NBS-M017 2013 CLIMATE CHANGE GOVERNANCE AND COMPLIANCE Regulation in Electricity Supply The changing face of the Electricity Market in the UK Изменяющееся лицо рынка электроэнергии в Британии N. Keith Tovey, M.A. PhD, C.Eng MICE Н.К.Тови М.А., д-р технических наук Energy Science Director Low Carbon Innovation Centre University of East Anglia, Norwich Руководитель по энергетическим исследованиям Центр экологических инноваций Университет Восточной Англии, Норвич 1 Course WEB Page http://www2.env.uea.ac.uk/energy/energy.htm or http://www.uea.ac.uk/~e680/energy/energy.htm 2 The changing face of the Electricity Market in the UK Изменяющееся лицо рынка электроэнергии в Британии • A brief review of the UK Electricity Industry prior to 1990 under State Ownership. – differences in approach between England / Wales and Scotland. • Fuels used for generation • • • • Fuel Diversity – The Shannon-Wiener Index The Electricity Markets in the 1990s after Privatisation The New Electricity Trading Arrangements NETA (2001) The British Electricity Trading and Transmission Arrangements (BETTA). • The Supply of Electricity since 1990 • Conclusions 3 The Generation and Distribution of Electricity has always been different in Scotland compared to England and Wales (Шотландия всегда отличалась от Англии и Уэльса в плане производства и распределения э/э ) Scotland (Шотландия): Scotland Шотландия Northern Ireland Северная Ирландия England and Wales Англия и Уэльс Two vertically integrated companies supplying discrete areas (Две вертикально интегрированных компании, снабжающие отдельные территории) England and Wales (Англия и Уэльс): One Generating Company (CEGB) and 12 Regional Electricity Suppliers (Одна генерирующая компания (CEGB) и 12 региональных поставщиков). 2000 MW EdF Electricité de France EDF 4 Scotland Шотландия Scottish Hydro Structure of Electricity Supply in early 1990s Структура системы энергоснабжения в начале 1990 г.г. Scotland Шотландия Scottish Power Northern England & Wales NORWEB Yorkshire Англия и Уэльс East Midlands MANWEB Midlands SWALEC SWEB • two companies две компании England and Wales Англия и Уэльс 12 Regional Supply Companies 12 региональных компаний Eastern London Southern Vertical Integration Вертикальная интеграция SEEBOARD also Distributed Network Operators а также распределяющие сетевые операторы 5 Electricity Generation in the UK Производство электроэнергии в Великобритании Coal + Oil Nuclear Gas (CCGT) Renewables Until 2006, growth averaged 1.8% over previous 20 years In recent years gas has overtaken coal as dominant fuel and nuclear has 6 Implications of daily/weekly/monthly variations in fuel use for Electricity Generation The carbon factor for electricity generation in UK is ~ 540g/kWh Varies from • Hour to hour • Day to day • Week to week • Month to month • See www.bmreports.com Current accounting only uses Grid annual average. In future accounting may relate to emissions associated with time of use Thus a heavy industry with high electricity demand in day time could significantly reduce its carbon emissions by operating overnight rather than during day. 7 Daily fuel mix in electricity Generation 11th January 2010 70000 France Hydro Pumped Storage Wind Coal CCGT Nuclear 60000 Data for 11th January 2010 Demand (MW) 50000 40000 30000 20000 10000 0 0 2 4 6 8 10 12 14 16 18 20 22 24 Weekly fuel mix in electricity Generation 11 - 17th January 2010 70000 France Wind Nuclear 60000 Hydro Coal Pumped Storage CCGT Demand (MW) 50000 40000 30000 20000 10000 0 1 Mon Tues Wed Thurs Fri Sat Sun Notice higher proportion of coal used during day time hence a higher carbon emission factor. Shannon – Wiener Index of Fuel Mix Diversity • The Shannon-Weiner Index (H) is defined as: H = - pI ln pI where pi is the proportion of the ith fuel. The index value increases with number of items and also the relative proportions of items 1.2 100% 1 80% 0.8 60% 0.6 40% nuclear 0.4 gas 20% With three fuels, the maximum value reaches 1.09 when all the fuels are in equal proportions. Index 120% In Norway where Hydro provides 99.5%, the index for the three fuels used is just 0.035. 