NBS-M009 Revision Session November 2010

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NBS-M009 Revision Session November 2010 Topics Covered in Module Carbon Reduction Commitment Building Regulations Code for Sustainable Homes Regulation in Electricity Supply Implications on Diversity of Supply Connection Charges and the Triad Demand Renewable Electricity Options The Renewable Obligation Feed-in Tariffs Other Topics The Renewable Transport Fuel Obligation The Future: Integrated Obligations? 1

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NBS-M009 Revision Session November 2010. Topics Covered in Module Carbon Reduction Commitment Building Regulations Code for Sustainable Homes Regulation in Electricity Supply Implications on Diversity of Supply Connection Charges and the Triad Demand Renewable Electricity Options - PowerPoint PPT Presentation

Transcript of NBS-M009 Revision Session November 2010

Page 1: NBS-M009       Revision Session November 2010

NBS-M009 Revision Session November 2010Topics Covered in Module• Carbon Reduction Commitment

• Building Regulations

– Code for Sustainable Homes

• Regulation in Electricity Supply

– Implications on Diversity of Supply

– Connection Charges and the Triad Demand

• Renewable Electricity Options

– The Renewable Obligation

– Feed-in Tariffs

• Other Topics• The Renewable Transport Fuel Obligation

• The Future: Integrated Obligations?

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Carbon Reduction Commitment Energy Efficiency Scheme - Changes since Comprehensive Spending Review

• Timing of phases has been changed

• Phase 1 is extended for an additional year - i.e. until 2013 – 2014

• Phase 2 was originally to start in 2010 – 11 with qualification year 2010 – 2011, Footprint year 2011- 2012 and first compliance year 2012 – 2013– Original Timescale for Phase 1

– Revised Timescale Phase 1

New Consultation Document – published 17th November 2010

2008 2011-12 2012-132010-11

R

2008 2011-12 2012-13 2013-142010-11

R

R

Qualifying Year

Footprint Year with Annual Report

Compliance Year with Annual Report

Registration Period Surrender of Allowances

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Carbon Reduction Commitment Energy Efficiency Scheme - Changes since Comprehensive Spending Review• Timing of phases has been changed

• Revised Phase 1

• Phase 2 is delayed by 2 years – note change to Footprint Year

• Original Phase 2

– Revised Timescale Phase 2

2010-11 2012-13 2013-142011-12

R

2016-17 2017-182014-15 2015-16

2012-13 2013-14

R

2017-18 2018-192015-16 2016-172014-15

Footprint Year No Report

2011-12 2012-13 2013-142010-11

R

Qualifying Year

R Registration PeriodFootprint Year with Annual Report

Compliance Year with Annual Report

Surrender of Allowances

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Carbon Reduction Commitment Energy Efficiency Scheme - Changes since Comprehensive Spending Review

Subsequent Phases delayed by two years and will each last 7 years

Last Phase (7) starts in 2038 and runs to for 5 years to 2043

By amalgamating Footprint and First Annual Reporting Year there will be one less reporting year in each Phase saving

Removes requirement for those who fall just below threshold and do not have to register from making Information Disclosures – likely to affect ~ 15000 organisation.

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All Energy Use Emissions

All Energy Use Emissions

Relevant Emissions

Relevant Emissions

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Calculating Emissions to be included in CRC -EES

Total Footprint Emissions Total

Footprint Emissions

Regulated Emissions

Regulated Emissions

CRC Emissions

CRC Emissions

MUST: Remove all Emissions covered by CCA and EU-ETS

CAN: remove up to 10% of emissions, but not if measured by regulated meters or covered by CCA/ EU-ETS. MUST: account for at least 90% of emissions

MUST: remove emissions from exempted transport and onward Supply

MUST: remove 100% of emissions covered by CCA exempt subsidiaries

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CRC-EES Purchase of Allowances: Phase 1

During phase 1 and unlimited number of allowances will be issued, but there will be a cap on total emissions in Phase 2 and thereafter.

•All Allowances will be purchased in April of relevant year at a FIXED cost of £12 per tonne

•Additional allowances can be purchased in the Secondary Market from other participants (or traders) who have a surplus.

•Additional allowances can also be purchased through the “Safety Valve System” which is analogous to the “Buy Out Prices” for ROCs

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CRC – EES: Purchase of Allowances:

Banking Allowances•Allowances surplus to an organisations needs can be sold on the Secondary Market or banked against future years.

