Utilities must invest in new grid technology to cope with growth of renewables and electric vehicles (EVs).

That’s the verdict from a new report published by Smarter Grid Solutions, which suggests distribution utilities need to slash the cost of integrating distributed energy resources (DER) onto the grid.

It says as Distribution Network Operators (DNOs) shift into the new role of distribution system operators (DSOs), they should immediately begin implementing distributed energy resource management systems (DERMS).

The report states these systems will help save money, meet decarbonisation targets and provide a reliable service.

It warns policies and practices used the transmission system operators (TSOs) to manage their networks cannot simply be copied across to the distribution grid, as the latter have a much larger number of connections and are not commonly monitored and controlled in real-time.

Bob Currie, Chief Technology Officer at Smarter Grid Solutions, said: “As DNOs transform into DSOs – offering a wide variety of services on top of looking after wires and substations – they need the right tools at their disposal to manage their grids, and technology such as DERMS is an essential part of that mix.”

National Grid recommends an investment of £59.8 million across 25 asset-based projects this year.