Local Energy Devolution in in Practice Dan Nicholls Cornwall Council
Cornwall’s journey - local energy economy
Cornwall’s energy spend
Cornwall Devolution Deal
Devolution focus
Supporting communities Supporting the growth of community energy in Cornwall and beyond
Supporting communities - Funding Cornwall Revolving Loan Fund • £800k loaned • £1m committed • 1.5MW enabled
Supporting communities - Planning http://www.cornwall.gov.uk/renewableenergy
Supporting communities - Innovation Cornwall Devolution Deal • Community heat (off gas) • Community supply
Green transport Developing the largest rural electric vehicle charging network
Electric car charging network
Affordable homes Opening up ECO to local people that need it
Energy efficiency
Green economy Fostering green innovation, new technologies and opportunity
New capacity and local ownership
New technologies
Smart & local energy market
Cornwall’s local energy economy
LED installation in Street Lighting and other Energy projects in Gloucestershire Peter Wiggins Outcome Manager, Community Infrastructure Commissioning ‘Place’
How we got here…….. • 60,000 street lights – costing £2m per year to keep lit • Electricity costs expected to rise, 57% of service spend and requiring annual growth bids • Energy efficiency projects – dimming, part night lighting (gone about as far as we could go) • 53% of CO 2 footprint (excl schools) • Carbon reduction target, 60% by 2020/21 – not achievable without significant change in street lighting
LED Technology • Mainstream solution • Up to 50% energy saving, can then be dimmed • 70% reduction in maintenance cost, fewer faults • Better light quality – whiter so easier to see • Less light pollution – better focussed • Lighting for residential areas relatively mature • Traffic routes need brighter lighting – more expensive but also more energy efficient, cost still likely to fall as matures
Example of LED Scheme Before After
Market Engagement Event • Test our assumptions • Whether right to time to enter market • Scale – county-wide, market towns, Glos & Chelt • Whether CMS advanced enough, eg common TALQ platform • Financial modelling, PWLB rates
Street Lighting Budget Requirements including Energy from Waste 14 £ Millions Street Lighting Budget (energy, 12 maintenance, CRC) Business as Usual, no LED @ market energy rate 10 8 6 Cost avoidance 4 2 Cashable savings (after investment repaid) 0
Street Lighting Budget Requirements including Energy from Waste 14 £ Millions Street Lighting Budget (energy, 12 maintenance, CRC) Business as Usual, no LED @ market energy rate 10 Business as Usual, no LED @ Energy from Waste facility energy rate 8 £1.1m budget shortfall to 2016/17 6 Cost avoidance 4 2 Cashable savings (after investment repaid) 0
Street Lighting Budget Requirements including Energy from Waste 14 £ Millions - traffic routes last, 60% GCC Funded, 70% dimming with CMS Street Lighting Budget (energy, 12 maintenance, CRC) Business as Usual, no LED @ market energy rate 10 Business as Usual, no LED @ Energy from Waste facility energy rate 8 LED with CMS - Glos-wide 60% GCC £1.7m cost funding and 75% CMS coverage avoidance, MTC2 Driver replacement 6 MTC2 Cost avoidance 4 2 Cashable savings Cashable saving Initial investment repaid (after investment repaid) -
Funding £m DfT Challenge Fund 5 Salix Energy Efficiency Loans (SEELS) 4.7 GCC Salix Recycling Fund 1.5 GCC Capital Receipts 2.5 Total £13.7m
12.0 2.5 Street Lighting, LED with CMS Implications 10.0 2.0 Energy Cost (£Millions) CO2 (thousand tonnes) 8.0 1.5 6.0 1.0 4.0 0.5 2.0 0.0 0.0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Financial Year Start Street Lighting CO2 Street Lighting CO2 Forecast Street Lighting £ Street Lighting £ Forecast
Carbon progress against 60% reduction 30 target on 2006/07 baseline Actual Emissions 25 Predicted Business CO 2 (thousand tonnes) as Usual Emissions 20 Rebaselined Predicted Business 15 as Usual Emissions Target Emissions 10 Emissions in CO2 reduction plan 5 - Financial Year Start
