The Voice of the Networks Gas Network Innovation Strategy
March 2020 Contents Gas Distribution Gas Transmission
Foreword...... 03 1 Introduction...... 04
Our strategy...... 05
How to get involved...... 06 2 Principles and outcomes Customer benefit...... 08 1 Collaboration...... 09 Carbon impact...... 10 Data and outputs...... 11 Scale up and roll out...... 12 1
Shared network innovation themes Consumer vulnerability...... 14
Net zero and the energy transition...... 16 1 2 1 Optimised assets and practices...... 18 3 4 Flexibility and commercial evolution....20
Whole energy system...... 22
...... 24 Next steps This Gas Network Innovation Strategy has been produced by Energy Networks Association (ENA) and the GB Gas Licensed Network Operators (LNOs). ENA is our voice, representing the ‘wires and pipes’ transmission and distribution network 02 operators for gas and electricity in the UK and Ireland. Foreword
We are pleased to present this revised and refreshed Gas Network Innovation Strategy. This document sets out for you, our stakeholders, what our high-level ambitions and priorities are for network innovation.
Innovation in our energy networks is playing We published our first strategy in 2018. a key role in the transformation of the energy It helped us to align our priorities, share system for a zero carbon future. Innovation thinking and avoid duplicating efforts. But projects allow us to better understand how we felt it could go further. We recognise to integrate and roll out new technologies, there is still work to be done in joining up practices and markets and help to tackle the with the electricity network companies wider energy challenges we face. and facilitating whole energy system Funding mechanisms, including the Network approaches. Therefore, this revised strategy Innovation Allowance (NIA) and Network has shared principles and themes with the Innovation Competition (NIC) administered Electricity Network Innovation Strategy. We by Ofgem, are enabling an extensive are moving towards producing one shared portfolio of projects that are changing how strategy in the future. our energy system works and delivering We also recognise that there are innovators significant financial, energy security and out there that we haven’t engaged with environmental benefits to customers. yet. We hope this strategy enables them We are working in partnership with each to better understand our key themes and other, with innovators, businesses and principles and how to get involved. local communities to invest in trialling new technologies and business models. We recognise that we cannot solve the complex challenges in the energy system on our own. ENA is the voice of the networks and brings together all the innovation managers to David Smith Chief Executive consider challenges that require innovative solutions, share learning and develop robust Matt Hindle processes for collaboration. Head of Gas
Energy Networks Association 03 Gas Network Innovation Strategy Introduction
Gas network innovation spend Innovation projects allow us to Innovation strategy 2008 to 2019 understand how to integrate new stakeholder engagement technologies and practices into our energy networks, benefiting Expert interviews 1 I 1 our customers and facilitating our (20 interviews) N 1 ro ec ts transition to a net zero future.
istri tion ed This revised Gas Network Innovation Identified themes and principles Strategy was co-created with our for testing with stakeholders
393 ro ects stakeholders (see the engagement process on the right). The strategy sets out the key N I C 10 themes and principles that will guide a Online consultation, 12 ro ects joined up approach to innovation by both round table and webinars the electricity and gas networks. (108 participants) We are building on an extensive innovation ro ects portfolio. Since 2008, £265 million has been £265m invested in innovation activities delivering Validation of approach. istri tion ed Trans ission ed significant benefits for customers.* Modifications to themes and principles £47m £218m The key funding mechanisms we use are the the NIA and the NIC. However, this 1 Stakeholder workshops NIC 2 strategy looks more widely at how we can ro ec 2 ts join up with wider UK energy innovation and webinar (113 participants) programmes.
Trans ission ed This strategy sets out how we want to work with you, the innovators, on new solutions Addition of one principle and 143 ro ects that can help us deliver safe, resilient five focus areas per theme networks that facilitate the net zero transition NI and meet the needs of our customers. 1 s Strategy content finalised 1 ro ect *This does not include other funding, such as the Innovation Funding Incentive or Innovate UK.
