How the grid works

1. How the grid works

2. Agenda Agenda 9.30 Welcome and introductions 9.40 Introduction to DNOs 9.55 Structure of the grid 10.15 How we manage grid capacity 10.35 Break 10.50 New connection applications 11.15 Generation connections case study 11.40 Heat maps 12.00 The future 12.15 Lunch and opportunity to talk to ENWL colleagues about your schemes and plans 14.00 Close

3. Introductions • What is your experience of grid connections or working on energy projects? • What are your aims for today

4. Introduction to DNOsHelen Seagrave

5. Introducing Electricity North West 4.9 million 2.4 million 25 terawatt hours • £12 billion of network assetsl56 000 km of network l 19 grid supply points66 bulk supply substations l 363 primary substations l 33 000 transformers

6. Our heritage • 1948 • 1990 1995 2000 • 2007 • 2010 £ Electricity national-isation: North West Electricity Board Acquisition of UU Electricity Services Privatisation: Norweb plc North West Water takeover of Norweb: United Utilities Norweb supply business sold Sale of United Utilities Electricity to private investors

7. The GB energy market All large generators, suppliers and networks are regulated Generation Trading Transmission Distribution Retail Free Market Regulated Free Market But network businesses are the only ones with price regulation £79.04 average cost per bill pays for our service; Highly reliable network in 2017/18 there was 32 customer interruptions (CIs) per 100 customers; 34 mins lost per customer (CMLs)

8. RIIO regulatory framework Revenue + Incentives + Innovation + Outputs = RIIO • ED1 = Electricity Distribution • 14 DNO areas • Eight years £24.6 BILLION Total to be spent on the network 2015 - 2023 £10 Resulting annual average savings in consumer bills 8% The power distribution part of a dual fuel bill Total to be spent on the network 2015 - 2023 £1.8 BILLION Almost56k The length of our power network 30% Network reliability increase since 2002

9. Some of our output commitments in RIIO Customer service Environment Social Safety Reliability Reduce carbon footprint by 10% Underground 80km overhead lines Maintain overall network health Complete flood protection programme Improve overall reliability by 20% Site security investment 90% complaints resolved in one day Pay compensation in storms after 18 hours Mitigate fuel poverty – 20% price reduction Improve services for vulnerable and priority service register customers Resilient supplies to vulnerable locations

10. Our challenges Increasing customer expectations Increasing customer expectations Innovation Changing energy usage Ageing assets Sustainability Affordability

11. Ageing asset base Age profile of assets

12. What used to be relatively simple …

13. …is becoming far more complex and multi-directional

14. Electricity and structure of the gridVictoria Turnham

15. A B C Transform 275kV to 132kV or 400kV to 132kV 132kV 275kV or 400kV Transformation Transformer Transform 132kV to 33kV Heavy Industry 33kV 33kV Transform 33kV to 11kV or 6.6kV Transformer 33kV to 11kV or 6.6kV Transform 11kV or 6.6kV to 400V or 230V Shops & Houses 400 / 230 volts Light Industry 11kV

16. Roles and responsibilities Generation/ wholesale UK System Operator(NETSO) • Transmission Operators(TO) • Distribution Network Operators(DNO) • Independent Distribution Network Operators (IDNO) • Retail • Own and operate the transmission network • Provide the wires which move large quantities of power around the country • Own and operate the public distribution network • Provide the wires which get the power to homes and businesses Generate and sell electricity to the ‘Market’ Responsible for balancing the UK Electricity network power flows • Own and operate a small section of distribution network within another DNOs licence area • Responsible for buying electricity from the ‘market’ and then selling it to their customers • ie who you pay your electricity bill to • Energetics, GTC, ESP, Eclipse Power, Energy Assets Networks National Grid EON, DRAX, Scottish Power, RWE , Horizon Nuclear British Gas, EON, EDF, SSE, Scottish Power, Co-op, GB Energy Supply, OVO • ENWL, SPEN, UKPN, SSEN, NPG, WPD • National Grid, SSEN, SPEN, NIEN

17. Keeping the lights on – three problems To keep the power system stable ... 1 Balance generation and demand across the UK in real time 2 Stop our power escaping • 3 • Maintain the voltage = pressure

18. Problem 1: Generation and demand balance No storage so we must make power at the instant customers want to use it across the UK Balance = constant speed of 50 miles/hour = 50Hz Accelerator = Generation Gradient = Demand

19. Managing the speed – Frequency control Why do we need constant speed ? At - 4% system collapses At + 4% system bursts What is round the next bend ? How much will customers need ?