0.2 coal 0% 0 10 Shannon – Wiener Index of Fuel Mix Diversity • Shannon – Wiener Index is a measure of diversity originally developed as a measure of biodiversity. • Higher index values occur with higher diversity. • But there is no absolute upper limit. • There is a maximum diversity index for a given number of fuels (e.g. species, fuels) when all items are in same proportion, but index will be higher for a greater number items. • Index is low if one item dominates Variation in maximum value of Index with number of items. The situation occurs when all items have equal proportion. 2.5 Index 2 1.5 1 0.5 0 0 1 2 3 4 5 6 Items 7 8 9 10 e.g. with 6 fuel types the maximum value of index would be 1.8. 11 Shannon – Wiener Index of Fuel Mix Diversity Exercise Selected link for EXCEL Spreadsheet Template 12 Transmission Network in the UK Scotland Шотландия Transmission throughout England, Wales and Scotland became unified on April 1st 2005 400 kV England and Wales Англия и Уэльс 275 kV 132 kV Historically transmission networks have been different in England and Wales compared to Scotland Исторически, сети передачи э/энергии в Англии и Уэльсе отличались от сетей Шотландии 13 Most Generating Capacity is in the North - most demand is in South MW Interconnector to Scotland +1643 Generating Capacity Surplus/Deficit +7525 on February 12th 18:00 +418 +ve: generating capacity -4709 exceeding demand -ve: demand exceeding generating capacity -1963 Interconnector to France 14 Electricity Generation - pre 1990 • Decision on how electricity was to be generated was done on a generating set basis • Generating Sets to run were selected on Merit Order. • Based on Marginal Costs • (i.e. the fuel costs - цены на нефть) Some generating sets were run OUT of MERIT ORDER where system constraints were an issue. • Generators sold electricity to Regional Electricity Boards • Electricity Boards sold to consumers in their Area only • Prices to consumers varied between regions 15 Privatisation of Electricity Supply Industry 1990 Central Electricity Generating Board Центральное •Coal (Угольные) Fired Power Stations National Power PowerGen •Oil (Нефтяные) Fired Power stations •Gas Turbine (Газовы турбины) Stations Nuclear Electric • Hydro Stations (ГЭС) •Nuclear Stations (Атомные) •Transmission (Трансмиссия) 12 Regional Electricity Companies National Grid Company 12 Regional Electricity Companies 16 60 Typical UK Electricity Demand in Winter 50 2003 and 2005 30 Sat 20 Sun Mon Tue s We d Thurs Fri 4th - 10th January 2003 10 11th - 17th January 2003 12th - 18th February 2005 0 0 24 48 72 96 120 144 168 60 50 40 GW GW 40 30 20 4th January 2003 10 11th January 2003 16th February 2005 0 0 3 6 9 12 15 18 21 24 Hours 17 Comparison of Demand Forecast and Outcome GW Predicted and Actual Demand 27th - 28th September 2008 45 40 35 30 25 20 15 10 5 0 predicted actual 0 6 12 18 24 30 36 42 48 time (hours) Data for 48 hour period covering 27th and 28th September 2008 Note: there was an alert on 28th from period 45 (i.e. 22:30) meaning no actual data is available from this time. 18 Obtaining Information from BMREPORTS • Total Demand for electricity on a half hour basis may be accessed from: www.bmreports.com INDO: Initial Demand Outturn ITSDO: Initial Transmission Demand Out-turn – includes transmission losses etc What is today’s demand: What are today’s wholesale prices? 19 The changing face of the Electricity Market in the UK • A brief review of the UK Electricity Industry prior to 1990. • The Electricity Markets in the 1990s after Privatisation – the first system know as the “Pool”. – Some Countries operate a derivative of the “Pool” • Operation of the Pool – the bidding Process • The New Electricity Trading Arrangements NETA (2001) • The British Electricity Trading and Transmission Arrangements (BETTA). • The Supply of Electricity since 1990 • Conclusions 20 Scottish Nuclear Scottish Hydro (Атомная) * Consumers Потребители Scottish Power Scotland Шотландия Electricité de France PowerGen IndependentsНезависимые The BNFL (Magnox) England and Wales Англия и Уэльс Licensed Consumers Suppliers Лицензирова нные поставщики Потребители IndustryПромышленность Nuclear Electric * Eastern ** Innogy Pool Пул RECs Second Tier Consumers Вторичные потребители 21 The Operation of The Electricity Pool: 1990 – 2001 • Only the Generators (>100 MW) bid into the POOL to supply electricity e.g. National Power (now Innogy), PowerGen etc • The National Grid Company published projected demands for the following day and invited bids • The Generators supplied bids