Grid Connections: Now and the Future 10th November 2010 Patrick Smart Head of Commercial and Regulatory www.senergyworld.com Agenda • Introduction to SEL • Overview of Grid and Grid Process • Technical challenges • National Grid’s impact on renewables • How to manage Grid risk • The future of grid connections Senergy Econnect Ltd • Established as Econnect in 1995 • Grid connection of all renewable generation technologies • Hagshaw Hill, North Hoyle – Landmark projects for UK Renewables • Electrical Engineering and Commercial and Regulatory Consulting • Now part of Senergy Group, based in Newcastle The GB Network Overview of Electricity Industry 1 Transmission GB System Operator 3 transmission owners 14 Distribution Network Operators (7 companies) NGETL NGETL Scottish Power, Scottish Hydro-Electric Distribution Network Areas Securing Grid Capacity • Accept a connection offer – …which generally requires a down payment (£70K to £200k for commercial onshore wind) – …and a commitment to progress construction • So when do I initiate the grid process? Planning or grid first? • Some information in the public domain – DNO Long Term Development Statements. DNO Connection Process • DNOs obliged to offer terms to connect to network • Submit competent application (likely DNO up front fee in the near future) • Offer within 3 months • Open for acceptance for 30 days or 3 months. Can normally be extended but not guaranteed. • Acceptance usually requires initial down payment – to cover detailed studies and design. DNO Point of Connection Offers • Non-contestable connection works only • New Standards in effect from 1 October 2010 • Obliged to offer budget estimates within set period (20 WDs for commercial projects) • PoC Offers - DNO liable for compensation of £150 per day late!!!! (for applications received after 1 October 2010…..) • All works offers – DNOs to include 4% margin on contestable works Connection Offer Process • Offers of terms for connection open for acceptance for 30 days or 3 months. • Can normally be extended but this is not guaranteed. • Acceptance usually requires initial down payment - £70K to £200k • Obligation to agree construction programme DNO Connection Offer Content • Outline of connection solution • Outline of DNO works, reinforcements and construction program • Technical and communication requirements • User’s obligation (design to ENA standards) • Price (often indicative until contracts placed) • Connection cost and risk project specific Connection Offer Process – National Grid • Transmission System Impact • Dash for Wind in late 2004 / 2005. • Massive shortfall of grid capacity relative to applications / agreements (note not necessarily consented wind) • The “GB Queue” • Much of the GB Queue connecting at distribution voltage Connection Offer Process– National Grid Connection Offer Process– National Grid • Managed through embedded bilateral agreements and the Statement of Works process • “Large” generators must enter into a bilateral agreement (BELLA or BEGA) • Small / medium generators may be referred to National Grid for a “Statement of Works”. • National Grid responds with view on transmission system impact Key Technical Considerations Three main network problems: • Thermal capacity • Fault levels • Voltage rise Further technical considerations: • Harmonics • Voltage Flicker • Design requirements (e.g. G59) If you cause technical problems, your connection will take longer to complete and be more expensive. Thermal Capacity Overhead line Safety clearance Transformers • Overheating leads to insulation failure • Reverse power flow capability? Switchgear • Overheating leads to insulation failure Cables • Overheating leads to insulation failure Fault Currents Primary Substation Distribution Feeder Fault Current Fault Current G Contribution of current to a fault on network can lead to an overstressing of existing switchgear and is a major limiting factor to the connection of embedded generation Substation Voltage Rise Overhead line Voltage max min Substation Voltage Rise - Mitigation maximise generation Voltage max GenAVC min Within limits Connection Offer Process – Key Messages • Assess grid early (publicly available information) • Engage with the DNO and stay in touch • Ask about National Grid impact • Plan submission of connection application in light of process delays and obligation to commit c£100k • Reflect outputs from assessment and DNO liaison in application Future Grid Connections Transmission Generators Transmission Network Transmission Generators Network Owners Distribution Network Distribution Generators Consumers Grid Connections in the Future • Regulatory reform – RIIO (Revenue Incentives Innovation Outputs) • Key principles – Focus on outputs and delivery (more from assets) – Longer term view (decarbonisation) – Reward for higher performance – Encourage innovation (prizes) • “£32 billion” of investment required • What does that mean for grid connections…? Grid Connections in the Future • Who knows….watch the RIIO space..BUT • Opportunities for new technologies / techniques to raise long term efficiency • Smart Grids (?) – from dynamic substation control to domestic load switching. • Electrical efficiency of connecting close to significant points of demand. • Extend on the principle of negative GDUoS for HV connections. Patrick Smart Head of Commercial & Regulatory 0191 238 7344 patrick.smart@senergyworld.com