Energy Networks Association

Transcription

1 The Voice of the Networks Energy Networks Association TDI Stakeholder Engagement Workshop

2 TDI Stakeholder Engagement Workshop Objectives To engage with and disseminate information to the energy community, customers and other relevant stakeholders on the ongoing work being completed as part of Transmission Distribution Interface. To communicate the key deliverables to date and issues considered To show-case the new TSO-DSO project structure (as communicated in the call for evidence) to show how networks will collaboratively meet future challenges To be interactive and provide opportunity for questions and comments through a panel and break-out session format. 2 The Voice of the Networks

3 Workshop Agenda Time Item Speakers 10:00 Welcome 10:05 Background / Context Setting Nigel Turvey WPD Scott Mathieson SPEN Gerard Boyd- SPEN 11:00 Summary of Work to Date Gerard Boyd UKPN 11:20 Q&A Panel SPEN, NG, SSEN 11:45 Coffee Break (15 mins) 12:00 Forward plan for work Introducing the TSO-DSO Project 12:20 Breakout Session 12:50 Wrap-up and Feedback 1:15 Lunch Nigel Turvey - WPD 3 The Voice of the Networks

4 Transmission Distribution Interface Stakeholder Engagement Workshop Setting the scene

5 The changing system Increasing interactions between transmission and distribution Graphic courtesy of National Grid

6 The need for immediate action Roles and responsibilities Transition to DSO roles: DNOs Operate efficient, co-ordinated and economical distribution networks, including active use of new technologies, providers and solutions Have an increased role in delivering an efficient, coordinated and economical wider system DNOs, TOs, SO significantly increase engagement with one another, and other parties, to deliver the best whole system outcome for consumers 6

7 The need for immediate action Areas where most industry progress is necessary Planning Formalised planning frameworks Clear co-ordination processes and common methodologies Role for DSOs in System Operability Framework Efficient local/system-wide use of resources Improved visibility and coordination processes for DSO/SO/TO use of system resources Common understanding of cross system impacts and processes for delivering best whole system outcome 7

8 The need for immediate action General messages Need for formalised planning frameworks which take into account need of whole system and stakeholders Market based approaches wherever possible Onus on industry to deliver Clear co-ordination processes and common methodologies likely to be necessary Role for DSOs to consider future operability issues on networks in co-ordinated way addition to SOF? Progress review necessary by end 2017 Improved visibility, notification and coordination processes between DSOs/TOs/SO for use of system resources Build common understanding of where actions have cross system impacts and processes for ensuring actions are in best interests of whole system We will continue to engage where any regulatory barriers are identified 8

9 Further future changes Efficient local/system wide use of resources 9

10 TO perspective on the TSO DSO project Scott Mathieson Network Planning & Regulation Manager Wednesday 22nd February 2017

11 Overview of Our Transmission Business Units (kwh) transported over our network 36,000,000,000 % Network reliability Average annual investment 337,500,000 Annual contractor hours worked 2,100,

12 Security of Supply - Scottish Import Requirements Probabilistic modelling study on the requirements of the Anglo-Scottish connection completed in 2016 Post-Nuclear, 99.9% confidence that all demand can be met with 4GW of import capability However, vulnerable to severe weather 2870MW Export Very limited frequency-responsive generation in Scotland System stability degrades with closure of large thermal generators 0MW 2700MW Import 12

13 Security of Supply Black Start Partial or total system shutdown For central Scotland, a Black Start would be a 5+ day event Reliance on England & Wales system for restoration A challenging scenario but without significant damage results in, for 62% of events modelled, only 50% of demand being restored in 72 hrs New Black Start Task Group Established by BEIS 13

14 Managing Uncertainty Transmission Economic Connections Assessment TECA is an engineering, commercial and financial assessment: Terminations or delays Consents status Re-assess the works Scalable solutions Innovative approaches Where possible, defer to allow certainty to develop 14

15 Transmission Innovation West Coast HVDC New Generation Conductor Systems Digital Substations, FITNESS Onshore Interconnnector Upgrade VISOR Transmission Local Inertia Synchronous Compensation 15

