Offshore Electricity Transmission

The Government has a target that, by 2020, 15 per cent of the UK's energy will come from renewable sources and forecasts, to 2020, that investment of around GBP8 billion will be needed to connect the offshore sites to the onshore grid. This report examines the new model for using competition to license the transmission of electricity from offshore wind farms to the onshore network. The licensing model has already delivered benefits and has the potential to deliver more. There were good levels of interest in the first four licences, with competition holding down prices in these deals which were for assets worth a total of GBP254 million. In establishing this new market, however, the Authority guaranteed the licensees a 20-year inflation-proof income. This may help to attract interest from long-term investors but it also protects licensees and generators of offshore electricity from reductions in usage of the transmission assets and leaves consumers with long-term inflation risk. In addition, transaction costs have been high and the extent of savings from the new arrangements is not clear cut.Further work is also needed to establish robust benchmarks to ensure the amounts paid for transmission construction costs are not excessive. For the initial four competitions, costs of debt were 2.1 per cent to 2.2 per cent above the relevant rates offered by 15-year UK gilt yields which represents a competitive deal. But the NAO highlights the scope for improving financing costs and notes that there is no provision for claw-back in the event of refinancing gains.

It is estimated that offshore wind farms have the potential to contribute 8-15% of electricity by 2020. This will require a large investment in offshore infrastructure, including around £8 billion of investment in transmission assets (offshore platforms, cables and onshore substations). An elaborate regime that licences operators of offshore electricity transmission assets following competitions has been introduced. The aim was to develop a competitive market for offshore electricity transmission but the reality is that the first six licences were won by just two companies. Furthermore, the terms of the transmission licences awarded so far appear heavily skewed towards attracting investors rather than securing a good deal for consumers. The transmission operators receive their income from the National Grid which recovers its costs from electricity suppliers and generators. Future payments to licensees are estimated at around £17 billion, and this will ultimately be funded by customers who could well end up paying higher electricity prices. The investors' estimated returns of 10-11% on the initial licences look extremely generous given the limited risks the investors bear. Licensees are guaranteed a fully retail price index-linked income for 20 years regardless of the extent to which assets are used. Yet penalties are limited to 10% of expected income in any one year if the operators fail to provide the transmission facilities when required. Despite the lessons from the PFI market the Government has failed to ensure that gains secured, for example, from debt refinancing are shared

Summary: The OffshoreGrid project proves the financial benefits of building a meshed European grid offshore and outlines two cost efficient designs. Contents: Offshore grids, connecting North and Baltic Sea wind farms and electricity consumers, can be built substantially cheaper than expected. Building “hub connections” at sea instead of using cables to connect single wind farms individually to the shore will result in lower investment costs of 14 billion Euros. Additionally if these hub connections would be combined with an even more interconnected “meshed grid”, the necessary additional costs of 7 billion Euros would be compensated by 16 to 21 billion Euros of additional benefits over 25 years of grid operation.

This book presents a panoramic look at the transformation of the transmission network in the context of the energy transition. It provides readers with basic definitions as well as details on current challenges and emerging technologies. In-depth chapters cover the integration of renewables, the particularities of planning large-scale systems, efficient reduction and solution methods, the possibilities of HVDC and super grids, distributed generation, smart grids, demand response, and new regulatory schemes. The content is complemented with case studies that highlight the importance of the power transmission network as the backbone of modern energy systems. This book will be a comprehensive reference that will be useful to both academics and practitioners.

Electricity transmission and distribution (T&D) networks carry electricity from generation sites to demand sites. With the increasing penetration of decentralised and renewable energy systems, in particular variable power sources such as wind turbines, and the rise in demand-side technologies, the importance of innovative products has never been greater. Eco-design approaches and standards in this field are aimed at improving the performance as well as the overall sustainability of T&D network equipment. This multidisciplinary reference provides coverage of developments and lessons-learned in the fields of eco-design of innovation from product-specific issues to system approaches, including case studies featuring problem-solving methodologies applicable to electricity transmission and distribution networks. Discusses key environmental issues and methodologies for eco-design, and applies this to development of equipment for electricity transmission and distribution. Provides analysis of using and assessing advanced equipment for wind energy systems. Includes reviews of the energy infrastructure for demand-side management in the US and Scandinavia.

This book discusses HVDC grids based on multi-terminal voltage-source converters (VSC), which is suitable for the connection of offshore wind farms and a possible solution for a continent wide overlay grid. HVDC Grids: For Offshore and Supergrid of the Future begins by introducing and analyzing the motivations and energy policy drives for developing offshore grids and the European Supergrid. HVDC transmission technology and offshore equipment are described in the second part of the book. The third part of the book discusses how HVDC grids can be developed and integrated in the existing power system. The fourth part of the book focuses on HVDC grid integration, in studies, for different time domains of electric power systems. The book concludes by discussing developments of advanced control methods and control devices for enabling DC grids. Presents the technology of the future offshore and HVDC grid Explains how offshore and HVDC grids can be integrated in the existing power system Provides the required models to analyse the different time domains of power system studies: from steady-state to electromagnetic transients This book is intended for power system engineers and academics with an interest in HVDC or power systems, and policy makers. The book also provides a solid background for researchers working with VSC-HVDC technologies, power electronic devices, offshore wind farm integration, and DC grid protection.

This proposed conference and exposition combines three concurrent events together into one large conference and exposition scheme They are IEEE PES Power Generation Conference and Exposition Asia 2019 IEEE PES Transmission and Distribution Conference and Exposition Asia 2019 IEEE PES Renewable Energy Conference and Exposition Asia 2019 The proposed conference and exposition covers 3 showcases power generation, transmission & distribution and renewable energy This large event will present and exhibit the latest technologies, innovative products and up to date solutions from exhibitors, researchers and practitioners which will drive the industry to build the next generation of electricity supply industry The events will also include super session, panel session, forum session and poster session, combining research and industry experiences into one outstanding event

This book presents an analysis of why some large infrastructure projects are delayed or compromised and offers important insights into the better delivery of future projects. It provides an important reaction to the ambitious €315 billion investment plan devised by the European Commission, wherein Europe's infrastructure is a key investment target. Germany is adopted as a focus, as Europe's largest economy, and a nation that has seen significant delays and tensions in the delivery of key infrastructure projects. The contributions to this volume demonstrate various patterns for infrastructure assets and illustrate how factors such as poor project governance, early planning mistakes, inappropriate risk management and unforeseen technological challenges influence delivery. The in-depth case studies on the Berlin Brandenburg Airport, the Hamburg Elbphilharmonie, and offshore wind parks show how project delivery can face massive problems, and illuminating solutions are offered to these problems. Overall, the case of Germany also offers the opportunity to assess various new forms of project delivery, such as public-private partnerships (PPP), and the risks and opportunities of ambitious first-mover 'pioneer' projects. The book will be of great interest for scholars and upper-level students of human geography, business and management, as well as policy makers.