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JANUARY 2019
www.energymanagermagazine.co.uk
Consumers ready to fully
embrace the transition
to electric buses See page 32
INSIDE THIS ISSUE:
4 20 26
Make Thriving LED Lighting
boilerhouse under is taking the
efficiency pressure lead in the
your focus hotel industry
for 2019
In association with:
FRONT COVER STORY:
Consumers ready to fully embrace
the transition to electric buses
See Page 32
www.volvobuses.com/
JANUARY 2019
Showcase your solutions Learned
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ENERGY MANAGER MAGAZINE • JANUARY 2019 3
NEWS
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Water companies in England and Wales
outperform comparable water sectors in Europe
L
eading international water industry study, and that the model has driven up world-class drinking water, reliable sewerage
experts Global Water Intelligence standards and reduced overall costs. services and protection of the environment.
examined the quality of water and Commenting on the new study, Water UK The Global Water Intelligence’s report,
wastewater utilities in six European countries Chief Executive Michael Roberts said: “The International Comparisons of Water
over the past 28 years, based on six key water industry has come a long way since Sector Performance, sets out the six key
service performance indicators. They privatisation in 1989, and customers are areas where they felt there was enough
found that the water sector in England now five times less likely to have interrupted data to make meaningful comparisons
and Wales has outperformed those in water supplies, eight times less likely to between the service in the different
France, Ireland, Italy and Spain since 1990 suffer sewer flooding, and 100 times less countries. Those six areas were:
in terms of the most important measures likely to have low water pressure. The • Water compliance – how good is the
on water and sewerage. In five of the six key business plans that companies have put water that comes out of the taps Find out how SSE Enterprise Energy Solutions
performance measures – including water forward for 2020 to 2025 propose an extra • The quality of wastewater treatment
quality, customer service and costs – the £50 billion of investment, which would • Customer service
can help improve your building performance.
English and Welsh water sector is either see the service improved even further.” • Non-revenue water – the amount of
the top performer or the most improved. The highlights from the draft business plans water ‘lost’ in the system through leakage,
Call us on Or visit
In the sixth measure – the quality of for the water industry in England were set faulty meters or unauthorised use
sewage treatment – the English and Welsh out in the Manifesto for Water, published on • The charge of water and 0345 072 9529 sseenergyoptimisation.co.uk/remoteoptimal
water sector is the second top performer. the 3rd of September 2018. The manifesto wastewater to customers
The report found that the water sector in outlined a 16 per cent cut in leakage, an • The total cost to run the
Germany delivers a broadly similar quality above 4 per cent real-term reduction in service per person
service to that of England and Wales but does average bills, and a 90 per cent increase in More than 220 sources were examined
so at greater expense – with prices about 12 the number of customers receiving financial for the report, which was commissioned by
per cent higher than in England and Wales. support from their water company. It also Water UK, and several national agencies and
The report concludes that there is a strong includes a new programme for helping the statistics offices were contacted directly,
case for stating that the water system in environment, which will see 8000 km of The full report can be found on the GWI
England and Wales delivers the best value rivers cleaned and improved. The average website (www.globalwaterintel.com) and
for money of all the utility sectors in the household bill is currently around £1 a day for the Water UK website (www.water.org.uk)
4 ENERGY MANAGER MAGAZINE • JANUARY 2019
NEWS NEWS
QUEEN’S QUAY SET FOR SCOTLAND’S FIRST NEW SOCIAL HOUSING MUST BE ENERGY
MAJOR WATER SOURCE HEAT PUMP PROJECT EFFICIENT AND FIT FOR THE FUTURE
T A report into England’s
he £250m Queen’s Quay regeneration for many tenants.
project in Clydebank is set to be the site
of one of The UK’s most exciting energy housing crisis claims Recently introduced
MEES (Minimum Energy
projects, creating Scotland’s first of its kind that three million new Efficiency Standards)
large-scale water source heat pump scheme
to connect to a district heating network social houses must legislation in 2018
required private landlords
which will be delivered by Vital Energi. be built in the next to ensure their properties
The ground-breaking scheme will initially
see the installation of 5MW of water source
20 years, in order to were a minimum grade
E in the knowledge that
heat pumps (2 x 2.5MW) which will take heat address the problem. this will improve the living
from the river Clyde and use it to provide
T
conditions of those on low
heating and hot water for the surrounding he report was authored by 16 incomes, with lower fuel
development. The heat generated at the independent commissioners, bills and warmer homes.
energy centre will be pumped through 2.5km including former Labour leader Ed The Decent Homes
of district heating pipe connecting local Miliband and Baroness Syeeda Warsi, Standard has driven social Martyn Reed, Elmhurst’s Managing
homes, businesses and public buildings. and identifies expensive and insecure housing to lead the way with energy Director. “If the recommendation
Scott Lutton, Operations Manager for private renting as a particular barrier efficiency where the level of poor housing becomes reality, the house builders will
Vital Energi says, “This is a very exciting to home ownership, as well as a lack is about half that of the private sector. need to build approximately 400,000
moment in the history of the Scotland’s of readily available social housing. “Social housing and local authority homes per annum, 42% more than today.
energy infrastructure. While there have The government has stated that delivered about 33,000 homes in What is important is that the mistakes of
on Queens Quay and Clydebank as a whole Quay but has the potential to serve
been small open water source heat pumps providing social housing was a priority 2016/17, and therefore an increase to previous booms are not repeated. These
and we are delighted to welcome Vital businesses and houses further afield.
in the past, this is by far the largest to and that it plans to build 250,000 homes 150,000 a year for 20 years, to achieve new homes must be built to the highest
Energi on board to help us deliver it. “It will also make a major contribution
date. Water source heat pumps are a by 2022, including those for social rent. the 3 million required, is a massive standards of quality and energy efficiency
“Once completed, the network will towards the Council’s climate change
low-carbon technology which will become The condition of privately and social increase especially when you consider to ensure that the future tenants don’t
provide heating and hot water to existing targets to reduce CO2 emissions.”
