Notes on completion
Before completing this form, please refer to the LCN Fund Governance Document.
Please use the default font (Verdana size 10) in your submission, the text entry areas
are predetermined and should not be changed. Please ensure all content is contained
within the boundaries of the text areas. The full-completed submission should not
exceed 9 pages
in total.
Ofgem will publish all the information contained within the Screening submission.
DNO Group
Participant DNOs
DNO area
Project title
Project summary
Estimated Project funding
Please provide an approximate figure of the total cost of the project and the LCN funding you are applying for.
Total cost of Project
LCN funding
requested
Low Carbon Networks Fund
Screening Submission Pro-forma
SSE plc
Southern Electric Power Distribution (SEPD)
SEPD and Scottish Hydro Electric Power Distribution areas
I²EV - Innovation-squared: managing unconstrained EV connections
SEPD believes that is essential that a commercial framework is created which allows
third parties to safely and securely develop and test new low carbon technologies on
distribution networks. The I
2
EV project will deliver valuable learning on managing the
strain placed on the distribution network by increased uptake of electrical vehicles.
However, the most valuable aspect of I
2
EV is that it has been conceived and will be
managed by a non-DNO. I
2
EV will create a blueprint for the interaction of DNOs and
third parties. It is in this spirit that SEPD has invited EA Technology to complete the
Initial Screening Submission Pro-forma. The content is endorsed by SEPD, the project's
participant DNO, but is written by EA Technology.
Forecast growth in electric vehicles (EVs) in Great Britain will lead to local overloading
of distribution networks (DECC 2050 Pathways). Over two years, I²EV will give DNOs a
cost effective solution that reduces network reinforcement, demonstrates a new project
delivery framework using a third party project lead, and supports EV market growth.
Innovation 1 (technical): New technology EA Technology has independently
developed 'Esprit' ('the technology'), a novel monitoring and control solution to manage
the supply of electricity to EVs connected to distribution networks. Field trials of the
technology will be conducted on a range of representative networks and EVs.
Innovation 2 (commercial): A novel commercial arrangement I²EV will be
delivered as a project by a third party innovation technology provider, with a
contractual arrangement placed to ensure that the DNO can meet the requirements of
the LCN Fund and other obligations. A project framework blueprint will be developed.
£3.4m
£2.5m
Problem
Please provide a narrative which explains the Problem(s) which the Project is seeking to address.
Method(s)
Please describe the Method(s) which are being trialled. Please outline how the Method(s) could solve the Problem. The type of
Method should be identified where possible e.g. technical or commercial.
Problem 1 (technical): Increased stresses on the network - overload due to
market growth of EVs Government forecasts that 1.7 million electric vehicles (EVs)
will enter the market by 2020 (Meeting Carbon Budgets, CCC Report, October 2009);
up to 80% of passenger car distance could be powered by electricity by 2050 (DECC
2050 Pathways analysis report, 2010). Peak energy demand could increase by 36%,
resulting in 'a profound impact on the utilisation of generation and network capacity in
the electricity system' (Advanced Smart Metering report, Imperial College/ENA, March
2010). Even at lower end forecasts, without the optimisation of demand side
technology, this analysis indicates that this GB market growth is set to lead to local
overloading of distribution networks.
The I²EV project will provide DNOs with a cost effective solution that avoids network
reinforcement while at the same time supports the growth of EVs. Potential costs
savings in terms of reducing stresses on the network due to EVs range from £0.5bn to
£10bn (ENA/Imperial College).
Problem 2 (commercial): Developing commercial structures for rapid solution
deployment by third party providers This project will demonstrate how non-DNOs
can lead projects in a structured contractual framework to ensure development of
adoptable solutions from third party providers.
SSE has worked with EA Technology to select a project that addresses a single technical
problem with a single technical solution - allowing focus on the structure as well as the
technical aspects of the project.
