NRG Magazine Edition 11

Edition 11 | September 2013 | Retail price € 5,50

International Cooperation in Energy and Energy Law: Sustainability’s Toolkit

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his edition of NRG Magazine is dedicated to International Cooperation in Energy and Energy Law. The edition also has a particular focus on offshore energy and on the complexities and challenges that come from this area.

In my view, offshore energy is a sector in which international cooperation is essential, especially for the Netherlands. When thinking of offshore energy, wind energy immediately springs to mind, and this is mostly because of the challenges we face with respect to this particular form of renewable energy. The Netherlands needs offshore wind in order to achieve the European renewable energy objectives.

However, at present the costs for wind energy are relatively high. In this sense, we want to focus on cost reduction before we will invest in offshore wind energy on a large scale. I firmly believe in innovating through demonstration projects. Innovation is key for reducing the costs of renewable energy and it provides us with an economic opportunity for our building industry at the same time.

Bert de Vries Deputy Director-General for Energy, Telecommunication and Competition

This year NRG Magazine is honoured to have all its editions introduced by representatives of the government of the Netherlands.

Germany and the United Kingdom are realising offshore wind on a large scale. Denmark has become very experienced in this field due to its relatively long history with offshore wind. It is this kind of experience that is so precious to us, hence we can all benefit from international cooperation. If we combine our experience with foundations, maintenance and design of wind turbines with the know-how of other countries, we could make great progress.

Wouldn’t it be great to have a joint project in which all our knowledge and skills are combined, as a perfect example of the added value of international cooperation?

With respect to policy making we are and we will be focused on cooperation. In line with this, the International Energy Agency’s work helps us evaluate our own policies, and enables us to learn from legislation in other countries. For example, in the field of granting permits or subsidies, we can explore what we can learn from Germany’s financing mechanisms in order to improve our own. Also, from the Danes we can learn about how to approach issuing plots for offshore wind energy projects. There are many such examples of potential knowledge sharing. Thus, I believe that international cooperation is crucial in realising our international objectives.

Bert de Vries

NRG Magazine Edition 11 | 3

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Publisher TTA Publishers P.O. Box 1746 9701 BS Groningen The Netherlands Kwinkenplein 8-4 9712 GZ Groningen Tel.: +31 50 317 14 75 Fax.: +31 50 317 14 72 editor@nrgmagazine.nl www.nrgmagazine.nl www.twitter.com/thenrgbattle www.facebook.com/nrgbattle Editor-in-Chief Luminita Stoica Assistant Editor Cristina Huré Editorial Assistant Elpida Theodoridou Design Giscard van Uytrecht Sales Rob Hogenelst, Director Sales Marius Nugteren, Sales Tel: +31 50 317 14 70 sales@nrgmagazine.nl Printer Poligrafia Janusz Nowak Photography Giscard van Uytrecht Cover photo Shutterstock

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Dear Reader,

W

e need to know where problems are in order to solve them. At the same time, “problems cannot be solved at the same level of awareness that created them” (Albert Einstein). But how can we raise our level of awareness and get the right solutions if we do not find out: Who has the same problems? Who has tackled them? and where? Hence, how can we solve problems if we do not cooperate? This edition of NRG Magazine is dedicated to cooperation in energy. Since any good solution needs the help of regulation to be implemented, we decided that the role of law in reaching sustainability is important to be discussed.

This means that our cover story, International Cooperation in Energy and Energy Law (pages 8-13) has five energy, law and security experts (Laura Cozzi, Pier Nabuurs, Prof. Martha Roggenkamp, Annika Sponselee and Marko van Zwam) discussing why cooperation between governments, businesses and fields is the key to enabling the implementation of sustainable solutions. Moreover, the lawyers from RenewabLAW, BASE Advocaten and Den Hollander Advocaten explain various issues encountered on the way to implementing sustainable projects or in the relationship between consumers and grid operators (page 14-17). We continue with one of the world’s most innovative smart grids projects and offshore solar energy concepts in the world, explained by Frits Verheij from DNV KEMA Energy & Sustainability (Pages 18-19).

This autumn, NRG Magazine is an official media partner for Gas Industry 2013, Energie Vakbeurs 2013 and Offshore Energy 2013. As a result, we decided to give our readers an information feast with an extensive offshore energy section (pages 20-25) and gas section (pages 28-33). You can read about the latest advancements and challenges in offshore energy and find out about the future of LNG from GDF SUEZ LNG Solutions and Shell Netherlands. After which, prepare to be challenged by our Rational Middle question – where you will receive extensive help to understand the reasons behind the Chinese solar panel situation from Prof.Dr. Wim Sinke and from Honorary Professor Ton Schoot Uiterkamp (pages 25-37). We then give you a high dosage of NRG Facts or Fiction (pages 38-39) with its text written in Ecofont – making this article the most inkefficient one in the magazine. Energy and geopolitical expert Coby van der Linde is celebrated in the Back to the future section (pages 42-42), while discussing the global gas market situation and the geopolitical position of the Netherlands.

A revolution in heating systems that would make the Romans proud, since they were enjoying the first ones, can be found next in this edition. Warmtebedrijf Rotterdam is using waste heat from industrial processes to heat residential areas in the same city.

