- A project selected under the government-led Next-Generation Energy & Social Systems program
- 50 MW of demand response capacity by 2015 for the Japanese electric grid
Rueil-Malmaison (France), November 28, 2013 – The consortium comprising Energy Pool, Schneider Electric and Sojitz announced that they had been selected to design an industrial demand response demonstration project for Japan through the Next Generation Energy and Social System Demonstration Projects 2013 open recruitment program conducted by the New Energy Promotion Council (NEPC). This project, launched in partnership with TEPCO, is a first in Japan.
Following the East Japan catastrophes in 2011, a reform of the Japanese energy system had become urgent. Thus, the Japanese public authorities launched numerous initiatives to promote better energy management, energy efficiency and innovative projects in renewable energies. This is the background for the selection of the demand response demonstration project proposed by Energy Pool, Schneider Electric, Sojitz and TEPCO.
"Industrial Demand Response has already demonstrated its efficiency in Europe. By introducing an agile and flexible way of balancing power supply and demand, the technology addresses the issues of consumption fluctuation and the integration of renewable energies", says Olivier Baud, President and Founder of Energy Pool. We are excited about this project which will showcase our European demand-response expertise in Asia and will help to hasten the advent of a more sustainable energy mix in Japan."
The design of the demonstration project will use the European iDR model as a reference while tailoring it to the power distribution system and to the specific features of the Japanese industry. The project will leverage the expertise and experience of four partners:
- Energy Pool will bring its experience and expertise in demand response for the industrial sector, will be responsible for setting up the Network Operation Center (NOC) and operations throughout the demonstration project;
- Schneider Electric will contribute through its expertise in industrial process supervision and automation, and will host the NOC in its Tokyo offices;
- Sojitz, the managing company, will liaise with participating companies, authorities and organizations, will bring to the project its network of business relationship with industrial end-users and its know-how regarding business development in Japan;
- TEPCO will bring its operational experience in power grid balancing and use the DR service through the demonstration project.
Scheduled for deployment by 2014, the demonstration project will reach a capacity of 50 MW, equivalent to the average residential consumption of a city of more than 200,000 inhabitants in Japan¹. The consortium's mission will also include proposing recommendations about regulation and operational processes in the context of the Japanese electric system reform plan.
¹ Equivalent to a Tokurei city for Japan, or a city of more than 150,000 inhabitants in France like Grenoble.
About Energy Pool
Energy Pool is the European leader in Demand Response. At the interface between grid managers and consumers, Demand Response is a critical component of the smart grid. Energy Pool is a Demand Response operator: At critical times for the power network, Energy Pool aggregates large end-user loads to enhance their demand response capacity. Energy Pool currently has 1,200 MW demand response capacity under management for the French electric grid as well as international operations.
About Schneider Electric
As a global specialist in energy management, with operations in more than 100 countries, Schneider Electric offers integrated solutions across multiple market segments. The Group has leadership positions in Utilities & Infrastructures, Industries & Machines Manufacturers, Non-Residential Buildings, Data Centers & Networks and in Residential. Focused on making energy safe, reliable, efficient, productive and green, the company's 140,000 plus employees achieved sales of €24 billion in 2012 through an active commitment to help individuals and organizations make the most out of their energy.
Sojitz is developing solar generating operations and fossil fuel generating operations (Equity holding generating capacity 777 MW) in Japan and overseas. After the East Japan Earthquake, the necessity to control electricity consumption on demand side has been increased. In addition to that, the market to be able to trade the curtailed electric capacity by End-user (Nega-watt) is assumed to be established until when the retail electricity sales is assumed to be liberalized in 2016. Sojitz aims at developing nega-watt business.