for each generating set in each station for each half-hour period of the following day • The NGC sorted bids to determine which generating sets would be used for each particular period, and which ones would have capacity made available 22 1250 MW 1250 MW 1250 MW 1250 MW 1250 MW 10000 MW Bid from company E £19.50 per MWh Bid from company D £19.40 per MWh Bid from company C £19.32 per MWh 32500 MW Bid from company B £19.31 per MWh Bid from company A £19.20 per MWh (0.96R / kWh) Range of bids from companies in range £18 - £19 per MWh 0.90 - 0.95 Roubles per kWh 10000 MW Range of bids from companies in range £15 - £18 per MWh System Marginal Price = £19.31 SMP 0.75 - 0.9 Roubles per kWh 10000 MW Range of bids from companies in range <£15 per MWh 0.75 Roubles per kWh Companies up to and including B successful £1 ~ 50 Roubles 23 The Operation of The Electricity Pool • All Companies who were successful were paid the SMP for all units generated irrespective of what their bid was • The bids were for the single half-hour period and fresh bids were required for all half hour periods • It was possible for companies to bid £0 and this would guarantee that they generated and paid SMP – However, if all Companies did the same they would have to generate electricity for nothing • In addition to the SMP, there was also a capacity charge relating to the generating capacity which was requested to be available 24 The Operation of The Electricity Pool • Capacity Charge paid to all Generators who had been requested to have capacity available. -based on formula(по формуле): LOLP * (VOLL - SMP) Loss of Load Probability Value of Lost Load VOLL: was set by the Regulator at around £2400 per MWH LOLP: normally a very low figure but could become significant if there was a shortfall in generating Capacity Charge: signal to ensure sufficient capacity was available. Pool Input Price (PIP) = SMP + LOLP * (VOLL - SMP) 25 Электрический пул System Constraints (Система давления): •Some Power Stations constrained “ON” to ensure security of supply even when their bid was more expensive (Некоторые электростанции constrained “ON” обеспечить снабжение, даже в случае более дорогих заявок) •Some Power Stations constrained “OFF” even when their bid was cheaper (-excess of capacity in one region) (Некоторые электростанции constrained “OFF” обеспечить снабжение, даже в случае более дешевых заявок) •Constrained Stations paid their “Bid” Price (уплачивали их «заявочную» цену) •POOL Output Price: (POP) = Pool Input Price + Uplift •Uplift represented the additional charges incurred to National Grid Company because of System Constraints •Suppliers purchased Electricity at Pool Output Price (Поставщики закупают э/э на Пуле по цене производителя) 26 Электрический пул: A Review Need for strong Regulatory Body to ensure prices were not fixed. Evidence suggested price manipulation took place in early years. Regulator required major generators to dispose of some stations. The lack of Demand Side Bidding was a weakness Charges for Transmission Losses were averaged over whole Network. •Customers in North subsidised those in South •Generators in South subsidised those in North • These issues have been partly resolved under BETTA Separate discussions relating to Distribution Charges are also under way 27 Changes in Regional Electricity Companies in the 1990s 1990 Scottish & Southern Scottish Power United Utilities Scottish Power • Take-over Scottish Power takes over MANWEB • Vertical Integration • nPower acquire Midlands • PowerGen acquire East Midlands • United Utilities formed – in NORWEB area PowerGen nPower • Mergers Scottish & Southern c. 1998 Scottish Hydro & Southern become Scottish & Southern 28 The changing face of the Electricity Market in the UK • The New Electricity Trading Arrangements NETA (2001) • The British Electricity Trading and Transmission Arrangements (BETTA). – BETTA essentially extended NETA to cover Scotland. – There were few changes in England and Wales apart from Transmission issues – Operation of the Trading Market remained the same • • • – Although minor modification take place all the time In BETTA Both Generating and Demand Side Bidding Takes Place Most Electricity is traded outside Balancing Mechanism • Favours those who guarantee specific levels of generation/supply in advance • Favours those who can guarantee flexibility in output / demand at short notice. 