presentation by pj rudden european strategic … · european strategic technologies (set) plan...
TRANSCRIPT
European Strategic Technologies (SET) Plan Conference Dublin
7th-8th May 2013‘A European Regional Success
Story – The ISLES Project’
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Presentation by PJ RuddenGroup Director Energy & EnvironmentRPS Group
ISLES Development Zone is extensive
Circa 16GW ‘potential’ resource
Regional approach has better economics of scale and creates more interconnection between countries
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Potential ISLES Development Zone
To provide an exemplar regional study as to how integrated offshore networks can be developed in a cross jurisdictional environment for ISLES.Generate a coherent study which identifies the necessary Development Pathways and informs government bodies of the necessary changes to regulation and legislation that may be needed to enable an effective integrated solution.The study was built on a firm technical, engineering and costing base to provide confidence in feasibility and viability assessments Contribute significantly to the broader North Seas and European Grid studies. Results will provide a blueprint for future integrated developments based on specific development plans for offshore resources. This could potentially be the further phases of ISLES supported by European funding. Study needs to reflect on and evaluate near term opportunity and identify longer term potential having regard to EU SET Plan objectives.
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Underpinning Objectives of the ISLES Project
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ISLES – Study Road Map
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Ireland’s Tidal Energy Resource
Shannon Velocity Map
Viable Resource
Practical Resource
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For the first time, tidal–generated electricity is fed directly into the UK national grid.
RPS designed a twin-pile structure, installed at EMEC in Orkney off Scotland, which is now operating as a test-bed for Openhydro’sdevelopment programme.
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Northern ISLES Concept Southern ISLES Concept
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Key ISLES Technology Areas Strategic Energy Technologies (SET)
Identification of requirements;Development of a technology road map to identify where any potential restrictions may exist either on the supply chain or technical capability
Offshore TransmissionOffshore SubstationsSubsea CablingOnshore Connection
‐ Cable manufacture ‐ Specialised vessels for installation/repair
‐ Long lays and jointing operations in energetic seas
‐ Offshore renewables generators (wind, wave, tidal)
‐ Subsea substations‐Wet mate connectors
Offshore Collector
Onshore Converter StationOffshore Collector
‐Multi‐terminal operation‐ System voltage standardisation
‐ Offshore HVDC substation‐ Platform installation
Onshore Converter Station
‐ HVDC converter‐ Substation footprint‐ Landfall to substation‐ Directional drilling
‐ upgrade/develop new transmission corridors
‐ 1GW per circuit (SQSS)‐ FACTS technology‐ System balancing
Onshore Transmission Network
Consumer Demand
Consumer DemandConsumer Demand
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Summary Conclusions
There are no significant adverse technical or environmental constraints to routing, positioning and construction although the landfall points will present challenges
Co-ordination of construction of an integrated network has the potential to reduce overall environmental impacts
Due to the cross border nature of ISLES, there are particular challenges in navigating both complex and evolving onshore / offshore planning and licensing regimes across three jurisdictions
Environmental benefits in the order of 100 million metric tonnes of C02 emissions savings could result from Northern and Southern ISLES implementation
Planning & Environment
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Key policy / regulatory areas to be addressed to allow ISLES become a reality:
Create some form of anticipatory investment model for co-ordinated offshore build to allow phased build and commitment to future phases to support generation investment
Develop regulatory model which redefines the fundamental distinction between interconnection and connection for offshore generation
Recommend an approach to subsidies where they are paid for by the consumer state rather than the state generating the energy
A transmission pricing regime which is seen to be equitable and affordable for generators while ensuring offshore network owners earn sufficient return
Developing an approach acceptable to EU for cross border contributions to meeting targets
Regulatory
Summary Conclusions
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ISLES Capital Cost is order of £5.6 billion (€7 b) for combined Northern and Southern ISLES equating to circa £1 million (€1.2 m) / MW of offshore network capacity
Level of subsidy required for generation connected to ISLES to be bankable is in region £79 – 85 (€98 – 106) / MWh equivalent to 1.8 – 1.9 ROCs
ISLES combines interconnection and generation and thus a case can be made for synergistic benefits by increasing the utilisation of the network – thus saving approx £170 million (€212 m) per annum for Southern ISLES. This reduces subsidy to £74.5 (€93) / MWh
Economics & Business Case (1)
Summary Conclusions
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Level of renewable subsidy is sensitive to variations in wind turbine load factors – for instance, wind resource supporting ISLES will have improved load factor over projects on East coast of England
Lower planning risk considerations than stand alone projects
ISLES is a transparent mechanism for trading of renewable subsidies between Member States
Environmental benefits in the order of 100 million metric tonnes of CO2 emissions result from implementation of Northern & Southern ISLES (42 million tonnes for Northern ISLES and 58 million tonnes for Southern ISLES)
Economics & Business Case (2)
Summary Conclusions
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We have established a credible marine resource that could be developed post 2020 comparable with technology maturity and market expectations for scale and timing.We have developed realistic credible concepts for an ISLES transmission network in the context of the EU SET Plan having regard to future offshore and onshore transmission capacity, environmental considerations, available technology cost and potential supply chain limitations.We have tested the technical and economic feasibility of ISLES in relation to energy policy, planning and licensing/consenting regimes, regulatory and infrastructure scenarios and identify key sensitivities.We have informed government and industry thinking on policy and market changes required to facilitate and streamline the development of such a network in a techno-efficient manner.In fact, the ISLES Report has set the agenda for bulk energy export from Ireland and there are now many projects which are following this established concept and innovative regulatory approach. We must now build on this regional concept to optimise low carbon infrastructure as recommended in the SET Plan approach.
What success has ISLES achieved?
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The Full ISLES Report – 12 Volumes
