Facilitating grid connection for large scale solar

Gustavo Bodini, Business Development Manager (Infrastructure)

2nd Annual Large Scale Solar Conference, 5 April 2017

About us

Sydney

Operator and manager of the NSW transmission network, we connect generators, distributors and major end users

3 million homes and 30,000 businesses

13,000 km transmission lines

99 substations

2,300 km optical fibre

Keeping you and your way

of life connected

Keeping you and your way

of life connected

A 220/66kV Substation in

Victoria- Deer Park

Telecommunications carrier

Renewables connections

TNSP in Victoria

Energy efficiency and the transition to renewables4 / Grid innovation: the role of transmission in the evolving energy ecosystem

Grid of the future

Vision

• Large –scale renewable generation contributing 65% of the generation mix by 2050

• Customer sited distributed energy resources (DER) contributing around 30%

Shift towards renewable sources of

generation

Smarter ways of managing peak

demand

Widespread adoption of energy

efficiency initiatives

Increased deployment of distributed

generation

New enablers (network based storage)

Greater interconnection

Energy efficiency and the transition to renewables5 / Grid innovation: the role of transmission in the evolving energy ecosystem

TransGrid believes that a trajectory towards 100% renewable generation is feasible

Australia is in the midst of an energy transformation

A pathway towards

generation with a low

levelised cost of

energy (LCOE)

that meets emissions

targets.

Development of

transmission

networks to integrate

large-scale renewable

energy whilst ensuring

power system

stability

Mechanisms that

provide ancillary

services

at the lowest

possible cost

Market design

appropriate to the

future energy mix, that

promotes genuine

competition and

protects consumers

when there is

ineffective competition

Energy efficiency and the transition to renewables6 / Grid innovation: the role of transmission in the evolving energy ecosystem

The transition from centralised generation to

distributed energy resources in the NEM

Energy efficiency and the transition to renewables7 / Grid innovation: the role of transmission in the evolving energy ecosystem

TransGrid proposes several reforms that will be

essential to a successful transition

As existing synchronous

generation is retired, there will

be a need for new ancillary

services to manage system

stability in place of inherent

synchronous inertia. Until 2030,

the synchronous generation

projected to remain in the NEM

will provide sufficient inertia for the

power system as a whole,

if shared between regions

though stronger interregional

connections. New technologies,

such as large-scale battery

storage that provides fast

frequency response, should be

incorporated into networks early so

their application in practice

can be understood and validated in

system stability models.

The regulatory framework will

need to evolve to support

the energy system of the future.

An increasing proportion of

intermittent generation will be

made possible by greater

interregional transmission

capacity

and large-scale energy storage.

Connection of large-scale

renewable generation in areas with

abundant renewable resources will

be enabled by extension of the

transmission network to those areas.

Changes required

Regulatory Challenge

• Planning and Development approvals

• Industry Regulation

• Multiple jurisdictions

• Instability in regulation and policy

• PPA market (competing tension)

Commercial impacts

• Developer return on existing approvals

• Incentive on capital risk

• Costly to navigate

• Who gets the benefit

What about solar?

2016 ~ 1000 MW solar enquiries

2017 > 6000 MW solar enquiries

Identifying opportunities

Darlington Point

470/640 MW

Tamworth

330/700+ MW

Wellington

500/700+ MW

Collaborating with you

Simple connection processes

Innovative and cost effective connection options

Dedicated Business Development and Customer Managers

Expanded scope of services

Continuous improvement approach

Expanded scope of services

• Energy networks will be integral to the energy economy transition

• Market design and regulatory policy change as enablers

• TransGrid is committed to the cost effective integration of new

generation sources in the NEM

• Connection processes designed to accelerate the economic uptake

of renewable energy

• Talk to us

In closing:

transgrid.com.au/PoweringNSW

Keeping you and your way of life connected

@TransGrid @TransGrid @TransGrid