29 Operation of BETTA The basic principles • • • Основные принципы Generators and Suppliers are penalised if they deviate from their agreed level of generation / supply. System security is maintained via the Balancing Mechanism Renewable Generators e.g. Wind and small CHP (~10 MW) can be adversely affected. • • Generation and Supply focuses on: Balancing Mechanism (BM) Units Generating BM Units: Demand BM Units Trading between Generating and Demand BM Units – Only the volume traded ( not price) has to be notified. 30 NETA/ BETTA The Balancing Mechanism: A Summary • Initial Physical Notification (IPN) – 24 hours in advance System Operator checks sufficient capacity is available. • Final Physical Notification (FPN) Gate Closure for Real Time Period of 30 mins Initially 3.5 hours before REAL Time later reduced to 1 hour. Current Day Day Before Real Time IPN FPN 3.51 hours hour Gate Closure 30 mins Operation of Balancing Mechanism • Changes to contract position cannot be made after Gate Closure • Balancing Mechanism provides System Security 31 NETA/ BETTA: Operation of the The Balancing Mechanism: Generators and suppliers are penalised if they deviate from their contract position at the final physical notification (FPN). The System Operator negotiates with balancing Mechanism (BM) units to increase/decrease the amount of electricity available to maintain system security and ensure system remains stable. • • Case 1: Too little electricity on the system – Generators can OFFER to INCREASE output – Suppliers can OFFER to REDUCE consumption Time OFFER FPN OFFER • Time FPN If OFFER is agreed then Generators / Suppliers are PAID for any electricity increased / reduced under the OFFER. Separate charges apply for these services. 32 The New Electricity Trading Arrangements Новая система оптовой торговли НЕТА The Balancing Mechanism • • Балансирующий механизм To allow system to remain stable Too little electricity on the system – Generators can OFFER to INCREASE output – Suppliers can OFFER to REDUCE consumption Time OFFER FPN OFFER FPN Time • If OFFER is agreed then Generators / Suppliers are PAID for any electricity increased / reduced under the OFFER. 33 The New Electricity Trading Arrangements Case 2: Too much electricity on the system – Generators can BID to REDUCE output – Suppliers can BID to INCREASE consumption Time OFFER Bid FPN OFFER Bid FPN Time • If BID is agreed then Generators / Suppliers PAY for any reduction in generation / increase in demand under the BID. 34 The Balancing Mechanism: Offers and Bids Generators / Suppliers may submit OFFERs or BIDs which differ for different levels of deviation from the Final Physical Notification 50 - 100 MW: £50 per MWh (2.5 Roubles per kWh) 25 - 50 MW: £30 per MWh (1.5 Roubles per kWh) 0 - 25 MW: £20 per MWh (1 Rouble per kWh) FPN окончательная физическая нотификация Example of Differential Offers from a Generator National Grid Company normally accepts OFFERS / BIDS which are cheapest unless System Constraints prevent this. 35 The Balancing Mechanism: Undo Offers/Undo Bids What happens if System Operator has got it wrong? • OFFERs / BIDs cannot be cancelled • UNDO BID removes an OFFER and is usually less than the OFFER • UNDO OFFER removes a BID and is usually more than the BID • OFFERs / UNDO BIDs [ or BIDs / UNDO OFFERs] are submitted in pairs OFFER / UNDO BID: Pair +2 OFFER / UNDO BID: Pair +1 BID / UNDO OFFER: Pair -1 BID / UNDO OFFER: Pair -2 FPN 36 The Balancing Mechanism: Imbalance Charges Charges for imbalance depend on whether BM unit is deviating in same direction as overall system or not. Example shows cases where imbalance is in same direction as system Actual Metered Volume FPN Paid SSP FPN Pays SBP Settled bilaterally between contracting parties Установлено в двустороннем порядке договаривающ имися сторонами Установлено в двустороннем порядке между сторонами Settled bilaterally between parties Actual Metered Volume 37 Distributed Distributed Network Network Ownership Ownership in in 2005 2010/11 2004 Scottish & Southern Iberdrola Scottish Power United Utilities CE Electric UK Regional Supply Ownership ElectricitéNetworks de France UKPower Western Power PowerGen Central Networks Distributed Network Ownership Владение распределите льной сети Aquila Scottish & Southern