Across North America, utilities are shifting from traditional electricity distribution to more dynamic and flexible models. The journey towards enabling more Distributed Energy Resources (DERs) for system operation of LDCs is reshaping how we generate, distribute, and consume electricity. PowerShare is at the forefront of this transformation, offering an innovative approach to managing grid flexibility and ensuring energy reliability for the future.
Why the Shift?
The traditional electricity grid was built for a centralized power generation model, where large-scale power plants supplied electricity through a one-way transmission system. However, today’s energy landscape is rapidly changing:
Grid Adaptability: Instead of fixed infrastructure solutions, modern grids require occasional and flexible fixes to manage fluctuating energy demands efficiently.
Renewable Energy Growth: Conventional fossil fuel sources are making way for cleaner, renewable energy sources such as solar and wind.
Decentralization: Power generation is no longer limited to large plants—Distributed Energy Resources (DERs) like rooftop solar, battery storage, and small-scale generation are contributing to the grid.
The PowerShare Solution
PowerShare is a groundbreaking initiative designed to enable a Local Flexibility Market in Ontario, helping utilities transition into Distribution System Operators. By leveraging flexible grid solutions, PowerShare addresses key challenges such as:
Inefficient Grid Operations: Shifting from a rigid infrastructure model to a smarter, more responsive system.
Grid Congestion: Managing the increased flow of distributed energy resources while maintaining system reliability.
How Does PowerShare Work?
Traditionally, utilities have focused on delivering electricity through Poles & Wires Only. PowerShare enhances this model by taking Benefit-Cost Analysis (BCA) and Non-wires Alternatives (NWA) approach, unlocking new possibilities for grid optimization.
Impact on Southwest Ontario
In regions like Southwest Ontario, electricity demand is expected to grow from 500 MW to 2,300 MW by 2035. PowerShare offers a solution to address this surge by ensuring distribution-level grid flexibility, affordability, and reliability. The initiative focuses on integrating DERs within the agriculture and manufacturing industries in Leamington, ON.
A Cross-Border Collaboration
PowerShare is made possible through the Independent Electricity System Operator’s (IESO) Grid Innovation Fund, along with regulatory guidance from the Ontario Energy Board Innovation Sandbox. These partnerships, alongside Essex Powerlines and NODES, are testing an innovative business model that could reshape distribution system operations not only in Canada but also as a model for utilities across North America.
Looking Ahead
The transition to a Distribution System Operator model and enablement of DERs are critical for the future of energy reliability and sustainability. Initiatives like PowerShare demonstrate how utilities can leverage local flexibility markets to modernize grid operations and enhance service delivery.
As North American utilities navigate this transformation, PowerShare stands as a pioneering initiative, proving that innovation and collaboration can drive the next generation of power distribution.
Interested in learning more? Visit https://nodesmarket.com/powershare/ to explore how PowerShare is shaping the energy future.
