How energy sharing became possible for the futuristic Tamarinden neighbourhood

From the outset, Tamarinden was conceived as a place for futuristic solutions. The municipality's vision included energy sharing between properties, the possibility of supplying support services to the electricity grid, electric car pools, solar cells on the roofs and green courtyards that contribute to biodiversity. All of these concepts were eventually implemented throughout Örebro. The sharing of energy, the energy community, became an early talking point.

ÖrebroBostäder had tested optimising energy consumption within its own property portfolio by saving, storing, producing and sharing energy. 

"We wanted to see if we could scale this up to an entire neighbourhood, where there are several property owners and thus property boundaries that we have to cross with the sharing of energy," says Jan Johansson, project manager in energy and sustainable construction at Örebro Municipality.

The law put a stop to electricity sharing

However, there was a problem. When the project commenced in 2019, sharing electricity across property boundaries was prohibited by law for anyone who was not an electricity network owner. Consequently, a change was initiated, and after three years, the announcement was made that cross-property electricity sharing would become legal.

"It was a significant risk we took at the outset. However, we recognised the significant benefits of developing an energy system in this way and were keen to push the issue. If you want to make a difference, you can't stop when you see that there are laws and regulations that hinder. You have to look at how you can change them," says Jan Johansson.

From building automation to urban automation

Following the authorities' approval, property owners in the area can now connect their residential buildings to an energy system that produces, recycles, stores and shares energy. A common control system enables peak load reduction and energy distribution according to demand.

The significance of Tamarind extends beyond the neighbourhood itself, acting as a blueprint for future developments. The solution can be applied not only to other newly built neighbourhoods, but also to how we can rebuild existing parts of the city so that they can be connected. Digital solutions and automation are crucial. 

"We used to talk about property automation, but now we're talking about urban automation," says Jonas Tannerstad, Head of Electricity and Automation at ÖrebroBostäder.

Joint project with Hammarby Sjöstad and RISE

When Örebro Municipality embarked on its journey towards a smarter city, it looked to Hammarby Sjöstad as a model of best practice. In Hammarby Sjöstad, ElectriCITY Innovation worked to reduce energy consumption, increase the proportion of renewable energy and reduce the climate impact of individual properties. The next logical step was to create an energy community. Örebro Municipality and Hammarby Sjöstad saw the value in collaborating, being inspired and learning from each other. This dialogue led to contact with RISE, and eventually a joint project exploring the possibilities of locally shared energy.

"In these changing times, it has been important for us to secure our thoughts and plans with RISE, which has a scientific approach," says Jonas Tannerstad.

"RISE has acted as a hub in this and supported us with its expertise. They have helped us to stay at the forefront and ensured that we raise our game. When you're working on a major project like this, it is important to raise the level of everything we do. Furthermore, RISE has assisted us in identifying a potential model for energy sharing," adds Jan Johansson.

Another legal step forward

As Örebro Municipality has discovered, breaking new ground is not easy. The moment energy communities became legal, they became unprofitable due to a tax rule. However, old rules have been changed before. In March 2024, the Tax Tribunal ruled in favour of Tamarinden's property owners to share energy tax-free.

Monica Axell is responsible for research and business development at RISE and is leading the project with Örebro Municipality and Hammarby Sjöstad. She notes that the formation of energy communities is largely about driving change and daring to test.

"Despite various legal processes and external factors, Tamarinden has successfully achieved its project goals. It has demonstrated the feasibility of reducing power peaks, saving energy and increasing locally produced solar electricity, among other achievements."

"We have demonstrated that it is possible."

A number of property companies, other cities and approximately 30 lawyers from the Ministry of Energy and the Environment have conducted study visits to Örebro. "There is a great deal of interest in seeing and understanding what Tamarinden is."

"We now have the building blocks to make Örebro an energy-smart city," says Jonas Tannerstad.

Read more about Tamarinden and another housing project where RISE has studied energy communities as an effective solution for the transition to a robust, resource-efficient and renewable energy system.