform of the Electricity Subsector in 2019. With the Reform, Peru is ready to keep up with the global challenges, and invites other actors to analyze, how have local and regional particularities nuanced the reform processes in other parts of the world?
1) The growing penetration of renewable energies and the decarbonization process to comply with climate agreements are driving a series of political reforms, but what institutional arrangements are necessary to guarantee the sustainability of these changes?
2) How is technology accelerating reform processes worldwide (distributed generation, storage, electromobility, digitization, etc.)?
3) What role does the consumer or prosumer play in the design of these new markets?
4) How do we ensure that reforms meet social objectives?
Developing the game rules for crossborder integration
Improving the level of interconnections between countries and enabling them to move towards greater integration is an important milestone for energy transition. This objective resulted in the development of regional energy markets as one of the top energy priorities. In this regard, there are two strategic directions to improve cross-border integration: in the short term, the focus is on regulatory convergence, while the long-term focus is on investment and interconnection development. Interconnection development is a multiple-year process that starts with the identification of a need. This need can be a result of a new energy generation, problems of congestion, demand growth, or significant changes in the topological grids.
Going ahead with further cross-border integration requires a high level of coordination among different parties, namely TSOs, regulators, and administrations. The development of cross-border interconnections and the integration of regional markets is a long process that requires stability in terms of its regulatory framework and a well-designed long-term actions plan.
1) How can countries converge their regulations to achieve regional integration?
2) How should these interconnections be developed? What is the role of energy planning in your region?
3) And what can we do to deepen the regional dialogue between regulators, institutions, and network operators?
Secure and sustainable - opposites or mutually reinforcing goals?
The energy transition is an absolute necessity, but we often forget it or keep it on the back burner when discussing security of supply (SoS) and, in particular, the fear of supply disruption. On the road to net zero and in a net-zero energy system, security of supply will remain as crucial as today - if not more - although it will likely show up in different ways and use other tools. While it is challenging to rethink SoS in this new framework, the opportunities for the energy transition are just as numerous. Regulators should contribute to the development of an energy system that ensures SoS as an outcome of the system rather than viewing it as a separate service requiring extra remuneration.
1) What knee-jerk reactions should be avoided in a supply crisis (because they are counter-productive in the medium to long term), and which tools are there that reinforce both SoS and the energy transition?
2) How can the energy systems of the present and the future marry SoS and the energy transition?
3) How can energy regulation harness the potential of energy efficiency towards SoS?
4) What role do prosumers and micro-generation play?
5) What market model could give the right signals for net-zero SoS in the long term (investments) and the short term (supply)? How to avoid that our energy systems are slowly overwhelmed by subsidies and support payments?
Being an independent regulator
The energy transition requires a stable regulatory environment that promotes innovation and investments. The role of energy regulators in retail market monitoring is more important than ever, and the need to strike a balance between investors, state intervention and consumer protection is on the rise. Ensuring good regulatory practices is an important task and should be maintained by a comprehensive strategy. Some elements consist of avoiding external influences from stakeholders. This could be achieved by the regulator’s independence, which should be covered by protecting it from the influence of national and regional governments and industries. In addition, the legislative framework is essential to set the environment in which the regulator is supposed to work. A regulator's duties and powers should help to identify a minimum set of competences defining its specific responsibilities to promote competition and consumer empowerment.
Effective organization of the regulator requires clear decision-making process and actions and an internal operational structure with distinct roles and responsibilities. The regulator should be able to enforce the regulations it passes since enforcement involves ensuring compliance with the rules by market participants and regulators. Lastly, transparency and accountability are cornerstones in the work of the regulators and should be maintained at all times.
1) How can countries enhance the independence of their regulators?
2) And what additional benefits would these actions guarantee if they are implemented properly?
Enabling universal access to electricity
Alberto Pototschnig (FSR)
The training module will be structured in two parts. In the first part, after providing a brief overview of the current situation with respect to access to modern energy (electricity), the module will identify the most affected segments of the population. The emphasis will then be put on the distribution grid, which is where access issues are most frequently identified, with the quest for a valid model for overcoming these issues. The elements for such a model will be spelt out, together with metrics to assess progress and identify flaws.
In the second part, the use of regulation for enabling universal access will be proposed. In particular, an approach based on adapting the concession model for distribution activities will be presented and discussed. Finally, the module will briefly consider how distribution operators could be incentivised to enable and promote economic development.