16 Dumfries and Galloway Reinforcement Original 400kV supergrid network from Auchencrosh to Harker proved to be uneconomic A reduced radial 132kV network will be developed instead Kendoon to Tongland Reinforcement This was based on the conclusions of cost benefit analysis works carried out by NGET SO and SPT 16

17 Whole System Approach NG Approach Increased interaction and planning to develop Whole System approaches to network planning Principles of NG approach: Investigate whole system constraints Design by doing delivering benefits and DER connections capacity Trial approaches that do not constrain the future industry model Co-design solutions working jointly across T/D through Regional Programmes Develop recommendations for design principles for cross-industry processes Complement and support existing industry working groups and innovation projects Proactively engage external stakeholder groups to build consensus and momentum Regional Programmes UKPN WPD SP D&G Design by doing Delivering benefits Cross-Industry Process Development Network Development Test and develop design with industry forums Industry Engagement SOF 2016/17 Test options without constraining the end-state Network Operation Industry Forums Provide input from SOF Governance of design decisions Decision Governance 17

18 Why the DNO-DSO transition is Important for the Future Transmission System Develop & Implement a SMART Zone Strong industry & regulatory focus in greater collaboration between the DNOs, TOs and SO SPD and SPT will jointly develop a SMART Zone for D&G building the foundations for the longer term DSO business model Phase 1 SMART Zone Architecture Development Completion by Q1/Q Phase 2 SMART Zone Formation Completion by

19 Future Challenges Technical Maximise system utilisation ANM, DSO, constraints management System operation Regulatory Designing outside standards Potentially working with a derogated system Commercial Commercial arrangements (RAA, nonfirm, BEGA, Charging) Contract developments (Accommodating new arrangements) 19

20 Moving Forward The SO, TOs and DNOs must work closely in order to develop better, more efficient, processes and systems to give a whole system view Realising an effective DSO model will be key to meeting the challenges of a changing UK electricity network SPT have, and will continue to be, fully committed to the TSO- DSO Project working with the ENA, the SO, DNOs and our customers at transmission and distribution 20

21 The Voice of the Networks DNO Perspective on TDI work Gerard Boyd - SPEN TDI Workshop Glasgow 2017

22 Changing Landscape of the Electricity Network Widespread Penetration of DG Closure of Thermal Plant Low Carbon Technology Uptake Challenges Now over 28GW of DG connected in the UK The closure of thermal plant is changing the way we need to manage the network Heating and Transport contribute ~40% of the UK s CO2 emissions -> EVs and EH Over 20GW of storage applications in 2016 Emerging need to understand and control the network in real time 22

23 UK Connected DG 23

24 Constrained Networks The level of DG connecting to our networks, using traditional approaches to network design has led to significant network constraints across the UK GB Primary reasons for constraint 24

25 Constrained Networks - What have we done? Release of Existing Capacity c.10mw given up Queue Management 600MW released Unlocking Capacity Statement of Works 4 GSP Trials 12 Offers issued 3 Live applications Consortia Developments 700MW contracted / connected Maximise Transmission / Distribution Relationship 150MW Advanced through ANM 25

26 Constrained Networks - What have we done? Developing Flexible Connection Solutions 26

27 Recognising the changing role of Distribution Network Operators There is widespread UK and International opinion that the role of DNOs needs to change to meet future challenges IET and the Energy Systems Catapult have jointly published their report on the Future Power System Architecture, sponsored by BEIS - July 2016 BEIS/Ofgem published their Call for Evidence on Future Energy Systems on the 10 th of November. SP Energy Networks Our DSO Vision released

28 The Voice of the Networks Energy Networks Association Summary of TDI Work Gerard Boyd 22 nd February 2017

29 Transmission & Distribution interface work programme TDI steering group oversaw deliverables in a number of areas over 2016 Active Network Management How can ANM schemes be better co-ordinated between T & D Statement of works Revising the process to assess when DG requires T reinforcement Shared Services High Volts Charging arrangements How DNO services can be compatible with SO services Understanding process and data required for CBAs across T & D using a real example of solving high volts issues on Transmission network Investigate the impact different charging arrangements at T & D have on customers and devise potential solutions to issues Summary report and deliverables today available in the ENA website: 29 The Voice of the Networks

