DOI QR코드

DOI QR Code

A Case Study on Energy focused Smart City, London of the UK: Based on the Framework of 'Business Model Innovation'

  • Song, Minzheong (Department of Media Communication and Ad., Hansei University)
  • Received : 2020.03.14
  • Accepted : 2020.03.22
  • Published : 2020.06.30

Abstract

We see an energy fucused smart city evolution of the UK along with the project of "Smart London Plan (SLP)." A theoretical logic of business model innovation has been discussed and a research framework of evolving energy focused smart city is formulated. The starting point is the silo system. In the second stage, the private investment in smart meters establishes a basement for next stages. As results, the UK's smart energy sector has evolved from smart meter installation through smart grid to new business models such as water-energy nexus and microgrid. Before smart meter installation of the government, the electricity system was centralized. However, after consumer engagement plan has been set to make them understand benefits that they can secure through smart meters, the customer behavior has been changed. The data analytics firm enables greater understanding of consumer behavior and it helps energy industry to be smart via controlling, securing and using that data to improve the energy system. In the third stage, distribution network operators (DNOs)' access to smart meter data has been allowed and the segmentation starts. In the fourth stage, with collaboration of Ofwat and Ofgem, it is possible to eliminate unnecessary duplication of works and reduce interest conflict between water and electricity. In the fifth stage, smart meter and grid has been integrated as an "adaptive" system and a transition from DNO to DSO is accomplished for the integrated operation. Microgrid is a prototype for an "adaptive" smart grid. Previous steps enable London to accomplish a platform leadership to support the increasing electrification of the heating and transport sector and smart home.

Keywords

References

  1. Mulligan, C., Smart city business model, Paper of Imperial College London, May 2014.
  2. Korea Institute of Science & Technology Evaluation and Planning, Smart city, 2018.
  3. Diaz-Diaz, R, Munoz, L., and P.-G. Daniel, The Business Model Evaluation Tool for Smart Cities: Application to Smart Santander Use Cases, Energies, Volume 10, 262, 2017. https://doi.org/10.3390/en10030262
  4. Mulligan, C. & Olsson, M., Architectural implications of smart city business models: an evolutionary perspective, IEEE Communications Magazines, Volume 51, Issue 6, pp. 80-85, June 2013. https://doi.org/10.1109/MCOM.2013.6525599
  5. Chesbrough, H., Business model innovation: it's not just about technology anymore, Strategy & Leadership, Vol. 35, No. 6, pp. 12-17, 2007. https://doi.org/10.1108/10878570710833714
  6. Chesbrough, H., Business Model Innovation: Opportunities and Barriers, LLP (Long Range Planning), Vol. 43, pp. 354-363, 2010a; Available: http://www.elsevier.com/locate/lrp.
  7. Chesbrough, H., Open Services Innovation, Advance Preview of Forthcoming Book "Open Innovation" Seminar, Sao Paulo, Brazil, 2010b.
  8. Smart London Board, Smart London Plan, 2013.
  9. Samjeong KPMG, Data-driven smart city, March. 2019.
  10. Mayor of London website retrieved in 2019; Available: https://www.london.gov.uk/.
  11. AECOM, 'Smart City' - Intelligent energy integration for London's decentralized energy projects, 2012.
  12. Electricity Networks Strategy Group, Our Electricity Transmission Network: A Vision for 2020, 2009.
  13. North, P., Helping London Boroughs Deliver Local Heat Networks, Mayor of London, June 19, 2018.
  14. National grid homepage retrieved in 2019; Available: https://www.nationalgrid.com/.
  15. Smart Meter Central Delivery Body, Engagement Plan for Smart Meter Roll-out, December. 2013.
  16. Zhang, D., Optimal Design and Planning of Energy Microgrids, Department of Chemical Engineering, University College London, A thesis submitted in fulfilment to University College London for the degree of Doctor of Philosophy, September 2013.
  17. Smart Grid Forum, Smart Grid Vision and Routemap, Depart. of Energy and Climate Change (DECC), Ofgem, UK, February 2014.
  18. Jenkins, N., Long, C. and J. Wu, An Overview of the Smart Grid in Great Britain, Engineering, Vol. 1, No. 4, pp. 413-421, 2015. https://doi.org/10.15302/j-eng-2015112
  19. Schuetze, T., Lee, JW, and TG. Lee, Sustainable Urban (re-)Development with Building Integrated Energy, Water and Waste Systems, Sustainability, Vol. 5, pp. 1114-1127, 2013. https://doi.org/10.3390/su5031114
  20. Ajiero, I. and Campbell, D., Water-energy nexus, problems and prospects for the UK, Working paper, School of the Built Environment, Heriot Watt University, 2014.
  21. Water UK, Sustainability Indicators 2009/10, Report on how the UK water industry is moving towards sustainability, 2010.
  22. Watson, J. and Rai, N., Governance interdependencies between the water & electricity sectors, Sussex Energy Group, SPRU, University of Sussex working paper series, 2013.
  23. Carvalho, P., Spataru, C., and R. Bleischwitz, Integration of water and energy planning to promote sustainability, Journal of Sustainable Development of Energy, Water and Environment Systems, Vol. 7, Issue 2, pp. 229-252, 2019. https://doi.org/10.13044/j.sdewes.d6.0246
  24. Mayor of London, The Mayor's Climate Change Mitigation and Energy, Annual Report, 2014.
  25. DECC (Department of Energy & Climate Change), Energy Statistics for Local Authorities, January 22, 2013.
  26. Gubetich, K. and M. Alejandra, Quantification of the Water-Energy Nexus at the Residential End-Use Stage. MSc thesis, London: Imperial College London, 2015.
  27. Whole System Energy Modelling Consortium (WholeSEM), UK water-energy nexus under climate change, University of Cambridge, 2017.
  28. Mijic, A., Ruiz Cazorla J., and J. Keirstead, Water energy links in cities: the urban metabolism of London. In AGU Fall Meeting Abstracts, 2014.
  29. DECC (Department of Energy & Climate Change), Towards a Smart Energy System, December 17, 2015.
  30. Association for the Conservation of Energy, Energy Efficiency in London, July 2016.
  31. Roberts, S., Developing smart energy in London: Key study findings, Center for Sustainable Energy, January. 2018.