•However, it is not possible to carry forward banked allowances between phases.

Operation of “Safety Valve”AIM: To prevent price volatility in Secondary Market (as happened in Phase 1 of EU-ETS)

•Participants pay a deposit equal to prevailing Safety Valve price in preceding month.

•Government purchases extra allowances on EU-ETS and cancels same number of EU-ETS allowances.

•Participants reimburse Government (or receive a rebate) for an difference between deposit price and actual price subject to a minimum price of £14 (revised upwards from £12 – February 2010)

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• In October’s Spending Review the UK Government announced that the CRC will be simplified to reduce the burden on businesses, with the first allowance sale for 2011/12 emissions now taking place in 2012 rather than 2011.

• Revenue from the sale of CRC allowances, totalling £1 billion a year by 2014/15, will be used to support the public finances, including spending on the environment, rather than recycled to participants.

• But what about registration payments etc. Will these still be paid???

• If 5000 organisations are involved this non-recycling will imply an effective tax averaging £200 000 per organisation per year

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CRC – EES: Purchase of Allowances:

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Issues relating to self generation of electricity

• CHP – An organisation can claim credits for electricity

exported to other organisations. Organisation does not declare own use of electricity

– An organisation cannot claim credits for exported heat as under CRC it is deemed to have zero emissions. - Could cause problems for District Heating Operations

• Renewable Generation – – If no ROCs (FITs) are claimed then generation is

treated as case with CHP– If ROCs are claimed then electricity generated must be

declared and emissions calculated as though it was grid imported – i.e. at a relatively high carbon factor – even though the generation would have a low factor – will affect UEA.

– Issue of geographic vs corporate emissions

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Description Year 1

Year 2

Year 3

Subsequent Phases

Absolute Metric

Compares the current annual emissions to the average emissions over the preceding five years

0% 45% 60% 75%%

Early Action Metric

Recognition for good energy management undertaken prior to the start of the scheme. based on two factors, equally weighted,

(i) % of non-mandatorily HH metered electricity and gas emissions covered by voluntarily installed automatic metering (AMR) by 31 March 2011.

(ii) The percentage of the emissions covered by a valid Accreditation Scheme certificates on 31 March of each compliance year.

100%

40% 20% Not Applicable

Growth Metric

Gives recognition to those organizations which are growing but emissions are growing as a slower rate as measured per unit of output compared with those in preceding years

0% 15% 20% 25%

Relative Weighting of Phases

As Phase 1 has been extended. What will be relative percentages in final year of that Phase?

LEAGUE TABLES under CRC - EES

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Example of PerformanceCompany A has emissions which decrease from 2000 to 1800 tonnes between years 1 and 2 of Phase 1 and at the same time output increases from £1500000 to £16000000.

Company B has emissions which increase from 3000 to 3100 tonnes over the same period when the output increases from £2000000 to £2500000.

How do the two companies compare with regards to the absolute and growth metrics?.

 

Carbon emissions (tonnes) Output

kg per £1 of output

Company AYear 1 2000 £1,500,000 £1.33Year 2 1800 £1,600,000 £1.13% change -10.0%   -15.6%

 Company B Year 1 3000 £2,000,000 £1.50Year 2 3100 £2,500,000 £1.24% change +3.3%   -17.3%

• Company A performs much better with regard to absolute metric• Company B is better with regard to growth metric

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Carbon Reduction Commitment – Energy Efficiency SchemeOriginally a new emissions trading system which will affect ~ 20 000 organisations in the UK – now a Taxation System.

• ~ 5000 organisations will fully participate in trading, • remainder will only have to report emissions but may now be

exempt from reporting following recent (Nov 2010 developments).

Criteria for inclusion is based on electricity use.• At least one Half-hour Meter (HHM) and • an annual consumption > 6000 MWh

[ annual consumption ~ equivalent to 1500 houses]

If an organisation satisfies first criterion then they merely have to report.

CRC split into Phases • Phase 1 (Introductory) will have a fixed price of CO2 allowances at

£12 per tonne• Subsequent Phases will have a cap to limit emissions and

allowances will be auctioned. Recent activity suggests that auctioning for Phase 2 may be reconsidered.

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The Carbon Reduction Commitment Periods• The CRC will be divided into phases, each of which will be 3

or more years

• Within each phase there will be:

• A qualification period, Organisations must assess whether or not they qualify to make an information disclosure or participate fully in CRC

• A registration period, Organisations must either submit their information disclosure or register as a participant with the administrator

• A footprint year, participants must monitor their total emissions from energy use. Note some emissions are excluded such as those already covered by EU-ETS etc.