Further Energy Work Done almost all we can energy efficiency-wise • Insulation – loft, wall, pipes • Heating & lighting upgrades and controls, remote BEMS • Office rationalisation • Shire Hall refurbishment, inc cladding, new windows, open plan, thin client • ICT – server virtualisation, moved off-site, upgrades • LED street lighting with CMS, bollard de-illumination, LED signs & bollards Saving over £1m a year
Further Energy Work Now set to become a net electricity producer • Residual Waste Project, Energy from Waste plant 2019 o 116,000 MWh generation • Renewable energy generation o £12.7m for ground-mounted solar (GMS), approved by Cabinet on the day DECC published subsidy consultation o Now putting in grid connections for battery storage, some with GMS to follow, plus solar car ports inc private wire o Working with APSE Energy
Local Advisory Adaptation Partnership (LAAP) • Established 2011 - forum for Local Government, Central Government and arm’s length delivery bodies o Key role in shaping the Local Government Chapter of the National Adaptation Programme report (NAP), published in July 2013 • Now chaired by Gloucestershire County Council o Inc reps of Climate UK; Local Authorities; DEFRA; the Environment Agency and the Local Government Association (LGA) • Series of meeting to better understand the risks to areas that are being impacted by climate change • ADEPT will help to input technical advice, with political input via the LGA
LAAP • Meetings around the CCRA receptors o July 2016 Infrastructure o Sep 2016 Heat & Built Environment o Nov 2016 Natural Capital o Jan 2017 Public Health • Outputs will help to identify any gaps in existing Government policy and suggest modifications to policy to improve the country’s resilience to climate change • Submit for inclusion within the next iteration of the National Adaption Programme (NAP) due to be published in 2018
LAAP If anyone is interested in becoming more involved or have colleagues who might assist, please contact Nigel Riglar, LAAP Chair at nigel.riglar@gloucestershire.gov.uk
Thank you Peter Wiggins Outcome Manager Commissioning Gloucestershire County Council 01452 328538 peter.wiggins@gloucestershire.gov.uk
A Guide to Delivering a Standalone Battery Project This guide has been created to provide Local Authorities with all the necessary information and reasons to instigate a strategy to deliver a standalone battery programme.
What Is Standalone Battery Storage? Answer : It is a battery on a small parcel of ground that has no requirement for renewable energy generation Electricity is purchased from the grid when prices are at their lowest and then resold between 4-7pm during the Red Zone when the highest prices can be obtained. This transaction is controlled by an ‘energy trader’ whose responsibility it is to manage the battery and maximise the financial income achievable. The battery must be carefully ‘specified’ to be able to charge and discharge quickly in order to for the process to be repeated at peak times. The quicker the process, the greater the revenue earning potential. Procurement of energy trader and battery must be managed as a package. Electricity purchased at low costs in early morning Electricity sold at higher prices 4pm-7pm
Reasons To Consider Standalone Battery Storage? Reason 1 : Financial Returns - Attractive income for 10+ years - Capital repayment within 7 years Reason 2 : Urgency is Required - Limited connection capacity in the grid Private developers are ‘capacity bagging’ in the same way as they did with ground mounted solar - National Grid’s storage contracts have been allocated to energy traders who are allocating them to - battery owners on a first come basis LOCAL AUTHORITIES SHOULD MAKE FORMAL GRID APPLICATIONS BY DECEMBER 2016 TO SECURE THEIR POSITION WITH THE GRID Reason 3 : Small Parcels of Land Required - 1 MW of Battery Storage = 40ft container = 90 sq m of land required Reason 4 : Local Authority Can Choose Level of Financial Risk and Financial Reward - Three possible options available Reason 5 : De Risked Delivery Process - Asset Utilities can de-risk the delivery process and provide the local authorities with investment options to match a risk and reward profile
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