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Electricity Networks – Future Challenges Mike Leppard Energy Networks Association Utility Arboriculture Conference – July 2010 1 | Energy Networks Association 12 July 2010 ENA Membership - Transmission ENA Members: CE Electric UK Central Networks EDF Energy Electricity North West Limited Fulcrum Inexus National Grid Northern Gas Networks Northern Ireland Electricity plc Scottish and Southern Energy ScottishPower Wales & West Utilities Western Power Distribution 2 | Energy Networks Association 12 July 2010 ENA Membership - Distribution ENA Members: CE Electric UK Central Networks EDF Energy Electricity North West Limited Fulcrum Inexus National Grid Northern Gas Networks Northern Ireland Electricity plc Scottish and Southern Energy ScottishPower Wales & West Utilities Western Power Distribution 3 | Energy Networks Association 12 July 2010 History >SAFELEC 2000 > Approved by EA Board in July 1999 > Framework document identifying broad areas for co-operation between “Management, Trade Unions and HSE” 4 | Energy Networks Association 12 July 2010 Developing a new strategy > Build on SAFELEC 2010 > Relevant to industry now and in 2015 > Include generation, transmission and distribution > Focus on occupational health AND safety 5 | Energy Networks Association 12 July 2010 Powering improvement > Strategy: ENA and AEP member companies, trade unions and HSE commit to build on our partnership approach to bring about continuous improvements in the management of safety and occupational health in the electricity sector in the 5 years leading up to 2015. We will do this by supporting the priorities in the HSE strategy, in particular the themes of leadership, worker involvement and improving competence, to proactively manage the risks that cause real harm and suffering. 6 | Energy Networks Association 12 July 2010 HSE strategy Health and Safety of Great Britain: Be part of the solution > Investigations and securing justice > Encourage strong leadership > Build competence > Involve workforce > Target key health issues > Avoid catastrophe (HILP) > Take a wider perspective 7 | Energy Networks Association 12 July 2010 Powering improvement Key Strategy Themes: 3 over-arching themes running throughout 5 years of strategy: Leadership Improving competence Worker involvement 8 | Energy Networks Association 12 July 2010 Powering improvement Annual Themes: 2010 2011 2012 2013 2014 Leadership Occupational Health / Well-being Asset management / Maintenance Behavioural safety / Personal responsibility Beyond 2015 – Next steps 9 | Energy Networks Association 12 July 2010 Electricity sources 10 | Energy Networks Association 12 July 2010 Electricity future 11 | Energy Networks Association 12 July 2010 Europe - smart grids 12 | Energy Networks Association 12 July 2010 Source: European Commission European SmartGrids Technology Platform 13 | Energy Networks Association 12 July 2010 The smart network The smart network will see the distribution system move from a passive (one way) power flow to an active (two way) system where the customer can export (sell back) additional energy they do not need. Source: European Commission European SmartGrids Technology Platform 14 | Energy Networks Association 12 July 2010 Shaping the Energy Networks of Tomorrow R&D Prototyping Demonstration Deployment Job Vision done Business Case Standards 15 | Energy Networks Association Certification Risk Management 12 July 2010 Shaping the Energy Networks of Tomorrow Energy Smart Homes Smart City Rural Comm -unity Smart Electric Transport Smart Network 16 | Energy Networks Association 12 July 2010 Shaping the Energy Networks of Tomorrow 17 | Energy Networks Association 12 July 2010 Smart Meters Operational issues and opportunities 18 | Energy Networks Association 12 July 2010 Smart technology > To move beyond early adopters needs to be simple and trouble free > Smart technology can respond to price signals to: – Turn down thermostat for half an hour – Automatic off-peak use of washing machines – Charge electric vehicles at times of low demand and high generation – Make real-time energy use decisions > Customers in control could choose between: – Certainty of response – Cheaper interruptible tariff, or – Degrees of green-ness > Need to educate consumers 19 | Energy Networks Association 12 July 2010 Smart Roll out • Smart metering roll out will help enable a low carbon future • EU drive for member states to install Smart Meters, most EU states have programmes in place • Smart Meter Working Group established to identify the functional requirements of the meters from a DNO perspective and influence government decision making • Part of a larger project to ultimately provide a smart grid across the UK • Largest ever single project undertaken within our industry • Around 47 million meter replacements required 20 | Energy Networks Association 12 July 2010 Electric vehicles 21 | Energy Networks Association 12 July 2010 Electric Vehicles • Energy Technologies Institute Joined-Cities Plan • Areas of high road transport CO2 emissions • Network of recharging points for PHEV / EVs • Access to recharging facilities in any participating major UK city Source: ETI 22 | Energy Networks Association 12 July 2010 Shaping the Energy Networks of Tomorrow Smart Village Smart City Centre Smart Retail Park Smart Residential Smart Town Centre 23 | Energy Networks Association Smart Campus 12 July 2010 Energy Networks Futures Group • • • • • • • • Established in January 2009 Nine Workstreams – Electricity Networks Transmission and Distribution Scenarios – Smart metering – Heat and Energy saving – Electric Vehicles – Smart Grids – Feed in Tariffs – Gas Futures – ICT ENA fully supported the ENSG smart grids working group Two Projects: ‘Reality 2020’ and ‘Cool Use of Energy’ Low Carbon Networks Fund database Merging of Engineering Committee and ENFG to form the Electricity Networks and Futures Group (ENFG). ENA’s position - 2050 CO2 reduction targets will be met by an energy solution. ENA smart grid representation in Europe (Eurelectric and GEODE). 24 | Energy Networks Association 12 July 2010 Shaping the Energy Networks • Skills – ENA Training & Competency Committee – National Skills Academy for Power – Energy and Utility Skills (Sector Skills Council) – Power Sector Strategic Skills Group (P3SG) – Age profile of workforce – Network operator/contractor working – New skills from futures work 25 | Energy Networks Association 12 July 2010 Energy Challenges 26 | Energy Networks Association 12 July 2010 Low Carbon Transition • EU 20/20/20 targets – a 20% cut in emissions of greenhouse gases by 2020, compared with 1990 levels; a 20% increase in the share of renewables in the energy mix; and a 20% cut in energy consumption. • The 2008 Climate Change Act – made Britain the first country in the world to set legally binding ‘carbon budgets’, aiming to cut UK emissions by 34% by 2020 and at least 80% by 2050 • Low Carbon Transition Plan • Renewable Energy Strategy 27 | Energy Networks Association 12 July 2010 Adaptation response Observed temperatures Simulated temperatures 2060s 2040s We are already committed to this from past emissions 2003 Source Met Office Hadley Centre 28 | Energy Networks Association 12 July 2010 Temperature effects 2020s Higher Agricultural yields +1.6ºC Lower winter deaths Infrastructure risks 2050s Risks to biodiversity +2.7ºC Heat related deaths Risk to Food Security 2080s +3.9ºC South-East England central estimate Medium emissions 29 | Energy Networks Association 12 July 2010 Rainfall effects 2020s +6% 2050s +13% Increased winter flooding Increased subsidence Risks to urban drainage Severe Transport disruption Risks of national Infrastructure 2080s +16% North West central estimate Medium Emissions 30 | Energy Networks Association 12 July 2010 Adaptation response Environmental challenges > Impact of climate change on electricity networks (UKCIP09 scenarios): Temperature: Precipitation: Sea level: Storm surge: Wind storms: Ice storms: Gradual annual increase UK wide Seasonal increases Uniform UK increase Increased frequency and severity Increased frequency and severity Increased frequency and severity > Climate change risk assessment: Requirement to report under Climate Change Act 2008 31 | Energy Networks Association 12 July 2010