08112011belgian%20grid2presentatie%20elia

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Raccordement et Réservation de capacité des unités de production Users’ Group – Work Group Belgian Grid 08-XI-2011


Structure •

Rappel du trajet

Consolidation des différents points de vue

Discussions & Next steps

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18/11/2011


Rappel du trajet “Réservation de capacité” •

Situation actuelle et problématiques à solutionner • Demandes parallèles, • Non-blocage des capacités, • Guaranties pour chacune des parties

Trajet d’étude et propositions  Elia p.o. UG Visio-20110912_Ré • Réservation de capacité à demande EDS + servationDeCapacité RT. Autorisation Individuelle de Production • Maintien capacité lié à avancement du projet ou moyennant payement

Contre-proposition FEBEG

Re-consolidation ?

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18/11/2011


Consolidation des différents points de vue •

FEBEG

ODE

Elia – 1ère analyse

Any other ?

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18/11/2011


INTEGRATING NEW POWER PLANTS IN THE GRID = FEBEG Proposal Power generation development Investment decision Strategy Project planning

Development Phase

Request

Specs, Licensing, RFI, RFP, ‌

Request

Engineering

Firm grid capacity available Build

First Firing

Commitment for firm capacity

Connection Procedure Connection Agreement

Consultation Orienting study

Detailed study

Engineering

Realization Connection

(Congestion Management)

Grid development TYND

Investment planning

16.09.2011 5 18/11/2011

‌

Engineering Permitting

Grid reinforcements

Grid reinforcements


1ère Analyse Elia de la proposition FEBEG (1) • Elia = Full Ownership Unbundling vs Independant System / Transmission Operator au sens de la Directive 2009/72/CE  Application de l’article 12 (et non 23)

 “Guarantir la capacité de transport pour des demandes raisonnables,[…]”, ….

Nuance importante des General Principles énoncés  “Most appropriate connection point”, “timely”, “proactively”  reasonable

même si partage des soucis  Investisseurs = garanties  Elia = engagements pour investissements efficaces de développements du réseau

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18/11/2011


1ère Analyse Elia de la proposition FEBEG (2) •

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Problèmes des délais de réalisation des raccordements et et des renforcements réseaux • Actuellement délais importants avant obtention des permis (/ plans) nécessaires or trajets au moins parfois séquentiels  décalage dans les réalisations de la centrale – vs raccordement – vs renforcement réseau

18/11/2011


1ère Analyse Elia de la proposition FEBEG (3) •

Trajet de raccordement proposé sans tenir compte des demandes parallèles, or impact de celles-ci sur le renforcement de réseau (en considérant solution de raccordement maintenue)

 risque de renforcements plus importants avant capacité totale sur le réseau  risque de délais supplémentaires, voire impossibilité en pratique

• •

En pratique : • étude d’orientation (différentes alternatives proposées)  étude de détail (conditionnée)  à faire revalider avant décision d’investissement Quand signer le contrat de raccordement? Quel contenu?

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18/11/2011


1ère Analyse Elia de la proposition FEBEG (4) •

Congestion Management vs flexibilité • Flexibilité pendant renforcement du réseau • Application du CIPU à partir du moment où réseau est renforcé

Disctinction sur le schéma • @ Mise en service du raccordement = connection/partial access available • après le renforcement du réseau = capacity available

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18/11/2011


1ère Analyse Elia de la proposition 7000 MW FEBEG (5) •

en projet

Développement proactif mais raisonnable : oui mais comment? • Handshakes avec Fluxys actuellement • “Consultation” Strategy Project Planning  TYND – Quelle information ? – Réaliste ? – Input intéressant pour Elia, à croiser avec autres sources d’information

• Importance de la localisation ! • Ampleur des renforcements augmente  durée et coûts aussi! Vs prioritisation des projets dans un portefeuille (autres drivers : prélèvements, interconnexions,…)

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18/11/2011


1ère Analyse Elia de la proposition FEBEG (6) •

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Prise en charge des coûts en cas d’annulation • Coûts de raccordement direct (liaison + travée + poste + partie du réseau

18/11/2011


1ère Analyse Elia de la proposition FEBEG (7) •

Divers sur processus mis en avant : • Durées => non-alignement des étapes • Basculement de l’Engineering (Permitting) avant investment Decision ? • Quand y a-t-il signature du Contrat de raccordement?

