Why the Implementation of a Smart Metering Infrastructure in Germany should lead us to a Closed Internet of Energy Architecture?

Abstract:
In accordance with the prevailing regulatory framework in Germany, specifically §19 and §34 of the Metering Point Operations Act (MsbG), all critical communication between the superior control system and distributed energy resources (DER) for grid operation as well as direct marketing of renewable energies must be conducted exclusively via the smart metering infrastructure. This includes communication with DER for the provision of ancillary services (e.g. FCR, aFRR and mFRR). From a cybersecurity perspective, it is currently unclear how pertaining smart metering and the requirements for ancillary services provision contribute to the establishment of a secure overall architecture. This paper will examine the potential avenues for implementing balancing reserves through the utilization of the German smart metering infrastructure. Based on the aforementioned options, the authors will present a rationale for the assertion that a closed Internet of Energy represents a promising technical solution for maintaining a level playing field within the balancing market in Germany.