22nd International Conference on the European Energy Market - EEM26, Trondheim (Norway). 22-24 June 2026
Summary:
Residential prosumers combining rooftop PV, stationary batteries (BESS), and vehicle-to-grid (V2G)-capable EVs require distribution tariffs that reward, rather than suppress, flexibility. This paper quantifies how the structural design of monthly peak-demand charges affects prosumer operations in Sweden. Using the EL1XR-Opt MILP framework, we co-optimise PV, battery dispatch, EV smart charging, and V2G under an explicit tariff model over a full year of hourly data across ten representative households from a low-voltage network in the SE3 bidding zone; perfect-foresight results are upper bounds on achievable cost reduction. Five tariff scenarios decompose the current Swedish effekttariff (monthly power-demand charge) into three design dimensions: charge level (μpk), selection window (daily-reset vs. monthly-pool), and averaging intensity (|K|). The peak charge reshapes rather than uniformly suppresses DER dispatch: BESS throughput remains substantial while V2G is disproportionately constrained. More strikingly, structural alternatives at the same nominal charge rate raise household costs by 33–38% and penalise inflexible households most severely, exposing a significant tariff equity risk. Halving the charge rate (μpk÷2) is the sole Pareto-favourable lever: it reduces costs by 11.2% with near-unchanged grid peak. These findings provide quantitative evidence for the tariff parameters that Swedish regulators and DSOs must calibrate before the 2027 rollout.
Spanish layman's summary:
Los prosumidores residenciales con sistemas fotovoltaicos (FV), baterías y vehículos eléctricos con tecnología V2G necesitan tarifas que recompensen la flexibilidad. Este estudio muestra que el diseño de las tarifas por demanda máxima influye significativamente en los costes y en el uso de los recursos energéticos distribuidos (DER); los cambios estructurales pueden aumentar los costes hasta un 38 %, mientras que reducir a la mitad estos cargos disminuye los costes en aproximadamente un 11 % sin incrementar los picos de demanda de la red.
English layman's summary:
Residential prosumers with PV, batteries, and V2G EVs need tariffs that reward flexibility. This study shows peak-demand tariff design strongly affects costs and DER use; structural changes can raise costs up to 38%, while halving charges lowers costs ~11% without increasing grid peaks.
Keywords: Prosumers; peak-demand tariff; DER integration; battery and EV flexibility; tariff design.
DOI:
https://doi.org/10.1109/EEM68581.2026.11589639
Published in: IEEE EEM 2026: Conference proceedings, pp: 1-7, ISBN: 979-8-3195-3555-9
Publication date: 10-Jul-2026.
Citation:
E. F. Álvarez, A. Ramos, "When Residential Tariffs Fail to Reward Flexibility: Modelling Prosumers Under Realistic Tariff Structures", presented at 22nd International Conference on the European Energy Market - EEM26, Trondheim, Norway, 22-24 June 2026. In: IEEE EEM 2026: Conference proceedings, pp. 1-7, doi: 10.1109/EEM68581.2026.11589639
IIT-26-194C