Patents for Enhanced Electricity Grids - An AI augmented review

I was given the opportunity by Sandro Mendonça to review a recently published paper on Smart Grid developments. I used a few AI tools to help get through over 70 pages of technical information. This briefing doc reviews the main themes and key findings of the report "Patents for enhanced electricity grids" published jointly by the European Patent Office (EPO) and the International Energy Agency (IEA). The report analyzes patent data to track technological progress in electricity grid technologies and assess their alignment with clean energy transition needs.

1. Introduction: The Critical Role of Electricity Grids

Modern, smart, and expanded electricity grids are essential for successful energy transitions. This is because the main sources of low-emission energy are typically electricity sources, requiring robust grids to accommodate the shift from fossil fuels. The report highlights the need for grid expansion and modernization to accommodate the growing share of renewable energy in the global energy mix.

Key challenges for grid modernization:

• Integrating variable renewable energy sources like solar and wind power.
• Accommodating increased electrification across sectors.
• Ensuring grid reliability and stability.
• Minimizing environmental impact and enhancing safety.

2. Global Patenting Trends in Electricity Grid Technologies

• Dramatic Acceleration: Grid-related patenting experienced significant acceleration between 2009-2013, driven by industrial interest in new technologies.
• China's Rise: While patenting stabilized in most regions after 2013, China emerged as the global leader in grid-related patents by 2022, surpassing the EU.
• "Patenting activities in grid-related technologies grew at remarkable speed between 2009 and 2013... This take-off phase reflects a period of intense industrial interest in a new suite of technologies."
• EU and Japan Leadership: The EU27 and Japan led electricity grid patenting over the past decade, each contributing over 20% of international patent families (IPFs).
• Europe: Focused primarily on physical grid technologies.
• Japan: Specialized in smart grid technologies.
• Smart Grids Driving Innovation: Smart grid innovation is driving the latest burst of patenting activity.
• Focus on Grid-Scale Assets: The largest smart grid patenting areas relate to controlling grid-scale assets, such as forecasting, decision-making, and remote control of inverters and storage assets.
• AI Integration: Grid-related AI patenting grew by over 500% between 2017 and 2022, becoming the most active area of patenting among enabling digital technologies, led by the US and China.

3. Physical Grids and Stationary Storage

• Continuous Improvement: Physical grid elements have seen continuous improvement through innovation, focusing on efficiency, competitiveness, and safety.
• HVDC Transmission: Patenting related to high-voltage direct current (HVDC) transmission increased substantially, driven by the need for long-distance transmission of renewable energy.
• Fault Detection: Patenting in fault detection and location technologies increased significantly, particularly driven by Chinese applicants.
• Stationary Storage Growth: Patenting in stationary storage technologies is rapidly increasing, driven by the need to integrate variable renewable energy sources and enhance grid stability.
• Technology Diversity: A variety of technologies are being explored, including mechanical storage, redox flow batteries, sodium-ion batteries, and molten metal batteries.

4. Smart Grids: Enhancing Grid Functionality

• Five Key Functions: Smart grid technologies are being developed to improve:
• Grid monitoring and control.
• Demand response and integration of distributed energy resources.
• Voltage and frequency control.
• Fault detection and self-healing capabilities.
• Cybersecurity and data privacy.
• Smart Meter Saturation: Patenting in smart meters peaked in 2012 and subsequently declined, likely due to market saturation and the completion of initial rollout phases.
• Focus on Control Systems: Patenting in control systems for generation, storage, and grid operations has steadily increased, with a particular focus on inverters, SCADA systems, and forecasting and decision-making tools.
• Rise of Digital Enabling Technologies: Patenting in digital enabling technologies for smart grids has surged, with AI, data transport, and data management platforms leading the growth.

5. Smart EV Charging

• Resurgent Growth: Patenting in smart EV charging saw a resurgence after 2015, driven by new techniques for aggregation and remote control.
• Shift to OEMs: This growth coincided with a shift in patenting activity from equipment suppliers to original equipment manufacturers (OEMs), indicating the increasing strategic interest of OEMs in mastering smart charging technology.
• Japanese Dominance: Japanese applicants hold a significant lead in smart EV charging, accounting for about one-third of IPFs in this field between 2011-2022.