Energy Networks Association 04 Gas Network Innovation Strategy Our strategy Objectives, themes and principles ti ised assets This strategy is centred around our and ractices co ercia evo tion three overarching objectives, which are e i i ity and reflected in five key principles and five 2 network innovation themes. The underlying principles and outcomes apply Net ero and the INN to all innovation activity and will be considered at R V all stages of innovation projects, from inception T energy syste transition I T an environ through to delivery and dissemination. er en E iv ta N e na e net y tai wo The shared network innovation themes are the N s rk
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v nera i ity v nera i ity o f M e However, it is worth noting that often projects will rk r P s nd sit under multiple themes. R ers a S IN E C M Under each theme in this strategy we set out IP L TC what it means for gas network innovation, ES N the top five focus areas identified through the C sto er enefit stakeholder engagement process and case studies of previous or live projects. Sca e and ro o t The strategy is deliberately high level. We want to Co a oration give you, our stakeholders, information on where ata and we need ideas, at the same time as not being Car on o t ts prescriptive and closing the door to problems/ I act solutions that we have not yet considered.
Energy Networks Association 05 Gas Network Innovation Strategy How to get involved
We are keen to work with a wide range of innovators. A key purpose of this strategy is to help you to better understand what we are looking for and how to get involved. The high-level guide below maps out the key stages in getting an innovation project off the ground and indicates which areas of this strategy can help. It also signposts you to further resources and collaboration portals. Funding opportunities Develop proposal Sign up for information about Identify partners, develop and funding opportunities. submit your project proposal. 2 Local or national? Network Innovation Smarter Networks Portal Collaboration Portal f Sharing learning If your idea can be applied f Share information f anywhere, go through one Collaborate on new projects f of the national services (see Find partners f 1 Innovation right). Propose new project ideas Innovation Funding Service for all network companies themes f Online application and If it is specific to a to consider Understand our priority transmission, system or local collaboration tool Principles themes for innovation distribution operator, make f Information on all active Get a sense of how and where your ideas contact directly. EIC hub funding competitions we work by looking fit in by reading about f Access the latest opport f at our principles our innovation themes Innovation websites unities from some member Innovator Support Portal (pages 8-12). (pages 14-23). f Innovation strategies network companies f Funding finder tool f Connect with a global f Events f Regulated price control of networks – Ofgem regulates community of innovators Connect with innovators network activity – including innovation – through the RIIO price f Newsletters and experts control process. For the gas networks, the new price control f Search for funding and period (RIIO-2) will begin in April 2021, which may mean f Innovation calls/ access support resources changes to the scope and governance of our innovation activity. competitions.
Energy Networks Association 06 Gas Network Innovation Strategy Principles and outcomes
Customer benefit
Collaboration
Carbon impact
Data and outputs
Scale up and roll out
07 PRINCIPLE Customer benefit
Customer benefit should be at the centre of all network innovation activity. Benefits will range from efficiency savings and a better customer experience to societal benefits, such as the accelerated decarbonisation of our energy system. Our customers are everyone who connects We don’t just consider how the outcomes of Customer benefit to our network or who pays an energy innovation projects will affect customers, but bill. All innovation activity should aim to also how we interact with customers during at the centre deliver clear benefits to these customers, in project delivery. particular: When customers are directly involved in f Accelerated decarbonisation of our projects we make sure that we manage ro ect energy system their expectations and communicate in a ince tion f Efficiency improvements that reduce transparent and open way. We are inclusive network costs, lowering gas bills for and consider the harder to reach customers. customers When customers are indirectly affected by projects, we will minimise disruptions and f A safer and more secure energy network clearly communicate with them. isse ination sto er ro ect f o earning e ivery A more reliable energy supply We will also explore how innovations ene it f A reduced impact on the environment can improve customer service whenever f An inclusive approach to participation possible. This may relate to how we interact in the energy transition, with a focus on with customers, deliver connections or new vulnerable consumers markets such as local flexibility markets. Sca e an ro o t f We recognise that communities and regions w ere sti ie A positive impact on our employees and y t e ene its supply chains are different and have different needs. f Wider socio-economic benefits, such as Therefore, we each develop our own job creation and improved public health/ innovation strategies that reflect the specific air quality. needs of customers in our regions.
