Transcript The Public Sector Role in Developing Area-wide, Low to

Low carbon heat international showcase
Edinburgh
The Public Sector Role in Developing
Area-wide Low to Zero Carbon Heat
18th November 2014
How It All Started: The London Thames Gateway Heat Network
(2007)
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Reducing London’s CO2 Emissions
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30% of London’s CO2
emissions are attributable to
consumption of heat (mostly
mains gas)
Greatest opportunity for CO2
reduction within London is to
reduce demand for heat
through building retrofit and
low carbon, local
(decentralised) heat supply.
Decarbonising electricity
supply is better placed as a
national action (nuclear,
wind, carbon capture and
storage)
Mayor’s Climate Change Targets
•An ambitious target for London
for a 60% reduction in 1990
levels of CO2 emissions by 2025
•Mayor’s targets is to
decarbonise 25% of London’s
energy supply
•Mayor’s CCAP sets a target of
2.2 million tonnes p.a. of CO2
emissions to be saved by 2025
through decentralised energy
•DE can deliver 12% of the CO2
target and counts for 55% of
‘committed Mayoral action’
THE MAYOR’S CLIMATE CHANGE MITIGATION AND
ENERGY STRATEGY - OCTOBER 2011
London’s CO2 emissions
reduction targets
Reductions based on 1990
levels:
o 2015 (interim target) 20%
o 2020 (interim target) 40%
o 2025 60%
o 2050 at least 80%
• 25% from decentralised
energy by 2025
• An £8bn investment
opportunity
Delivering Low Carbon Energy for London
Annual CO2 reduction of 3.5
million tonnes
Tenfold increase in generating
capacity
National political will is creating a
favourable policy framework for
DE - changing investment
environment
Public sector is working to remove
barriers and harness the private
sector’s financing and delivery
capability
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Decentralised Energy Capacity Study (2011)
This study provides data on, and analysis of, the potential for renewable and low
carbon energy in London.
It breaks down in three parts:
-Report 1: assessment of the technical
potential for renewable energy and DE in
London up to 2031
-Report 2: economic viability and
deployment constraints
-Report 3: deployment of DE focusing solely
on those technologies connected to heat
networks.
Conclusions:
-30.5% and 21.2% of London's demand
for electricity and heating respectively
can realistically be met by DE by 2030
-CO2 savings: 0.8Mt/year
-Investment opportunity: £8bn (£6bn from
heat networks only) by 2030
Decentralised Energy – scale of projects
The generation of electricity local to demand and recovery of waste heat for building
space heating and domestic hot water production.
Type 1 - Single sites
-Small/medium CHP up to 3MWe (<3,000 resi units)
-Capex up to £10m and a PBP ~ 5 years for commercially
viable schemes
Type 2 - Multi-site mixed use schemes
-CHP units 3 to 40MWe (3,000 to 20,000 resi units)
-Capex up to £100m and PBP ~ 10 years
Type 3 - Area wide heat transmission networks
-Extensive heat pipe networks connecting multiple heat
producers such as power stations, industrial waste heat or
energy from waste facilities
-May serve 100,000+ residential units and a large range of
mixed public and private commercial facilities
-PBP > 10 -15 years but with the potential for steady cash
flow and utility type yields
PUBLIC SECTOR
INTERVENTION
London Plan, Chapter 5 Climate Change
•Policy 5.1 Climate change mitigation
• Reduce London’s CO2 emissions by 60 per
cent (below 1990 levels) by 2025.
• It is expected that …London boroughs …will
contribute to meeting this strategic reduction
target
•Policy 5.2 Minimising carbon dioxide
emissions
•
Energy hierarchy:
•Be lean: use less energy
•Be clean: supply energy efficiently
•Be green: use renewable energy
• Further reduce carbon dioxide emissions
through the use of decentralised energy where
feasible, such as district heating and cooling
and combined heat and power (CHP)
•Policy 5.5 Decentralised energy networks
• 25% per cent of the heat and power used in London
to be generated through localised decentralised
energy systems by 2025.
• LDF preparation
• Boroughs should: safeguard existing, identify
opportunities, develop master plans, require
developers to prioritise connection to existing or
planned decentralised energy networks where
feasible.
•Policy 5.6 Decentralised energy in
development proposals
• Development proposals should evaluate the
feasibility of CHP and where a new CHP system is
appropriate examine opportunities to extend the
system beyond the site boundary to adjacent sites.
• Major developments to select energy systems
according to the following hierarchy: connection to
existing heating or cooling networks; implement site
wide CHP network; Communal heating and cooling
•Policy 5.7 Renewable energy
• Major development proposals should provide a
reduction in expected CO2 emissions through the use
of on-site renewable energy generation, where
feasible.
Decentralised Energy Development Methodology
•Capacity Building
•Heat Mapping
•Policy Support
•Resourcing
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Contact
Peter North
Senior Manager
Programme Delivery – Sustainable Energy
Greater London Authority
[email protected]