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ENERGY AND SUSTAINABILITY: A GLOBAL CHALLENGE FOR POWER SYSTEMS DEVELOPMENT. EXCHANGING EXPERIENCES AND SOLUTIONS BETWEEN LOCAL AND INTERNATIONAL PROFESSIONALS Technical Conference of Study Committee C3 - October 31, 2007 Mossel Bay (Western Cape, South Africa) by Antonio Negri, Chairman Fiona Havenga, South African Member Introduction Environment and sustainable development are not new subjects for CIGRE, but the Study Committee C3 is a recent one, established in 2002, with a rather broad scope of work and spectrum of activities. Therefore there is a strong need to compare our mission and strategy with the real needs of power system operators and stakeholders. The invitation from the South Africa CIGRE NC to organize a conference on “Energy and Sustainability”, jointly with the annual meeting of SC C3, was considered a great opportunity to exchange experiences and solutions, both at global and local level. 35 international experts and more than 100 South African delegates, from Power Utilities, R&D Institutions and Public Administration convened, to discuss topics ranging from Climate Changes, energy alternatives, planning and environmental assessment methods, Power Systems operation impacts and biodiversity protection. Climate Change Climate Change has been discussed by Francisco Parada (Portugal) after an introduction by Mark Gordon (South Africa) focused on the strategy and perspectives toward a sustainable energy future for the Western Cape Province, with target for 2015 as follows: 15% generation from RES (Renewable Energy Sources), 10% gain in energy efficiency and 15% reduction in CO2 emissions. 841010195 page 1 Climate is changing: higher mean global temperatures, higher frequency of extreme temperature values, worldwide decrease of snow cover and growing melting of glaciers, sea level rise, greater intensity of tropical and extra-tropical cyclones, increase of heat-waves and drought. It is very likely, according to IPCC (Intergovernmental Panel on Climate Change) recent reports, that these changes are caused by the increase of GHG (greenhouse gases) concentration, of anthropogenic origin. Climate Change is a global scale problem: therefore is a global responsibility to tackle with it, though not evenly distributed (see Figure 1). Figure 1 - Territory size shows the proportion between GHG emitted by each country and global GHG emissions, measured in GWP (Global Warming Potential) Climate Change is also an economic problem. According to the recent document “The Economics of Climate Change – The Stern Review”, the costs of stabilizing the climate are significant but manageable; delay would be dangerous and much more costly due to: - overall costs and risks of climate change will be equivalent to loosing 5% of the global GDP each year; - the estimate of damages can rise to 20% of global GDP. Action on Climate Change is required across all countries, because it demands an international response based on a shared understanding of long-term goals and agreement on frameworks for action. Europe has to face a double challenge: obtain a deep reduction in GHG emissions and try to adapt to the changing climate conditions. European strategy is based on the following four pillars: • cutting GHG emissions by at least 20%; • improving energy efficiency by 20%; • raising the share of renewable energy to 20%; • increasing the level of bio-fuels in transport to 10%. Energy options and strategy The main energy generation options have been presented by Birgit Bodlund (Sweden), taking into account their specific characteristics and he environmental impacts. 841010195 page 2 Comparison among the main energy alternatives has also been discussed, using the LCA approach, because the main environmental impact occurs in different life cycle phases for different power technologies. Figure 2 – Sketch of the main energy generation options An even more comprehensive approach has also been proposed and described through application examples, i.e. the EPD (Environmental Product Declaration), based on ISO 14025 Standard, which includes: - Life Cycle Assessment (LCA); - Study of impacts on biodiversity; - Environmental Risk Assessment (ERA); - Radiology. An example of LCA applied to Power Sector has been presented by Thomas Smolka (Germany), dealing with a comparison among Ultra High voltage (i.e. 1000 kV AC and 800 kV DC) and “standard” high voltage (i.e. 420 kV AC) systems. The analysis took into account both the direct impacts (e.g. visual impact, Right of Way –ROW- dimensions) and the indirect ones (i.e. greenhouse gases emission, in term of GWP, due to transmission losses). Considering transmission capacities over 6 GW and long transmission distances, UHV transmission systems will bring up environmental benefits, as follows: 1000 kV UHV AC 800 kV UHV DC 841010195 Higher impacts due to the construction of 1000 kV AC Lower losses, i.e. possible reduction of GWP by 46% compared to 420 kV AC Minimum environmental impacts in all cases (power-mix, construction and transmission losses), i.e. GWP reduction by 73% compared to 420 kV AC page 3 Another very promising option for comparing different energy systems, taking into account their global impact and both environmental and economic cost/benefit, has been presented by Hector Soilbenzon (Argentina), who illustrated the “eMergy” method. Wendy Poulton (South Africa) discussed the second phase of the WBCSD (World Business Council on Sustainable Development) “Electric Utilities Project”, and described the approach adopted by Eskom in South Africa