20. How much will customers need ? GW 55 50 Maximum Winter Day 45 Typical Winter Day 40 35 Typical Summer Day 30 25 Minimum Summer Day 20 15 00:00 02:00 04:00 06:00 08:00 10:00 12:00 14:00 16:00 18:00 20:00 22:00 24:00

21. Which power stations and when ? Slow start Battery Storage Pumped Storage Gas Turbines CCGT Oil Fired Small Coal Large Coal Nuclear <1 second 10 seconds 2 minutes 6 hours Quick start 8 hours 12 hours 24 hours 48 hours Objective is to have most economic mix of stations available just in time

22. What impact does TV have? Wimbledon Men’s Singles Final 2013 (Andy Murray wins) National Grid Demand (MW) Broadcast ends 32,200 Match builds to a conclusion Murray wins 31,800 Match begins 31,400 End of second set 31,000 End of first set 7 July 2013 (day of final) 30,600 Historical demand for a similar day 30,200 29,800 300 MW from steam plant generation 600 MW from steam plant generation 200 MW from steam plant generation 300 MW from steam plant generation 29,400 300 MW from open cycle gas turbine 1400 MW from pumped hydro turbines

23. Problem 2: Stop your power escaping Equipment affected by lots of external factors beyond our control

24. Why bother with the burst ? When the fault occurs all power rushes into the burst So! Find it and stop it fast Typically within 200ms Or Else? • Huge amounts of energy released • The longer the fault lasts the more energy is released • The careful balance is broken • A 1-second fault @ 132kV releases 7GJ

25. Problem 3: Voltage – keeping enough in the system Scotland France Reactive power is difficult to move around 12 – 15% shortfall leads to instant voltage collapse Need enough in each region Loss of local generation or circuits can lead to localised grid failure

26. Transformers National Grid 132/33 kV Transformer 33/11 kv Transformer 11kv/230v Transformer 90,000 properties 20,000 properties 1 - 500 properties

27. CRMS

28. How we manage grid capacity Simon Brooke

29. A B C The challenges Benefits not aligned with costs • Expensive and carbon intensive reinforcement not affordable • High customer bills • Fuel poverty • Changing customer needs • LCT penetration driving demand Low penetration of renewable generation at community level Random locations exclude network benefits

30. Our strategy Assess proposed solutions to determine the optimum balance of cost, time, and probability of requirement • Make a forecast of future energy demands utilising a range of inputs • Assess the impact of future energy demands on different areas of the network • Review historical demand and generation trends Develop solutions to resolve predicted network constraints

31. What we see on our network Transmission grid Measured Demand Measured demand Latent Demand (Generation) True demand Latent demand Loads DG units Demand (or True Demand or Group Demand)

32. Understanding true demand True demand Measured demand Monitored DG exports Non-monitored DG Effects of DG on reducing customer demand at sites with export metering Monitored component of true demand

33. Forecasting approach Underlying demand based on 35 customer archetypes matched to substations

34. Example of future scenario predictions Aggregate BSP winter peaks, before additional connections Other analysis Minimum demand for assessment of available capacity for generation Maximum reactive power exports to transmission network

35. Capacity provision Identify need Detailed needs studies and optioneering Approval

36. Flexible services Response services provided to utility companies which offers customers incentives to reduce their electricity usage or increase their generation during times of peak demand At peak times, demand for energy can outstrip supply placing stress on the electricity network • Energy suppliers need to generate more electricity to meet peak demand which is expensive and increases customers’ bills By changing their electricity usage, consumers can benefit financially and help balance the grid • Consumers can provide a demand response (DR) by providing additional generation or storage, or by reducing usage • Electricity North West has used DR for a few years as an alternative to reinforcement. These DR techniques are now known as flexible services

37. Target areas, 2018 – 2020 Blackfriars Easton Alston Cheetham Hill Coniston Nelson Stuart Street Lancaster Preston Manchester Macclesfield

38. Indicative requirements – winter 2018/19

39. Future requirements

40. Summary Credible demand and generation scenarios, reflecting uncertainty. Tailored to our region, assets and data Support well-justified strategic planning of network capacity Enabling good decisions about solutions to capacity problems, and informed dialogue with National Grid and other stakeholders

41. Coffee Break

42. New connection applications – How can we help?Dave Barlow

43. Introduction • Dave Barlow – Design Engineer • 18 years for the Company, all in Connections. • 16 years as a Design Engineer • HV Demand and HV / LV Generation in Lancashire.

44. Agenda • Connection Process • Connection application • Touch upon Industry Governance • Please ask questions throughout

45. Getting Started - ENW Website • www.enwl.co.uk/get-connected/new-connection/

46. Getting Started - Generation • Link to ENW website – www.enwl.co.uk/get-connected/new-connection/new-generation-connected

47. Minimum Information for Applications • The more information we receive, will enable us to process your application more efficiently.

48. Additional Information • These additional points of information are very useful when helping us provide a good level of service to yourselves. • Do you have planning permission? • Meter position for new supply. • What is your budget? Is there a figure that makes the scheme unviable? • Do you just require the maximum export based upon the existing supply arrangement? i.e. A zero cost quotation • Plan showing land boundaries, details of third party ownership. • Substation position. • Do you intend to install Export Limitation? Familiarise with EREC G100, Maximum power Station Capacity. • G59 – Single Line Diagram, inverters

49. Application Acknowledgement • Once your application has been processed you will receive an acknowledgment via email • Engineers name, contact number and email Address • Customer reference 55....... • GSoP Standard

50. GSoP – Guaranteed Standards of Performance • Summary of the Electricity (Connection Standards of Performance) Regulations 2015