The UK still has a long way to go to wean itself off fossil fuels.
Speaking to a packed room at the Future Networks conference in Birmingham – sponsored by Costain, Schneider Electric, Siemens and Burns McDonnell – Phil Taylor, the event chair, said the rapid growth of renewables can sometime create a false sense of progress.
“I do think we sometimes fool ourselves, myself included, that we’re doing wonderfully well because we’ve got to about 30 per cent on electricity,” he explained. “But we’ve got to look at this and realise that there’s a massive set of challenges left.”
Whilst renewables now make up more than a quarter of the generation mix, the UK still relies on fossil fuels for more than four fifths of its total energy consumption.
As the director of the National Centre for Energy Systems Integration, Taylor emphasised the importance of whole-systems thinking to overcoming the addiction.
Renewable generation has left many areas of the electricity network congested, “whereas we’ve got lot of spare capacity and capability in some of our other energy networks”.
He said one of the main focuses of energy networks should therefore be utilising this spare capacity through cross-vector transfers. The conversion losses can be overlooked when the alternative is paying to turn down zero marginal cost generation – essentially wasting free energy.
Decarbonising the energy system will obviously require innovation, something which networks haven’t been known for in the past.
Illiana Portugues, head of innovation at National Grid Electricity Transmission, questioned why they have gained a reputation for inertia when she has seen, and been part of, so much innovation throughout her own career. “Why, irrespective of all of the work we’ve done as industry to innovate and drive technologies forward for the benefits of consumers, are we not considered innovative?” she pondered.
Always reacting
Portugues identified the problem as being one of scope, listing three types of innovation: core, adjacent and transformative.
She scrutinised NGET’s innovation portfolio and found the vast majority (94 per cent) was focused on core operations – the “here and now” improvements, which deliver short-term benefits. The outcome is that they are “always reacting to the world around us. Reacting to a certain problem”.
“We do not control the technology,” she added. “We are always innovating to fit the technological developments of others.”
Portugues said if networks can lead transformative technological developments, rather than just reacting to them, then they will not only be able to predict the future better but also be part of its creation.
Power Potential project manager at National Grid, Biljana Stojkovska, described how the company is working with UK Power Networks to maintain voltage stability on the transmission network in the South East of England by creating a market for active and reactive power populated by distributed energy resources.
Up until now, there is has only been a market for transmission-connected assets.
Ali Reza Ahmadi, power systems development engineer at UK Power Networks said they have already designed the distributed energy resource management system (DERMS) which will receive requests from National Grid, select the best response and send instructions to the relevant assets.
They are now building the system. The next stage is trials and testing.
With a ban of the sale of petrol and diesel engines cars coming in 2040, one of the foremost challenges for electricity networks is how to accommodate a growing number of electric vehicles on the grid, without driving up bills for consumers.
As with the rollout of renewables, this means making the best use out of the existing network.
Mike Dale, innovation engineer at Western Power Distribution (WPD), said there is fortunately lots of spare capacity to play with, at least outside of peak hours.
Dale said WPD’s Electric Nation smart charging trial has found that most electric vehicles are plugged in for far longer than they need to be. This means there is plenty of potential to shift demand away from peak hours, in particular towards the overnight period when the power grid is operating at a fraction of its full capacity.
He said the trial had also found the public to be very accepting of smart charging, so long as it is explained to them properly.
Smart charging
Dan Bentham, head of research and development for smart customers at EDF Energy, whilst this may be true, consumers also want the ability to opt out of smart charging when it suits them. He said there needs to be last resort mechanism in place to constrain electric vehicle charging in instances where the power grid is at risk of becoming overloaded.
Scottish and Southern Electricity Networks head of innovation and asset management Stewart Reid, said as electricity network attempt to squeeze the most use out of their assets using smart and flexible solutions, they need to be aware of the risks they are taking on.
He said the flexible operation of the power grid brings with it a number of new threats to resilience from communications breakdowns and smart tech failures to swings in customer behaviour and trading partners going bust.
“There’s a tipping point with investment in flexibility where you start to pay a price in terms of the resilience of the system,” he explained.
Further in the distance is the decarbonisation of heat, where are a large question mark remains.
The government intends to make a decision on the long-term future of the sector in the mid-2020s once it has gathered more evidence on the options – electrification, hydrogen networks or a mix of the two.
“What we’re not seeing across government, I’m afraid to say, is clarity on heat policy,” said Energy Networks Association director of policy Tony Glover.
“I know there is work happening on this,” he added, “but I fear that we are not going to get the clarity we need, particularly within the context of RIIO2.”
Wales and West Utilities has been helping the government towards a decision by trialling the use of hybrid heating systems through its Freedom project in South Wales.
Public debate
Director of asset management Chris Clarke said hybrid heating, combining heat pumps with a conventional gas boiler, could offer the best of both worlds.
The heat pump can do most of the work, utilising surplus renewable generation and spare grid capacity, to maintain a flat temperature throughout most of the day. When demand spikes and the grid becomes congested, the gas boiler can step in to provide a short burst of heat. Those taking part in trial have seen their gas use fall by 50 to 70 per cent, said Clarke.
Whatever route the government takes, the impact on the lives of consumers will likely be far more noticeable than has been the case with the power sector so far.
Glover said there must therefore be more public debate of this contentious issue: “I don’t actually think the energy transition has been part of the debate for the general public.
“All they see are headlines about bills going up… They don’t have the details.”
Speaker views
Phil Taylor, director, National Centre for Energy Systems Integration
“I do think we sometimes fool ourselves, myself included, that we’re doing wonderfully well because we’ve got to about 30 per cent on electricity. But we’ve got to look at this and realise that there’s a massive set of challenges left”.
Illiana Portugues, head of innovation, National Grid Electricity Transmission
“We do not control the technology. We are always innovating to fit the technological developments of others”.
Stewart Reid, head of innovation and asset management, Scottish and Southern Electricity Networks
“There’s a tipping point with investment in flexibility where you start to pay a price in terms of the resilience of the system.”
Jonathan Brearley, executive director for system and networks, Ofgem
“I am more worried about a sector that’s still ends up using the same solutions and finding out we’ve charged customers far too much money for a service which should be a lot cheaper, than I am about a company trying too much and failing”.
Tony Glover, director of policy, Energy Networks Association
“I don’t actually think the energy transition has been part of the debate for the general public. All they see are headlines about bills going up… They don’t have the details.”