• A series of compliance years, runs from April to March – now starting in April 2012, participating organisations must

• purchase allowances for each tonne of CO2 they emit, based on expected energy use,

• monitor their usage.

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Financing the CRC - EES

• Will there still be charges to Participants for all aspects of operation now that no money is to be recycled? Latest Consultation document does not address this question.

• Original Proposed Charges

Activity

Participant Registration £950

Participant Annual Subsistence

£1290

Fixed price sale participation fee

£10

Safety valve charge (per transaction)

£300

There are also other charges – see CRC Documentation

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Weekly fuel mix in electricity Generation11 - 17th January 2010

Mon Tues Wed Thurs Fri Sat Sun

Notice higher proportion of coal used during day time hence a higher carbon emission factor.

Electricity Security and Diversity

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Shannon – Wiener Index of Fuel Mix Diversity• Shannon – Wiener Index is a measure of diversity originally developed as a

measure of biodiversity.

• Higher index values occur with higher diversity.

• But there is no absolute upper limit.

• There is a maximum diversity index for a given number of items (e.g. species, fuels) when all items are in same proportion, but index will be higher for a greater number items.

• Index is low if one item dominates

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Variation in maximum value of Index with number of items. The situation occurs when all items have equal proportion.

e.g. with 6 fuel types the maximum value of index would be 1.8.

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• The Shannon-Weiner Index (H) is defined as:

H = - pI ln pI

where pi is the proportion of the ith item.

The index value increases with number of items and also the relative proportions of items

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Shannon – Wiener Index of Fuel Mix Diversity

With three fuels, the maximum value reaches 1.09 when all the fuels are in equal proportions.

In Norway where Hydro provides 99.5%, the index for the three fuels used is just 0.035.

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Percentage Fraction1980 2010 1980 2010

nuclear 12.2 14.4 0.122 0.144coal 74.5 32.0 0.745 0.320oil 11.2 1.0 0.112 0.010gas 0.6 45.7 0.006 0.457renewables 1.5 6.8 0.015 0.068

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Shannon – Wiener Index of Fuel Mix DiversityHow has diversity of Electricity Generation in UK changed over last 30 years?

Must evaluate fractional proportions: NOT percentages when using Shannon-Wiener

Shannon – Wiener: H = - pI ln pI

H = - pI ln pI

1980 2010nuclear 0.257 0.279coal 0.219 0.365oil 0.245 0.046gas 0.031 0.358renewables 0.063 0.183Total 0.815 1.231

Shannon Wiener Factor has improved from 0.815 to 1.231 but is set to decline post 2015 with closure of coal and nuclear plant.

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• Charges are made for Connections to the Transmission and distribution Grids.

• For generators charge is in two parts

– A charge per installed kW which varies across 20 charge zones ranging from >+£20 per kW to <-£5kW

– A charge per kW according to local substation

• For demand charge is made according to the TRIAD demand and as a Unit Charge

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Demand Connection Charges 2010 - 2011

The TRIAD occurs in the period 1st November – 28th/29th FebruaryIt is the mean of the following:1)The maximum demand in any one half hour in the above time period.

2)The second highest demand in any one half hour provided it is separated from (1) by at least 10 days.

3)The third highest demand in any one half hour period provided that it is separated from (1) and (2) by at least 10 days

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Zone TRIAD Demand (£/kW)

Energy Consumed (p/kWh)

N. Scotland 5.865932 0.790954

S. Scotland 11.218687 1.547861

Northern 14.523126 1.993796

North West 18.426326 2.552189

Yorkshire 18.344745 2.520788

N Wales & Mersey 18.891869 2.62578

East Midlands 20.934125 2.886193

Midlands 22.692635 3.184194

Eastern 21.835099 3.026211

South Wales 22.524989 3.028765

South East 24.63381 3.377343

London 26.756942 3.602492

Southern 25.49445 3.53718

South Western 26.057832 3.553243

Demand Connection Charges 2010 - 2011

Subject to Revision on December 1st 2010

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Date Period Demand (MW)01/12/2008 35 5640114/12/2008 35 5519115/12/2008 34 5587617/12/2008 35 5500820/12/2008 35 5501503/01/2009 35 5708504/01/2009 35 5630105/01/2009 35 5595406/01/2009 35 5804907/01/2009 35 5696110/01/2009 35 5719411/01/2009 35 5643012/01/2009 35 5713713/01/2009 35 5732702/02/2009 35 55195

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Demand Connection Charges - Example

All Demand periods > 55 000 MW in the 2008 – 2009 TRIAD

The TRIAD periods are shown in YELLOW.