Scottish Power Iberdrola nPower E.ON (PowerGen) Electricité de France In 2007, Scottish Power became part of Iberdrola 38 Changes when BETTA came into force – April 1st 2005 • Integrated Trading System operating England and Wales with Scotland • Before BETTA – System and Transmission Network Operator in England and Wales was National Grid Company (NGC). – System and Transmission Network Operator in South of Scotland was Scottish Power – System and Transmission Network Operator in North of Scotland was Scottish and Southern • After BETTA – National Grid Company become System Operator for whole of England, Wales and Scotland. – NGC now Transmission operator for England and Wales – In Scotland the two companies now hold the respective transmission Network Licences – Issues of differences in Transmission Protocol had to be resolved – including the use of the Inter connector – Charges for Transmission Losses had to be addressed 39 P/kWh Impact on System Sell and Buy Prices 50 45 40 35 30 25 20 15 10 5 0 Sell Price Buy Price 0 3 6 9 12 15 18 21 Sunday 6th December 2010 0 3 6 9 12 15 18 21 Monday 7th December 2010 Example of System Sell Price (SSP) and System Buy Price (SBP) corresponding with First Point of Triad 2010-2011. 40 Impact on Wholesale Charges How well has it performed since starting on 27th March 2001? Wholesale Electricity Prices 12 10 p/kWh 8 UK becomes net importer of gas Completion of Langeled Gas Line to Norway 6 4 41 2 0 2001 Oil reaches $140 a barrel 2003 2005 2007 2009 2011 Wholesale prices rose rapidly in 2004/2005, fell sharply from mid 2006, rose rapidly since mid 2007 then fell but are less stable. 41 1 2 4 3 5 8 7 Generator Connection Charges under BETTA Плата за подключение к генератору энергоснабжения по BETTA 9 11 10 12 6 13 14 15 19 16 17 18 20 27 21 22 26 A > £25 per kW B £20 to £25 per kW C £15 to £20 per kW D £10 to £15 per kW E £5 to £10 per kW F £0 to £5 per kW G - £5 to £0 per kW H - £10 to -£5 per kW 25 24 23 42 Generation Connection Charges from April 1st 2013 No. Zone Name Tariff (£/kW) 1 North Scotland 25.418971 2 East Aberdeenshire 22.795139 3 Western Highlands 26.146895 4 Skye and Lochalsh 30.251919 5 Eastern Grampian and Tayside 21.546049 6 Central Grampian 19.750208 7 Argyll 18.515568 8 The Trossachs 16.491922 9 Stirlingshire and Fife 16.403825 10 South West Scotland 15.529814 11 Lothian and Borders 12.836108 12 Solway and Cheviot 11.072685 13 North East England 8.641032 14 North Lancashire and The Lakes 7.475188 Note: Updated Values on those in handout and current as of October 2013 These are general charges for each area in addition there are additional charges reflecting the capabilities of the local regions around each substation 43 Generation Connection Charges from April 1st 2013 No. 15 16 17 18 19 20 21 22 23 24 25 26 27 Zone Name South Lancashire, Yorkshire and Humber North Midlands and North Wales South Lincolnshire and North Norfolk Mid Wales and The Midlands Anglesey and Snowdon Pembrokeshire South Wales Cotswold Central London Essex and Kent Oxfordshire, Surrey and Sussex Somerset and Wessex West Devon and Cornwall Tariff (£/kW) 6.342092 5.184032 3.486470 2.442909 7.409039 5.566128 2.916588 0.038756 -4.442372 0.191397 -1.692437 -3.045193 -5.165609 In addition there is a local sub-station tariff which varies from as much as £+5.805051 per kW at Edinbane on Skye in the SHETL area to as little -£0.742416 per kW at Mark Hill in the SPTL area. 44 Demand Connection Charges 2012 - 2013 • Beware!!!! • The TRIAD Approaches!!! on 1st November! What is the TRIAD? A modified measure of peak demand over winter period 45 Demand Connection Charges 2012 - 2013 The Triad occurs in the period 1st November – 28th/29th February It is the mean of the following: 1) The maximum demand in any one half hour in the above time period. 