to fulfil the goal of the project, where six key areas have been defined: – Diversification of the generation mix to lower carbon emitting technologies; – Energy efficiency measures to reduce demand and greenhouse gas and other emissions; – Adaptation to the negative impacts of climate change; – Innovation through research, demonstration and development; – Investment through carbon market mechanisms; – Progress through advocacy, partnerships and collaboration. Some particularly relevant Power Sector actions to fulfil the above mentioned goals have been presented during the Conference, namely: Carbon Capture and Storage (CCS), Energy Efficiency promotion and Demand Side Management (DSM). A pilot experience from Norway in Carbon Capture and Storage has been discussed by Asle Selfors (Norway), where the feasibility has been assessed of CO2 capture from a 420 MW CCGT plant at Kårstø, West coast of Norway, and storage into the Sleipner oil field in the North Sea. Key economic and technical figures are as follows: Economic data Plant construction costs 800 mil US $ Annual operating cost 55 mil US $ Costs per ton of CO2 120 US $ CCS costs per MWh 43 US $ Total costs per MWh 90 US $ Technical data CO2 recovery rate Plant efficiency without CCS Plant efficiency with CCS Power requirement for capture Power requirement for compression 85 % 58 % 49 % 12 – 13 MW 15 – 17 MW The captured CO2 can be used for EOR (Enhanced Oil Recovery), getting up to 4 – 7 % more oil from the field. However, in the pilot case analyzed, the costs for the extraction operations interruption, to adopt EOR, are deemed too high. As a conclusion, it can be stated that the CCS technology is available, however the energy from plants with CCS is much more expensive. Further development of the technologies may, to some extent, reduce CCS costs. High prices of CO2 allowances in the future may make CCS more feasible. Masanobu Katagiri and Yasuhide Nakagami (Japan), presented the Japanese energy situation and the efforts to prevent Global Warming by the Electric Utility Industry. In the period 2008-2012, the Electric Utility Industry aims to reduce CO2 emissions factor (emissions per unit of electricity) by approximately 20% from the 1990 level, to about 0.34 kg- CO2/kWh. In particular, Kansai, launched the so-called ERA Strategy, i.e. Efficiency, Reduction and activities Abroad. Efficiency Reduction Promoting more efficient use of Increase the thermal efficiency of energy by customers (e.g. Heat generation plants Pumps for hot water production) Development and spread of renew- Promoting nuclear power gen- 841010195 page 4 Activities Abroad Afforestation projects Projects abroad utilizing Kyoto able energy sources Protocol mechanism eration Renovating hydro-power plants Developing fuel gas decarbonizing technologies Finally, Monkwe Mpye (South Africa), described the DSM (Demand Side Management) programs of Eskom. Electricity demand in South Africa is steadily growing by 3% a year. To face this trend, DSM can give a substantial contribution, being an alternative to the realization of additional generation plant. Eskom goals are to achieve and sustain 3,000 MW of Demand Management savings by 2012 (and proportionally higher energy savings across the consumption profile) and to achieve 8,000 MW of savings by 2025. The DSM program can be summarized in 12 points to be implemented until 2012, whose most important are: - Set clear but flexible demand (MW) and energy (GWh) growth targets; - Create national awareness and savings messages; - Promote national policy and regulation changes; - Ensure effective collaboration between all role players; - Revise national tariff structures; - Launch contingency projects using alternative energy. The environmental assessment in Power System expansion planning Strategic Environmental Assessment (SEA), also called Environmental Evaluation of Plans and Programs, is becoming a normal practice in many Countries (e.g. EU, Brazil, South Africa, Canada), as part of the planning process for large infrastructure and/or service projects. It is –thereforealso applicable to the development of Power Systems. Even in countries where the electricity market liberalisation is well established, SEA may be requested e.g. for the planning of new transmission links and/or new generation plants, mainly for choice among alternative locations or types of infrastructure. Ricardo Furtado (Brazil) and Paul Lochner (South Africa) presented two experience of SEA development and application in their respective countries, while Glen Singleton (Canada) had a speech about Cumulative Environmental Effects evaluation as part of SEA and, more generally, of Integrated Environmental Assessment. The concept of Strategic Environmental Assessment – SEA has been used in Brazil since the 1990’s. In 2004 the Integrated Environmental Assessment methodology was developed to identify and analyze the cumulative and synergic effects of the environmental impacts caused by the set of hydroelectric plants in a hydrographical basin. Finally, last year, the Integrated Environmental Assessment (IEA) methodology has been incorporated to the reviewing process of the Hydroelectric Inventory Studies Guidelines. IEA goals are as follows: - Develop sustainability indicators for the basin; - Map the conflict and socio-environmental fragile areas, as well as the potentialities related to the hydroelectric projects; - Identify socio-environmental guidelines to the conception of new hydroelectric projects; - Define recommendations to: o Evaluate the uncertainty regarding the available data (detail