Transition towards Low Carbon Energy Monday 12 th June 2017

1. Transition towards Low Carbon EnergyMonday 12th June 2017 Sean Owen Energy Efficiency Lead

2. EnergyHeadline Aim • ‘By 2020, we will establish the necessary capacity and policy framework to accelerate the implementation of energy generation, storage, trading and smart system schemes across Greater Manchester’ • Priorities included; • Accelerating the delivery of an investment pipeline of • approximately £200m of low carbon generation projects • including heat networks, street lighting and renewable generation • Deploying smart energy systems, including storage, which will • enable consumers to understand their usage and actively minimise their bills via demand shift

3. GM Future Growth • Population and economic growth is expected to continue in GM. The draft Greater Manchester Spatial Framework outlines that by 2035, GM is forecast to have an additional; • cr227,200 new homes and; • cr6.45 million m2 of additional commercial and industrial floor space • Future growth in GM will lead to increasing energy demand arising from heating and electricity use in new homes and buildings. • 2,400 GWH/yr energy demand increase • 0.4Mt CO2 Increase under business as usual activity • Represents 3% in energy increase • However,1030 GWH/yr (9%) odf GM consumption could be generated from renewable energy sources, representing a CO2 reduction of 2.6 million tonnes (19%) per annum from 2014 levels

4. Research and evidence Evidence based approach: • GM spends over £5 bn/pa on energy (all) • Use of electricity and gas by domestic and commercial users accounts for 72% of direct carbon emissions in GM • Longer term targets requires energy efficiency, low or zero carbon heating • We have 140MW of installed renewable electricity capacity and 29MW of installed renewable heat capacity. • Technical potential for 9% of our electricity demand and 68% of our heat demand to come from renewable sources. • Significant potential for more: • Heat networks • Solar technologies (heat and power) • Heat pumps air and ground source • Biofuel

5. GM Existing Projects • Smart Systems and Heat – one of 3 national pilots with the Energy Systems catapult to deliver • phase 1 advanced energy masterplanning • phase 2 – potential £30million area wide mass smart heat demonstrator • NEDO project – a £20+ million partnership with the Japanese Government Agency: • 550 smart monitoring enabled domestic properties delivering DSR via Air source heat pumps, with associated smart engagement tools • Heat Networks - £2.7m Elena funding to provide project development unit capacity focusing on heat networks and street-lighting conversion to LED • Triangulum (H2020 Lighthouse project) - to accelerate and improve the deployment of integrated smart city solutions across Europe. The project focuses on three integrated areas; energy, mobility and ICT to deliver community solutions • ‘Nobel Smart Grid’ - Carbon Coop project funded by EU H2020 funding to develop innovative tools and ICT services for the Smart Grid

6. The Future…. • Firstly is to build on existing projects and innovation from across the region to; • Enable and increase the existing flexibility in the distribution network • Novel management tools including Building Management Systems • Market Aggregators and Virtual Power Plants; to allow higher penetration of Renewable Energy Sources (RES) and ensure a stable and safe operation of the grid • Overcome barriers to the adoption of technology; including issues such as client awareness, supply chain, readiness, and project silos • Through; • Increased energy generation and storage projects across GM (public, community, private) • Exploration of vehicle to Grid opportunities • Enabled building portfolio demand shift capability and aggregation • New business and service models and delivery methods developed

7. Thank youemail: sean.owen@greatermanchester-ca.gov.uk