more effective in reducing emissions rented properties was mentioned in that the whole sector currently delivers become the fuel poor statistics of the
buildings including Clydebank Leisure Centre David Pearson, Director of Star
as the grid decarbonises and we hope the report and remains a problem approximately 280,000 homes,” explains future.” www.elmhurstenergy.co.uk
and the Council office campus as well as Renewables Energy who are manufacturing
that, when complete, it will prove an
serving the new homes. The Council aim the heat pumps said, “As a local company,
inspiration to other local authorities who
to expand the network to include areas we’re extremely proud that Scotland’s
want to reduce their carbon emissions.”
of Clydebank and Dalmuir and to address first major water source heat pump
The £15m energy project will provide
fuel poverty by providing affordable heat project will not only be delivered in
heat for the areas homes, businesses
to local residents. West Dunbartonshire Glasgow, but also manufactured in
and some public buildings including West
Council is leading the way with this project Glasgow. This project, once again,
College Scotland, Clydebank Leisure
and our residents, businesses and the underlines that Scotland is at the forefront
Centre, the Town Hall and Clydebank
environment will reap the rewards.” of embracing renewable technologies
Library. The Queen’s Quay development
Councillor Marie McNair, Vice Convener and driving down carbon emissions.”
will also see the creation of 1,000 private
of Infrastructure, Regeneration and West Dunbartonshire Council will meet
homes and 200 homes for social rent.
Economic Development, said: “The people 60% of the cost of the system with the
Councillor Iain McLaren, Convener of
of Clydebank will see the benefits of this Scottish Government funding £6m through
Infrastructure, Regeneration and Economic
EnergyMgr
pioneering project for generations to come. the European Regional Development Fund
Development said: “The District Heating SUSPENDED HEATER
“The system has been designed to not via the Low Carbon Infrastructure Transition
Network will have a hugely positive impact SENSOR
only serve the developments at Queens Program (LCITP). www.vitalenergi.co.uk OUTSTATION
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L
ifecycle Management Group, formerly not only the initial cost of the lease, but Finance, IBM United Kingdom Financial
Make savings of up to 40%
Leaseguard, announces the launch of also the maximum rentals that will ever Services, Shawbrook Bank, Siemens Financial OUTSTATION
Full site management system GAS METER
a new compliant framework for leasing be charged under the lease - regardless Services, Solutions Asset Finance, TP
services designed to deliver the lowest of how often it is extended. NHS Trusts Leasing and Triple Point Lease Partners. Wireless cloud communication
and maintenance
whole-life leasing costs for Public Sector and Public Bodies will be able to select the Jonathan Wickens, Commercial Director
Free annual service agreement*
bodies, including NHS Trusts. The framework weighting they wish between initial and for Lifecycle Management Group explains:
was created in partnership with Cambridge whole-life cost, ensuring the right lease “This framework has been specifically
University Hospitals NHS Foundation Trust. profile is selected to meet their needs. designed with Ts and Cs to ensure our clients
The framework differs from conventional Following a rigorous selection process, the receive bids that deliver the lowest whole- 15 Carnarvon Street 0161 886 7190
www.vickers-electronics.co.uk
Manchester M3 1HJ info@vickers-electronics.co.uk
leasing frameworks by focussing on achieving following 12 lessors have been awarded a life cost, rather than simply the lowest Day Vickers a company
the lowest whole-life costs, rather than just place on the framework: Arkle Finance, BNP 1 cost. This reflects Lifecycle’s philosophy *Year 1
the lowest initial cost in isolation. During Paribas Leasing Solutions, CHG-MERIDIAN of keeping costs down at every stage of
a compliant, online mini-competition, UK, De Lage Landen Leasing, First Asset the leasing cycle and we’re thrilled to have
leasing companies are asked to bid for Finance Capital, GE Capital Equipment so many of the largest lessors on board.”
6 ENERGY MANAGER MAGAZINE • JANUARY 2019 ENERGY MANAGER MAGAZINE • JANUARY 2019 7
NEWS NEWS
TEAM ENERGY’S ANNUAL CONFERENCE WALES DRIVING LOW CARBON VEHICLE AGENDA
SHINES A LIGHT ON THE FUTURE CHANGES
A
utomotive giants including Aston 19th century by Welshman William Grove.
Martin, Nissan, Renault, Peugeot Aston Martin’s Andy Haslam said: “At Aston
THAT AFFECT THE INDUSTRY and Toyota gathered at Hensol
Castle in the Vale of Glamorgan to show
Martin we understand emerging technologies
and want to maintain our position at
Wales’ readiness to maximise on the huge the cutting edge of the industry. We are
A talented line-up of expert speakers joined TEAM at opportunities presented by electric and undertaking the most ambitious growth plan
their Energy Management Conference to talk about the hydrogen vehicles at the country’s first ever
Low Carbon Intelligent Mobility conference.
of any luxury car manufacturer ever, creating
the most accomplished automotive art in the
challenges of a Changing Energy Landscape.
O
Aston Martin Vehicle Line Director world, based on craftsmanship and artistry.
Andy Haslam was there to talk about the We’re embarking on a new era of electric in
n 20 November, TEAM data can help energy management and emissions reduction pledge by 2020. company’s new electric vehicles, the Rapide E Wales, never losing sight of our customers, production next summer.
