CRU Presentation Committee On Climate Action 19 December 2018 - - PowerPoint PPT Presentation

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CRU Presentation Committee On Climate Action 19 December 2018 - - PowerPoint PPT Presentation

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CRU Presentation Committee On Climate Action 19 December 2018 www.cru.ie Mission Protecting the public interest in Water, Energy and Energy Safety Vision Energy supplied safely A sustainable, reliable and efficient future for energy

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CRU Presentation

Committee On Climate Action 19 December 2018

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Mission

  • Protecting the public interest in Water, Energy and Energy Safety

Vision

  • Energy supplied safely
  • A sustainable, reliable and efficient future for energy and water
  • Empowered and protected customers paying reasonable prices
  • A secure, low carbon future
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Who the CRU Regulates Networks Generation Safety Retail

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A Low Carbon Future – How CRU Will Contribute

  • Connection
  • Enduring connection policy
  • ECP1 – facilitating 2020 targets
  • ECP2 – facilitating RESS
  • Renewable gas – connections

and safety

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  • Networks
  • 5 year price controls for gas and

electricity networks

  • Interconnectors - integration of

renewables

  • Gas and Electricity integration into

transport and heating

  • Water – support resilience,

conservation and adaptation A Low Carbon Future – How CRU Will Contribute

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A Low Carbon Future – How CRU Will Contribute

  • Wholesale Markets
  • SEM supports flexible units & roll-out of

renewable tech

  • SEM supports flexible demand and storage
  • SEM ensures the most efficient use of

interconnectors

  • DS3 programme accommodate higher levels of

renewables

  • CEP requires further changes to support low-

carbon future

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A Low Carbon Future – How CRU Will Contribute

  • Retail Markets
  • Protect and empower customers
  • Enable customers to benefit from competition &

new tech

  • Support active engagement in energy markets

(prosumer)

  • Smart Meters facilitate renewables
  • Smart Meters support microgeneration
  • Encourage energy efficiency through price signals
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Smart Meter Upgrade

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  • The smart meter upgrade is a project of strategic national importance for

Ireland’s energy future

  • Established by the Commission for Regulation of Utilities (CRU) and the

DCCAE

  • Multi-stakeholder project for the deployment of upgraded meters and the

delivery of smart services to electricity and gas customers

  • Important element of DCCAE’s ‘Transitioning Ireland to a Low Carbon

Energy Future’

  • Central role to the European Commission’s Clean Energy for All package of

legislation which ensures energy consumers are entitled to a smart meter and a dynamic price contract

Empoweri ng Customers Energy Efficiency

Supportin g Renewabl es Smart Grids Smart Metering

  • More choice and information to consumers
  • Eliminates need for estimated readings
  • New products & services e.g. time-of-use

tariffs will allow customers shift consumption to times of the day when electricity is cheaper

  • Rich information to consumers
  • Price signals to encourage energy efficiency
  • Tamper alerts to detect theft
  • Essential first step to development of smart grid
  • Managing effective demand
  • Improving security of supply
  • Facilitate development of more renewable power

in the system

  • Supporting microgeneration and the development
  • f the ‘prosumer’

Project Background & Overview

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  • -9.93% reduction in ‘peak time’

consumption as a result of time-

  • f-use
  • End of estimated bills
  • Avoided costs of manual meter

readings

  • Avoided costs of site visits for

meter works

  • Avoided costs of network

reinforcements

  • Theft reduction
  • Reduction in call volumes due to

estimated bill queries

  • Reduction in switching related

costs

  • Reduction in costs related to

customer debt

  • Reduced generation capacity

requirements

  • 1.3% reduction in the System

Marginal Price due to peak shifting of consumption

Smart Meter Upgrade

Costs & Benefits:

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Thank You

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Appendix

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Major Projects to be Delivered: 2019-2021

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  • Deliver five year price controls for both the gas and electricity networks
  • Progress and make decisions in relation to the Greenlink and Celtic interconnector

applications

  • Oversee the start of the roll out of Smart Meters including updating retail market

and customer protection policies

  • SEM – implementation of remaining aspects of the third package and the CEP
  • Develop revised arrangements for the calculation of the PSO Levy
  • Ensure preparedness and resilience with a focus on SoS, Brexit and the CEP
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A Low Carbon Future – How CRU Will Contribute

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  • Ensure market and utility network policies support a low carbon future while

supporting competitiveness and security of supply

  • Introduce gas from renewable sources to the network and grow the level of fuel

switching from high carbon fuels to gas, in both heating and transport

  • An enduring electricity connection policy that supports climate targets
  • Review network tariff structures to ensure they are suitable for a decentralised

generation world with smart metering, smart grids and distributed generation

  • Critical public-interest infrastructure, including electricity interconnection, is

supported, in line with the NDP and the Climate Change Mitigation Plan

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A Low Carbon Future – The Role of Wholesale Markets

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  • Implementing revised arrangements brings the SEM in line with EU Target Model
  • Balancing market sends strong signals for flexible units (incl. batteries & demand response),

ensures the most efficient use of electricity & supports further roll-out of renewable technologies

  • Implementation of market coupling ensures the most efficient use of interconnectors
  • DS3 programme increases system ability to accommodate higher levels of

renewables

  • CRU will provide strategic advice and support to DCCAE regarding the design of

the RESS Auctions, sharing experience delivering SEM Capacity Auctions

  • CEP will require significant changes to the SEM to facilitate a low-carbon future
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A Low Carbon Future – The Role of Bio-Gas, CNG and other RNG

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  • Renewable gas (RNG) introduced to the network from 2019 will initially be biogas
  • Biogas is a potentially carbon neutral fuel most commonly produced by anaerobic digestion of
  • rganic farm/household waste and sustainable crop/grass production
  • Guarantees of origin will allow industry (heat & power) and transport companies

to prove green origins, thus providing support for biogas developments

  • GNI target: 20% of gas demand levels to be met with RNG by 2030.
  • CRU approved €13M innovation allowances to supports GNI’s Causeway Project: 1 biogas injection

facility (2019) and 14 CNG stations

  • Other RNG: RES-E could be utilised to create ‘green’ hydrogen.
  • Can be blended with natural gas, used itself or combined with CO2 to create synthetic methane
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A Low Carbon Future – The Role of Interconnection

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Electricity Interconnectors can bring potential benefits, including:

  • Reduce the curtailment of renewable electricity
  • Facilitate further integration of renewable electricity generation
  • Reduce the need for subsidies to support renewable electricity
  • Reduce GHG emissions due to lower curtailment (more efficient use of existing

renewable electricity plants) and also replacement of thermal generation