R8 Technologies Tests Solution That Could Secure the Baltic Region Against High Energy Prices
R8tech, a technology company specializing in AI-based solutions, launched a pilot project called the “R8 Virtual Power Plant” in 2022. The project continuously analyzes energy consumption and is capable of reducing consumption by up to a few percentage points in a whole power grid, preventing energy prices from reaching their peak and protecting consumers from excessive energy costs.
Siim Täkker, Chairman of R8 Technologies, stated, “The real estate sector is a significant energy consumer, and thanks to AI capabilities, we have learned to manage its consumption also in accordance with the needs of the electricity grid. AI allows us to accumulate energy during periods of lower prices and optimize consumption as needed. As a result, some national real estate assets save up to 40% of energy, and this know-how is something we can now try to apply for the stability of energy prices across the entire region.”
Among other initiatives, R8 participates in the OneNet project, in collaboration with the Estonian transmission system operator Elering and distribution network operator Elektrilevi. Together with these grid companies, the project tests the use of the solution for providing system services.
Kalle Kukk, Flexibility Market Project Manager at Elering, stated that the goal of the OneNet project is to improve access to flexibility in the electricity market and increase flexibility capacity. He emphasized, “The future electricity system requires new sources of flexible generation and consumption for system management. This ambitious vision must be achieved through the provision of new markets, products, and services, which we are working on together with neighboring grid companies and active energy service providers.”
The virtual power plant solution was developed by R8tech, an Estonian technology company that manages and optimizes energy consumption in large real estate properties in Estonia. With the ability to minimize consumption volumes, the company can temporarily reduce energy consumption in agreement with its customers and the grid operator, saving both customers’ energy costs and the market energy price. Currently, R8tech manages app. 2.5% of Estonia’s energy consumption, making it the largest energy consumption manager in Estonia. In addition, R8 Technologies manages large real estate properties across the Europe – From Finland to Portugal. R8 Technologies’ solution saves European real estate owners over 7 million euros annually. Furthermore, it assists clients in achieving their ESG goals and reporting. R8’s major clients in Europe and Estonia include shopping centers, office buildings, hotels, and state-owned real estate assets. The solution has received international recognition and was developed by alumni, doctoral students, and current faculty members of the Estonian TalTech University in the fields of heating, ventilation, and intelligent control systems.
