The energy transition is driving rapid growth in wind and solar power. This increases unpredictability on the power grid, where supply and demand fluctuate constantly, increasing the risk of imbalance or grid congestion. At the same time, the demand for grid capacity is rising sharply. It is therefore essential to provide smart and sustainable solutions to ensure grid stability and continuity.
Scholt Energy fulfills three key roles in this (BRP, BSP and CSP) for customers, producers and grid operators in the Netherlands. Through our expertise and technology, we contribute daily to a more stable and future-proof electricity grid.
As a BRP, Scholt Energy is responsible for forecasting and nominating our customers' electricity consumption and/or production to grid operator TenneT. Based on these forecasts, TenneT determines daily how much power should be available nationwide. In doing so, we also handle the daily purchase and sale of electricity on the wholesale markets, so that consumption and production are balanced at portfolio level. In practice, actual consumption or production almost always deviates from the forecast. As BRP, we receive a settlement for this through the imbalance market.
In the Netherlands, balance responsibility is laid down by law: every connection to the electricity grid must be placed with a BRP, either directly or through a larger energy supplier. This BRP must meet strict requirements, as laid down in the Electricity Grid Code of regulator ACM. Within its own portfolio, the BRP is responsible for continuously synchronizing forecasted supply and demand.
Customers notice little of this in practice: at Scholt Energy, we take on this responsibility ourselves. In this way, they are completely relieved of this responsibility, while indirectly contributing to a stable and reliable energy system, even in an energy market that is becoming increasingly dynamic due to the unpredictability of renewable sources.
Even if all BRPs are doing their job well, i.e. accurately forecasting consumption and/or production and nominating them towards the market, the power grid can unexpectedly become unbalanced. For example, due to an unexpected peak or dip in demand, or the unexpected failure of a production plant. In such cases, grid operator TenneT then calls on balancing services to maintain the grid frequency around 50 Hz. In our role as BSP, we facilitate access to balancing markets:
FCR (Frequency Containment Reserve) - responds automatically to small frequency deviations within seconds.
aFRR (Automatic Frequency Restoration Reserve) - responds automatically within minutes to persistent imbalance.
mFRR (Manual Frequency Restoration Reserve) - activates manually for larger or long-term disturbances and can be deployed for longer periods of time.
Scholt Energy enables customers to make flexible power available in these markets, for example through a battery pool or by signing up a solar or wind farm for emergency power. In this way we make optimal use of available flexibility, contribute to grid stability and our customers receive an availability and/or activation fee for their deployment.
The energy transition not only raises national balance issues, but also regional challenges such as grid congestion. Increasingly, the power grid is becoming overloaded locally because more power is being produced or consumed at peak times than the grid can transmit.
As a CSP, Scholt Energy forms the link between grid operators and large consumers or producers with flexible capacity. In cooperation with both parties, we control flexibly deployable installations - for example, by temporarily shutting down solar installations in the event of a surplus (curtailment) or reducing consumption at industrial customers during peak loads (demand response).
When the grid operator anticipates that congestion is imminent, we receive a formal request for curtailment no later than 8:00 a.m. on the day prior to the congestion period. This timing is essential, as we must include the request in our forecast to avoid imbalance. We then ensure that the plant concerned takes off or injects less electricity at the right time, exactly as agreed.
Participating customers receive a pre-agreed fee for this. In this way we prevent grid overload, use existing grid capacity more efficiently and make the electricity grid more resilient, without the need for immediate large-scale grid reinforcement.
Scholt Energy's role goes beyond supplying energy. With our combined roles as BRP, BSP and CSP, Scholt Energy bridges the gap between energy markets, renewable producers, large energy consumers and grid operators. We ensure that sustainably generated energy is used as optimally as possible without unbalancing or overloading the grid. In this way, we actively contribute to a more stable and sustainable electricity grid.
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