• •

Quel rôle de l’autorisation de production? Qui peut juger du caractère raisonnable d’une demande de raccordement (pénurie vs excès de production)

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18/11/2011


Discussions & Next steps Revalidation des éléments à reprendre dans proposition

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18/11/2011


EXTRA’s

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18/11/2011


Présentation FEBEG – 16/09/2011

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18/11/2011


GRID CONNECTION OF POWER GENERATING FACILITIES

FEBEG POSITION Elia WG ‘Belgian Grid’ (16.09.2011)

16 16.09.2011

18/11/2011


FEBEG

16.09.2011 17 18/11/2011

17


CONTENT Current developments General principles Integrating new power plants in the grid Grid connection procedure Firm capacity for injection Congestion management Derogations Conclusions

16.09.2011 18 18/11/2011


CURRENT DEVELOPMENTS

• Proposals Elia (WG Belgian Grid) for new capacity reservation procedure • Proposals Elia (WG Belgian Grid) for new connection procedure • Proposals in Policy Platforms VREG and CWaPE (REDI) regarding flexible access (= conditional connection)

16.09.2011 19 18/11/2011


GENERAL PRINCIPLES (1) Need for transparent and efficient procedures for nondiscriminatory connection of new power plants to the grid (art. 23,1 of EU Electricity market directive) All new generation capacity should be timely connected to the grid (art. 23,2): •

connection cannot be refused on the grounds of possible future limitations to available network capacities current situation in BE is not compliant connection cannot be refused on the ground that it will lead to additional costs linked with necessary capacity increase of system elements

• Power generators need firm commitment and predictable conditions at the moment of their investment decision 16.09.2011 20 18/11/2011

tdh3


Slide 20 tdh3

This is different from actual limitations. Elia only takes into account actual limitations or limitations as a result of actual scenarios. gbf250; 29/09/2011


GENERAL PRINCIPLES (2) Grid operators should employ all reasonable means to timely connect all new generation capacity: • • •

at a reasonable cost at the most appropriate connection point (location, voltage, …) without imposing disproportionate or discriminatory technical or operational constraints to power generators

Grid operators should proactively invest with a long term vision in order to reach this objective1 • •

ensure the long-term ability of the system to meet demands for transmission of electricity in a secure, reliable and efficient way contribute to security of supply through adequate transmission capacity and system reliability

Solidarity and coordination between TSO and DSOs regarding grid investments and choice of most appropriate connection point for power plants 1

Art. 12 of EU Electricity Market Directive

16.09.2011 21 18/11/2011

tdh4


Slide 21 tdh4

the perspective of the generators in the field of grid investments is only focussed on their needs, whereas Elia's perspective is broader (investment for load, import, ...) gbf250; 29/09/2011


tdh5 tdh6

INTEGRATING NEW POWER PLANTS IN THE GRID Power generation development Investment decision Strategy Project planning

Development Phase

Request

Specs, Licensing, RFI, RFP, ‌

Request

Engineering

Firm grid capacity available Build

First Firing

Commitment for firm capacity

Connection Procedure Connection Agreement

Consultation Orienting study

Detailed study

Engineering

Realization Connection

(Congestion Management)

Grid development TYND

Investment planning

16.09.2011 22 18/11/2011

‌

Engineering Permitting

Grid reinforcements

Grid reinforcements


Slide 22 tdh5

Development phase: do they mean the 'plan de dĂŠveloppement'? if the plan de developpement is only based on (non-binding) orienting studies, there is a risk this plan is not up to date if the generation project will not be performed gbf250; 29/09/2011

tdh6

the commitment for firm capacity: we need a better definition of firm capacity; what does it involve? which are its limits? what is the meaning of conditional capacity ? what is the difference between conditional capacity and dispatch in case of congestion ? what are their respective triggers...? gbf250; 29/09/2011


CONNECTION PROCURE Capacity reservation TSO should treat all applications for grid connection on a transparent and non-discriminatory manner tdh8

At the moment of its investment decision (financial closing) the applicant needs firm commitment that grid capacity will be firmly available at the commissioning date Objective is to avoid grid capacity hoarding for non realistic projects and reduce interdependencies and administrative overhead for Elia and applicant:

tdh10

tdh9

•frequent in between checks based on permitting status or confirmations of requests should be avoided tdh7 •ad hoc intervention of Minister in individual procedures is not appropriate