2) The second highest demand in any one half hour provided it is separated from (1) by at least 10 days. 3) The third highest demand in any one half hour period provided that it is separated from (1) and (2) by at least 10 days 46 Demand Connection Charges from April 1st 2013 Demand Zone Name 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Northern Scotland Southern Scotland Northern North West Yorkshire N Wales & Mersey East Midlands Midlands Eastern South Wales South East London Southern South Western TRIAD Demand (£/kW) 11.048877 16.789820 22.346537 25.184470 25.485035 25.631093 28.213308 29.201069 29.891866 27.541773 32.827362 34.083066 33.752057 33.551731 This table has updated figures for 1st October 2013 Energy Consumed (p/kWh) 1.515130 2.362577 3.079732 3.651462 3.508859 3.665429 3.956866 4.148986 4.153363 3.685374 4.564101 4.601445 4.741274 4.598152 47 Example how TRIAD charges can be mitigated Peak demand occurs at time of TRIAD - form process working Shift process by say 2 hours will reduce the TRIAD charge by over 25% or £13628 - see handout 48 NBS-M017 2013 CLIMATE CHANGE GOVERNANCE AND COMPLIANCE 8. Regulated Power Zones and Smart Grids Recipient of James Watt Gold Medal N.K. Tovey (杜伟贤) M.A, PhD, CEng, MICE, CEnv Н.К.Тови М.А., д-р технических наук 49 49 4949 REGULATED POWER ZONES • Transmission and Distribution Networks are critical to electricity security. • Losses on line: = I 2 R where I is the current and R is resistance • the power transmitted P = V * I - V = voltage – Typical UK domestic voltage - 240V – European Voltage 220V – North American Voltage 110V • These are nominal voltages and system must control voltages within a narrow band of this. Losses are reduced by increasing voltage Voltage %loss relative to 240 V 240 100.0% 11000 0.047603% 33000 0.005289% 132000 0.000331% 400000 0.000036% 50 REGULATED POWER ZONES • The consequence of resistive losses is that the transmission and distribution cables heat up and may typically be running at 50o C+ • As they heat up they expand and the cables will sag more at mid-span with a the possibility of a flashover. • This means that there will be less sag when the cable temperature is lower – i.e. in winter and also in times of higher wind speeds when the cooling effect of the wind will be greatest. There is thus a maximum power load that any cable can take and this limits the number of connections that can be made. A further problem with AC transmission is that current flows mostly through the skin with much of the cross section not used effectively. Unlike DC 51 REGULATED POWER ZONES Traditional way to allocate generation connections: • Order of application according to potential maximum connection capacity up to total capacity of transmission/distribution line. • A safe approach which ensures that transmission/ distribution lines are not overloaded. BUT • May not make optimum use of transmission capacity. Example: • Suppose a line has 2000 MW capacity – a typical 400 kV ciruit capcity • Order of connection allocations: – Generator 1: 1000 MW – say with 2 x 500 MW sets – Generator 2: 500 MW – Generator 3: 500 MW – with 2 x 250 MW sets. 52 REGULATED POWER ZONES Generating Sets Total installed capacity Generator 1 2 x 500 MW 1000 MW Generator 2 1 x 500 MW 500 MW Generator 3 2 x 250 MW 500 MW • If all sets are generating – 2000MW i.e. capacity of line and no more sets can connect without the expense of transmission line upgrade. • If generating sets are fossil fuel, then they may have a relatively high load factor and traditionally that has not been a problem. • BUT if say one of Generator 1’s sets is not generating, only 1500 MW of the 2000 MW of the line capacity is used. • BUT no new generators can connect as the inactive set may come back on line. Grandfathering Rights 53 REGULATED POWER ZONES Problem is exacerbated with generating plant of low load factor e.g. wind and was first identified in Orkney where significant renewable generation threatened to seriously overload distribution system. Orkney is connected to mainland by 1 x 30 MW and 1 x 20 MW cable. A fossil fired power station on Flotta associated with the oil terminal must run for safety reasons typically around 4.5 MW. Burgar Hill had historic rights of around 7 MW with the European Marine Energy Centre (EMEC) a further 7MW also in this category. Thereafter there were several other wind developments which threatened to exceed total capacity of cables to mainland as it was assumed that one of the two cables might be out of action giving only a maximum potential connection capacity of 20 MW. 54 REGULATED POWER ZONES Total Historic Generating Capacity ~ 18.5 MW Minimum Demand in Orkney ~ 7 MW Capacity of smaller cable to mainland ~ 20 MW Maximum Generation on Orkney which would not overload single mainland cable is 27 MW – i.e 8.5 MW new capacity could be connected. But EMEC capacity is often 0 MW, and rarely is Burgar Hill at its rated output. If dynamic dispatch of generation capacity is used much more generation could be connected. 