30 Shared Services Working Group Scope Understanding SO / DSO service requirements Matrix of service compatibility Options for designing contracts to allow sharing (Sep17) Final report Deliverables Summary of SO/DSO Flexibility Compatibility Explored key contractual issues to enable service sharing NG contract terms allow sharing of data with DNOs 30 The Voice of the Networks

31 Statement of Works working group Scope End to End Process Review Define problem statement Options for alternative process Industry framework changes Deliverables High level principles agreed (late 2015) Trials of new process in Scotland, England and Wales Regular stakeholder feedback ENA DG DNO and Fora 31 The Voice of the Networks

32 Active Network Management Group Scope Best practice on ANM rollout T&D interface Deliverables Good Practice Guide Curtailment assessment improvements ANM interfaces agreed for simple T&D cases 32 The Voice of the Networks

33 High Volts working group Scope Assess planning and operational challenges Identify whole system solutions Deliverables Technical Feasibility Report Reduction of voltage profiles across distribution networks Scoped out and commissioned three case studies analysis 33 The Voice of the Networks

34 T&D charging working group Scope Review connections and use of system charging across T-D boundary Develop high level potential solutions Deliverables Customer problems identified Scenario analysis of embedded benefits Review of entitlements and rights of connected parties 34 The Voice of the Networks

35 TSO DSO project Statement of Works HV 1. T-D Process 2. Customer Experience Shared Services Working Group ENA Transmission and Distribution Interface Steering Group Active Network Management Group TSO-DSO Project Charging Task Group 3. DNO to DSO Transition 4. Charging 35 The Voice of the Networks

36 The Voice of the Networks Question and Answer Panel Deborah MacPherson - SPEN John West - NG Paul McGimpsey - SPEN Nick Blair - NG Andrew Urquhart - SSEN Ben Marshall - NG TDI Workshop Glasgow 2017

37 The Voice of the Networks Coffee Break TDI Workshop Glasgow 2017

38 The Voice of the Networks Energy Networks Association TSO-DSO Project Forward Plan for Work Nigel Turvey Western Power Distribution

39 TSO-DSO Project Introduction In December Energy Networks Futures Group & ENA Board (Business Leaders) gave their commitment to a long-term project to be led by ENA to progress the transition of DNOs to DSOs, provide clarity to the interface between DSOs & TSOs and improve the customer experience. First Phase to deliver in 2017 Expect Second Phase in 2018 and then beyond to ED2/T2 Phase 1 Phase 2 Phase 3 Phase 4 End 2017 Definition of T-D Processes, Customer Experience, DNO to DSO Transition & Charging Impact Assessment of Options and Preferred Design Regulatory Enactment Design, Build and Test 39 The Voice of the Networks

40 TSO-DSO Project Objectives The objectives of the TSO-DSO Project for the first phase of work in 2017 are to: 1. Develop improved T-D processes around connections, planning, shared TSO/DSO services and operation 2. Assess the gaps between the experience our customers currently receive and what they would like and identify any further changes to close the gaps within the context of level playing field and common T & D approach 3. Develop a more detailed view of the required transition from DNO to DSO including the impacts on existing organisation capability 4. Consider the charging requirements of enduring electricity transmission/distribution systems 40 The Voice of the Networks

41 Governance and Hierarchy ENA Board ENFG TSO-DSO Project Advisory Group inform advise New TSO-DSO Project Steering inform ERG COG Workstream 1: T-D Process Workstream 2: Customer Experience Workstream 3: DNO to DSO Transition Workstream 4: Charging 41 The Voice of the Networks

42 TDI WG to TSO DSO Project Statement of Works HV 1. T-D Process 2. Customer Experience Shared Services Working Group ENA Transmission and Distribution Interface Steering Group Active Network Management Group TSO-DSO Project Charging Task Group 3. DNO to DSO Transition 4. Charging 42 The Voice of the Networks

43 Project Workstreams Workstreams 1. T-D Process 2. Customer Experience 3. DSO Transition 4. Charging Stakeholder Engagement / Transparency / Programme Management Regulatory and Policy Considerations inc. EU packages Commercial Considerations Smart Grid Forum WS6 Actions and Outcomes 43 The Voice of the Networks