Energy hosted their annual efficiency in organisations. Yellowfin, TEAM’s Service Delivery Director luxury saloon which will begin manufacturing and who they are likely to be in the future.” The event was chaired by motoring
conference with a theme TEAM’s software partner, worked with rounded off the day with a summary of in nearby St. Athan in the spring, and the The event recognised Welsh innovation presenter and journalist and passionate
of the Changing Energy TEAM to create an Energy Intelligence changes to the organisation since the Lagonda EV in the coming years. He was with an appearance by the distinctive advocate of electric vehicles Quentin
Landscape. Speakers from module for TEAM’s Sigma software. takeover, just over a year ago. He also joined by Carl Bayliss, Head of Nissan EV, gullwing Riversimple Rasa, built in Powys, Willson, and saw Welsh Government outline
industry-leading organisations shared Shawn Deegan said: “We don’t presented a comprehensive 12-month Tony Walker, Managing Director Toyota a pioneering hydrogen-powered fuel cell its policies to support decarbonisation,
their insights on the changing landscape all see the same pattern in data. roadmap for TEAM to drive operational Motor Europe, and Welsh Government electric vehicle; and news of Cardiff-based focussing on the automotive supply chain
and gave information about how evolving Energy Managers have a broad role efficiency with industry standard Economy Secretary Ken Skates who talked Hemmels’ production of the world’s first changes and opportunities as cars go from
technologies can play a positive role. in organisations - Sigma Energy processes, and boost data quality with about the Clean Air Plan for Wales, and electric Mercedes-Benz Pagoda, a beautifully the internal combustion engine to electric
TEAM’s CEO, Simon Miles, set the Intelligence can provide analytics across automation, for TEAM’s Bureau service. reminded delegates that the hydrogen fuel crafted rebuild of one of the world’s most and hydrogen power sources.
scene and National Grid’s Power numerous datasets, help with data Graham Paul, Service Delivery Director cell was actually invented in Swansea in the desirable classic cars, which goes into
Responsive Manager, Rhiannon Marsh, storytelling and add context to all of the said: “The bureau service recently
Crown Estate Scotland issues first agreement
talked further about managing demand information that is found in the data” recovered eight times more in savings
with available energy sources with their One of the regulatory issues facing than the cost of the service to one of
Reforming Balancing Service. Sagnik the industry was addresses by Gary our customers in one single month. This
Murthy from ABB took the conversation
onto ideas around energy resilience
Shanahan from the Department for
Business, Energy and Industrial Strategy
has been the highest cost savings ratio
we’ve ever seen. This has been driven by for critical CO2 storage infrastructure
C
and the opportunities for generation, (BEIS). He gave a detailed overview our improved processes around quality
rown Estate Scotland has Crown Estate Scotland. Making sure that
solar power and battery storage. of the new Streamlined Energy and data and knowledge. By evolving the
announced that it has signed Scotland can use our natural resources to
KiWi Power’s Growth Strategy and Carbon Reporting Strategy. He then service with our 2019 roadmap, we will
its first ever lease option for host this type of cutting-edge technology
Innovations Champion, Richard Hardy, went on to address some broader continue to increase utility bill recovery
carbon dioxide (CO2) storage. is something we’re very proud to be a
challenged Business Secretary Greg issues in a roundtable discussion. These success rates for all of our customers.”
The project, Acorn CCS, which will be part of, working alongside developers
Clark’s notion that the Energy Trilemma included the financial qualifications in Another area for TEAM’s focus for
based at the St Fergus Gas Terminal on such as Pale Blue Dot. We look forward to
is over. He went on to highlight the parallel to ESOS, the future of RHI, how 2019 is the continued development of
the Aberdeenshire coast, is designed working with industry and Government to
benefits of Demand Side Response SMEs will be involved, and minimum the flagship Sigma software. There will be
to take advantage of existing oil and help unlock the potential of this area.”
and how it is an environmentally building ratings in new developments. enhancements to the Sigma EI module
gas assets to quickly deliver large scale, Alan James, Managing Director of Pale
friendly and cost-effective method Later in the day, Verdantix analyst which will give customers endless data
cost-effective CO2 transport and storage Blue Dot Energy and Acorn CCS Project
of stabilising the National Grid. Susan Clarke presented smart building driven opportunities. There will be data
infrastructure in the Central North Sea. Leader, said: “Securing this lease option from
Tradition Energy took the agenda innovation and gave 3 key ideas to integration and importing enhancements,
This is the first lease option issued by Crown Estate Scotland is a really important
to a slightly less bright horizon. Craig make buildings smart. Firstly, boost budgeting improvements and the
Crown Estate Scotland for this technology step to help us develop one of the UK’s first
Mackellar revealed the extent to which operational insights from existing launch of a tenant billing application.
since being established in April 2017 and CO2 transportation and storage networks.
wholesale energy prices are rising. data; secondly, utilise IoT through Graham added: “To complement
signals the organisation’s commitment to Through Acorn CCS, Scotland can use legacy
He reflected that the 70% loss of UK facility sensors; and finally, tap into our software and outsourcing services,
nurturing innovation and contributing to oil and gas assets to deliver environmental When combined with critical CCUS
gas storage has put huge pressure emerging cost-free solutions. we have a pool of talented energy
Scotland’s ambitious climate change targets. benefits, unlocking CO2 transportation infrastructure, Scotland’s excellent geology
on prices in a market that is made We heard from TEAM’s customers consultants. They offer a range of
An option is a precursor to a full lease. and storage solutions for other carbon deep below the Central North Sea has the
up of one third gas generation. Price too. Kamar Zaman and Shaun Spencer services like DECs, EPCs, Energy Audits,
It gives the developer confidence that capture utilisation and storage (CCUS) potential to host around 75% of the UK’s
volatility is a result of unpredictable talked about a shared service approach ESOS reporting and RHI, and more. Over
rights to carry out studies can be granted projects along the east coast of the UK.” capacity of CO2 emissions, helping meet both
wind power and inconsistent storage. to energy management at the London the next 12 months we will be raising
and will allow other work to progress Paul Wheelhouse, Minister for Energy, UK and Scottish climate change targets. St
He emphasised the need to be Borough of Haringey and Hackney. the profile of this service and growing
the proposal. Once new consents are Connectivity and the Islands welcomed Fergus Gas Terminal is an active industrial
interconnected with Europe and hoped Simon Chubb, Environmental Manager at the consultancy business” This event
secured, permissions and consents the lease option agreement: “This is a very site where around 35% of all the natural
that we wouldn’t have a cold January. Anglia Ruskin University, demonstrated has been running for 30 years, but this
from UK agencies are also required. important step forward for the Acorn Project gas used in the UK comes onshore, making
Shawn Deegan from Yellowfin went his approach to cost-effective carbon year, TEAM wanted to take delegates on
Carbon capture and storage is a process and Scotland. Scotland’s key CCUS resource it an excellent location to construct and
on to inspire the delegates about how saving and achieving the public sector a journey of enlightenment around the
which captures large quantities of carbon is our vast potential for the storage of carbon operate new industrial facilities (such as
changing energy landscape. It was the
dioxide emissions from industrial processes dioxide (CO2). Scotland’s ‘over-supply’ of hydrogen generation) and to initiate an
first time that a range of industry experts
Quotes from delegates shared the stage and presented forward
before it is released into the atmosphere.