Note: there are periods when demand is higher than 15/12/2008 or 01/12/2008, but these are not separated by at least 10 days from principle TRIAD period on 06/01/2009

NOTE: TRIAD periods are almost always between period 34 and 36.

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Demand Connection Charges - Example

Typical Daily profile in December/ January for a company

Note: one of the two daily peaks coincides with the peak TRIAD period 35.

Explore shifting Process Time Cycle by 2 hours

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Demand Connection Charges - Example

Period Before After

30 1792 1985

31 1837 2038

32 1783 1918

33 1928 1826

34 2010 1749

35 2040 1661

36 1800 1493

After reschedulingDemand over TRIAD period reduces from 2040 to 1661 – i.e. by 379 MW

If in South West, Saving in connection charge = 379 * 26.057832

= £9876

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1

A > £20 per kW

3

2

4

B £15 to £20 per kW

8

5

6

7

C £10 to £15 per kW

10

11

12

D £5 to £10 per kW

9

13

14E £0 to £5 per kW

18

19

15

17

F - £5 to £0 per kW

20 16 G - £10 to -£5 per kW

Generator Connection Charges under BETTA

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Zone No. Zone Name Zonal Tariff (£/kW)

1 North Scotland 20.077673 2 Peterhead 18.708975 3 Western Highland & Skye 22.790380 4 Central Highlands 17.633272 5 Argyll 13.339264 6 Stirlingshire 13.436032 7 South Scotland 12.485883 8 Auchencrosh 10.909540 9 Humber & Lancashire 5.416173

10 North 8.792347 11 Anglesey 6.171408 12 Dinorwig 5.497379 13 South Yorks & 3.594137 14 Midlands 1.56432815 South Wales & 0.391732 16 Central London -6.414672 17 South East 0.806124 18 Oxon and South Coast -1.362801 19 Wessex -2.635277 20 Peninsula -5.871777 25

In addition there is a local sub-station tariff which varies from as much as £4.79 per kW at Farr in the SHETL area to as little as -£0.60 per kW at Mark Hill in Ayrshire which was built specifically for a wind farm.

These reflect the capabilities of the local regions around each substation

Generation Connection Charges 2010 - 2011

Charges subject to possible amendment on 1st Dec 2010

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Renewable Obligation Certificates

The Regulator

OFGEM

SUPPLIERS

Trader and Brokers

Renewable Generator

Notifies Regulator how much generated.

Sells ROCs to Trader

Sells Electricity with or without ROCs

Notifies OFGEM of compliance -i.e. ROCs or pays FINE

Supplier Buys ROCs from Trader

ROC’s issuedFINES recycled in holders of ROCs in proportion to number held

Because of recycling, ROCs have value greater than their nominal face value

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Example of estimation of total value of ROCs

• Explain how the Renewable Obligation mechanism used in the UK works and how the value of renewable electricity may be estimated. [50%]

• As company operating a 1.5 MW wind turbine which had a load factor of 27.63% during the period 1st April 2007 to 31st March 2008, estimate the total income you would have received from electricity sales using data given in Tables 1 and 2.

• You may assume that any imbalance charges are compensated by embedded benefits.Table 1 Wholesale Electricity Prices 2007 –

2008Table 2. Other relevant data for the

period 2007 – 2008

Period

Volume of Electricity

Traded (GWh)

Average price

(£/MWh)

Apr – Jun 1780 22.10Renewable obligation

2007 – 200825,551,357 MWh

Jul – Sep 2050 27.00Renewable Obligation Certificates presented

16,406,751

Oct – Dec 2420 45.95 Buy Out Price £34.30 per MWh

Jan - Mar 2310 54.95 Climatic Change Levy £4.30 per MWh

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Page 28: NBS-M009       Revision Session November 2010

