Zero energy at the neighbourhood scale: Regulatory challenges regarding billing practices in Norway

Abstract

Buildings are becoming an increasingly active part of the power system due to the ongoing deployment of decentralized energy resources. To reap the added value that may be realized by zero emission neighbourhoods, it is important that the regulatory framework promotes an efficient development with buildings as an integrated and active part of the power system. When considering energy resources at the neighbourhood level and energy flows within neighbourhoods in Norway, the regulatory framework is challenged by innovative technical solutions. Therefore, it is necessary to explore how deployment of energy resources in neighbourhoods fit together with existing regulations and market mechanisms. Challenges concerning decentralized energy resources are identified based on discussions with stakeholders in Norway and a review of relevant literature in the scientific and regulatory domain. Key challenges for the deployment of energy resources in ZEN are identified, explained through examples, and related to ongoing projects in Norway. It is found that incentives regarding decentralized energy resources are highly dependent on the ownership structure, and therefore a distinction between two major classes of ZEN is made.