Review of the flexibility potential in positive energy districts: opportunities and challenges

Positive Energy Districts (PEDs) are an important part of urban areas' transition towards climate neutrality by promoting energy efficiency and integrating renewable energy sources, energy storage technologies, and load aggregation and management. This paper reviews the flexibility potential of PEDs, showing how they can provide important services to both the power and heat sectors. PEDs can participate in various energy and flexibility markets, offering benefits like better grid stability, peak demand management, and improved renewable energy integration. However, challenges like regulatory barriers, high initial costs, and the need for advanced technology and stakeholder coordination remain. This paper highlights successful practices from existing PED projects and proposes policy recommendations to overcome these challenges, aiming to support the wider adaptation of PEDs and further contribute to the EU's climate goals.

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Published
2025-10-20
DOI
https://doi.org/10.1109/isgteurope64741.2025.11305391
Primary Topic
Integrated Energy Systems Optimization
Type
article
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article

Review of the flexibility potential in positive energy districts: opportunities and challenges

Salla Annala, Ville Sihvonen
Integrated Energy Systems Optimization
article

Review of the flexibility potential in positive energy districts: opportunities and challenges

Salla Annala, Ville Sihvonen
article en

Abstract

Positive Energy Districts (PEDs) are an important part of urban areas' transition towards climate neutrality by promoting energy efficiency and integrating renewable energy sources, energy storage technologies, and load aggregation and management. This paper reviews the flexibility potential of PEDs, showing how they can provide important services to both the power and heat sectors. PEDs can participate in various energy and flexibility markets, offering benefits like better grid stability, peak demand management, and improved renewable energy integration. However, challenges like regulatory barriers, high initial costs, and the need for advanced technology and stakeholder coordination remain. This paper highlights successful practices from existing PED projects and proposes policy recommendations to overcome these challenges, aiming to support the wider adaptation of PEDs and further contribute to the EU's climate goals.

Lappeenranta-Lahti University of Technology (FI)
Climate action
Openalex Percentile: Top 41%
Integrated Energy Systems Optimization
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