Renewable Obligation ---- 25,551,357 MWh ROCs presented ---- 16,406,751

Shortfall in generation/ ROCs presented = 9084606

Value of Buy out Fund = 9084606 * £34.30 = £311 601 985.80

So Mark up value = 311601985/80 / 16406751 = £18.92

Total value of ROC = £34.30 + £18.92 = £53.22

Total value of Renewable Generation = £38.88 + £53.22 + £4.30 = £96.40

A 1.5 MW wind turbine @ 27.63% load factor generates 3630.582 MWh in year

So total income = 3630.582 * £96.40 = £350 003.05

Example of estimation of total value of ROCsVolume traded (GWh) price

Volume * price Product

Apr - Jun 2007 1780 £ 22.10 39338.0

July - Sept 2007 2050 £ 27.00 55350.0

Oct-Dec 2007 2420 £ 45.95 111199.0

Jan-Mar 2008 2310 £ 54.95 126934.5

  Totals 8560   332821.5

Volume Weighted Average Price £ 38.88

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Page 29: NBS-M009       Revision Session November 2010

Renewable Obligation and Feed In Tariff Changes

• Generators < 50 kW declare once a year under RO – will be mandatory to change to FIT from April 1st 2010

• Generators 50 kW – 5 MW will have option of a once only change from RO to FIT by a deadline

• Generators > 5 MW remain in RO

• RO is extended to 2037 subject to a maximum eligibility of 20 years.

• Feed In Tariff will be banded and decremented year on year and will be fixed from inception of a project. It will run for a maximum of 20 years.

• A small scale generator who uses electricity on site will benefit from:– A generation FIT,

– An export FIT,

– A reduced import of electricity29

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Energy Source Scale Generation Tariff (p/kWh) Duration

to 31/03/2012 after 01/04/12 (years)

Anaerobic digestion ≤500kW 11.5 11.5 20Anaerobic digestion >500kW 9 9 20Hydro ≤15 kW 19.9 19.9 20Hydro >15 - 100kW 17.8 17.8 20Hydro >100kW - 2MW 11 11 20Hydro >2kW - 5MW 4.5 4.5 20Micro-CHP***** <2 kW 10 10 10Solar PV ≤4 kW new 36.1 33.0 25Solar PV ≤4 kW retrofit 41.3 37.8 25Solar PV >4-10kW 36.1 33.0 25Solar PV >10 - 100kW 31.4 28.7 25Solar PV >100kW - 5MW 29.3 26.8 25Solar PV Standalone 29.3 26.8 25Wind ≤1.5kW 34.5 32.6 20Wind >1.5 - 15kW 26.7 25.5 20Wind >15 - 100kW 24.1 23.0 20Wind >100 - 500kW 18.8 18.8 20Wind >500kW - 1.5MW 9.4 9.4 20Wind >1.5MW - 5MW 4.5 4.5 20Existing generators transferred from RO 9 9 to 2027

Feed in Tariffs – Introduced 1st April 2010

***** for first 20000 installations

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Feed in Tariffs – Export and Issue of Deeming

http://www.decc.gov.uk/en/content/cms/what_we_do/uk_supply/energy_mix/renewable/feedin_tariff/feedin_tariff.aspx

Payment for tariffs will be from a levy on Utility Companies which MAY see a cumulative rise in bills of around £1 billion or more.

In addition there will be a payment of 3p per kWh for any electricity exported as opposed to consumed on premises.

BUT an export meter is needed to identify this.

Householder will save on imported electricity at ~ 11 – 12p per kWh, so optimum financial model may not be to generate as much as possible

i.e. for each unit generated and consumed it is worth 41.3+ 11 = 52.3p /kWh for each unit exported it is worth 41.3 + 3 = 44.3 p/kWh

If no export meter is fitted – a transition arrangement of deeming that 50% of generation will be exported will be made - that may well not be as attractive to consumer.

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From the National Infra-Structure Plan 2010 following Comprehensive Spending Review

• The Government will reform the electricity market, so that it attracts the private sector investment necessary to meet the UK’s energy security and climate change objectives, including the investment in nuclear, carbon capture and storage and renewable technology.

• In addition to supporting the carbon price, this will also assess the role that revenue support mechanisms (such as Feed-In Tariffs), capacity mechanisms and emission performance standards could play.

• For complete information see Section 4 ofhttp://www.hm-treasury.gov.uk/d/nationalinfrastructureplan251010.pdf

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From the National Infra-Structure Plan 2010 following Comprehensive Spending Review

The Government will assess proposals against the criteria of cost-effectiveness, affordability and security of supply;

• to ensure that regulation of national electricity networks enables the investment needed in transmission infrastructure to connect new low-carbon generation, such as nuclear power stations and offshore and onshore wind turbines;

• maintain the Feed-In-Tariffs to support investment in emerging small-scale generation technologies in electricity, saving £40M by improving their efficiency, and complement this with the Renewable Heat Incentive to reward ground-source heat pumps and other renewable heat sources, while making efficiency savings of 20% by 2014-15 compared with the previous government’s plans.