The CO2 is then transported and stored
offshore geological storage assets, such
as can be found in the Central North Sea,
early CCUS transport and storage hub.
As the body responsible for leasing the
thinking ideas and technologies. This sets
in suitable underground locations – the presents us, as a nation, with an economic rights to renewable energy and CO2 storage
a precedent for TEAM who are committed
Peter McCourt, Group Energy and Lauren Nazarko, Energy Bureau rock formations deep below the Central opportunity in future to be at the centre up to 200 nautical miles from shore, Crown
to ensuring their products and services
Environmental Manager at DW Analyst at Land Securities Group PLC: North Sea are internationally recognised of a hub for the importation and storage Estate Scotland has an integral role in CCUS,
are not only relevant to the needs of their
Fitness First: “The event was “I really enjoyed the presentation for their excellent CO2 storage potential. of CO2 from Europe. In such a way we can and has been working with industry and
customers, but also are compatible in the
thoroughly insightful, informative from ABB on battery storage.” Colin Palmer, Head of Marine at Crown further help address the threat posed by Government to help develop the sector in
ever-evolving energy sector.
and highly engaging.” Estate Scotland, said: “This is a major climate change, while also utilising the skills Scotland. www.crownestatescotland.com
www.teamenergy.com
milestone for the both the industry and within Scotland’s energy supply chain.”
8 ENERGY MANAGER MAGAZINE • JANUARY 2019 ENERGY MANAGER MAGAZINE • JANUARY 2019 9
OPINION OPINION
OUR ELECTRIC FUTURE
A
s fossil fuel resources are has no capacity to absorb new fossil fuel estimate suggests that if one in three that currently, the largest battery project The recent influx of smaller energy
depleted and demand plants. We know that we cannot continue cars sold in 2035 is electric, the charging in the UK stand at 50 MW with Statera’s companies is disrupting the market.
for sustainable energies to rely on fossil fuels to generate the of vehicles would account for 3% of the Pelham Storage project, due to be There are now 60+ energy suppliers
increase, we are looking to a electricity required for industry, transport UK’s total electricity demand. The power completed this December. The project, in the UK market – a fourfold increase
future of total electrification and buildings. This year, electricity generation available at present simply near Bishop’s Stortford in Hertfordshire, compared to a decade ago. These
of energy in homes, industry and generation from coal decreased by 47 won’t meet this increase in demand. has the potential to provide enough energy providers have been credited
transport. This is a world-wide per cent from June to August, compared Short power outages for homes power for over 13,000 average UK homes with opening up competition in the
movement, but specifically in the UK, is to the same period in 2017, representing are disruptive, but nothing compared at any time. Drax have also announced energy space, leading to better deals
the National Grid prepared to meet this just 1.2 per cent of total MPP supply. The to the damage that can be done in plans to build a 200 MW battery for customers and much-improved
demand? Renewable energy solutions gap left needed to be filled by a significant industry. Pressures on the grid can storage project in North Yorkshire. switching rates. More than half a
like solar serve a vital role in meeting increase in energy production from result in so called ‘brown-outs’: drops million customers switched to different
future energy requirements, but are renewable sources. Indeed, September in voltage in an electrical power supply THE COST OF electricity suppliers in September 2018:
the systems currently in place able to this year saw a major milestone in the UK system. If this happens in manufacturing DECENTRALISATION the highest number of switches in a
monitor and react to the significant power market as for the first time there plants the results can be devastating, Taking energy demand out of the month so far this year. And start-up
changes in demand expected? was more renewables capacity on the resulting in six figure damages. More National Grid and localising it presents energy companies such as Octopus
grid than fossil fuels. The challenge for and more big businesses are looking some interesting challenges to the and OVO energy are offering 100%
SHIFTS TO the National Grid is how it will balance for back-ups to their supply. So, what utilities sector. Less than 40% of an green electricity, allowing consumers
ELECTRIFICATION these different energy sources in order can we do to protect consistency in energy bill is the wholesale cost of the to choose energy solutions which are
supply? One answer is likely to be aligned to their environmental concerns.
Paul Hutchens is CEO Shifts towards total electrification to maintain consistency in supply.
The six large energy companies battery storage and smart technology.
energy, the remaining 60+% covers
network costs, operating costs etc. As Peer-to-peer energy trading is also
can be seen across buildings and
of Midlands-based transport, and this movement is gaining dominating the market are having
SOLAR, SMART the sources of electricity production a model that is set to benefit end users.
