Local Energy Market (LEM) enables participants to trade energy amongst each other through our trading platform, matching buy and sell offers in forward facing time intervals. Buyers bid in the LEM at buy rates lower than their grid tariff rate, while sellers bid at rates above prevailing feed-in-tariff. The traded volumes are indicated to the retailer(s) or distribution companies at the awarded prices to be reflected in the energy bills. LEM encourages local generation and less import from the bulk electricity system.
LEMs help in limiting both import and export to the bulk electricity system. LEMs are highly responsive to the variations in supply and demand and reduces exports to the bulk electricity system. This results in savings for network operators like the distribution utilities. They also help reduce draw from the bulk electricity system which means they help reduce energy consumption costs for the consumers and prosumers.
This case study examines how energy retailers are affected by variable spot prices and explores how Local Energy Markets, based on peer-to-peer energy trading, can provide a viable solution.
This case study, based of a LEM of 100 participants from an Australian Town, examines how LEMs provide an alternative to falling FiTs and rising grid buy rates, while also reducing energy usage costs and investment returns for residential BESSs.
What are the outcomes of using a local energy market (LEM) to trade electricity between participants, retailers/suppliers and the network operator? Such a question is becoming increasingly important for electrical grids as more and more solar photovoltaics (PVs) and battery energy storage systems (BESS) are introduced.
Be it prosumers, consumers, distribution utilities or retailers, Local Energy Markets (LEM) is proved to be a win-win for all. Read this latest journal article based on real-time case studies to learn more about the many benefits of LEM.
Learn how a Local Energy market (LEM) can help reduce grid congestion and support voltage management through peer to peer (P2P) trading.
Learn how a peer-to-peer (P2P) energy trading system can optimize energy trading in a grid-tied multi-microgrid system.
Learn how the inclusion of a battery energy storage system (BESS) in a LEM model introduces greater flexibility and captures the implications on electricity costs along with grid export and import in this case study.
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