Energy Networks Association 08 Gas Network Innovation Strategy PRINCIPLE CollaborationCollaboration
Network innovation activity should provide shared learning, avoid duplication and increase collaboration between network companies and the wider energy sector. Network innovation should also be joined up with wider UK energy innovation programmes. While each of us has our own strategy for f Gas Goes Green Programme – sharing We recognise the need to collaborate with innovation, we strongly believe that gas and learning and working collaboratively to a wide range of innovators to create better electricity and wider industry collaboration deliver net zero gas in a smart, flexible ideas and real-world outcomes. Page 6 of is key to ensuring we maximise the value to and balanced energy system this strategy sets out the main routes to get customers. This is why we have a joined-up f Low Carbon Technology Working involved. For example, we work with third strategy and shared principles and themes Group – representatives from the party organisations, such as EIC and Innovate with the electricity networks. electricity networks meet regularly UK, to collaborate with thousands of small-to- Under ENA, there are a range of initiatives with industry, BEIS and Ofgem to medium sized enterprises (SMEs). that facilitate collaboration between us as agree strategies and processes for low We also collaborate with other funding network and system operators. They include: carbon technologies that connect to the programmes that support innovation work electricity network such as Innovate UK and BEIS’ innovation f Smarter Networks Portal – a repository f funds, however, there is the potential for Ofgem-funded projects. With Gas Innovation Governance Group to increase and better coordinate this automatic notification of new projects and Electricity Innovation Managers collaboration to ensure our customers and key learning. It also shares project – regular meetings to coordinate benefit. registration documents to enable innovation activities collaboration before project kick off f Annual key showcase and conference f Open Networks Project – sharing events – such as the Low Carbon learning and working collaboratively to Networks & Innovation Conference, change how the networks operate to Electricity Innovation Forums and the Gas facilitate the transition to a smart, flexible Innovation Showcase. energy system
Energy Networks Association 09 Gas Network Innovation Strategy PRINCIPLE Carbon impact
Innovation activities should have a High level carbon impact assessment for innovation projects positive impact on achieving the UK’s net zero emissions target whenever possible. Therefore, the potential Will the delivery of your innovation project have a significant carbon impact? carbon impact of an innovation project should be considered. No Yes
Facilitating and accelerating the UK’s transition Estimate potential impact at project initiation to net zero is a key theme of our innovation strategy, for example, through connecting new Is there anything that can be done to reduce the carbon impact? sources of green gases or reducing losses (see pages 16 and 17). No Yes Innovation projects developing and implementing solutions to other themes in this strategy will also have an impact on carbon Statement at project initiation Changes to project plans emissions. Statement at project initiation Network companies already consider and aim to reduce the environmental impacts of all their activities, including innovation. In many cases Are the project outcomes designed to have a direct impact on greenhouse gas emissions? the carbon impacts of innovation projects may be low, for example, innovations in cyber Yes No security, safety and customer service. Where carbon impacts of innovation projects are Estimate potential impact at project initiation No further action potentially significant, network companies will consider whether there are ways of avoiding or Revised potential impact in project closedown report reducing emissions, without compromising the objectives of the project.
Energy Networks Association 10 Gas Network Innovation Strategy PRINCIPLE Data Dataand outputsand outputs
The outputs of network innovation activity should be made available to Energy Data Taskforce: all interested parties in a consistent and accessible format. Maximising the value of data All network innovation projects should, The outputs of an innovation project, as well where possible, make the following available as the data and information generated, can and accessible: also be valuable for future learning, follow- up projects or new ideas. Making innovation f Key project outcomes and learning from project data and insights available will help undertaking the project attract a wider range of innovators and f Outcomes An overview of the key outputs and encourage spin-off ideas. results from the project Maximising the value Therefore, we take the view that data from f Project datasets, data tables and innovation activities should be ‘presumed supporting information (such as method open’, as set out by the Energy Data statements, registers or process Taskforce. It should also be ‘discoverable, diagrams) searchable and understandable’, with f Key qualitative and quantitative common ‘structures, interfaces and Principles information that may be of use to future standards’ and be ‘secure and resilient’. Presumed open innovation projects. Outputs from innovation projects can all be A successful innovation project will provide found on the Smarter Networks Portal and Discoverable, searchable an opportunity to further develop or on individual network company websites. and understandable implement an idea, technology or process We will be revising the Smarter Networks Structures,interfaces through to business as usual. Portal in 2020 and considering how we can improve the service it provides. and standards
Secure and resilient
