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Connecting Decentralised Energy to London’s Electricity Network

September 2011: Back in May Ofgem issued an ‘open letter’ requesting views from the distributed generation (also commonly called decentralised generation) industry of their experience of connecting projects to the local electricity network. Ofgem’s letter sets out that they:

“consider  that the efficient development  of distributed generation  could play an important role in addressing a number of key policy issues.   These include helping the UK to achieve its targets for reduced carbon emissions as well as improving the  security of energy  supply and  addressing  fuel poverty issues. To this end,  we have endeavoured to ensure that  those seeking to connect  distributed  generation to the network  do not encounter any unnecessary barriers resulting from the way that the electricity distribution networks are operated and regulated.”

The increased use of decentralised energy is a key element of London’s energy strategy, and the Mayor has established a target for 25% of London’s heat and power to be sourced by localised DE schemes by 2025.

Ofgem have now published a useful ‘High Level Summary’ of responses which highlights the difficulities that DE operators experience when bringing forward a project. This includes the:

  • Limited and inconsistent distribution network data available to generators
  • Costly processes ranging from connection assessments to legal fees
  • Prohibitively complex grid code requirements placed on these smaller distributed generation systems.

No regional aspects are highlighted in the findings – that is – is it any harder/easier to connect DE to London’s electricity distribution system (operated by UK Power Networks in the main and also SSE in SW London) than anywhere else, however, if London is to significantly increase its use of DE, the numerous barriers identified by smaller generators that currently exist need to be removed.

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Government Guidance on GHG Emission Factors

1 September 2011: DECC and DEFRA have issued their latest 2011 GHG Conversion Factors Methodology Paper for Emission Factors which, amongst many fuel types, includes detailed guidance on the important issue of grid (electricity) emissions factors: these represent the average CO2 emission from the UK national grid per kWh of electricity used at the point of final consumption (i.e. transmission and distribution losses are included). Much more in the paper.

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Islington Residents save cash on energy bills

1 September 2011: Over 1,500 Islington households will be warmer this winter and save a total of £322,000 on their fuel bills following a breakthrough energy saving scheme being trialled in the Archway Low Carbon Zone.  Further information on Islington news release here.

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Greener Homes Costing Less…but cost more in London

August 2011: The Department for Communities and Local Government (CLG) have released the latest in its regular updates on the additional cost requirements of building homes to higher levels of environmental standards as required under the Code for Sustainable Homes (CSH). CLG’s press release states that “homes built to Code level 3 standards, average extra costs have fallen by almost three quarters in the last three years – falling from £4,458 in 2008 to £1,128 in 2010” – the extra costs being those required to achieve the Code level over the cost of building to the baseline building specification – in this case a Part L 2006 compliant building.
The research highlights that:

  • A significant fraction of the costs of building to Code standards are incurred under the Energy and CO2 category of the Code.
  • Typically meeting Code 3 requirements has involved improvement of the building fabric in combination with a solar thermal system or small PV array.
  • But the standard could also  be achieved through fabric improvement alone at a similar extra-over cost to strategies involving low carbon generation and several home builders cited a preference to avoid installing generator technologies on grounds of simplicity; and
  • A fabric only approach at Code level 3 may become the norm

The research also highlights (pages 70/71) however that there are regional variations in the costs associated with meeting the targets, with London estimated to be up to 9% higher than elsewhere taking labour and material costs (from the industry price guide SPONS) into account.

The report highlights that as yet there is too little experience of building homes to higher levels of the Code however it is likely that biomass systems and community heating networks will be increasingly required to delivered the CO2 savings needed.  In relation to London it must be noted however that :

  • There are major concerns amongst air quality experts in relation to the use of biomass heat and power systems in London which will likely limit their use (new emission standards for biomass systems are currently being devised)
  • Progress on the development of district heating networks in London remains slow despite the Mayor’s commitment to a 2025 25% decentralised energy target for the capital.
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Approvals for new homes in London drop

August 2011: The Home Builders Federation have just issued an update on the number of residential planning permissions granted across the country. It’s not pretty. The HBF comment “These new figures paint a bleak picture. We already have an acute housing crisis that is affecting the quality of life of families, young and old, across the country and the economy. Today’s extremely low levels of permissions will only make things worse in the short term.”
The numbers are dismal everywhere, but London looks particularly bad when compared to previous quarters. Close to 20,000 units secured planning approval in Q1 2006 in London: the latest figures for Q1 2011 show that only 2,692 were approved – the lowest level recorded in the research for London over the past five years.

