The mapping of materials supply chains in the UK's power generation sector

Materials UK Review 2008 The mapping of materials supply chains in the UK's power generation sector Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Author

Dr. Stephen A. Court, National Metals Technology Centre (NAMTEC)

A report to Materials UK by the National Metals Technology Centre (NAMTEC), April 2008.

Care has been taken to ensure that the content of this report is accurate, but NAMTEC does not accept responsibility for errors, omissions or for subsequent use of this information. Before using information contained within this report, the user should make certain that any products supplied by companies listed in the report are suitable for purpose.

For further information or assistance, please contact:

The National Metals Technology Centre (NAMTEC) Swinden House Moorgate Road Rotherham S60 3AR

Tel: +44 (0) 1709 724990 Email: [email protected]

Acknowledgements

The author would like to acknowledge the financial assistance provided by: Alstom Power Ltd., BP plc, Corus plc, Doosan Babcock Energy Ltd. E.ON UK plc, the Materials Knowledge Transfer Network (Materials KTN), National Physical Laboratory (NPL), Rolls-Royce plc, RWEnpower plc and Siemens Industrial Turbomachinery Ltd., in the preparation of this report.

Furthermore, the author would like to acknowledge the support and help of the advisory committee of the Energy Materials Working Group (EMWG) of Materials UK in producing this report, with special acknowledgement to the support of Dr. Derek Allen, co-chair of the EMWG. Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Executive summary

Aims Summary supply chains for fossil-fired plant are reliant upon ‘inputs’ from mainland Europe, in particular, although The major aim of this review was to Materials for Conventional Fossil materials are also sourced in Japan characterise the markets, strengths Fuel-Fired and Nuclear Power and the USA. and opportunities of the UK’s Energy Generation Materials supply chains. Specifically, In addition to a manufacturing the review has focused on the Although few major power stations capability for large steam turbine application of materials in the have been built over the last 20 years assemblies, UK-based companies also generation of electricity by Fossil, in the UK, the industry is once again offer an extensive steam turbine Nuclear & Renewable fuels & becoming buoyant and offers service capability (repair, refurbish, technologies. Thus, for each energy considerable opportunities for the upgrade, retrofit, etc.), such that of source, wherever possible, the supply supporting materials sector. the world’s four largest manufacturers chain(s) have been ‘mapped’ from Fortunately, the UK has retained a of steam turbines, two maintain the raw materials suppliers, through strong capability in design and significant capability in the UK. the materials fabricators/ manufacture of power equipment, as manufacturers and Original well as balance of plant for nuclear, Also, there are two UK-based OEMs Equipment Manufacturers (OEMs), fossil fuel and most forms of for land based gas turbines, which to the end users; the utilities or renewable power generation. can serve requirements for both power generators. simple cycle or Combined Cycle Gas A number of major Energy Turbine (CCGT) applications. An additional aim was to highlight Companies and materials suppliers some of the significant R&D retain either headquarters, UK-based companies maintain an activities related to materials in manufacturing bases and/or R&D extensive capability in the processing power (specifically electricity) facilities within the UK. and fabrication (and coating, where generation in the UK. In particular, applicable) of precision components some of the key organisations and The UK power equipment and for major fossil fuel-fired plant (steam groups have been identified, as have services sector has a turnover of and gas turbines, pulverised fuel the major, largely publicly funded, approximately £30 billion and boilers, etc.), and could increase programmes. provides employment for supply into this market, if the approximately 300,000 people in the business conditions were favourable. Approach UK. There are tens of thousands of companies active in this area, the The UK still retains a significant The review has been conducted largest of which are amongst the UK’s capability to manufacture using primary data gathering from leading companies. Exports of components such as rotors, blades, both academic and industrial equipment have averaged discs, rings, casings, etc. for fossil- organisations within the UK and approximately £1.9 billion a year in fired power generation. However, few overseas, through a targeted recent years, and it is estimated that UK-based metals processors (eg, questionnaire and through the inclusion of power related casters, forgers, extruders, rollers, interviews with representatives from services (which are broken down etc.) now have the power generation major companies, academic separately in the trade statistics) sector as their major market (20% or institutions and Research and would double this figure (information more of turnover). Technology Organisations (RTOs) - taken from a Mott MacDonald report listed at the end of the report. This for UK Trade & Investment, 2007). The gaps in the UK-based materials primary data has also been supply chain for fossil-fired power supplemented with extensive In general, the supply chains for plant include a limited capability in secondary (public domain) data materials used in the manufacture of the manufacture of seamless stainless gathering. power equipment/plant for fossil- & speciality steel tube for heat fired and nuclear power generation exchanger applications in boilers and have been eroded over the past 10-15 steam generators, and for future years, and there are some gasifiers and Carbon Capture and components which UK-based Storage (CCS) systems. Thus, companies cannot now supply. For although the UK is home to a world example, very large forgings for civil leader in the supply of boiler plant nuclear pressure vessels, steam and related equipment, much of the generators and the largest steam materials ‘inputs’ (seamless tubes, turbine rotors. There are also supply pipes, etc.) are sourced from overseas. chain issues related to nuclear grade graphite and alloys for fuel Many R&D activities in fossil fuel- containment. fired power generation are world- class, and have an important As a consequence, reduced domestic contribution to make in the demand has forced suppliers to seek development of materials for high alternative markets, and the materials efficiency, low emission power plant,

1 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Executive summary

and to plant services in integrity world’s largest wind turbine A further area in which the UK has management, repair, maintenance manufacturer. In addition, there are both world-leading manufacturing and life extension. As the strength of indications that with the increased and research capacity is in fuel cells, the supply chain has decreased, so commitment to wind power and with and the UK’s materials R&D is at the accordingly. the large number of consented wind forefront of fuel cell technology, and power developments, that UK-based will continue to be so for the In particular, the UK’s world leading companies are positioning themselves foreseeable future. materials development associated to supply into this market, and there with aero engines is of significant are certainly a considerable number More than a hundred companies benefit to industrial gas turbine of companies with the capability to based in the UK are active in the development, and it is often difficult do so. development of fuel cell to separate most research and technologies, from materials R&D to development activities, both For example, a UK-based company is fuel-cell systems integration. industrial and academic. developing world-leading, direct UK-based companies in the sector are drive turbine generator technology, developing their supply chains as However, nuclear materials related and a UK-based Research and their technologies evolve and the UK R&D in the UK has declined steadily Technology Organisation (RTO), with is home to a world leader in catalysts over the past 20 years or so, and industrial partners, has developed and catalysed components for fuel since the 1980’s, public investment radar absorbing materials which cells. in nuclear fission R&D has dropped could see considerable global by more than 95% and the industrial exploitation in wind turbine R&D skill base has decreased by more applications. than 90%. Nevertheless, the UK maintains leading nuclear materials The UK has established itself as an expertise across both the academic early market leader in marine (tidal and industrial sectors, with key stream and wave) power generation institutes and funding initiatives with approximately half of the concentrating UK efforts. world’s current technology developers (approximately 30) Materials for Power Generation headquartered in the UK. In addition, from Sustainable (Renewable) the UK has pioneered the Energy Sources establishment of shared facilities for the testing of wave and tidal devices. It is likely that during the Currently, there are few marine introduction of sustainable energy energy devices / technologies which technologies, some difficulties will be have reached full-scale testing and, of experienced in obtaining materials these, the front-runners currently from domestic suppliers. In most have, and foresee, no immediate instances, the market for renewable materials supply (chain) issues, as energy technologies is not yet mature construction is largely utilising the enough to support established supply UK’s existing offshore technologies chains of any size. This may be and know-how. related to uncertainties regarding the specifics of which materials are The UK is very active in R&D for required, as much of the technology sustainable energy, through such itself is developmental. Alternatively, initiatives as SUPERGEN, the the supply chains may be largely Sustainable Power Generation and non-UK-based, as is currently the case Supply Programme. This programme for wind turbine generators, for is managed and led by the EPSRC, in example. partnership with other research councils (Biotechnology and In wind power, although the UK has Biological Sciences Research Council world-class developers and (BBSRC), Economic and Social consultants, there is currently very Research Council (ESRC) and Natural little manufacturing capacity in the Environment Research Council UK and much of the value of wind- (NERC)) and the Carbon Trust. power projects goes abroad. There are Various consortia are active in wind no established turbine manufacturers and marine energy, solar cell and very few UK companies export development (both conventional and components. non-conventional, excitonic) and fuel cells; in addition to conventional However, the UK is home to both fossil-fuel fired power generation. wind turbine rotor blade and tower manufacturing facilities of the

2 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Contents

1 Introduction 5 Wave & Tidal Energy 1.1 The UK’s Electricity Generation Landscape 5.1 The Wave & Tidal Power Market Opportunity 1.2 Future UK Electricity Generation 5.2 Wave & Tidal Power Development 1.3 UK Capability in Materials for Power Generation 5.3 Overview of Wave & Tidal Energy Devices 1.4 Scope of the Report 5.4 Lead Wave & Tidal Energy Developers and Devices 5.5 Wave & Tidal Energy Supply Chain Structure 2 Fossil Fuel-Fired Power 5.6 UK R&D in Wave & Tidal Energy Materials 2.1 The Fossil Fuel-Fired Power Generation Landscape 5.7 Summary 2.2 Summary of Fossil Fuel-Fired Technology and Plant 5.8 SWOT Analysis 2.3 UK Supply Chain for Boilers & Steam Generators 2.4 UK Supply Chain for Steam Turbines 6 Solar Photovoltaics (PV) 2.5 UK Supply Chain for Gas Turbines 6.1 The Solar Photovoltaics (PV) Market 2.6 Coatings 6.2 The Manufacture of Solar PV Systems 2.7 Refractories 6.3 The UK Solar PV Supply Chain 2.8 UK R&D Activity in Fossil Fuel Energy Materials 6.4 UK R&D Activity in Solar PV Materials 2.9 Summary 6.5 Summary 2.10 SWOT Analysis 6.6 SWOT Analysis

3 Nuclear Energy 7 Biomass (Bioenergy) 3.1 The Nuclear Energy Market 7.1 Brief Overview of the UK’s Energy from Biomass Landscape 3.2 The UK’s Nuclear Reactors 7.2 Selected UK Capability in Biomass/Bioenergy Power Plant 3.3 The UK’s Civil Nuclear Energy Industry 7.3 Construction of Large Dedicated Biomass Plants in the UK 3.4 Overview of the UK’s Civil Nuclear Industry Materials Supply Chain 7.4 Selected R&D Activities Related to Materials in Biomass Power Generation 3.5 The Supply Chain for Major Components of a PWR 7.5 Summary 3.6 UK R&D Activity in Nuclear Materials 7.6 SWOT Analysis 3.7 Nuclear Industries Specialist Skills 3.8 Summary 8 Fuel Cells 3.9 SWOT Analysis 8.1 The Market Opportunity for Energy from Fuel Cells 8.2 Resources for Fuel Cell Technologies & UK Capability 4 Wind Power 8.3 Summary 4.1 The Wind Power Market Opportunity 8.4 SWOT Analysis 4.2 The Wind Turbine Market 4.3 Structure of the UK Wind Industry Acknowledgements 4.4 Wind Turbine Technology 4.5 UK Wind Turbine Component Supply Chain 4.6 UK R&D Activity in Wind Power Materials 4.7 Summary 4.8 SWOT Analysis

3 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

1.0 Introduction

1.1 The UK’s Electricity Generation The UK has an installed capacity of Landscape approximately 83 GW of electricity generating capacity, which in 2006 generated approximately 394 TWh of electricity. In addition, the UK has a further 5.5 GW of installed electricity generating capacity in the form of Combined Heat and Power (CHP) schemes.

The UK’s electricity generation mix is relatively broad, with approximately 36% generated by gas-fired power stations, 37% from , 20% from nuclear (including imports of approximately 2%), slightly less than 5% from renewables and the remainder from other sources, such as oil (2006 figures – see Figure 1.1 below). This diversity reduces the UK’s dependency on a single fuel type and helps maintain security of electricity supply.

In 2006, most of the UK’s electricity was generated by gas, coal and nuclear stations. Thirty large (>1 GW) power stations meet the majority of electricity demand, which is on average approximately 40 GW and approximately 60 GW at peak. In 2006 (see Figure 1.1):

• Gas provided 36% of electricity, a figure which has grown dramatically from 1% in 1990 and is predicted to grow further. In addition to its use in electricity generation, gas is also used to heat approximately 70% of the UK’s homes. • Coal-fired power stations provided 37.5% of electricity, down from approximately two-thirds in 1990. • Nuclear power stations provided slightly under one fifth of electricity; but, most existing UK Figure 1.1 - Electricity supplied by fuel type (from: ‘UK Energy in Brief, July 2007, BERR). nuclear plants are due to close Note: The data represents the electricity available, which differs from that generated. within the next decade.

5 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

1.0 Introduction

• Renewable energy sources provided a relatively small (4.2%), but growing proportion of electricity, which does not include that generated through Combined Heat and Power (CHP) schemes. • The remainder comes from other sources such as oil-fired power stations and electricity imports from the continent.

Note: More recent data for UK electricity generation show the following: 42.5% was generated from gas-fired, 33.9% was generated from coal-fired and 15.1% was from nuclear power stations (data from ‘Energy Trends’, March 2008, BERR).

Relatively few power stations have been built over the past 10-15 years and there is now a need to replace closing coal, oil and nuclear power stations and to meet expected growth in electricity demand. Thus, the UK will need substantial new investment in electricity generation Figure 1.2 - UK electricity generating capacity shut-downs capacity over the next 20 years or so. (from RWE ‘Facts & Figures 2007’, courtesy RWE npower plc: Approximately 8 GW of the UK’s "http://www2.rwecom.geber.de/factbook/en/servicepages/ coal power stations must close no welcome" later than 2015 as a result of EU environmental legislation. In addition, based on published lifetimes, more than 10 GW of the UK’s nuclear power stations will close by 2023. In total, the UK is likely to need around 25 GW of new electricity generation capacity by 2025, equivalent to more than 30% of today’s existing capacity.

Figures 1.2 and 1.3 show the expected capacity to be shut down by 2020 and the new capacity needed to replace the shut-down capacity and meet rising demand.

Figure 1.3 - UK electricity generating capacity needed to replace shut-downs and meet rising demand (from RWE ‘Facts & Figures 2007’, courtesy RWE npower plc: "http://www2.rwecom.geber.de/factbook/en/servicepages/ welcome"

6 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

1.2 Future UK Electricity Generation

The Government’s energy projections show that the reductions in coal and nuclear power generating capacity, with no new nuclear or coal-fired builds, could be replaced by gas-fired stations, along with some generation from renewable sources (see Figure 1.4). In particular, the projections show that the percentage of the UK’s electricity supplied by gas-fired power stations could rise from 37% in 2005 (36% in 2006) to approximately 55% by 2020. This would dramatically reduce the diversity of the UK’s generation mix and increase dependency on gas for electricity Figure 1.4 - Growth in electricity generation from renewable sources since 1990 (from: the 2006 Energy Review, generation, at a time when the UK ‘The Energy Challenge’, July 2006, BERR). becomes increasingly reliant on gas imports.

Note: In January 2008, the UK Government announced its formal backing for construction of a new generation of civil nuclear power stations. The announcement also stated that any plants would be built at or near existing reactors by private firms and that the first one would be completed “well before 2020.”

As mentioned above, CHP plants currently generate more than 6% (approx. 5.5 GW of installed capacity) of the UK's total electricity needs and are set to generate substantially more in the future. Thus, by 2010, as part of its climate change strategy, the Government expects the UK’s CHP capacity to increase to 10 GW.

Figure 1.4 also shows the contribution from renewable energy sources growing (see later sections of Figure 1.5 - Growth in electricity generation from renewable sources since 1990 (from this report) and Figure 1.5 shows how ‘The Digest of United Kingdom Energy Statistics, 2007’, BERR). the contribution from renewables has grown to date. Currently, the contribution of renewable energy sources can contribute to the power a proportion of all electricity supplied sources to electricity generation is needs of the UK. These include the from eligible renewable sources, and relatively small (< 5%) and Kyoto Protocol, The Climate Change the proportion of electricity to be approximately 1% of this total is Levy (CCL), and the Renewables supplied via renewables increases from mature Hydro-Electric Power Obligation (RO). These will not be each year and for 2006/7 is 6.7%, (HEP) generation in the UK discussed in detail here, other than to rising to 15.4% by 2015/16. Since its highlands. mention that the RO is the UK introduction in 2002, the RO has Government's main mechanism for been successful in stimulating growth With the need to reduce CO2 supporting generation of electricity in renewable electricity generation, emissions, a large number of from renewable sources. such that it has more than doubled international and domestic policy since 2002, and there is more than 11 mechanisms have been put in place, The RO is an obligation placed on all GW of renewables capacity planned which dictates how renewable energy licensed electricity suppliers to source for installation in the UK.

7 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

1.0 Introduction

However, despite good progress, there are barriers slowing the rate of renewables deployment in the UK in both the short and long term, which include a scarcity of suitable sites, difficult planning consent procedures and grid connectivity, none of which are described in detail in this report.

For reference, the UK’s electricity supply system in 2006 is shown here in Figure 1.6.

Figure 1.6 - The UK’s electricity supply system in 2006 (from: ‘The Digest of United Kingdom Energy Statistics, 2007’, BERR).

1.3 UK Capability in Materials for Power Generation

As will be described in later sections of this report, the UK-based materials supply chains for large thermal and nuclear power generation have been eroded quite considerably over the past 10-15 years.

Thus, although the UK power equipment and services sector has a turnover of £30 billion and provides employment for 300,000 people in the UK, it is estimated that since 1990, the UK has lost approximately 70% of the supply chain for components/plant into the power generation sector, which has resulted from the construction of relatively few power stations over the past 10-15 years, as mentioned above.

As the strength of the supply chain has decreased, so the industrial and academic base for research and emissions and electricity generation Research Council (EPSRC) and the development in materials for fossil- via renewable energy sources, R&D DTI Technology Programme (now the fired and nuclear power plant has activity related to materials in Technology Strategy Board decreased accordingly. However, the renewable energy applications has Collaborative R&D Programme), as UK still possesses a strong knowledge/ increased. will be described in later sections of skills base in fossil fuel and nuclear this report. power plant materials. However, it should be noted that the balance of funding had perhaps It is difficult to quantify how the In addition, with the decrease in moved away from the ‘conventional’ levels of funding have changed with UK-based industrial activity in technologies and significant time for the different power conventional fossil fuel-fired and programmes and funding have now generation technologies, as much of nuclear materials and manufacturing, been put in place to redress this. the private sector information is not the need for underpinning R&D in Thus, increased levels of public body available. In addition, it is not easy to materials applicable to power funding have recently been made separate out the materials generation via these technologies has available for fossil fuel-fired and ‘component’ of a given public body decreased accordingly. At the same nuclear materials R&D, through the funded programme. time, with the need for reduced CO2 Engineering and Physical Sciences

8 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

However, some data is available for EPSRC funding over the period a 2002/03 to 2006/07, and this is shown below in Figures 1.7 and 1.8, which show the number of projects funded and the value of projects funded, respectively. The data do not include funding for the EPSRC SUPERGEN and Research Councils UK, ‘Keeping the Nuclear Option Open’ (KNOO) Programmes, which are described in later sections of this report. It should also be noted that some individual EPSRC CASE (Cooperative Awards in Science & Engineering) are not included in this analysis.

Note: the total number of projects funded over the period 2002/03 to 2006/07, in power generation, transmission, distribution, storage and conservation was 159 and the total funding was £48,971,000. b

c

Figure 1.7 - Analysis of the EPSRC’s programme of power / energy projects with a high materials related content – number of projects (with thanks to Dr. Vania Croce of EPSRC, Swindon).

(a) total over the period 2002/03 to 2006/07, (b) 2002/03 and (c) 2006/07.

9 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

1.0 Introduction

The data presented in Figures 1.7 and 1.8 show the following changes in a EPSRC funding for power generation related projects, from 2002/03 to 2006/07:

• A dramatic reduction in the funding of projects related to power generation via fossil fuel- fired technologies (to zero in 2006/07). • A 100% increase in the funding of projects related to renewable energy sources. • An almost 100% increase in the funding of projects related to nuclear energy.

As will be described in a later section of this report, some EPSRC funding of projects related to fossil fuel-fired power generation continues within the ‘Conventional Power Plant b Lifetime Extension (PLE) Consortium’ of the SUPERGEN project, and significant programmes related to fossil fuel-fired generation are supported by the Technology Strategy Board (TSB).

As regards UK capability in materials for power generation, it should be noted also that from discussion with company representatives and academics engaged in activities related to both fossil fuel-fired and nuclear power generation (utilities, OEMs, metals processors / fabricators, coatings companies, universities, etc.) that there is a considerable shortage of skilled scientists and engineers, with a strong background in materials. Thus, most companies and universities have difficulty in recruiting individuals with the required skills, a consequence of the c reduced number of students taking materials (and metallurgy, in particular) based degree courses at university.

Figure 1.8 – Analysis of the EPSRC’s programme of power / energy projects with a high materials related content – value of projects (with thanks to Dr. Vania Croce of EPSRC, Swindon).

(a) total over the period 2002/03 to 2006/07, (b) 2002/03 and (c) 2006/07.

10 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

1.4 The report also concentrates described and, wherever possible, for Scope of the Report primarily on materials supply chains each energy type, the main players in for larger scale, rather than micro- the UK’s energy materials supply power generation, although all of the chain will be identified. Thus, the The report focuses on energy renewable technologies lend UK’s materials & manufacturing generation by fossil, nuclear and themselves to micro-power and supply chain for power generation renewable fuels / technology only. distributed power generation. will be ‘mapped’. Energy transmission, distribution and storage, and energy conservation are Within each of the subsequent In addition, brief descriptions of not considered. Power, or (strictly sections of this report, the current some of the most significant R&D speaking) electricity generation via market opportunity or landscape for activities for each specific ‘fuel the following technologies are electricity generation via the specific source’ or technology are also given. considered: ‘fuel source’ or technology is • Fossil fuel (coal, gas and oil) • Nuclear (very largely fission) • Wind • Marine (wave and tidal) • Solar Photovoltaics (PV) • Biomass • Fuel cells

[Note: Hydro Power (both large and small scale) is not considered, as neither the installed Hydro Power capacity, nor the percentage UK power generation from Hydro sources are expected to increase significantly over the coming 20 years or so, although it should be noted that in 2006, electricity generated from large Hydro schemes was 1,386 MW. In addition, it should be noted that there is considerable UK capability in the supply of components for Hydo Power, an example being Sheffield Forgemasters International Ltd. (SFIL, Sheffield), which supplies large ‘hydroshafts’ (water turbines) and Kaplan blades to Hydro Power projects throughout the world.]

11 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

1.0 Executive summary

0012 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

2.1 The Fossil Fuel-Fired Power Generation Landscape

2.1.1 Introduction

In 2006, electricity generation from fossil fuel combustion made up more than 75% of the UK’s electricity supply, with gas-fired power stations providing 36% and coal- fired power stations providing 37.5% of that supply.

The supply of electricity from gas has economics of new gas power stations grown dramatically from 1% in 1990 were particularly favourable. and is predicted to grow further. In However, the new gas-fired station addition to its use in electricity builds resulted in an excess of generation, gas is also used to heat generation capacity and few new approximately 70% of the UK’s power stations have been built since homes. The supply of electricity, that time. from coal is down from approximately two-thirds in 1990 The contribution from coal and and oil-fired power stations now nuclear plants will decrease as power provide a little more than 1% of stations close, leaving a power ‘gap’ electricity. of approximately 15GW by 2015. [Note: the closure of the nuclear In addition to the above, fossil fuels plants will be described in a later are also used in the generation of section of this report]. heat and power in some Combined Heat and Power (CHP) schemes. CHP Recently, there has been a rise in is the simultaneous generation of electricity prices brought about by usable heat and power (usually higher coal and gas prices. In electricity) in a single process, using a addition, implementation of variety of fuels and technologies initiatives aimed at reducing across a wide range of sites and emissions from fossil-fuel fired power scheme sizes. The basic elements of a stations, such as the EU Emissions CHP plant comprise one or more Trading Scheme (ETS) and the Large pieces of major plant such as a Combustion Plant Directive (LCPD) reciprocating engine, gas turbine, or (see below) are likely to increase steam turbine driving electrical electricity prices still further. Thus, generators, and the steam or hot this makes fossil fuel-fired plant, and water generated in the process is pulverised coal-fired plant in utilised via suitable heat recovery particular, quite vulnerable. equipment for use either in industrial processes or in community heating However, the International Energy and space heating (from the ‘Digest Agency (IEA) World Energy report of United Kingdom Energy Statistics predicts that world energy demand 2007’, BERR, July 2007, which can be will increase by 60% between 2000 downloaded from the BERR website: and 2030, with fossil fuels expected "http://www.berr.gov.uk/publications/ to meet more than 80% of the index.html"). demand (22% coal, 35% oil and 25% ). Demand for electricity is The dramatic increase in Combined expected to grow faster than total Cycle Gas Turbine (CCGT) gas-fired energy demand, roughly doubling by power stations between 1990 and 2030, with coal expected to remain 2006, shown in Figure 1.1 (see the largest source of electricity (38%) Section 1 above), occurred during the and natural gas increasing its share second half of the 1990s, known as (29.5%) to make up for the reduction the ‘dash for gas’, when the in oil-fired generation.

13 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

2.1.2 The Large Combustion Plant Directive (LCPD)

The closure of the coal and few remaining oil-fired stations will result from implementation of ‘The Large Combustion Plant Directive’ (LCPD), which comes into effect in January 2008, and which imposes two separate constraints on coal and oil- fired stations. The first of these is that approximately 11GW of ‘opted- out’ coal and oil stations close by the end 2015 and the second restricts the operation of around 20GW of coal stations that ‘opted-in’ to meet the requirements of the LCPD, after 2016.

The LCPD requires operators of the large coal-fired power plants to have fitted equipment to remove sulphur dioxide (SO2), nitrogen oxides (NOx) and dust from their emissions, or to operate for a limited number of hours (20,000 hours) over the 2008-2016 timeframe. The LCPD does not limit CO2 emissions. As regards the second constraint, operators may choose to invest in the ‘opted-in’ power stations between now and 2016 to comply with reduced emission limits Table 2.1 - Large Combustion Plant Directive (LCPD) shut-down of 13 GW by 2015 (or earlier) in the UK (from RWE and so extend their operating life. ‘Facts & Figures 2007’, courtesy RWE npower plc: "http://www2.rwecom.geber.de/factbook/en/servicepages/ welcome"). Of the 22.5 GW of existing power stations which may close by 2020 (BERR Energy White Paper 2007), 8.5 GW of coal-fired capacity (of a total of 28 GW) will close by the end of 2015 to meet the requirements of the EU LCPD, as will approximately 2.5 GW of oil-fired power stations (see Table 2.1).

Thus, over the next two decades, the UK will need substantial investment in new generation capacity to replace the closing coal, oil and nuclear power stations, and to meet expected increases in electricity demand. The energy or power ‘gap’ is expected to be largely filled in the short-term (the next five years) by new gas-fired power stations and wind power generation (see later Section of this Figure 2.1 - Short-term proposed new electricity generation (from The Parliamentary Office of Science and Technology ‘Postnote’, February 2007, Number 280). report), although other renewables (eg, biomass), some CHP, clean coal technologies (eg, coal gasification) and waste incineration will also contribute (see Figure 2.1).

14 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.1.3 • RWE npower plc: a £800M, 2,000 (advanced boilers, improved The New ‘Dash for Gas’ MW station will be built at turbines and gasifiers, etc.) through Pembroke, Wales. Alstom has been which efficiencies can be increased appointed as the main contractor, by 10% or more and emissions can As mentioned, Combined Cycle Gas with commissioning expected in be reduced by 20%. These Turbine (CCGT) technology has been 2011. technologies can also be used to the dominant technology in terms of retrofit existing power stations. new builds over the last ten years or so. However, rising • Centrica plc - £400M, 885 MW gas prices have led to higher station at Langage, Devon, which is • Co-firing coal with biomass (which electricity prices and the EU due to start during winter 2008/09. will be described in a later section Emissions Trading Scheme (ETS), and Alstom has been awarded the of this report), in which coal-fired the cost of carbon emissions, will engineering, procurement and power stations can combine their further increase the operating cost of construction contract, and long- fuel with biomass and decrease gas generation. Growing gas imports term maintenance contract. emissions by about 10%. and issues such as limited gas storage capacity and relatively few pipeline • Scottish & Southern Energy plc, • Carbon capture and storage or links to the continent will also affect with Ireland’s ESB International: a sequestration (CCS), which the cost-effectiveness of gas-fired 400M, 840 MW development involves capturing the carbon power generation. known as Marchwood Power Ltd., dioxide emitted when burning Southampton, which will be in fossil fuels, transporting it and The relatively high efficiency of commercial operation in winter storing it in secure spaces such as CCGT power generation and the 2009/10. A turnkey contract has geological formations, including urgent need to install new generating been awarded to Siemens. old oil and gas fields and aquifers capacity has led to the (natural underground reservoirs) announcement of the construction of under the seabed. Carbon dioxide a number of CCGT power stations, • Bridestones Developments Ltd.: a capture technologies are based on which are currently undergoing 380 MW station at Carrington, three generic approaches: pre- construction or have been Trafford, Manchester. combustion, post-combustion and announced for construction by the oxyfuel and can be applied to coal utilities. Examples are given below, In addition to the above, E.ON UK or gas-fired power generation. which total approximately 8 GW of plc is developing a £500M, 1,275 capacity. MW CHP station at the Isle of Grain Although a number of UK-based in Kent, which will consist of three companies are active in gasification • E.ON UK plc: a £350M, 1,220 MW natural gas-fired units using CCGT (eg, Integrated Gasification station at Drakelow in South technology. The power station will be Combined Cycle, IGCC) Derbyshire has received planning built under a turnkey contract by developments (eg, Doosan Babcock permission. Alstom. Energy Ltd.) and CCS technologies (eg, Jacobs Consultancy Ltd., RWE • Severn Power Ltd. (a wholly owned npower plc and E.ON UK plc), subsidiary of Carron Energy): a 2.1.4 because the technologies are still £400M, 800 MW station will be Carbon Abatement (or ‘Cleaner under development, UK-based built near Newport, S. Wales on the Coal’) Technologies materials supply chains simply do site of the former Uskmouth A not exist at present, and their (coal-fired) power station. Siemens description is considered to be As mentioned above, coal is expected has been selected as the preferred beyond the scope of this report. bidder for engineering, to remain the largest source of fuel However, descriptions of the CCS procurement & construction, for electricity generation, within the technologies and UK capability are operation & maintenance and a UK and globally. This is linked to its given in: ‘Capability Brochure: long-term service agreement. abundance and, therefore, to security Carbon Dioxide Capture and of supply. However, is clear that Storage’, CB015, March 2005, DTI/ conventional pulverised fuel Pub URN 05/901, which can be • RWE npower plc: a £600M, 1,650 combustion technologies cannot be downloaded from the BERR website, MW station will be built at used if efficiencies are to be increased http://www.berr.gov.uk/publications/ Staythorpe near Newark (Notts.), and significant reductions in CO2 index.html. with four generating units, each of emissions are to be realised. approximately 400 MW capacity. Alstom has been appointed as the The design specification for the UK’s Thus, there are three principal first Carbon Capture & Storage (CCS) main contractor, and the first unit methods for reducing carbon will be operational in 2010. plant was significantly refined in emissions from fossil fuel-fired power early October 2007, when it was generation, as follows: announced that the Government will support a single post-combustion • Improved coal-fired power station coal-fired project. efficiency, through the use of super-critical steam cycles

15 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

On a related note, in October 2007, 2.2.1 In a typical pulverised fuel system, RWE npower plc announced plans to Pulverised Fuel Boilers and Steam coal is fed to a pulverising mill and design and build the first CO2 Generators the resulting pulverised fuel is capture pilot plant at its Aberthaw conveyed pneumatically to the boiler coal-fired power station in S. Wales. combustors. The basic steam cycle for A review of the UK’s capability in An initial £8.4M investment will power generation entails pumping pulverised fuel boilers was published focus on a 1 MW capture plant, with water into a boiler to which heat is by the Department of Trade & further investment planned to supplied to convert the water into Industry (DTI) in March 2001 (see: support a capture and storage steam. The steam is expanded ‘UK Capability: Pulverised Coal-Fired demonstrator plant of at least 25 through a steam turbine, which Power Station Boilers’, CB010, March MW. Both plants will be designed drives an electric generator and the 2001, DTI/Pub URN 01/593, which using post-combustion technology, exhaust steam from the turbine is can be downloaded from the BERR which can be applied to existing then condensed and pumped back to website, http://www.berr.gov.uk/ coal-fired power plants. the boiler to complete the cycle. publications/index.html). In addition, a capability brochure on In addition to the development of Modern boilers are designed to Heat Recovery Steam Generators stand-alone CCS power generation maximise heat transfer from the (HRSGs), used in CCGT plant for plants, although not economically combustion system to the steam example, was also published in viable at present, it is important to system with minimum loss of heat March 2004 (see: Capability have the option of retrofitting CO via the boiler flue gases. The main 2 Brochure: ‘Heat Recovery Steam capture equipment to future power heat-exchange systems in the boiler Generators’, CB014, March 2004, generation builds. are the furnace wall tubing, the DTI/Pub URN 04/716, which can also superheaters and reheaters, etc. (see be downloaded from the BERR Figure 2.3). website). HRSGs are used in CCGT 2.2 plant. Summary of Fossil Fuel-Fired Technology and Plant A detailed description of the operation of pulverised fuel boilers Detailed descriptions of the operation and HRSGs is beyond the scope of of the major equipment of fossil fuel- this report. However, it is necessary fired power generation plant are that some of the major components beyond the scope of this report, and of a boiler are described, and the in this section, only brief descriptions description of a pulverised fuel of components and plant are given operation given in the DTI Capability for: document is summarised below.

• Pulverised fuel boilers and steam A schematic diagram of a pulverised generators fuel boiler and ancillary plant is • Steam turbines shown left in Figure 2.2. • Gas turbines

Figure 2.3 - A water wall panel (Courtesy of Alstom).

Figure 2.2 - Schematic of a pulverised fuel boiler Figure 2.4 – A large (1560 MW) HP/IP turbine (from: ‘UK Capability: (Courtesy of Alstom Power Ltd.). Pulverised Coal-Fired Power Station Boilers’, DTI Capability Brochure CB010, March 2001 (DTI/ Pub URN 01/593)).

16 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.2.2 Materials developments and 2.2.3 Steam Turbines associated fabrication technologies Gas Turbines have led to a continuous rise in operating pressures and temperatures A review of the UK’s capability in In principle, land based (industrial) of steam turbines, which has steam turbines was published by the gas turbines are very similar to, but resulted in a substantial increase in Department of Trade & Industry typically larger than aero engine gas the thermal efficiency of power (DTI) in March 2000 (see: ‘UK turbines, and the actual turbine generation to approximately 47-49% Capability: Steam Turbines’, CB009, drives a generator. in the latest plant using super-critical March 2000, DTI/Pub URN 00/653, steam conditions of approximately which can be downloaded from the Industrial gas turbines used in 600-620 C and 300 bar. BERR website,http://www.berr.gov.uk/ º ‘simple-cycle’ or CCGT power plants publications/index.html). A detailed extract energy from a flow of hot gas The high temperatures and high description of the operation of a produced by combustion of gas or pressures create major challenges in steam turbine is beyond the scope of fuel oil in a stream of compressed air. materials development for rotors, this report. However, it is necessary An upstream compressor is casings, valve chests, blading and that some of the major components mechanically coupled to a bolting, and development of new of a steam turbine are described, and downstream turbine and a ferritic steels has enabled an increase the description of steam turbine combustion chamber in between. in steam temperature to around operation given in the DTI Capability The compressed air is mixed with 620 C. When new materials are document is summarized below. º fuel and ignited in the combustor. developed, in order to demonstrate The hot gases are then directed over that the required properties are met, Steam turbine power stations vary the turbine's blades, which makes the prototype components must be from relatively low power output to turbine rotate and mechanically manufactured and tested to unit sizes of up to approximately power the compressor. destruction. 1200 MW for fossil steam turbines A schematic diagram showing the and up to 1800 MW for nuclear materials of construction of a gas steam turbines (see Figure 2.4). turbine is shown in Figure 2.6 below. The compressor blades and discs are Steam is supplied at high pressure typically made of steel or titanium and temperature to the steam turbine alloys, whilst the combustor and and the energy of the steam is turbine components (blades and converted into mechanical energy by discs) use Ni-base superalloys. Cobalt expansion through a series of ‘fixed based alloys are also used in blades’, or ‘nozzles’ (also called vanes combustor applications. and diaphragms), and the rotating Simple-cycle gas turbines convert fuel blades. A row of fixed blades together energy into electricity and heat, with its associated moving blades is which is normally lost to the termed a ‘turbine stage’. The fixed atmosphere. However, the waste heat blades are attached to the ‘turbine can be used to create steam to power casing’, which contains the steam a separate (steam) turbine and this is pressure, and the moving blades are the principle of the CCGT power attached to the turbine rotor (see plant. Figure 2.5). As a result of their flexibility, it is estimated that at least half of all new global power generating capacity (small and large scale) added to 2010 is likely to use gas turbines. Figure 2.5 – A turbine casing being lowered into position, showing rotor blades and fixed blades (nozzles, vanes or diaphragms).

Figure 2.6 – Schematic of a gas turbine engine annotated with some of the materials of construction. (Courtesy of Alstom Power Ltd.).

