Business Models for Energy Community with Vulnerable Consumers

Renewable energy communities (REC) can involve final consumers into the energy system incentivizing investments in decentralized renewable energy sources and shaping their energy behaviour to improve the local balance of consumption and generation. However, RECs can also help alleviate energy poverty, which occurs when low incomes and inefficient buildings and appliances result in disproportionately high energy costs for households, by lowering energy expenses through the sharing of surplus electricity at reduced prices with vulnerable members. This work explores REC business models with the specific focus on incorporating and empowering vulnerable consumers. Based on the literature review, we propose indexes to assess the vulnerability and non-vulnerability of REC members. From these indexes, we propose two business models based on two different strategies for the operation and settlement of a REC with flexible assets and vulnerable members.

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Publication Details

Journal
Zenodo (CERN European Organization for Nuclear Research)
Published
2025-05-26
DOI
https://doi.org/10.5281/zenodo.15519597
Primary Topic
Smart Grid Energy Management
Type
article
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article

Business Models for Energy Community with Vulnerable Consumers

Zenodo (CERN European Organization for Nuclear Research)
Smart Grid Energy Management
article

Business Models for Energy Community with Vulnerable Consumers

article en

Abstract

Renewable energy communities (REC) can involve final consumers into the energy system incentivizing investments in decentralized renewable energy sources and shaping their energy behaviour to improve the local balance of consumption and generation. However, RECs can also help alleviate energy poverty, which occurs when low incomes and inefficient buildings and appliances result in disproportionately high energy costs for households, by lowering energy expenses through the sharing of surplus electricity at reduced prices with vulnerable members. This work explores REC business models with the specific focus on incorporating and empowering vulnerable consumers. Based on the literature review, we propose indexes to assess the vulnerability and non-vulnerability of REC members. From these indexes, we propose two business models based on two different strategies for the operation and settlement of a REC with flexible assets and vulnerable members.

Zenodo (CERN European Organization for Nuclear Research)
INESC TEC (PT)
No poverty
Openalex Percentile: Top 55%
Smart Grid Energy Management
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