Barriers to Independent Aggregators in Europe

Various studies and consultations have been undertaken in recent years which examine the benefits that independent aggregators can bring to the European electricity markets. Independent aggregators can provide an important route to market for demand side response providers and small-scale generators, by bringing together providers who would be too small to participate in the markets individually. In addition, aggregators have detailed knowledge of these markets which many small providers might lack. Aggregation can also increase the reliability of DSR by bringing together resources from across different industries and geographies. However, at present there is no coordinated approach across Europe for the inclusion of independent aggregators into these markets. There is therefore a united view in industry bodies that further development and a coordinated approach to the aggregator role is necessary to enable their full inclusion.