and acquisition); o Integrate activities for the planned and existing projects in the basin; 841010195 page 5 o Assess the viability for future projects. Figure 3 – Integrated Environmental Assessment (IEA) methodology In South Africa a Sustainability-focused SEA model has been adopted, to integrate environmental considerations into strategic decision-making, to facilitate the move toward sustainability. Such an approach provides a sustainability framework (similar to international “sustainability assessment”) and set limits of environmental quality. This approach should be adaptive, context-specific and with a focus on Plans and Programmes (not on Policy). Main activity sectors where South Africa featured SEA experience include forestry and mining, energy, biodiversity and water resources, ports and transport. Exceptional number of SEAs have been conducted, especially for a developing country without SEA legislation (more than 50 SEAs in period 1996-2004), however results from SEAs are not being used yet and SEA do not appear to be influencing decision-making. Cumulative Environmental Effects evaluation (CEA) can be seen as the study of the effects on the environment which result from a project or activity when combined with those of other past, existing and imminent projects and activities. These may occur over different times and distances. Since electricity generation and transmission projects can have major direct and cumulative effects, it is reasonable to expect that long term integrated electricity plans (IEPs) should be accompanied by both SEA and CEA. There is also an emerging need to include sustainability in the IEP process. This can be accomplished if the “valued ecosystem components” (VECs), to be analysed in the cumulative effects assessment, is taken in its general sense to embody measurable sustainability parameters. Power Systems operation impacts The issue of “corridors management” for existing Overhead lines (OHL) appears to be of increasing importance, because OHL acceptance is decreasing in most countries, while OHL assets are getting older as it is more and more difficult to build new ones. The presentation of Etienne Serres (France) focused on the interaction between OHL corridors and protected areas and on neighbors relationship. 841010195 page 6 The Transmission System Operator (TSO) has to identify and to update every protected area crossed by OHL corridors, using Geographical Information System (GIS) able to import data from environmental protection authorities, and to establish suitable procedures, allowing to fulfill legal requirements during maintenance and normal operation. The importance of establishing faithful relationship from the beginning with neighbors has been highlighted, with fair indemnifications, best if based on national agreements. Also the need of keeping neighbors informed about maintenance program if affected, on an individual basis (if possible), has been stressed, together with the reduction of environmental impacts of works, especially tree pruning and towers painting. Last but not least, the need for a good communication with the stakeholders has been highlighted, with quick responses to the question raised by local people and authorities. The presentation by Hein Vosloo (South Africa) discusses the types of interactions between environment and transmission lines and the various measures and technologies, developed by Eskom to achieve the best performance as well as the minimum environmental impact, during the total life cycle of transmission lines. The management of servitudes in Eskom's Transmission division poses special challenges. First of all, Eskom has committed itself to sound environmental management; therefore it is mandatory to reduce as much as possible the impact of transmission lines on the environment. On the other side, because of the abundance of birds and of the high occurrence of fires and lightning. there is also a severe impact of the surrounding environment on the reliability and quality of the electricity that Eskom supplies to its customers (some 600 line faults per year). Yolan Friedmann (South Africa) gave the last technical presentation, dedicated to Biodiversity Protection. She reviewed the 4th UNEP Report, the UN Report “Millennium Ecosystem Assessment” and the “South African Environmental Outlook”, all of which highlight the deteriorating situation of biodiversity throughout the world and in Africa in particular. The main action to focus on are: - protect key ecological systems linked to freshwater supply; - expand Protected Areas networks to incorporate key systems, e.g. rivers, and create sustainable funding mechanisms; - give economic incentives for local communities to manage and restore land, forests, water, etc; - include business community in seeking solutions. She finally invited Africa to break from historical models of resources exploitation and asked to national governments to develop effective strategies within the context of Millennium Development Goals. The conference has been concluded with a presentation by Curtis Marean (USA), who gave us a fascinating insight about the origins of Homo Sapiens. Curtis discovered, in a cave at Pinnacle Point (near Mossel Bay), one of the most ancient human settlements in coastal areas, where lithic manufactured objects and ochre pigments have been found, dated back to 164,000 years ago. The presence of the “fynbos” (rich and diversified local flora) and the rich shellfish beds along the coast of South Africa provided a crucial environment for the origins of modern humans. 841010195 page 7