17 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

2.3 Doosan Babcock’s super-critical boiler Forged and Rolled Bar UK Supply Chain for Boilers & designs require the purchase of Forged bar material such as F11 Steam Generators between 4,000 and 4,500 tonnes of (1.25Cr-0.5Mo) and F22 (2.25Cr-1Mo) pipe and tube, which is currently are mainly sourced from stockists and sourced as follows: There is only one major (and global) the rolled Corus ‘Durehete’ grades for UK-based player in the design and bolting applications are sourced from manufacture of pulverised fuel boilers Pipe Corus Engineering Steels and steam generation equipment for Doosan Babcock purchases (Rotherham). Note: Sheffield fossil and nuclear power, although conventionally formed carbon and Forgemasters International Ltd. there are a number of other UK-based alloy steel pipe to ASME or its (Sheffield) supplies F22 and P91 steel suppliers of plant and components equivalent standards. However, grades to stockists, but does not for steam generation, as will be equivalent forged hollow machined supply directly to Doosan Babcock. described below. material is sourced from forgemasters where necessary. Other (Strip, Castings, Structural 2.3.1 Steel, Welding Consumables) The major suppliers of steel grades Doosan Babcock Energy Ltd. Doosan Babcock sources other (Renfrew, ) such as P12 (1Cr-0.5Mo), P22 (2.25Cr-1Mo), P91 (9Cr-1Mo-0.25V), materials as follows: P92 (9Cr-2W-0.5Mo-0.25V) in pipe • Membrane panel strip to suit the With group headquarters in Crawley, form are Vallourec & Mannesmann base tube material is sourced from Surrey and European Headquarters in (France and Germany), Tenaris (Italy Renfrew, Scotland, Doosan Babcock Ferrostaal GmbH (Germany) and and Romania), Productos Tubulares forged pipe fittings in carbon and Energy Ltd. (http://www. SA (Spain), Bentler GmbH (Germany). doosanbabcock.com/) is a wholly alloy steel grades (9Cr, F91 and F92) for the high pressure systems owned subsidiary of Doosan Heavy For the same forged steel grades, Industries and Construction Ltd. are supplied by stockists such as suppliers are Forge Fedriga SpA, Dylan België (Belgium). (Korea). Forgiatura Morandini SpA, IBF and Ofar Forgiatura SpA (all Italian). In • Precision castings for the tube attachments are sourced in grades Doosan Babcock is a specialist energy addition, material is sourced from to suit the tube material from local services company operating in the UK-based distributors of companies thermal power, nuclear, casting companies: Cronite which include Buhlmann Group Castings Ltd. (Crewkerne, petrochemical, oil and gas and GmbH (Germany), RTR pharmaceutical industries. The Somerset) and Incamet Ltd. Handelsgesellschaft GmbH (Douglas, Lanarkshire, Scotland). company is also a leading (Germany) and Federal Steel Supply international steam generation OEM Inc. (USA). • Large castings for the pulverised and is one of only four companies fuel mill spares (eg, for rings and worldwide to have proprietary boiler balls, yokes, spindle shafts and technology (the others are Alstom Tubing wear plates) are supplied by (France), Babcock & Wilcox (USA) Major suppliers of carbon and alloy companies such as Bradken Ltd. and Foster Wheeler (USA)). steel tubing (eg, the 1Cr T11 grade, (Scunthorpe), Somers Forge Ltd. the 2.25Cr-1Mo T22, T23 and T24 (Halesowen, Birmingham) and Doosan Babcock has considerable grades, and the 9Cr, P91 and P92 Larson & Toubro Ltd. (India). experience in the design and grades) are Vallourec & Mannesmann • Structural steel sections and plate engineering of systems such as Mills, Teanris, Bentler and Bao Steel are supplied by Corus. (China). As in the case of pipe, pipework, pressure parts and boiler • Doosan Babcock manufactures carbon and alloy tubing is also support structures, for a range of approximately 80% of the welding OEM boilers, Heat Recovery Steam sourced from distributors. consumables it uses in the form of Generators (HRSGs) and nuclear MMA/TIG wire (Babcock Welding applications. The company’s activities Major suppliers of stainless steel Products), with the major welding also include the inspection, repair, tubing (304H, 316H and 347H) are consumable companies such as maintenance, plant upgrade and life Tubacex Tubos Inoxidables (Spain), Oerlikon, ESAB, Metrode and extension services, and assurance Sandvik (Sweden) and Mannesmann Bohler Thyssen supplying the service, for thermal power steam DMV Stainless (Germany & USA). remaining 20%. Additional stainless steel grades are generators. • Doosan Babcock contracts specialist supplied by DMV and Sumitomo refractory suppliers and installers Doosan Babcock is one of the world’s (Japan). (eg, York Linings International Ltd. leading suppliers of super-critical (York)) for applications such as power plant technology, and through Plate boiler linings, burner quarls, etc. its licensing agreement with the Stainless Steel Plate (eg, 310, 304L (see Section 2.7 below). Harbin Boiler Company (China), has 316L) is sourced from Outokumpu secured the largest percentage of new Stainless (rolled in Sweden), and is build thermal power stations in also sourced from stockists. China.

18 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

From the above list, it is readily TEI Ltd. (Wakefield, W. Yorks) In addition, a number of other apparent that very little pipe and provides service in the manufacture, UK-based companies are active in tubing is sourced within the UK. installation and repair & providing spares, repairs and retrofit Unfortunately, there is currently no maintenance of high pressure steam services for steam turbines, and in major UK-based supplier of seamless generation plant and equipment. the original manufacture of relatively stainless steel tubing and the UK’s small steam turbines, as will be only (current) supplier of high alloy Thermal Energy Construction UK described below. steels and Nickel based alloy pipe Ltd. (Castle Donington, Derbs.) also (Wyman-Gordon Ltd., Livingston) offer maintenance and repair services Also, a significant number of exports almost all of its products. (eg, heat exchanger and boiler UK-based companies have the However, Osborn Steel Extrusion Ltd. re-tubing) for HRSGs and large coal- capability to supply high integrity (Bradford, W. Yorks) has the fired boilers. components (castings, forgings, etc.) capability to produce stainless steel into steam turbine applications, but tubes in diameters from are either not doing so currently or, if approximately 37-75mm, with wall 2.4 doing so, are largely exporting their thicknesses of 4-5mm, and smaller UK Supply Chain for Steam products. diameter seamless tube can also be Turbines cold drawn by Fine Tubes Ltd. However, at the time of publication (Plymouth, Devon). of the DTI’s ‘UK Capability: Steam As mentioned previously, there have Turbines’ document in early 2001, Various tubes, fittings, etc. may also been significant changes in the the following companies were listed be sourced by the utilities directly ownership of the major power plant as being engaged in the development from stockholders (eg, Aalco Ltd. OEMs, as mainland European parent and supply of materials for steam (national) and RTR Ltd. (Newcastle)). companies have acquired indigenous turbines and associated components: manufacturers. Thus, many of the Corus Group (Corus plc), Firth major suppliers of key materials and Rixson Superalloys (now Firth Rixson components are now based elsewhere Forgings Ltd.), Allvac-SMP (now ATI 2.3.2 in Europe. Allvac Ltd.), Howmet (now Alcoa Howmet Ltd.), Ross and Catherall Additional UK-Based Boiler and This is particularly true of large steam Steam Generation Capability (part of Doncasters plc), Wiggin turbine manufacture, although Alloys Products and Special Metals Alstom maintains capability in the Wiggins (now Special Metals Wiggin Unit Superheater Engineering Ltd. supply of retrofit equipment from Ltd.), Goodwin Steel Castings, Ltd., (Swansea) manufacture tubular Alstom Power Ltd. (Rugby) and Sheffield Forgemasters International products for the petrochemical, Siemens provides spares, repairs and Ltd., William Cook Hi Integrity Ltd. power generating, nuclear and other service from Siemens Power (now William Cook Cast Products major industries. The company can Generation Ltd. (Newcastle). Siemens’ Ltd.). Most are still active in steam provide a complete package for boiler Newcastle facility provides major turbine component manufacture. tube replacement, up to full boiler spares for all ex-Parsons turbines (UK tube wall replacement, and is able to and overseas) and the Siemens fleet, In addition to the large steam turbine supply a complete range of and acts as ‘overflow’ for Siemens’ OEMs (Alstom and Siemens), Peter distribution components (headers German facilities for the manufacture Brotherhood Ltd. (Peterborough) and manifolds). The Group also has of some steam turbine ‘modules’. specialises in the design and extensive bending, machining, heat manufacture of steam turbines, with treatment and NDT capabilities. Alstom in Rugby is an important power outputs from 1 MW to 40 centre for the development of and MW, suitable for a range of TEI Greens Overseas Ltd. (Wakefied, engineering of steam turbines for new applications, including waste W. Yorks) is one of the largest build and retrofit applications. incineration CHP schemes. independent fabricators of Heat It has been responsible for the Recovery Steam Generator (HRSG) development of key materials Also, a number of additional components in Europe, although technologies for ultra super-critical companies offer services in the fabrication now takes place at (USC) plant, development and testing provision of spares, repair, overhaul, factories in China. The same applies of advanced blading solutions and for upgrade and retrofit of steam to its wide range of boilers and the engineering and execution of turbines, and these include: superheaters. However, the company retrofit projects. This will be key in is perhaps best known for its boiler the future for the application of • Weir Services, a division of Weir economisers and 70% of the UK’s carbon capture technology to the Group PLC (Barton-on-Humber coal-fired power stations use its installed fleet. and Bedford). economisers. Greens also manufactures a wide range of Thus, of the world’s four largest • Wood Group Heavy Industrial Turbines (Cumbernauld and extended heating surface tubes, manufacturers of steam turbines Dundee, Scotland, and Worcester). including helical finned tubes, for (Alstom, Siemens, GE and Mitsubishi boilers, economisers, gas coolers and Heavy Industries), two maintain heat exchangers. significant capability in the UK.

19 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

2.4.1 Blading & Diaphragms Castings Ltd. (Stoke-on-Trent, Staffs.) Steam Turbine Components Forged bar stock or ‘envelope’ – see Figure 2.7 below. Fully forgings for blading and diaphragms machined and assembled main stop and control valves in low alloy CrMo In this section, the capabilities of (stators or vanes) can be sourced & CrMoV and 9.5%Cr, and all UK-based companies, with respect to within the UK from Firth Rixson internals, can be supplied by steam turbine component Special Alloys Enpar Ltd., (Sheffield), Goodwin Steel Castings Ltd. manufacture are described. from Corus Engineering Steels (CES) bar stock, or from bar stock from Cast iron components, such as low Rotors other UK and mainland European suppliers. In addition, forgemasters in pressure castings and bearing With the buoyancy of the large Germany (eg, Forge Saar GmbH and pedestals are sourced from within the forgings market, for power generation Buderus GmbH), Austria (eg, Böhler UK and mainland Europe, from and other sectors, supply of large Edelstahl GmbH) and Italy (eg, from suppliers which include Coupe rotor forgings is limited and all OEMs CBlade SpA) also supply into the UK. Foundry Ltd. (Preston, Lancs.), tend to use the same suppliers. Fonderie Sabiem (Italy) and Buderus The forged bar and ‘envelope’ Edelstahl GmbH (Germany). Approaches to rotor construction forgings are then machined to final differ, with Alstom using forged and form at the steam turbine Cast white metal bearings are welded constructions, in which manufacturers facilities (eg, Alstom supplied by companies such as J.H. individual forged parts are welded Rugby or Siemens Newcastle), or at Richards Ltd. (Birmingham), K.C. together, whereas companies such as independent machinists. Engineering Ltd. (Consett, Co. Siemens use large, single forgings. Durham) and Osbourne Engineering In addition, Alcoa Howmet Ltd. Ltd. (Cramlington, Northumberland), Within the UK, large (low, (Exeter) and AETC Ltd. (Leeds), and but these are also sourced in intermediate and high pressure, LP, IP others, can supply precision Ni based mainland Europe. and HP) rotor and generator forgings alloy castings for machined turbine (say 30-100 tonnes ) can only be blades. In addition, low alloy steel ‘oil work’ supplied by Sheffield Forgemasters castings can be supplied by (Sheffield), and rotor forging are also companies such as Weirs Materials & supplied by European forgemasters in Miscellaneous Castings Foundries Ltd. (Manchester) and Germany (eg, Forge Saar, formerly Low alloy steel steam chest castings Bonds Foundry Co Ltd. (Bishop Saarschmiede GmbH, and Buderus (eg, 1Cr0.5Mo, 0.5Cr0.5Mo0.25V and Aukland, Co. Durham). GmbH) and Italy (eg, ThyssenKruup 2.25Cr1Mo castings) can be sourced Acciai Speciali Terni). Very or ultra- in the UK from companies such as Miscellaneous Forgings large rotor forgings are also supplied William Cook Cast Products Ltd. Suppliers of low alloy steel steam by Japan Steel Works (JSW). (Sheffield) and Goodwin Steel Castings Ltd. (Stoke-on-Trent, Staffs.). chest valve components include Somers Forge Ltd. (Halesowen) and Turbine Casings However, steam chest castings are also sourced in mainland Europe (eg, Formet Ltd. (Newcastle). The inner turbine casings are cast from Poland). steel, the alloy content of which Miscellaneous high strength forgings depends on service conditions Various large valve castings, such as are sourced in mainland Europe from (temperature and pressure), with main stop valve and control valve Italy and France, and some precision compositions typically ranging from castings, in 9-13Cr alloys, can be Cobalt (‘stellite’) alloy castings for 1CrMo to 9CrMoV. The service sourced in the UK from Sheffield blade leading edge and valve seats are conditions, of temperatures in excess Forgemasters International Ltd. supplied by Doncasters plc. of 500°C and pressures up to 350 bar, (Sheffield) and Goodwin Steel (Sheffield). require high integrity castings. In general, there is a worldwide shortage Corus supply a range of ‘Durehete’ of capacity for the largest castings grade steel bar stock for bolting, via and these are generally sourced Firth Rixson Enpar Special Alloys overseas from casters in Germany, (Sheffield). Firth Rixson also supply Poland and Mexico. some forged Nimonic 80A bar for bolting, and Aubert & Duval (France) However, Sheffield Forgemasters also supply bar for bolting International Ltd. (Sheffield) can applications. supply large castings, and William Cook Cast Products Ltd. (Sheffield) In addition, forged internals (valve and Goodwin Steel Castings Ltd. and pipe components) are also (Stoke-on-Trent, Staffs.) are able to sourced in mainland Europe from supply some intermediate size companies such as Forge Saar GmbH castings for turbine casings. In Figure 2.7 - Main stop valve body for a super-critical (Germany) and Böhler Edelstahl addition, some casings may also be application, produced from two 10Cr-MoVWNbN, GmbH (Austria). fabricated from forged steel P911 castings, weld fabricated to make a 16,000kg components. valve body. (Courtesy Goodwin Steel Castings Ltd.).

20 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Other Components 2.4.2 • Examples of other components: Miscellaneous materials / Summary of UK-Based Steam Rotor wedge bars (304L and components are sourced as follows: Turbine Capability 410 stainless steel): Osborn Steel Extrusions Ltd. • Steam turbine pipework is supplied Although not an exhaustive list, (Bradford, W. Yorks). by companies which include UK-based companies with capabilities Steam turbine pipework: Doosan Babcock Ltd. (Renfrew) and in major steam turbine materials/ Doosan Babcock Energy Ltd. Vallourec & Mannesmann Tubes components, some of whom are (Renfrew) (France & Germany). mentioned above, are as follows: Low pressure castings: • Steam turbine shims and fixtures Coupe Foundry Ltd have their own major supply • Large Rotors: Sheffield Forgemasters (Preston, Lancs.), chains, typically involving SMEs International Ltd. (Sheffield) (Tier 2 & 3 suppliers). Various rings and seals: • Turbine casings: William Cook Cast Cross Manufacturing Co Ltd. • Springs may be sourced within the Products Ltd. (Sheffield), Goodwin (Bath and Devizes, Somerset). UK from suppliers which include Steel Castings Ltd. (Stoke-on-Trent, Hanson Springs Ltd. (Rochdale) Staffs.). and Cross Manufacturing Company Clearly, for future super-critical and • Forged turbine discs: Firth Rixson Ltd. (Bath & Devizes). ultra-super critical (USC) steam Forgings Ltd. (Darley Dale, turbine applications, companies • Various rings and seals are sourced Matlock, Derbs.) in the UK; for example, from Cross currently supplying to the aero or • Forged bar for turbine blades, Manufacturing Co Ltd. (Bath and industrial gas turbine markets will diaphragms and/or bolting: Firth Devizes, Somerset). also have the capability to supply Rixson Enpar Special Alloys Ltd. materials / components for steam (Sheffield) and Independent turbine applications. These Nickel Alloy Castings Forgings and Alloys Ltd. (IFA Ltd., companies include precision Ni base Sheffield). For higher temperature applications alloy casters of blades and (700-720°C), Nickel alloys such as • Steam chest casings and valve diaphragms (eg, AETC Ltd (Leeds), Alloy 625 (NiCrMoNb) are used. components: Somers Forge Ltd. Alcoa Howmet Ltd. (Exeter) and Goodwin Steel Castings Ltd. (Stoke- (Halesowen, Birmingham). Doncasters plc (Droitwich, Worcs. on-Trent) was the main casting • Alloy steel forging and machining and Chard, Somerset)). manufacturer participant in the EU stock (bar) for blades and bolting: Thermie AD700 programme Corus Engineering Steels Also, Special Metals Wiggin Ltd. (described below). The company also (Rotherham). (Hereford) currently supplies Ni base alloy bar for forging and Wyman- supplied the COMTES 700 turbine • Steel castings for steam chests and Gordon (Lincoln and Livingston) valve in Alloy 625 and the test valve valves: Goodwin Steel Castings Ltd. for the Japanese ‘700 programme’. (Stoke-on-Trent), William Cook forge Ni base alloy turbine blades; Cast Products Ltd. (Sheffield) and both companies would be capable of Coatings Sheffield Forgemasters supplying materials / components for International Ltd. (Sheffield). super- and USC steam turbine Currently, very few coatings are used Goodwin can also cast large Ni applications. in steam turbines, although ongoing alloy castings. development work associated with super-critical and ultra super-critical • Coatings, surface treatment and (USC) steam cycles will see the move abradable seals: the major gas to widespread coating application in turbine coatings and seals steam turbines. In this respect, the companies, which include UK is served very well by a number Chromalloy UK Ltd. (Alfreton, of world leading coatings companies, Derbs.), Sermatech Ltd. (Lincoln), Praxair Surface Technologies Ltd. as will be described below in Section (Swindon), Sulzer Metco 2.6. (Stalybridge and Stockport) Monitor Coatings Ltd. (South Shields, Co. Durham) and Metal Improvement Co Ltd. (Newbury, Berks).

21 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

2.5 they utilise the same or similar Also, a number of UK-based UK Supply Chain for Gas Turbines components. companies have the capability to supply high integrity components Rolls-Royce’s major products for the (castings, forgings, etc.) into gas Rolls-Royce plc is a world leading energy sector are gas turbine packages turbine applications, as will be supplier of power systems and for power generation and oil & gas described below. These companies services for civil aerospace, defence power projects. Prime products are a supply within the UK, but also export aerospace, marine and energy range of 501, RB211 and Trent aero- their products. In addition, because applications. The group has derivatives, which can be used in of global sourcing, some of the major manufacturing and service facilities simple cycle, simple cycle suppliers of key materials and in 50 countries, with main UK sites cogeneration, combined cycle and components for gas turbines are now in Derby, Bristol, Hucknall (Notts.), combined cycle cogeneration plants based overseas, either within Inchinnan (Glasgow), Sunderland (4-58 MW generating sets and up to mainland Europe or in the US. and Barnoldswick (Lancs.). 150 MW, 2 x Trent combined cycle), in addition to a large, supported In general, suppliers for Rolls-Royce’s 2.5.1 legacy Avon fleet in the same role. land based power systems are global Gas Turbine OEM and Component companies and are primarily Manufacture Although not discussed in any detail embedded within the company’s aero within this report, Rolls-Royce’s gas engine supply chain. The current engine packages, for industrial power In this section, the capabilities of supplier base numbers approximately stations & municipal applications, UK-based companies, with respect to 750 companies, and sourcing in include the Bergen K and Bergen B gas turbine, and gas turbine emerging low-cost markets has Diesel engine packages (2.2-8.5 MW). component, manufacture are increased from 9% to 11% of Rolls- described. It should be noted that the Royce purchases. Within the UK, Siemens’ construction of the turbine varies, manufacture small gas turbines such that Rolls-Royce do not Engineering support for Rolls-Royce’s (approx. 5-15 MW range at the manufacture using a rotor, but Energy business aftermarket is based Lincoln site (Siemens Industrial instead ‘assemble’ compressor and in Ansty (W. Midlands), Mt Vernon Turbomachinery Ltd.); the same site turbine discs. This is not the case for (OH, USA) and Montreal (Canada). also supports service (repair, retrofits, the relatively small gas turbines Service facilities in Montreal, etc.) for gas turbines. manufactured at Siemens Lincoln, Houston and Brazil, complemented where a steel rotor is used. Thus, by a joint venture with the Wood In addition, Siemens Power throughout the following, some Group plc in Aberdeen and San Generation Ltd. (Newcastle) also reference is made to differences in Leandro (CA, USA), provide engine, supports Siemens’ German facilities the materials of construction and, package and accessory repair and and Siemens Lincoln in the servicing therefore, the suppliers of some overhaul services. Overall, the Energy of gas turbines, although all large gas components. Business shares a substantial part of turbine components are sourced from its worldwide authorised repair Siemens in Berlin. Raw Materials vendor network with the rest of the Rolls-Royce group. In the case of Rolls-Royce, suppliers A number of other UK-based of raw materials for gas turbine companies are also active in For land based gas turbines, Rolls- manufacture include TIMET (Ti) and providing spares, repairs and retrofit Royce’s major design/assembly sites VSMPO (Ti, Russia), although these services for gas turbines, and these are in Canada (Montreal), the US materials are purchased via forgers, include: (Mount Vernon, OH & Indianapolis, such as Ladish Co, Inc. (USA), IN) and in the UK at Ansty (W. Wyman Gordon, Doncasters plc and • Weir Services, a division of Weir Midlands) and Bootle (Liverpool), Firth-Rixson. In addition, Ni, Fe, Ti Group plc (Barton-on-Humber and and Al alloys are purchased from the although it has recently been Bedford). announced that the latter is to close. supply chain as stock materials for The Energy business, which includes • Wood Group Heavy Industrial in-house manufacture of finished the manufacture of Industrial Gas Turbines (Cumbernauld and component/sub assemblies from Turbines (IGTs), makes up only Dundee, Scotland, and Worcester). suppliers. Global suppliers of Ni approximately 7% of Rolls-Royce’s • Rolls Wood Group (Aberdeen, based alloys include Norilsk (Russia), business, based on 2006 turnover, Scotland), a joint venture Allegheny Ludlum Inc. (USA), with civil aerospace accounting for established in 1990, between Rolls- including ATI Allvac Ltd. (Sheffield), approximately 53% of turnover, Royce and Wood Group plc to and Precision Cast parts Corp. (PCC followed by defence aerospace (22%) maintain, repair and provide field Special Metals, USA and Special and marine (18%). In general, the service to gas turbine operators. Metals Wiggin Ltd., Hereford). group has a common supply chain; for example, high pressure turbine blades are manufactured at a number of common facilities for the aero, marine and industrial markets; ie,

22 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Compressor Materials Turbine Blades materials / components; for example, Rolls-Royce compressor discs are Rolls-Royce use Ni base alloys such as from PRD Fasteners Ltd., (Willenhall, typically forged and machined from CSMX-4, Directionally Solidified (DS) W. Midlands), and are made from creep resisting martensitic steel MAR-M002 and a range of materials which include 321 and (coated), Ti-6-4 and Ti-6246, and the conventionally cast Nickel based 316L stainless steel grades. Ni based alloys IN718 and alloys, dependent on the turbine ‘Waspaloy’, depending on product stage and blade temperature. Stators and compressor temperature. The In Siemens gas turbines, the stator is disc forgers include Ladish (USA), Cast blades are Hot Isostatically either cast as a single piece or in Wyman-Gordon, Doncasters plc and Pressed (HIPped) by Bodycote H.I.P. multi-vane segments of IN939, of Firth Rixson, and most forgings are Ltd. (Derby, Chesterfield and which there are a number of finished in the UK by Rolls-Royce. Hereford). potential suppliers, including PCC (Special Metals, USA) and Alcoa In the case of Siemens Lincoln, rotor Similarly, Siemens Lincoln uses Howmet Ltd. (Exeter). and stator blades at the ‘colder end’ CMSX-4 single crystal Ni alloy of the compressor are 17-4PH castings, supplied by the Precision Turbine Casings (17Cr-4Ni) steel, sourced from Corus Cast parts Corp. (PCC Special Metals) Engineering Steels and stockholders, in the USA, or Directionally Solidified For Rolls-Royce gas turbines, these are such as Gould Alloys Ltd (DS) Ni-base alloys, such as IN6203, ring-rolled products, similar to (Chesterfield, Derbs.) and Firth also supplied by PCC Special Metals. combustor materials, supplied by Rixson Special Alloys Enpar Ltd. companies such as Doncasters plc, Firth Rixson (Sheffield and US sites) (Sheffield), in the form of bar stock, At the ‘colder end’ of Siemens’ and Aubert & Duval (France). which is then machined in-house at turbines, Ni base castings of alloys Siemens. In addition, some stainless such as MAR-M247, IN939 and IN738 steels are also used at the higher are used. The specific alloy used is For Siemens Lincoln, the casings and temperature, ‘back-end’ of the dependent upon the engine combustor housings are cast iron, compressor, which are again sourced operating cycle and the size of the cast at companies such as Ductile from stockists. part. In addition, one of the Low Castings Ltd. (Scunthorpe) and Pressure (LP) blades is manufactured William Cook Cast Products Ltd. Rotor discs at the ‘colder end' of the from forged Udimet720, from either (Sheffield). compressor are typically low alloy Symmetry Medical (ex-Thorntons steels such as 1.5Ni-Cr EN24 and the Precision Components Ltd., Sheffield) Coatings & Seals 2.5Ni-Cr alloys, EN25 & EN26, also or Doncasters plc. Rolls-Royce has a joint venture with supplied by Firth Rixson. Chromalloy UK, Ltd., Turbine Surface As in the case of combustor materials, Technologies, Ltd. (TSTL), based in Rotor blades at the ‘hotter end’ of the most turbine blades are coated to Annesley (Notts.), which carries out compressor are 12Cr based steels (eg, improve component life with an Air Plasma Spray (APS), Low Pressure FV448 and FV535), supplied by Firth aluminide based system. Plasma Spray (LPPS), Pt plating and Rixson Ltd., which is machined Electron Beam Plasma Vapour in-house at Siemens. Böhler Edelstahl Turbine Discs Deposition (EBPVD) coating of also supplies a 12Cr alloy, X19. turbine components. Turbine discs are forged aero- derivative materials such as For Rolls-Royce, compressor seal Combustor Materials Udimet720, together with 'Waspalloy' materials are applied in the form of Combustor materials are typically and IN718, and steel discs are also coatings, sourced from companies made from weldable Ni base sheet utilised in in-service legacy products. such as Sulzer Metco Ltd. (Gwent) alloys, of between 1-3mm in and HC Starck Ltd. (Sheffield). thickness, such as Haynes 230 and Forging companies source ingot from Turbine seals are typically nickel Nimonic 75. Materials are supplied Siemens approved suppliers, which based alloy honeycomb structures. by companies such as Haynes could be in the UK, the US, or within International Inc. (USA), Special Europe. ‘Hot end’ discs are forged Siemens sources coatings, which Metals Wiggin Ltd. (Hereford), and from IN718 from Wyman-Gordon include Aluminides, MCrAlY’s and stockists, and for Rolls-Royce, little Ltd. (Livingston, Scotland). Thermal Barrier Coatings (TBCs) from fabrication takes place in the UK. Sermatech Ltd. (Lincoln) and Sulzer Turbine Rotor Shafts Metco Coatings UK Ltd. (Stalybridge, For Siemens gas turbines, burners are Turbine rotor shafts are manufactured Lancs.). In addition, Siemens sources typically fabricated from 310 stainless from either martensitic steel or nickel abradable seal materials from steel bar, which is machined in-house. based alloys. companies such as Sermatech Ltd. (Lincoln) and Sulzer Metco Neomet Combustor components are Ltd. (Stockport), and include frequently ‘protected’ with a Thermal Bolted Joints Nimonic 86 and Haynes 214 Barrier Coating (TBC), which will be Materials for bolted joints are sourced ‘honeycombs’ for the High Pressure discussed in more detail below (see relatively widely (Tier 2/3 suppliers), (HP) turbine rotor blades. Section 2.6.). as these are not specialist gas turbine

23 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

2.5.2 It should be noted that the UK The UK has a number of world-class Summary of UK-Based Gas possesses world-class capability in coatings companies, brief details of Turbine Capability investment casting (of superalloys), some of which are given below, and with approximately 50% of Europe's companies with a presence in the UK and 10% of the world’s investment also supply powders for coatings Although not an exhaustive list, casting capacity in Rolls-Royce applications (eg, Sulzer Metco, Praxair UK-based companies with capabilities (foundries in Derby and Bristol), and HC Starck Ltd. (Sheffield)). in major gas turbine materials/ Alcoa Howmet (Exeter), AETC Ltd. components, some of which are (Leeds) and Doncasters plc mentioned above as suppliers to Chromalloy United Kingdom Ltd. (Droitwich, Worcs. and Chard, Rolls-Royce and Siemens, are as and Turbine Surface Technologies Somerset) and others. follows: Ltd. (TSTL) • Raw materials: Chromalloy United Kingdom Ltd. (Chromalloy) and Turbine Surface Titanium: TIMET UK Ltd. 2.5.3 Technologies Ltd (TSTL) are (Birmingham & Swansea). Overseas Gas Turbine considered together as the latter is a Nickel: Special Metals Wiggin Ltd. Manufacturers 50:50 Joint Venture (JV) between (Hereford), ATI Allvac Ltd. Chromalloy UK Ltd. and Rolls Royce (Sheffield). Gas turbines from overseas suppliers plc. Chromalloy operates three such as General Electric (USA), Steel: Corus plc. facilities in the East Midlands area for Ansaldo (Italy), Turbomach the coating and repair of gas • Compressor materials: Wyman- (Switzerland) and Mitsubishi Heavy turbines, both aero and industrial Gordon Ltd. (Lincoln), Doncasters Industries (Japan) have been supplied (IGT), at Alfreton, Derbs. (coating), plc, Firth Rixson Special Alloys into the UK for CCGT applications, Eastwood, Notts. (repair and Enpar Ltd. (Sheffield) and Firth as have gas turbines from Alstom and Rixson Forgings (Sheffield). overhaul) and at Annesley, Notts. The Siemens facilities within mainland latter is the JV with Rolls-Royce, • Shafts: Steel and Nickel alloys: Firth Europe. For the UK’s new generation which employs approximately 200 Rixson (Meadowhall). CCGT power stations, most will be people. A further 200 people are also • Combustor materials: Special Metals supplied as turnkey plant from employed across Chromalloy’s Wiggin Ltd. (Hereford). Alstom and Siemens facilities in Alfreton and Eastwood sites. mainland Europe. • Forged turbine blades: Wyman- Gordon Ltd. (Livingston, Scotland), In addition to more conventional Doncasters plc high temperature coating (eg, LPPS 2.6 and HVOF), currently within the UK, • Precision cast turbine blades and Coatings TSTL and Chromalloy are the only vanes: Rolls-Royce (foundries in companies which offer EBPVD Derby and Bristol), Alcoa Howmet coating; which was originally (Exeter), AETC Ltd. (Leeds) and With the drive to higher gas turbine specified by Rolls-Royce. Within the Doncasters plc (Droitwich, Worcs. inlet temperatures for increased and Chard, Somerset). Hot Isostatic efficiency and reduced emissions, UK, Rolls-Royce use TSTL exclusively Pressing (HIPping) of cast turbine there is an increasing demand to for coating all of its gas turbine blades (and rings) is also carried out develop materials and coatings which blades and components. Chromalloy by Bodycote H.I.P. Ltd. (Derby, are capable of operating at elevated UK Ltd. has a global customer base of Chesterfield and Hereford). temperatures. In addition, the gas both aero gas turbine and IGT OEMs, and airline companies. • Stator components: Alcoa Howmet turbine OEMs are looking for new Ltd. (Exeter) and Rolls-Royce sealing materials (between blades and Both Chromalloy and TSTL apply the (Bristol). casings) to seal gas paths, again for increased efficiency. patented Pt ‘Low Cost Bond Coat’ • Turbine casings: William Cook Cast and Chromalloy also apply a wide Products Ltd. (Sheffield). From a commercial perspective, the range of aluminide and MCrAlY bond • Coatings and seals: Chromalloy UK OEMs are also seeking to increase coats. Ltd. (Alfreton, Derbs. and Eastwood, operating times between major Notts.), Turbine Surface services and so the requirement for the Praxair Surface Technolgies Ltd. Technologies Ltd. (Annesley, Notts.), combined substrate and coatings (PSTL) Praxair Surface Technologies Ltd. system is for increased time of Praxair Surface Technologies Ltd. is a (Swindon), Sermatech Ltd. (Lincoln operation at higher temperatures, wholly owned subsidiary of Praxair and Ripley, Notts.), Sulzer Metco UK whilst maintaining structural integrity. Ltd. (Stalybridge, Lancs. and Inc. (USA). PSTL operates out of units located in Swindon, Southam Neomet Ltd., Stockport), Monitor A detailed description of the various Coatings Ltd. (South Shields, Co. (Warks.) and Weston-super-Mare coating technologies and the coatings Durham), Plasma & Thermal where a total of 220 people are themselves is beyond the scope of this Coatings Ltd. (Newport), Diffusion employed. Alloys Ltd. (Hatfield, Herts), Teer report. However, many texts are available, which describe the coatings Coatings Ltd. (Droitwich, Worcs.) The core business of PSTL is the themselves, their function and the and Metal Improvement Company application of wear resistant, Ltd. (Newbury, Berks.). various coating processes.

24 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

corrosion resistant and thermal cooling passageways), slurry barrier coatings to parts mainly for aluminising (for local coating repair) the Aerospace (Airframe and and slurry boronising (of industrial Engines), Industrial Gas Turbines, Oil, steam turbine rings). In addition to Primary Metals and Print industries. its Hatfield facility, DAL also has a Out of the Swindon and Southam dedicated facility in Teeside for the facilities PSTL applies these coatings pack aluminising of long tubes/pipes by thermal spray processes such as (up to 0.85m diameter and 13.5m Plasma Spray, HVOF (High Velocity long) and other large parts. Oxy-Fuel) D-Gun® or Super D-Gun®. In addition, the Weston-super-Mare facility provides a proprietary 2.7 Electroplating Co-deposition process Refractories to produce its Tribomet® range of Figure 2.8 - Honeycomb seal for gas turbine engine coatings. (Courtesy of Sulzer Metco Turbine Components: Neomet Ltd.). Refractory materials are used throughout conventional, fossil fuel- As mentioned above, Praxair also fired power stations, and examples of supplies thermal spray powders and Monitor Coatings Ltd. application locations are shown in equipment with which to apply these Figure 2.9 below. The product range powders. Monitor Coatings Ltd.’s (South Shields, Co. Durham) core business is for conventional coal-fired power generation is mainly high alumina Sermatech Ltd. thermal spray and slurry coatings for the Aerospace market (40% of monolithics installed by casting, Sermatech has facilities in Lincoln business), using ‘traditional’ Flame pumping, gunning and shotcreting. and Ripley (Notts.), with Spray, Low Pressure Plasma Spray approximately 180 employees across (LPSS), and High Velocity Oxy-Fuel Producers such as Vesuvius UK Ltd. both sites. The Lincoln and Ripley (HVOF) techniques, and a patented (Chesterfield), Saint-Gobain sites support the Industrial Gas ceramic slurry application. Industrial Ceramics Ltd. (St. Helens) Turbine and Aerospace markets and Harbison-Walker Refractories Ltd. respectively. Diffusion Alloys Ltd. (DAL) (Bromborough, Cheshire) manufacture and supply refractory Sermatech applies a range of Diffusion Alloys Ltd.’s (Hatfield, linings for the power generation compressor and turbine blade Hertfordshire) employs industry, from the large utility coatings including MCrAlY and approximately 110 people. The electricity producers to small non- Pt-Aluminide bond coats and ceramic company’s core business is the utility cogeneration units. This Thermal Barrier Coatings (TBCs), coating of Original Equipment includes products and installation applied using HVOF and thermal Manufacturer (OEM) industrial gas services for all types of coal-fired, spraying techniques. turbine blades and vanes and the co-fuels, biofuels and other stripping of such engine run renewables. The products are Sulzer Metco components. Coating processes designed to withstand the corrosion, carried out by DAL include HVOF erosion and thermal conditions, Sulzer Metco UK is part of the Sulzer MCrAlY coating, pack aluminising which are especially aggressive in Metco Group, and employs and overaluminising, pack generation units utilising waste or approximately 100 people at coatings chromising, above-pack aluminising biomass (or co-firing) as fuel. Services facility in Stalybridge, Lancs. and chromising, vapour aluminising (Sulzer Metco Coatings UK Ltd.), (for coating serpentine internal Turbine Component facility in Stockport, Cheshire (Neomet Ltd.), and a Sales and Service site in S. Figure 2.9 – Schematic Wales. diagram showing locations of the Sulzer Metco’s Neomet Ltd. facility in application of refractories in a fossil Marple, Stockport specialises in the fuel-fired power manufacture of metallic honeycomb station. (Courtesy of structures (see Figure 2.8 above). The Saint-Gobain Industrial primary use for these products is as Ceramics Ltd.). abradable gas path seals in both Aero and Industrial Gas Turbines. Neomet is also able to offer a wide range of fully dense amorphous metal braze foils and performs.

Sulzer Metco UK specialises in the supply and service of thermal spray equipment and materials.