The model which is still in development,
to show unprecedented agility and change, infrastructure changes are
solar specialists, pace. Looking first at buildings - the
Government’s Clean Growth Strategy flexibility in reacting to changes in TECHNOLOGY needed, and the cost of electricity will allow for producers and consumers
AND STORAGE
Eco2Solar. He is sources of energy. At the same time, distribution will increase. This means to trade electricity directly, rather than
released in 20171 recommends selling to, and buying from the grid. In
these companies are being challenged We believe batteries are going to be bigger bills. As bills increase, more
a board member “phasing out the installation of high
carbon fossil fuel heating in both by the emergence of more nimble, a big shock absorber for the changes in consumers and businesses will choose addition, the advancement of battery
technology and cheaper batteries is going
of the Solar Trade domestic and non-domestic buildings
off the gas grid during the 2020s,
small power generators, which can
immediately smooth supply of energy
demand expected across both domestic
and industry settings. An Energy Storage
to capture and store their own electricity,
effectively becoming ‘off grid’. This to allow more consumers and businesses
Association (STA), the starting with new build.” In addition, supply. These small generators, often
positioned in sites that experience power
report from February 20183 states that “In creates something of a spiral effect in the
utilities market. Investment in the grid is
to install more effective, smarter battery
systems on their premises. Just think
megawatt-hours, battery energy storage
UK’s leading solar following recommendations from the
Climate Change Committee, there is shortages are presenting ‘two-way’ power capacities installed in the UK by the end necessary to ensure supply consistency, what the batteries in laptops were like 10
years ago. Battery units are now cheaper,
industry voice, and widespread agreement that heating systems where low carbon energy such
as solar are complemented by energy
of 2022 will be 50 times what they were
as 2017 ended.” As well as solar panels,
but each user that comes off the grid
reduces the grid’s ability to absorb these lighter and more efficient. These great
must be decarbonised in order to
Chairman of the STA’s meet the UK’s 2050 carbon targets. sources like batteries and small, local Eco2Solar install EV charging points costs – and the increased costs will be advances in battery technology are likely
to benefit consumers in and out of home.
power stations. These ‘pop-ups’ are and battery storage in new houses. We passed on in increased energy bills for
New Build Working In terms of transport, all eyes are
on electric vehicles (EVs). In 2017, increasingly valuable at times of peak are preparing for a significant increase those still needing connection to the This is all good news for the
consumer. The mix of new services and
Group which aims to the Government pledged to ban demand, especially as we experience
more phases of extreme weather.
in demand over the coming years as
individuals and companies aim to be
Grid. This dynamic is going to be very
difficult to stop once it builds momentum business models such as peer-to-peer
production of new petrol and diesel
inform governments, car sales by 2040 and more recently
THE ENERGY GAP?
more self-reliant. It is still early days for and creates significant problems for energy trading, home energy storage,
smart tariffs should drive down bills.
the utilities sector. Self-sufficiency
councils, house there have been calls to bring that
ban forward to 2032. Several large To date, the Office of National
home batteries, but costs are starting
to come down. The space is starting in energy generation is welcomed Electrification is gaining pace, and
builders and but the safety net of a centralised this represents an opportunity for
car manufacturers have announced Statistics (ONS) reports that demand for to get interesting, as the big six energy
electricity resource is also important. significant reductions in energy bills for
electricity has been pretty constant. In the companies race to make their mark in
consumers about that they will shortly stop production
of vehicles powered solely by internal 25 October2 report detailing availability the consumer solar and storage market.
consumers. The process is not going to
WHAT THIS MEANS be without challenges, and it is going
sustainability in combustion engine. Volvo will stop next
year and Jaguar Land Rover in 2020.
and consumption of electricity, ONS
notes “Overall for the three-month period
Smart technology is key to getting
the most out of these storage solutions. FOR CUSTOMERS to be interesting to see which of the
housing. Here, Other major manufacturers plan to to August 2018, consumption in the In homes, smart energy systems can Unlike fossil fuels, electricity can
energy companies thrive and which
fail to keep the pace. In the meantime,
balance the overall electricity load,
Paul discusses the release high-profile electric models,
including Volkswagen who have recently
industrial sector increased by 0.8 per cent
compared to the same period in 2017. using the ‘free’ electricity from the
be captured and stored at home
through domestic solar and battery
focus on off-grid energy solutions like
solar greatens, and we’re already seeing
quickening pace announced plans to handle production Consumption by other final users had
a 0.1 per cent increase on the previous
sun to run appliances at times when
energy from the Grid is at its highest
systems. As climate change becomes increased interest in the battery storage
of 50 million electric vehicles. an increasing concern for end users,
towards electrification Electrification of industry is following year.” In 1997, total consumption of cost. The ability to store energy at it is anticipated that this will further
solutions. We are looking forward to
working with more house builders as
peak times and use it at low peak will
of energy the UK, suit behind buildings and transport, but
the pace of change is slower. However,
energy in the UK was 321TWh. Twenty
years on, in 2017 we consumed just present cost benefits to consumers.
influence government policy and
regulation and accelerate adoption of
the shift towards electrification quickens
and demand for sustainable solutions
what this shift means for buildings and transport the not- 308TWh. There are many reasons for this Investment in out-of-home storage
is soaring. Energy Storage News reports
sustainable technologies throughout continues. www.eco2solar.co.uk
so-distant future looks to be electric. including the improved energy efficiency homes industry and transport.
for the grid, and how of electrical products, systems and
INDUSTRY RESPONSE 1. GOV.UK. 2018. Clean Growth Strategy - - GOV.UK . [ONLINE] Available at: https:// 2022 | Energy Storage News. [ONLINE]
our electric future TO ELECTRIFICATION
processes. However, this is set to change.
In 2017, the National Grid warned that
GOV.UK . [ONLINE] Available at: https:// www.gov.uk/government/statistics/ Available at: https://www.energy-storage.
should ultimately
www.gov.uk/government/publications/ electricity-section-5-energy-trends. news/news/uk-battery-storage-to-enjoy-
by 2030, electric cars could require 3.5- clean-growth-strategy. [Accessed 20 [Accessed 20 November 2018] explosive-growth-to-2022. [Accessed 21
In November 2018, the International
8GW of additional capacity, on top of the
benefit all consumers. Energy Agency reported that the world
current peak demand of 60GW. Another 2.