The I²EV project will be led by EA Technology who will be contracted to deliver:
- Customer engagement followed by modelling;
- Design of trials: sign-off for specifying, installing and testing equipment on the live
network with DNO
- Stakeholder engagement mechanisms (stakeholders include electricity customers,
manufacturers of both EVs and EV chargers)
The I²EV project will demonstrate how a non-network company can, through a novel
contractual arrangement, access the LCNF Fund to deliver a low carbon solution. I²EV
will explore and report upon associated barriers and risks.
Method 1 (technical): Modelling and trials of the technology Modelling and trials
will aim to prove that the technology works, with customer support, on a range of LV
network types: cable, overhead line, mixed, heavily and lightly populated circuits. The
technical aspects of the trials will consist of installing monitor-controllers (MC) at
distribution substations, with active sockets (AS) installed in customer installations.
The MC ensures that the load of all EV chargers does not take the load above the rating
of the LV circuit. The initial proving trials will be conducted on cable and overhead line
LV networks that are located in the SEPD area, where communications have been
proved on an earlier IFI funded assessment project. A key aspect will be in
understanding customers' attitude and behaviour to managed EV control; I²EV will
enlist the support of a social science academic partner to this end.
Upon successful completion of the initial trials, extensive in-situ field trials will be
conducted in areas primed for high penetrations of EVs. The I²EV project will link to
initiatives including the Isle of Wight (EcoIsland); other locations are being considered.
Method(s) continued
Funding commentary
Provide a commentary on the accuracy of your funding estimate. If the Project has phases, please identify the approximate
cost of each phase
Specific Requirements (please tick which of the specific requirements this project fulfils)
A specific piece of new (i.e. unproven in GB) equipment (including control and communications
systems and software) that has a Direct Impact on the Distribution System)
A novel arrangement or application of existing Distribution System equipment (including control and
communications systems software)
A novel operational practice directly related to the operation of the Distribution System
A novel commercial arrangement
Solution to problem 1: If successful, the technology will provide GB DNOs with a low
cost, easy to implement, alternative to traditional network reinforcement when faced
with networks overloading due to unconstrained connection of EV chargers. The
technology could also be used to control other significant demand types, eg heat
pumps.
Method 2 (commercial): Lead project management by non-DNO innovation
technology provider EA Technology, will assume absolute responsibility for project
management of I²EV, from project inception to delivery. The field trials will be designed
by the third party, who will then work in partnership with SSE to conduct the field trials.
Where possible the installation and commissioning of the technology on live electricity
networks will be subcontracted to third parties.
Solution to problem 2: In order to provide access to the network, a blueprint
commercial and operational framework will be developed between DNO (SSE) and
non-network company (EA Technology). The blueprint will address issues and risks to
both DNO and third party delivery body while ensuring compliance with the
requirements of LCN Fund governance.
Phase 1 (technology proof of concept): A minimum of 20 charging units, in different
network configurations. Each of the 20 units will incorporate a dummy load to prove
the concept of EV charging cycles.
Phase 2 (larger scale trial roll out): A minimum of 200 charging units, across 20 LV
feeders will be deployed in real environments. We would aim to link these deployments
to clusters of EVs.
The project costs are based on assessments made by our in house specialists and our
project partners; their accuracy will be further refined prior to final submission. The
project will leverage funding from local and national sources.
Accelerates the development of a low carbon energy sector & has the potential to
deliver net financial benefits to existing and/or future customers. Merged evaluation
criteria, as set out in decision letter.
The DNO must demonstrate that the Solution makes a contribution to the Carbon Plan and has the potential to deliver
financial benefits.
Has a Direct Impact on the operation of the distribution network
A Second Tier Project must demonstrate that the Method(s) being trialled will have a Direct Impact (as defined in v.4 of the
Governance Document) on the operation of a DNO's Distribution System.
