cbi energy conference: david smith
DESCRIPTION
David Smith, chief executive, ENA, at the CBI's energy conference. London, September 2010.TRANSCRIPT
Energy Networks Association
The Road To A Smart Grid
David Smith, Chief Executive ENA
15 September 20101 | Energy Networks Association
Outline
• The need for a smart grid• The challenges – Optimise the networks
Gas Electricity
– Choice for customers• Smart, smart, smart• The challenges facing us• Next steps
15 September 20102 | Energy Networks Association
ENA: Who We Are (Transmission)
15 September 20103 | Energy Networks Association
Electricity
ENA Members:
CE Electric UK
Central Networks
EDF Energy
Electricity North West
Fulcrum
Inexus
National Grid
Northern Gas Networks
Northern Ireland Electricity
Scottish and Southern Energy
Scottish Power
Gas Wales & West Utilities
Western Power Distribution
ENA: Who We Are (Distribution)
15 September 20104 | Energy Networks Association
Electricity
ENA Members:
CE Electric UK
Central Networks
EDF Energy
Electricity North West
Fulcrum
Inexus
National Grid
Northern Gas Networks
Northern Ireland Electricity
Scottish and Southern Energy
Scottish Power
Gas Wales & West Utilities
Western Power Distribution
The Scenario to Date
• The supply industry has provided electricity and gas to customers on demand where and when they want it.
• Generation has been run to match load, with some price signals to improve load curve (Economy 7) and reduce investment needs.
• Gas is delivered from many diverse sources – north sea, Europe via the interconnector and LNG.
• Networks have brought these two together.
15 September 20105 | Energy Networks Association
Low Carbon
• Low Carbon brings new challenges
15 September 20106 | Energy Networks Association
Shaping the Energy Networks of Tomorrow
• Energy networks are vital to the delivery of our low-carbon future and as such gas and electricity networks will be at the heart of the transformation needed.
• This transformation will be different in shape and nature from anything that has gone before.
• ENA and its members are: Already addressing the challengesProactively engaged with government, regulators
and key stakeholdersRecognised as the ‘organisation to contact’ to
discuss future energy networks
15 September 20107 | Energy Networks Association
Networks Futures Group (ENFG)
ENFG work streams• Transmission/Distribution scenarios• Smart metering• Heat and Energy Saving Strategy• Electric Vehicles• Smart Grids• Gas Futures – including bio-methane, AD and CCS• Feed-in-Tariffs• ICT
15 September 20108 | Energy Networks Association
Getting Smarter
• We cannot change the laws of physics.• We will still need to generate electricity and move it to
where it is needed and ensure gas is available for baseline generation.
• But we can do this more effectively through:•Active demand side response•Active customer engagement
Improve energy efficiencyShift time of useMicrogeneration management
15 September 20109 | Energy Networks Association
Shaping the Energy Networks of Tomorrow
TSB
Potential Collaboration projects eg:
IFI
Development funding and incentives eg:
Foundation projects
: the
elements of Smart Grids
Demonstration
projects
in
representative
areas
The
Smart UK
electricity grid
projects
projects
….
….
….
….