Energy Networks Association 11 ElectricityGas Network Innovation Strategy PRINCIPLE ScaleScale up up and and roll roll out out
A key objective of network innovation activity should be to deliver transformational change, taking viable initiatives forward to business Benefi ts Framework as usual deployment and to identify methods to scale up and roll out development new practices, processes and technologies. Innovation is about trialling, testing and To ensure that we are delivering value verifying ideas. It is also about developing for money to our customers and wider Summer 2020 new approaches, practices and processes. stakeholders, we continuously improve f Finalising Benefi ts Proven innovations and successful or our processes to make sure that we get Framework impactful projects should be taken forward maximum value from innovation deployment. to wider implementation across the sector In preparation for RIIO-2, we are working as cost eff ectively as possible. This is how with the gas networks to develop a benefi ts for customers are maximised. measurement framework that enables We are committed to ensuring that new consistent reporting for network innovation. Autumn 2020 innovations are adopted to business as This is designed to benefi t customers and f RIIO-2 gas and usual. We do this in several ways: the wider industry by increasing transparency transmission on the outcomes of network innovation determinations f We involve key staff in the innovation projects, and what they have delivered. f ENA revising Smarter process before transitioning to business Under the proposed benefi ts framework, Networks Portal as usual to lead the adoption of new we will assess the outputs of our innovation approaches projects and the potential they have to f We have created specifi c roles or teams deliver benefi ts for customers. This will to prepare for and facilitate future change consider benefi ts for the organisation f We ensure that engineering and proposing the project, other network Autumn 2021 f Implement Benefi ts regulatory standards, industry codes and operators and wider stakeholders. We Framework policies are updated (or created) as a propose to report innovation benefi ts using f Implement Smarter result of innovation projects the new framework for RIIO-2, the next price control period starting 1 April 2021 Networks Portal f We collaborate between network for system operation, gas networks and changes companies to facilitate the deployment electricity transmission, and for electricity of solutions at scale. distribution from 1 April 2023.
Energy Networks Association 12 ElectricityGas Network Innovation Strategy Shared network innovation themes
Consumer vulnerability
Net zero and the energy transition
Optimised assets and practices
Flexibility and commercial evolution
Whole energy system
13 THEME 01 Consumer vulnerability
Exploring how best to support the needs of consumers in vulnerable circumstances today and in the future, ensuring that everyone can experience the benefits of the energy transition and any adverse effects of change is minimised. Vulnerable consumers are those significantly heat our homes and businesses. Heat is less able to protect their interests in the directly linked with our comfort and health energy market and/or are more likely to and so we need to ensure those most suffer detriment. Vulnerability can take reliant on it are not adversely affected by the different forms and can change over time. energy transition. Causes include, but are not limited to: Similarly those who rely on the availability f Financial of low-cost and accessible transport for f Technological their health or livelihood, will be impacted by action to reduce transport emissions in f Locational urbanised areas, or recent announcements f Demographical around bringing the ban of sales of new f Health and wellbeing. petrol and diesel fueled cars forward to 2035. It is often those consumers in vulnerable Innovation allows us to explore how best circumstances that are most likely to to support the needs of consumers in find it difficult to engage with changing vulnerable circumstances and to take a technologies and benefits. There is a risk more inclusive approach. This could take the that the energy transition could put them at form of new services, data and management a greater disadvantage. practices, technologies or partnerships. Vulnerable consumers could also be impacted by action to decarbonise how we
Energy Networks Association 14 Gas Network Innovation Strategy THEME 01 Consumer vulnerability
Stakeholder feedback 5 focus areas Case studies These are the five focus areas that Ramp Up 1 stakeholders have identified as the Wales & West Utilities near-term priorities: Some customers can find it hard to navigate around street works. WWU 11 Understand and remove barriers launched an NIA project and are 1 to adopting new technologies and working with five different partners services for vulnerable consumers to design and test a better transition ramp, helping people move from the Facilitate building resilient local 2 pavement to the road and back more communities smoothly and safely. Support the fuel poor and improve 3 Connecting homes for health affordability for consumers Northern Gas Networks Is consumer vulnerability a key theme for network innovation? Explore how to reduce the financial Customers living in cold homes, with 4 no gas connection, can suffer both impact of net zero on vulnerable Yes No Don’t know physically and mentally. NGN are consumers working with National Energy Action Improve engagement and visibility on a two-part project to explore the 5 between vulnerable consumers and impact of free gas connections on the networks. households suffering from poor health. 2 The findings could inform a future change in the eligibility criteria for free
gas connections. 1 …ensuring that everyone can experience the benefits How important would you rate this of the energy transition. theme out of 5?