25 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

These companies may supply directly The main research themes of the PLE Babcock Energy Ltd., NPL, RWE to the power stations, but much Consortium are: npower plc, Siemens Industrial more often supply to companies such Turbomachinery Ltd. and the as York Linings International Ltd. • Condition monitoring. University of Liverpool. (York), a turnkey refractory supply • Environmental degradation and and installation company. protection. • ‘Future Coal-fired Power Plant’: • Microstructural degradation. ‘Alloy Developments for Critical In addition to Vesuvius UK’s main Components’ project is aimed at: manufacturing site, the R&D • Modelling of mechanical behaviour. department responsible for linings - Developing materials with increased creep strength and and installation methods is also • Life assessment toolbox. resistance to steam oxidation. based in UK, where the development emphasis is on improved corrosion - Increased understanding of resistant materials combined with 2.8.2 microstructural evolution in advanced materials and easier and quicker installation Technology Strategy Board (TSB) methods. weldments, steam oxidation and Collaborative R&D Programme coating degradation mechanisms. 2.8 In 2005, the DTI (now BERR) - Mechanical behaviour of UK R&D Activity in Fossil Fuel launched a Strategy for Developing advanced materials on lab Energy Materials Carbon Abatement Technologies for samples and full size prototypes. Fossil Use and following publication - Demonstration of prototype of the 2006 Energy Review, the manufacturing, joining, NDE In this section, publicly funded R&D Government announced that £35M projects in fossil fuel-fired power and coating capabilities for large would be available for Carbon components. generation are mentioned, as are Abatement Technologies (CAT). This some of the activities ongoing within Programme now forms part of the The project runs from September companies active within the sector. Technology Strategy Board’s (TSB) 2004 until July 2008, with a total Clearly, this list is not exhaustive. Collaborative R&D Programme. cost of approx. £1.95M, with approx. £780k from the Technology Strategy Details of Technology Strategy Board Board and the remainder from the 2.8.1 Collaborative R&D Programme project partners: Corus UK, E.ON UK EPSRC SUPERGEN ‘Conventional projects can be found at: http:// plc, Doosan Babcock Energy Ltd., Power Plant Lifetime Extension technologyprogramme.org.uk/site/ NPL, Metrode Products Ltd., TWI, Cranfield University and (PLE) Consortium’ publicRpts/default. cfm?subcat=publicRpt1), a searchable Loughborough University. projects database, and the largest As part of the EPSRC’s SUPERGEN projects relevant to fossil fuel-fired project, there is a ‘Conventional • ‘Modelling Fireside Corrosion of power generation are summarized Heat Exchanger Materials in Power Plant Lifetime Extension (PLE) below. Advanced Energy Systems’ is Consortium’ (see: http://www. aimed at developing predictive supergenple.net), which has received models for corrosion processes in ‘Advanced Materials for Low approximately £2.1M of funding and high temperature boiler Emission Power Plant’ is a major has four university and eleven components. industrial partners, and consists of project contributing to UK-USA five main technical work packages, collaboration in energy R&D, with The project runs from January 2007 together with a networking activity. the aim to provide: until January 2010, with a total The Consortium partners are: - Materials with improved high project cost of £1.76M, with £896k temperature properties from the Technology Strategy Board. • University: Universities of Bristol, (corrosion, oxidation, The project partners are: E.ON UK Cranfield, Loughborough and mechanical). plc, (lead), RWE npower plc, Doosan Nottingham. Babcock Energy Ltd., Cranfield - Improved coating systems. University and the National Physical • Industrial: Alstom Power Ltd., - Enhanced lifetime prediction Laboratory (NPL). Chromalloy UK Ltd., Alcoa methods. Howmet Ltd., E.ON UK plc, Doosan Babcock Energy Ltd., NPL, - Improved inspection and • ‘Improved Modelling of Material QinetiQ, Rolls Royce plc, RWE condition monitoring Properties for Higher Efficiency npower plc, Sermatech techniques. Power Plant’ International UK Ltd., Siemens The project ran from April 2004 until Runs from January 2007 until Industrial Turbomachinery Ltd. a scheduled completion in March January 2010, with a total project 2008, with a total cost of approx. cost of £2.24M, with £1.25M from £6.7M, with approx. £2.3M from the Technology Strategy Board. The BERR and the remainder from the project partners are: E.ON UK plc, project partners: Alstom Power Ltd., Doosan Babcock Energy Ltd, one Corus plc., E.ON UK plc, Doosan steam and gas turbine manufacturer,

26 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

two research organisations and two Power Ltd. (lead), Corus plc, E.ON are being developed for universities. UK plc, Sheffield Forgemasters performance assessment under International Ltd. these severe steam conditions. • ‘Materials for Arduous Cycle and and NPL. Alstom Power Ltd. is a partner in Emissions (MACE)’ is aimed at this project and other UK-based developing new materials • ‘Industrial and Utility Scale IGSC companies were involved in phases technologies (a compressor (integrated Gasification Single one and two of this large abradable, a sulphidation resistant Cycle) Coal Power Stations with programme. Ni disc material and a novel single CO2 Capture Integrated crystal turbine blade technology) to Gasification Single Site’ is aimed reduce gas turbine fuel at producing costed designs for consumption. new and retrofit coal based power 2.8.4 The project ran from April 2005 until stations incorporating near 100% carbon capture. Selected UK-Based Company & a scheduled completion in April RTO R&D Activities 2008, with a total project cost of The project runs from July 2006 until approximately £3.71M, with £1.79M July 2009, with a total project cost of from the Technology Strategy Board. approximately £1.21M, with In this section, some of the activities The project partners are: Rolls-Royce approximately £559k from the of UK-based companies in fossil fuel- plc, Praxair Surface Technologies Ltd, Technology Strategy Board. The fired power generation activities are Sermatech Ltd, Universities of project partners are: Jacobs listed. It is not meant to be exhaustive, but reflects some of the Birmingham, Cambridge, Cranfield Consultancy UK Ltd, CO2 -Global AS, and Swansea. Siemens plc Power Generation, MAN input given by individual companies, Ltd and Imperial College, London. and Research and Technology • ‘Nanostructured Thermal Barrier Organisations (RTOs), and also refers Coatings’ is aimed at developing to participation in publicly funded Electrophoretic Deposition (EPD) activities such as the Technology for the coating of re-entrant 2.8.3 Strategy Board Collaborative R&D components. EU Funded R&D Activities Programme (see above). The project runs from June 2006 until October 2009, with a total Large, multi-partner European project cost of approximately Community collaborative 2.8.4.1 £1.15M, with £575k from the programmes are running currently in Technology Strategy Board. The Equipment / Plant OEMs which UK-based companies are project partners are: PowdermatriX playing active roles. For example: Faraday Partnership (lead), Rolls- Alstom Power Ltd. (Rugby) Royce plc, Sulzer Metco (UK) Ltd, MEL Chemicals, Ionotec Ltd., Teer • The COST 536 project: ‘Alloy Alstom regards R&D as a priority in Coatings Ltd., Tetronics Ltd. and Development for Critical the continuous improvement of the Manchester University. Components of Environmental performance, functionality and cost- Friendly Power Plant (ACCEPT). effectiveness of products and services, • ‘High Temperature Sealing for The overall aim of the project is to through developing new technical Advanced Super Critical Steam develop new (ferritic) high solutions or innovative application of Turbine Plant’ is aimed at temperature steels with improved existing elements such as: extending the capabilities of valve creep and oxidation properties, and turbine sealing systems. which will allow increases in steam • Emerging new materials, where parameters of thermal power plants gaining understanding of their The project runs from June 2006 to above 300 bar/600°C. UK-based application to products is a critical until October 2009, with a total companies involved in the project factor in improving performance project cost of approximately £611k, are Alstom, Doosan Babcock, Corus and cost-effectiveness. with £305k from the TSB. The project and Sheffield Forgemasters partners are: Alstom Power Ltd. International Ltd. • Advanced engineering simulation (lead), E.ON UK plc, Cross systems, which enable rapid design • The COST 538 project ‘Plant and development timescales. Manufacturing Company Ltd. and Lifetime Extension’, aimed at life NPL. extension in boilers and gas turbines. Alstom Power Ltd., These improve the lifetime of • ‘Advanced Materials for Low Cranfield University, Nottingham mechanical components in steam Pressure (LP) Steam Turbines’ is University, NPL, E.ON UK plc, RWE turbines, and the power outputs of aimed at developing advanced npower plc, plc. materials and improved processes electrical machines, all of which for increased generating efficiency. • The third phase of the AD700 translate into lower costs. In project (COMTES 700), ‘Advanced addition, R&D into the reduction of The project runs from July 2006 until (700ºC) Pulverised Fuel-fired (PF) the environmental impact of July 2009, with a total project cost of Power Plant’) is targeting steam products is a priority. Specific approximately £1.25M, with £626k boiler and turbine operating examples include: from the Technology Strategy Board. conditions of 700ºC and 400 bar. The project partners include: Alstom In this project, Nickel based alloys

27 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

• Reducing atmospheric emissions (10-20 year horizon). The particular • The University of Birmingham on through improved power focus over the next few years will be microstructural modelling and generation efficiencies, novel oxidation/corrosion understanding, materials performance. combustion systems which inhibit control and repair technology and • Loughborough University on NOx formation in gas turbines, launching appropriate 10-20 year microstructural characterisation. new boiler schemes for clean coal step change programmes. combustion, and even genuinely • Leicester University on microstructure analysis of material zero-emission systems which Current R&D spend is approx. 10% degradation. capture all the CO2 from fuel. of Rolls-Royce turnover, at £747M • Finding ways to minimize the gross R&D in 2006, with private noise generated by the operation of venture costs of £370M (Rolls-Royce Doosan Babcock Energy Ltd. the plant by understanding how it Annual Report 2006). The R&D is generated so it can be efficiently expenditure on energy related (Renfrew) inhibited. activities cannot be separated out, as In 2007, Doosan Babcock launched a • Embedding environmental impact much of the technology is aero- new standalone R&D facility at its analysis into the design process, so derived. Renfrew site, which is to conduct that products can be designed for research into leading edge boiler minimal whole life environmental Much of the outsourced university technology. The facility currently cost. The Research and work is through the approximately employs approximately 40 people, Development efforts are driven thirty University Technology Centres with a target of rising to 250 by 2015, essentially by current and future (UTC’s, "http://www.rolls-royce.com/ with an annual budget of market needs. education/utc/uk/default_flash.jsp") approximately £10M. and includes significant materials related activities at The University of In 2006, Doosan Babcock’s unfunded Within the UK the R&D focus is Birmingham (Ti base alloys), research programmes amounted to primarily on steam turbine retrofit Cambridge University (Ni base approximately £2.8M and funded and associated technologies (Rugby), alloys), Swansea University (Ti base research programme expenditure was Boiler retrofit (Derby) and Power alloys), Universities of Cranfield & approximately £1.3M. Activities at service (Ashby). The main materials Strathclyde (Performance the company’s Technology & R&D focus is on steam turbine and Engineering), Nottingham University Engineering facility in Renfrew boiler materials, materials (Manufacturing Technology) and the include: characterisation and materials University of Sheffield (Materials database development. Damping). • Carbon Dioxide Capture & Storage (CCS). Alstom takes part in a number of publicly funded collaborative R&D Siemens Industrial • Advanced Materials Development. programmes, such as: Turbomachinery Ltd. (Lincoln) • Waste & Renewables. Much of Siemens R&D is ‘cross- • Advanced Welding Technologies. • Technology Strategy Board bordered’ - ie, carried out within the Collaborative R&D Programmes on • Nuclear Decommissioning. seals and materials modelling. Siemens Power Generation Group of companies. Current R&D expenditure • Asset Integrity Management. • ‘Cleaner Coal’ technology at Siemens Lincoln is approximately • Non-Destructive Testing. programmes on advanced alloys for £4M per annum, of which £330k per • Advanced Component Testing. 700°C steam conditions, annum is for Materials Technologies. collaboration with the US on Current R&D priorities include coatings, materials degradation and combustion emissions and fuel Doosan Babcock employs standardization. flexibility, turbomachinery approximately 350 UK-based aerodynamics, heat transfer, high specialists/engineers and has both a burner test rig and a combustion test Rolls-Royce plc temperature materials and coatings systems, and controls. facility, which are both available to (Various Locations) undertake tests for other Current R&D priorities include the Siemens Lincoln participates in UK organisations. development of tailored systems Government (eg, Technology Strategy solutions to the challenges of Board Collaborative R&D Doosan Babcock is currently involved delivering lower emissions, increased Programme) and EU-funded projects in a number of collaborative efficiency, increased reliability, (eg, associated with life extension of European projects (eg, COST 536, repairability and reduced cost of existing plant). Developments are Thermie AD 700), together with ownership. focused on improved high Technology Strategy Board funded temperature materials and coatings, projects, working with partners The focus is on incremental which are able to tolerate corrosive which include E.ON UK plc, Alstom improvements in existing systems containments, and ongoing UK-based Power Ltd., Corus plc, Leicester (5-10 year horizon), whilst looking R&D activities include activities at: University, Loughborough University, for the innovative step change, Cranfield University, NPL and disruptive technology for the future QinetiQ.

28 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.8.4.2 E.ON UK plc participates in a number CES supplies materials into the Power Generating Companies of publicly funded projects, including EPSRC SUPERGEN ‘Conventional (Utilities) the following: Power Plant Lifetime Extension (PLE) Consortium’ project and CES is a • ‘Modelling Fireside Corrosion of partner in the EU COST 536 RWE npower plc (Swindon) Heat Exchanger Materials in programme. RWE’s current R&D priority is that of Advanced Energy Systems’, in Clean Coal/Carbon Capture. The which E.ON is programme leader Sheffield Forgemasters and contributes £450k. company’s current R&D spend is International Ltd. (Sheffield) approximately €74M, with • ‘Improved Modelling of Material approximately £1.5M spent in the UK Properties for Higher Efficiency Sheffield Forgemasters has increased by RWE npower. The company Power Plant’, in which E.ON its R&D spend to approximately participates in Technology Strategy contributes £300k. £2.2M per annum (after grants), Board supported projects at a number covering product and process • ‘Advanced Materials for Low development across all sectors into of UK-based universities: Emission Power Plant’. Loughborough University, Bristol, which the company supplies. The Swansea, Cranfield, Nottingham, company supports external work at Southampton, Imperial College and In addition, E.ON UK plc participates universities and RTOs. test houses such as Bodycote, and in the EPSRC’s SUPERGEN I & II Incotest. ‘Conventional Power Plant Lifetime In addition to the COST 536 and Extension (PLE) Consortium’. TSB’s ‘Advanced Materials for Low RWE npower participates in the Pressure (LP) Steam Turbines’ following Technology Strategy Board The E.ON UK Power Technology projects, Sheffield Forgemasters has Collaborative R&D Programme Centre at Ratcliffe-on-Soar (Notts.) been the major participant in the projects (see above): carries out materials related R&D Yorkshire Forward funded ‘Innovative activities in the following areas: Forging Solutions’ Programme. • ‘Modelling Fireside Corrosion of Heat Exchanger Materials in • Materials Engineering Firth Rixson Forgings Ltd. Advanced Energy Systems’. • Power Plant Chemistry (Various Locations) • ‘Advanced Materials for Low • Plant Performance & Life Extension Firth Rixson’s current external R&D Emission Power Plant’. expenditure is < £50k per annum. • Boiler and Turbine Engineering The company respond to OEM • Renewable Energy In addition, RWE npower participates customer materials requirements, in the EPSRC’s SUPERGEN I & II • Technical support for E.ON UK which is complemented by ‘Conventional Power Plant Lifetime Power Engineering Services, which significant in-house process Extension (PLE) Consortium’. carries out overhaul, repairs and developments, related to the performance upgrades on steam processing of customer specified turbine rotors, cylinders, materials. E.ON UK plc compressors and other (Ratcliffe-on-Soar) components. Firth Rixson support work at: The E.ON UK’s current R&D priority is University of Sheffield on process that of low carbon power generation modelling, Cambridge University on and in the materials field, the 2.8.4.3 ring-rolling, and the University of structural integrity of current and Birmingham on materials modelling. new plant materials. The company’s Metals Processors / Fabricators R&D spend is approximately £8M per Special Metals Wiggin Ltd annum total in the UK, with Corus Engineering Steels (Hereford) approximately £1M per annum (Rotherham and Stocksbridge) related to materials and structural Currently, Special Metals Wiggin Ltd. Currently, Corus Engineering Steels’ integrity. (Hereford) is not carrying out any (CES) internal R&D related to fossil- specific in-house materials fuel power generation, and carried E.ON UK plc partners a number of developments, although customer/ out at Corus Swinden Technology universities, including Birmingham, OEM specified materials are subject Centre (Rotherham) and in plant, is Bristol, Cranfield, Imperial College, to in-plant process development focused on the development of new Loughborough and Nottingham, activities. For example, Special Metals high temperature, creep resistant some of which are through has recently been involved in grade steels. collaboration in publicly funded development work with Doosan programmes. In addition, E.ON UK Babcock Energy on large tube The current CES R&D spend is plc supports activities at Research and materials for ultra super-critical boiler predominantly internal, but work is Technology Organisations (RTOs), applications (Inconel 740 & Nimonic also supported at the University of such as TWI and NPL. 263). Loughborough on Cr-containing, creep resistant steels and the University of Leicester. In addition,

29 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

Alcoa Howmet Ltd. (Exeter) Sermatech Ltd. (Lincoln & Ripley) Monitor Coatings Ltd. Alcoa Howmet’s external R&D Currently, Sermatech supports R&D (South Shields) expenditure is approximately £50k activities at the Universities of Monitor invests approximately 11% per annum to support external Birmingham (with Dr. Hugh Evans) of turnover (approx. £3.5M in 2006) initiatives. In addition, the company and Cranfield (with Dr. Nigel Simms). on research and development partners some customers and Coatings development is largely activities, and has taken part in EU universities (eg, provision of carried out in the USA, but Sermatech FP projects such as the FP5 materials for research, etc) in R&D is a partner in the Technology ‘SUPERCOAT’ (‘Coatings for Super- activities. Strategy Board ‘MACE’ project. critical Steam Cycles’) project led by Alstom, Germany. The company’s development 2.8.4.4 priorities are led by aero engine Other R&D activities include the Coatings Development Activities requirements for higher temperature HiCOAT project led by TWI, which is coatings for corrosion and oxidation aimed at developing coatings for protection. In addition, development The current trend is for more biomass incinerators, and with work on Cr-free coatings (Cr VI complex coatings - ie, a move away partners including E.ON UK. Monitor replacement) is ongoing for from single (layer) coatings such as are also working with a steam turbine environmental reasons. MCrAlY bond coats to MCrAlY + OEM to develop coatings for steam aluminising, in combination with turbine applications. Thermal Barrier Coatings (TBCs). Praxair Surface Technologies Ltd. Activities of some of the UK’s leading (PSTL) (Swindon and Weston- high temperature materials coatings super-Mare) companies are given below: Development of thermal spray processes and powders is carried out Sulzer Metco (UK) Ltd. primarily in the U.S headquarters in Currently, Sulzer Metco supports Indianapolis where specific R&D activities at the Universities of programmes have supported major Cambridge and Cranfield, and has its OEM’s such as Rolls-Royce. Tribomet® own R&D facilities outside of the UK type coatings and their applications (eg, in Switzerland). are developed at PSTL’s facility in Weston super Mare. Development Sulzer Metco is a partner in the programmes in support of major Technology Strategy Board ‘MACE’ OEMs, such as Rolls-Royce and project (see above) and has Siemens have been carried out in previously participated in EU collaboration with a number of UK ‘Framework’ Programmes, although is universities. not currently active in any such Programmes. However, the company Photo courtesy of Alstom Power is a partner in overseas R&D Programmes supported, for example, by the NRC (Canada) and ULIF (Germany). The company is also engaged in a development activity with a steam turbine OEM for steam turbine coatings.

30 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.8.4.5 Research & Technology Organisations (RTOs)

The National Physical Laboratory (NPL) is a partner in a number of the Technology Strategy Board Collaborative R&D Programmes, but is also supported by the National Measurements System for the following projects relevant to fossil fuel-fired power generation:

• ‘Key Measurements on In-situ Oxide scales’; April 2007 – March 2010; £385k. • ‘State of the art diagnostic measurement for lifetime management of critical parts in efficient energy generation’; April 2007 – March 2010; £402k.

TWI Ltd. has a number of Group Sponsored Projects (GSPs), or Joint Industry Projects (JIP) for the Power Industry, which are programmes of mutual interest to a number of organisations each contributing to fund the work. In addition, a number of projects within the TWI Core Research programme (CRP) are relevant to fossil fuel-fired power generation.

Photo courtesy of Alstom Power

31 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.0 Fossil fuel-fired power

2.9 • In addition to Alstom Power Ltd.’s capability in investment casting (of Summary OEM capability for large steam superalloys), with approximately turbines, UK-based companies, 50% of Europe's and 10% of the such as Alstom and Siemens & world’s investment casting The following gives a summary of the non-OEMs such as the Wood capacity. status of the UK’s fossil fuel-fired Group, also offer an extensive • Although the UK is home to a power generation industry, with steam turbine service capability major supplier of boiler plant and particular emphasis on materials and (repair, refurbish, upgrade, retrofit, related equipment (Doosan manufacturing inputs: etc.). Of the world’s four largest Babcock Energy), much of the manufacturers of steam turbines, materials inputs (seamless tubes, • Electricity generation from fossil two (Alstom and Siemens) pipes, etc.) are sourced from fuel combustion constitutes more maintain significant capability in overseas. than 75% of the UK’s electricity the UK. supply (2006 data). • As the strength of the supply chain • Also, there are two UK-based OEMs has decreased, so the capacity of • The closure of the coal and few for land based gas turbines, which the industrial and academic base remaining oil-fired stations will can serve requirements for both for research and development in result from implementation of ‘The simple cycle or Combined Cycle materials for fossil-fired power Large Combustion Plant Directive’ Gas Turbine (CCGT) applications. (LCPD), which comes into effect in plant has decreased accordingly. • There are some gaps in the January 2008; the first constraint of • However, many R&D activities in UK-based materials supply chain which means that approximately fossil fuel-fired power generation for fossil fired power plant, which 11GW of ‘opted-out’ coal and oil are world-class, and have an includes limited capability in the stations will close by the end 2015. important contribution to make in manufacture of seamless stainless & the development of materials for • It is estimated that since 1990, the speciality steel tube for heat high efficiency, low emission UK has lost approximately 70% of exchanger applications in boilers, power plant and to plant services the supply chain for components/ gasifiers and Carbon Capture and in integrity management, repair, plant into the power generation Storage (CCS) systems. In addition, maintenance and life extension sector. This reduction in capacity the major UK-based manufacturer (eg, Rolls-Royce plc, Alstom Power has resulted from the construction of seamless stainless and speciality Ltd., Doosan Babcock Energy Ltd, of relatively few power stations steel pipe (Wyman-Gordon Ltd, Corus UK, Sheffield Forgemasters over the past 10-15 years, and the Livingston) currently exports all its International Ltd., E.ON UK plc, resultant need for suppliers to seek products. alternative markets, and from the RWE npower plc, Universities of acquisition of UK-based OEMs by • Thus, although a significant Cranfield, Cambridge, mainland European parent capability to manufacture Loughborough, Birmingham and companies in particular. components such as rotors, blades, Nottingham). discs, rings, casings, etc. for fossil- • Public funding of fossil fuel-fired • The materials supply chains for fired power generation exists, few power generation activities has fossil-fired plant, whether UK-based metals processors (eg, received a considerable boost conventional steam turbine or the caster, forger, extruder, roller, etc.) recently through the launch of the more recent combined cycle plants, now have the power generation Governments ‘Strategy for for example, are currently reliant sector as their major market (say Developing Carbon Abatement upon ‘inputs’ from mainland 20% or more of turnover). Europe, in particular, although Technologies for Fossil Use’ and materials are also sourced in Japan • However, it should be noted that £35M of funding from the and the USA. the UK possesses world-class Technology Strategy Board for Carbon Abatement Technologies • However, UK-based companies (CAT). maintain an extensive capability in the processing and fabrication of precision components for major fossil fuel-fired plant (steam and gas turbines, pulverised fuel boilers, etc.) and could increase supply into this market, if the business conditions were favourable.

32 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

2.10 SWOT Analysis

The Strengths, Weaknesses, Opportunities and Threats for the UK, with emphasis on materials and manufacturing input to the fossil fuel-fired power generation industry Table 2.2 - SWOT analysis for the UK’s fossil fuel- are given here in Table 2: fired power generation industry.

Strengths Weaknesses

• Significant capability in design, construction and • Significant investment will be required to reinstate operation of fossil fuel-fired power plant. and / or develop capabilities to supply some critical components. • World leading OEMs in all major fossil fuel-fired plant. • No UK-based capability in induction bending of • World-class capability in investment casting (of large diameter thick-walled pipes and limited superalloys) for gas turbine applications. capability in the manufacture of seamless, thin- walled stainless and alloy steel tubing and Ni-base alloy tubing. • World leading fossil fuel-fired plant materials expertise across both the academic and industrial sectors (alloy development and coatings). • A lack of skilled scientists / engineers with a strong background in materials. • World leading pilot scale test facilities (eg, burner and combustion test rigs).

Opportunities Threats

• Competition from overseas suppliers. • Possible that some UK companies would invest to increase their scope and capacity for components. • Lack of investment in manufacturing capabilities; • Companies could reinstate facilities and skills if the in particular, those associated with the business case justifies. manufacture of very or ultra-large forgings, seamless tube and large diameter pipework bending.

• Very buoyant oil & gas and other sectors resulting in a lack of will of metals processors / fabricators to participate in power generation sector.

• Loss of skills.

33 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

34 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear Energy

3.1 In 2006, UK nuclear plants generated • Westinghouse Electric Company The Nuclear Energy Market 18% of UK electricity (69 TWh of Ltd. (owned by Toshiba, Japan) for approximately 30 billion TWh net), its 1,150 MWe, AP1000 Pressurised Currently, nuclear compared with 36% from gas and Water Reactor (PWR) design, based 38% from coal. There are 19 UK on its 2005 US design certification energy provides reactors totalling approximately 11 and supported by British Energy GWe of capacity, although the actual plc and E.ON UK plc. approximately 16% operational capacity is lower. In • Areva NP (66% owned by Areva, addition, approximately 2% of UK France and 34% owned by of the world's electricity demand is met by imports Siemens, Germany), in conjunction of nuclear power from France, and so with EdF (France), then applied for electricity, from the overall nuclear contribution to GDA of its 1,600 MWe European UK electricity consumption is Pressurised water Reactor (EPR) more than 440 approximately 21%. Thus, nuclear design, which received French power provides a significant design approval in 2004. Areva will reactors in 30 proportion of the UK’s ‘baseload’ also involve five other European electricity generation capacity. utilities interested in building it in countries and with UK: British Energy plc, E.ON UK plc, Iberdrola, RWE npower plc and As regards the future of nuclear Suez. a total installed power in the UK, in 2006, a review of the UK’s energy policy was • GE-Hitachi Nuclear Energy for its capacity of 372 undertaken, which put replacement ESBWR Boiling Water Reactor of the country's nuclear power (BWR), supported by Iberdrola, GWe. In addition, stations firmly back on the national RWE npower plc and British Energy agenda, resulting from energy plc. 30 new reactors are security concerns and the need to • Atomic Energy of Canada Ltd. limit carbon emissions. Also, subject (AECL) for its ACR-1000 design. under construction, to the outcome of further equivalent to 7.5% consultation to October 2007, the Of the utilities, British Energy, which Government gave clear support for controls many of the likely sites for of existing capacity, investment by the private sector in the new plants, has said that it would nuclear power capacity, so that support all four GDA applications whilst over 80 are nuclear power could play a and that it is conducting its own significant role in UK's energy future. review of reactor designs from the planned, equivalent The review also stated that any new four vendors above. In addition, EdF plants would have to be financed and has said that it wants to build several to 24% of present built by the private sector, with EPR plants in the UK and that it provision for internalised waste and could build new nuclear plants by capacity. decommissioning costs. 2017, if planning procedures were improved and government decisions As mentioned above (Section 1.2), were made on wastes. the review and public consultation have since led to the UK Government In this respect, there is significant announcing (in January 2008) its global experience to show that formal backing for construction of a modern nuclear reactors take around new generation of civil nuclear power 5 years to construct. However, it stations, which would be built at or would take several years in the UK to near existing reactors by private firms get to the point where the industry and that the first one would be could start construction and overall it completed “well before 2020”. is estimated that it would take approximately 10 years to construct In June 2006, the UK's Health & and commission a new nuclear power Safety Executive (HSE), which station. licenses nuclear reactors through its Nuclear Installations Inspectorate (NII), suggested a two-stage licensing process, similar to that in the USA. Since then, the following have applied to the NII for generic design assessment (GDA, or pre-licensing) to be carried out by experts belonging to the nuclear regulators:

35 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

3.2 The UK’s Nuclear Reactors Figure 3.1 - Nuclear power stations in the UK (from Department of Trade and Industry: Consultation In all, the UK has 12 nuclear power Document, ‘The Future of Nuclear stations and 19 operational reactors, Power’, May 2007). many of which are reaching the end of their life and are due to be decommissioned. It is estimated that by 2020 the current 19% of electricity generated via nuclear energy will be reduced to just 7% if they are not replaced, and current plans will see all but one plant, the Pressurised Water Reactor (PWR) at Sizewell B, retired by 2023.

Figure 3.1 shows the locations of all of the UK’s nuclear power plants.

Further details on the nuclear reactors currently in operation in the UK are shown in Table 3.1 below.

Figure 3.2 shows the locations of all the UK’s nuclear energy facilities: plants in operation, those undergoing decommissioning, experimental reactors, fuel plants, etc.

A detailed description of the operation of the various nuclear reactors is beyond the scope of this review. However, 11 Magnox stations were built in the UK, each with a unique design and the first was commissioned in 1956 at Calder Hall in Sellafield, Cumbria. Magnox reactors use natural uranium metal fuel, with a MAGnesium Non- OXidising cladding. Both steel and concrete pressure vessels were used and the reactors are graphite moderated and are cooled with carbon dioxide. On economic grounds, all Magnox reactors will be closed by 2011 and the last four in operation are at Wylfa (Anglesey, N. Wales) and Oldbury (Thornbury, Gloucs.) – see Figure 3.3.

Table 3.1 - Nuclear power reactors operating in the UK. (Courtesy of the World Nuclear Association: http://http://www.world-nuclear.org/)

36 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Figure 3.3 - Schematic of the Oldbury Magnox reactor, commissioned in 1968. (Courtesy of ‘The Science & Society Picture Library’: http://www. scienceandsociety.co.uk/)

Figure 3.2 - Nuclear energy locations in the UK. (Courtesy of the Nuclear Industry Association (NIA): from ‘Nuclear Energy, Past Present and Future’, 2004. see http://www.niauk.org).

Figure 3.4 - Schematic of the Heysham II / Torness AGR, commissioned in 1988. (Courtesy of ‘The Science & Society Picture Library’: http://www.scienceandsociety.co.uk/)

Fourteen of the UK’s second In 1978, the decision was taken to In a PWR, water is pumped under generation, Advanced Gas-cooled build an initial (one of four planned) high pressure (to prevent boiling) Reactors (AGRs), were built on seven Pressurised Water Reactor (PWR), and through the core of the reactor, sites, starting up between 1976 and a large Westinghouse unit was started reaching a temperature of 1989 (Figure 3.4). This type of up in 1995 at Sizewell B (Figure 3.5). approximately 300°C. It is then used reactor, which is exclusive to the UK, In a PWR, water is used as both to boil other water in a separate is also graphite moderated and reactor coolant and the moderator, circuit, to make steam. carbon dioxide cooled, but uses and the fuel is enriched uranium enriched uranium oxide fuel, which dioxide pellets, encapsulated in tubes is burned up to low levels (relative to of a corrosion-resistant zirconium Light Water Reactor (LWR) fuel). The alloy (Zircaloy). These fuel rods are AGRs were designed and built by then grouped in fuel assemblies, private industrial nuclear power called fuel bundles, which are then consortia as complete power stations. used to build the core of the reactor.

37 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

The Sizewell B reactor is typical of Many of the UK’s nuclear power much of the world capacity, but is stations are currently expected to newer and more complex than most close over the next two decades, and PWRs. by 2025, 10.2 GWe of nuclear generation capacity is likely to close In 2006, British Energy, the operating (see Figure 3.6) based on published company of all of the UK’s AGR lifetimes. However, it is possible that reactors and the PWR reactor at the lives of the existing nuclear Sizewell B closed four AGRs at power stations could be extended Hinkley Point B and Hunterston B and this would help mitigate the (two reactors each), because of boiler decline in low-carbon generation in degradation in the non-nuclear part the period towards the end of the of the plants. These reactors were next decade. In this respect, in scheduled to operate until March December 2007, British Energy 2008. announced that it will extend the lives of two nuclear reactors by five Table 3.2 below shows the UK’s years, and the Hunterston B station nuclear reactors decommissioned to in North Ayrshire and the Hinkley date. Point reactor in Somerset will now Figure 3.5 - Schematic of the Sizewell B PWR , commissioned in 1995. continue operating until at least (Courtesy of ‘The Science & Society Picture Library’: 2016. http://www.scienceandsociety.co.uk/)

Table 3.2 – Decommissioned 3.3 power reactors in the UK. The UK’s Civil Nuclear Energy (Courtesy of the World Nuclear Association: Industry http://www.world-nuclear.org/) UK-based companies have been active (leading) in the development of civil nuclear power for more than 50 years, and the UK maintains a significant capability in the design, construction and operation of nuclear power plant, and in full fuel cycle facilities, nuclear plant decommissioning and nuclear waste management. Figure 3.6 – Expected decline in nuclear generating capacity in the UK (from The UK’s nuclear industry employs Department of Trade and directly and indirectly approximately Industry: Consultation 80,000 people in the UK and earns Document, ‘The Future of the UK approximately £700M a year Nuclear Power’, May 2007). from overseas business (From Mott MacDonald report to UK Trade & Investment, 2007). The UK’s nuclear industry is a major exporter of technology and skills and UK companies are actively engaged in collaborative projects with overseas bodies. UK companies are playing an increasingly important role as owner, operator, engineer, consultant, contractor, supplier and investor in the global nuclear energy industry (From Mott MacDonald report to UK Trade & Investment, 2007).

Research by Cogent, the sector skills council, suggests that the UK’s nuclear industry and its supply chain employs 56,000 people directly, across 200 employers, although this

38 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

figure includes those employed in the defence sector (eg, constructing, refitting and refuelling of nuclear submarines and at the Atomic Weapons Research Establishment, Aldermaston).

In 1996, industry deregulation resulted in the nuclear generating plants, apart from the Magnox plants, being transferred into the private sector, under British Energy, which maintains and operates all AGR and the PWR reactors, although subsequent restructuring during 2003-05 meant that the UK government (re-) owned 64% of British Energy. In May 2007, the government sold this down to 39%. Also, in 1996, the state-owned British Nuclear Fuels Ltd (BNFL) took ownership of all the Magnox power stations as well as the UK fuel cycle facilities. BNFL subsequently bought Westinghouse and other USA. The sale included Magnox existing UK Atomic Energy Authority international nuclear engineering Electric, a wholly-owned subsidiary (UKAEA) sites, originally used for and services companies. of RSMC, which holds the contracts nuclear energy research (eg, Harwell). and licenses to manage ten Magnox Since 1971, British Nuclear Fuels, Ltd. nuclear sites, with 22 reactors in the The UK has full fuel cycle facilities (BNFL) has operated the majority of UK to operate and decommission on including major reprocessing plants the UK’s nuclear fuel cycle facilities. behalf of the NDA. and from the very early days of In 2004, BNFL became essentially a nuclear power generation in the UK, two-business company: managing Today, BNFL (British Nuclear Fuels the UK has been self-sufficient in Fuel Manufacture and Reactor plc) is the holding company for conversion, enrichment, fuel Services through Westinghouse, and Sellafield Ltd., British Nuclear Group fabrication, reprocessing and waste Nuclear Decommissioning and clean- (BNG) Project Services and Nexia treatment of imported Uranium. The up through British Nuclear Group Solutions Ltd. nuclear fuel cycle provides the fresh (BNG); with the Spent Fuel & fuel and the spent fuel services, either Engineering business unit and The UK has world leading experience reprocessing or storage, for nuclear Magnox Generation becoming in the decommissioning of nuclear power stations. Approximately contractors to the Nuclear power reactors and is currently 20,000 people in the UK are Decommissioning Authority (NDA). engaged in an extensive employed in the production, decommissioning programme, which reprocessing and storage of nuclear In 2006, BNFL gained government is the responsibility of the NDA. The fuel and in waste handling in the UK. approval to sell BNG by tender in NDA was set up and funded under 2007, in a piecemeal fashion. The the 2004 Energy Act, and is charged The UK industry provides the only part of BNG not for sale is Nexia with cleaning up the UK's legacy of processing of spent nuclear fuel from Solutions Ltd., which will be the nuclear wastes on 22 nuclear sites, eight countries: Japan, Germany, basis of the new National Nuclear including 39 reactors, 5 fuel Switzerland, Spain, Sweden, Italy, Laboratory (NNL) at Sellafield. reprocessing plants as well as other Netherlands and Canada. fuel cycle and research facilities. The first part of the BNG disposal was Previously, these were the UK companies are also involved in the spin-off of Sellafield Ltd., which responsibility of BNG (the decommissioning projects overseas. A has a 5 year contract with the NDA decommissioning and clean-up arm well trained and highly skilled to run and clean up the Sellafield of BNFL) and the UKAEA, and in workforce of approximately site. Sellafield Ltd. is operating most April 2005 NDA took over all 15,000 people is employed in the of the former BNFL facilities, notably designated liabilities and assets from operation and decommissioning of the THORP and Magnox reprocessing those bodies. Thus, the NDA has full the UK’s nuclear power stations. facilities and the new Sellafield MOX financial responsibility for plant, under contract to the NDA. management of all the public sector Finally, it should be noted that all civil nuclear liabilities and assets parts of the UK industry are subject In mid-2007, BNG sold its Reactor under performance based contracts, to one safety regulator, the Health & Sites Management Company (RSMC) and for the UK's waste disposal Safety Executives’ Nuclear business to Energy Solutions of the programme, which includes the Installations Inspectorate (HSE NII).