55 REGULATED POWER ZONES Evaluate total system capability at any one time C = mainland connection capacity (i.e. 20 or 30 or 50 MW) + instantaneous demand on Orkney Subtract from this those generating connection which have grandfathering rights, but only up to the amount of instantaneous generation (NOT maximum connection rights) This gives maximum additional capacity which can be connected at that time. If this also is done on a first application first served basis, it would be possible to connect much more renewable generation than otherwise possible. However, it may mean that wind turbines at the end of the queue may not be able to generate when wind speed is optimum and returns on investment are best 56 REGULATED POWER ZONES Suppose C = is 10 MW 60 MW – i.e. both cables operating and demand If Flotta output is 7 MW and EMEC is 7MW and Burgar Hill say 3.5 MW (i.e less than rated connection of 7MW as wind speed is low – i.e. instantaneous load factor is 50%) Available additional connection is 60 – 17.5 i.e 42.5 MW If this were take by additional Wind at 50% load factor then 85 MW of additional capacity could connect. BUT if wind speed increased to rated speed of wind turbines, Burgar Hill would now be at 7 MW and available capacity would be 39 MW. If all of this were as wind turbines at rated output (i.e. 100% load factor) only 39 MW could actually generate and 46 MW would have to shut down at the time they were most productive. 57 REGULATED POWER ZONES Consequence of Dynamic Regulation of Power Zone • More effective use of transmission/distribution cables is made • A greater proportion of renewable energy can be brought on line at an earlier stage BUT • Those connecting last may find return on investment poor. Lincolnshire RPZ operates only to transmit power from offshore wind farm • Does not primarily address demand, but cooling effect on cables to minimise sag • In winter – higher wind speeds – greater output capacity from wind turbines • BUT weather is cooler and cooling effect of wind on cables is greater so cables can transmit more 58 SMART GRIDS – DYNAMIC REGULATION of DEMAND ELECTRIC VEHICLES: Widespread deployment of electric vehicles could adversely affect the generation of electricity – leading to less effective use of generating capacity. 80000 Existing peak demand occurs around 17:00 the time when most people return home . Electric Vehicles Normal Demand 70000 Demand (MW) 60000 30000 Owners would potentially would start charging their vehicles potentially exacerbating the load profile 20000 Electric Vehicle demand from Dave Openshaw 50000 40000 0 2 4 6 8 10 12 14 16 18 20 22 24 Time (hrs) http://81.29.73.156/~eeegrdev99/uploads/DOCS/778-20100726131949.pdf 59 SMART GRIDS – DYNAMIC REGULATION of DEMAND Electric Vehicles with Smart Charging 80000 Strategy 2: Encourage people not to charge between 17:00 and 21:00 with a reduced tariff. Assume 75% take this up ~ would remove light green area. 70000 Demand (MW) Strategy 1: Unrestricted charging as per previous slide 60000 50000 40000 30000 20000 0 2 4 6 8 10 12 14 16 18 20 22 24 Time (hrs) Strategy 3: Discharge remaining store in car batteries to help existing peak. i.e. move green area to red – at further reduced tariff – example shows 25% of people adopting this. 60 SMART GRIDS – DYNAMIC REGULATION of DEMAND HEAT Pumps: Widespread deployment of Heat Pumps would exacerbate electricity demand 100000 90000 Heat Pumps Normal Demand 80000 Demand (MW) 70000 60000 50000 40000 30000 20000 10000 0 0 2 4 6 8 10 12 14 16 18 20 22 24 Time (hrs) Heat Pump demand from Dave Openshaw http://81.29.73.156/~eeegrdev99/uploads/DOCS/778-20100726131949.pdf 61 SMART GRIDS – DYNAMIC REGULATION of DEMAND 100000 90000 80000 Demand (MW) 70000 60000 50000 displaced demand 40000 trough 30000 Peak Lopped 20000 morning peak regulated HP demand 10000 Normal Demand 0 0 2 4 6 8 10 12 14 Time (hrs) 16 18 20 22 24 There is a less “peaky” demand from heat pumps than electric vehicles because of thermal store benefits from under floor heating, Use of an additional thermal store could help further to fill mid-day peak and lop peak morning and evening periods for charge overnight. 62