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For complete information see Section 4 ofhttp://www.hm-treasury.gov.uk/d/nationalinfrastructureplan251010.pdf

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From the National Infra-Structure Plan 2010 following Comprehensive Spending Review

The Government will (para 4.18):

• Support investment in low carbon energy supply by:

maintaining Feed-In Tariffs for small-scale generation, funded through an obligation on electricity suppliers equating to a levy of almost £900 million over the period to 2014-15. At the same time, the efficiency of Feed-In Tariffs will be improved at the next formal review [2012], rebalancing them in favour of more cost effective carbon abatement technologies.

May be an issue for PV as carbon abatement using PV is around £700 per tonne saved way above many other strategies – see German Example

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For complete information see Section 4 ofhttp://www.hm-treasury.gov.uk/d/nationalinfrastructureplan251010.pdf

Equivalent to £36 per household

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• The Pool

• NETA / BETTA

• Deregulation

• Changes in Company Ownership

Changes in Electricity Supply Regulation

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Eastern **

Industry-Промышленность

Independents-Независимые

Electricité de France

Innogy

Nuclear Electric *

BNFL (Magnox)

PowerGen

RECs

Licensed Suppliers

Лицензированные

поставщики

Consumers

Потребители

Second Tier

Consumers

Вторичные потребители

The

Pool

Пул

Scottish Nuclear

(Атомная) *

ConsumersПотребители

Scottish Hydro

Scottish Power ScotlandШотландия

England and Wales

Англия и Уэльс

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Bid from company B £19.31 per MWh

Bid from company A £19.20 per MWh (0.96R / kWh)

Bid from company D £19.40 per MWhBid from company E £19.50 per MWh

Bid from company C £19.32 per MWh

Range of bids from companies in range £18 - £19 per MWh

0.90 - 0.95 Roubles per kWh

Range of bids from companies in range £15 - £18 per MWh

0.75 - 0.9 Roubles per kWh

Range of bids from companies in range <£15 per MWh

0.75 Roubles per kWh

10000 MW

10000 MW

10000 MW

1250 MW1250 MW

1250 MW1250 MW1250 MW

32500 MW

System Marginal

Price

= £19.31

SMP

Companies up to and

including B successful

£1 ~ 50 Roubles

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Новая система оптовой торговли НЕТАHow well has it performed since starting on 27th March 2001?

Wholesale prices rose rapidly in 2004/2005, fell sharply from mid 2006, rose rapidly since mid 2007 then fell but are less stable.

The weighted average wholesale price of 18th November 2010 was £43.27 although the peak price was £73.60 during period 34

UK becomes net importer of

gas in 2004

Langeled and Balzand Pipe Lines completed

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The Balancing Mechanism Балансирующий механизм

Day Before

День до

Current Day

Текущий день

IPN FPN

Gate Closure Закрытие периода

Real

Time

30

mins3.5 hours 1 hour

Operation of Balancing Mechanism

Балансирующий механизм

Summary Краткое описание

• Changes to contract position cannot be made after Gate Closure• Balancing Mechanism provides System Security

• Изменения в позиции договора не могут быть внесены после закрытия периода• Балансирующий механизм обеспечивает безопасность функционирования Системы

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The Balancing Mechanism Балансирующий механизм

The New Electricity Trading Arrangements

Новая система оптовой торговли НЕТА

• To allow system to remain stable

• Too little electricity on the system

–Generators can OFFER to INCREASE output

–Suppliers can OFFER to REDUCE consumption

Time

FPNOFFER

Time

FPNOFFER

• If OFFER is agreed then Generators / Suppliers are PAID for any electricity increased / reduced under the OFFER.

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The Balancing Mechanism Балансирующий механизм

The New Electricity Trading Arrangements

Новая система оптовой торговли НЕТА

• Too much electricity on the system

–Generators can BID to REDUCE output

–Suppliers can BID to INCREASE consumption

• If BID is agreed then Generators / Suppliers PAY for any reduction in generation / increase in demand under the BID.