Smart
cities
Smart
communities
Smart
rural
First stage
Roll-out
&
Commercial
Deployment
Smart
urban
Smart
rural
Smart
communitiesRPZ
LCNF
ETI
FP7
RDAsIntegration
Integration
15 September 201010 | Energy Networks Association
Shaping the Energy Networks of Tomorrow
Standards Certification Risk Management
Job done
R&D Prototyping Demonstration Deployment
Business Case
Vision
15 September 201011 | Energy Networks Association
Shaping the Energy Networks of Tomorrow
Smart
Village
Energy Smart Homes
Smart Electric Transport
Smart Village Network
15 September 201012 | Energy Networks Association
Generation Transmission Distribution Meters & Markets Customers Transport Heat
Le
ve
l o
f a
dv
an
ce
me
nt
Dynamic Plant Ratings (weather and demand shape)
Fault Level Limiters
On-line condition monitoring
Overhead Line Hot Wiring and novel conductor types
Flow control devices (Q/B & Phase Shifters)
Intelligent Voltage Control DG feeders
Wide Area Monitoring WAM and PMU
Distribution Automation
EV charging facilities
EV smart charging
EV charging control / ancillary service – public
Mid-scale storageLarger-scale storage
Larger-scale storage Micro-scale storage - domestic UPS, local zone integration, aggregated services
Smart Metering AMM, 2-way communication
Displays and home interfaces
Capacity Management – smart home management
Microgeneration – aggregated services
Off-grid home UPS capability
EV charging control / ancillary service – domestic
Off-shore wind integration
Cross-border stronger links and op. services
Fast/intelligent system defence measures
Smart Meter ‘Final Node’ information for network optimisation
Losses managementLosses management
Self-healing grids dynamic islanding
Planned Islanding capabilities / microgrid
Off shore grids
DC Continental Grid
Intelligent Appliances
Active Network Management
Wind Generator / Network Integration
Off shore to On shore integration
CC&S / network integration
Ancillary services renewable sources
V2G smart EVs
Intelligent charging EVs
Rapid charge facilities
Battery exchange facils
Industrial/comm EVs
Linear charging
CHP integration
Electricity for gas substitution
Heat Pumps
Direct heating top up
Smart Grids with Smart users – Secure, Cost Efficient, and Sustainable – End-to-End Intelligence & InnovationSmart Networks + Smart Cities + Smart Homes + Smart Buildings + Smart Transportation (road, train)
Building to Grid
Demand side management
Off-shore pumped storage (Energy Island concept)
Enablers
Technical Standards
Simulation & Modeling
Certification and Type Tests
Commissioning and verification techniques
Laboratory Testing (industrial scale)
Demonstrator Network Testing
Communication
Embedded wind, CHP, Hydro
Waveform conditioning
‘Smart Rural’ options’
Strong potential
Potential
15 September 201013 | Energy Networks Association
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 CommissionEuropean SmartGrids Technology Platform
15 September 201014 | Energy Networks Association
Shaping the Energy Networks of Tomorrow – Barriers (1)
1. Lack of international technical standards results in barriers to wide area roll-out and loss of economy of scale, efficient procurement and interoperability.
2. Lack of consistency across the UK in network planning guidance and standards resulting in poor sharing of knowledge, limited collaboration and inefficient relationships with manufacturers.
3. The above points can also result in stranded assets in the long term (when standards etc. catch up).
4. Low interoperability, poor plug & play capability, no roaming capability, user frustration.
5. Adverse public and media reaction through lack of understanding, excessive complexity for the user, and lack of political support (for example where smart systems are misinterpreted as ‘big brother’).
15 September 201015 | Energy Networks Association
Shaping the Energy Networks of Tomorrow – Barriers (2)
6. While the basic technology elements for smart systems largely exist, there is much to be done to integrate them into working smart systems suitable for the UK and able to interface successfully between new systems and the legacy systems.
7. Successful demonstration projects that do not have scalable capability resulting in ‘false dawns’ and inability to deliver the customer benefits at a material level.
8. Smart meter roll-out is delayed in critical locations which then delays smart grid implementation.
9. Regulatory frameworks do not fully accommodate new initiatives, such as DSM, storage and Virtual Power Plant.
10. Insufficient incentives for communities and individual users to engage in the smart initiatives.
15 September 201016 | Energy Networks Association
Customers Choice
• Smart•Real-time displays
• Remotely read meters
• Smart• Financial incentives
Time-of-use, cost-reflective tariffs Customers able to modify usage Major awareness programme with customers
15 September 201017 | Energy Networks Association
Smart
• 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
15 September 201018 | Energy Networks Association
Source: European CommissionEuropean SmartGrids Technology Platform
15 September 201019 | Energy Networks Association