16.09.2011 23 18/11/2011


Slide 23 tdh7

what is the mening of "ad hoc intervention"? does Febeg want to work without generation permit? gbf250; 29/09/2011

tdh8

the applicant-generator has to specify firmly (!) when the investment decision will be taken gbf250; 29/09/2011

tdh9

this is the responsibility of the applicants ! gbf250; 29/09/2011

tdh10

the availability of the capacity will depend from different factors beyond Elia's control (e.g. permitting, ...) and can therefore not be firm. gbf250; 29/09/2011


CONNECTION PROCEDURE Principles Connection procedure should be transparent and efficient and based on non-discriminatory criteria: • • • • • •

objective criteria to assess request for connection informative orienting study formal request for detailed study (leading to connection options, including conditions, timing and costs) formal & mutual acceptance of one option signing of the connection agreement start realization according to planning and payment scheme

tdh11

Signing of the connection agreement: • •

firmly allocates the capacity to the applicant fixes all terms and conditions between applicant and grid operator, including arrangements if grid operator is unable to timely realize grid connection (reinforcement) or if power plant project is delayed or definitely stopped

16.09.2011 24 18/11/2011

tdh12


Slide 24 tdh11

if my understanding is right, the signing of the connection contract is considered as sufficient; so, no need of further ordering...? gbf250; 29/09/2011

tdh12

this implies that Elia could perform its grid investments (necessary for the generator) at a pace which is quite independent from the roll out of te generator's investments. If the latter will not take place, whereas Elia has totally performed its investments, the generator must agree to indemnify all stranded costs ! gbf250; 29/09/2011


CONNECTION PROCEDURE Agreement General terms and conditions

Specific terms and conditions

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In case of timely realization of connection

Payment

In case of withdrawal connection request

Possible compensation depending on phase of realization

In case of untimely realization of connection

Compensation

In case of untimely realization grid reinforcements

Congestion management

‌

‌

tdh13


Slide 25 tdh13

see previous comment. this works in both directions. gbf250; 29/09/2011


FIRM CAPACITY FOR INJECTION Flexible connection is unacceptable • • • •

lack of incentives for grid investments discourages investments in generation capacity discriminatory competition distortion additional uncertainty and missed revenues for power generator

NMA1: ‘flexible connections are discriminatory because they make a distinction between existing and new connections’ If grid infrastructure is not sufficient to guarantee firm connection capacity: market based congestion management as temporary solution pending urgent grid NMA decision of the 20th of May, 2009 (102690/87) investments 1

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CONGESTION MANAGEMENT (1) Objective criteria to measure/predict actual/future congestion proactive investment program Structural congestion is unacceptable Occasional congestion: • •

should also be prevented by timely investments market based congestion management can offer temporary solution

Market based congestion management system with fair compensation ensures: • • •

grid operators can assess whether they compensate grid users to ramp up/down or invest in grid reinforcements a correct price which reflects scarcity or oversupply of flexibility a fair compensation incentivizes market operators to invest in flexible generation capacity or flexible demand

16.09.2011 27 18/11/2011


CONGESTION MANAGEMENT (2)

System redispatch with up- and downward regulation can be implemented according to the Dutch Model: • clear identification of congested zones on TSO and DSO grid • voluntary and, if necessary, mandatory bidding • applicable on all grid users (both generators and end users), including already connected parties no discrimination • biddings for different categories of units to prioritize renewables and cogeneration • fair and market based compensation • net cost of congestion management system is socialized in grid fee

16.09.2011 28 18/11/2011

tdh14


Slide 28 tdh14

application of redispatch to end users requires the speeding up of the smart grids. not sure whether the regulators are able to follow... gbf250; 29/09/2011


DEROGATIONS Derogations of these principles should be avoided: • •

except for system security reasons existing derogations such as mutually agreed upon grid access constraints for specific conections during a limited number of hours for the maintenance of grid components, should not be considered as a precedent

16.09.2011 29 18/11/2011


CONCLUSIONS Grid operators should employ all necessary means to timely connect all new generation capacity Complexity and uncertainty in the connection procedure and agreement should be reduced Grid capacity for injection needs to be firm Structural congestion must be avoided by timely investments Occasional congestion should also be prevented by grid reinforcements or managed with a market based congestion management system with fair compensation

16.09.2011 30 18/11/2011


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