3Q 2018

Enhancing Utility-Consumer Relationships through Residential DER Aggregation

While consumers in developed markets enjoy the benefits of electricity, they are distanced from the day-to-day issues faced by the power industry. The ubiquity of electricity and historically low levels of competition in the sector have distanced end consumers from utilities. Under these circumstances, independence from utilities has become the holy grail for idealistic early adopters of some distributed energy resources (DER) technologies.

Technology developments are causing a fast drop in the cost of behind-the-meter electricity generation to the point where consumers in parts of the world with good resources and little variability in seasonal weather patterns could significantly reduce their interaction with the grid. In this new technology-led competitive environment, new solutions are emerging that link customer-sited DER and the grid to add value for all parties. But for this to succeed, maintaining a relationship with the end user is key. Utility-consumer relationships are crucial as the industry transitions from an environment where value is derived from the generation and transmission of electricity to one where the value lies in the services that can be provided on top of electricity sales.

This Navigant Research report examines different strategies utilities and OEMs can adopt to enhance residential DER aggregation and develop new customer-centric solutions to retain residential customers. The study focuses on the following emerging strategies: pure aggregators, managed DER programs, device-focused aggregation, and smart home-focused aggregation. It also looks at case studies that show the successful approaches and barriers encountered by energy players using these strategies. 

Pages 12
Tables | Charts | Figures 3
  • Utilities and energy suppliers
  • DER technology providers, systems integrator, and financiers
  • Residential solar providers
  • Energy storage OEMs
  • EV technology providers
  • Smart home companies
  • Energy service companies and project financiers
  • Investor community

Spark

Context

Recommendations

Residential Customers Could Become Energy Independent by Integrating DER

Residential Customers Must Be Convinced That Grid Integration Benefits Them More Than Independence

Companies Can Engage Disenfranchised Consumers through Aggregation

Pure Aggregator Strategy

OhmConnect Case Study

Managed DER Program Strategy

Green Mountain Power Case Study

Device-Focused Aggregation Strategy

sonnenCommunity and sonnenFlat Case Study

Smart Home-Focused Aggregation Strategy

EnergieKoplopers – Universal Smart Energy Framework Residential Demonstration Project

THE FCTR E Case Study

The Residential Energy Industry Must Meet Customer Needs: Customer Choice Is Here to Stay

Energy Players Must Be Ready to Disrupt the Value Chain

Time to Market Is Key for Energy Players

Companies Need a Portfolio of Go-to-Market Strategies

Residential Energy Players Must Trial Different Aggregation Strategies in an Agile Way

Always Remember It Is All About Consumer Choice

  • GMP DER Aggregation Solution
  • sonnen’s DER Aggregation Solution
  • THE FCTR E Smart Energy Home Aggregation Solution
Choose a License Type

(1-5 users)

(Unlimited users)

$1,800 USD
$2,700 USD