Changing Scale - Decentralisation

Time for a change of scale?
Microgeneration
Most electricity is generated by large thermal power
plants that connect to a high-voltage transmission
network and transmitted to consumers via regional low
voltage distribution networks
Centralised model
58%
1.5%
5%
Conversion losses Transmission losses Distribution losses
Energy input
Energy delivered ~35%
100%
Source, Allen et al. Adapted from DTI 2005 and OFGEM 2006
Why microgenerators
•Losses in the current electricity supply system amount to

around 65% of the primary energy input, mainly due to heat
wasted during centralised production
•So to provide 1 unit energy at the point of demand, 3 is

used to produce it
•Micro-generation and other decentralised technologies

have the potential to dramatically reduce these losses; heat
generated by localised electricity production can be
captured and utilised
Incentives
• Close to demand
• Reduced loses
• Financial/policy pushes
– FIT
– RHI
UK: AVERAGE HOUSEHOLD
18,000
16,000
14,000
Energy demand (kWh)
12,000
10,000
8,000
Losses
6,000
4,000
2,000
0
1970 1975 1980 1985 1990 1995 2000 2005
Natural gas Electricity Electricity (primary) Solid fuel Renewables and waste Petroleum
UK domestic sector energy consumption per household, by fuel type

(Adapted from BERR 2007; Communities and Local Government 2007; DTI 2006)
Decentralised or distributed energy
• Refers to the generation of energy close to
the point of use.
• Can denote a range of generator sizes;
from community or district-level down to
individual households.
• Predicted (by the DTI) that micro-
generation could provide 30 – 40% of the
UK’s electricity needs by 2050
Electricity
Combined
Micro-wind Embedded PV
Micro-CHP:
Heat
Stirling (shown)
Internal combustion
Fuel cell
Solar thermal Heat pumps (air-source

shown)
Woking Borough
• Has one of the widest decentralised and
low carbon energy networks in the UK
• Is located 40km SW of London
• Population of 90,500
Woking concept
1.4MWe gas-fired
CHP energy
station. This
provides heating,
hot water, cooling
and electricity to
a cluster of public
and private
buildings
Woking
• Gas-fired CHP in a number of sheltered
housing schemes, community centres,
short-stay family accommodation and
Woking’s leisure and swimming
complexes.
• A government-funded demonstration
project using hydrogen fuel cell technology
to produce heat and power for the Pool in
the Park complex.
PV in Woking
• Large PV arrays
installed on 15
community and
housing sites
• PV-integrated glazing
in a new canopy
installed in the
redesign of the public
realm
Outcomes so far…
• Energy savings 52%
• Council emissions reductions 82%
• Borough wide emission reductions 21%
Questions
• PV has an efficiency of about 15%,
compared with much higher efficiencies in
CCGT etc. Does efficiency matter when
it’s renewable energy?
• What’s more important – low carbon or low
cost?
• Do you think microgeneration /
decentralisation has a role to play?
Energy payback comparison of some
microgenerators
Allen et al, 2008

Levelised cost (£/MWh)
Large scale Gas CCGT 80.4

CCGT with CCS 106.5
Coal (ACS with CCS) 124
Onshore wind 77.8
Offshore wind 136.8
Nuclear power 76.1
Small scale microwind 500

PV 390
SHW 260
DECC (large scale) and Harajli 2010(micro)
Cost delivered electricity?
Levelised cost (£/MWh)
Large scale Gas CCGT 80 85

CCGT with CCS 107 113
Coal (ACS with CCS) 124 131
Onshore wind 78 82
Offshore wind 137 145
Nuclear power 76 81
Small scale microwind 500

PV 390
SHW 260
Decentralisation in other
countries
• Many countries in the EU have
decentralised networks for both heating
and electricity
Localised Waste use?
Renewable Energy Association

http://www.veoliaenvironmentalservices.co.uk/Documents/Publications/Main/Imagine%202050/Imagine%202050%20Brochure.pdf
Developing countries
• Micro and decentralised energy ideal for
developing countries
• http://www.bbc.co.uk/news/world-asia-
pacific-14967535
Conclusions
• Microgenerators can have a capacity to
reduce GHG and have relatively short
energy payback times
• Beneficial financial paybacks are not so
clear
• FIT provides a financial incentive for
domestic installation
• Domestic installation of microgen seems
to have other impacts on consumption as
well
Further Info
• http://www.resourcesmart.vic.gov.au/documents/
SEZ_Case_Study_Woking.pdf
• www.woking.gov.uk/planning/policy/ldfresearch/
ccdrlceeb.pdf
• http://www.decc.gov.uk/assets/decc/statistics/
projections/71-uk-electricity-generation-costs-
update-.pdf
• Decentralised in developing countries:
http://www.undp.org/energy/docs/Energy_Decentraliz
ation_r8.pdf

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Time for a change of scale?

•Losses in the current electricity supply system amount to

•So to provide 1 unit energy at the point of demand, 3 is

•Micro-generation and other decentralised technologies

UK domestic sector energy consumption per household, by fuel type

Solar thermal Heat pumps (air-source

Allen et al, 2008

Large scale Gas CCGT 80.4

Small scale microwind 500

Large scale Gas CCGT 80 85

Small scale microwind 500

Renewable Energy Association

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