November 2018].
GOV.UK. 2018. Energy Trends: electricity
3. Energy Storage News. 2018. UK battery
storage to enjoy ‘explosive growth’ to
November 2018]..
10 ENERGY MANAGER MAGAZINE • JANUARY 2019 ENERGY MANAGER MAGAZINE • JANUARY 2019 11
OPINION OPINION
HEAT: DETANGLING NEW ENERGY TECHNOLOGY
DECARBONISATION COULD SAVE BRITISH
Kevin Stickney, Managing Director at Erda
HOSPITALITY AND LEISURE
SECTOR £310M-A-YEAR
Energy, argues clearer thinking is needed to meet
decarbonisation goals in the heating sector.
I T
Building Council recently called again for
f I asked you: should we get the train or path to zero carbon power. That means
action on this point). Reinstating the zero
UK businesses in the hospitality and
drive? Take the motorway or the B-roads? immediate carbon savings for electrified he report Distributed Energy:
carbon homes policy that was scrapped in
Will the traffic be bad? You’d probably heat that will only grow as the grid greens. Powering the future of
2015 would be a start, as would upping the
reply: well, where is it you’re going exactly?
Because trying to plan a journey
Electrolysis, by contrast, is at least a
generation away at a commercially viable
ambition on the new ECO consultation.
hospitality and leisure, found
that if just 50% of businesses
leisure sector could save at least
without an idea of destination is doomed scale. Nor will it appear spontaneously: most
Then look at the opportunity presented
by smart heating controls such as Hive and
in the sector adopted new £310m-a-year on their energy bills by
to fail. Yet that’s precisely where we’ve
found ourselves in the debate around
likely it will only take off if there is already
an extensive hydrogen network, meaning in
Nest. We are woeful at controlling heat in
energy technology it would boost UK
economic growth by £3.7bn GVA (Gross adopting new energy technologies like
decarbonising heat in the UK. the meantime we’d need to rely on steam
the UK but software will eat inefficiency
and smartphone apps will boost user
Value Added) and support 50,000 jobs.
The hospitality and leisure sector
solar panels and batteries, according
We know some things for certain: 2050 methane reforming (SMR), which releases
is only 32 years away, by which time we need carbon which would need to be captured
engagement to help reduce peak demand.
Coupled with better insulated, less wasteful
is the UK’s third largest employer and to a report published by Centrica.
100 per cent, total decarbonisation of heat to by carbon capture and sequestration (CCS). spends more than £1.3bn a year on
homes, we could see that ‘six times’ gap year (1.3 MtCO2e), or the equivalent The facilities team must ensure
meet our legally and morally binding climate That technology that doesn’t currently exist energy. Businesses have been challenged
start to narrow pretty quickly (in fact, we of 23 million tonnes by 2030. This is power is supplied to all of these different
commitments. We also know that the two at the required commercial scale either. to improve their energy productivity
already are). These are no-regrets courses equal to the annual carbon emissions buildings as well as provide heat for
frontrunner ‘big ideas’ are electrification and Bloomberg New Energy Finance’s Michael by 20% by 2030, as set out by the
of action that need to happen now. associated with the energy use of the 1,000m³ of water in the waterpark.
greening the gas network with hydrogen. But Liebreich recently wrote that “anyone Government’s Clean Growth Strategy.
Having reduced heating demand, we 421,000 homes, or equivalent to the Centrica Business Solutions installed a
that’s where clarity stops and we’ve jumped promoting SMR-based hydrogen as a climate Alan Barlow, UK and Ireland Director
can start to think about how electrification entire housing stock of Norfolk. combined heat and power unit (CHP)
immediately to internecine squabbles about solution deserves their own circle of hell.” at Centrica Business Solutions, said: “New
fares at meeting what remains. Would it at the resort capable of generating
the costs and technical challenges of each. Both options fail on beginning to energy technology has the potential to
We’re fretting about traffic and lane closures deliver complete decarbonisation now.
really create just too much power demand?
drive growth, increase efficiency and help CASE STUDY: ALTON up to 850kWh of electricity. CHP is a
before deciding where we’re headed. It could take 20-30 years to see these
It’s worth pointing out that we don’t reliably
give businesses in the hospitality and TOWERS RESORT form of on-site energy generation that
measure heat demand the same way we do uses the heat by-product of electricity
That’s tangled thinking. Step one technologies deployed at the necessary leisure sector a competitive advantage. An example of a hospitality
for electricity. Usually we use gas demand as a generation so that it can be put to
is to figure out which option offers scale. We can’t wait a generation to start “Investing in this area doesn’t just business realising the benefits of new
proxy, so interlinked they are. But gas is never use – in this case, to maintain water
the most credible path to complete serious decarbonisation of heat. make sense financially. Businesses are energy technology is the 550-acre
100 per cent efficient, there is always wasted temperature in the park. Meeting these
decarbonisation (and can start having an increasingly harnessing the sustainability Alton Towers Resort. It is home to four
effect immediately). Step two is to then RUMOURS OF energy. So we may well find that final energy
benefits of low-carbon energy technology hotels, a conference centre, more than two needs from one source results
demand is a little less dramatic than we think.
address the challenges. Who picks where IMPOSSIBILITY, GREATLY to attract and retain growing numbers a dozen restaurants and Europe’s in an annual saving on energy costs
Second, electrification and thermal
they’re going because the roads are clear? EXAGGERATED storage technologies open up possibilities
of environmentally-savvy consumers.” largest waterpark. The hotels alone can for Alton Towers of 12% a year.
The research suggests that accommodate 2,500 guests and 400 staff. www.centrica.com/economicfuture.
