SMART GRID DEVELOPMENTS IN THE UK

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21 Νοε 2013 (πριν από 3 χρόνια και 10 μήνες)

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SMART GRID DEVELOPMENTS IN THE UK



CLEAN ENERGY, GOOD GOVERNANCE AND ELECTRICITY
REGULATION

CAPE TOWN 19
-
21 MAY 2010


DR GILL OWEN, PROJECT DIRECTOR,SERN,

WARWICK BUSINESS SCHOOL, UK



OUTLINE OF PRESENTATION


Role of REEEP and SERN


UK sustainable energy policy context


UK policies for renewable energy,
energy efficiency


Smart meters


Smart grids



WHAT IS REEEP ?


Renewable Energy and Energy Efficiency
Partnership
-
Initiated by UK at World Summit on
Sustainable Development, 2002


Coalition of progressive governments, businesses
and organisations
-

to tackle policy and financial
barriers to energy efficiency, CHP and renewable
energy



sustainable energy


Aims to improve energy security, foster economic
growth, support greater social equity and reduce
environmental impacts of energy consumption and
production.






SUSTAINABLE ENERGY REGULATION
NETWORK(SERN)


Sustainable energy regulation network (SERN)
-

for
those involved in energy market and monopoly
regulation
-

regulators, government departments and
other stakeholders. F
acilitates information exchange
between regulators and others to :


secure greater understanding of the benefits of
energy efficiency,renewable energy and distributed
generation

(sustainable energy)


secure regulatory mechanisms that incentivise
sustainable energy


SERN activities : Policy and regulatory review; good
practice guides & case studies;E mail network and
database; training and capacity building




UK SUSTAINABLE ENERGY
POLICY CONTEXT


Climate Change Act 2008 commits the UK to at least
an 80% reduction in greenhouse gas emissions by
2050, compared to 1990 levels.


The Government has put in place a set of five year
carbon budgets to 2022 and set out action plans to
achieve the targets within those budgets

(
July 2009
-

‘The UK Low Carbon Transition Plan


National
Strategy for Climate and Energy’)


Despite change of Government in May 2010 this
context unlikely to change significantly


cross party
agreement.


Range of policies for different sectors (households,
businesses etc) and for energy efficiency and
renewables


these may be subject to some change.



UK RENEWABLE ENERGY
POLICIES


The UK has signed up to the EU Renewable Energy
Directive
-

a UK target of 15 percent of energy from
renewables by 2020. Electricity target is 30%.


Equivalent to a seven
-
fold increase in UK renewable
energy from 2008 levels: the most challenging of any
EU Member State.


Policies include the Renewables Obligation (since
2000) and now (2010) feed
-
in tariffs for small scale
renewable electricity.


Renewable heat incentive (feed
-
in tariff for heat)
from 2011.




ENERGY EFFICIENCY POLICIES


Carbon Emissions Reduction Target (formerly
Energy Efficiency Commitment
-

since 2002).


Electricity and gas suppliers have targets to reduce
energy use and emissions amongst household
customers


subsidise energy saving measures to
achieve this. Main measures have been CFLs, loft
and cavity wall insulation.


Previous and new Government have plans to scale
up investment in energy saving via whole house
upgrades


probably delivered via energy suppliers.


Looking for integration of incentives for renewables
(feed in and RHI) and energy saving


links into
smart grid idea.




KEY CONTEXT FOR SMART GRID
DEVELOPMENT
-

SMART METERS


EU Energy Services Directive


May 2008. Requires
accurate and informative metering


a key driver for
smart meters.


A
ll businesses and homes should have gas and
electricity smart meters by 2020


consultation on
roll
-
out model.


The

Government’s

Meter

Impact

Assessment

identifies

energy

savings

(via

improved

feedback

and

new

tariffs

that

incentivise

demand

response)as

the

largest

economic

value

in

the

overall

analysis

of

benefits

from

smart

meters
.








WHAT IS A SMART METER ?


Measures energy consumed

-

quantity and when


Two
-
way communication


meter
-
supplier


Stores data electronically and transfers it to a data
collector / utility


Can facilitate various tariff options e.g. time of use,
rising block etc


to incentivise demand response


Can have a user friendly customer display for
consumption and tariff information conveniently
located


again helps stimulate demand response


Meter on
-
site generation (e.g. small scale
renewables)


link to feed
-
in tariffs



UK SMART GRID DEFINITION


A Smart Grid can integrate actions of generators and
consumers to deliver sustainable, economic and
secure electricity supplies.A Smart Grid employs
communications, innovative products and services,
intelligent monitoring and control technologies to:


Facilitate connection of generators of all sizes and
technologies


Enable demand side to play a part in optimising the
operation of the system


Provide consumers with more information and choice


Significantly reduce environmental impact of
electricity system


Deliver reliability, flexibility, quality and security




CHALLENGES DRIVING SMART GRID
DEVELOPMENT


Smart grids could enable a radical change to power
system and accelerate carbon reduction.


Enable demand
-
side response
-

fast alternative to
carbon
-
intensive generation and reduce need for grid
reinforcement. Lower cost of low carbon transition.


Help provide cost
-
effective management of
intermittent renewables and integration of transport
and heating electrification


Facilitate real
-
time balancing


will become more
important due to intermittent generation,


Energy security
-

increasing network capacity to
manage technical risk of connecting new generation
and changing demand patterns



LOW CARBON NETWORKS FUND


2009 Distribution Price Control Review (DPCR5) by
Ofgem


to establish incentives, revenues and
expenditure allowed for the Distribution Network
Operators (DNOs) from 2010
-
15.


Included a £500m Low Carbon Networks Fund to
support ‘large
-
scale trials of advanced technology
including smart grids’


Bids for the Fund have to be led by DNOs


DNOs encouraged to
partner with suppliers,
generators and others to explore how networks can
facilitate take up of electric vehicles, heat pumps,
micro
-
generation and demand side management,
and the opportunities smart meters will provide to
network companies.




CONCLUSIONS


Smart grids attracting a lot of interest, given their
potential to assist with two key energy policy goals


security and reducing carbon emissions


Key potential is to integrate demand and supply side
to deliver energy security and a low carbon economy
cost effectively


Developments in the UK, as in most other countries,
are at an early stage


Installation of smart meters and policies such as the
Low Carbon Networks Fund (many countries have
similar initiatives) should help to make the transition.



CONTACT DETAILS



Dr Gill Owen, Project Director, SERN


Centre for Management under Regulation,
University of Warwick Business School, UK


gill.owen@reeep.org


www.reeep.org


To join SERN

-

send an E mail to
xavier.lemaire@reeep.org