Results:

The project aims to improve the understanding of the opportunity for and implications of moving to more integrated multi vector energy networks in the future. Future energy systems could use infrastructure very differently to how they are employed today. Several individual energy vectors - electricity, gas and hydrogen - are capable of delivering multiple services and there are other services that can be met or delivered by more than one vector or network.

This document is submitted as Deliverable 2.1 under the ETI’s Multi-vector Integration Project

The material is adapted from the presentation provided to the project steering group at the WP2 Case Study definitions workshop held in London on August 2nd 2016

The main objectives of this workshop were to:

• For each case, agree the system configurations of multi-vector (MV) and single-vector (SV) instances
• Discuss the degrees of freedom available in each case that can be used to optimise the MV and SV configurations
• Agree the expected outputs from the modelling that will be used to calculate the multi-vector case benefit
• Discuss the inputs required for each case and for the “global scenarios” and the data sources tobe used
• Agree the exogenous parameters of interest for each MV solution model

The shortlist was: -

1. Domestic scale heat pumps and peak gas boilers.
2. Gas CHP and Heat Pumps supplying district heating and individual building heating loads.
3. PHEV switching fuel demand from electricity to petrol or diesel.
4. RES to H₂/RES to CH₄
5. RES to DH and Distributed Smart Heating (“virtual” DH networks)
6. Anaerobic Digestion/Gasification to CHP or grid injection

This document is the transcript of the oral evidence given by Stephen Gifford, Chief Economist, on the House of Commons Business and Trade Committee inquiry into Batteries for EV manufacturing. The inquiry examined the viability of EV battery manufacturing in the UK, the potential to scale-up battery manufacturing to meet growing EV demand, the risks to the UK automotive industry of not establishing sufficient battery manufacturing capacity and the lessons that the UK can learn from other countries. This oral evidence is a follow up to the written evidence submitted by the Faraday Institution for this inquiry. In this oral evidence, Gifford emphasised the urgent need for five gigafactories by 2030 to meet anticipated demand. Given the lead time for factory development, this timeline presents a narrow window for planning and construction. He also emphasised the importance of enhancing the supply chain and the significance of next-generation battery technologies such as sodium, lithium-sulfur and solid-state batteries where the UK has leading research capabilities. He concluded by highlighting the role that government can play beyond financial support, including promoting inward investment, fostering skills development and funding research and development. This document records the 42 questions asked to Stephen Gifford, Chief Economist (The Faraday Institution), Alan Hollis, Chief Executive (AMTE Power plc), and Ian Constance, Chief Executive (Advanced Propulsion Centre UK).

Low-carbon energy technologies such as ammonia, batteries, e-fuels, biofuels and hydrogen fuel cells are rapidly gaining traction in the maritime industry. Heavy fuel oil will soon no longer be the primary choice for propulsion. Battery technology is an important part of the mix, offering energy efficiency, reduced emissions and improved performance for smaller vessels, with hybrid solutions emerging for longer distances and international shipping. The UK can be at the forefront of these developments but must invest in port and charging infrastructure. The global maritime industry facilitates the movement of goods, people and resources across oceans, seas, lakes, rivers and inland waterways. The industry encompasses navigation, shipping and marine engineering and utilises a wide range of vessels for specific sub-markets. With over 80% of global trade by volume transported by sea, the maritime industry is a critical component of the global economy. However, the maritime industry is currently heavily reliant on fossil fuels to power ships and is considered a hard-to-abate sector. The International Maritime Organisation aims to reduce carbon emissions in the sector by 50% by 2050 compared to 2008 levels. This insight explores the alternative technologies for the maritime sector, including hydrogen, natural gas, battery-electric propulsion and other low-carbon fuels, and assesses the size of the battery-powered maritime market. The specific performance characteristics of battery technology for different applications across the maritime sector are outlined, and proposed actions to develop and support the UK maritime industry are also highlighted.