44 Workstream (WS) structure Products WS1 Products WS2 Products WS3 Products WS SME1 SME2 SME3 SME1 SME2 SME3 SME1 SME2 SME3 SME1 SME2 SME1 SME2 Member Chair + Member Representatives SME1 SME2 SME3 SME1 SME2 SME3 SME1 SME2 SME3 SME1 SME2 SME1 SME2 SME1 SME2 SME3 Member Chair + Member Representatives SME1 SME2 SME3 SME1 SME2 SME3 SME1 SME2 SME3 SME1 SME2 Member Chair Member Representatives SME1 SME2 SME3 SME1 SME2 SME3 SME1 SME2 SME3 SME1 SME2 Member Chair Member Representatives 6 SME1 SME2 SME3 7 SME1 SME2 5 SME1 SME2 x SME1 SME2 The Work Stream Group will steer the development of the products The Work Stream Member Chairs sit on the steering group 44 The Voice of the Networks

45 Workstream 1: T-D Process Scope Investment Planning processes (processes that result in either capital or opex investment decisions for network businesses) Operational Planning processes (capturing operational planning, real time, balancing and settlement) Develop whole system investment and operational Planning Processes/models Review development of ancillary services across GB Develop approach for the co-ordination of transmission and distribution constraints in an operational timeframe Develop whole system commercial agreements for Active Network Management with distributed generators Review and update SoW to take into account TSO DSO project scope and developments 45 The Voice of the Networks

46 Workstream 2: Customer Experience Scope Customer Journey Maps for Connections & Service Provision Short Term Improvements make early improvements to processes for connection and service provision. Updated Connection Arrangements - Agree and implement changes to network access arrangements (Bilateral Connection Agreements) for DER. Explain the different connection offers available to customers and the impact that these can have on them Service Provision Improvements Customer Journey Maps for Changes to Legacy Arrangements Emergency Events Customer Journey Maps Customer Information Requirements improvements to the information that is provided to support network access and service provision. Ensure that agreed improvements to customer experience are taken forward in other workstreams. Complete ongoing work to improve Statement of Works process. 46 The Voice of the Networks

47 Workstream 3: DNO to DSO Transition Scope 1. DSO Transition Roadmap - a roadmap to deliver transition to DSO in the short, medium and long term 2. DSO Functional Requirements 3. Model for DSO - model for DSO with some options set out for governance models which will allocate DSO functions to system roles and responsibilities 4. DSO Market Model Options Comparison & Evaluation - an assessment of the risks/benefits for power system users, customers and industry participants 5. Trials to Support DSO Definition if necessary definition and initiation of trials to test different market models and/or any gaps in the existing evidence base to support decisions to define market models (across different regions and Network Operators) 47 The Voice of the Networks

48 Workstream 4: Charging Scope Short-term by June Identify problems caused for customers through the interaction of current charging arrangements across Transmission and Distribution on customers 2. Capture the root causes of these problems. 3. Establish the level of commonality that might be required to resolve identified root causes and deliver project and workstream objectives/goals. 4. Develop recommendations including - overview of current industry charging reviews, proposals to solve issues identified, implications to existing arrangements and steps needed to implement, recommendations for a charging framework (focused on connection and Use of System charging), identification of quick wins. Medium-term by December Recommendations to Ofgem : Smart tariffs, flexible connection services, ancillary services pricing; identify requirement for (cross sector/industry) working groups to progress longterm deliverables. Long-term Products potentially Strategic Review Whole System Pricing 7. Consider proposals to change the governance around changes to the methodologies 48 The Voice of the Networks

49 Breakout Session Whilst welcoming feedback on any aspect of this project, we would particularly like your feedback on the following: What s important for you for planning the future of T D interface and DSO? Do we have the right focus in this project? Is there anything missing? What involvement do you want? What stakeholders should be invited participate in the advisory group? Do you have a preference on how you are kept up to date with progress? E.g. via workshops, newsletters etc. 49 The Voice of the Networks

50 The Voice of the Networks Wrap up and Feedback TDI Workshop Glasgow 2017