39 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

3.4 3.4.1 Of the above, ‘Plant & Equipment’ Overview of the UK’s Civil Nuclear Key Findings of the NIA UK are of most relevance to the materials Industry Materials Supply Chain Capability Review supply chain, and typically comprise approximately 55% of a nuclear power plant build, with ‘Civil The primary nuclear industry In the NIA‘s NBWG review, several Engineering and Construction’, and operators are supported by a wide key assumptions were made, which ‘Project Management and Technical variety of supply chain companies, included the following: Support’ accounting for such as engineering and construction approximately 30% and 15%, contractors, fabricators of specialist • The Pressurised Water Reactor respectively. However, some elements equipment, manufacturers and (PWR), the most widely used of ‘Civil Engineering & specialist service providers. reactor technology in the world (accounting for over 60% of global Construction’, such as the supply of materials and construction of the However, the UK’s materials supply nuclear power stations) was Nuclear Island, Turbine Island and chain(s) for nuclear power plant has considered as the reference reactor Balance of Plant are also relevant, as been eroded quite considerably over type for the study and the AREVA will be described below. the past 15 years or so, a NP European PWR (EPR) and the Westinghouse Advanced Passive consequence of the majority of UK’s PWR (AP1000) were selected as the The NIA NBWG assessed UK nuclear power ‘fleet’ now being reference designs. capability against the delivery of between 20 and 50 year old, such approximately sixty ‘packages’ of that any future nuclear power plant • A programme of five twin Nuclear equipment or services, which build will be turnkey plant (pressure Power Plants (NPPs) would be built comprise a complete nuclear power vessels and steam generators and a over approximately 20 years on or plant. The Group also considered few other reactor core items, etc.) adjacent to existing nuclear power current (early 2006) capability with from those companies currently station sites to replace the current that which may be available in undergoing the generic design nuclear generated electricity supply capacity of around 10 GW. approximately five years time, with assessment (GDA, or pre-licensing) – sufficient investment and training to eg, Westinghouse and Areva NP. regenerate capability lost over recent An excellent, recent review of the The report focused on the UK’s years. A period of five years was supply chain capability of UK capability in three broad areas: chosen as this is the likely timeframe industry to support the delivery of a prior to the initiation of any new UK nuclear new build programme • Programme Management and build programme. A summary of the has been carried out by the ‘New Technical Support findings of the analysis is shown in Build Working Group’ (NBWG) of the • Civil Engineering Construction Figure 3.7 below. Nuclear Industry Association (NIA). The NIA is the representative body • Plant and Equipment for the British civil nuclear industry, representing over 120 companies operating in all aspects of the nuclear fuel cycle (for more details, see http://www.niauk.org). The key findings of this review are summarized in the next section.

Figure 3.7 - NIA NBWG analysis of UK industry capability to support a new nuclear power plant build. From ‘The UK Capability to Deliver a New Nuclear Build Programme, the NIA, March 2006. (Courtesy of the NIA: http://www.niauk.org/).

40 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

The NIA NBWG analysis suggests that Regarding the UK’s capability in this projects such as those associated the UK supply chain has a strong area, the NBWG concluded the with the 2012 Olympics. capability in most of the areas following: • Materials required for the civil and required to support a new nuclear structural aspects of the build programme (see Figure 3.7 • Less than 2% of the UK capacity construction of the new power above), and UK industry could supply for Programme Management and plants are readily available within around 70% of the total requirements Technical Support would be the UK market. for such a programme. Furthermore, required for a new nuclear build • A relatively small percentage of the Group estimated that with some programme. normal UK annual outputs would investment in facilities and the • The capability and resources be required, for example less than training of new personnel, this required to project manage and 1% of cement and aggregate output capability could be increased to a technically support the new and less than 4% of structural steel little over 80%. This capability is nuclear build programme can production. currently being used to support readily be provided by UK industry. • The availability of large capacity existing nuclear power plants and • Resources would likely not be new fuel cycle plant, and in cranes and self-propelled provided by a single company, but transporters, for the lifting and decommissioning and waste by a grouping of companies. transportation of either individual management activities. In addition, it components such as reactor vessels, is being applied to non-nuclear • A nuclear new build programme would provide continuity of work steam generators, turbine rotors, projects which utilise similar skills, for UK industry rather than etc. and reactor modules will need and the construction activities and overstretching UK capability, extensive forward planning. much of the plant and equipment are following the completion of major similar to those of a nuclear power infrastructure projects such as Of specific interest from a materials plant. those associated with the 2012 viewpoint is the availability of Olympics. However, the NBWG also noted that structural and reinforcing bar steel. in an internationally competitive Considering the former, it is environment, the capability to supply estimated that each new reactor site does not necessarily mean that UK 3.4.1.2 will require approximately 50,000 companies will supply. In addition, Civil Engineering and tonnes of structural steel, which can the Group identified some significant Construction comfortably be accommodated by gaps in UK capability, which will be the UK’s steelwork manufacturing, fabrication and erection industries. discussed in detail below. In The NBWG recognised that there are particular, it was concluded that the differences in the quantities of The UK’s major supplier of structural manufacture and supply of steam materials for construction and in the steel is Corus, with a manufacturing turbines, generators and reactor approach to construction between capacity of approximately 1.2 million pressure vessels will be from overseas the two reactors considered. Thus, tonnes per year in the UK, 50% of at least for the first of any new the Westinghouse AP1000 uses a which is currently exported, nuclear power plants. However, with modular construction approach produced at their Scunthorpe and investment in new forging capability which involves remote production of Teesside facilities. However, although at Sheffield Forgemasters structural modules followed by the structural steel requirement for a International Ltd. (Sheffield), this shipping to site and assembly, new nuclear build programme can be may not be the case, as will be whereas the Areva NP EPR is built on met from within the UK, steel is discussed below. site. likely to be sourced from overseas, from mainland Europe in particular. The specific UK capabilities in the However, regarding the UK’s three broad areas indicated above are capability in this area, the NBWG In addition, it is estimated that each described in the following sections. concluded the following: new power station would require approximately 60,000 tonnes of steel • A new nuclear build programme reinforcement bar for use in 3.4.1.1 equates to less than 0.5% of the reinforced concrete. The UK retains Programme Management and annual value of UK construction industry output. significant capacity and capability to Technical Support produce the reinforcement and cable • All elements of the civil required for the construction of new Programme Management and construction (nuclear and turbine nuclear power plants, and the Technical Support covers activities islands, balance of plant and requirement represents supporting infrastructure) could be such as the overall management, approximately 6% of annual UK undertaken by UK companies. commercial and technical direction consumption (approximately 1 and regulatory and planning • As above, a nuclear new build million tones) and approximately 9% activities required to deliver a new programme would provide of annual UK production nuclear power station from inception continuity of work for UK industry (approximately 660,000 tonnes) of through to commissioning and rather than overstretching UK reinforcement bar. operation readiness. capability, following the completion of major infrastructure

41 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

Major producers of reinforcement bar some of the large forgings and the The International Atomic Energy are Celsa Steel UK in Cardiff (parent reactor pressure vessel. Agency (IAEA) and the Organisation Celsa Group, Spain), Thames Steel for Economic Cooperation and Ltd. in Sheerness and Alpha Steel As regards current capability, there Development (OECD) estimate that (parent Satico Ltd., Switzerland) in are several UK-based companies with approximately 4.7 million tonnes of Newport. Corus at Scunthorpe also manufacturing facilities and known uranium resources can be produce relatively small quantities of experience capable of supplying a mined for less than $130/kg, together non-ribbed coil suitable for large number of the components with further reserves which would be reinforcing bar. required for a nuclear power plant. more expensive to recover. Based on For example, some UK companies are 2004 levels of nuclear electricity world leaders in the supply of generation, these reserves would last 3.4.1.3 equipment to overseas nuclear for approximately 85 years. Plant & Equipment industries and there are also world leading UK companies currently Uranium ore goes through a complex supplying Plant and Equipment to milling process and is sold in a form Plant and Equipment for a nuclear the non-nuclear energy and civil known as yellowcake, (U O ). The power plant includes the reactor 3 8 engineering projects, both within the uranium oxide is then converted at pressure vessels and ancillary UK and overseas. an enrichment plant into uranium equipment such as tanks, pipework, hexaflouride (UF – a radioactive gas) and the more conventional turbines, 6 and 'fissile' U235. The enriched generators and switchgear. Much of uranium is then converted into a the ancillary equipment is similar to solid uranium dioxide (UO ) powder that required for non-nuclear (eg, 3.4.2 2 and pressed into small pellets, which fossil fuelled power and chemical The Nuclear Fuel Cycle are used in fuel assemblies. plant) and significant experience has been developed and maintained The global reserves of Uranium are The quantities of fuel involved for a through these non-nuclear projects. considered to be sufficient to meet nuclear plant are much lower than the growing demand for nuclear for conventional, fossil fuelled power Regarding the UK’s capability in this power. Although most of the UK’s stations. Thus, whereas a coal-fired area, the NBWG concluded the uranium supplies come from power station could consume several following: Australia, the World’s largest million tonnes of coal per annum, a producer is Canada (see Table 3.3 modern 1,000 MWe nuclear station • UK companies could supply below). approximately 50% of the Plant will typically require a few tens of and Equipment with current tonnes of fuel for each re-fuelling facilities and resources; with some operation, which takes place every investment, this could increase to 12-18 months. approximately 70%. • With increasing world demand, it is possible that some UK companies would invest to increase their scope and capacity for a UK new build programme and for potential export. • Companies which have redirected their efforts since the last nuclear build could reinstate facilities and skills if the business case justifies. • Limited world capacity to produce critical components such as forgings and reactor pressure vessels, and the associated long lead times for such components, may effect the ability to deliver a UK new build programme.

At the time, almost all of the Plant and Equipment for Sizewell B could be supplied by UK companies, Table 3.3 – Uranium production from although not all components were mines in tonnes. supplied by UK companies. As will be (Courtesy of the World Nuclear discussed below, the components / Association: http://www.world-nuclear. plant which could not be supplied by org). UK companies at that time were

42 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

As mentioned above, the UK has full 3.5 fuel cycle facilities for conversion, The Supply Chain for Major enrichment, fuel fabrication, Components of a PWR reprocessing and waste treatment, and facilities for the UK’s nuclear fuel cycle are as follows: 3.5.1 Introduction

• A 6,000 tonnes / yr conversion In this section, the supply of specific, plant is located at Springfields (nr. major components required for the Preston, Lancs.), managed by construction of a Pressurised Water Toshiba (Westinghouse Electric Reactor (PWR) based nuclear power Company) under contract to the plant is considered. A simple Nuclear Decommissioning schematic of a PWR is shown below Authority (NDA). Springfields in Figure 3.8 and a schematic of the manufactures nuclear fuel products Areva NP EPR is shown in Figure 3.9 for the UK’s nuclear power stations and an excellent overview of the and for international customers. main components of the Areva NP Fuel manufacture is scheduled to EPR can be downloaded as a brochure continue until 2023. In addition to from its website (http://www.areva- fuel manufacture, Springfields also np.com/). undertakes decommissioning Figure 3.9 - Schematic of the Areva NP EPR (Courtesy of Areva NP: http://www.areva-np.com/). activities. • Enrichment is undertaken by Urenco Ltd. at Capenhurst (nr. Chester, Cheshire). Urenco is part owned by the British government. • Fuel fabrication of Magnox, AGR and PWR fuel is carried out at Springfields, and other PWR fuel is bought on the open market. It is assumed that fuel and fuel assemblies for a future build will be supplied by the reactor vendor, although this may not be the case. • Mixed Oxide (MOX) fuel fabrication for export is carried out at Sellafield (Seascale, Cumbria). • TVEL Corporation (Russia) are contracted to supply fuel pellets, with fuel assemblies made by Areva NP (France and Germany), to British Energy's Sizewell B PWR plant. • Reprocessing is undertaken by British Nuclear Group (BNG) at Figure 3.8 – Operational diagram of a typical PWR (from ‘The UK Capability to Deliver a New Nuclear Build Programme’, the NIA, March 2006. (Courtesy of the NIA: http://www.niauk.org/). Sellafield, under contract to the Nuclear Decommissioning Authority. Operations at Sellafield include treatment of fuels removed from nuclear power stations; Mixed A typical PWR nuclear power station Oxide (MOX) fuel fabrication; and has two main water circuits, the storage of nuclear materials and Primary circuit, which removes heat radioactive wastes. from the reactor, and the Secondary (complete steam cycle) circuit. Through the above facilities, the UK should be capable of supplying fuel(s) A summary of the status of the for a new build programme. materials supply chain(s) for nuclear power generation components (within the nuclear island only), which includes information from the NIA NBWG review, together with information gathered during the course of this study, is now presented below.

43 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

3.5.2 Figure 3.10 - Large Reactor Pressure Vessel Containment Building (RPV) forging. (Courtesy of Areva NP). The nuclear island or the Nuclear Steam Supply System (NSSS) sits within the containment building which, for the Areva NP EPR, consists of a ferritic steel liner (the Reactor Building Liner (RBL)), approximately 6mm in thickness, covered by a reinforced concrete shell. The Westinghouse AP1000 uses thicker steel plate (50mm in thickness), but is also surrounded by a reinforced concrete shell. Both are considered to be relatively routine constructions, requiring expertise in the welding and inspection of the steel plates.

The containment liner for Sizewell B was fabricated in the UK and the manufacturing capability still exists. stainless steel weld metal for Vincent Maurel, President and CEO corrosion resistance. The large mid- of Areva NP, described the acquisition section ring forging is welded to the as: “a strategic move, at a time when 3.5.3 spherical bottom section of the vessel the new builds market in the nuclear power industry is picking up again, Reactor Pressure Vessel (RPV) and the pressure vessel head is bolted onto the top of the pressure vessel. and forged parts are essential in ensuring the quality and prompt The RPV is a high structural integrity The critical importance of the delivery of nuclear equipment at vessel which contains the nuclear availability of very large forgings for competitive prices”. fuel elements and operates at a nuclear power plant applications was pressure of 160 bar and at a emphasised towards the end of 2006, As regards subsequent fabrication of temperature of 300°C. The RPVs of when Areva NP acquired Sfarsteel, RPVs from forged and other the Westinghouse AP1000 and the one of the world’s leading components (Figure 3.11), the Areva NP EPR are similar, and for a manufacturers of large, forged parts UK-based companies Doosan Babcock 1000 MWe reactor, the RPV will and owner and operator of the and Rolls Royce Marine’s subsidiary typically weigh around 500 tonnes 10,000 tonne Creusot Forge in Le Derby Specialist Fabricators Ltd., have and be approximately 4 metres in Creusot, France. manufactured approximately 30 of diameter, 10 metres in height and the smaller RPVs for nuclear approximately 200mm thick. submarine PWRs. In addition, the manufacturing processes of RPVs are The main components of a RPV are similar to those of steam generator large forgings (see Figure 3.10) pressure vessels, which have been which, because of their size, can be manufactured by both Doosan manufactured in only a few places Babcock and Rolls Royce Marine / throughout the world. In this respect, Derby Specialist Fabricators Ltd. there has been insufficient recent demand within the UK to justify Thus, although the skills exist in either the supply of the very large Sheffield Forgemasters International forgings for RPVs or the fabrication Ltd. for production of large forgings of large RPVs, but if UK or global and in Doosan Babcock Ltd. / Derby demand were to develop, as forecast, Specialist Fabricators Ltd. for the and with (significant) investment, manufacture of RPVs, no UK the situation could change, as will be companies are set up currently to discussed in detail below. produce civil RPVs of around 1000 MWe capacity. However, this could Specifically, both the RPV shell and change relatively soon depending on the closure head are fabricated from when the investment is made, with ferritic steel forgings (ASME SA 508 the proposed £70M investment in a Class 3, low alloy Mn-Mo-Ni steel), 15,000 tonne forging press and which are clad on the inside with associated equipment (handling equipment, furnace(s), etc.) at Figure 3.11 - Large Reactor Pressure Vessel (RPV) Sheffield Forgemasters. Note: In forging with nozzles. (Courtesy of Areva NP). addition to the forging capability,

44 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

RPV manufacture entails mechanical 3.5.4 handling of loads of up to 500 Reactor Pressure Vessel Head tonnes, and specialist welding and inspection equipment. As mentioned above, the closure head, containing all the penetration Currently, it is believed that for control rods, is bolted to the top companies which could supply very of the RPV and is machined from a large forgings for RPVs include: single large ferritic steel forging (see Figure 3.12 below). • Japan Steel Works (JSW) (Japan): all forgings for rings and heads. Figure 3.12 - Nuclear Pressure Vessel Head • Doosan Heavy Industries and (Courtesy of Areva: René Quatrain). Construction, Ltd. (Korea): all forgings for rings and heads. • OMZ (Russia): all forgings for rings and heads. • Sfarsteel’s Creusot Forge (Le Creusot, France): some forgings for rings and heads. • China First Heavy Industries (China): some forgings for rings and heads.

Also, the following companies can manufacture RPVs using the above forgings:

• Mitsubishi Heavy Industries, Ltd. (Japan) • Areva NP (France, Germany) • Doosan Heavy Industries & Construction (South Korea) • Ansaldo (Italy)

In addition, Skoda (Czech Republic) has the capacity, but not the current capability, to manufacture RPVs.

The current global manufacturing In 2006, the head of the Sizewell B maintain the position of the reactor capacity for RPVs, of approximately reactor was replaced. The control rods from which neutron 1,000 MWe capacity, is estimated to replacement head was manufactured absorbers are suspended (used, for be approximately 15 per annum. The by Areva and was the same as the example, to facilitate shutdown). current global capability to supply original head (ASME SA 508 Class 3, very large forgings is potentially a low alloy Mn-Mo-Ni steel), but The CRDMs are attached to the top limiting factor on a new build because of stress corrosion concerns, of the RPV Closure Head Forging via programme, although increased used Inconel 690 welds between the nozzles welded onto the forging (see world market demand would likely head and control rod guide tubes, Figure 3.13), using Inconel 600 or, lead to an increase in large forging instead of the Inconel 600 welds, more recently, Inconel 690 filler. capacity; in China, for example. which were used on the original There are typically around 70-90 head. The proposed investment at CRDMs dependent on reactor type Sheffield Forgemasters would give a and size, each controls a cluster of UK-based RPV Head forging control rods (CRs), which comprises capability. typically around 20 rods. The CRs are typically supplied by the reactor The so-called Integrated Head vendor. Package comprises the Reactor Pressure Vessel Head forging, the Shroud Assembly, the Missile Shield and the Control Rod Drive Mechanisms (CRDMs). A CRDM is designed to insert, withdraw or

45 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

The CRDMs and control rods for the Sizewell B PWR were supplied by Framatome (now Areva NP). The CRDMs and CRs of naval PWRs are similar in concept and design to those of civil reactors and have been supplied by Rolls Royce Marine / Derby Specialist Fabricators Ltd. and from forgings from Sheffield Forgemasters International Ltd. In addition to Rolls Royce Marine, companies having significant experience and current capability in the processes involved in the supply of CRDMs include:

• Assystem UK Ltd (ex-Inbis Ltd. and part of the Assystem Group, France), Preston, Lancs. • NIS Ltd, Chorley, Lancs. • Doosan Babcock (ex-Mitsui Babcock), Renfrew, Scotland • Weir Strachan & Henshaw, Bristol • Alstec Ltd, Whetstone, Leics. Figure 3.13 – A reactor pressure vessel head showing Control Rod Drive Mechanisms (CRDMs) In addition, there are likely to be (Courtesy of Areva: René Quatrain). several other UK-based companies with the skills and manufacturing capabilities to supply and maintain For the Sizewell B PWR, 3.5.6 CRDMs and CRs, and there are Westinghouse supplied the internals Steam Generators several overseas competitors in the directly to Framatome (now Areva field, including Areva NP (France and NP) for installation into the RPV. Germany). The function of the steam generator UK-based companies which could (SG) is to transfer the heat from the supply, although not doing so at primary reactor cooling system to the present, include: 3.5.5 secondary feedwater / steam which drives the steam turbines. Steam Reactor Pressure Vessel Internals • Doosan Babcock , Renfrew, generators for PWRs are similar for all Scotland current designs and are vertical, The RPV Internals support the fuel • NIS Ltd, Chorley, Lancs. u-tube heat exchangers contained assemblies within the RPV and some • Alstec, Whetstone, Leics. within a ferritic steel pressure vessel. act as shielding / radiation reflectors. For the Areva NP design there are The support internals consist of • Assystem UK Ltd (ex-Inbis Ltd. and four SGs, equivalent to ~400 MWe assemblies of precision machined part of the Assystem Group, each, whereas the Westinghouse rods, tubes and plates, manufactured France), Preston, Lancs. AP1000 has only 2 SGs, equivalent to from steels of various grades, and the • Bendalls Engineering Ltd., Carlisle. ~600 MWe each. shielding internals are large rings of stainless steel placed in the gap Each steam generator weighs Manufacturing and assembly of the between the RPV and the core. approximately 500 tonnes and is RPV Internals package, one per approximately 21-25 metres in height reactor, does not constitute a and 4.0-4.5 metres in diameter with a significant volume of work and there vessel wall thickness of are sufficient resources within the approximately 100 mm (Figure 3.14). companies listed above to cope with the resource demand for a new power The steam generator pressure vessel is station. manufactured from large ferritic steel rings and hemispherical forgings (see Figures 3.15 and 3.16) which, like the large forgings for RPVs, are produced by only a few companies globally. Inside the SG pressure vessel, the complex components include: steam / water separators and drying

46 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

equipment and Inconel 690 u-tubes welded onto a thick tube plate.

Doosan Babcock (ex-Mitsui Babcock) procured all components and manufactured and assembled the four steam generators for Sizewell B and Rolls Royce Marine has manufactured steam generators for UK’s nuclear naval fleet. Within the UK, it is believed that only Doosan Babcock have the potential to reinstate this former capability to manufacture steam generators. However, there is currently no UK company set up to manufacture SGs.

As mentioned above, the need for very large, high quality forgings is a critical aspect of steam generator supply and only one UK Company, Figure 3.14 – Steam Generator fabrication at Mitsui (now Doosan) Babcock, Renfrew, for Sizewell B. (Courtesy of Sheffield Forgemasters International Doosan Babcock Energy Ltd.). Ltd., could supply some of the ring forgings for the steam generator pressure vessel (all forgings with the proposed investment – see Section 3.5.3 above).

It should also be noted that UK-based supply of seamless Inconel 690 tubing, other nickel based alloy and stainless steel tubing, is limited.

There are a few companies overseas currently supplying SGs for new build or for replacement programmes, which include:

• Areva NP (France) • Equipos Nucleares (Spain) • Mitsubishi Heavy Industries Ltd. (Japan) • Babcock & Wilcox (Canada) Figure 3.15 - Lower pressure boundary Steam Generator sub-assembly. (Courtesy of Areva NP). • Shanghai Boiler Works (China) • Doosan Heavy Industries and Construction, Ltd. (Korea)

It is forecast that if the world demand for new nuclear plants increases as expected and the SG replacement programmes continue as present, then there will be a shortage of capacity for SG manufacture. This will cause current suppliers to increase their throughput and some former suppliers to consider re-opening their manufacturing facilities.

Figure 3.16 - Steam Generator transition cones. (Courtesy of Sheffield Forgemasters International Ltd.).

47 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

3.5.7 Large micro-alloyed steel valve Pressuriser castings have been produced by Goodwin Steel Castings, Ltd. (Stoke- on-Trent). In a PWR system, the pressuriser is used to control the pressure in the reactor cooling system (the primary circuit) so that boiling does not occur 3.5.9 within the reactor. It contains water ‘Generic’ Fabricated Metal in its lower part and steam in its Components upper part, plus an electrical heater / spray system to vary the volumes of Large forgings and pipework (pipes, steam/water and pressure relief valves elbows, tees, etc,) are used in various to protect the system against applications within the nuclear overpressure. island, and some information on the materials and suppliers of these Pressurisers are medium sized components is described below: pressure vessels, manufactured from ferritic steel forgings, which are Large and Ultra-Large Forgings subsequently stainless steel clad for corrosion protection and which are From the descriptions of some of the approximately 2.5 metres in diameter major components, and as and approximately 140mm thick, highlighted earlier in this report, the weighing 80-100 tonnes (see Figure supply of very (or ultra-) large 3.17). forgings is critical to any new nuclear Figure 3.17 - Erection of a Pressuriser in a reactor power plant build and such forgings Forgings for pressurisers are much building. are used for the manufacture of smaller than those for RPVs and (Courtesy of Areva NP: http://www.areva-np.com/). Reactor Pressure Vessels (RPVs), steam Steam Generators and so could be generator pressure vessels and supplied from the UK. Sheffield tubeplates, pressurisers, and for the Forgemasters International Ltd. and In addition, there are a number of primary circuit pipework, as well as Wyman-Gordon are capable of other pumps which operate on either steam turbine and turbine generator producing them. In addition, a continuous or intermittent basis, rotors. subsequent pressuriser fabrication but which must have exacting could be carried out by Rolls Royce standards of integrity – ie, they must Some 2,000 to 4,000 tonnes of large Marine / Derby Specialist Fabricators work when needed. forgings are required for each new Ltd. and Doosan Babcock, together reactor, depending on the design and with other companies with facilities Although there has been no new UK ultra-large forgings require ingots of for welding, machining, lifting, etc. build since Sizewell B, Clyde Pumps 350-600 tonnes, and large forgings of medium weight / sized pressure Ltd. (incorporating Weir Pumps require ingots of 180-250 tonnes vessels. The pressuriser for Sizewell B Glasgow), a world leader, (information from Sheffield was manufactured by NEI-ICL, which manufacture and supply all nuclear Forgemasters International Ltd.). In no longer exists. and turbine island pumps into the 2006, Japan Steel Works met 70% of international nuclear industries and total world demand for large and power generation sectors, and ultra-large forgings for nuclear reactor currently supply spares to the applications. Magnox, AGR and Sizewell B power 3.5.8 stations. In addition, Sulzer Pumps Sheffield Forgemasters estimates that Pumps and Valves (UK) Ltd. (part of the Sulzer Group, it is currently able to produce Switzerland) has a UK-based approximately 40% of the forgings The environment in which some manufacturing capability in Leeds required for a nuclear reactor and pumps and valves operate within a and also supplies into the global that Sfarsteel’s Creusot Forge can Nuclear Steam Supply System (NSSS) nuclear industries market. produce approximately 70% of the is very demanding (high temperature required forgings, with Japan Steel and pressure). The main reactor As in the case of pumps, a nuclear Works (JSW) capable of producing coolant pumps circulate pressurised reactor requires a wide variety of high 100% of the required forgings. water within the Primary Circuit to integrity valves, etc. for the Primary the steam generator whilst the main and Secondary Cooling Circuits and In addition to the capability to reactor feed-water pumps supply hot elsewhere within the nuclear island. produce large and ultra-large water to the steam generators within In the supply of these components, forgings, technical quality assurance the Secondary Circuit. Without the the UK again has world leading approvals, such as the American latter, heat could not be effectively suppliers such as Weir Valves & Society of Mechanical Engineers removed from the reactor or steam Controls (UK), Ltd. (Huddersfield, W. (ASME) certification is also required produced. The maintenance intervals Yorks) and Thompson Valves, Ltd. for supply into the nuclear industry, for these pumps are 6-8 years. (Poole, Dorset). which can take many years to

48 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

achieve. Sheffield Forgemasters has Nuclear Steam Supply System Both the high integrity pipework and ASME approval and is thus approved (NSSS) Pipework the more conventional pipework is for all large, critical nuclear forgings, similar to that found in fossil-fired regardless of design. The extensive pipework, both within power plants and chemical plant, for the nuclear island and from the example, and is manufactured from The companies which it is believed nuclear island to/from the turbine drawn pipe and cast or forged could supply ring forgings for RPVs house is a critical element of a components (elbows, tees, end caps, and steam generators, and large head nuclear power plant. Although there etc.) in austenitic stainless and ferritic forgings were listed above (Section are significant differences between steels. 3.5.3). In addition to those the volume and dimensions of companies, there are a number of pipework needed in the The volume/length of these pipes is others which can produce large steam Westinghouse and Areva NP designs, large and it would not be conceivable turbine rotor forgings and these which is linked to factors such as the that one or even a few companies include Forge Saar (formerly number of steam generators in the could meet the total volume Saarschmiede, Germany) and Kobe two designs (see Section 5.6 above), requirements. Steel (Japan). both require tens of kilometres of pipework. Although there are many induction For Sizewell B, most of the large bending machines in the UK and forgings were supplied by Japan Steel The Primary Loop pipework is very Europe, there are not many for large Works (JSW) and from Creusot Forge specialized and comprises forged diameter, thick pipes because the in France, with UK companies austenitic stainless steel pipe and cast demand has not been present in supplying some of the smaller or forged elbows (see schematic in recent years. This is a potential forgings. Figure 3.18 below). The high bottleneck for UK supply, but it could pressure, safety-related pipework be met by supply from Germany, if Of significant concern is the limited (high integrity pipework) consists of necessary. global manufacturing capacity of pipework which connects the steam some critical components which are generators to the turbines and other For the Sizewell B PWR, Matsui (now reliant upon these large forgings. As pipework which makes up the Doosan) Babcock manufactured the mentioned above, the world capacity various safety systems. Finally, there Primary Loop pipe spool pieces from for RPVs is estimated at is a considerable amount of forgings from Creusot Forge, France, approximately 15 per annum and conventional lower pressure and castings from Camerons UK, JSW, for example, have reported a full pipework associated with ancillary Scunthorpe (subsequently known as order book for forgings for RPVs out plant. Wyman-Gordon and now Bradken to 2012. Ltd.). Other UK companies which The scale of some of the pipework is could have supplied forged pipe and Within the UK, Sheffield illustrated by the so-called hot cold cast elbows are Sheffield Forgemasters Forgemasters International Ltd. (SFIL) and crossover legs of the Primary International Ltd. and Firth Rixson currently have the capability to forge Loop of the Areva NP EPR (see Figure respectively. the smaller components for the 3.18). Thus, the seamless hot and nuclear marine sector (eg, ring and cold leg sections are produced by The high integrity, safety related head forgings for RPVs and SGs) and forging solid austenitic steel ingots of pipework for Sizewell B was have also supplied some forgings for approximately 115 tonnes (hot leg) manufactured and installed by the civil reactors overseas. The company and 160 tonnes (cold leg), and the BPA Joint Venture which no longer also has the capability to produce the crossover leg is forged from a 75 exists and Matsui Babcock carried out large steel castings required. However, tonne hollow austenitic stainless steel pipe bending. The conventional as mentioned above, the proposed ingot. The pipe sections are also lower pressure pipework was investment in a 15,000 tonne forging welded using an austenitic stainless manufactured by several smaller press would be necessary to create a steel filler metal (ER 316L). companies. capability for the forging of all components for civil nuclear RPVs and SGs, and SFIL are currently seeking financing for such a press.

Figure 3.18 - Schematic diagram of Primary Loop (or Circuit) pipework for the Areva NP EPR. (Courtesy of Areva NP: http://www.epr-reactor.co.uk/).

49 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

UK companies with a capability to 3.5.10 • Sheffield Forgemasters manufacture components for the Supply of Some Other Nuclear International Ltd. (Sheffield) can high integrity pipework are given Industry Components produce reactor coolant pump below. casings. • ATI Allvac Ltd. (Sheffield) has a ‘life • Castings and ring forgings: In this section, the supply of components into the UK’s nuclear of station’ contract to supply R35 Sheffield Forgemasters and R35S (Nb or Ti stabilized industry, which are not mentioned International Ltd., Sheffield Fe-25Ni-20Cr) supports for AGR above, are described. The • Seamless heavy wall extruded pipe: fuel rods. These complex supports components and suppliers listed is are fabricated from a combination Wyman-Gordon, Livingston, certainly not exhaustive, but gives an Scotland of: machined 25mm solid bar, cold indication of additional capabilities rolled precision strip for end caps • Castings: William Cook Cast which exist within the UK to support and spacers, and small drop Products (Sheffield), Goodwin Steel the current and any future civil forgings. Castings, Ltd. (Stoke-on-Trent), nuclear power plant build, and waste Bradken Ltd. (Scunthorpe). management and decommissioning • Special Metals Wiggin Ltd. (Hereford) supplies some Ni-base activities. • Various pipework fittings: Proclad alloy tubing and Ni alloy rods for International Forging, Ltd., the manufacture of tie bars, which • Corus Process Engineering in West Livingston, Scotland. suspend fuel rods within the Cumbria is one of the world’s reactor. • Induction Bending: Proclad leading designers and suppliers of Induction Bending Ltd, Glenrothes, low alloy, C-Mn-Ni, steel flasks for • Nuclear grade graphite for the Scotland the transport of nuclear materials, Magnox reactors and AGRs was • Cold Bending: Shaw Group UK and Sheffield Forgemasters supplied by Anglo Great Lakes Ltd. Ltd., Derby International Ltd. (Sheffield) also (Newcastle) and British Acheson supply large nuclear transport Electrodes, Ltd. (later known as flasks (or casks) to Areva NP (see Union Carbide and subsequently Some of these companies could also Figure 3.19 below). part of Dow Chemicals, Inc.), and supply some of the Primary Loop can now be supplied by both forgings and castings, and Doosan Morgan Crucible and Areva NP. Babcock can fabricate the Primary Loop and high integrity pipework, as was the case for Sizewell B. In addition, other companies can produce small forgings, etc. for pipework and small components (eg Figure 3.19 – Nuclear transportation flask/cask Wyman-Gordon and Proclad forging. (Courtesy of Sheffield Forgemasters International Ltd.). International Forging Ltd., both of Livingston, Scotland).

There is currently no UK-based capability in induction bending of large diameter thick-walled pipes and this would have to be reinstated, or a new nuclear build could be supplied from mainland Europe. The UK also has limited capability to supply seamless, thin walled stainless and alloy steel tubing and Ni-base alloy tubing, and supply of such tube is from mainland Europe, from Sandvik (Sweden), Valinox Nucléaire (France), DMV (Germany), Tubacex (Austrian facility of Spanish parent company), and Tenaris (Italy).

50 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.6 Figure 3.20 - Best estimate of the decline in UK R&D UK R&D Activity in Nuclear personnel (from a Materials presentation given by Prof. R. Clegg at the NIA ‘Energy Choices’ Conference, Nuclear fission related R&D in the London, on 2 December UK has declined steadily over the 2004). past 20 years or so, and since the 1980’s, public investment in nuclear fission R&D has dropped by more than 95% and the industrial R&D skill base has decreased by more than 90%. Figure 3.20 shows a best estimate of the decline in UK personnel engaged in nuclear R&D since 1980. The decline has been so marked that the UK is now the only high materials content in structural • Test Rig Facilities, Sellafield: country with a significant nuclear integrity and graphite related R&D, capability which has failed to - Complements the Nexia and the company estimates that maintain a government sponsored Solutions Workington facilities there is approximately £1M spent on laboratory engaged in nuclear reactor with a non-radioactive test rig steels related research and design or R&D related to the full facility and a Vitrification Test approximately £1.5M related to nuclear fuel cycle. On a global basis, Rig (VTR). graphite activities. whilst this trend is not uncommon, • Technology Centre, Springfields: other countries are now investing In addition, British Energy has - Accommodates approximately significantly in nuclear R&D skills. Strategic R&D Alliances with the 150 people. Universities of Manchester, Bristol However, the UK still has leading - Specific activities include low- Strathclyde and Imperial College. expertise across both the academic radioactivity uranium research Other service providers include: and industrial sectors, and with the and development, powder AMEC NNC, Serco Assurance Ltd., processing and fuel pelleting world-class facilities at the newly the Electric Power Research Institute research. established Sellafield Technology (EPRI, USA) and Doosan Babcock Centre (see below). In particular, the • Nexia Solutions Windscale: Energy Ltd. North West has a very strong skills - Primarily utilised to support and R&D base. clean-up of Sellafield site and to undertake irradiated fuel and A database of activities related to 3.6.2 materials examination for Nuclear R&D can be found at The UK Nexia Solutions Ltd. commercial customers. Energy Research Centre (UKERC) - Carries out non-destructive and Energy Research Atlas: Nuclear Nexia Solution Ltd. (formerly NSTS, destructive examination of a Fission, at: BNFL R&D Division) operates wide range of active materials. http://www.ukerc.ac.uk/Home.aspx. facilities on behalf of the Nuclear • Nexia Solutions Workington Decommissioning Authority (NDA), (Test Rig Activities): on three nuclear licensed sites. These 3.6.1 include the only facilities in the UK - Supports non-radioactive remediation and British Energy plc capable of carrying out research and decommissioning activities at development on highly radioactive Sellafield. Within British Energy plc, there are nuclear material and large-scale about 10 people actively involved in uranium work. Nexia Solutions Ltd. - Nexia Solutions runs the facility Materials R&D. However, the precise employs approximately 800 people with NIS Ltd. expenditure on materials specific working at five facilities, as follows: R&D (of a total of approximately £13M in 2006/07) is difficult to • Technology Centre, Sellafield: quantify as the company does not – Supports the activities of 300 have Materials as a separate R&D scientists and technologists. competency area. - Specific activities include decontamination development British Energy’s current R&D on real plant materials, mixed priorities are Advanced Gas Cooled oxide (MOX) fuel and Reactor (AGR) life extension, plutonium research, waste maintenance of key skills, treatment and characterisation understanding of key components research work, and physics, (eg, graphite core, boilers), and the chemistry and materials science company has ongoing activities with based activities.