CREDS research into this area aims to conceptualise the introduction of flexible technologies, new pricing regimes and the transformation of social-temporal orders within a single frame. In our response we outline new opportunities in terms of non-DSO flexibility services, including the implications of introducing 'core capacity' and interfaces that allow non-DSO flexibility markets to flourish and describe how differing DER types should be subject to different baselining methodologies as opposed to a simple one-size fits all approach. In the context of residential flexibility, we generally agree with the position that engaging residential flexibility is critical. Further research linking the timing of activities to electricity demand will be key to any intervention aimed at increasing residential flexibility.

CREDS was established in 2018 with a vision to make the UK a leader in understanding the changes in energy demand needed for the transition to a secure and affordable zero-carbon energy system. Working with researchers, businesses and policymakers, our work addresses a broad range of energy demand issues. CREDS is funded by UKRI. CREDS responds to consultations and calls for evidence from government, agencies and businesses, providing insight and expertise to decision-makers.

The Energy Technologies Institute (ETI) has engaged PPA Energy to provide consultancy support to gain insight into the operational expenditure (opex) of energy networks, including four energy vectors; electricity, gas, heat and hydrogen. This project builds on a previous project undertaken by PPA Energy, ‘Opex Framework for Energy Infrastructure’, in which an understanding of the opex costs associated with the energy infrastructure was developed. The intention of this project is to understand and document the factors which affect, or may affect, the opex costs of an energy network, and to investigate how these might be modelled. Specifically, this project concentrates on the components of network opex that are directly related to the network assets themselves, knownwithin this report as ‘Network Related Opex’, which includes direct opex, closely associated indirect opex, and the components of pass through opex that are considered to be related to the network assets themselves, but does not include depreciation or business support costs

The objectives of this project were:

Review UK and worldwide capability in power plant modelling needed to meet requirements

Identify where existing plant models can be applied with benefit to current needs

Identify the benefits and future requirements for a Virtual Plant Demonstration Model (VPDM) for PF and GT/IGCC plant, taking note of potential long term power plant developments

Identify developments needed to produce a VPDM for present and future clean coal technologies and propose a way forward

The project was set up as a potential first step towards a VPDM. It would review the current capability of power plant modelling; it would also look at the future needs and applications, consider how well current models can meet these needs and in particular what further developments are needed. Finally, it would consider the proposed VPDM initiative and consider whether it is the best framework for providing these further developments and if so, what is the best strategy that will enable the UK to produce this VPDM.

The conclusion from the review of existing capabilities is that the UK currently has a strong simulation capability in power generation. Difficulties begin to arise when the range of plant considered in a given study increases, when an equipment change is proposed within an existing study, where operators wish to simulate off-design performance within their own plant or where whole system studies such as economic analyses and cycle optimisation are required.

It is clear from this project that a major collaborative initiative similar to that proposed for a VPDM, is required for the fossil power plant industry. This project has identified the development needs that the collaborative project must meet and it has also detailed a particular integrated software framework that should achieve these needs. Most of the leading organisations in the UK involved in power plant modelling development or use, have indicated that they would like to participate in preparing such a collaborative project.

This summary provides information on:

Objectives

Summary

Background

Potential Users of the Study

Cost

Duration

Contractor

Subcontractor

Background

Conclusions from Reviews

Development Needs

The Way Forward

Conclusions and Recommendations

With increasing utilisation of renewable energy sources there are many cases where the ability to site generation within easy reach of demand becomes more limited. In these situations, how the energy is moved from where it is generated to where it is needed becomes a more critical aspect of the overall energy system. More remote locations are more costly to connect to transmission lines, be they electricity networks or pipelines. At the same time the intermittency of renewable energy sources places a greater emphasis on the use of energy storage to balance the different variations in supply and demand over time. Transporting stored energy is one possible way to address both of these concerns simultaneously.

In deciding whether to support the development of transportable energy storage technologies, the ETI needed access to a thoughtful and factual analysis that considers allthe relevant factors and identifies where transportable energy storage is most likely to be beneficial and what cost and performance targets would need to be met to justify the development of potential technologies to deliver transmission scale transportable storage.

