Integrated Model for Energy Generation, Distribution and Management

Supported by the European Regional Development Fund · Project Nr.

Energy, ecology, and economy make a single inter-related system. Changes in one of these areas influence the other two. The main goal of research is to develop country energy mixture model for clean environment and economy development in Latvia and implement a prototype of a novel routed smart grid system for energy distribution and management. The current project proposes a new integrated model of energy generation, distribution, and management. It is a research in the field of energy, which involves advantages in ecology field by introduction of renewable energy sources, and proposes a new energy policy approach to advance the economic sector of the country. This research project is divided into three separate parts where we cover (a) energy generation, (b) energy distribution, and (c) energy policy and economy. All parts involve modeling and simulation to analyze the operation and dynamics of the proposed system. As a result, we define country energy mixture model, propose and implement a prototype of a novel routed smart grid system for energy distribution and management, and define a smart energy policy for making the renewable energy sources friendly and profitable for economic sector. This research project consists of fundamental and industrial research and is expected to significantly contribute to the growth of Latvian national development strategies in energy and ecology.


Our everyday life at home and work cannot be imagined without the use of electricity. Power consumption is continuously increasing in Latvia and globally. Many countries depend on oil, coal, and natural gas to supply most of their energy needs. But, from a view point of energy security, reliance on fossil fuels presents a big problem because one day the world will run out of them, or it will become too expensive to retrieve those that remain. Another big problem is that fossil fuels cause air, water, and soil pollution, and emit greenhouse gases that contribute to global warming. These problems makes the use of fossil fuels economically and ecologically inefficient.

Country’s economy and welfare is largely dependent on decisions in the field of energy policy. Currently Latvia generates its electricity to supply country mainly from imported natural gas and a little from locally produced hydro-energy. Import of fossil resources is characterized by large price fluctuations, which do not promote balanced development of the national economy and increase political instability and difficulties to forecast the situation in part of the world regions exporting these resources.

We have to decrease energy dependence of Latvia and reduce impact of energy generation from fossil fuels for country’s ecology and global environment to meet Latvia’s sustainable development goals. Especially that Latvia has enough potential to produce electricity from local renewable energy sources to support electricity demand.

Excepting some renewables like hydro and geothermal energies, most of them are unstable, not always available, and therefore very hard to maintain and use separately. Significantly important to find the ways of combining different sources of green energy into stable systems with high capacity and provide efficient energy management and distribution on country level.

Objectives and Methodology

The main goal of research is to develop country energy mixture model for clean environment and economy development in Latvia and implement a prototype of a novel routed smart grid system for energy distribution and management. The current research project includes objectives in three main fields: (1) energy generation and environment, (2) energy distribution and management, and (3) energy policy and economy. Every objective is independent and valuable by itself, but altogether they provide a combination where every part interacts with others and contributes to a complete energy model.

(1) Energy generation and environment objective uniqueness is that it includes the definition and implementation of the energy mixture model which describes the effective share of various energy sources including renewable energy generation from local green resources. This takes into account existing and potential power plants which can be constructed, amounts of produced energy depending on typical hourly energy consumption, and all construction, fuel and maintenance costs. This objective also describes the distributed energy generation which is a very important aspect for multiple unstable sources of energy such as renewable energy sources.

(2) Energy distribution and management objective defines a novel next generation distribution grid architecture, applying technology achievements from computer world and data flow management to energy distribution and control utilizing innovative smart devises to direct energy flows from one set of ports to another based on a set of rules. Energy is now not just naturally flowing from the source to customers based on the inherent laws of physics, it is smartly routed between renewable energy sources, homes and other interconnected grid elements. This model is targeted to provide an effective way of distributed energy sources integration into one system which is capable of smart energy routing. One more important area covered in this objective is energy storage aspects, which are significant for renewable energy sources. This energy distribution objective plays an important role in the first objective as it provides a possibility to use mixed energy sources combination and adjust it according to the energy consumption and other factors.

(3) Energy policy and economy objective defines the energy generation and consumption rules, energy routing protocols, and energy trading principles within the proposed structure. All these aspects make a unified policy which strengthens the country energy sector and makes it a powerful economic engine. This objective is tightly related to the previous one, as it requires a model of smart energy routing between consumers and various energy sources.

These three objectives have an interdisciplinary interaction between each other and in combination define a complete energy model for clean environment and economy development. These objectives cover Large-Scale Environment Systems, Information Technology, Energy and Policy disciplines. To achieve the goals this research project introduces following approaches: system dynamics modelling for country energy mixture model, agent-based modeling and simulation for routed smart grid and energy storage, and mathematical model for minimized ecology harm along with maximized economy benefits based on existing and potential power plants.

The expected results of the proposed novel research project is related to the Latvian national development priorities as well as to global energy and environmental systems. Anticipated research activities in Latvian and foreign institutes and companies will open a wide range of opportunities for new high quality international collaboration researches in the fields of energy, economy and ecology.


Transport and Telecommunication Institute


Tatiana Endrjukaite, PhD, Reasercher, Research Departement

KEIO University


Yasushi Kiyoki, Professor, Graduate School of Media and Governance

Hawaii Natural Energy Institute


Leon Roose, lead of Grid System Technologies Advanced Research Team (GridSTAT)

Work Packages

Current research project includes three work packages. These are: Energy generation model, Energy distribution and management model, Energy policy and economy. All work packages have milestones and deliverables as paper publications and research results presentations on conferences.

Work Package 1. Energy generation model implementation.

Energy generation work package defines the energy mixture model of Latvia which describes the existing and potential energy sources based on fuel, construction and maintenance costs. This model is used to determine the optimal usage of energy sources based on possible and desirable operation time throughout the year with minimized expenses. System dynamics modeling and simulation will be used to ensure that the dynamics of renewable energy sources in the selected mixture model are capable to provide the energy demand of the country.

Work Package 2. Energy distribution and management model development.

Energy distribution and management model work package defines a novel Routed Smart Grid model where electricity is routed between energy sources and consumers in a smart way. This work package is a significant research in the renewable energy sources area. Agent-based modeling will be used in this research to model the Routed Smart Grid and simulate its operation in defined environment with specific parameters identical to existing power plants and typical energy demands.

Work Package 3. Energy policy and economy framework.

Energy policy and economy work package defines Routed Smart Grid operation protocols and introduces energy trading to the country energy sector. Energy trading is based on the idea of distributed energy generation and distributed energy storage in the Smart Grid. This makes a significant energy sector move from a country utility to a new type of market which makes energy a powerful economic engine of the country and significantly contributes to renewable energy sources penetration.



Coming soon