So: electrification offers the only
THE CART PULLING to time-shift demand, smoothing the ‘6x’
savings could be achieved by adopting
currently credible path to zero carbon peaks. This could be as simple as filling a hot
THE HORSE heating. With that as a starting point – the
distributed energy technology such
water tank when power is plentiful overnight,
as efficient heating and lighting, solar,
THE ONLY
Fretting about implementation horse firmly in front of the cart – what or as advanced as using geo-exchange to
Combined Heat and Power (CHP) and
challenges before assessing decarbonisation are the challenges that this approach store heat in the ground over summer to
battery storage. New energy monitoring
potential is putting the cart before the faces and are they surmountable? be used in winter. Electric systems can also
PUBLIC SECTOR
technology can also help to identify
horse. How can we reverse that? What does the journey look like? participate in demand response programmes,
inefficient equipment and processes.
We can start with some basic There is one overarching argument which are increasingly popular at the
questions. First, which technologies can against electrification of heat that is put
CARBON EMISSIONS
ENERGY
commercial and industrial level and promise
deliver truly zero carbon heat and second, forward time and time again: that peak
which can start to do so now? To the heat demand in the UK is roughly six times
great opportunity at the domestic one.
SAVINGS FOR THE
So, let’s start right now by getting a better
HOSPITALITY AND
JOURNAL
first question, we can answer electrified (‘6x’) peak power demand, and that the understanding of actual heat demand and
heat or electrolysis-generated hydrogen volume of extra generation required and reducing it – that first part of the journey is
LEISURE SECTOR
powered by zero-carbon generation. the strain on the distribution grid makes the same regardless of the destination. Then The report follows the publication www.energymanagermagazine.co.uk
To the second though, the only answer it unfeasible. Thirty extra Hinkley C’s is let’s get clear about where we’re headed and of Centrica’s ‘Powering sustainability’
is electrification, where various technologies one questionable figure bandied about. start planning how to get there – not the other report in October, which found that
have existed for decades, such as air and But that ‘6x’ argument doesn’t stack up. way around. It’s clear to me that electrification the hospitality and leisure sector
ground source heat pumps, and are getting First, we have the fact that as a country is the most viable route to truly zero-carbon could reduce its annual carbon To receive Energy Manager Magazine
better all the time. Moreover, they rely on we have been incredibly lazy when it comes heat and has the advantage that we have the emissions by 14% through the
electricity to generate heat – recognisably the to controlling heat. Cheap, plentiful North proven technology to start right now. There adoption of new energy technology. FREE of charge, please visit:
one area where we have achieved significant Sea gas has seen the UK trundle along are legitimate challenges – notably around Centrica calculated that, if just half
success in decarbonisation. Average grid
carbon intensity stood at an estimated 254
with some of the most inefficient building
stock in Europe. There are big, easy wins to
the peakiness argument – but they have been
shown to be overblown. In any case though,
of hospitality and leisure businesses
in the UK adopted distributed energy energymanagermagazine.co.uk/
tonnes of carbon emitted per GWh produced
by 2016, down from 456 in 2010. What’s
be had by tightening building regulations
to make our homes and businesses less
we need to detangle our thinking and start technology, the sector could reduce
emissions by the equivalent of 1.3
subscribe
making decisions now. Climate change won’t
more, there is a credible (though not easy) wasteful (both Energy UK and the UK Green wait. So, where to? www.erdaenergy.com million tonnes of carbon dioxide a
12 ENERGY MANAGER MAGAZINE • JANUARY 2019 ENERGY MANAGER MAGAZINE • JANUARY 2019 13
ENERGY MANAGEMENT ENERGY MANAGEMENT
HOW ADDRESSING DATA
LATENCY COULD HEAT AND
COOL OUR HOMES AND it to use reduces our consumption of
BUSINESSES
fossil fuels. Creating an integrated, local
grid heightens resilience, particularly
against extreme weather and unplanned
outages, and by being thermally efficient
Kevin Stickney, Managing we can also increase energy productivity.
As our data demand grows
Director, Erda Energy. exponentially, we must stop to think
T
about how we power this need. The
amount of data that we need to
PRIVA BMS HELPS PRESERVE
he pace of change in how synergies between data
process to keep up with the evolution
we produce and consume centers and the
of the internet of things cannot also
HISTORIC HQ OF NATIONAL
data is accelerating. As communities
see us exponentially increase power
our world becomes ever in which they
too – particularly as we strive to meet
CENTRE FOR WRITING
more interconnected, we serve. This
carbon and climate targets. So how can
must adapt and plan for the needs of brings us neatly
a data center operator squeeze more
T
tomorrow – as if it were yesterday if onto district
out of the energy that they use? How
we want to keep up. Another major energy, heating he National Centre for Writing, Controls Ltd (EMC), a long-standing Priva
can we process more kilobytes per
change we face as a society is the and cooling. which has just completed partner, was appointed to the project.
kilowatt hour? The likes of Facebook and
shift to a world driven by renewables Why burn a a £2 million extension and This time around, however, the
Amazon are already committing to power
in the face of climate change. Mostly fossil fuel when refurbishment project at its list of demands was much longer as it
purchase agreements for renewable
these shifts are considered in isolation, we can capture headquarters in Norwich, called upon involved the renovation of a structure
electricity, but the next move needs to
but a more coordinated approach energy instead? the capabilities of the latest Priva BMS that is one of the famed ‘Norwich 12’
be valuing waste heat properly. It’s a
reveals some useful intersections. District (building management system) as a iconic buildings. Dragon Hall, which is
resource that can be recaptured and
energy is a vital part of the upgrade. By installing renowned for its spectacular timber
NO TIME FOR BUFFERING network of hot
reused several times over and help to
state-of-the-art Priva Blue ID technology crown-post roof and intricately carved
significantly improve energy productivity.