Energy Networks Association 15 Gas Network Innovation Strategy THEME 02 Net zero and the energy transition
Facilitating and accelerating the UK’s transition to net zero greenhouse gas emissions before 2050. The transition to net zero greenhouse gas As the nation’s energy mix changes and emissions will require: actions to decarbonise are implemented, what does the future hold for gas, our gas f A transition to low carbon gases network and the customers connected to it? f The significant decarbonisation of heat We recognise the need move away from f Greater levels of low and zero carbon burning unabated fossil fuels to heat our electricity generation buildings and fire our industrial processes. f The decarbonisation of transport Innovation is helping us investigate, trial and f An increase in flexibility in our wider deploy low carbon, safe and cost-effective energy system, for example through alternatives to natural gas and preparing our smart technologies and services networks to deliver them. f An increase in energy efficiency and We also recognise the importance of changes in demand and customer cross-vector coordination and planning to behaviour efficiently manage the interactions between electricity, gas, heat and transport in the f New ways of understanding and energy transition. managing system stability f A whole energy system approach. Network innovation provides us with an opportunity to answer some of the key The gas network is currently at the heart questions, tackle some of the big challenges of our energy system. It plays a vital role in and explore the role that gas networks can transporting energy to consumers securely play in accelerating our transition to a net and cost-effectively. The role of the gas zero energy system. network in a net zero future is a key area for innovation.
Energy Networks Association 16 Gas Network Innovation Strategy THEME 02 Net zero and the energy transition
Stakeholder feedback 5 focus areas Case studies These are the five research areas that Gas Goes Green 1 1 stakeholders have identified as the National Grid Gas Transmission, Cadent, Northern Gas Networks, SGN and Wales & near-term priorities: West Utilities Actively develop hydrogen and green The gas networks are working 1 gas ready networks collaboratively on a suite of innovation projects to deliver a vision for Enable the transition to low carbon 2 decarbonised gas. Including, safety heating and transport testing and analysis (such as HyNTS and H21), demonstration of hydrogen Develop market solutions to enable the 3 blending (see HyDeploy), the design energy transition and demonstration of an end to end Is net zero and the energy system transition Ensure resilience and reliability through 100% hydrogen system (see H100) and 4 a key theme for network innovation? the energy transition the development of smart hybrid heating systems (see Freedom and HyHy). Yes No Don’t know Develop the best network solutions for 5 supplying a wider range of gases. Future billing methodology Cadent This Project explores options for a fair and equitable billing methodology for 2 the gas industry which will be fit-for- purpose in a lower-carbon future. It aims Facilitating and accelerating to integrate diverse gas sources without 1 the UK’s transition to net zero needing to standardise energy content greenhouse gas emissions and will inform the industry on billing options for a sustainable gas future. How important would you rate this before 2050. theme out of 5?
Energy Networks Association 17 Gas Network Innovation Strategy THEME 03 Optimised assets and practices
Developing and implementing industry leading techniques for optimising assets and practices for energy networks. Optimising network assets and practices The diversity of the types of customers includes improving our: connecting to our network, evolving demand patterns and increasing volumes of green f Capability gas entering our network are just some of f Resilience the changes we are seeing. f Reliability Alongside this our networks are adapting f Safety to digitalisation, a changing climate, an f Security aging workforce and managing new security threats to the energy industry. f Health Investing in our infrastructure, preparing f Environmental impact our networks for change and adapting our f Digitalisation strategy. practices and processes to meet these changes is vital if we are to continue to Many of the activities in this area are deliver an effective gas network and service. considered business as usual, however innovation will accelerate improvements and Network innovation enables us to test and enable more unconventional approaches to improve new technologies, optimise our be tested. In the previous strategy we had operational and management practices and separate innovation themes for Reliability, focus on the people that keep our networks Replacement, Maintenance and Repair, safe, secure and reliable every day. Safety and Health and Security. We have now brought these areas together under this theme. Continuous improvement is required to ensure we are delivering value for money for our customers and can proactively respond to changes in the energy system.