Three sources of generation were considered within this project:

• Concentrated Solar Power (CSP) generated in the Sahara to be imported to theUK;
• Wind energy generated in the Outer Hebrides to be imported to the UK; and
• Wind energy generated in the Orkney Islands to be exported to Norway

Key findings of the study are:

• Electricity transmission represents the least cost solution if electrical energy is required at the demand site
• Chemical energy carriers do however compare favourably with electricity transmission where they can be used directly

With increasing utilisation of renewable energy sources there are many cases where the ability to site generation within easy reach of demand becomes more limited. In these situations, how the energy is moved from where it is generated to where it is needed becomes a more critical aspect of the overall energy system. More remote locations are more costly to connect to transmission lines, be they electricity networks or pipelines. At the same time the intermittency of renewable energy sources places a greater emphasis on the use of energy storage to balance the different variations in supply and demand over time. Transporting stored energy is one possible way to address both of these concerns simultaneously.

Key findings of the study are:

• Electricity transmission represents the least cost solution if electrical energy isrequired at the demand site
• Chemical energy carriers do however compare favourably with electricitytransmission where they can be used directly
• The use of electro-chemical energy storage media (i.e. a Zinc-Air Battery/shipconcept) is unlikely to represent an economically viable concept as the cost ofelectricity delivered is over six times that of the baseline transmission option

Foresight's Advanced Power Generation Task Force has recommended that an initiative should be undertaken to produce a Virtual Plant Demonstration Model. The 'Stepping Stones to Sustainability' report of the Foresight's Energy and Natural Environment Panel recommends a priority area for R and D on 'low and close-to-zero emission power generation'; a realistic VPDM will be a key tool in ensuring the UK can successfully develop fossil fuelled commercial plant that delivers this.

The VPDM should reduce the need for full-scale demonstrations of advanced power station technologies, which for large plant typically cost £100's million and should also reduce commissioning times for new plant. It will also help in the development of new technologies and assist in avoiding 'dead-end' developments. Finally, it will be of benefit to existing plant by being able to model new technology upgrades, which could be a major business in some markets where existing coal plant could become marginalised.

Specific objectives are:

Identify the benefits and future requirements for a Virtual Plant Demonstration Model (VPDM) for pf and GT/IGCC plant, taking note of potential long term power plant developments

Review UK capability in power plant modelling needed to meet requirements, through discussions with both participants and UK power industry contacts

Review the worldwide capability in power plant modelling through literature searches, industry contacts, public domain sources

Identify where existing plant models can be applied with benefit to current needs

Identify developments needed to produce a CPDM for present and future clean coal technologies

Organise a UK workshop to discuss and provide guidance on: needs and benefits of a VPDM; current modelling capability; optimum way forward. Invitations to attend will be sent to interested parties in industry, academia and government

Produce a Technology Status Report summarising the work of this project and the output from the workshop. This report will include a recommended strategy for producing a successful VPDM

The UK has a track record of power plant development and operation that is second to none. However the UK has at times fallen down on getting these developments into the market place; the ABGC and some IGCC designs are examples of this. In the case of GTs, new developments have been pushed through into the market place but often they have been accompanied by major commissioning, operation and maintenance problems that have threatened their economic viability. A way round these problems is to have major demonstration programmes but these are extremely costly for large plant and difficult to fund.

This profile contains information on the project's:

Objectives

Summary

Cost

Duration

Contractor

This document is the written evidence submitted by The Faraday Institution to the House of Commons Business and Trade Committee inquiry into Batteries for EV manufacturing. The inquiry examined the viability of EV battery manufacturing in the UK, the potential to scale-up battery manufacturing to meet growing EV demand, the risks to the UK automotive industry of not establishing sufficient battery manufacturing capacity and the lessons that the UK can learn from other countries. The submission emphasised the need for gigafactories to be built in the UK, as the presence of an EV battery industry helps to ensure that automotive production remains in the UK. The submission also outlined that the UK is making good progress in securing new battery manufacturing plants, such as the AESC plant in Sunderland which is aiming for an initial capacity of 12 GWh. However, the UK is not moving fast enough to meet potential UK demand or compared to European competitors, so needs to step up the pace. This written evidence is in response to 12 questions related to the inquiry.