Generate knowledge that can be shared amongst all network operators
The DNO must explain the learning which it expects the Method(s) it is trialling to deliver. The DNO must demonstrate that it
has a robust methodology in place to capture the learning from the Trial(s).
Direct Impact of Method 1 (technical): Modelling and trials of the technology
The technology is a specific piece of new (unproven) equipment (including control and
communications systems and software) that has a Direct Impact on the LV Distribution
System. The technology prevents a circuit from being required to supply more power
than it is capable of; a Direct Impact will be seen due to the need to change the
operation of the network, which will provide significant benefits to suppliers and
customers throughout GB - once proven, implementation of the technology will reduce
the need for expensive reinforcement to facilitate EVs.
Alternatives include the DNO signalling to customers; issues include the complex
market arrangements (priority between TSO, suppliers and DNO for controllable load),
and the need for buy-in of customers.
Direct Impact of Method 2 (commercial): Lead project management by
non-DNO innovation technology provider SEPD is keen to see the rapid
development of innovative solutions on the network, broad engagement with third
parties and an open door for truly collaborative trials is an effective tool for the
acceleration of this process. This project will test the types of commercial and
contractual arrangements that need to be in place to maximise the benefit of these
arrangements.
Learning resulting from Method 1 (technical): Modelling and trials The I²EV
project will demonstrate the performance and capability of the technology. If proven to
be effective the technology will offer DNOs a low cost, easy to implement alternative to
network reinforcement that will revolutionise the connection of EVs in the UK, saving
the DNOs the expense of reinforcement costs - the projected savings are still to be
quantified, between ISP and full bid. The trial results will be captured and presented to
all DNOs through dissemination channels as established in the project's communications
strategy and plan. Level of cost efficiency of implementation and roll-out, and
acceptability of approach to customers will also be reported upon.
Learning resulting from Method 2 (commercial): Lead project management by
non-DNO innovation technology provider The prototype commercial and
operational framework will be disseminated as a blueprint to all DNOs for use in future
projects, together with recommendations of relevant changes to commercial contracts.
The novel commercial structure will mean that EA Technology will be contractually
obliged to deliver knowledge relevant to the delivery of the solution to SSE, ie how to
deploy the technology and the potential savings that it can deliver. These outputs will
be made available to the GB DNO community in full, through a robust communications
strategy and plan. Learning from Methods 1 and 2 will be captured as a core function of
the project management process and methodology via methods including workshops,
newsletters, reports and contract templates.
Please tick if the project conforms to the default IPR arrangements set out in
the LCN Fund Governance Document?
If the DNO wishes to deviate from the default requirement for IPR then it must demonstrate how the learning will be
disseminated to other DNOs.
Focus on Methods that are at the trialling stage
Demonstrate why you have not previously used this Solution (including where the Solution involves commercial
arrangements) and why LCN funding is required to undertake it. This must include why you would not run the trial as part of
your normal course of business and why the Solution is not R&D.
The Esprit technology is the Background IP of EA Technology Limited having been
devised, designed, patented and developed without external funding.
The Foreground IP associated with demonstrating the performance, capability and
deployment options of the technology on live LV networks from I²EV will be actively
shared to the DNO community in accordance with the terms of the LCN Fund
Governance arrangements.
Solution 1 (technical): The technology that forms the basis of the solution to the
problem of increased stresses on the network - overload due to market growth of EVs -
has not yet been released to the market. The solution is at the laboratory testing stage
(TRL5), with plans to be ready for wide-scale in-situ testing on live networks (TRL7) by
Q3-Q4 2012. Therefore the technology will be beyond R&D stage at I²EV project
commencement. I²EV will provide a large enough field trial to rigorously test the
technology on real LV networks, with real EVs and with real customers. LCN funding is
required to undertake the trials and resultant GB-wide dissemination of results and
learning to DNOs, which would not otherwise form part of SSE's usual course of
business. The magnitude of the field trials required make the project relevant to LCN
Second Tier funding. The technology has not been trialled previously by SSE due to the
nascent nature of EVs. The balance of risks make it timely for the I²EV project to
commence now given the projected acceleration of EV uptake and associated stresses
on the existing network. It is worth noting that the technology underpinning I²EV could
be equally applicable to heat pumps.
