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VIEWS ON ACCESS REFORM Phil Baker 2 February 2007

VIEWS ON ACCESS REFORM Phil Baker 2 February 2007. Priorities. Minimise grid access-related barriers to the deployment of renewables Maximise the utilisation of network assets, both transmission & distribution Maintain the reliability & integrity of the electricity networks.

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VIEWS ON ACCESS REFORM Phil Baker 2 February 2007

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  1. VIEWS ON ACCESS REFORM Phil Baker 2 February 2007

  2. Priorities • Minimise grid access-related barriers to the deployment of renewables • Maximise the utilisation of network assets, both transmission & distribution • Maintain the reliability & integrity of the electricity networks

  3. Government Targets (1) • Likely to require up to 10GW of wind generation to meet 2010 target • need about 6GW in Scotland? • Potential shortfall - could be larger than necessary • Need to resolve queue issues and ensure that • projects able to proceed are allowed to do so • access reallocated in time • anticipate queue attrition?

  4. Government Targets (2) • Require around 20GW of connections to meet 2020 aspiration – a significant challenge • Need to maximise the utilisation of available transmission capacity • Can existing arrangements cope?

  5. Maximise Use of Available Capacity • Work by Centre for DG & SE concluded that; • different technologies drive transmission investment differently • conventional & renewable generation should share available transmission capacity • Centre’s work also points to • lower transmission charges for wind • difficulties with the current arrangements in terms of TEC • need for additional short term products and information to allow increased utilisation of available capacity

  6. Beyond 2010 • 20GW of renewable generation implies notional plant margin of approx: 50% • Sharing available transmission capacity seems inevitable. • Existing access methodology (TEC) at odds with concept of sharing capacity? • Need for mechanisms that allow more generation to connect and share access • trading mechanisms? • administered solution? • Whatever we do, need for a transparent process that gives confidence to both existing and new players

  7. Need to Develop Consensus on Way Forward • DTI working closely with Ofgem and the GBSO • Good to see ARODG in action again • Good to see industry coming forward with proposals

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