51 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

The BNFL ‘Research Alliances’ have (£60k), HSE (£50k), Westinghouse which will see each organisation been formed between Nexia Solutions (£50k), Other (self/govt., £50k). invest £10M over a seven-year period. (BNFL) and selected University departments at Manchester (Materials The Dalton Nuclear Institute is also The Centre will initially house Performance and Radiochemistry), home to the Nuclear Graphite approximately 60 staff and Sheffield (Immobilisation Science) Research Group (NGRG), which was postgraduate students, and will be and Leeds (Particle Science & established in 2001. Research within built on the Westlakes Science and Chemistry). Currently, there are 120 the NGRG involves the study of Technology Park, near Whitehaven in researchers engaged on projects nuclear graphite material and West Cumbria. It will have close links supported by these ‘Research graphite component behaviour and with the Nexia Solution’s British Alliances’. About half of the the research encompasses graphite Technology Centre (BTC) at Sellafield researchers are based at Manchester related aspects of the new Generation and to the NNL. University, which has fairly recently IV Very High Temperature Reactor established the Dalton Nuclear (VHTR) as well as the present reactor Research Institute to develop a designs such as AGR, Magnox, RBMK 3.6.5 programme of post graduate level (Russian reactor) and High Keeping the Nuclear Option Open nuclear education and training for Temperature Reactor (HTR). (KNOO) nuclear science. The NGRC has attracted funding of over £3.5M from organisations Funded through the 'Towards a 3.6.3 including the HSE (Nuclear Safety Sustainable Energy Economy Division), British Energy Generation Programme’ of Research Councils UK, The Dalton Nuclear Institute (http://www.rcuk.ac.uk/) KNOO is a (University of Manchester) Ltd, British Nuclear Group, Nexia Solutions Ltd., the UKAEA, the four-year, £6.1M initiative (start date European Commission and the 1st October 2005), established to The Dalton Nuclear Institute, an EPSRC. maintain and develop skills relevant interdisciplinary nuclear research to power generation through nuclear centre, was established at the The Dalton Nuclear Institute also fission. It represents the single largest University of Manchester in 2005, leads a Nuclear Engineering commitment to fission reactor with aims which include: support for Doctorate (Nuclear Eng.D) degree, research in the United Kingdom for the development of expertise to which is offered by a consortium of more than thirty years. underpin the UK's nuclear clean-up UK universities, and with total programme, and the maintenance funding of approximately £5M. The The grant has been awarded to a and development of skills for any partners in the Eng.D are Imperial consortium of researchers from future new build programme. College London, and supported by Imperial College London, the the universities of Bristol, Leeds, University of Manchester, Cardiff Within the Dalton Nuclear Institute, Sheffield and Strathclyde. University, University of Sheffield, the Materials Performance Centre University of Bristol, University of (MPC) carries out (nuclear) materials Leeds and the Open University. The specific activities, and research areas 3.6.4 universities are working with BNFL, of the MPC include: corrosion, who have contributed £0.5M, and structural integrity, cladding The National Nuclear Laboratory other stakeholders which include the materials (Zr, etc.), modelling (NNL) and the Northwest Nuclear Atomic Weapons Establishment, (deformation and failure processes), Research Centre British Energy plc, the Department fuels development. The Centre was for Environment, Food and Rural established in 2002, with funding in In October 2006, the Secretary of Affairs, the Environment Agency, the the first year of £755k, which rose to State announced that subject to Health and Safety Executive, Doosan £4M in 2005/6. The MPC has contractual terms being agreed, the Babcock, the Ministry of Defence, approximately 35 staff and Government expects that there will Nirex, AMEC NNC, Rolls-Royce plc approximately 30 research students. be a UK National Nuclear Laboratory and the UK Atomic Energy Authority. (NNL). It will be based around the The Materials Performance Centre British Technology Centre and Nexia The KNOO Programme is divided attracts considerable private sector Solutions Ltd. in Sellafield, West into four Work Packages (WPs) as funding and has been awarded a total Cumbria. follows: contract value to date of £18M for projects running until 2010. In January 2007, it was announced • WP1: Fuel, thermal hydraulics and Currently, the MPC has that a major new nuclear research reactor systems (Leader: Dr. Simon approximately 65 projects running facility, the Northwest Nuclear Walker, Imperial College London). with major funders as follows: EPSRC Research Centre (NNRC), is to be • WP2: Materials performance and (£775k), MoD (£650k), Rolls-Royce established in Cumbria with £20M of monitoring reactor conditions (£625k), University of Manchester initial funding from The University (Leader: Prof. Andrew Sherry, (£600k), NDA (£400k), British Energy of Manchester’s Dalton Nuclear University of Manchester). (£300k), Nexia Solutions (£225k), Institute and the Nuclear • WP3: An integrated approach to Serco (£200k), EdF (£100k), EU Decommissioning Authority (NDA),

52 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

waste immobilisation and • Oxford University (Dr. Mike 3.6.7 management (Leader: Prof. Simon Jenkins & Prof. Steve Roberts): Nuclear Fusion R&D Biggs, University of Leeds). Multi-scale modelling of dual phase • WP4: Safety and performance for a stainless steels, model Fe-Cr alloys and W for Nuclear Fusion The International Thermonuclear new generation of reactor designs Experimental Reactor (ITER) (Leader: Prof. Tony Goddard, applications, with UKAEA Culham Laboratory. programme recently announced that Imperial College, London). the experimental fusion reactor • Oxford University (Prof. Patrick would be constructed at Cadarache, Grant): W coating of steel From a materials perspective, WP3 is near Aix-en-Provence, France. This is substrates for Nuclear Fusion W an international project to construct of most interest, although there are diverter applications, and activities within the other WPs which Environmentally assisted cracking a 500 MW experimental fusion have a strong materials input; in in a range of ferro-alloys reactor and will be jointly funded by particular, activities within WP4, China, the EU, Switzerland, Japan, which is focused on Advanced • Oxford University (Dr. Mike Korea, Russia and the USA. (Generation IV) reactor design, in Jenkins): Various studies related to radiation damage which advanced fuel systems research Design will begin in 2006 and is carried out. • Oxford University (Prof. Alfred construction is expected to be Cerezo): 3D Atom Probe studies of completed by 2016 at a cost of $4.5 The activity themes within KNOO Cu precipitation in RPV steels, and billion. In parallel, an International WP3 include the following: Studies of W-Re Irradiation.. Fusion Materials Irradiation Facility • Loughborough University (Prof. (IFMIF) is also planned, which is the • Remote structural interrogation Roy Faulkner) ‘Development of materials test facility for ITER and monitoring tools. Reduced Activation ODS Steels for components and materials. To • Finite element and self consistent Fusion Reactor First Wall establish IFMIF is expected to cost an models to assess materials. Applications’, with Culham additional $1 billion. Laboratory. • Mechanical understanding and • University of Birmingham (Prof. The UKAEA’s Culham Science Centre predictive models of stress is at the forefront of Nuclear Fusion corrosion cracking. John Knott): activities related to the fracture of nuclear materials. research and development, and • Mechanical performance of nuclear details of the materials related cladding and structural materials. • The Open University (KNOO activities (eg, irradiation damage and activities). • The behaviour of graphite. phase transformations in Fe-Cr and • Imperial College, London (KNOO W alloys) can be found at the activities). Culham website: http://www.fusion.org.uk/index.html. 3.6.6 The Universities of Liverpool and Miscellaneous Nuclear Materials Edinburgh, Serco Ltd. and the UKAEA TWI is actively involved in Nuclear R&D are partners in the EU FP6 Fusion related R&D through the programme, PERFECT (Prediction of development of specialist, on-site, The EPSRC currently has a call for Irradiation Damage Effects on Reactor electron beam welding technology. proposals in the field of Nuclear Components). Waste Management and Serco Ltd., Nexia Solutions Ltd., Decommissioning. TWI Ltd. (Abington, Cambs.) has National Nuclear Corporation been active in the development of Limited and the University of Ongoing UK-based Nuclear Materials joining and fabrication technologies Manchester are partners in the EU R&D activities include: for the nuclear sector for many years. FP6 programme RAPHAEL (ReActor TWI’s experience covers the joining for Process heat, Hydrogen And • University of Manchester (Dr. and fabrication of reactor pressure Electricity generation). This project Michael Preuss): coordinating a Zr vessels and internals, steam addresses the viability & performance alloy research programme, with generators, primary and secondary of the Very High Temperature Reactor Westinghouse Electric Co, Oxford piping, waste encapsulation systems, (VHTR) and the selection and University and the Open etc., for a range of reactor types, qualification of materials for very University. including Magnox reactors, AGRs and high temperature components, • Oxford University (Prof. George PWRs. TWI assists the nuclear graphite internals and the reactor Smith): Zr cladding related industry in the following areas: plant vessel are key areas of the Project. activities and radiation damage in fabrication and refurbishment, safety W-Re alloys for Nuclear Fusion and integrity, repair, and In addition to those ongoing at applications. decommissioning and waste storage. UKAEA Culham, some ongoing UK university based activities on materials for Nuclear Fusion applications are listed above in Section 3.6.6.

53 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

3.7 Nuclear Industries Specialist Skills

A discussion of issues associated with the skills required to support any future nuclear build is beyond the scope of this review and will only be touched upon briefly. However, although the capabilities in terms of equipment, etc. may be available to offer significant support to a large element of any future nuclear power plant build, it will not be an insignificant task to build up the required resources (skills) within the timescale for licensing and contract awards; within a period which is likely to be no longer than 5 years.

As mentioned previously, research by Cogent, the Sector Skills Council, estimates that approximately 56,000 people work in the nuclear industry in the UK, about 40,000 of them are in science, engineering and technology occupations. They conclude also that the current skills status of the nuclear industry is generally sound, although there are skills gaps, which will widen unless action is taken now.

Cogent successfully applied for funding to create a National Skills Academy for Nuclear (NSAN) in October 2006, and the NSAN was launched in January 2008. From its Photo courtesy of Alstom Power headquarters in W. Cumbria, the As part of the ‘Towards a Sustainable Skills Academy operates via a Energy Economy’ programme, the network of Regional Training EPSRC has provided funding of about Clusters. The NSAN will be employer- £1M to a ‘Nuclear Technology led and will seek to deliver a coherent Education Consortium’ to provide education, training and skills masters-level and continuing strategy, which will address the needs professional development training for of the wider nuclear industry, the nuclear industries. including decommissioning and power generation. A key part of the As mentioned above, the EPSRC has NSAN will be a brand new facility, also agreed a future collaboration on The Nuclear Academy, which is to be research and training activities in built on the Lillyhall Industrial Estate nuclear technology and engineering. in W. Cumbria. The first action is a Centre in Nuclear Engineering under the Engineering If private sector companies in the UK Doctorate scheme, with funding of proposed to build new nuclear power £5M from EPSRC and contributions stations, the industrial skills base will anticipated from private and public have to be strengthened, through sector partners. As also mentioned education and training of an existing previously, the University of and a new workforce. Clearly, this Manchester has established the will require companies to train their Dalton Institute which aims to be at own workforce and support from the forefront of nuclear education Government, universities, etc. and research.

54 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.8 • All elements of the civil • Currently, there is no UK-based Summary construction (nuclear and turbine capability in induction bending of islands, balance of plant and large diameter thick-walled pipes supporting infrastructure) could be and the UK also has limited The following gives a summary of the undertaken by UK companies. capability to supply seamless, thin status of the UK’s nuclear industry, • There are several UK-based walled stainless and alloy steel with particular emphasis on materials tubing and Ni-base alloy tubing for and manufacturing: companies with manufacturing facilities and experience capable of nuclear island applications. • In 2006, UK nuclear plants supplying a large number of the • Nuclear fission related R&D in the generated 18% of UK electricity, components required for a nuclear UK has declined steadily over the compared with 36% from gas and power plant. These companies are past 20 years or so, and since the 38% from coal. In all, the UK has world leaders in the supply of 1980’s, public investment in 12 nuclear power stations and 19 equipment to overseas nuclear nuclear fission R&D has dropped operational reactors, totalling industries and / or to non-nuclear by more than 95% and the approximately 11 GWe of capacity, energy and civil engineering industrial R&D skill base has many of which are reaching the projects. decreased by more than 90%. end of their life and are due to be • UK companies could supply • However, the UK maintains leading decommissioned. approximately 50% of the Plant nuclear materials expertise across • The UK’s nuclear industry employs and Equipment with current both the academic and industrial directly and indirectly facilities and resources, and with sectors, with key initiatives such as approximately 80,000 people in the investment, this could increase to The Dalton Nuclear Institute UK and earns the UK approximately 70% or more. (University of Manchester), the approximately £700M a year from • With increasing world demand, it EPSRC’s ‘Keeping the Nuclear overseas business. is possible that some UK companies Option Open’ (KNOO), The National Nuclear Laboratory (NNL), • The UK maintains a significant would invest to increase their scope and capacity for a UK new build the Northwest Nuclear Research capability in the design, Centre and Nuclear Fusion construction and operation of programme and for potential export. Companies which have activities associated with the nuclear power plant, and in full International Thermonuclear fuel cycle facilities, nuclear plant redirected their efforts since the last nuclear build could reinstate Experimental Reactor (ITER) decommissioning and nuclear concentrating UK efforts. waste management. facilities and skills if the business case justifies. • It will take significant effort to • The UK has full fuel cycle facilities build up the required resources for conversion, enrichment, fuel • Limited world capacity to produce critical components such as (skills) within the timescale for fabrication, reprocessing and waste licensing and contract awards; treatment, which should be capable forgings, for Reactor Pressure Vessels (RPVs), steam generator within a period which is likely to of supplying fuel(s) for a new be no longer than 5 years. nuclear build programme. pressure vessels and for primary circuit pipework, as well as large • However, the UK’s materials supply steam turbine and turbine chain(s) (plant & equipment) for generator rotors, and the associated nuclear power plant has been long lead times for such eroded quite considerably over the components, may affect the ability past 15 years or so, a consequence to deliver a UK new nuclear build of the majority of UK’s nuclear programme, unless there is some power ‘fleet’ now being between 20 investment in such capacity. and 50 year old. • Currently, no UK companies are set • It is estimated that the UK supply up to produce civil RPVs – forging chain has a strong capability in and subsequent fabrication, and most of the areas required to the largest forgings for nuclear support a new nuclear build Steam Generators, although a programme, and UK industry could proposed £70M investment in a supply around 70% of the total 15,000 tonne press at Sheffield requirements for such a Forgemasters International Ltd. programme; a little over 80% with (Sheffield) would establish this some investment and training. capability. • This capability is currently being used to support existing nuclear power plants and new fuel cycle plant, and in decommissioning and waste management activities, and to non-nuclear projects which utilise similar skills.

55 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

3.0 Nuclear energy

3.9 SWOT Analysis

The Strengths, Weaknesses, Opportunities and Threats for the UK, with emphasis on materials and manufacturing input to the civil nuclear industry are given in Table Table 3.4 3.4 below: SWOT analysis for the UK’s civil nuclear industry.

Strengths Weaknesses

• Significant capability in design, construction and • No significant nuclear power plant build in the UK operation of nuclear power plant, and in full fuel cycle since Sizewell B. facilities, nuclear plant decommissioning and nuclear waste management. • Significant investment will be required to reinstate and / or develop capabilities to supply some critical • World leading companies currently supplying to marine components. nuclear and overseas civil nuclear industries. • No UK companies set up to produce civil RPVs – • World leading companies currently supplying to sectors forging and subsequent fabrication, and the largest such as Oil & Gas, Defence, Chemicals and forgings for nuclear Steam Generators. petrochemicals, which require similar capabilities and skills. • No UK-based capability in induction bending of large diameter thick-walled pipes and limited • Companies with experience in supplying to previous capability in the manufacture of seamless, thin- nuclear power plant builds. walled stainless, alloy steel and Ni-base alloy tubing. • World leading nuclear materials expertise across both the academic and industrial sectors. • Steady decline of nuclear fission related R&D.

Opportunities Threats

• The private sector (utilities) appears to have a • Competition from overseas suppliers already in commitment to nuclear power in their future energy nuclear power plant supply chains. portfolios. • Lack of investment in manufacturing capabilities; • Possible that some UK companies would invest to in particular, those associated with the increase their scope and capacity for a UK new build manufacture of large forgings, seamless stainless programme and for potential export (eg, proposed steel and alloy steels, and large diameter investment in 15,000 tonne press at Sheffield pipework bending. Forgemasters International Ltd.). • Significant effort needed to build up the required • Companies could reinstate facilities and skills if the resources (skills) within the timescale for business case justifies. licensing and contract awards.

56 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

57 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

58 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

4.1 The Wind Power Market Opportunity

The global installed wind generating capacity is now approximately 78,000 MW, compared with just 100 MW in 1980, with approximately 16,000 MW of new capacity to be installed in 2007 (Figure 4.1), and with annual global manufacturing market of €20 billion annually, increasing at about 33% per year. Overall, global demand will increase to approximately 24,000 MW per annum in 2020.

In 2006, approximately half of the new capacity installed globally was in Europe, with a total of 7,558 MW of new wind power capacity, an increase of 23% on 2005. Europe’s cumulative total has now reached more than 48,000 MW of installed wind generating capacity (see Figure 4.2).

Figure 4.1 - Global wind power capacity increase by year. (Courtesy of Emerging Energy Research: http://www. emerging-energy.com/ emerging_markets.html).

Figure 4.2 - Installed wind generating capacity in Europe at the end of 2006 (Courtesy of the European Wind Energy Association (EWEA): http://www.ewea.org).

59 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

Wind power is currently supplying approximately 1.5% of the electricity generated in the UK, with approximately 2,200 MW of installed capacity as of August 2007, with almost one third of this capacity being installed in 2006 (see Table 4.1 and Figure 4.3).

However, the pace at which wind generating capacity is being installed is increasing rapidly, and there is Table 4.1 - UK wind generating capacity installed in 2006. currently 1,400 MW of new capacity under construction, 557 MW of which is offshore (see Table 4.2).

The UK Government’s announcement in December 2003 that it intended to raise the level of Figure 4.3 - Status of UK the Renewables Obligation (RO) wind farm development (Courtesy of the British beyond the 10.4% set for 2010/11, to Wind Energy Association increase year on year to 15.4% in (BWEA): http://www. 2015/16, and with an aspiration of bwea.com/ukwed/ 20% by 2020, greatly improved the google.asp) investment case for wind. The UK’s wind resource is immense, and the combined potential for offshore and onshore wind generation is estimated at 100 GW. Most commentators believe that wind power will supply approximately three quarters of the 10% renewables requirement by 2010 – ie, approx. 7-8,000 MW.

The UK has the best offshore wind resources in the world and offshore wind power development is now a key part of UK’s renewable policy. In order to regulate the development of offshore wind, the Crown Estate, the body which controls the coastal waters around the UK, conducted two rounds of offshore licensing. In the first of these, Round 1, applications were invited to develop wind farms consisting of up to 30 turbines, and thirteen licences were awarded (with a total capacity of approximately 1500 MW).

Round 2 of the Crown Estate’s licensing allowed proposals for wind farms of unlimited size, with fifteen Table 4.2 - Status of UK wind farm development (data from UK Wind Energy Database (UKWED), projects given initial approval (with a British Wind Energy Association (BWEA)). total of 7,169 MW). Maps showing Rounds 1 and 2 wind farm locations are given in the Wind Power Appendix.

60 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.2 The Wind Turbine Market

The world’s four largest turbine manufacturers supplied almost 75% of all global capacity installed in 2006 and the top six manufacturers supplied approximately 90% of all capacity (see Figure 4.4 below). The world’s largest manufacturer is Vestas (Denmark) with a 28% market share. Siemens (Denmark) currently has the largest market share of the UK wind energy market with 44% of all new, Table 4.3 – World offshore wind capacity (from ‘Scroby Sands Supply Chain Analysis’, A Report to Renewables East installed capacity (see Table 4.4), by Douglas-Westwood Limited and ODE Ltd., Commissioned by the DTI although of current capacity (as of DWL Report Number 334-04, July 2005). August 2007), approximately 40% was installed by Vestas (including A total of 8.4 GW of offshore wind In addition to large scale wind power NEG Micon turbines). capacity is forecast for installation generation, the DTI estimated that by over the period to 2009 and the UK is 2050, up to 6% of UK's electricity forecast to have one third of all generation could be produced from capacity installed in the period from small wind energy generation. 2004-2009 (see Table 4.3 above). Table 4.4 - Turbine Manufacturers – UK market share or market position. As mentioned above, the global wind (Courtesy of BVG Associates Ltd. – ‘WindSupply’). energy market is expanding rapidly and is creating opportunities for employment through the export of wind energy goods and services. Currently, the global wind industry has an estimated annual turnover of £5.5 billion, 84% of which is based in Europe. In the UK, wind energy is the fastest growing energy sector and over 4,000 jobs are sustained by companies working in the sector. The DTI estimated that Round 2 of offshore wind developments alone could create an additional 20,000 jobs in the UK.

A recent report by AEA Energy & Environment for Scottish Enterprise identified products and services Figure 4.4 - Wind turbine manufacturers global market share in 2006. (Courtesy of BTM Consult ApS). which Scottish companies could offer to the wind power industry, with a Note: potential market of more than £3.3 In ‘Others’, Spain’s Ecotècnia was billion in the UK to 2012 (http:// acquired by Alstom www.scottish-enterprise.com). The in June 2007. value of construction was estimated at £1,440M, whilst product development alone was estimated at £320M, turbine components at £1,360M and operation and maintenance at £200M. The report also indicated that growth in the sector is out-stripping the supply of turbines, thus creating opportunities for UK-based (in this case Scottish) companies to gain market share. This will be discussed in more detail in a later section of this report.

61 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

A brief overview of some of the major wind turbine manufacturers, with emphasis on those currently most relevant to UK projects, is given below. Many of the leading manufacturers are based (headquartered) in Europe (Denmark, Germany and Spain) and have production facilities and/or sales offices in other countries. However, top ten companies are also based in the US and India. Currently, there are no indigenous (UK-based) wind turbine manufacturers and only one major manufacturer, Vestas, has any significant presence within the UK.

Vestas Wind Systems A/S (Denmark) Vestas Wind Systems, headquartered in Randers, Denmark is the world leading wind turbine manufacturer with 28% of the world market. Vestas’ core business comprises the development, manufacture, sale, marketing and maintenance of wind power systems that use wind energy to generate electricity and employs almost 14,000 people worldwide (see http://www.vestas.com). To the end of 2006 Vestas has installed capacity of approximately 25,000 MW and, as mentioned above, Vestas has installed approximately 40% of all current UK capacity.

Vestas has production facilities in Denmark, Germany, India, Italy, Scotland (towers), England (blades), Spain, Sweden, Norway, Australia and China. The UK-based facilities will be Siemens Wind Power is GE Wind Energy (USA) described in more detail below. headquartered in Brande, Denmark, GE is one of the world's leading wind Turbines range in power from 850 the Bonus Energy headquarters. In kW to 3.0 MW. turbine suppliers, based in Atlanta, total, Siemens has approximately Georgia, USA, and with over 7,500 6,300 wind turbines installed Vestas strategy as regards worldwide wind turbine installations, worldwide with almost 5,500 MW of comprising more than 9,800 MW of procurement is focused on key installed capacity. supplier selection and to work with installed capacity (see http://www.gepower.com). as few large, global suppliers as Siemens Wind Power is one of the possible, whilst keeping sufficient main suppliers to the UK wind capability and flexibility. GE Wind Energy’s current product industry and is expected to become portfolio includes wind turbines with prominent in the UK offshore Siemens Wind Power A/S rated capacities ranging from 1.5 to market. Key relevant in-house 3.6 MW, and support services ranging (Denmark) manufacturing locations are at from development assistance to Siemens Wind Power was created Brande (nacelles and hubs) and operation and maintenance. With from the acquisition of Bonus Energy, Aalborg (blades), both in Denmark. in-house manufacturing facilities in the fifth largest turbine manufacturer In 2005, Siemens also acquired Salzbergen, Germany (nacelles & in the world with annual sales of Winergy (Germany), one of the hubs), Noblejas, Spain (nacelles & over $350M, and currently employs gearbox suppliers to the industry. All hubs), and the USA, Canada and more than 2,300 people (see http:// components are brought in and China, GE is a global provider of www.siemens.com/powergeneration/ assembled in-house (in Denmark). wind turbines and is pursuing windpower). Turbines range in power from 1.3 to opportunities in the UK. 3.6 MW.

62 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

REpower Systems AG (Germany) Gamesa Eólica S.A. (Spain) Suzlon Energy (India) REpower Systems AG, headquartered Gamesa, headquartered in Madrid, Suzlon Energy is Asia's largest fully in Hamburg, Germany, has recently Spain is one of the world’s largest integrated wind power company. It been acquired by India's Suzlon wind turbine manufacturers. In 2006, has a subsidiary in Germany for Energy for €1.2 billion. It is one of it was ranked second worldwide in technology development, an R&D the leading manufacturers of onshore wind turbines supplied, with more facility in the Netherlands for rotor and offshore wind turbines, and then 10,000 MW installed. Gamesa blade design and tooling, and wind develops, produces and sells wind has its own design and development turbine and rotor blade turbines with outputs ranging from capability for wind turbines and manufacturing facilities in India. In 1.5 to 5.0 MW. The company also manufactures blades, root joints, 2006, Suzlon acquired Hansen provides a comprehensive service and blade moulds, gearboxes, generators, Transmission (Belgium), which maintenance range. converters and towers, besides manufactures gearboxes. Suzlon assembling the wind turbine in 29 turbines range in power from 350 REpower has manufacturing sites in manufacturing facilities (almost all in KW to 2.0 MW Husum (North Frisia) and Trampe Spain). Turbines range in power from (see http://www.suzlon.com). (Brandenburg), and has 850 KW to 2.0 MW approximately 830 employees (see http://www.gamesa.es). Suzlon Energy has no turbines worldwide. The company is installed in the UK and its markets represented in European markets Enercon GmbH (Germany) are India, China, USA, Australia and such as France, the UK, Italy, Portugal selected EU countries. Enercon, headquartered in Aurich, and Spain and in the international Germany, is Germany's leading markets of Japan, China and manufacturer of wind turbines. Clipper WindPower (USA) Australia through its sales partners, Established in 1984, Enercon Clipper WindPower was formed in subsidiaries and investments. pioneered the development of the 2001, employs 500+ people and is gearless wind turbine and large-scale headquartered in Carpinteria, CA, REpower UK, Ltd. is a joint venture manufacturing of the gearless systems with a wind turbine and with Peter Brotherhood. Ltd. began in 1993. Enercon has over manufacturing facility in Cedar (Edinburgh), which dates back to 11,000 turbines installed in more Rapids, Iowa. 2003. The company sells REpower than 30 countries worldwide, with a Systems in the UK and provides a full total installed capacity of over 12,000 The company’s 2.5 MW Liberty wind after market sales service MW (more than 60% of which is is variable speed with a unique, (see http://www.repower-uk.co.uk). installed in Germany), and employs distributed powertrain, with four approximately 8,000 people, either permanent magnet generators and Nordex AG (Germany) directly or indirectly. Enercon advanced power electronics. It Nordex AG, headquartered in turbines range in power from 330 kW develops and builds wind power Norderstedt, near Hamburg, to 2.0 MW. Enercon manufactures generating projects in the Americas Germany, has over 3,000 turbines most of its own key components and Europe, but no Clipper installed worldwide, with a total in-house (see http://www.enercon. WindPower turbines are currently installed capacity of over 3,400 MW, de). installed in the UK. and employs approximately 1,300 (see http://www.clipperwind.com/). people. Turbines range in power from Enercon has manufacturing facilities However, as will be described below, 1.3 to 2.5 MW (see http://www. in Germany (Aurich, Emden and the company has announced that it nordex.de). Magdeburg), Sweden, Brazil, India is to develop wind turbine generators and Turkey, with a further facility in the UK at Blyth. Clipper Nordex has been a developer and under construction in Portugal. WindPower have adopted a global, manufacturer of wind turbines, multiple-source supply chain with including rotor blades, since 1985. assembly close to markets. The company has offices and subsidiaries in 18 countries and is active in Europe, the US, India and China and has production facilities in Rostock, Germany (nacelles and blades) and in China (Nacelles and blades) in a market which will continue to grow in the course of the next few years.

63 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

4.3 large turbine manufacturers are now The key components which make up Structure of the UK Wind Industry based in countries where wind a wind turbine are described below industry growth is significant and (see also Figure 4.7). Most major more recent – eg, the US and India. components are common to all Before describing in detail the turbines, although design differences components of a wind turbine and In general, the 1st tier suppliers offer from manufacturer to manufacturer the component supply chains, an products or services to turbine mean that there is some variation in understanding of the structure of the manufacturers or construction specific components. wind industry is necessary. A good contractors, for example: generators, outline is given in a Scottish gearboxes, transformers, cabling, etc., Typical component weights and Enterprise document, ‘Doing Business and the 2nd tier suppliers provide costs, as a percentage of total cost with the Wind Turbine component parts to 1st tier suppliers (for a 2 MW turbine) are given in Manufacturers: Becoming Part of – eg, machined parts, fixings and Figure 4.8. Clearly factors such as Their Supply Chain’, July 2006. This electrical components. turbine size and tower height, is summarised below in Figure 4.6. onshore vs. offshore, etc. affect the 4.4 relative weights and costs. Wind Turbine Technology Suppliers of major components for the main wind turbine manufacturers Wind turbines have increased in size are given in Table 4.6, below: from a maximum of approximately 50 kW in 1980 to 5 MW today, with even larger turbines under development. The expected increase in average turbine size is shown below in Table 4.5 below, which also shows the increased turbine size associated with offshore generation as compared with onshore generation.

Figure 4.6 - Outline of the structure of the UK’s wind power industry (based on information in the Scottish Enterprise document: ‘Doing Business with Table 4.5 - Average turbine size to 2012 (information from BVG Associates Ltd.). the Wind Turbine Manufacturers: Becoming Part of Their Supply Chain’, July 2006).

Wind farm owners are often utility companies, although smaller projects can be owned by private companies. The wind farm operators are responsible for the day-to-day operations and maintenance of the Table 4.6 – Supply of major components to the Notes: wind farm, and some specialist world’s largest wind turbine manufacturers (from Towers are often manufactured locally in the country operating companies exist. It should ‘Supply Chain: The Race to Meet Demand’, in ‘Wind of installation. be noted that some organisations Directions’, Jan/Feb 2007, pp. 27-34). Names in bold indicate in-house supply or ownership of supplier by turbine manufacturer. may also be both owners and REpower is now owned by Suzlon. operators. Wind farm developers are primarily responsible for planning through construction, often to final completion. Developers may also offer operations and maintenance services.

The turbine manufacturers supply the wind turbines and, as mentioned above, the market is dominated by several large players. The largest manufacturers are based in countries where the wind industry has seen massive growth over the past twenty years or so, namely Germany, Denmark and Spain, although some

64 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Figure 4.7 - Major components of a wind turbine (from the Scottish Enterprise document: ‘Doing Business with the Wind Turbine Manufacturers: Becoming Part of Their Supply Chain’, July 2006). (Courtesy of Scottish Enterprise: http://www.scottish-enterprise.com/).

4.4.1 The Nacelle

When applied to a wind turbine, the term nacelle does not describe an individual component, but instead it houses the main components within its fibreglass cover. However, the nacelle cover itself is made of glass fibre reinforced plastic (GRP). The yaw and pitch systems within the Figure 4.8 – Approximate weights and costs of wind turbine components. (Courtesy of BVG Associates Ltd.). nacelle automatically rotate the nacelle so that the turbine rotor is facing directly into the wind, and adjust the angle of the blades, 4.4.2 Rotor Blades The rotor blades for wind turbines are respectively. The major components, manufactured on a global basis and within and external to the nacelle, most wind turbine manufacturers are described in more detail below, Large, modern wind turbines are three-bladed designs and most rotor now have blade manufacturing but additional components within facilities close to final turbine the nacelle include: blades are made of glass fibre reinforced plastic (GRP), which are assembly points. This globalisation is usually based on either polyester or largely due to the fact that blades are • Nacelle bed plate – large cast part large and, therefore, difficult and on which major components sit. epoxy resins. New materials such as carbon fibre or aramid (Kevlar) are expensive to transport, although • Main bearing (in most cases) – has also being introduced as reinforcing factors such as minimum local to withstand varying loads materials, which is enabling larger content may also apply, as is the case generated by the wind. blade sizes. In addition, more in China, where a local content of at • Main shaft (in most cases) – traditional and natural materials such least 70% is demanded. transfers rotational force of the as birch and balsa woods are also rotor to the gearbox. used as blade reinforcing materials, Wind turbine manufacturers have three main strategies for sourcing • Brake system – disc brakes to stop although their application is rotor blades, which are: (1) to design the rotor when needed. currently not widespread. and manufacture in-house, (2) to • Yaw system (sensors, motors, The rated power of the turbine varies design in-house and then out-source gearboxes, pinions) – rotates the with the square of the length of the blade manufacture, and (3) to nacelle to face the wind. blades; hence, the drive to larger and cooperate with a third party in the • Control and power panels (power larger turbines. A typical 2 MW blade design and development and converter) turbine would have blades of then outsource the manufacture to the development partner. • Sensors, cabling approximately 40m in length, whilst the blade length for a 5 MW turbines • Cooling systems is a little over 60 metres, and weighs • Maintenance equipment 18 tons (the LM 61.5 P).

65 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

There is a clear tendency to manufacture in-house (see Table 4.7) to protect intellectual property and to secure the supply chain. However, the world’s largest blade manufacturer is the Danish company LM Glasfiber, which is not a turbine manufacturer, and which has eight Table 4.7 - Blade suppliers for the major turbine manufacturers. (Courtesy of BTM Consult ApS). manufacturing facilities around the world (with more announced) and has approximately 27% of the global market. Figure 4.9 – A wind turbine rotor hub. 4.4.4 (Courtesy of ‘WindSupply’: Gearboxes Recently, there have been some issues http://www.windsupply.co.uk/). associated with the supply of rotor Power from the rotation of the wind blades, with demand outstripping turbine rotor is transferred to the installed capacity and through a generator through the power train, shortage in carbon fibre necessary for usually consisting of a main shaft, the larger blades, in particular. gearbox and high-speed shaft. A However, with a number of new gearbox converts the slowly rotating, blade factories being planned around high torque power from the wind the world and an increase in global turbine rotor into high speed, low carbon fibre capacity, the supply of torque power, which is used for the rotor blades should not be an issue in generator. Gearboxes for the wind the coming years. industry have been supplied for many years by a relatively small list of manufacturers (Table 4.8). 4.4.3 Rotor Hubs and Other Large Figure 4.10 – A wind turbine nacelle bedplate Only Enercon and Clipper Castings casting. (Courtesy of ‘WindSupply’: Windpower avoid a gearbox by using http://www.windsupply.co.uk/). a direct drive concept. Thus, 90% of The rotor hub is typically made from the market demands gearboxes, and SGI (Spheroidal Graphite cast Iron) as such gearboxes are currently and weighs approximately 6-10 identified as representing a supply tonnes (with dimensions of chain shortage, which may be linked approximately a 2.5 metre cube) for a to a shortage of gearbox production 2 MW wind turbine (see Figure 4.9). facilities, a shortage of large bearings The rotor blades are bolted to the (lead times of up to one year) and hub, which is generally attached to a problems with gearbox design. The low speed shaft which connects to latter has also resulted in a relatively the turbine’s gearbox. The rotor and high number of reported generator hub assembly typically rotates at failures. 10-25 rpm, with a ‘cut-in’ wind speed of 3-4 metres per second and a cut- out speed of 25 metres per second. Table 4.8 - Gearbox suppliers to the major wind The high demand for these large turbine manufacturers. (Courtesy of BTM Consult ApS) castings and SGI castings of a similar size for the nacelle bedplate (Figure 4.10), which secures the drive train, has created some supply chain issues, for the larger turbines in particular.

Note 1: This table is subject to the reservation that suppliers change regularly. Note 2: The size of delivery is a very rough estimate. Note 3: Winergy is owned by Siemens Power and Hansen is now owned by Suzlon. Note 4: Winergy, Bosch, Eickhoff, Renk and Jahnel-Kestermann (all Germany), Hansen (Belgium), Moventas (Finland), Echesa (Spain).

66 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.4.5 Generators

The generator converts the rotational, mechanical energy into electricity. The market for generators is characterised by a number of very large companies making generators for the industry as a small part of their overall business in electrical machinery (see Table 4.9). The standard arrangement today uses doubly-fed induction generators, Table 4.9 - Generator suppliers to the major turbine manufacturers. (Courtesy of BTM Consult ApS). though permanent magnet and synchronous generators are also used.

There are currently no signs of a approximately 20% (with a likely relatively mature and technology shortage in generator supply. Major range of 16-25%) of the total transfer is relatively easy, although 1st tier suppliers include: ABB (the investment. the quality standards demanded by market leader), Siemens (Germany) the turbine manufactures are high. Converteam (France, ex-Alstom Typically, the wind turbine Power Conversion), Elin EBG manufacturers will look to source Most European tower manufacturers Motoren (Germany), Hitachi (Japan), towers locally with respect to are currently working at the limit of Leroy Somer (France), Loher individual installation sites (eg, wind their capacities, but there are (Germany), VEM (Germany), and farms) or significant markets possibilities for finding local sources Winergy (Germany). In addition, a (countries). This is related to in other world markets and towers number of turbine manufacturers relatively high transportation costs are not likely to create supply make generators in-house (eg. and the fact that the technology is problems. Enercon, Gamesa, and Vestas).

4.4.6 Towers and Foundations

The tower of the wind turbine carries the nacelle and rotor. Most large wind turbines use tubular steel towers, although steel lattice and concrete towers are also used. The tubular steel towers are manufactured in roll-formed and welded sections of anywhere between 10 and 30 metres in length, with flanges at the ends, and are bolted together on the site. Tower heights and selection of tower construction materials are dependent upon factors such as cost, the rotor diameter and site wind speed conditions, and range from 50 metres for a 1 MW turbine to as high as 125 metres for the largest turbines (> 3 MW onshore), and steel towers can weigh up to 250 tonnes.