6. Conclusion: Innovation Driving Grid Modernization

The report highlights the significant role of innovation in driving grid modernization and enabling the transition to cleaner energy systems. Patent data reveal a dynamic landscape with continued high levels of patenting activity, indicating a strong commitment to technological advancements in both physical and smart grid domains.

Key takeaways for policymakers:

• Support R&D: Continued investment in R&D is critical to maintain momentum in grid innovation and address the emerging challenges of clean energy transitions.
• Foster Collaboration: Collaboration between research institutions, startups, and established companies can accelerate the development and deployment of advanced grid technologies.
• Address Regulatory Barriers: Policymakers should address regulatory barriers and create a supportive environment for grid modernization, facilitating the integration of new technologies and business models.

By leveraging patent data and insights, policymakers and industry stakeholders can make informed decisions to guide investments, foster innovation, and ultimately accelerate the realization of cleaner, more resilient, and sustainable energy systems.

Timeline of Events in "Patents for Enhanced Electricity Grids"

This timeline focuses on the evolution of electricity grid technologies, primarily through the lens of patenting activities, as described in the provided source.

Early 2000s

• Around 2000: The concept of smart grids emerges, driven by challenges like aging infrastructure, underinvestment, and the need to integrate digital technologies.
• 2003: The US Consortium for the Electric Infrastructure to support a Digital Society (CEIDS) publishes recommendations promoting smart grid terminology.
• 2000-2005: Patenting for electricity applications of superconductivity starts from a low baseline, with less than 25 IPFs per year.

Mid 2000s - Late 2000s

• Around 2005: Patenting in digital enabling technologies for grids starts to grow significantly.
• 2004: Sumitomo (Japan) develops a technique for commercializing cables made of high-temperature cuprate superconductor.
• Around 2007: Steady increase in grid-related public R&D spending begins in IEA member countries.
• 2008: Spain becomes one of the first countries to pass a law mandating smart meter deployment.
• 2009: Patenting in both physical and smart grid technologies starts to rise sharply.

2010 - 2013

• Around 2010: Patenting activity in smart grids related to control of grid-scale assets takes off.
• 2010-2020: Molten metal batteries, primarily used in concentrating solar power plants, see significant development work.
• 2009-2013:Patenting related to physical grids grows strongly, departing from the previous steady rate.
• Patenting activities in fault detection and location increase rapidly (average compound rate of 27%).
• Patenting for smart EV battery charging experiences strong growth.
• The number of IPFs related to grids increases at an average annual growth rate of 30%.
• This impressive growth is primarily observed in Europe, Japan, and the US.
• First government deployment regulations and targets for smart grids, particularly smart metering, emerge.
• 2012:Global smart meter market size reaches USD 10 billion.
• Smart meter patenting peaks at over 220 IPFs.
• 2013:Electricity grid patenting peaks in first-mover regions (Europe, Japan, and the US), reaching approximately 3500 IPFs.
• Patenting in physical grid technologies levels off, unlike smart grids which continue to grow.

Mid 2010s - Late 2010s

• 2014: Patenting in smart grid applications related to control of demand and its retail peaks.
• After 2015:Patenting in smart EV charging returns to impressive growth as new techniques for aggregation and remote control emerge.
• This coincides with a shift in patenting activities from equipment suppliers to OEMs.
• 2016:Strong acceleration in grid-related patenting activity in China begins.
• Patenting activities in smart EV charging start to recover after a decline.
• 2017: A second period of rapid growth in fault detection and location patenting begins (though at a lower rate of 7%).
• 2018: Patenting of electricity applications for superconductivity peaks at around 75 IPFs.

2020 - Present

• 2020-2022: The weight of patenting activities targeting micro-grids and integration of stationary storage increases compared to earlier periods.
• 2021-2022:Smart meter patenting drops to below 100 IPFs per year.
• China emerges as the leading region for fault detection and location patenting.
• 2022:Global smart meter market dips to USD 24 billion, suggesting saturation in new installations.
• China overtakes the EU for the first time as the largest regional source of patent applications for grid-related technologies.
• Power conditioning technology experiences a surge in patenting activity.
• Patenting activity in digital enabling technologies for electricity grid applications reaches a new peak of over 500 IPFs.

Future:

• Continued growth in grid-related patenting activities is expected, particularly in areas like AI applications, smart grid technologies, and long-duration energy storage.
• Increased focus on integrating renewable energy sources and enhancing grid resilience and reliability is anticipated.

