The Law for Energy Prosumers: The Case of the Netherlands, New Zealand and Colombia

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This book argues that law has a vital role in shaping the electricity system to enable a more active role for consumers in liberalizsed electricity industries. To do that, this book offers a unique legal perspective of the Netherlands, New Zealand and Colombia to help understand some of the current legal approaches to prosumers and therefore the legal challenges and opportunities facing. Law and regulation have the role of creating a level playing field for emerging participants, such as prosumers, to participate and compete in the market together with traditional actors, bringing not only more competition but also representing a more sustainable, environmental and democratic way to supply energy. Furthermore, law and regulation have the role of responding to innovation and creating space for technological advances to procure the changes in the industry without delay.

This book examines some of the legal barriers for the raise of energy prosumers. The traditional role of the distributor when responding to increasing distributed generation in the network; prosumers unable to decide to whom they can sell their electricity to; the price of the energy or even whether to participate more actively in demand response programs. A further issue is the lack of clarity about whether small prosumers are entitled to consumer protection rights and legal challenges regarding configuration, access to the network, access to markets and strict unbundling rules for community energy projects.  This book provides a clear, analytical, and informed approach to understanding the regulatory framework around energy prosumers. It will appeal to policy makers, lawyers, individuals, business entrepreneurs or communities wanting to engage in energy projects, as well as academics, researchers and students



Author(s): Daniela Aguilar Abaunza
Publisher: Springer
Year: 2022

Language: English
Pages: 270
City: Singapore

Acknowledgements
Blurb
Introduction
Background
Contents
1 The Power System: Present and Future
1.1 How the Traditional-Centralised Systems Works
1.1.1 Traditional-Centralised and Liberalised Electricity Industry
1.2 What Could the Future Look Like?
1.2.1 Distributed Generation
1.2.2 Demand Side Management (DSM) or Demand Response (DR) and Aggregation
1.2.3 Smart Grids
1.2.4 Advanced Metering Infrastructure and Smart Meters
1.2.5 Micro-grids and Community Energy Projects
1.2.6 Emerging Perspectives of the Power System
1.3 Key Points
2 Coexistence of the Traditional-Centralised Power System Regulation and Emerging Technologies Regulation—Overview
2.1 European Union
2.1.1 Regulation of Activities in the European Directives
2.2 The Netherlands
2.2.1 Regulation of Activities
2.3 New Zealand
2.3.1 Regulation of Activities
2.4 Colombia
2.4.1 Regulation of Activities
2.5 Key Points
3 Law and Society: How the Active Role of Consumers Fits into the Broader Context
3.1 Active Consumers and the Multiple Socio-political Constructions
3.1.1 The Prosumer Society
3.1.2 Sharing Economy
3.1.3 Localism and Bioregionalism
3.2 Context and Values for the Active Role of Consumers
3.2.1 Climate Change
3.2.2 Energy Transition
3.2.3 Community Involvement in the Electricity Industry
3.2.4 Energy Security
3.2.5 Energy Efficiency
3.2.6 Energy Justice
3.2.7 Energy Democracy
3.3 An Active Consumer and the Multiple Regulatory Perspectives at Stake
3.3.1 The Role of Regulation
3.3.2 Reason to Regulate
3.3.3 Regulatory Instruments
3.3.4 Who Regulates?
3.3.5 Technological Innovation and Regulation
3.3.6 Smart Regulation
3.4 Key Points
4 Access to the Network: The Regulation of the Distribution Activity
4.1 Traditional and Emerging Issues of the Transportation System: Transmission and Distribution
4.1.1 Emerging Issues for the Transportation System
4.1.2 Emerging Functions of the Distribution Operator
4.2 Current Functions of the Distributor in the Netherlands, New Zealand and Colombia
4.2.1 The Netherlands and the European Union
4.2.2 New Zealand
4.2.3 Colombia
4.2.4 The Role of the Distribution Network and Regulatory Disconnection
4.3 Connection of Distributed Generation
4.3.1 The Netherlands and the European Union
4.3.2 New Zealand
4.3.3 Colombia
4.3.4 Regulation of Connection of Distributed Generation and Regulatory Disconnection
4.4 The Cost of Distribution Activities
4.4.1 The Netherlands and the European Union
4.4.2 New Zealand
4.4.3 Colombia
4.4.4 Challenges of Price Control for Distribution and Regulatory Disconnection
4.5 Key Points
5 Active Consumers: Access to Relevant Markets and Consumer Rights
5.1 Energy Surplus and Access to Relevant Markets
5.1.1 Wholesale Market Access
5.1.2 Retail Market
5.1.3 New Markets
5.2 Remuneration of Active Consumers for their Energy Surplus
5.2.1 Net-Metering
5.2.2 Net Billing
5.2.3 Feed-In Tariff (FIT)
5.2.4 Auctions and Tenders
5.2.5 Fixed Price
5.3 Participation of Demand Response in the Market and a Remuneration Scheme
5.3.1 Wholesale Market
5.3.2 The Role of the Aggregator
5.3.3 The Retail Market
5.3.4 Remuneration
5.4 Consumer Rights and Small Prosumers
5.4.1 Who Is a Consumer?
5.4.2 Traditional Electricity Consumer Rights
5.4.3 The Right to Self-Generate Electricity and Decide on Its Use
5.4.4 Universal Access
5.4.5 The Right to Change Supplier
5.4.6 Access to Relevant Information and Participation in Decision Making
5.4.7 Making Technologies Available for Vulnerable Consumers
5.4.8 The Access to Specific and Simplified Procedures
5.5 Key Points
6 The Legal Aspects of Community Energy Projects
6.1 Terminology and Scenarios
6.2 The Pros and Cons of Community Energy Projects
6.3 Legal Aspects of Community Energy
6.3.1 European Union Legislation
6.3.2 Netherlands
6.3.3 New Zealand
6.3.4 Colombia
6.4 Key Points
7 What is the Role of Law in Shaping the Electricity System for a More Active Role for Consumers?
7.1 The Importance of Rethinking the Role of Traditional Actors
7.1.1 Rethinking the Role of the Traditional Retailer/Supplier
7.1.2 Rethinking the Role of the Distributor
7.1.3 Rethinking the Role of the Market
7.1.4 Rethinking the Role of the Consumer/Prosumer
7.2 The Role of Law in Dealing with Innovation in the Electricity Sector
7.3 The Role of Law and Regulation in Integrating Prosumers into the Electricity Industry
8 Conclusions
References