This paper proposes a clear pathway for making local electricity distribution networks “active.” Active operation means distribution system operators (DSOs) use local measurements, communications and market processes to control small generators, flexible loads and batteries in low‑voltage (LV) neighbourhood grids instead of only building more wires. The authors frame the need for this change around rising rooftop solar, controllable demand, storage and the rollout of intelligent meters.

To reach that goal the researchers analysed German and European rules and standards and then organised the technical and organizational challenges into three main pillars. They produced a structured system overview that spells out the main actors (DSOs, metering point operators, suppliers, aggregators and customers), the needed data flows, and the key research questions. They then translate this analysis into a practical, four‑phase roadmap for moving from concept to real grids.

The three pillars are: (1) measurement placement and observability — deciding which meters and sensors are needed so DSOs can estimate the local state of the LV grid; (2) secure and interoperable information and communication interfaces — building data paths and protocols that meet German and EU rules (for example the Smart Meter Gateway, the Metering Point Operation Act, national cyber guidance by the Federal Office for Information Security, the NIS2 directive and the EU AI Act); and (3) combining market‑based and grid‑oriented optimisation — using transparent flexibility markets alongside direct grid interventions allowed under the German Energy Industry Act (EnWG) sections §14a (grid‑oriented congestion management) and §14c (market‑based flexibility procurement).

The paper’s four‑phase roadmap begins with defining requirements and use cases, moves to method development and simulation, then laboratory and field validation, and finally roll‑out with system‑level feedback. This staged approach is intended to help DSOs and researchers coordinate measurement strategies, communication systems and market rules so flexibility from households and small generators can be used reliably to avoid local congestion.