The towers are conical - with their diameter and wall thickness increasing towards the base, to increase their strength and save materials. Some of the turbine manufacturers have in-house manufacture of towers, including Vestas (see below) and Enercon. The cost of a tower for a wind turbine is

67 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

4.5 According to ‘Wind Supply’, the • the risks associated with developing UK Wind Turbine Component demand for wind power dramatically a capability for what, to date, has been intermittent and relatively Supply Chain exceeds the ability of the marketplace to supply and every major wind low volume demand – eg, for turbine supplier has some significant towers and large castings 4.5.1 Introduction problems associated with securing • the costs associated with product/ their supply chain. As a consequence, component development activities With the rapid growth in the wind lead times for delivery of wind • the procurement policies of the turbines are as long as two to two power industry, some supply chain turbine manufacturers themselves issues have arisen in major and a half years. (ie, either in-house or restricted components (eg, blades, gearboxes supply sourcing, or very low and bearings). Some turbine Currently, the UK has a very limited margin opportunities) – eg, for manufacturers have sought to address share of wind turbine & wind turbine blades & large castings. these issues by producing more and component manufacturing and more components in-house and some market leader Vestas are the only vertical integration has occurred, manufacturer to have production For example, for the Scroby Sands with turbine manufacturers acquiring facilities within the UK, with a tower wind farm, although contracts to the major component manufacturers. manufacturing facility in value of £38.8M (48%) were awarded This may have a significant impact Cambeltown, Scotland and blade from a total expenditure of on the ability of UK-based companies design and manufacturing on the approximately £80M, the highest to enter certain parts of the wind South Coast (Isle of Wight and levels of UK content were attained power supply chain, as described Southampton). Thus, with turbines within the development and below. accounting for up to 50% of wind operation phases. The primary area turbine project costs, it is important in which the UK was shown to lack As a result of the rapid growth in that UK companies are involved in capability was within activities wind power installations in the UK, supply of components to the turbine related to the manufacture and and the current supply chain manufacturers. installation of blades and nacelles limitations, the turbine (£3M of a total spend within the manufacturers are also looking to the Analysis of the supply chain for the construction phase of £28.6M). Thus, UK supply chain to satisfy demand E.ON UK plc 60 MW wind farm at the Scroby Sands project illustrates and provide some flexibility in Scroby Sands, off Caister-on-Sea, well the supply and value chain gaps sourcing. However, competition is Norfolk (see ‘Scroby Sands Supply which exist within the UK. In fact, fierce and the wind industry is a Chain Analysis’, A Report to the 48% UK-based ‘contribution’ to global industry, with global supply Renewables East by Douglas- this project would likely be lower chains, and price, quality and Westwood Limited and ODE Ltd., today, as may be the case for ongoing delivery are all important. In Commissioned by the DTI, DWL offshore projects, as some parts of the particular, for UK-based Report Number 334-04, July 2005) Scroby Sands supply chain have since developments there are very strong, concluded that the existing supply been lost. existing European supply chains and chain within the UK has the UK-based companies have little or no capability to support the majority of It is clear that unless UK-based track record in supplying to the wind activity inherent within the companies show a commitment to industry. development, construction and excellence, for what is a highly operation of an offshore wind farm. demanding and (cost) competitive However, the report also concluded industry, they will not make that the supporting supply chain for significant inroads into the offshore wind farm projects would component and manufacturing continue to evolve and would not supply chain(s). fully emerge until the market develops further. The same is also In the following sections, some true, but to a lesser extent, of examples will be given of the ongoing onshore developments. UK-based companies involved in the wind turbine supply chain and The focus of the UK’s supply chain opportunities for UK involvement for wind power projects, onshore and will be highlighted on a component offshore, has been on the projects by component basis. However, before development and service phases, doing so, some recent activity aimed with much less emphasis on the at establishing wind turbine manufacture and supply of wind manufacture itself within the UK will turbine (and tower) components. be described. This may be related to a number of factors, which include:

68 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.5.2 Wind Turbine Manufacture in the UK

In early October 2007, it was announced that the US wind turbine manufacturer ‘Clipper Windpower’ is to develop a new generation of offshore wind turbines at Blyth in the North East of England, supported by One NorthEast (£5M investment), with the New and Renewable Energy Centre (NaREC) providing engineering, testing and development Figure 4.11 - Wind rotor blade fabrication at the Vestas Isle of Wight site. services in support of the project. From: ‘Environmental Statement 2006 – Company Site. Vestas Blades, Isle of Wight, England’. Clipper Windpower will use NaREC’s (Courtesy of Vestas: http://www.vestas.com). blade test and manufacturing facilities to engineer, construct and generator units. test a prototype 7.5 MW offshore turbine (the Britannia turbine), which will be the largest offshore in 4.5.3 the world. Engineering development Rotor Blades manufactures the webs and the of the new turbine will be shared painting of blades. A company between Clipper’s Advanced As mentioned above (Section 4.4.2.), owned barge is used to carry Technology Group, based in most major turbine manufacturers materials between the sites and to Carpinteria, California, and Clipper produce blades in-house, the transport finished blades to the WindPower Marine to be based in exception being that of the major fourth site at Southampton Port, for Blyth. blade supplier LM Glasfiber, which global shipments. It is believed that supplies several of the large turbine the blades produced at Vestas’ Isle of In addition, Able UK Ltd. (Hartlepool, manufacturers. However, as also Wight facilities are exported and are Co. Durham), a ship recycling and mentioned above, there are UK blade not used in UK-based projects. demolition / reclamation company, manufacturing facilities owned by has been approved planning for the Vestas (see below). Vestas Blades (previously NEG Micon) development and expansion of its has been based at the St Cross Teesside Environmental and Vestas Blades UK (Isle of Wight Business Park in Newport since October 2001, and in 2004, new Recycling Centre (TERRC) facility at and Southampton) Seaton Port, Hartlepool. The production lines and an international application includes the construction The main activity of Vestas Blades, training facility were established on of three new quays, with deep water Isle of Wight (Vestas Blades UK) is the the Cowes Waterfront. Funding for access, a dry dock and a proposal for production of 40 metre turbine both facilities was provided by the facilities for the manufacture of wind blades (Figure 4.11). Each blade Regional Development Agency turbine towers and blades, as well as comprises a web which is glued SEEDA (South East England the assembly of wind turbine between two blade shell sections. The Development Agency), and the main components of the blades are combined facilities employ 570 wood (birch and balsa), carbon fibre people. and fibreglass infused with epoxy resin. After joining the two blade Vestas has global, strategic supply halves, the blade is finished and agreements in place which cover painted. All fabrication is carried out most of the materials used by Vestas in-house. It should be noted that Blades UK. Information regarding although Vestas use birch and balsa materials supply was provided by in blade manufacture, this is not Vestas, and some of their suppliers, as thought to be common amongst follows: other manufacturers. • The birchwood comes from Vestas Blades UK consists of four sustainable sources in Russia and sites, two on the Isle of Wight and Finland, and the balsa from two in Southampton. The largest site, Ecuador. in St. Cross, Newport (Isle of Wight), • Epoxy resins and hardeners are manufactures the 40 metre blades. currently formulated in the UK by The site at Venture Quays, Cowes Gurit UK Ltd. (ex-SP Systems, Ltd., (Isle of Wight) concentrates on the Newport. Isle of Wight), but the production of prototype blades, raw materials are not sourced whilst the third site in Southampton within the UK.

69 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

• Glass fibre used to be supplied from the UK, but the supplier has recently moved production elsewhere. • Cast iron and aluminium are also used for brackets and fixings. • Pulltruded carbon fibre stiffening ribs, 28m and 22m in length, for blade leading edges are supplied from Fibreforce Composites, Ltd. (Runcorn, Cheshire), a fully owned subsidiary of the Finnish Exel Oyj Group. • Moulds for blade manufacture, are supplied by Solent Composite Systems, Ltd. (Cowes, Isle of Wight).

Vestas added that there is some scope for individual operations to source locally any materials which meet specifications. However, currently many materials used (wood and Figure 4.12 - Raw materials and consumables used at the Vestas, Newport, Isle of Wight site. composites) are not produced in the From: ‘Environmental Statement 2006 – Company Site. Vestas Blades, Isle of Wight, England’. UK to the scale demanded by their (Courtesy of Vestas: http://www.vestas.com). operations.

Currently, Vestas Blades has no materials supply issues, although there are some concerns regarding securing supply of some of the materials required, which is linked to the industry growth rate. Vestas is currently the world’s biggest user of carbon fibre, and in the top 10 global users of (epoxy) resin.

Summary information on raw materials and consumables used at the Isle of Wight site(s) is given in Figure 4.12 above, which is taken from a document which can be found on the Vestas website: http://www.vestas.com, ‘Environmental Statement 2006 – Company Site. Vestas Blades, Isle of Wight, England’.

It is of interest to compare equivalent raw materials use information from Figure 4.13 – Raw materials and consumables used at the Vestas Lem site in Denmark. larger manufacturing facility, in this From: ‘Environmental Statement 2006 – Company Site. Vestas Blades, Lem, Denmark’. case, the company’s main blade (Courtesy of Vestas: http://www.vestas.com). manufacturing facility in Lem, Denmark (see Figure 4.13), which has approximately three times the raw materials consumption of the Isle of Wight site. However, it should be As mentioned above, Gurit UK (ex-SP supplier of materials for blade noted that the manufacturing Systems Ltd., Newport, Isle of Wight) manufacture and also has techniques at the two facilities are supply materials for wind turbine manufacturing facilities in Magog different and the Lem site also carries rotor blade manufacture. The facility (Canada), Albacete (Spain) and Kassel out blade repairs; thus, direct is also home to Gurit’s R&D Centre (Germany). comparisons of materials and employs approximately 400 consumption cannot be made. people. Gurit is the world’s largest

70 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

In addition to those suppliers 4.5.4 ‘Converteam’ have also stressed that mentioned above, the following Rotor Hubs and Other Large in the same way as many other UK-based companies, with capability Castings components for the wind industry in the supply of GRP and carbon are sourced on a global basis, time is fibre products used in the short and the UK is not their only manufacture of rotor blades, and Large SGI castings of between 6-10 option. They are looking for multiple listed in the ‘Envirolink Northwest tonnes are required for rotor hubs suppliers and are working with BERR Supply Chain Directory 2007’, were and nacelle bed plates, and as to assist with investment contacted: Formax UK Ltd. mentioned above, there are some opportunities. (Narborough, Leics.), Production supply chain issues, for the larger Glassfibre Ltd. (Kirkcaldy (), turbines in particular. The supply of 4.5.5 such castings to the wind industry Accrington (Lancs.), Wilstead, Gearboxes and Generators (Bedfordshire), Fothergill Engineered from UK suppliers is minimal; a Fabrics Ltd. (Rochdale, Lancs.), consequence of intermittent demand Entry into the supply chain for Brookhouse Composites Ltd. and low margins; the latter expressed gearboxes and gearbox components (Darwen, Lancs.) and Harviglass GRP by Coupe Foundry, Ltd., Preston, is considered to be extremely Ltd. (Hyde, Cheshire). Lancs. and others. In addition, the difficult. The industry has From the responses of these wind turbine manufacturers have experienced very long lead times for companies, all of which are believed sought local sourcing - ie, local to the some of the major gearbox to be capable as regards supply into nacelle assembly facilities and, components (in particular), the wind turbine rotor blade therefore, typically within mainland bearings, and a result, some of the manufacture, the common themes Europe. For example, Vestas has its turbine manufacturers have brought appear to be that they have either own ‘Windcast’ foundries. gearbox manufacture in-house supplied, and are no longer doing so, through acquisitions. or have never supplied into the Clearly, there are a number of UK market, because of low margins/ foundries which are capable of As mentioned above, ‘Converteam’ prices, and the buoyancy of other producing these castings, although have developed direct drive markets – specifically the aerospace the quality and service of UK permanent magnet and induction sector. suppliers has been questioned. However, if the requirements of generators (so-called second generation generators), which will In the recent past, issues with the service, quality and price can be met, reduce the number of parts required supply of carbon fibre, linked to the and with relatively high in a wind turbine and will eliminate high demand from the wind and transportation costs, it would appear the need for gearboxes, in particular; aerospace industries, in particular, to make sense for the turbine gearbox failure being one of the most has caused blade delivery delays. manufacturers to source locally to significant causes of turbine failure. However, this problem is now being installations for such high mass ‘Converteam’ employs 3,800 people addressed by carbon fibre components. worldwide and has operations in 16 manufacturers (not UK-based) with countries, including a major the installation of additional (and In addition to the demand for these manufacturing facility and the capital intensive) capacity. large hub and bedplate castings, recent developments in direct drive company’s development centre, in Rugby. The concerns regarding supply of turbines using permanent magnet carbon fibre also prompted Vestas to (Fe-Nd-B) and induction generators Converteam’ is also developing ‘third sign a long-term strategic deal with will lead to a new demand for very generation’, high temperature super- the carbon fibre producer Zoltek (St. large castings for generator housings. conducting direct drive generators Louis, MO, USA, with a carbon fibre Further details on these with support from BERR, which will facility in Hungary), to supply carbon developments by ‘Converteam’ lead to reduced generator unit sizes fibres for wind turbine blades. (ex-Alstom Power Conversion), a leader in the field of power and be capable of pushing the power conversion (high voltage motors, output to 10 MW in a direct drive drives, automation and process turbine. control, etc.) will be given below.

‘Converteam’ estimate that in 2008, they will need two SGI castings per week, with dimensions 4.7 metres diameter by 3.5 metres long, and requiring a 25 tonne pour, in addition to castings for the rotor and bedplate. This demand is anticipated to rise to the equivalent of 4.5 castings per day by 2011, again in addition to the rotor and bedplate castings.

71 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

4.5.6 Table 4.10 - Estimate of the number of wind turbine Towers and Foundations towers required in the UK. (Courtesy of BVG Associates The existing tower manufacturing Ltd.). capability within the UK is relatively small scale, under-invested and mainly located on the West Coast – ie, not well placed for east coast offshore. Also, UK tower manufacturers have suffered from intermittent demand from the UK wind market.

According to BVG Associates Ltd., Siemens - has previously purchased Currently, one turbine manufacturer, and based upon the number of wind towers in UK, and is again Vestas, has a tower facility in the UK farms both consented and in interested in discussions regarding and Camcal Ltd. manufacture towers planning, between two and four manufacture within the UK, once at its facility in Stornoway (see thousand wind turbine towers are suppliers have demonstrated below). Also, Isleburn Mackay and required in the UK over the next five capability. McLeod Ltd. (Evanton, Ross-shire, years; for both offshore (mainly East Vestas – as mentioned above, Scotland) has manufactured both Coast) and onshore wind farms (see currently has its own tower facility monopiles and towers for offshore Table 4.10). in Campbeltown, Scotland, wind farms. although 50% of the UK sourced At approximately 200 tonnes per towers are manufactured in In addition, there are a number of tower, the low estimate gives mainland Europe. UK-based companies active in seeking approximately half a million tons of Nordex – has previously purchased opportunities within the wind tower steel for the towers alone. The towers in UK and has recently and foundation supply chain – for foundations, steel monopiles, requested expressions of interest example Able UK, Ltd (Billingham, transition pieces, etc. will likely from UK suppliers, and has made it Teesside) and Sheffield Forgemasters, double this requirement. However, clear that towers are the major Ltd., the latter being at the towers are regarded as being a requirement as regards UK development stage of a novel A-frame commodity component, and sourcing. and mono-pile steel sub-structure for offshore wind turbines. technology transfer perhaps easier REpower – has advised that towers than for most other turbine are the major requirement as components. In addition, as regards UK sourcing. The company UK-based companies may also look mentioned above, tower transport has purchased 5 MW offshore to supply tower internal components, costs to the UK can be high – as high towers from UK, but all other such as ladders, platforms, electrical as £20k for transportation to the UK towers are imported fittings, etc., which currently use from mainland Europe. Thus, the components imported from the Enercon – currently imports all turbine manufacturers are looking to continent for towers installed in the towers and has not expressed any source locally, and the following UK. interest in sourcing within the UK. information from the leading Enercon makes some towers both manufacturers is taken from a internally and using a dedicated Vestas Towers, Campbeltown presentation given at a ‘WindSupply’ sub-contractor. (Scotland) Steel Tower Forum, held in May 2007: Gamesa – currently imports all towers, but has expressed an The core business of the Vestas’ interest in sourcing towers in the facility in Cambeltown, Scotland is to UK. Gamesa make some towers fabricate towers and foundations for using a dedicated sub-contractor. wind turbines from steel plates (up to GE Wind Energy - currently imports Grade 355 strength level), by rolling towers, but has expressed interest and welding into tower sections. in sourcing towers in the UK. Each tower section is surface treated on-site using shot blasting, metallising and painting processes and is eventually fitted with tower internals prior to final inspection (Figure 4.14). If the turbines are for onshore applications, the foundations, which constitute a relatively simple steel ‘can’ (tube), which is then filled with concrete, are also produced at the Campbeltown facility.

72 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Until the end of 2006, the site was Historically, steel has been sourced All brackets and sub-assemblies for also home to a nacelle assembly from Spain, Poland, Denmark and the internals of the towers are facility, with all components being the UK, although because of recent shipped in from Denmark, and imported from Denmark, but lead-time issues with supply from Campbeltown simply orders parts operations were discontinued in Spain, Vestas are now working closely based on the number of towers they December 2006, and production of with the Corus Plate Processing have to build. As such, there is nacelles was moved back to Centre at Bellshill, Lanarkshire and currently no opportunity for local Denmark, as it was not deemed to be Brown McFarlane Ltd., Stoke. suppliers. cost-effective to produce them in the However, a tender process is used for UK. each contract and if suppliers can Summary information on raw meet all requirements they will be materials and consumables used at The £9.5M purpose-built facility is considered for future contracts. the Campbeltown site is given in leased from Argyll and the Isles Figure 4.15 below, which is taken Enterprise and Vestas also invested Additional information regarding from a document which can be £2.8M in production machinery. The materials supply was provided by found on the Vestas website: facility became operational in 2002 Vestas, as follows: http://www.vestas.com, and now employs 125 people. Vestas ‘Environmental Statement 2006 – were encouraged to locate in • Hempel (Denmark) are the sole Company Site. Vestas Towers and Campbeltown by the facility leasing supplier of coatings / paints to Nacelles, Campbeltown, Scotland’. arrangement brokered with the Local Vestas wind turbines. Enterprise Company and by a • Welding wire and rod is sourced commitment by plc to locally; SAW welding consumables further expand their already large are sourced from Oerlikon. portfolio of wind farms in the Kintyre area and elsewhere in Scotland.

Figure 4.14 – Tower fabrication at the Vestas Campbeltown site. (Courtesy of Vestas: http://www.vestas.com) From: ‘Environmental Statement 2006 – Company Site. Vestas Towers and Nacelles, Campbeltown, Scotland’. Figure 4.15 - Raw materials and consumables used at the Vestas Campbeltown site. From: ‘Environmental (Courtesy of Vestas: http://www.vestas.com). Statement 2006 - Company Site. Vestas Towers and Nacelles, Campbeltown, Scotland’.

Amongst the key projects supported by the Campbeltown facility have been the two 30 wind turbine, 60 MW contracts for the North Hoyle Offshore Wind Farm (Rhyll), and the Scroby Sands offshore wind farm, a project that was worth €100M.

Currently, the facility manufactures between 8 and 10 tower sections per week, with each section weighing around 40 tonnes, and each tower being made up of 2-4 sections (ie, up to 160 tonnes). The site supplies 100-170 towers per annum for Vestas (Courtesy of Vestas: http://www.vestas.com) projects in the UK and overseas. Figure 4.16 - Raw materials and consumables used at the Vestas Varde site in Denmark From: ‘Environmental Statement 2006 – Company Site. Vestas Towers, Varde, Denmark’.

73 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

Despite the clearly identified wish of 4.5.7 As regards materials related activities: the turbine manufacturers to source Marinisation of Offshore Wind within the UK for UK-based projects, Structures • QinetiQ, BAE Systems Ltd. and some of the manufacturers see UK Vestas continue to work on companies as being more risk-averse breakthrough radar absorbing To reduce maintenance and extend than their current suppliers and in materials technology, applicable to operating life, it is essential that many instances require some turbine blade materials, and which offshore wind turbine structures are investment to be made as the latest could see considerable exploitation protected against the harsh marine manufacturing technologies are not on a global scale. These activities (salt spray) environment. As being used. In addition, quality has are supported by the Technology mentioned above, Hempel (Denmark) Strategy Board (TSB) Collaborative been questioned. supply coatings to Vestas Towers in R&D Programme. Scotland, and Hempel are the #1 The UK has a long tradition of • A relatively new programme has supplier of coatings for wind supplying structures and service to been initiated at NPL entitled: turbines, supplying almost all major the offshore sector, and so for the ‘Enabling the next generation of turbine manufacturers. However, offshore market, in particular, would structural health monitoring’ there are a number of other appear to be more than capable of (application to wind turbines). companies with the capability to supplying to the wind industry. • Various activities are ongoing at supply to the wind industry, However, because of the intermittent the Advanced Composites including Leighs Paints (Bolton) and demand, UK-based companies want Manufacturing Centre (ACMC) at International Paints (Darwen, to see long-term commitment & the University of Plymouth, which Blackburn). growth potential – ie, they want to are related to rotor blade materials see how the business can be as follows: 4.6 profitable. - Manufacture and Performance UK R&D Activity in Wind Power of Wind Turbine Blades. (EPSRC Materials CASE Award with Vestas Blades Camcal Ltd. (2006-2009)). (Stornoway, Isle of Lewis) As part of the EPSRC’s SUPERGEN - Production of Off-Axis project, there is a ‘Wind Energy Thermoplastic Composite Pre- Technologies Consortium’ (which Camcal, Ltd. is perhaps the best preg. (Technology Strategy Board includes activities based on Collaborative R&D Programme known of the UK-based wind tower ‘Structural Loads and Materials’), (2005-2007)), partners: IMT, manufacturers. which focuses on improving the life QinetiQ, Pultrex, EPM of components. Technology, St-Gobain Vetrotex. Camcal focuses on making tubular An extensive list of wind energy R&D structures and will service other - Moisture Transport and activities can be searched at the UK fabricators that require tubulars, Absorption. (Vestas Blades, Energy Research Centre (UKERC) usually 1200mm in diameter and ongoing). Research Atlas (specifically the larger, or work directly with clients. Research Register) (http://ukerc.rl.ac. • The University of Southampton is Camcal will also produce complete also engaged in activities with uk/ERA001.html). structures which require a large Gurit, UK. tubular or rolled shape content. Work The New and Renewable Energy • Other materials based Technology such as wind turbine towers, tubular Centre (NaREC), established in 2002 Strategy Board supported activities piles, etc. and structures that are large by the Regional Development Agency include: in weight and size are also well suited (RDA) One Northeast, as a Centre for to the facility due to its export - Corus: ‘Cost Reduction and Life Excellence for new and renewable Extension of Offshore Wind facility- the facility has open energy technologies, and based in Farms’ (CORLEX). quayside access that connects directly Blyth, Northumberland, has a (full) to the open sea. - Garrad Hassan & Partners: rotor blade testing capability. As ‘Finite Element Modelling of mentioned above in Section 4.5.2, Rolling and shaping plates is Offshore Wind Turbine Support the US wind turbine manufacturer Camcal’s core business and the Structures’. ‘Clipper WindPower’ is to develop a facility is designed to process up to prototype 7.5 MW offshore turbine, 1,000 tonnes of steel per week. Steel with NaREC providing engineering, plate (grade S355) up to 100mm in testing and development services in thickness and plate widths up to support of the project. 4.0m can be rolled, and tubes of up to 7.0m diameter can be rolled and single tube lengths of up to 100m in length can be accommodated in the facilities’ main hall.

74 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.7 • With rapid growth in the wind Summary power industry, some supply chain issues have arisen in major components (eg, blades, gearboxes The following gives a summary of the and bearings). status of the UK’s wind power industry, with particular emphasis on • Some turbine manufacturers have materials and manufacturing: sought to address these issues by producing more components • Wind power is currently supplying in-house and some vertical approximately 1.5% of the integration has occurred. This may electricity generated in the UK, have a significant impact on the with approximately 2,200 MW of ability of UK-based companies to installed capacity as of August enter certain parts of the supply 2007, with almost one third of this chain. capacity being installed in 2006. • Some wind turbine manufacturers • However, the pace at which wind are looking to the UK supply chain generating capacity is being to satisfy demand and provide installed is increasing rapidly, and some flexibility in sourcing. there is currently 1,400 MW of new • To make significant inroads into capacity under construction, 557 the component and manufacturing MW of which is offshore. supply chain(s), UK-based • The UK has the best offshore wind companies must show a resources in the world and offshore commitment to excellence, for wind power development is now a what is a highly demanding and key part of UK’s renewable policy. (cost) competitive industry. • In the UK, wind energy is the • There are a number of UK fastest growing energy sector and foundries capable of producing over 4,000 jobs are sustained by large castings for rotor hubs and companies working in the sector bedplates, and recent developments and Round 2 of offshore wind in direct drive turbines using developments alone could create permanent magnet and induction an additional 20,000 UK jobs. generators will lead to a new demand for very large castings for • Competition within wind industry, generator housings. particularly in Europe, is fierce and the wind industry is a global • At approximately 200 tonnes per industry, with global supply chains, tower, turbine manufacturers are and price, quality and delivery are looking to source locally, which key. should create opportunities for UK-based companies, although • There are no indigenous UK-based some investment in the latest wind turbine manufacturers, technologies will be needed. although one of the World’s leading manufacturers has • The UK has a long tradition of manufacturing facilities in the UK supplying structures and service to and another has a sales and the offshore sector, and so should development joint venture with a be more than capable of supplying UK-based energy sector supplier. to the offshore wind industry. • Currently, the UK has a very • There are some materials based limited share of the wind turbine & R&D activities focused on the wind wind turbine component power industry, primarily manufacturing market and with composites related, and the UK has turbines accounting for up to 50% a capability to test large turbine of wind turbine project costs, it is rotor blades. important that UK companies are involved in supply of components to the turbine manufacturers. • However, here are significant gaps in the UK supply chain for wind turbine manufacture and wind turbine components.

75 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

4.0 Wind power

4.8 SWOT Analysis

The Strengths, Weaknesses, Opportunities and Threats for the UK, with emphasis on materials and manufacturing input to the wind industry are given in Table 4.11 Table 4.11 below, and includes some of the SWOT analysis for the UK’s wind energy industry. SWOT analysis of the DTI Summary Report: ‘Renewable Energy Supply Chain Gap Analysis’, January 2004.

Strengths Weaknesses

• Significant capability in services followed by • Manufacture of wind turbines and specialists manufacture and supply of electrical and electronics components – no major wind turbine equipment. manufacturer based in the UK and the majority of • Significant number of UK-based project developers wind turbine components are imported. denotes interest in the market and is important because • UK suppliers have little or no track record in the they drive demand. Opportunities for UK depend upon manufacturing of wind turbine components, and the companies’ procurement strategy and the access UK so experience difficulties in becoming preferred suppliers have to the relevant procurement routes. suppliers. • Structures and offshore structures fabrication, in • Major turbine manufacturers have established particular. supplier relationships and have undertaken some • Experience exists across a range of industry sectors with vertical integration. similar skills applicable to the wind sector such as oil • Difficulty in contributing to new turbine design and gas, aerospace and shipbuilding. (well established) • Presence of rotor blade facility of a major turbine • Time is short to demonstrate capability in manufacturer (Vestas) component manufacture – margins low, quality • Some wind tower manufacturing capability, including a requirements are high and some investment in Vestas site. new technologies needed. • Suitable manufacturing sites close to points of use - largely linked to offshore capability.

Opportunities Threats

• Fierce competition from overseas suppliers • The Renewables Obligation and UK Government already supplying to major turbine commitment means that there is a commitment to wind manufacturers. power in the UK. • Installation of component manufacturing • There is a very significant market. capacity in lower cost, developing countries, • The offshore pedigree of UK companies could mean which can supply into the UK. significant opportunities in offshore wind farm • Lack of investment in component manufacturing construction. capabilities. • Maintenance and service and related equipment linked • Planning system delaying approvals for wind to offshore skills. farm developments. • Manufacture of high mass and size components with high transport costs, such as towers, blades, hubs, rotor shafts • New technology introduction, such as next generation, direct drive generators.

76 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Wind power appendix

Figure A4.1 - Offshore wind farm locations from Round 1 of the Crown Figure A4.2 - Offshore wind farm locations from Round 2 of the Crown Estate’s offshore licensing. Estate’s offshore licensing.

77 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

78 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

5.0 Wave and tidal energy

5.1 However, some of this will prove The Carbon Trust’s Marine Energy The Wave and Tidal Power impractical to harness and estimates Challenge (MEC) estimated that 3 Market Opportunity of economically recoverable wave GW of wave and tidal stream energy suggest that wave energy capacity could be installed by 2020, devices could contribute more than generating approximately 8 TWh/y of 50TWh/y of the UK’s energy. electricity, which represents 2.1% of Estimates for the electricity supply in 2020. Estimates Wave power is much more are that 7.8 TWh/y of this 8 TWh/y amount of wave predictable than wind power and resource is near-shore and 0.2 TWh/y energy in the world increases during the winter, when the is shoreline wave energy. The MEC electricity demand is at its highest. suggests that this capacity would vary significantly, Around the UK, which has constitute a substantial proportion of approximately 35% of Europe’s total between 1.0 GW and 2.5 GW each of from 8,000-80,000 wave resource, the waves with the wave and tidal energy expected to be greatest energy are situated off the installed across Europe (see Figure 5.2 TWh/y, although northwest coast of Scotland, where overleaf). the power (energy per second) that which is averages almost 50kW per metre and As is the case for wave power, tidal can reach 90kW per metre (see Figure and current stream are both convertible to 5.1). predictable and consistent. However, the longer term potential for tidal electricity has been Seas off the southwest coast of energy worldwide is probably still England are also high in potential. unknown and estimates from estimated to be Wave energy is highest in open seas, different sources are quite varied. For and this energy is reduced as the example, a European Commission between 2,000 and waves move closer to shore, such that Joule project reported by Statkraft in by the time the wave hits the shore, Norway, estimated that more than 4,000 TWh/year. it is estimated that it has lost 90% of 1000TWh/y can be produced, with its original energy. Therefore, to half of this being available in the EU. For the UK, a maximize recovery of wave power, It is estimated that the UK possesses any wave power devices should approximately 50% of Europe’s tidal practical generating ideally be located offshore, before the resource. The UK total resource has capacity of waves lose energy in shallower been estimated at approximately waters. 110 TWh/y, with approximately 22 700TWh/y has been TWh/y, being technically recoverable, thus representing approximately 6% quoted, almost of the UK’s electricity demand (Black & Veatch report to the Carbon Trust, double today’s 2005). Figure 5.1 - European annual average wave power electricity kW/m of crest width (from ‘World Offshore In the short-term, the market Renewable Energy Report 2004-2008’, Douglas opportunities for tidal turbine power consumption. Westwood, Ltd, 2004). have been forecast at a total capacity of 20.9 MW over the period 2004-2008, made up of 15.4 MW from tidal current turbines and 5.5 MW from tidal stream generators. In addition, the forecast for the UK was 17.4 MW out of the 20.9 MW total, or 84% of the total.

79 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

5.0 Wave and tidal energy

The 2003 Energy White Paper indicated that wave & tidal technologies will be commercially available by 2010-2015 and that they will have a significant role to play in the UK’s energy provision to 2020, and a report to the DTI (‘Renewable Supply Chain Gap Analysis’, DTI, January 2004) suggests that a range of between 1400 MW and 4500 MW of installed capacity using marine energy technologies will be deployed by 2020.

Thus, the wave and tidal stream industry is poised to become a significant provider of clean renewable energy for the UK, and in Figure 5.2 - Deployment scenario for wave and tidal energy in the UK to 2020 (from: ‘The Path to Power’, available the long-term, marine renewables at the British Wind Energy Association (BWEA) website: http://www.bwea.com/pathtopower). (Courtesy of BWEA). could meet 15 to 20% of the UK’s electricity demand, with 3% to 5% coming from tidal stream and the remainder from wave energy.

Between 2004 and 2008, it has been estimated that the world capital expenditure on wave energy will be 5.2 £72M, with almost 50% of this in the Wave & Tidal Power Development UK. In the same period, it has been estimated that the world capital According to the Carbon Trust, “UK Thus, the UK is in a good position to expenditure on tidal projects will be plc has the opportunity and potential take a significant portion of the around £55M with almost 90% of to create competitive positions in all world’s marine renewables market, this being related to the UK market. areas of design, manufacture, with lead turbine technologies, a installation and operations of marine number of suitable coastal locations Thus together, wave and tidal renewables”. Whilst acknowledging for tidal stream turbine ‘farms’, and technologies represent a £90M uncertainties, they estimate that the strong support from the marine and UK-based market for related value of worldwide electricity offshore industries. However, to date, technologies and services (from The revenues from wave and tidal only a few devices have been World Offshore Renewable Energy projects could be between £60 billion evaluated as full-scale prototypes. Report 2004-2008, Douglas Westwood and £190 billion annually. The Ltd., 2004). market for Wave Energy Converters Both wave and tidal energy devices (WECs) alone has been estimated to are at broadly similar levels of However, and as may be expected, be worth up to $500 billion. development and, therefore, share the UK’s tidal stream energy resource some common barriers to commercial tends to be located close to The UK has established itself as an deployment. A number of countries headlands in the less accessible areas early market leader in marine are active in marine energy of the UK, in the north and west, renewable energy, with over 30 developments and successful which in turn are also less accessible technology developers based in the demonstration of a design is key to to the grid infrastructure. Thus, UK, compared to approximately 15 establishing a supply base. Thus, whilst there is enough potential wave developers in the rest of Europe and given the size of the opportunity, the power off the UK to supply the approximately 20 developers in the UK government and government electricity demands several times rest of the world. In addition, the UK supported bodies have been highly over, the economically recoverable has established full-scale testing supportive of marine renewables, resource for the UK is estimated at facilities for wave and tidal devices, with a number of funding initiatives. 25% of current demand. at the European Marine Energy Centre (EMEC) on Orkney in In 2005, the UK government Scotland and in southwest England, introduced the Wave and Tidal through the ‘Wave Hub’ project (off Energy Demonstration Scheme, Hayle, Cornwall), both of which will providing £50M in funds to support be described in more detail in Section marine energy companies in moving 6 below. In addition, the New and from the development (prototype) Renewable Energy Centre (NaREC) in phase to commercialization, through the northeast of England is able to the establishment of small-scale test prototype devices. arrays.

80 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

The Marine Energy Accelerator (MEA) 5.3 of Edinburgh), which uses the hinged was established in 2006 by the Overview of Wave & Tidal Energy contour principle. Details of the Carbon Trust, with up to £3.5M Devices Pelamis WEC will be described in available for device developers, detail below (see Section 5.4.1.). component technology As mentioned above, both wave and manufacturers and academic research tidal are at broadly similar levels of 5.3.2 groups. The MEA aims to support the development, but there are clear Tidal Energy Devices development of new marine energy differences between the detailed device concepts with potential for designs of the different technologies. Tidal and current stream energy significantly lower costs than front- There are a very large number of converters are designed to use the runner technologies, as well as R&D concept tidal current stream and ebb and flow of tides and currents to into specific component technologies wave energy conversion (WEC) power turbines. In general, tidal and the development of low cost devices, with one report estimating devices fall into two main categories, installation, operation and that there are almost 300 designs at tidal barrages and tidal current maintenance strategies. various stages of development. Over turbines, although a third device type the past two to three years significant (tidal stream generators) are also In early 2007, the Scottish Executive progress has been made towards the being developed. Tidal current awarded an additional £13M in funds commercialization of some of these turbines use tidal currents to turn a to a total of nine companies aiming wave and tidal energy devices. rotor which generates electricity, to deploy prototypes and small arrays whereas tidal stream generators use at EMEC. Amongst those companies It is beyond the scope of this report the tidal stream to generate power receiving support were Ocean Power to describe in detail the principles of from, for example, the raising and Delivery Ltd. (OPD) (now Pelamis operation of the various devices and lowering of a hydraulic arm. Wave Power Ltd.), Tidal Generation only descriptions of some of the Ltd., and Aquamarine leading technologies will be given in There are a large number of sites Power. The devices of some of these Section 5.4 below. which are suitable for tidal current companies will be described in detail turbines and ideal sites are typically below. 5.3.1 approximately 1km offshore in water depths of 20-30 metres. These devices As has been mentioned previously, Wave Energy Devices operate using the same principle as the UK is very well placed to take a wind turbines, and generate power significant portion of the world Wave energy devices, or wave energy directly from the flow of the tides. marine energy market, with strengths converters (WECs) as they are known, The turbine blades can be orientated such as: can be located on the shoreline, near either horizontally or vertically and shore or offshore and operate using a the turbines can be either floating or • Exceptional wave and tidal number of principles, some of which secured to the seabed. resource. are as follows: • World leading marine renewable There are several well developed tidal • Hinged contour devices: use the (turbine) technology. turbine devices, and the first full- relative motion of a series of • Increasing interest from the private floating structures to generate scale prototype turbine (‘SeaFlow’) sector. electricity. was developed by UK company Marine Current Turbines Ltd. (MCT, • Strong offshore (oil & gas) • Oscillating water column systems: engineering and fabrication skills. Bristol) and was installed off either shoreline based or in floating Lynmouth, Devon in 2003. offshore devices, in which waves Subsequently, MCT have developed However, there are a number of are trapped in a chamber and the the 1.2 MW ‘SeaGen’ device, which rise and fall of the water moves a obstacles to the deployment of large- is scheduled to be installed at column of air which drives a scale wave and tidal energy Strangford Lough, Northern Ireland turbine. technologies, which are not related in 2007. Such devices can be installed to the technologies themselves, but • Point absorbers: use the motion of as single units or can be installed in instead to factors such as financing, a buoyant object (a float) to drive a large arrays in much the same way as grid access, and planning and generator. wind farms. permitting. • Over-topping devices: either onshore or offshore devices, in Tidal barrages are installed in tidal Currently, there are few commercial which waves flow over a structure estuaries or inlets and hold back the designs that have been successfully and electricity is generated by flow of water at high/low tides. demonstrated, which means that using the falling water to directly, Electricity is then generated by there are no (well) established supply or indirectly, power a turbine. releasing the water through turbines. chains. Many barrages have been installed Perhaps the most advanced wave around the world and whilst they energy device is the Pelamis device have proved successful, their high developed by Ocean Power Delivery cost and environmental impact mean Ltd. (now Ltd., that current turbines are favoured.

81 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

5.0 Wave and tidal energy

5.4 Lead Wave & Tidal Energy Developers and Devices.

In this section, some of the leading, largely UK-based, wave and tidal energy devices are described, and reference made to any materials related aspects of their development and construction, as highlighted by the companies themselves.

In general, there have been very few materials related issues or specific materials based development activities, as wave and tidal energy technologies lend themselves to adoption of existing technologies developed for the offshore (oil and gas), marine and wind power markets.

Figure 5.3 -The Pelamis Wave Pelamis Wave Power Ltd. Energy Converter (WEC). (Courtesy of Pelamis Wave Power (ex-Ocean Power Delivery Ltd.), Ltd.: http://www.pelamiswave. Edinburgh com/).

As mentioned above, the wave energy converter (WEC) developed by Pelamis Wave Power Ltd. (PWP) and named Pelamis, is one of the leading marine energy devices. PWP is based in Edinburgh and employs approximately 70 people. The Pelamis device has a similar output to an average modern wind turbine Figure 5.4 - An artist’s impression of an array of Pelamis WECs. (2.25 MW) and builds upon (Courtesy of Pelamis Wave Power technology developed for the Ltd.: http://www.pelamiswave. offshore industry. com/).

