=Paper=
{{Paper
|id=Vol-1203/SPPSG-paper1
|storemode=property
|title=Key Actor Perspectives on Smart Grids
|pdfUrl=https://ceur-ws.org/Vol-1203/SPPSG-paper1.pdf
|volume=Vol-1203
|dblpUrl=https://dblp.org/rec/conf/ict4s/BartuschP14
}}
==Key Actor Perspectives on Smart Grids==
https://ceur-ws.org/Vol-1203/SPPSG-paper1.pdf
Key Actor Perspectives on Smart Grids
A qualitative study on barriers and incentives for the development of smart grids in the
Swedish power market
Cajsa Bartusch and Andrea Perna
Department of Engineering Sciences, Division of Industrial Engineering and Management, Uppsala University
Uppsala, Sweden
cajsa.bartusch@angstrom.uu.se
andrea.perna@angstrom.uu.se
Abstract—This paper aims at investigating how the motivations and incentives of key actors, and thus identifying
implementation of smart grids takes place in the context of the the potential barriers and opportunities in bringing smart grids
Swedish power market. We performed an exploratory study that to fruition in Sweden. Hence, one key research question is how
in its first step has pinpointed the key actors involved in smart the involved actors perceive smart grids? The paper is
grid implementation. In this respect, we have identified several organized as follows. First, we offer some theoretical insights
public and private organizations that are relevant to the based on the roles and perceptions of actors during the
development, making, operation and use of smart grids such as technology implementation. Following a short methodological
power transmission and distribution system operators, note, we then conclude by highlighting our research results
producers, energy service providers, researchers, regulatory
based on the empirical data we collected in Sweden.
authorities etc. Subsequently, we focused on analyzing the
motives and incentives of those key actors and thus identifying
the potential challenges, in terms of barriers and opportunities. II. DIFFERENT ACTORS’ PERCEPTION ON SMART
We applied theories on technological development and industrial GRID IMPLEMENTATION
networks in order to shed more light on the phenomenon under
When implementing a new technology the initiative of
investigation.
certain actors is often important to induce other actors to
Keywords—smart grid; implementation; key actors; combine their resources in new ways to devise new technical
incentives, barriers; opportunities solutions, as well as to perform certain activities [1]. This is,
however, not a linear and predictable process. Actors need to
be coordinated together and they all have to gain something
I. INTRODUCTION from the technology implementation. Our starting point is that
Smart grids are expected to play a key role in realizing the development and implementation of a technology
European energy, environment and climate policies. The inevitably build on close interactions between providers and
political goals among other things involve increasing efficiency users [2, 3] as few companies can realize innovations by using
in electricity use and the share of renewables in power only their internal assets.
production, which in turn entail boosting consumption
flexibility and investments in intermittent energy sources. The As pointed out by [4], many opportunities as well as
theoretically available gains of implementing smart grids are tensions might emerge among the involved actors when the
well documented in the scientific literature, yet the actual new technology is implemented and embedded into an already
realization of them seems to be tardy. Seeing as the core of the existent context. One reason is the actors’ different perceptions
necessary technological advances to this end are already behind of the technology in terms of the benefits that they can achieve
us, technological barriers are probably not the main reason why by adopting it. Moreover, actors might have diverse
smart grids, despite the well-documented and hence anticipated understandings of the technology complexity, how the
economic and environmental gains, are slow to emerge in the technology will impact on the overall socio-economic system
Swedish power market. and affect their possibilities to achieve their own business
goals. Thus, each actor might have a different view on the
This state of affairs suggests that the implementation of economic deal resulting from the technology development,
smart grids is associated with other than technological barriers. implementation and use.
Accordingly, the complexity of the implementation process
needs to be confronted with the involved actors’ perceptions. It is rather clear that the actors’ perception of the
Against this background, this study aims at assessing the technology influence the implementation and adoption of it.
Opportunities and barriers do emerge from the technology
implementation and all the actors involved might play different standards. There are many different highly technological and
role in facilitating or hindering this process. very complex parts in a system of this magnitude, which means
that its functionality is dependent on how the components are
III. A NOTE ON THE METHODOLOGY assembled and adapted to each other. Thus we concluded that
the technological dimension of smart grids in Sweden does not
This is a still ongoing study that so far includes 9 semi- represent a barrier per se.
structured face-to-face interviews with different actors involved
in the implementation of smart grids in Sweden, from industry, From a policy perspective the smart grid implementation in
university and policy sectors. In addition to the interviews, data Sweden is still an open issue. The regulations to some extent
was also collected through participant observations at webinars offer companies incentives to reduce customer demand, but
where experts from different business and research areas will need to create a new system of rate structures in order to
discussed various smart-grid related issues. reward consumption flexibility. All the actors seem to share the
opinion that the lack of incentives is something that acts as a
The informants were identified by means of the authors barrier, but they have a rather positive attitude to the Swedish
consulting experts in the smart grid field of research. We policy commitment for supporting the “green” incentive system
collected data with the explicit task to identify the key players in the same way as the recycling strategy.
involved in the implementation of smart grids. Moreover, our
interviews dealt with issues such as barriers and opportunities The last dimension we have considered to be relevant in
that induce the various actors to participate in the smart grid our study deals with the psychological side of the smart grid
process. implementation in Sweden. Our respondents agree that
Swedish consumers will most probably react positively to a
Barriers and incentives that emerge from the different electricity market that requires them to actively make
implementation of smart grids were investigated in relation to a decision to change their consumption pattern, reduce their
financial, technological, political and psychological energy usage and hence their costs. In addition to this, Swedish
dimensions. consumers are very keen on generating and selling electricity
back to their local utility. It seems that Swedish people are
IV. A PRELIMINARY ASSESSMENT OF SMART GRID generally aware of the potential of smart grid implementation.
IMPLEMENTATION IN SWEDEN
In light of the fact that the most important barrier to
The financial dimension related to smart grid realizing smart grids is the involved actors’ lack of economic
implementation was perceived as a barrier to the smart grid incentives, it seems that government intervention in terms of
implementation process by almost all the actors included in this policy instruments are required to this end. This means that it is
study. For instance, seeing as the electricity price level in ultimately an ideological issue; in other words, is it a state
Sweden is considered to be fair among consumers, there is at affair or is it the power market alone that is supposed to make
this point no obvious motivation for pushing the smart grid them happen.
implementation ahead until there is an efficient and critical
balance between electricity demand and offer. There is also REFERENCES
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