Energy Networks Association 18 Gas Network Innovation Strategy THEME 03 Optimised assets and practices
Stakeholder feedback 5 focus areas Case studies These are the five focus areas that Robotic Roadworks and stakeholders have identified as the Excavation System (RRES) SGN near-term priorities: The RRES project, following on from Improve the visibility of customers and flagship robotics projects CISBOT 1 and CIRRIS, is revolutionising utility their behaviour excavation methods. It will fuse Enable digitalisation for network and advanced robotic arm technology 2 system optimisation with a mobile platform and will be controlled by AI using a suite of Reduce and mitigate unplanned sensors and feedback controls to 3 outages, supply interruptions and enable autonomous, safe and efficient mains excavation. RRES will reduce wider disruptions Is optimised assets and practices a disruption, provide safe and efficient key theme for network innovation? Minimise the impact of networks on access to the asset, reduce emissions, 4 and enable other keyhole innovations. Yes No Don’t know the environment Ensure future skill requirements and Total Stub End Abandonment 5 workforce resilience. Northern Gas Networks As part of gas pipe replacement, all small diameter gas pipes close to 2 buildings need to be decommissioned by 2032. Previous techniques for
capping off these pipes left a short 1 …industry leading techniques ‘stub’ of live pipe needing to be dug up. This innovative project enabled remote for optimising assets and abandonment of assets, removing the How important would you rate this practices for energy networks. need for large excavations in major theme out of 5? carriageways and significant disruption.
Energy Networks Association 19 Gas Network Innovation Strategy THEME 04 Flexibility and commercial evolution
Developing and testing innovative solutions to increasing the flexibility, transparency and efficiency of the energy system, enabling information to be more open and networks to be more responsive to change. Our energy system is evolving as we The way our networks physically adapt continue to decentralise our electricity to and prepare for peaks in demand on generation and decarbonise the way we the network is key, but the commercial supply and use energy. This is driving the arrangements, markets and incentives that need for increasing levels of flexibility and drive flexibility and ensure reliable networks adaptability in our networks to cope with will be just as critical moving forward. peaks in demand or generation. Network innovation can therefore enable The gas network is seeing a significant us to improve and future-proof existing number of smaller, decentralised gas fired commercial arrangements, trial the impact power generation sites seeking to connect, of emerging markets and commercial to provide some of this flexibility. Adapting products on our network and develop new operational forecasting to align with an marketplaces. increasing number of flexible generators will be key to meeting both the peak and annual demand for gas. Gas networks are also seeing an increasing number of green gas projects being developed, directly injecting biomethane into the gas distribution network. The various scenarios being explored around the production, supply and use of hydrogen, will also require networks to adapt and meet the challenges of new markets and the commercial arrangements that will sit behind them.
Energy Networks Association 20 Gas Network Innovation Strategy THEME 04 Flexibility and commercial evolution
Stakeholder feedback 5 focus areas Case studies These are the five focus areas that Project CLoCC stakeholders have identified as the National Grid Gas Transmission near-term priorities: National Grid GT worked with Premtech Ltd, Murphy Land and Develop commercial arrangements for Marine and Aqua Consultants to 1 connecting and supplying hydrogen develop a new web-based customer connections platform which aims Maximise the commercial opportunities 2 to improve a customer’s application for connecting green gas and carbon experience. The project also aims to capture and storage (CCS) produce ‘off-the-shelf’ standardised designs for connections that can be Develop understanding of potential 3 used regardless of the customer, size impacts of flexibility on gas networks Is flexibility and commercial evolution of connection, or type of gas. a key theme for network innovation? Trial and implement innovative 4 Real Time Networks Yes No Don’t know arrangements to support network SGN management and flexibility SGN is developing the world’s first Support the modernisation of gas real-time gas demand network model, 5 metering and billing methodologies. a critical step in the ambition to decarbonise. The aim is to demonstrate 2 a flexible gas network that can meet current and future energy needs,
for a more efficient, low carbon and 1 …increasing the flexibility, affordable gas future. transparency and efficiency of How important would you rate this the energy system. theme out of 5?