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Delivering a sustainable games

August 2011: Interview posted on The Guardian’s website with the Olympic’s sustainability team on the environmental challenges in terms of delivering the games and the lessons learned on the carbon mitigation initiatives taken forward.

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Briefing on Sustainable Energy & Planning

August 2011: The Local Government Group’s Planning Advisory Service (PAS) has updated its councillor briefing on sustainable energy. This briefing covers:

  • What is sustainable energy?
  • Jargon busting
  • What does planning deal with and what can be expected from applicants

It provides a useful introduction of many of the key issues raised in relation to the challenges of delivering safe, secure and reliable energy systems at a time of considerable change in the UK energy market.

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Review of the Green Doctor Programme

25 August 2011: The Green Doctor programme “aims to tackle fuel poverty amongst vulnerable residents by providing home visit services in deprived neighbourhoods and is being delivered in Islington by Groundwork London. The project was funded by Ebico Trust, the charitable arm of Ebico, the “UK’s only not-for-profit energy supplier‘, and a progress report of work undertaken to date under the programme has just been published.

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Haringey to invest £15 million in solar panels for schools and homes

25 August 2011: The Tottenham & Wood Green Journal reports that “Schools, libraries, social housing and council offices, which could include the Civic Centre and River Park House, both in Wood Green, will be set up with the photovoltaic panels in a move that could double London’s current solar power capacity. The council will plough in £8.5 million of its own cash into buying panels for council buildings and rent out the rest of its rooftops to third-party providers to raise the remaining £7.5 million for the scheme. Read the full story here.

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Supporting Renewable Energy through Business Rates

August 2011: The issue of how the Government’s proposals for business rate retention by local authorities could help fund sustainable energy initiatives has been highlighted previously on this website, and on 18 July, CLG’s consultation paper, Local Government Resource Review: Proposals for Business Rates Retention sets out the detailed proposals for a new rates retention scheme to replace the current local government finance system. Supporting this consultation paper, the Government has now published eight technical papers exploring in further detail how councils would be allowed to keep locally generated business rates, which should help enable them to borrow against future rate income.

In addition to this potential new investment stream into energy projects, included amongst the technical papers is a specific Government’s proposal to support communities hosting renewable energy projects by allowing them to keep the business rates generated from such projects. The paper covers issues such as:

  • the types of renewable energy that would be covered by the proposals
  • what is meant by a “new renewable energy project”
  • how different scenarios of renewable energy projects would be dealt with
  • who would be responsible for determining whether a project was covered by the scheme and, therefore, not taken into account in the setting of any levy; and
  • how the business rates from a renewable energy project might be split between different authorities in two-tier areas
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Barking & Dagenham Emissions Update

August 2011Barking and Dagenham Greenhouse Gas Emissions just released for the period 1 April 2010 to 31 March 2011

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Visit a London Superhome!

August 2011: The Sustainable Energy Academy’s Superhome initiative seeks to establish “a network of exemplar, old dwellings which have undergone an energy-efficiency retrofit and are local and publicly accessible, within 15 minutes, to nearly everyone in the country”. A number of these highly energy efficient  Superhomes can be visited during London’s Open House Weekend on 17 and 18 September 2011 including:

Many of the homes have managed to achieve CO2 reductions of 60%+ using a variety of measures ranging from draught proofing, triple glazing and high levels of insulation (external and internal wall insulation, flooring insulation and flat roof insulation) to LED lighting, sun pipes,  PV, solar thermal, micro wind turbines and also wood burning stoves. Find out more by visiting these Superhomes.  The links above provide details of how to book a tour.

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