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WCM Summer School 2014

WCM Summer School 2014. Group 8. Distribution Transformers : Aligning sustainable goals, financial benefits & quality. Key figures. Case company: Liander Liander distributes energy through the Liander grid to customers in the Netherlands Case topic: Distribution Transformers (DT)

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WCM Summer School 2014

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  1. WCM Summer School 2014 Group 8 Distribution Transformers: Aligningsustainable goals, financial benefits & quality

  2. Keyfigures • Case company: Liander • Lianderdistributes energy through the Liandergridtocustomers in the Netherlands • Case topic: Distribution Transformers (DT) • DT transformselectrical power between different voltage levels • Medium Voltage (20kV/10kV) into Low Voltage (690V/400V) • 33.000 DTs in the Liandergrid • Highlyreliable (7 failures / year / grid) • Average life span: 40 years

  3. Problem statement • Goal: Make investment proposalsfordistributiontransformerstoprovide the stakeholders of Lianderwith the highest (circular) value. • Problem: Maininterests of key stakeholders seemtobeunaligned: • Increasesustainability (circularity) • Increase Financial Profit • MaintainQuality & Safety • Is itpossibletoalign the interests of all stakeholders? YES!

  4. Scenarios

  5. 1: Current policy: ReplaceDTsplacedprior to 1970 withnewer,more sustainableDTs • Keyelements • Significant reduction in energy losses (sustainability) • ReuseexistingDTs (sustainability, cost-efficient) • Cost-efficient: Averageannual return over totaldepreciationperiod (40 years): 16% • Saving CO2 of 180.000 kg over total lifespan • Proven technologywith long life cycle (higherquality) • Implementation: • Currently ±450 replacements/year • Continue thisprocess

  6. 2: ReplaceDTsplaced prior to 1970 withnew DTswith On Load Tap Changer (OLTC) • Keyelements • Preventing a replacement wave (risk reduction) • Withstandsfuture changes to the grid (risk reduction) • Significant reduction in energy losses (sustainability)Reductionoutweighs energy forreplacing & 95% of material of old DT is circular • Averageannual return over totaldepreciationperiod (40 years): 7,76% • Saving CO2 of 250.000 kg over total lifespan • Initial investment outweighsfuturemodificationcosts (costefficient) • Proven technologywith long life cycle(higherquality) • Implementation: • Tender for new DTswith OLTC • After delivery, gradually start placing the new DTs.

  7. 3: Alignall stakeholders in the supplychain toreach EU demands most efficiently • Motive: CommissionRegulators (EU etc.) demand more sustainable energy distribution (Ecodesign DB – 2009/125/EC) • Keyelements • Reach the EU sustainability goal bydecreasing the CO2-emission of DTswithcombined effort of all stakeholders in the supply chain • Design for Maintenance & Recycling • Modernization of grid system, such as DTswithOn Load Tap Changers • Embedsustainability goals in tendering procedures. • Reduce costs in long term for all stakeholders • Positive impact to the customers. • Implementation: Gather most important stakeholders (Regulators, Energy Productionand Distribution Companies, Material, Component and System Suppliers) todetermine the strategyforfulfilling the EU goals.

  8. Conclusion • Aligning interest of all stakeholders: • Improvingsustainability, • Increasing Profit, • Maintaining high quality, and • Managing risks (futureproof).

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