Projects
Projects: Projects for Investigator |
||
| Reference Number | NIA_CAD0102 | |
| Title | Hydrogen Blending Implementation Plan | |
| Status | Started | |
| Energy Categories | Hydrogen and Fuel Cells(Hydrogen, Other infrastructure and systems R&D) 100%; | |
| Research Types | Applied Research and Development 100% | |
| Science and Technology Fields | ENGINEERING AND TECHNOLOGY (Mechanical, Aeronautical and Manufacturing Engineering) 100% | |
| UKERC Cross Cutting Characterisation | Not Cross-cutting 100% | |
| Principal Investigator |
Project Contact Cadent Gas |
|
| Award Type | Network Innovation Allowance | |
| Funding Source | Ofgem | |
| Start Date | 01 October 2024 | |
| End Date | 31 October 2025 | |
| Duration | ENA months | |
| Total Grant Value | £1,155,000 | |
| Industrial Sectors | Energy | |
| Region | London | |
| Programme | Network Innovation Allowance | |
| Investigators | Principal Investigator | Project Contact , Cadent Gas |
| Other Investigator | Project Contact , Cadent Eastern Project Contact , Cadent North London Project Contact , Cadent West Midlands Project Contact , Cadent North West |
|
| Industrial Collaborator | Project Contact , Northern Gas Networks Project Contact , SGN Project Contact , Wales and West Utilities |
|
| Web Site | https://smarter.energynetworks.org/projects/NIA_CAD0102 |
|
| Objectives | The networks have selected KPMG to deliver a 12-month programme focusing on the development of the final market frameworks blending delivery model and a full operational implementation plan. As the supplier, KPMG will bring a wealth of experience from other hydrogen-focussed decarbonisation work including HyDeploy and East Coast Hydrogen. KPMG will assist with the design of the projects market framework and operational readiness changes by evidence gathering, optioneering, analysing options, and making recommendations to the networks project steering group for final decisions and sign-off.KPMG will also lead on industry and stakeholder engagement activities, in order to ensure that the views of parties such as producers, shippers, Ofgem, and DESNEZ are considered. This engagement will be crucial in ensuring that the policy intent of government is reflected, and that any new market framework and operational procedures provide a solution for industry that is investible and deliverable.The KPMG Phase 2A project will be structured into the following stages:Stage 1: MobilisationForecasted to run for a period of two-months, the Mobilisation stage aims to achieve the following objectives: All working group members will be onboarded, with the programme structure, roles and responsibilities, and governance clearly defined; A clear hierarchy of delivery principles will be created, that will in turn inform the development of a process used by the project to evaluate options and make decisions on market framework and operational changes;The following activities will be completed in order to ensure that the Mobilisation stage objectives are achieved: Terms of Reference and the overall project governance structure will be confirmed, ensuring that roles and responsibilities and the accountability for making decisions is clearly understood by all parties; The gas networks and KPMG will agree the mechanism for engaging external stakeholders and the process for considering their views in overall decision making; Establish the membership, frequency, and documentation that will support the projects various working groups; Work with external stakeholders to co-create high-level design principles and priorities, and seek endorsement from DESNEZ and Ofgem;Stage 2: ShortlistingForecasted to run for a period of four-months, the Shortlisting stage aims to achieve the following objectives: To identify consolidated shortlists of viable options for modifications across all market framework and operational readiness workstreams, and develop an understanding of how the options interact with one another when formed as an overall strategy;The following activities will be completed in order to ensure that the Shortlisting stage objectives are achieved: To list all identified options across each of the decision areas (e.g. capacity, connections, nominations etc.) and note inter-dependencies and interactions between them; Conduct high-level assessments of operational feasibility and resource requirements for each option; Assess longlist of options against the process that was devised in the Mobilisation stage, and identify shortlisted options to progress into the next stages of the project;Stage 3: FinalisationForecasted to run for a period of four-months, the Finalisation stage aims to achieve the following objectives: To determine minded-to-positions on the suite of market framework and operational readiness changes that comprise the holistic final blending delivery model; Produce detailed assessment papers that provide evidence in support of the minded-to-positions;The following activities will be completed in order to ensure that the Finalisation stage objectives are achieved: Complete detailed options cross-compatibility assessments and an interactions map to demonstrate that the minded-to-position selections do not preclude other viable options from being considered; To determine the scoring and weighting criteria for the final assessment and to develop an optimum sequencing of decision-making between the different workstreams; Score and assess the shortlisted options to create final minded-to blending delivery model;Stage 4: Delivery PreparationsForecasted to run for a period of two-months, the Delivery Preparations stage aims to achieve the following objectives: To finalise the delivery model, through engaging key industry stakeholders and incorporating their feedback where appropriate; To prepare the operational readiness delivery plan;The following activities will be completed in order to ensure that the Delivery Preparations stage objectives are achieved:Conduct effective engagement with industry stakeholders to ensure that holistic views are considered and that the finalised delivery model provides solutions that are investible and deliverable;Delivery WorkstreamsEach of the above project stages objectives and activities will be split across distinct workstreams. Each workstream will be comprised of subject matter experts from the gas network funders and KPMG. The workstreams will be responsible for refining the identified design options into shortlists and making recommendations to the steering group.Adopting the same approach as the Phase 1 project, the 2A workstreams will be split into: Market Frameworks Operational Readiness Project PipelineMarket Frameworks workstreamThis workstream will develop and define the market framework changes necessary to permit hydrogen blending within the GB gas networks. It will create a change-management programme for coordinating the design of modifications to key gas network frameworks such as: the Uniform Network Code, the Xoserve Data Services Contract, ancillary agreements such as Network Entry Agreements, and network charging statements.KPMG and the gas networks have [1 | |
| Abstract | Following the successful completion of Phase 1 in 2023, the gas networks have engaged with KPMG to design the market frameworks modifications necessary to facilitate hydrogen blending, and to develop a full operational implementation plan.Running from mid-2024 for a period of twelve-months, the Phase 2A project will define how ahydrogen blend-ready network will operate, and prepare a full set of detailed, implementation plans. Key decisions are required across the full range of market frameworks, as well as a clear view of the operational impacts from the ongoing safety assessment between HyDeploy and the HSE.Mobilisation will begin in Summer 2024, whilst the main design stage will run for 8 months from September to April 2025, with project completion planned for June 2025. | |
| Data | No related datasets |
|
| Projects | No related projects |
|
| Publications | No related publications |
|
| Added to Database | 02/04/25 | |