Energy Networks Association 21 Gas Network Innovation Strategy THEME 05 Whole energy system
Enabling joined up and efficient approaches across multiple aspects of the energy system around planning, forecasting, design, construction, operation, maintenance and data. A whole energy system approach requires Rapid decarbonisation of our energy system us to look beyond our own networks and will change the demand and generation develop our understanding of how we interact patterns on both the gas and electricity with and impact on the wider energy system. networks. There are multiple aspects to the energy We need to better understand the system and different ways of applying whole interaction between gas and electricity energy system thinking. These can include networks through joint forecasting and thinking across: planning. It is also important that we work with cities and regional bodies to reflect local f Electricity and gas networks needs and differences in approach. f Transmission and distribution networks The increase in use of flexibility resources f Transport, buildings, power and industry must also be optimised on a system-wide sectors basis, which means greater coordination f Water, waste and telecommunications between distribution and transmission utilities networks. f Networks, generators and consumers A big part of a whole energy system f Local energy systems, cities and regions. approach is transparency and openness. We understand that by sharing more operational Decisions and actions taken in one part information, data, investment plans and of the system increasingly have impacts innovation ideas, we can enable greater for the wider system. Therefore we coordination as well as new innovations to need to coordinate around planning, come forward. forecasting, design, construction, operation, maintenance and data to identify potential problems and the best and most cost- effective solutions.
Energy Networks Association 22 Gas Network Innovation Strategy THEME 05 Whole energy system
Stakeholder feedback 5 focus areas Case studies These are the five research areas that Pathfinder Plus stakeholder have identified as the near- Wales & West Utilities term priorities: Pathfinder is a unique whole energy system model that models energy flows Collaborate on enabling the growth on an hourly basis to meet heat, light, 1 and operation of emerging low carbon power and transport demands for a solutions given scenario, using a mix of energy supplies specific to the scenario. Develop whole system coordinated 2 cost benefit analysis Zero 2050 South Wales National Grid Gas Transmission, National Join up approaches to regional 3 Grid Electricity Transmission, Wales & West network planning and forecasting Utilities and Western Power Distribution Is whole energy system a key theme for network innovation? Improve access to and visibility of Zero 2050 aims to develop plausible, 4 optimised decarbonisation pathways energy network data Yes No Don’t know for the whole energy system in South Coordinate the operation of a whole Wales. This collaborative project 5 energy system. includes all representatives from electricity and gas transmission and distribution networks. The project 2 covers bottom-up demand scenario modelling for the South Wales region
using multi-vector analysis. It will 1 …joined up and efficient develop the net-zero pathways, approaches across multiple while considering the regional socio- economic aspects. How important would you rate this aspects of the energy system. theme out of 5?
Energy Networks Association 23 Gas Network Innovation Strategy Next steps
In the next two years we are committed to open up network innovation to a wider range of innovators who can bring new skills and thinking to transforming the energy system. We asked stakeholders what we could do to We will review and update this strategy engage companies and people in network again in 2022. At that stage we will innovation and received a list of ideas, Our commitments check with you, our stakeholders, that including: Between 2020 and 2022, we are the principles and innovation themes are the right ones. We will also work towards f Sharing information at events committed to providing guidance and information around how to engage with combining the gas and electricity innovation f Producing a guide to network innovation network innovation, by: strategies to reflect a more holistic, whole f Liaising directly with potential innovators energy system approach to innovation. Reviewing our engagement f Using trade associations and other 1 If you have any questions or would like to umbrella organisations to share methods and channels discuss the innovation strategy in more information detail, please get in touch: Hosting the annual dissemination f Running workshops, deep dives and 2 [email protected] conference hackathons f Reporting on deployment of successful Updating the Smarter Networks 3 ideas Portal and the Network Innovation f Improving consistency in application Collaboration Portal processes between network companies f Issuing a joint call for proposals Producing webinars to share learning 4 f Better use of social media for latest for the Network Innovation updates. Competition (NIC) Reporting on network innovation We have taken on board the feedback and 5 will be reviewing our engagement channels, benefits. both through ENA and within our individual companies.
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