Overview of Integrated Resource Plans (IRP) and Performance Based Regulation (PBR)
IRPs are a roadmap utilities use to plan out their acquisitions over 5, 10, or 20 years (or more), and PBR is a regulatory framework used to align the interests of the utility (and its management) with those of its customers. This education session will provide a high-level overview of traditional regulatory approaches to IRPs and PBR and emerging best practice.
Building the next-generation mixed of Energy Resources
The energy sector and utilities are in the midst of a transition to the use of clean energy. The success of that transition depends to a large extent on the ability of markets to support required investment and supply reliable and affordable energy to users while increasing reliance on renewable energy. This panel will explore fundamental issues and solutions to address this challenge.
1) What strategies should be employed to maintain supply reliability while integrating more renewable energies?
2) Do regulators need to rethink how markets are structured? Or how reliability services are defined and procured?
3) What should regulators consider to ensure that power grids transformation in their jurisdictions can deliver clean and reliable energy?
Micro-grids "Islands of power" and other energy access solutions
Universal energy access by 2030 is one of the United Nation's sustainable development goals.
According to the World Bank, "globally, the number of people without access to electricity declined from 1.2 billion in 2010 to 759 million in 2019, with decentralized electrification solutions gaining relevance through the use of renewable energy."
Increasing attention is being paid to micro-grids as they can be connected to a central grid and use its services. Furthermore, microgrids are seen as a way to help rural communities and developing countries to provide energy access solutions. Moreover, they are more resilient systems as they can be island off from the central grid and be deployed at a several different scales (e.g., from a single building to an entire municipality).
1) What role will microgrids play in achieving universal energy access?
2) Aside from microgrids, what other viable solutions should be considered to achieve greater access?
3) How close are we to achieving the goal of ennergy access by 2030? And how has the pandemic affected this goal?
4) How will renewables help to accelerate progress towards greater access? What types of regulatory reforms are needed?
5) In what ways should regulators be pushing utilities? How can we [regulators] encourage market-driven reforms?
The art of communicating complex regulation
Regulatory efficiency should not only consider performance indicators for specialized actors in the energy sector and government institutions but regulators' ability to reach wider audiences to ensure reliable and sustainable energy supply.
The role of economic regulators is often confused with political agents, raising false expectations on the scope of action economic regulators have under free market conditions. The Ibero-American Association of Energy Regulatory Entities (ARIAE) recently launched an initiative which gathers social communication areas to share experiences and strategies to better perform their functions. This exercise helped communicators to reflect on the challenges of multicultural audiences, the importance of developing educational training programs, and the importance of addressing to the new digital user.
1) How can we better communicate our role in society to empower consumers?
2) How to communicate complex topics?
3) Do energy consumers really know the options available to reduce their energy bill, save energy, and contribute to the decarbonization of the economy? If not, what can energy regulators do to improve the social communication of energy?
4) How have we faced the relation between the regulator and consumers during the pandemic?
5) Examples of technological innovations to create user-friendlier apps to interact with new digital users?
The race towards e-mobility - a new era?
The drive toward electric vehicles has caused regulators and industry alike to rethink issues such as what constitutes a public utility, conventional rate design, and statutory authority. Where we draw the line in the sand (or on the road) is changing. How can we ensure that everyone stays in their lane when the roadmap keeps changing?
Potential grid impacts from electromobility include the potential for new generation requirements, a reshaped load curve, affect on distribution networks, and the need for better grid management approaches
1) How do we define electromobility (e.g., cars, bikes, buses, trains)? What are the models of statutory authority? And how does this affect the regulator?
2) Has the increased demand for EVs as an effect of the pandemic and the increased fuel cost put more pressure on regulators? In what ways?
3) Are EV charging stations public utilities?
4) What do the data on electromobility and emissions show us, and to what extent should regulators be involved?
5) How do we ensure equity in siting charging stations?
6) Should stranded assets be a concern, or is it too early to tell?
7) What strategies are needed to engage customers (e.g., optimal charging periods during off-peak times, locations of new charging stations, etc.)?
8) Which rate design models work best for EVs?
9) What questions should regulators be asking to prevent EV cyber attacks?
10) Why should regulators care about interoperability and standardization?
Rethinking Infrastructure Development for 2025
How does Infrastructure Development needs to look like in 2025 and ahead to remain as a reliable pillar for different energy sources and the increasing risks of cyber attacks due to digitalization?