The Pelamis device is a semi- The machine is held in position by a Scottish Power for four devices, with submerged, articulated structure mooring system and the 750kW a total capacity of 3 MW, and has composed of three cylindrical machine measures 120 metres long letters of intent with E.ON UK plc (7 sections linked by hinged joints (see by 3.5 metres wide and weighs 750 devices, 5 MW, to be tested at ‘Wave Figure 5.3, http://www.oceanpd. tonnes when fully ballasted. Each Hub’ in South West England ) and for com/). The wave-induced motion of 750 kW unit contains three Power a further 27 devices in Portugal these joints is resisted by hydraulic Conversion Modules (PCMs), each rams, which pump high-pressure oil rated at 250 kW. Although PWP has no specific through hydraulic motors via development partners, the company smoothing accumulators. The Pelamis Wave Power’s first full-scale has worked heavily with Det Norske hydraulic motors drive electrical pre-production prototype was Veritas (DNV, Oslo, Norway), the generators to produce electricity. connected to the UK grid at the international maritime consultants, Power from all the joints is fed down European Marine Energy Centre and WS Atkins on design issues. In a single umbilical cable to a junction (EMEC) in Orkney in August 2004. addition, some major power on the sea bed. Several devices can be The company has received its first generating companies are involved connected together and linked to commercial contract for the on a project-by-project basis as shore through a single seabed cable installation of three Pelamis P-750 follows: Enersis for the installation in (see Figure 5.4). units, with a total generating capacity Portugal, CRE Energy (part of Scottish of 2.25 MW, which have been Power) for the installation in assembled and were due for Scotland and E.ON UK plc for the installation at Povoa de Varim, ‘Westwave’ project at ‘Wave Hub’ Portugal in September 2007. It is also (described in a little detail in in the final stages of discussion with Section 6).

82 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

There are no materials related barriers As regards paint systems, the top side Marine Current Turbines Ltd. to implementing the Pelamis of the structure needs a very good (Bristol) technology and the company anti-fouling paint system, where as consider technology to be available for the underside the best from other industries, with some fine environmental solution must be Marine Current Technologies Ltd. tuning for the WEC application. considered -e.g. to encourage marine (MCT) is a private company with However, the company stated that it growth. Some R&D activities are various shareholders including; may be that when the designs are being carried out by International BankInvest, Bendalls Engineering, being refined to improve efficiency Paints. EDF Energy, Guernsey Electricity Ltd, and drive down costs then barriers Seacore Ltd, Triodos Bank, and may be encountered. In addition, There is also the potential to use employs 15 people. MCT are a although there are currently no concrete for the main tubing technology developer and as such do materials supply chain related issues, structure, mainly to reduce costs, but not carry out any manufacturing or largely related to the low production also for design efficiency, as a sales activities. volumes, this may become more of concrete structure would not need an issue if volumes were to ramp up. additional ballast and should give MCT's patented technology is a enhanced stress bearing capability. horizontal shaft, submarine tidal The Pelamis construction is The application of a concrete current turbine based on using pitch predominantly steel, which is used structure is being investigated regulated axial flow rotors, which has for the main tubes and for the in-house with assistance from DNV. been successfully demonstrated in an housing for the Power Conversion experimental 300kW test system, the Modules (PCM). Approximately 430 Finally, PWP suggested that although world's first commercial scale tonnes of steel in are used in each some of the suppliers and contractors offshore tidal turbine, called machine, and this was sourced used on the project for Portugal are ‘SeaFlow’, which was installed off through Corus. For the project in currently considered preferred Lynmouth in Devon in May 2003 Portugal, the majority of the suppliers, any future projects will be (see Figure 5.5). fabrication and assembly has been put out to tender. However, the carried out in Scotland as follows: company would like to keep as much ‘SeaFlow’ is monopile-mounted with manufacturing as possible in a single 11 metre diameter rotor • Camcal, Isle of Lewis, for the main Scotland/the UK, but recognize that system and uses a dump load in lieu tube structure, which consists of there will be financial and sometimes of a grid-connection (to save cost) twelve main tube segments (four political constraints which make this and only generally operates with the per machine), with each section unfeasible. tide in one direction. This phase cost being similar in size and length to £3.4M and was financially supported a train carriage. by the partners together with the UK DTI, the European Commission and • Ross Deeptech, Stonehaven, for the the German government. The PCM housing. ‘SeaFlow’ technical demonstrator will • Assembly takes place at the PWP be taken out of commission when facility in Methil, Fife and final the new turbine (‘SeaGen’) is assembly of the machines was in installed. Peniche, Portugal.

Suppliers of other components and sub-assemblies include:

• Hydraulic systems: Hytec Hydraulic Engineering Ltd. (Aberdeen) and Hystat System Ltd. (Huddersfield). • Cables and connectors: Hydro Figure 5.5 – Marine Current Turbine’s ‘SeaFlow’ tidal Group plc (Bridge of Don, current turbine. (Courtesy of Marine Current Scotland). Turbines Ltd: http://www.marineturbines.com/). • Motor/generator sets: Designed and built to Pelamis Wave Power specifications by an external company. • Anti-fouling paints: Leighs Paints (Bolton), although other suppliers including International Paints (Darwen, Blackburn) provide anti- fouling paint systems.

83 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

5.0 Wave and tidal energy

The manufacture of the ‘SeaFlow’ Figure 5.6 – Artist’s impression of Marine Current turbine involved thousands of Turbine’s ‘SeaGen’ tidal current turbine. (Courtesy of Marine Current Turbines Ltd: http:// components and numerous www.marineturbines.com/). manufacturers and suppliers. The main structural fabrications for the turbine were made by Bendalls Engineering Ltd. (Carlisle), a partner in the UK DTI ‘SeaFlow’ project. The steel for the project was supplied by Corus, which was also partner in the DTI project.

Bendalls Engineering Ltd. is part of Carrs Milling PLC, and is a large steel fabricator. Bendalls has traditionally specialised in pressure vessels and nuclear plant fabrications, but is seeking to diversify into renewable Figure 5.7 – Carbon fibre rotor blades for the energy. Bendalls manufactured the ‘SeaGen’ tidal current turbine. structural steel components and the (Courtesy of Marine Current Turbines Ltd: assembly of the device pod and rotor. (http://www.marineturbines.com/).

The prototype and test-bed for MCT’s commercial technology is a 1.2 MW twin rotor, variable pitch system known as ‘SeaGen’ (see Figure 5.6). Sea Generation Ltd. is the project company, which is a wholly owned subsidiary of Marine Current Turbines Ltd., and has been has been licensed for a maximum installed duration of 5 years. The device has been manufactured, and installation was to take place at Strangford Lough, Northern Ireland, in August 2007. However, this has been delayed due to damage sustained to the jack- up vessel. ‘SeaGen’ will be grid- connected and is expected to cost approximately £8.5M, including the connection, and is financially supported by the operating partners and BERR, who have awarded a grant of £4.27M. W. Berks). The rotors allow variable Harland and Wolff (Belfast) have pitch to optimise efficiency, acted as the base for operations for The MCT technology borrows irrespective of tidal flow direction. the ‘SeaGen’ installation, with all strongly from other industries; oil & components manufactured in various gas and offshore for the For the ‘SeaFlow’ and ‘SeaGen’ locations within the UK and superstructure, and wind turbines for projects, both went through a mainland Europe, and included: BAS the rotors and so at present, no competitive tendering stage for Castings Ltd. (Pinxton, Notts.), specific materials related component / materials supply and all Bendalls Ltd. (Carlisle), Aviation developments are needed. Instead, in material sourcing for the ‘SeaGen’ Enterprises Ltd. (Lambourn, W. future, MCT will apply any relevant project has been performed by sub- Berks), Blackhill Engineering Ltd. technologies developed within these contractors. (Exeter), Orbital 2 (Powys), Coupe industries. Foundry Ltd. (Preston), Engineering MCT have not experienced any Technology Applications Ltd. The ‘SeaGen’ device has two 16m significant problems in sourcing (Romsey, Hants), Smart Fibres Ltd. diameter twin bladed turbines (see materials for the demonstrator (Bracknell), Deep Sea Seals Ltd. Figure 5.7), which may be lifted out designs, although there were some (Havant, Hants). The significant sub- of the water for maintenance. The 7 problems obtaining the large bearings systems were tested at locations close metre composite material blades for the ‘SeaGen’ turbine, as the wind to MCT’s office in Bristol, prior to (carbon fibre matrix, wrapped with a energy industry currently has a high being delivered to Harland and Wolff glass fibre skin) are manufactured by demand for these products. for final system assembly and Aviation Enterprises Ltd. (Lambourn, preparation for installation.

84 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

The monopile superstructure of the ‘SeaGen’ device is fabricated from structural steel plates, which are roll formed and welded together. This monopole carries the weight of all the other components, the operating forces on the rotor, and the environmental loads, and was designed to carry all the loads with an acceptable life. The pile is a steel tube 3.5m in diameter below the mud-line and 3.0m diameter above, is approximately 55 metres long, and weighs approximately 270 tonnes.

Although Corus were steel suppliers to the ‘SeaFlow’ project, the company are not involved in ‘SeaGen’, and steel fabrication has been carried out by Blatt Industries (Denmark). The technology for placing monopiles at sea is well developed by Seacore Ltd., a specialist offshore engineering company (MCT's largest shareholder). Figure 5.8 – Artist’s impression of an array of tidal current turbines. (Courtesy of Marine Current Turbines Ltd: http://www.marineturbines.com/). MCT state that the design life for its tidal turbines will exceed 20 years and that the main monopile support structure can be designed to survive Wave Dragon Wales Ltd. for many decades (the track record of (Pembroke Docks) steel offshore structures, providing The device comprises a central they are properly protected, is housing, with a large water reservoir, excellent - many offshore oil and gas Wave Dragon Wales, Ltd. is a which receives water from oncoming structures have lasted upwards of 40 subsidiary of Wave Dragon ApS, waves via a ramp and an array of years) (see http://www. Copenhagen, Denmark and is a hydro turbines, and two lateral wave marineturbines.com/). The steel pile leading developer in wave energy reflecting arms which concentrate and other main structural elements technology. Wave Dragon is a the power of incoming waves (see in an MCT tidal turbine have technology provider, and will work Figure 5.9). cathodic protection and the rotor is with a project developer and finance constructed from glass and carbon partner from the region in which the As mentioned above, a scale model fibre reinforced composite materials technology is deployed. demonstrator project has been which are not significantly affected successfully completed in Denmark by contact with seawater. The company’s device, the ‘Wave Dragon’ is a floating, slack-moored and a 4-7 MW pre-commercial demonstrator, supported by the It is anticipated that MCT turbines energy converter of the over-topping Welsh Development Agency, is to be will be installed in arrays of approx. type that can be deployed in a single deployed 4-5 miles off the 10 to 20 machines (see Figure 5.8), unit or in arrays. The first prototype Pembrokeshire coast near Milford and that the ‘SeaGen’ systems will be connected to the grid is currently Haven. deployed after testing as a small array deployed in Nissum Bredning, under the Marine Renewable Denmark. The ‘Wave Dragon’ device Development Fund (MDF). allows ocean waves to over-top a ramp, which elevates water to a reservoir above sea level, where it is stored temporarily. This creates a head of water which is subsequently released through a number of turbines.

Figure 5.9 - The Wave Dragon device. (Courtesy of Wavedragon : http://www.wavedragon.net)

85 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

5.0 Wave and tidal energy

The application for consent of this ‘Wave Dragon’ design, calling for Wavegen also develop the OSPREY, a demonstrator device was submitted 16-18 units per installation, the near shore Oscillating Water Column in April 2007 and, if granted, company are looking to set up their (OWC) and are working on a number construction will start and the device own manufacturing site in Wales for of similar concept designs. will be deployed at the site in the the production of these turbines. If summer of 2008. The device is this is achieved, then all of future Currently, a breakwater installation at intended to be tested for 3-5 years. supply of turbines for ‘Wave Dragon’ Mutriku in northern Spain is in the installations would be from Wales. implementation phase and the Wave Dragon has commissioned the company has several projects in the pre-commercial demonstrator project Currently, there are no specific development phase including in Portugal, under the Tecdragon materials related issues for the projects in Scotland, at Siadar in the name. Partners have been identified demonstrator project. However, with Western Isles, and the USA. and financing is in place, and all an installation weight of 33,000 construction will be carried out tonnes, there may be supply issues if Wavegen partners in the projects locally (ie, in S. Wales). this technology were to take off. include RWE npower Renewables and the Basque Energy Board. The final choice of materials will be Wavegen (Inverness) dictated by the consortium The main structure of the OWC is Wavegen is a wholly owned companies involved in the project, concrete, which can be incorporated subsidiary of Voith Siemens Hydro but currently the main construction into a breakwater structure. Of the Power Generation (see: http://www. of the wave reflectors, ramp and other major components, the turbine wavegen.com). The company has reservoir is intended to be fabricated housing is fabricated from steel plate, developed small turbo-generators for from steel and reinforced concrete, the turbine blades are marine grade incorporating into breakwaters, with corrosion protection provided aluminium and the turbine nose coastal defences, land reclamation, by sacrificial anodes. cone is fabricated from GFRP or port walls and community power stainless steel. schemes, etc. The technology is based The total weight of the device, upon the Oscillating Water Column employing 16 to 18 low-head Currently, there are no materials (OWC), with gearbox and hydraulics turbines, is 33,000 tonnes. Mooring related barriers to implementation, free turbine power take-off. consists of slack mooring chains although the corrosive environment connected to either concrete caissons, in which the device operates means The LIMPET (Land Installed Marine steel/concrete gravity blocks or to that material selection is important; Powered Energy Transformer) plant steel piles. e.g., the shafts for the motors are on the island of Islay, off the west fabricated from stainless steel, which coast of Scotland (Islay), is the As regards specific development work is costly. In addition, there are no world's first grid connected for the Wave Dragon, parts of the materials related development commercial scale (0.5 MW) wave steel sections on the wave reflectors activities, although when production energy plant (see Figure 5.10). The may be replaced by composite scales up, there may be opportunities plant was commissioned in materials to save costs and give to carry out cost benefit analysis on November 2000. It is a shoreline maintenance free durability. alternative materials. wave energy converter utilising an Currently, forming of the steel for the inclined oscillating water column concreted sections is costly and time (OWC). The Limpet plant is used as a consuming. Once the pre-commercial full scale test bed for the demonstrator is in place, loads will development of new turbines. be monitored and an assessment made of areas which are less stressed and hence most suitable for a change in construction methods.

The fabrication of components, etc. will be determined on a project by Figure 5.10 - Wavegen’s LIMPET device on the Islay coast. (Courtesy of Wavegen: http://www.wavegen.com). project basis, and for the pre- commercial demonstrator, local suppliers around Pembroke docks will be used (e.g. Hansons, United Marine Aggregates).

Wave Dragon’s low-head Kaplan turbines are currently being supplied by Kössler, GmbH (St. Georgen, Austria), a long-established supplier to the hydropower sector. Currently, only approximately 12 of these units are produced per year. Thus, with the

86 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Materials are specified by Wavegen, Ocean Power Technologies Ltd. OPT has begun the initial phase of but sourcing is down to the (Warwick) installation of a turnkey 1.39 MW contractors involved. Concrete for wave farm off the northern coast of the structure will always be sourced Ocean Power Technologies, Ltd. Spain, which is due for completion in local to project. Wherever possible, (OPT) is a wholly owned subsidiary the summer of 2008. This project is a local contractors will be used, and for of Ocean Power Technologies Inc., joint venture with the Spanish utility the Islay project (LIMPET), companies Pennington, NJ, USA and employs 12 Iberdrola SA, and a full size in and around Inverness were used to people at its UK site and 40 demonstration plant of up to 5 MW fabricate the housing and the motors, worldwide. capacity is planned for installation in and control units were bought in UK waters. OPT has two from Europe. Blades for the turbines OPT's proprietary PowerBuoy® demonstrator projects planned for are made in the UK by Senar. technology the UK, one funded by the Scottish (http://www.oceanpowertechnologies. Executive and due for installation off Wavegen does not have specific com) captures wave energy using Orkney at EMEC and the other component supplier partners, but to large floating buoys anchored to the funded by the Southwest England date, Senar has provided turbine sea bed and converting the energy Regional Development Agency, and blades, BCP (Brook Crompton) has into electricity using innovative planned for installation at Wave Hub. supplied the motors and Howden has power take-off systems (see Figure provided the housings for one of the 5.11). The device uses a rugged, The technology is scaleable and test units. simple steel construction and utilizes arrays of devices are envisaged – see conventional mooring systems. Figure 5.12 below: As regards materials or component To date, ocean trials have been supply issues, the long lead times on conducted off the coast of New Jersey motors, has led Wavegen to look at and 40 kW-rated PowerBuoys® have alternative supply. been installed in Hawaii and New Jersey.

Figure 5.12 – An artist’s impression of an array of Ocean Power Technologies PowerBuoy® devices. Figure 5.11 - Ocean Power Technologies PowerBuoy®. (Courtesy of Ocean Power (Courtesy of Ocean Power Technologies Ltd.: Technologies Ltd.: http://www.oceanpowertechnologies.com). http://www.oceanpowertechnologies.com).

Currently, OPT does not have UK-based partners and partners include the US Navy, Penta-Ocean Construction (Japan), Iberdrola (Spain), Total S.A. (France, Spain) and Lockheed Martin.

Steel is used predominantly in the construction of the super structure and the power take off unit consists of hydraulics and electronic equipment. Synthetic materials are being considered for the mooring, to give additional compliance to the system in the event of extreme weather, and it is hoped that this will also be a cheaper solution.

87 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

5.0 Wave and tidal energy

There are no materials related barriers Selected Other Technology At this time (late 2007), a feasibility to implementation, no materials Developers study for a tidal barrage across the supply issues and no current Severn Estuary is ongoing. A Severn materials related development barrage could have a capacity of up activities, as the technology is still in Other active technology developers to 8,640 MW and an estimated its early stages of development. include Open Hydro, Ltd. (Dublin, output of 1.7 TWh/y. However, when more buoys have Ireland), which has a 0.25 MW been installed, there may be development device, soon to be The Yorkshire based company, Lunar opportunities to look at alternative upgraded to 0.5 MW, under test at Energy Ltd. (Hessle, E. Yorks.) is materials for cost reduction and the EMEC site in Orkney. Open developing the RotechTidal Turbine weight saving. In this respect, the Hydro has recently signed an (RTT) device, and E.ON UK plc and central spar column would be an agreement with Alderney Renewable Lunar Energy are to develop a tidal ideal candidate for weight reduction. Energy Ltd. (ARE) for the deployment stream power project of up to 8 MW Anything above the surface is of tidal turbines in Alderney’s somewhere off the west coast of the considered non-critical in terms of territorial waters. In addition, a pre- UK. weight as it is self-supporting. commercialisation Fred Olsen ‘Buldra’ rig, which uses the vertical ScottishPower plc and the Norwegian The power take off units are currently movement of floating buoys company Hammerfest Strom have fabricated in-house, but this may be suspended under a floating platform, created a company called sub-contracted out once production will be installed at the Wave Hub Hammerfest UK, which will develop increases. The structure is a simple facility in SW England in 2009. a full-scale prototype of Hammerfest’s construction and is fabricated close tidal turbine device, and which will to where the units will be installed Oceanlinx Ltd. (Botany, NSW, be installed at EMEC in 2009. by local sub-contractors. OPT do not Australia), the Australian marine get involved in specifying materials energy developer has signed a letter sourcing, which is left to the sub- of intent with the SWRDA to deploy 5.5 contractors. a 5 MW Oscillating Water Column (OWC) device at the Cornwall Wave Wave & Tidal Energy Supply Hub. To date, Oceanlinx have Chain Structure deployed a 450 kW device off Port Kembla, Australia and have several A large number, and a wide range, of other projects under development companies are involved in the around the world. marine renewable sector, and Figure 5.13 below shows the key segments Ltd. (Edinburgh) of the sector. However, as mentioned and Queens University Belfast are above, few projects have progressed developing the Oyster™ system, a to the pre-commercialisation stage near-shore bottom-mounted, shallow and so, as yet, there are no common water, wave energy converter, with strategies for procurement and support from the Technology Strategy contracting. Board (TSB). The peak power generated by each Oyster™ unit is Different members of the supply between 300 and 600kw, and a chain are responsible for different demonstrator device is to be installed parts of projects depending on the at EMEC site in 2007. type of project and its stage of development. Key classes of firms The project to develop the that are involved in the supply chain hydroplane ‘Stingray’ device of the include Legal firms, Financial firms, Engineering Business Ltd. has been Insurance firms, Marine Service firms, put on hold because the company Technology Developers, cannot sustain development activities Manufacturers, Test Facilities, Project on a non-profit basis. Similarly, the Developers, Installation Contractors, ‘TidEL’, tidal turbine, project of SMD and Energy Majors/Utilities (Scottish Hydrovision was put on hold in Enterprise document). 2005, as a result of company resource issues (other core projects taking priority). Thus, although there is considerable support for marine energy activities, these projects illustrate the difficulties in maintaining the associated high development costs.

88 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Figure 5.13 - Segmentation of the marine renewable sector (from: ‘Marine Renewable (Wave and Tidal) Opportunity Review: Introduction to the Marine Renewable Sector’, Dec. 2005, Scottish Enterprise, http://pugetsoundtidalpower.com/TidalPower/Tidal%20Oppty%20Review.pdf). (Courtesy of Scottish Enterprise: http://www.scottish-enterprise.com).

5.6 UK R&D Activity in Wave & Tidal Energy Materials

There is a high level of research and Gordon University and the University European Marine Energy Centre development activity related to wave of Strathclyde and Queen’s University, (EMEC) in Scotland and the ‘Wave and tidal energy ongoing within the Belfast. In addition, there are a large Hub’ project in southwest England. UK, and a large proportion of the number of industrial partners, further These facilities are helping develop development work is currently information on which can be found standards for marine energy devices. centred on industry rather than at the Consortium website. academia. An extensive list of ‘Ocean Energy’ 5.6.1 Established in 2003, the ‘Marine R&D activities can be searched at the The European Marine Energy Energy Consortium’ of the EPSRC’s UK Energy Research Centre (UKERC) Centre (EMEC), Ltd SUPERGEN initiative has received Research Atlas (specifically the approximately £2.6M in funding and Research Register) (http://ukerc.rl.ac. EMEC was established to help the has a number of research themes uk/ERA001.html). aimed at addressing gaps in current evolution of marine energy devices from prototypes to commercial understanding of the fundamental Further information on R&D implementation (http://www.emec. and advanced science and activities related to marine energy org.uk). Based at Stromness in engineering issues of marine energy development, see the report: ‘Marine Orkney, EMEC is the first centre of its (http://www.supergen-marine.org.uk). Renewable (Wave and Tidal) kind in the world. Wave and tidal However, little activity is dedicated to Opportunity Review: Introduction to energy devices can be connected to materials issues. the Marine Renewable Sector’, the National Grid via seabed cables, December 2005, Scottish Enterprise). The SUPERGEN Marine Consortium and to date, Government and other public sector organisations have academic partners are: the University As mentioned above, the UK has invested approximately £15M in the of Edinburgh (Prof. Robin Wallace, pioneered the establishment of creation of the centre and its two lead), Heriot-Watt University, the shared facilities for testing of wave marine laboratories. University of Lancaster, Robert and tidal devices such as the

89 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

5.0 Wave and tidal energy

5.6.2 5.6.3 • The 2003 Energy White Paper ‘Wave Hub’ The New and Renewable Energy indicated that wave & tidal technologies will be commercially Centre (NaREC) available by 2010-2015 and that The ‘Wave Hub’ project for a test they will have a significant role to wave farm facility has been approved The New and Renewable Energy play in the UK’s energy provision for £21.5M of funding from the Centre (NaREC) in Blyth, to 2020, with a range of 1400 MW South West of England Regional Northumberland offers testing and to 4500 MW of these technologies Development Agency (RDA), and the development capabilities in-house for being deployed by 2020. total cost of the project will be £28M marine renewable device developers, • The UK has established itself as an (http://www.wavehub.co.uk). typically at 1/10th scale (http://www. early market leader in marine narec.co.uk/). NaREC has test renewable energy, with over 30 ‘Wave Hub’ will be located off the facilities for large scale wave testing, technology developers based in the coast of Cornwall in South West large scale tidal testing and small UK, compared to approximately 15 England and the project could scale marine device testing at the developers in the rest of Europe generate £76M over 25 years for the University of Newcastle. and approximately 20 developers regional economy. It would create at in the rest of the world. least 170 jobs and possibly hundreds Trials at NaREC’s large-scale tidal • The UK is very well placed to take a more by creating a new wave power testing facility based at the Tees significant portion of the world industry in South West England. It Barrage (Stockton-on-Tees) have marine energy market, with will provide a high voltage cable 10 taken place involving a tidal turbine strengths such as: miles out to sea and connected to the prototype known as ‘Evopod’, National Grid. Companies will be developed by the marine consultancy - Exceptional wave and tidal able to test their wave energy devices Overberg Ltd. resource. in a leased and consented area of sea. - World leading marine renewable (turbine) technology. Wave Hub is essentially an electrical 5.7 - Increasing interest from the ‘socket’ on the seabed around 10 Summary private sector. miles (18.5 km) off Hayle on the Cornwall coast in South West - Strong offshore (oil & gas) England. It will be connected to the The following gives a summary of the engineering and fabrication National Grid by a 15.5 mile cable status of the UK’s wave and tidal skills. energy industry: linked to a new electricity substation • The UK has pioneered the at Hayle and could generate 20 MW establishment of shared facilities • It is estimated that the UK of electricity. for testing of wave and tidal possesses approximately 35% of devices such as the European Europe’s wave resource and 50% of Marine Energy Centre (EMEC) in Three wave device developers have Europe’s tidal resource, and in the already been chosen to work with the Scotland and the ‘Wave Hub’ long-term, marine renewables project in South West England. South West RDA on the project. They could meet 15 to 20% of the UK’s are Ocean Power Technologies electricity demand, with 3% to 5% • Currently, there are few Limited, Fred Olsen Limited and coming from tidal stream and the commercial designs that have been WestWave, a consortium of E.ON UK remainder from wave energy. successfully demonstrated, which plc and Ocean Prospect Ltd., using means that there are no (well) the Pelamis technology of Pelamis established supply chains and Wave Power, Ltd. common strategies for procurement and contracting. • In general, there have been very few materials related issues or specific materials based development activities, as wave and tidal energy technologies lend themselves to adoption of existing technologies developed for the offshore (oil and gas), marine and wind power markets. • There is a high level of research and development activity related to wave and tidal energy ongoing within the UK. However, little activity is dedicated to materials development.

90 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

5.8 SWOT Analysis

Table 5.1 below gives a summary of the Strengths, Weaknesses, Threats and Opportunities of the UK’s marine energy industry. Table 5.1 SWOT analysis for the UK’s marine energy industry.

Strengths Weaknesses

• The UK is the world leader in wave and tidal technology • There is no stable design and all designs are development. unproven, although some front-runner • World-class experience in the development and technologies are emerging. evaluation of wave energy conversion (WEC) devices. • Strong offshore and marine engineering capabilities. • Technical, economic and performance risks remain. • The UK’s tidal and wave energy resource is immense. • The UK has established two major demonstration and • The energy supply from marine renewables is test centres which may allow the UK to set the intermittent. international benchmarks for evaluating marine renewable devices. • There are demonstration projects currently operating in the UK. • The UK has a large number of companies with experience in the planning, development (fabrication / construction), and operation (including service and maintenance) of offshore structures. • Some small-scale supply chains have developed around prototyping and demonstration projects.

Opportunities Threats

• A non-UK design may become the preferred • There is a massive resource globally and a potentially device (although there may still be significant large market in the UK and overseas. opportunities for UK-based fabrication, • The UK has the opportunity of establishing a ‘winning’ operation, service, etc.). design and developing a supply base centred in the UK. • Distinct synergies exist with the offshore industry • Uncertainty over market volumes can act as a (including wind). This means that the UK can build on barrier to the investment required to make the existing strengths and develop wave and tidal service transition from a prototype supplier to a capabilities. commercial supplier. • The UK’s offshore industry is looking to diversify from its traditional business, and many within that industry see offshore renewables as an area of opportunity in • Longer-term, manufacturing may be hosted in which they can exploit their existing skills and countries with low cost labour. experience.

91 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

92 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

6.0 Solar Photovoltaics (PV)

6.1 The Solar Photovoltaics (PV) Market

The world solar photovoltaics (PV) market is growing very rapidly, and installations of PV cells and modules around the world have been growing at an average annual rate of more than 35% since 1998. However, the total installed capacity still only represents less that 0.1% of the global electricity generating capacity.

By the end of 2006, approximately 6,500 MW of PV capacity had been installed, and global market survey data show that between approximately 1,500 MW and 1,750 MW of capacity was installed in 2006 alone.

(see Figure 6.1 below and http://www.solarbuzz.com/Marketbuzz2007-intro.htm).

Figure 6.1 - Cumulative global and European 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 installed solar PV capacities. EU 90 128 168 266 373 543 1089 1881 2730 (Courtesy of the European Photovoltaic Industry GLOBAL 502 580 669 795 948 1150 1428 1762 2201 2795 3847 5152 6627 Association (EPIA): http://www.epia.org/).

93 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

6.0 Solar Photovoltaics (PV)

In addition, in 2006, manufacturer Of the 6,500 MW of global installed 6.2 shipments were 1,982 MW, a 41% PV capacity, approximately 3,000 The Manufacture of Solar PV increase over the previous year and MW of this is installed in Germany, Systems the total PV cell production in 2006 and solar PV currently contributes was 2,536 MW, up from only 287 approximately 0.4 percent of German According to data from Photon MW in 2000. electricity generation. This rapid adoption of solar PV electricity International, in 2006, manufacturers produced 2,536 MW of solar cells The European Photovoltaic Industry generation in Germany has been worldwide, with 36% of those cells Association (EPIA) and Greenpeace stimulated by a ‘feed-in tariff’ coming from Japanese manufacturers ‘Advanced Scenario’ (see ‘Solar program, under which the utilities (eg, Sharp and Kyocera), 20% from Generation IV - 2007’, available for buy solar PV generated electricity at a German companies (eg, Q-Cells and download at www.epia.org/) shows higher rate than the consumer pays Schott Solar), and 15% from Chinese that by the year 2030, PV systems for the power. producers (eg, Suntech Power) – see could be generating approximately Figure 6.2 below. 1,800 TWh of electricity around the Perhaps not surprisingly, the UK PV world. In the same scenario, the market has been relatively slow to Of these manufacturers, Sharp, the capacity of annually installed solar develop and by the end of 2005, market leader, has its European power systems would reach 179 GWp there were approximately 1,300 module assembly plant at Wrexham. by 2030. installed systems and a total of 10.9 MW of installed capacity, 2.7 MW of Further details of the Sharp facility and those of other UK-based solar PV Currently, the global PV industry is which was installed during 2005. supply chain companies will be worth an annual 9 billion and the € described in Section 6.3. industry employs over 70,000 people. However, The Department of It is expected that the global PV Business Enterprise and Regulatory market will continue to grow at a Reform’s (BERR’s) Low Carbon high level, with a consolidation Buildings Programme (and local and towards approximately 19% per regional) authority requirements that annum in 2020, resulting in a full- a significant proportion of new time employment potential of 1.9 building energy needs to be met via million people. renewable sources has provided a major stimulus to the UK market for In 2005, the European Commission building integrated PV (BIPV) published ‘A Vision for Photovoltaic systems, and the UK market is now Technology’ (see: http://ec.europa.eu/ expected to grow more rapidly, at in research/energy/pdf/vision-report- excess of 3.2 MW per annum in the final.pdf), which suggests that PV can short-term. generate 4% of the world’s electricity and create between 200,000-400,000 new jobs in Europe by 2030, based on a projected 20-40 GWp market. Figure 6.2 – Top 10 global PV cell producers (from: Photon International, 2007). Most current solar PV module capacity is in Japan, Germany and the USA, which together account for 90% of the total installed capacity, and 95% of the capacity installed in 2005.

94 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Only a very brief description of the PV materials and systems technologies are given here and further information can be found, for example, in the EPIA / Greenpeace ‘Solar Generation IV - 2007’ document – (see: http://www.epia. org/).

A solar PV system typically consists of a large number of cells which are assembled into a module or panel (see Figure 6.3). More than 90% of PV cells are made either from single crystal or polycrystalline silicon wafers, sliced from ingots or castings (see Figure 6.4).

In addition, PV cells can be produced Figure 6.3 – (above) via thin film technology in which A solar PV module assembly and large solar system. ribbons or thin films of materials such as amorphous and microcrystalline silicon, cadmium telluride and copper indium (gallium) Figure 6.4 – (right) diselenide (CIS or CIGS) are deposited Pure multi-crystalline Si ingot, cut into ‘bricks’. in thin layers on a low-cost backing (Courtesy of PV Crystalox Solar plc: (eg, glass, stainless steel or plastic). http://www.crystalox.com/).

Data from the European Photovoltaic Industry Association (EPIA) indicate that the relative shares of the different PV technologies are: multi- crystalline Si (46.5%), monocrystalline Si (43.4%), amorphous Si (4.7%), CdTe (2.7%), ribbon sheet, crystalline Si (2.6%) and CIS (0.2%) (see: http://www.epia. org/).