The premise of the classic cat video and cold-water source of to monitor and control the internal dragon, is symbolic of Norwich as a
After big weather events we often see
is changing, where once we may have pipes that can revenue, and climate, the organisation hopes to city of historic national importance.
reports of energy infrastructure being
required a few milliseconds to buffer and be used to heat and for the community ensure that the building’s fabric, The existing BMS, as well as being
damaged and becoming unavailable, or
then be on our way, the cat now requires cool buildings, whether that it’s a reliable source of which includes ancient timber beams, unreliable, suffered from both poor
running at a reduced capacity. Whereas
a constant, real-time connection for us to be businesses, homes, universities, low carbon, low cost heat. is preserved in an optimum way. usability and operability, being described
keeping heat or cooling in the ground
interact with him and move through his shopping centers etc. In more traditional Once you’ve looked at all the Since 2015, the National Centre for as “fiddly and not user friendly”. Upgrading
is virtually impossible to destroy, and
augmented reality space. Cats in virtual set ups the thermal energy is produced economic options for capturing waste Writing has been based at Dragon Hall, the system in terms of better control and
with much of the infrastructure below
reality are perhaps a fairly low priority in by boilers, combined heat and power or heat in your local area, geo-exchange can a Grade I listed, 15th century medieval easier maintenance, was thus a priority.
ground, it is a lower risk of damage. And
terms of ensuring seamless data upload absorption chillers, all of which rely on provide the rest. Using deep boreholes to trading hall of significant historic interest. At all stages of the project, EMC
in terms of disaster response, emergency
and download, yet the internet of things, using vast amounts of energy to generate take advantage of the consistent ambient In such a building, factors like humidity needed to be mindful in terms
responders increasingly depend on
and emergency services, are not. heating and cooling. Yet, waste heat is temperature of the earth, geo-exchange can have an extremely detrimental and of minimising any disruption to
the data network - having critical
Latency – the measure of how long all around us, seeping out of everyday can provide both heating in winter and compromising effect on the internal building’s day-to-day operations. As
infrastructure at full service, whether that
it takes to retrieve data from a server infrastructures such as sewers, electricity cooling in summer. The system uses structure. With this fact in mind, and the well as hosting the National Centre
be hospitals, fire and police stations or
– is a critical issue when autonomous substations, subways, buildings and EV electricity as its only input and can ‘time- knowledge that the building’s existing for Writing, an organisation called
the data network for those responders
vehicles must make life-changing charging stations as well as being stored shift’ energy by storing or drawing excess BMS was reaching the end of its life and the Dragon Hall Heritage Volunteers
to coordinate across, is lifesaving
decisions instantly. It’s an important in the ground around us and water heat from the ground on either a short- becoming unreliable, the decision was act as tour guides to the building,
stuff. While many of these facilities will
one in lots of other applications sources including rivers. So, it doesn’t term (hour by hour) or long-term (season taken to invest in Priva technology. which is also home to a museum.
have backup generators for power,
too; nobody will be interested in make sense to expend lots of new, by season) basis. In essence it can ensure Although Dragon Hall, the Great Couple this task with the priority of
thermal provision is often overlooked.
augmented reality if it cannot run as fossil-fuel based energy to generate heat thermal loads are matched at all times, Hall of which was built in 1430, is a not compromising the building’s structural
In a hospital where controlling the
smoothly as real life or does not meet when we could just capture it instead. providing the same level of system befitting home for such a prestigious fabric, and the size of the challenge is
environment is critically important,
our visual quality requirements. The opportunity for data centers flexibility as any other thermal source. organisation as the National Centre plain to see. The historical significance
a reliable, resilient system is key.
The distance between user and The process of “data” involves A whole-systems approach for Writing, there is a constant need to of Dragon Hall cannot be overstated;
So, as we step into this new world
server is a key factor in determining the converting masses of electricity into Taking a local approach creates a ensure that the building is both fit for although the Great Hall on the first floor
of augmented reality and the internet of
level of latency: roughly 1 millisecond is massive amounts of “heat” – which the different way of thinking about energy. purpose and properly preserved for the was built in the 15th century, some
things, it’s important we take a moment
added for every 60 miles1 the data must data needs to get rid of. Yet the same It pushes us to take a holistic view of future. With this in mind, permission parts of the site are much older. In fact,
to explore the new opportunities that this
travel. To reduce latency and support the heat that is a nuisance for data centers the system around us, not just thinking was sought to upgrade the property. archaeological research shows evidence
creates. And as urbanisation continues
changing needs of data we must bring can be a valuable resource for the about energy, but about transport, data, Clearly, as part of such a major of a Saxon building beneath the hall that
it will be especially important for those
data centers closer to their users. In the community. By looking beyond their own infrastructure and behaviour, so that we innovation, the opportunity arose was erected around the year 1000.
cities that are already struggling to meet
past, many data centers were located doors to collaborate with the community can be smarter in meeting the needs to optimise the climate control for The upgraded and extended Dragon
the needs of their inhabitants. If we
in remote areas, where real estate is that they serve with all of their data of our businesses and communities. both occupant comfort and building Hall was opened in June 2018, and the
encourage everyone to share energy
cheaper, and the power grid less strained, needs and manage their thermal load But taking a local approach does preservation. The existing building was end user is reporting complete satisfaction
in this way, use can be optimised –
but recent technological developments collectively, everyone stands to benefit not mean that the benefits are only served with an ageing BMS prone to with the new BMS. Moving forward, more
meaning less resources required all
open up new opportunities to create from more affordable energy bills. For local, there are systemwide benefits reliability issues. To address the situation, benefits are anticipated. www.priva.co.uk
round. www.erdaenergy.com
1 https://www.pingman.com/kb/42 the data center it could be an additional too. Capturing waste heat and putting Norwich-based Electrical and Mechanical
14 ENERGY MANAGER MAGAZINE • JANUARY 2019 ENERGY MANAGER MAGAZINE • JANUARY 2019 15
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