Solution 2 (commercial): LCN funding under Tier 2 is required to develop a blueprint
commercial and operational framework for use between DNO and third party innovation
technology provider development and roll-out to all GB DNOs. The development of this
lies outside SSE's usual course of business and is timely given the projected launch of
Network Innovation Competition funding in 2015.
Project Partners and external resourcing/funding
The DNO should provide details of any Project Partners who will be actively involved in the Project and are prepared to devote
time, resources and/or funding to the Project. If the DNO has not identified any specific Project Partners, it should provide
details of the type of Project Partners it wishes to attract to the Project.
Derogations or exemptions
The DNO should outline if they consider that the Project will require any derogations, exemptions or changes to the regulatory
arrangements.
Network and EV charging cycle modelling - EA Technology
Customer (social) modelling - Academic partner
Liaison with EV manufacturers - EA Technology with EV manufacturers
Phase 1 trials - easy location where comms is already proven - EA Technology with
subcontractors involved in deployment and commissioning
Phase 2 trials - End-to-end testing in remote locations - EA Technology with
subcontractors involved in deployment and commissioning
Activities to support the transfer to DNOs' Business-As-Usual - EA Technology
Independent verification of results - Academic partner
Project Dissemination - Blah d Blah Ltd (EA Technology's creative communications
agency)
Project Management and support - EA Technology - a proven track record in
delivering LCN Fund projects including Northern Powergrid's Customer-Led Network
Revolution (CLNR) and SSE's New Thames Valley Vision (NTVV)
All aspects of I²EV will require SSE input and/or sign-off which has been costed into the
project.
There are potential derogations regarding the connections process, as this will be a new
type of constrained demand connection which will not be offered to all customers.
Further details will be explored in the development of the full bid.
Customer impact
The DNO should outline any planned interaction with Customers or Customer’s premises as part of the Project, and any other
direct customer impact (such as amended contractual or charging arrangements, or supply interruptions).
Please use the following section to add any further detail you feel may support your
submission.
Customer Impact of Method 1 (technical): Modelling and trials of the
technology The intention is to seek volunteers (customers) to participate in the
engagement, assessment of receptivity and trials. For the initial trials it will be
necessary to connect the technology on the DNO side of the meter, which will mean a
short interruption of supply and therefore have a potential impact on the customer. For
the full-scale trials it will be necessary to connect the technology on the customer side
of the meter; a separate circuit from the consumer unit to the EV socket. This will
mean a short interruption of supply to the customer in that property.
It is anticipated that the main barrier to uptake of I²EV will be social, ie will customers
accept less than 100% charging of EVs due to 'spread' of charging capacity? I²EV will
need to model, gain and assess customer reactions, then trial the technology to
determine reflection of reality.
Customer Impact of Method 2 (commercial): Lead project management by
non-DNO innovation technology provider The resultant blueprint contractual
agreement will change the nature of the connection agreement between the DNO and
the customer.
SEPD endorsement:
Under the principles of the new commercial arrangements being trialled in this bid EA
Technology has prepared this document with our endorsement.
We believe that this bid will provide valuable learning for DNOs in particular in relation
to working closely with third parties in the trialling of novel solutions on existing DNO
networks in a manner that ensures that LCN Fund governance and other license and
legal requirements are maintained.
Contact name
Contact Address
E-mail
Direct telephone line
Job title
Stewart Reid
Southern Electric Power Distribution
Inveralmond House
200 Dunkeld Road
Perth
PH1 3AQ
Stewart.A.Reid@sse.com (Jennifer.McGregor@sse.com)
01738 455746
Future Networks And Policy Manager
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