As raw materials costs represent a significant fraction of the manufacturing costs of PV cells, considerable effort is currently being Table 6.1 - Efficiencies of devoted to activities aimed at the various Solar PV cell technologies reducing the thickness of the Si, (from: http://www. through techniques such as improved crystalox.com/) wafer sawing, thin layer extraction from the melt and Si powder melting. Significant effort is also being directed towards increasing the efficiency of the cells (£’s / Wp) and telluride (CdTe). Although the (at approximately 23,000 tonnes in typical cell efficiencies are shown efficiency rates are considerably lower 2007), which has led to an increased below in Table 6.1. for thin film cells, the manufacturing market share of cells produced via costs are lower that those of thin film technologies and several Thin film cells are constructed by crystalline silicon technologies. EPIA companies are working a high depositing extremely thin layers of expects a growth in the thin film throughput roll-to-roll (continuous) photosensitive materials onto a low- market share to reach about 20% of production approach, using a flexible cost backing such as glass, stainless the total production of PV modules substrate which is coated with the steel or plastic, and three types of by 2010. thin film layer(s). thin film modules are commercially available at the moment. These are Recently, the supply of silicon has The shortage of silicon is a major manufactured from amorphous been as issue, with the demand for headache for the industry, but also silicon (a-Si), copper indium solar grade silicon now exceeding represents a substantial opportunity diselenide (CIS, CIGS) and cadmium that from the semiconductor industry for other technologies, not just

95 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

6.0 Solar Photovoltaics (PV)

inorganic thin films. The principal 6.3 ICP Solar Technologies (UK) Ltd. issue which concerns Solar PV at The UK Solar PV Supply Chain (Bridgend, Mid-Glamorgan) present is not that crystalline silicon is intrinsically expensive, but that ICP Solar (http://www.icpsolar.com/) UK companies have been at the very large quantities are needed to produces amorphous silicon based forefront of development in PV make reasonably efficient solar cells. solar cells for integration into solar technologies, and the UK hosts a Thus, some hundred times more panel based products. In October number of key players in the PV material (per unit energy output) is 2007, ICP Solar Technologies Inc. sector: required to make a single crystal and (Montreal, Canada) sold the majority multi-crystalline silicon solar cell of its shares to Innovative Systems than its thin film counterpart (related PV Crystalox Solar plc Engineering (ISE) Solar, a leading to the indirect bandgap of silicon and (Abingdon, Oxfordshire) provider of vacuum deposition equipment, based in Warminster, hence its low optical absorption PV Crystalox Solar plc (‘Crystalox’ Pennsylvania. coefficient). http://www.crystalox.com/) currently employs approximately 200 people The company has a thin film PV The shortage of silicon feedstock had and was established in 1982. The manufacturing facility in Bridgend led to an increase in price of solar company is a market leader in and will build a new solar cell cells, stimulating a (modest) increase refining silicon ingots for wafer manufacturing plant in Cardiff. in thin film solar cell manufacture. production and was the first However, there is a widespread company to develop multi-crystalline feeling that higher efficiencies (above technology on an industrial scale. G24 Innovations Ltd. (Wentloog, 10%) need to be achieved Cardiff) consistently by these materials if this Production of Si ingots takes place in G24 Innovations Ltd. (http://www. growth in market share is to be the Oxfordshire (United Kingdom) g24i.com/) has established a £60M sustained or increased. Other recent plant, which are then sent for wafer dye sensitised solar cell development include high efficiency manufacture at the Crystalox facility manufacturing facility at Wentloog, solar cells based on crystalline and in Erfurt (Germany) and to Cardiff, with a capacity of up to 200 micro-crystalline silicon (Sanyo HIT outsourced fabricators in Asia. MW per annum (by the end of 2008). cell, Kaneka, Sunpower) which Approximately 25% of output is sold The specific solar cell technology is require less material per unit energy in the European market and 75% in licensed from Konarka Technologies, output. The most significant shift in the Asian market, and production Inc. (Lowell, MA, USA), and the perception, however, has been output in 2006 will produce 215 facility is supported with investment towards fundamentally new materials MW per annum. from the Welsh Assembly and concepts, and this may also Government. The company will represent the best opportunity for the In addition, Crystalox are now initially target the market for mobile UK. building a solar grade silicon facility consumer led products (eg, mobile in Bitterfeld, Germany, which will phone chargers, MP3 players, laptop In addition to crystalline silicon and ease its concerns regarding the supply computers etc.), but believes that thin film cells, the use of of silicon. The facility will be there is an opportunity to integrate concentrators and high efficiency completed by the end of 2008 and the cells into buildings. cells such as GaIn and GaAs are also will be put into operation at the being developed, as are thin-film beginning of 2009. It is expected that Romag Ltd. (Consett, Co. excitonic (largely organic and dye annual production will reach 900 sensitised) cells. Descriptions of these tonnes in the first year of operation, Durham) technologies are beyond the scope of and that, thereafter production is Romag (http://www.romag.co.uk/) is this work. expected to increase to 1,800 tonnes. a leader in the manufacture of modules for integration of PV into Finally, inverters are used to convert Sharp Electronics UK (Wrexham) commercial and industrial building. the direct current (DC) power Romag’s ‘PowerGlaz’ is a Building generated by a PV generator into Sharp UK (http://www.sharp.co.uk/ Integrated Photovoltaics (BIPV) alternating current (AC) compatible page/solar), the global market leader, system designed for use on glazed with the local electricity distribution has its European module assembly facades and glass roofs. An example network. plant at Wrexham, where production the application of ‘PowerGlaz’ panels capacity is increasing to 220 MW per (installed by Solar Century Ltd) can annum. This facility has been be seen at the new education and manufacturing solar modules since research facility (the ‘Core’) at the 2004, and assembles monocrystalline Eden Project in Cornwall. and polycrystalline solar modules for use in both residential and In June 2006, Romag announced a commercial installations throughout major expansion of its photovoltaic Europe. production capacity at its facility in Consett. This increase in capacity was expected to come on line in the second half of 2007, to meet the

96 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

expected significant increase in now the Technology Strategy Board, • Companies: demand for solar PV systems in both through the Emerging Energy/Low PV Crystalox Solar plc, Oxford the UK and Europe. Carbon priority of the Collaborative Lasers Ltd, Kurt J. Lesker Co Ltd, R&D Programme. Millbrook Scientific Instruments plc, Epichem Ltd, MATS (UK) Selected Other Organisations in Before describing these activities, it is Ltd, Gatan UK, Antec Solar worth noting that between 2000 and GmbH and Jantec Ltd. the UK PV Supply Chain 2005, the Department of Trade and Industry (DTI) supported ‘The UK Technical achievements so far include In addition to the above, other global Photovoltaic Domestic Field Trial (PV the development of an innovative players in the solar PV industry are DFT)’, which was the first widespread electrochemical deposition method currently considering the UK as a monitoring of PV systems in for copper indium diselenide (CIS) base for production facilities. domestic buildings in the UK. The PV. This thin film process has the DFT involved a total of 28 projects, potential for considerable cost The New and Renewable Energy installing PV systems on a wide reductions. Centre (NaREC) in Blyth, variety of domestic buildings, and Northumberland has a silicon cell with a total installed capacity of 2 The ‘Excitonic Solar Cells development facility that is also 742kWp. Consortium’ (see http://www.bath. capable of small scale production of ac.uk/chemistry/supergen-ESC/), is bespoke solar cells and modules (e.g. The PVDFT programme collected researching ‘non-conventional’ concentrator and coloured cells), extensive data from across the solar cells (dye sensitized and using Laser Grooved Buried Contact country providing detailed organic solar cells), which may (LGBC) technology. The LBGC information on system design, offer the possibility of low toxicity, process is highly flexible allowing installation, performance and flexible and easy to manufacture high efficiency silicon solar cells to reliability. This has been used to PV materials. Consortium members be made for a range of shapes and refine the guidelines for monitoring are concentrating on sizes. work, to improve the design of PV understanding the factors which systems, to develop best practice limit efficiencies as well as on The UK market leader in the design guidelines, and to provide a basis for combining their expertise to devise and installation of solar technology recommendations and the entirely new types of solar cell. The systems in the built environment is development of ‘Good Practice project received initial funding of Solar Century Ltd. (London). Guidelines’ (see: http://www.berr. £1.1M and the partners are: gov.uk/files/file36660.pdf). • Universities: University of Bath (Prof. Laurie Peter, consortium 6.4 6.4.1 lead), University of Cambridge, UK R&D Activity in Solar PV EPSRC Supported Activities University of Edinburgh, Materials Imperial College, London. The EPSRC Sustainable Power • Company: Cambridge Display The UK has a world-class solar energy Generation and Supply (SUPERGEN) Technology Ltd. research community which is based Programme currently supports two on the UK’s strengths in solid state multi-disciplinary consortia focused In addition, the EPSRC supports a physics and photonics. on advanced PV materials: ‘High-efficiency Hybrid Solar Cells for Micro-Generation’ project at the This section is not meant to give an 1 The ‘Photovoltaic Materials for the University of Manchester. This is a exhaustive list of UK-based solar PV 21st Century Consortium’ (see collaborative grant with funding of research activities, but instead http://www.pv21.org/intro.htm) £1.5 M, which is aimed at highlights some of the major publicly was launched in April 2004, with constructing affordable funding of £4.2M over 4 years. The funded activities. An extensive list of demonstration hybrid cells (hybrid consortium comprises 6 ‘Solar Energy: Photovoltaics’ R&D organic/inorganic cells based on Universities and 7 companies, with activities can be searched at the UK quantum dots), able to be mass Energy Research Centre (UKERC) the aim of developing low-cost thin-film solar cell devices produced with long-term potential to Research Atlas (specifically the fabricated from inorganic achieve 10% power conversion Research Register) (http://ukerc.rl.ac. semiconductors. efficiency. uk/ERA001.html). • The partners are: Solar PV research in the UK is largely Universities: University of Wales, funded by the Engineering and Bangor (Prof. Stuart Irvine, Physical Sciences Research Council consortium lead), University of (EPSRC). However, in addition to Durham, University of Bath, companies' internal research University of Southampton, activities, some pre-competitive Loughborough University, industrial Research and Development University of Northumberland. projects are supported by BERR, and

97 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

6.0 Solar Photovoltaics (PV)

6.4.2 3 ‘The Development of Advanced BERR have recently awarded £1.2M Activities within the Technology Low Cost InP Based Photovoltaic to NaREC for a Building Integrated Strategy Board’s (TSB) Devices’ Photovoltaics (BIPV) programme, in Collaborative R&D Programme • This project aim is to develop which wafer, cell and module PV devices based upon InGaAs/ manufacturers (including PV InP and InP devices grown on Si Crystalox and Romag) will work The activities described below formed substrates. together on a range of speciality BIPV part of the ‘Emerging Energy modules. Technologies: Low Carbon Energy • Project partners are: Centre for Integrated Photonics (Ipswich, Technologies’ component of the It is also anticipated that additional Department of Trade and Industry’s Lead), University of Oxford, Wafer Technology Ltd. solar PV related projects will be Technology Programme (now part of supported from the Technology the Technology Strategy Board’s • Total Project Cost is: £668,558, Strategy Board’s competition of April Collaborative R&D Programme). with the Collaborative R&D 2007. Programme providing: £223,730. 1 ‘High Efficiency Solar Panels Based • The project started on 3 October In addition to the above, four central on Multi-Layer Graded and Gap 2005 and runs for 36 months. facilities of relevance to the PV CIGS’ community have been identified: the • The project aim is to investigate 4 ‘Sputtered Semiconducting Silicon III-V facility at Sheffield University and develop a novel For Large Area Flexible Solar Cells’ (http://www.shef.ac.uk/eee/research/ semiconductor deposition nc35t), The New and Renewable process for CuInGaSe2 (CIGS) The project aim is to develop a Energy Centre’s (NaREC) PV based solar panels. viable, low cost commercial Technology centre (http://www.narec. process for large area flexible • Project partners are: Ionotec Ltd co.uk/), the University of solar cells, for applications such (Lead), Sheffield Hallam Northumbria’s PV testing facility as building integrated University and Pilkington plc. photovoltaics (BIPV) and (http://soe.unn.ac.uk/npac/npac. • Total Project Cost is: £637,410, appropriate stand alone systems. htm), and Southampton University’s with the Collaborative R&D PV systems test facility (http://www. • Project partners are: Plasma Programme providing: £395,490. energy.soton.ac.uk/research/solar_ Quest Ltd., Romag Ltd and campus.html). Details of the • The project started on 3 October University of Southampton. capabilities of these facilities are 2005 and runs for 36 months. • Total Project Cost is: £743,162, described in detail elsewhere (see UK with the Collaborative R&D Energy Research Centre (UKERC) 2 ‘Polymer Photovoltaics’ Programme providing: £511,678. report: ‘A Roadmap for Photovoltaics • The project aim is to develop PV • The project started in December Research in the UK’, August 2007: devices based upon 2006 and runs until 31 March REF UKERC/RR/FSE/2007/001), and polythiophene based polymers 2009. further information can be found at and co-polymers. the facility websites. • Project partners are: Merck 5 ‘Feasibility of PV Coating on Steel, Chemicals Ltd, Imperial College Based on Dye-Sensitised Titania’ London, BP Solar Ltd, Dupont • The project aim is to develop Teijin Films UK Ltd. functional photovoltaic (PV) • Total Project Cost is: £1,170,365, coatings, by integrating dye with the Collaborative R&D sensitised solar cell (DSSC) Programme providing: £605,991. technology into coatings of strip • The project started in September steel. 2006 and runs until 31 March • Project partners are: Corus UK 2008. Ltd (Lead) and Becker Industrial Coatings Ltd. • Total Project Cost is: £455,493, with the Collaborative R&D Programme providing: £227,746. • The project started on 8 January 2007 and runs for 12 months.

98 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

6.5 • The UK hosts a number of Summary significant players in the field of power generation via photovoltaic (PV) materials. The following gives a summary of the status of the UK’s Solar PV energy - Sharp Electronics UK, the industry: market leader, has its European module assembly plant at • The world solar photovoltaics (PV) Wrexham where capacity is market is growing very rapidly, and rising to 220 MW per annum. installations of PV cells and - PV Crystalox Solar plc is a global modules around the world have leader in refining silicon ingots been growing at an average annual for wafer production. rate of more than 35% since 1998. - ICP Solar Technologies Ltd. has • The UK PV market has been a thin film PV manufacturing relatively slow to develop and by facility in Bridgend. the end of 2005, there were approximately 1,300 installed - G24 Innovations Ltd. has systems and a total of 10.9 MW of established a dye sensitised solar installed capacity, 2.7 MW of cell manufacturing facility at which was installed during 2005. Wentloog, Cardiff, with a capacity of up to 200 MW per • However, The Department of annum (by the end of 2008). Business Enterprise and Regulatory Reform’s (BERR’s) Low Carbon • There is a growing world-class PV Buildings Programme (and local research effort within the UK, with and regional) authority a number of key academic and requirements that a significant research institute groups. proportion of new building energy • Significant Solar PV research needs are to be met via renewable activities are supported by the sources has provided a major Engineering and Physical Sciences stimulus to the UK market for Research Council’s (EPSRC) Building Integrated PV (BIPV) ‘SUPERGEN’ Programme and the systems. Technology Strategy Board’s Emerging Energy/Low Carbon priority of the Collaborative R&D Programme.

99 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

6.0 Solar Photovoltaics (PV)

6.6 SWOT Analysis

Table 6.2 below gives a summary of the Strengths, Weaknesses, Threats and Opportunities of the UK’s solar PV industry. Table 6.2 SWOT analysis for the UK’s Solar PV industry.

Strengths Weaknesses

• Access to a world-class, innovative and collaborative • Manufacturing processes for PV cells are expensive R&D community. (labour and capital intensive)

• A production facility of the world’s PV market leader. • Investment barriers for new entry into the PV cell production market are high. • A market leader in refining silicon ingots for wafer production. • Relatively low (local) market demand suppresses • An international reputation for modern architectural industry growth. design and in the construction of buildings which integrate environmentally friendly technologies such as • Expensive PV installations (per Watt of installed PV. capacity) require significant financial support. • Skills related to the production of PV cells and units in the semiconductor and electronics industries

Opportunities Threats

• Introduction of breakthrough technology (eg, organic • Strong competition in PV cell manufacture from cells) and increased demand could reduce PV unit costs companies in Japan, Germany and the US in significantly. particular. • Leverage of the UK’s capability in electronics. • Production cost reductions for PV systems not • Low Carbon Buildings and other initiatives could realized. increase PV integration in buildings. • Increasing Government support for micro-generation • Transfer of PV cell manufacture to low cost, technologies. developing economies; the same applies to • UK and European market expansion could support PV potential new production facilities. wafer and cell manufacture and increased module assembly. • Inadequate UK support measures as compared • Growing and relatively unexploited UK market for PV. with those offered elsewhere.

100 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

101 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

102 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

7.0 Biomass (Bioenergy)

7.1 Brief Overview of the UK’s Energy from Biomass Landscape

In 2006, approximately 50% of electricity generated from renewable sources was from biofuels (approximately 9.23 TWh of a total of 18.13 TWh) and approximately 2.53 TWh or 27% of this biofuel energy was produced by co-firing biomass with fossil fuels. Excluding the use of landfill gas, which generated approximately 4.3 TWh of energy in 2006, co-firing is the largest producer of biomass energy in the UK, saving over 3 million tonnes of CO2 per year.

(see BERR’s ‘Digest of United Kingdom Energy Statistics 2007’, http://www.berr.gov.uk/energy/ In general, the use of biomass fuels as The details are as follows: statistics/publications/dukes/pages39771.html). a renewable energy source in power generation can be carried out in two • Until 31 March 2006 the maximum ways; either through the construction amount of co-firing eligible for of dedicated biomass plants, or Renewables Obligation Certificates through co-firing of biomass with (ROCs) was 25%. other fuels in existing power plant. • Falling to 10% from 1 April 2006 In addition, Landfill Gas (LfG), until 31 March 2011. Energy from (solid) Waste (EfW) and • Falling further to 5% from 1 April sewage sludge digestion schemes 2011 until 31 March 2016 after utilise energy from biomass sources. which co-firing will no longer be eligible for ROCs. The co-firing of biomass with coal in the UK represents a major market for • Energy data (inputs, electricity imported biomass, and approximately generated, etc.) for 2005, for a wide 1.5 million tonnes of biomass was range of biofuels are shown in Table 7.1 (from http://www. co-fired in the UK in 2005 and over biomassenergycentre.org.uk/). one million tonnes of this biomass was imported (see the International Energy Agency (IEA) Bioenergy Task 40 Report T40UK02R, M. Perry & F. Rosillo-Calle, Imperial College, London, November 2006). Obviously, co-firing is not a standalone technology, and its future is dependent upon the future of fossil fuel power plants – coal in particular. In addition, co-firing is currently encouraged through the Renewables Obligation, but there are constraints on the proportion of an electricity supplier's obligation that can be met from co-firing.

103 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

7.0 Biomass (Bioenergy)

A very good description of biomass co-firing technology in pulverised fuel power plants is given in a BERR publication: ‘Best Practice Brochure: Co-firing of Biomass at UK Power Plant’, DBERR/Pub URN 05/1159, August 2005).

UK power plants use direct co-firing, where combustion of the biomass and coal take place in the same boiler, and coal mills can typically handle 10-15% biomass. Thus, existing fossil fuel-fired power stations can relatively quickly be modified for co-firing, although there are issues associated with increased ‘fouling’ and corrosion in boiler plant, and corrosion and erosion in the hot gas path of gas turbines Table 7.1 - Data showing the energy inputs and electricity generated using biofuel sources in the UK in 2005 through the use of biomass fuels. As (from: http://www.biomassenergycentre.org.uk/ a result, most UK coal-fired generators have co-fired significant quantities of biomass and the conversion efficiencies when co-firing Table 7.2 - Biomass co-firing in the UK, as of August 2005 (from: Best Practice Brochure: ‘Co-firing of Biomass at UK in large pulverised fuel boilers are Power Plant’, DBERR/Pub URN 05/1159, August 2005). relatively high.

A list of coal-fired power plants which were co-firing in mid 2005 is shown here in Table 7.2.

As regards the application of refractory materials in biomass plant, in Circulating Fluidised Bed (CFB) and co-firing applications, for example, improved low cement, high density materials with high abrasion resistance are utilised, which are based on alumina, fused silica or silicon carbide depending on the service conditions and fuels. In such applications, it is often necessary for the furnace designer or operator to work with the refractory supplier to customise product design and selection and identify the optimal installation method.

Interest in dedicated biomass plants Although electricity generation from The same average capacity is now increasing, although there are Landfill Gas schemes makes a (approximately 2 MW per facility) issues with the supply chain for the significant contribution to the total also applies to the more than 200 biomass itself (beyond the scope of UK electricity generation from LfG projects commissioned for this report), and UK technology renewable sources (as mentioned construction in 2006 and beyond (see developers are currently running above, and see Figure 7.1), the most ‘Digest of UK Energy Statistics 2007’ trials and pilot scale tests in a promising sites have already been BERR). Similarly, the capacity of the number of promising biomass developed and the average generating sewage gas schemes is only utilisation technologies including capacity of more than 300 sites approximately 1 MW per facility. anaerobic digestion, pyrolysis and operational in 2006 was only However, for the UK’s municipal and gasification (again, descriptions of approximately 2 MW. industrial waste (EfW) schemes, the these technologies are beyond the average electricity generating capacity scope of this report). is considerably better at approximately 13 MW per facility (and these are usually CHP schemes).

104 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

In addition, TEI Ltd (Wakefield, W. Yorks) have capability in the mechanical design, supply and fabrication of burners for biofuel combustion, and has installed such burners at Ferrybridge ‘C’.

Vesuvius UK Ltd. (Chesterfield, Derbs.), Saint-Goban Industrial Ceramics Ltd. (St. Helens, Lancs.) and Harbison-Walker Refractories Ltd. (Bromborough, Cheshire) are amongst those companies supplying a wide range of fired shapes (refractories) for co-firing and biofuel applications.

Companies involved in the construction of large biomass boilers (1) Large scale hydro capacity was 1,369 MWe in 2006. include Metso Corporation (Finland), (2) Wind includes both onshore and offshore and also includes solar photovoltaics (9.9 MWe in 2006) and Aker Kvaerner (Norway) and Binder shoreline wave (0.5 MWe in 2006). (3) All waste combustion plant is included because both biodegradable and non-biodegradable wastes GmbH (Austria). are burned together in the same plant. Biomass Engineering Ltd. (Newton-le- Willows, Lancs.), supported by the Figure 7.1 – Electricity generation from renewable sources (from ‘Digest of Technology Strategy Board (TSB) in UK Energy Statistics 2007’, BERR). the Combined Heat and Power (CHP) area are investigating the application of a 80 kW downdraft gasifier to a For reference, a detailed map of the Many of the materials challenges range of waste feedstocks, to assess UK’s bioenergy facilities has been facing power generation via biomass the effects on the gasification published by La Tene Maps in are not technology issues per se, but process. Most of the materials used in association with the Renewable are instead related to the fuel chain the gasifiers are relatively simple Energy Association (REA, http:// (energy crops). Thus, the technical steels or stainless steels. www.r-p-a.org.uk), which can be challenges which are present are obtained free of charge, in electronic largely related to alloy and coating Talbotts Biomass Energy Ltd. form, from La Tene Maps. It includes: development for the hostile (Stafford) manufactures biogas environments of biomass plants, and boilers, and biomass power and CHP • Dedicated and co-firing biomass to some extent may be considered in units. power projects. the same way as materials development for super-critical and UK-based players in power generation • Landfill gas, sewage gas and from Landfill Gas include: anaerobic digestion. ultra super-critical (USC), fossil-fired power plant, at least for biomass • Energy from waste plants. combustion. • Clarke Energy UK Ltd. (Liverpool) • Heat only, and Combined Heat and is the sole UK distributor for GE Jenbacher gas power generation Power (CHP) projects. In this respect, for dedicated biomass units (engine, gas handling, plants, UK-based companies already generator, exhaust). have the capability to produce the • ENER.G Holdings plc (Manchester) 7.2 prime movers (gas engines, gas turbines and steam turbines), which has developed a system of portable, Selected UK Capability in Biomass utilise the gas and recovered heat modular gas units with outputs / Bioenergy Power Plant from biomass combustion. In ranging from 300kW to 1.15 MW. addition, the UK’s leading designer of As mentioned above, the UK’s super-critical coal plant (Doosan generators have now gained Babcock Energy Ltd.) is carrying out considerable experience in the design work which will enable power co-firing of biomass with pulverised stations to use up to 50% biomass in coal. However, there is little pulverised fuel combustion (from: information available in the public Mott MacDonald report to UK Trade domain on materials inputs to & Investment, 2007). biomass / biofuel power generation plant, and little information was gathered during the course of this work on the same.

105 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

7.0 Biomass (Bioenergy)

7.3 7.4 • High Corrosion Resistant Coatings Construction of Large Dedicated Selected R&D Activities Related for Biomass Plant (HICOAT)’ is aimed at developing and Biomass Plants in the UK to Materials in Biomass Power demonstrating low cost coating Generation technology to increase component Examples of large dedicated biomass- reliability, extend plant life and fueled power stations, which are As part of the EPSRC’s SUPERGEN increase operating performance of under construction, in planning, or project, there is a ‘Bioenergy biomass-fuelled power units. The have recently begun to generate Consortium’ (see: http://www. project runs from July 2006 until electricity are given below: supergen-bioenergy.net/), which July 2008, with a total project cost received approximately £2.9M of of approximately £340k, with E.ON UK plc’s Steven’s Croft Plant funding in the first phase of funding £170k from the Technology Strategy Board. The project partners In January 2006, E.ON UK plc began (now completed) and has recently been awarded a further £6.4M. The are: TWI Ltd. (lead), Talbotts, construction of the UK's largest Independent Power Corp. plc, dedicated biomass power station at Consortium partners are shown in Table 7.3 below: Monitor Coatings Ltd., Steven's Croft, near Lockerbie, in Metallisation Ltd., ADAS. Energy Scotland, and which began Power Resources and Ecka Metal There are eight main themes in the generating electricity in December Powders Ltd. 2007. The 44 MW plant will burn a project, the most relevant of which combination of forestry residue and to materials are ‘Thermal Conversion’ In addition, to the SUPERGEN and specially grown willow, and is a and ‘Power & Heat’, although there Technology Strategy Board turnkey contract awarded to a are materials aspects to some of the Collaborative R&D Programme consortium of Aker Kvaerner and other themes; details of which can be activities, Cranfield University’s Siemens. found at the Consortium website – see above for link. Energy Technology Centre is particularly active in studies of the Aker Kvaerner Power supplied the combustion of biomass fuels and power boiler (126 MW), based on a Details of Technology Strategy materials degradation (corrosion, bubbling fluidised bed combustor, Board’s (TSB) Technology Programme erosion, etc.) related to the use of the fuel handling system and the flue projects can be found at the TSB such fuels. gas cleaning plant. Aker Kvaerner database: Engineering Services Ltd. (Stockton- "http://technologyprogramme.org.uk/ on-Tees) is a UK-based subsidiary of site/publicRpts/default. Aker Kvaerner ASA (Norway), cfm?subcat=publicRpt1" specialising in Energy from Waste and a current project relevant to (EfW) and Combined Heat and Power materials in biomass fuel fired power (CHP) plant. generation is summarised below:

E.ON UK plc’s Blackburn Meadows Plant E.ON UK plc has announced that it plans to build a 25 MW biomass power station at Blackburn Meadows in Sheffield, which will burn a combination of recycled wood, Table 7.3 – Partners in the EPSRC’s SUPERGEN forestry residue and specially grown ‘Bioenergy Consortium’. crops such as willow and elephant grass. Construction is planned to start in early 2009, with the first power being produced in 2011.

ScottishPower plc’s Longannet Plant Scottish Power has announced that it is to build a 20-25 MW biomass power station at a brown-field site at its Longannet power station in Scotland, which will be operational in 2010. The plant will co-fire Waste Derived Fuel (WDF) with waste wood.

106 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

7.5 Summary

The following gives a very brief summary of the status of the UK’s biomass / biofuels energy industry:

• In 2006, there was approximately 1.5 GW of UK installed biofuels capacity, generating a collective 6 TWh of electricity, comprising: - Approximately 850 MW of Landfill Gas. - Approximately 325 MW of solid municipal waste combustion - Approximately 340 MW from other sources such as sewage sludge digestion. • In addition, approximately 2.5 TWh of electricity was generated through biomass co-firing at pulverised coal-fired power plant. • Most UK coal-fired generators have co-fired significant quantities of biomass in large pulverised fuel boilers. • Although electricity generation from Landfill Gas (LfG) schemes makes a significant contribution to the total UK electricity generation from renewable sources, the most promising sites have already been developed and the average generating capacity per site is only approximately 2 MW. • UK-based companies are active in advanced biomass (energy) conversion technologies including anaerobic digestion, pyrolysis and gasification. • UK-based companies and universities are active in materials and coatings development for biomass power plant applications. • The materials issues associated with biomass co-firing relate to ‘fouling’ and corrosion / erosion in boilers and gas turbines.

107 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

7.0 Biomass (Bioenergy)

7.6 SWOT Analysis

Table 7.4 below gives a summary of the Strengths, Weaknesses, Threats and Opportunities of the UK’s energy from biomass industry, with emphasis on biomass equipment / Table 7.4 plant: SWOT analysis for the UK’s power generation from biomass industry.

Strengths Weaknesses

• The UK has a strong capability in services supporting all • No relatively large scale biomass boiler stages of dedicated biomass and biomass co-firing manufacturers. project life. • Costs of biomass plants (both waste and energy • There is also strength in manufacturing bulk handling crops) are high due to the nature of the fuel. and balance of plant equipment. Biomass fuel requires specific combustion technology and a reliable biomass fuel supply. • There are a number of companies manufacturing small biomass boilers for use in niche markets from domestic to small industrial scale. • At present, the fuel supply chain for energy crops is not well developed in the UK. • There is activity in R&D for advanced conversion technologies.

• Current biomass technology design is mature with some bespoke elements to the combustion systems.

Opportunities Threats

• The UK may be able to become a key player in advanced • Uncertainty over the future market size could conversion technology and obtain the benefits from the threaten investment decisions. associated supply chain. • UK’s strength in services, bulk handling and balance of • There is strong and consolidated international plant represents an opportunity for export. competition for the supply of large equipment items.

• Development of advanced conversion technology outside the UK could displace UK providers.

108 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

109 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

110 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

8.0 Fuel cells

8.1 With the interest in distributed The Market Opportunity for Energy from Fuel Cells power, fuel cells are well suited to support power generation or combined heat and power generation (CHP) using either natural gas or Currently, more than one hundred renewable fuels, and UK fuel cell UK-based companies are active in the developers include established power generation equipment companies, as development of fuel cell technologies, well as smaller specialist companies originating in the fields of materials from materials R&D to fuel cell science and/or chemistry. systems integration. UK-based The UK has an extremely strong academic research base in materials, companies in the sector are chemistry and engineering relevant to fuel cell systems development. developing their supply chains as their There are particular strengths in SOFC research and development, technologies evolve. Some are working with around ten groups working on various aspects across the academic closely with UK partners to build base, including: Universities of Bath, Birmingham, Dundee, Imperial UK-based supply chains. College, Keele, Loughborough, Manchester, Queen Mary College, Sheffield, St. Andrews and Surrey.

The UK has several companies active in the development of Solid Oxide Fuel Cell (SOFC) systems. Key players It is also clear that the UK’s materials include Rolls-Royce (Rolls-Royce Fuel R&D (both industrial and academic) Cell Systems, RRFCS, Ltd.), Ceramic is at the forefront of fuel cell Fuel Cell System Ltd. and Ceres technology, and will continue to be Power, and in Proton Exchange so for the foreseeable future. From a Membrane Fuel Cells (PEMFC), technical viewpoint, the UK’s including Intelligent Energy and particular strengths lie in PEM Voller Energy. There are also (proton exchange membrane) and strengths in the supply of Solid Oxide Fuel Cell (SOFC) components and materials, and materials, components and systems, Johnson-Matthey is a world leader in as well as stationary reformer the supply of membrane electrode systems, fuel delivery and storage assemblies (MEAs) and catalysts, systems, and systems for thermal supplying approximately one third of management relating to ‘balance of all MEAs world-wide. plant’. Mass commercialisation is, in many Fuel cell markets worldwide are in instances, being preceded by the early stages of commercialisation, deployment in niche applications, in both stationary (small- or large- where the benefits of fuel cells are scale) and transport applications. particularly valued. For mass There is a growing number of large deployment in distributed power scale demonstration activities across and/or the large combined heat and the world; for example, by the end of power (CHP) markets, fuel cell 2006, Japan’s national programme technologies (and hybrid systems included over 1,200 stationary fuel with gas turbines) need to be shown cells. Alongside niche applications, to be both cost competitive and leading players are looking to release reliable. Fuel Cells in stationary commercial products soon; for applications are not expected to example, Honda has announced replace large power stations, but plans to put its fuel cell vehicle into could instead form a significant part mass production and on sale within of a distributed power generation the next year. network.

111 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

8.0 Fuel cells

8.2 As regards UK Fuel Cells R&D • Fuel cells are well suited to support Resources for Fuel Cell (although by no means exhaustive), distributed power generation or Technologies & UK Capability information can be found on combined heat and power activities which are in the public generation (CHP) using either domain at the following sites: natural gas or renewable fuels. The materials supply chains for most fuel cell technologies are somewhat • Fuel cells are proving competitive BERR’s ‘Hydrogen, Fuel Cells and in niche applications, and immature, although in Johnson Carbon Abatement Technologies production scale-up will help to Matthey, the UK is home to a world Demonstration (HFCCAT) accelerate the cost reduction leader in catalysts and catalysed Programme’ necessary for mass components for fuel cells, and there (http://www.hfccat-demo.org/). commercialisation. are a number of other world-leading The Technology Strategy Board (TSB) developers. • The UK has particular strengths in Collaborative R&D Programme in PEM (proton exchange membrane) the TSB’s searchable project and Solid Oxide Fuel Cell (SOFC) In light of the existence of a number database: Details of Technology of recent excellent review articles, a materials, components and Strategy Board Collaborative R&D systems, as well as stationary detailed description of fuel cell Programme projects can be found reformer systems, fuel delivery and technologies and their application at the searchable projects database: storage systems, and systems for has not been included in this report. (http://technologyprogramme.org. thermal management relating to Rather the reader is directed to a uk/site/publicRpts/default. ‘balance of plant’ number of excellent public sources, cfm?subcat=publicRpt1). including the ‘Fuel Cell Today’ • The UK’s fuel cell materials R&D Information on the EPSRC's website: (http://www.fuelcelltoday. (both industrial and academic) is at SUPERGEN ‘Fuel Cells Consortium’ the forefront of fuel cell technology com/), where reviews such as the can be found at: (http://www. ‘2007 Large Stationary Survey’ can be and the UK has an extremely supergenfuelcells.co.uk/). strong academic research base in found and the ‘Fuel Cells UK’ website Consortium partners are Imperial materials, chemistry and (http://www.fuelcellsuk.org/), which College London, University of engineering relevant to fuel cell hosts a guide to UK fuel cell Newcastle, University of systems development, with more capability (‘The UK Fuel Cell Nottingham, University of St than 35 active university based Industry: A Capabilities Guide 2004’, Andrews, Ceres Power Ltd, Defence research groups. (http://www.fuelcellsuk.org/team/ Science and Technology Library/Fuel_Cells_UK_Research_ Laboratory, Johnson Matthey plc • The UK has several companies Capability_Guide_2004.pdf), which and Rolls-Royce Fuel Cell Systems active in the development of Solid Oxide Fuel Cell (SOFC) systems (eg, has very recently been partially (RRFCS) Ltd. Rolls-Royce Fuel Cell Systems, updated (see ‘UK Fuel Cell An extensive list of ‘Fuel Cells’ (and RRFCS, Ltd., and Ceres Power), and Capabilities, Fuel Cells UK, 2007’) Hydrogen) R&D activities can be in Proton Exchange Membrane and contains a presentation on fuel searched at the UK Energy Research Fuel Cells (PEMFC) (eg, Intelligent cell materials, applications and Centre (UKERC) Research Atlas Energy and Voller Energy). development trends (http://www. (specifically the Research Register) fuelcellsuk.org/team/Library/ (http://ukerc.rl.ac.uk/ERA001. • There are also strengths in the FuelCellsUK_Introduction_to_FCs. html). supply of components and pdf). materials, and Johnson-Matthey is a world leader in the supply of Membrane Electrode Assemblies In addition, although a little out of 8.3 (MEAs) and catalysts, supplying date the ‘UK Fuel Cell Development approximately one third of all and Deployment Roadmap 2005’ Summary MEAs world-wide. (http://www.fuelcellsuk.org/team/ • However, in addition to systems Library/Roadmap-Fuel_Cells_ The following gives a very brief cost, there are a number of issues UK-final.pdf) gives an excellent summary of the status of the UK’s overview of: related to materials durability/ fuel cells industry, but the reader performance, which have yet to be should refer to sources such as the overcome. • Fuel cell activities in the UK. ‘UK Fuel Cell Development and • UK fuel cell strengths. Deployment Roadmap 2005’ (http:// www.fuelcellsuk.org/team/Library/ • UK fuel cell focus. Roadmap-Fuel_Cells_UK-final.pdf) for • Challenges facing the UK, and further information. strategies and actions to overcome them. • There are more than one hundred • UK organisations active along the UK-based companies are active in fuel cell supply chain. the development of fuel cell technologies, from materials R&D • Levels of global industrial activity to fuel cell systems integration. along the fuel cell supply chain.

112 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

8.4 SWOT Analysis

Table 8.1 below gives a (not exhaustive) summary of the Strengths, Weaknesses, Threats and Opportunities of the UK’s fuel cells industry, but again the reader should Table 8.1 refer to the sources of information SWOT analysis for the UK’s power generation given above for further details: from fuel cells.

Strengths Weaknesses

• UK has considerable expertise in materials and catalyst • Costs of stacks. technology for fuel cells and reformers.

• Expertise in the design of fuel cell stacks and the • Durability/performance levels for stacks. ‘balance of plant for stationary applications. • Relatively low level of Government support, with • Capabilities in system design, packaging and systems potential to impact on international integration, and production engineering. competitiveness.

• World-class research teams in UK Universities, with world-class expertise in key areas such as materials and catalysis.

• World-class development teams within industrial organisations.

• Attractiveness of AIM as the market of choice for fuel cell companies looking for listings.

Opportunities Threats

• Opportunities in the design, manufacture, installation • Lack of market pull. and maintenance of fuel cell systems, particularly for stationary power and CHP applications. • Barriers to distributed power generation.

• Continued materials development for fuel cell systems. • Inability to achieve acceptable cost levels for stacks. • Government support for shift to distributed generation framework (especially if it includes export reward). • Inability to develop affordable balance of plant.

• Inbalance in support / incentive frameworks, • Government uptake of forward commitment to buy which inhibit the ability of fuel cells to compete policies. with, for example, renewable technologies (need for replacement of ROCs with ‘low carbon obligation certificates’).

113 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

114 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Acknowledgements

The author wishes to thank the following organisations, which provided information for this report:

AETC Ltd. New and Renewable Energy Centre (NaREC) Alcan Aluminium UK Ltd. Nexia Solutions Ltd. Alcoa Howmet Ltd. Nuclear Industry Association Alstom Power Ltd. Ocean Power Technologies Ltd. Ansaldo SpA Office of National Statistics (ONS) Aqua Energy Group Ltd. OpenHydro Group plc Areva NP Osborn Steel Extrusions Ltd. Aston University Outokumpu Stainless Ltd. ATI Allvac Inc. Pelamis Wave Power Ltd. Atomic Energy of Canada Ltd. (AECL) PowdermatriX Aubert and Duval (UK) Ltd. Praxaiar Surface Technologies Ltd. Bangor University Production Glasfibre Ltd. BP plc PV Crystalox Solar plc Biomass Engineering Ltd. Queen Mary College, University of London Bodycote H.I.P. Ltd. QinetiQ Ltd. Bradken Ltd. Rolls Royce Fuel Cell Systems (RRFCS) Ltd. British Energy plc Rolls-Royce plc British Stainless Steel Association RWE npower plc British Wind Energy Association (BWEA) Saint-Gobain Industrial Ceramics Ltd. Brookhouse Composites Ltd. Sandvik Ltd. BTM Consult ApS Scottish & Southern Energy plc BVG Associates Ltd. Scottish Enterprise Energy Team Cast Metals Federation (CMF). ScottishPower plc Corus UK Ltd. Sermatech Ltd. Coupe Foundry Ltd. Sheffield Forgemasters International Ltd. Cranfield University Siemens Industrial Turbomachinery Ltd. Department of Business, Enterprise and Regulatory Reform Siemens Power Generation Ltd. (BERR) Solent Composites Systems Ltd. Doncasters plc Special Metals Wiggin Ltd Doosan Babcock Energy Ltd. Sulzer Metco UK Ltd. E.ON UK plc Sumitomo Metal Industries Ltd. Engineering and Physical Sciences Research Council (EPSRC) TEI Greens Overseas Ltd. Fibreforce Composites Ltd. TIMET UK Ltd. Firth Rixson Ltd. Turbomach SA Formax UK Ltd. TWI Ltd. Fothergill Engineering Ltd. UK Steel Fuel Cells UK UK Trade and Investment (UKTI) Goodwin Steel Castings Ltd. University of Birmingham Gurit UK Ltd. University of Bristol Harbison-Walker Refractories Ltd. University of Cambridge Harviglass GRP Ltd. University of Manchester HC Starck Ltd. University of Oxford Hytemp Nickel Alloys Ltd. University of Plymouth IOM3 University of Sheffield Imperial College of Science, Technology & Medicine, London University of Southampton Independent Forgings and Alloys (IFA) Ltd. Vallourec & Mannesmann UK Ltd. Japan Steel Works (JSW) Vestas Blades UK Ltd. Johnson Matthey plc Vestas Towers Ltd. Ladish Corp. Inc. Vesuvius UK Ltd. Loughborough University Wave Dragon Wales Ltd. Magnox Electric Ltd. Wavegen (Applied Research & Technology Ltd.) Mannesmann DMV Stainless (UK) Ltd. WindSupply Marine Current Turbines Ltd. Wyman-Gordon Ltd. Metrode Products Ltd. York Linings International Ltd. Monitor Coatings Ltd. Yorkshire Forward National Physical Laboratory (NPL Management Ltd.)

115 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

116 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

1.0 Executive summary

The views and judgements expressed in this report reflect the consensus reached by the authors and contributors and do not necessarily reflect those of the organisations to which they are affiliated. Whilst every care has been taken in compiling the information in this report, neither the authors or Materials UK or Namtec can be held responsible for any errors, omissions, or subsequent use of this information.

Design and artwork: wddesign.co.uk

00 Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector

Materials UK Energy Review 2008 The mapping of materials supply chains in the UK's power generation sector