Time

FPNOFFER

Bid

FPNOFFER

Bid

Time

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The Balancing Mechanism Балансирующий механизм

Generators / Suppliers may submit OFFERs or BIDs which differ for different levels of deviation from the Final Physical Notification

National Grid Company normally accepts OFFERS / BIDS which are cheapest unless System Constraints prevent this.

25 - 50 MW: £30 per MWh (1.5 Roubles per kWh)

50 - 100 MW: £50 per MWh (2.5 Roubles per kWh)

0 - 25 MW: £20 per MWh (1 Rouble per kWh) FPN окончательная физическая нотификация

Example of Differential Offers from a Generator

Page 43: NBS-M009       Revision Session November 2010

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The Balancing Mechanism Балансирующий механизм

What happens if System Operator has got it wrong?

• OFFERs / BIDs cannot be cancelled

• UNDO BID removes an OFFER and is usually less than the OFFER

• UNDO OFFER removes a BID and is usually more than the BID

• OFFERs / UNDO BIDs [ or BIDs / UNDO OFFERs] are submitted in pairs

OFFER / UNDO BID: Pair +2

OFFER / UNDO BID: Pair +1

BID / UNDO OFFER: Pair -1

BID / UNDO OFFER: Pair -2

FPN

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44

FPNPaid SSP

FPN

Actual Metered Volume

Pays SBP

Новая система оптовой торговли НЕТАCharges for imbalance depend on whether BM unit is deviating in same direction as overall system or not.

Example shows cases where imbalance is in same direction as system

Штрафные санкции за нарушение баланса зависят от того, отклонился ли субъект БМ в том же направлении, что и вся система, или нет

Рисунок показывает случаи, когда нарушение баланса происходит в одном направлении с системой

Установлено в двустороннем

порядке договаривающ

имися сторонами

Settled bilaterally between

contracting parties

Установлено в двустороннем порядке между

сторонами

Settled bilaterally between parties

Actual Metered Volume

Page 45: NBS-M009       Revision Session November 2010

• Review of Building Regulations in UK– Factors affecting energy consumption and carbon emissions– Standard Assessment Procedure

• Approved Document AD1a - New domestic Properties• AD1b – New non-domestic Properties• AD2a - Existing domestic Properties• AD2b - Existing non-domestic Properties

Other Topics Covered

• Code for Sustainable Homes

• Energy Performance Certificates

• Introduction in Indian Building Regulations

• Introduction to Chinese Building Regulations

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Building Regulations – Topics covered

Page 46: NBS-M009       Revision Session November 2010

U-Value Specification with different Regulations

46

1976 1985 1990 1994 2000 2005 2010

U – Values W m-2 oC-1

SAP < 60

SAP > 60

External Wall 1.0 0.6 0.45 0.45 0.35 0.45 0.35 0.35

Roof 0.6 0.35 0.25 0.2 0.16 0.25 0.16 0.16

Floor 1.0 0.6 0.45 0.35 0.25 0.45 0.25 0.25

Windows Not specified 3.0 2.0* 3.3 2.0 2.0

Windows as % of external walls

17% 12% -

Windows as % of total floor areas

- - 15% 22.5% 25% 22.5% 25% 25%

Page 47: NBS-M009       Revision Session November 2010

Compliance to Building Regulations

• Compliance to Building Regulations may be achieved by one of several alternative methods.

– Elemental Method

• Specifies maximum U-value and perhaps maximum glazed area – valid until 2002 Regs but with restrictions in 2002

– Target U-value – weighted average U-value allowed some flexibility in design – valid until 2002 Regs

– SAP Rating (1994 Regs) – largely an economic assessment

– Carbon Index (2002 Regs)*

– Target Emission Rate (Current Regs)*

– * SAP Procedure is use for these methods. SAP Rating is also calculated but it no longer a means of compliance.

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Page 48: NBS-M009       Revision Session November 2010

Building Regulation: Compliance Summary

Up to and including 2000 Regulations • Elemental Method – specifying U-values of fabric elements• Target U-Value – allowed some flexibility of design.• SAP Rating – an economic measure – only permitted for

compliance in 1994 Regs.

2000/2002 Regulations• Carbon Index Method- a distorted Carbon Measure

2005/6 Regulations• Dwelling Emission Rating must be better than Target Emission

Rating. Latter is a derivative of the Target U-Value Method.

2009/10 Regulations• Retains DER and TER but expects a 25% improvement on

performance over 2005/6 standards

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