Cast of Characters

This list identifies key players mentioned in the source, categorized by their roles in the electricity grid landscape:

Companies:

• ABB (Switzerland): Major conglomerate, leading applicant for physical and smart grid technologies, particularly fault detection and location.
• Bosch (Germany): German conglomerate, active in smart grid technologies, particularly smart metering.
• Ford Motor (US): US automotive company, one of the top applicants for grid-related technologies, indicating the increasing involvement of the automotive sector.
• Furukawa Electric (Japan): Major applicant for superconducting cables.
• General Electric (US): US conglomerate, leading applicant for physical and smart grid technologies, particularly fault detection and location.
• Hitachi (Japan): Japanese conglomerate, active in smart grid technologies, particularly storage control and fault detection and location.
• Honda (Japan): Japanese automotive company, one of the top applicants for grid-related technologies, particularly smart EV charging.
• Huawei (China): Chinese telecom equipment company, expanding into smart grids, particularly fault detection and location.
• LG Electronics (South Korea): South Korean electronics company, active in smart EV charging.
• Mitsubishi Electric (Japan): Japanese conglomerate, active in smart grid technologies, particularly storage control.
• Nexans (France): Leading applicant for superconducting cables.
• Nissan (Japan): Japanese automotive company, active in smart EV charging.
• Panasonic (Japan): Japanese conglomerate, active in smart grid technologies, particularly storage control and fault detection and location.
• Qualcomm (US): US technology company, active in smart EV charging.
• Samsung Electronics (South Korea): South Korean electronics company, active in smart grid technologies, particularly smart metering and smart EV charging.
• Schneider Electric (France): French company, active in smart grid technologies, particularly fault detection and location.
• Siemens (Germany): German conglomerate, leading applicant for physical and smart grid technologies, particularly fault detection and location and smart EV charging.
• State Grid Corporation of China (China): Chinese state-owned electric utility company, active in fault detection and location.
• Sumitomo Electric (Japan): Japanese company, active in smart grid technologies and superconducting cables.
• Toyota (Japan): Japanese automotive company, one of the top applicants for grid-related technologies, particularly smart EV charging.
• Toshiba (Japan): Japanese conglomerate, active in smart grid technologies, particularly fault detection and location.

Research Institutions:

• Battelle Memorial Institute (US): US non-profit research and development organization, active in smart grid technologies.
• CEA (France): French Alternative Energies and Atomic Energy Commission, active in smart grid technologies.
• China Electric Power Research Institute (China): Chinese research institute, focused on smart grid technologies.
• CNRS (France): French National Center for Scientific Research, active in smart grid technologies.
• ETRI (South Korea): South Korean Electronics and Telecommunications Research Institute, active in smart grid technologies.
• Fraunhofer Gesellschaft (Germany): German applied research organization, active in smart grid technologies.
• IFP Energies Nouvelles (France): French public research and technology organization, active in smart grid technologies.
• ITRI (Taiwan): Taiwanese Industrial Technology Research Institute, active in smart grid technologies.
• KETI (South Korea): South Korean Korea Electronics Technology Institute, active in smart grid technologies.
• KIT (Germany): Karlsruhe Institute of Technology, active in superconducting cables.
• MIT (US): Massachusetts Institute of Technology, active in smart grid technologies and superconducting cables.
• North China Electric Power University (China): Chinese university, focused on smart grid technologies.
• Shandong University (China): Chinese university, active in smart grid technologies.
• Tsinghua University (China): Chinese university, active in smart grid technologies.
• University of California (US): US public university system, active in smart grid technologies.

Consortia and Organizations:

• Consortium for the Electric Infrastructure to support a Digital Society (CEIDS): US public-private consortium that played a key role in promoting the concept of smart grids.
• European Patent Office (EPO): Organization granting patents for inventions in Europe, contributing data and analysis for the report.
• International Energy Agency (IEA): Intergovernmental organization providing data and analysis on the global energy sector, contributing data and analysis for the report.
• Trans-European Networks for Energy (TEN-E): EU initiative supporting the development of cross-border energy infrastructure.

This cast of characters highlights the diverse set of actors involved in the development of electricity grid technologies, encompassing large companies, research institutions, and international organizations. This collaboration is crucial for driving innovation and addressing the challenges of the energy transition.