Find out how in our Expert Section (pages 44-45). After which we extensively discuss talents, with a brief look at the TTA World event of the year, NRG Battle World-Edition at the World Energy Forum in Beijing, China (pages 46-47) to develop talents for market needs (page 48) and to four of our NRG Battle-Europe Edition top talents.

In our last pages, Energy Academy Europe has a few surprises for you as well (pages 56-57).

Enjoy your reading.

Luminita Stoica

INDEX 8. Cover Story

International Cooperation in Energy and Energy Law: Sustainability’s Toolkit

14. RenewabLAW – The new

concept supporting Dutch sustainability

18. Energy Efficiency

Facts or Fiction 38. NRG Fracking Future?

with Frits Verheij

Smart grids reloaded & offshore solar

20. NRG Magazine presents The Revolutionary Offshore

28. A Blue & Green Gas Revolution

30. LNG: Fuelling Sustainable Transport

32. Gas – Backbone of the energy system

reinvented: 44. Hypocaust Rotterdam is making use of its waste heat

36. Rational Middle

Are increased taxes on imports of Chinese solar panels beneficial for the European solar market?

40. SIEnergyLab - Bridging Science & Business in ICT & Energy for a Sustainable Society

50.

Cover story: International Cooperation in Energy and Energy Law

International Cooperation in We all share this planet. Hence we share the responsibility for keeping its systems functioning. Since climate change has already been negatively impacting our systems, our responsibilities as a species shift to fixing the planet, from its environmental problems to its energy issues – all is interlinked. Fixing it is only the beginning. Keeping it fixed on the long term our biggest challenge. It requires innovation and common goals for us, the 7, soon to be 9 billion inhabitants of planet Earth. It requires international cooperation, healthy policies, the right kind of research and valid business cases. In line with this, NRG Magazine asked the help of five energy, law and security experts to understand why the global energy sector needs cooperation, but more importantly, why it is so hard to achieve.

F

Excerpt of global energy market interconnections and CO2 emissions for some of the world’s largest economies

rom international trade on the Silk Road, to fossil fuel exports, to Facebook, globalization has had a long path, but is now in full swing. As ICT innovates the way we are connected every year, the world becomes a smaller place…a smaller place with larger problems. We are all interdependent. This implies that generating energy and global sustainability will not be achieved if nations cannot align on goals and cooperate with each other.

If you produce wind energy in the North Sea and you need to transport it to the south of Germany, you need international grid cooperation. If you want to build a gas pipeline from Russia to North Korea, you are bound to stumble across several geopolitical issues, to begin with.

This means that agreements and planning have to be carefully negotiated on an international scale.

3b 4b 1 Import Export

3d

2

US

No. 1 gas producer in the world: 22,902 bil. ft3 No. 1 consumer of electricity in the world: 3,724 bil. kWh No. 2 carbon dioxide fcff emitter in the world: 5,637 mmt CO2

4e

4c

3c

4a

-------------------------------------------------

Shale gas production*: 7,994 bil. ft3 -------------------------------------------------

The challenges we face together, worldwide, include tackling climate change, minimizing CO2 emissions, providing food, water and electricity for everybody on the planet and doing it all in a sustainable manner. Sustainable energy for all is on the global agenda. The International Energy Agency (IEA), the United Nations, the European Commission and many other unions or organizations are actively supporting international energy cooperation. For example, the European Commission emphasizes that “research and innovation have been interlinked internationally” and that the EU’s international cooperation policy “addresses the needs and opportunities of an interconnected world” (ec.europa.eu). Furthermore, we see this active support especially in the IEA’s efforts to inform 8 | NRG Magazine Edition 11

Electricity production: 1% solar 3% geothermal 4% biomass waste 8% biomass wood 28% wind 56% hydropower

4d No. 13 carbon dioxide fcff emitter in the world: 450.95 mmt CO2

12% 1% 19%30%27%

Renewables Petroleum

Natural gas

Nuclear

Coal

1 Natural gas imports from Canada: 2 3

2,962,849 mil. ft3 Natural gas imports from Mexico: 314 mil. ft3 LNG imports from: a. Egypt 2,811 mil. ft3 b. Norway 6,212 mil. ft3 c. Qatar 33,823 mil. ft3 d. Trinidad 112,207 mil. ft3 e. Yemen 19,595 mil. ft3

Netherlands 4 Coal exports**: 13.6 mil. T, Top 5 destinations: a. China, b. Netherlands c. United Kingdom d. South Korea e. Brazil Coal exports for 2011: 107.3 mil. T Coal exports for 2012: 125.7 mil. T

No. 14 net coal importer in the world: 16.197 mil. T No. 25 carbon dioxide fcff emitter in the world: 254.87 mmt CO2 Natural gas exports 1,159.85 bil. ft3

Cover story: International Cooperation in Energy and Energy Law

Energy and Energy Law:

Sustainability’s Toolkit

Germany No. 1 energy consumer in Europe (excluding Russia) and No. 7 worldwide No. 6 carbon dioxide fcff emitter in the world: 793.31 mmt CO2 No. 6 net coal importer in the world: 54.667 mil. T

Russia No. 3 carbon dioxide fcff emitter in the world: 1,642.29 mmt CO2

0% other renewable sources 15.1% hydroelectric plants 15.1%

5 3a

67.7%

17.2%

Japan No.1 net gas importer in the world: 4,112.61 bil. ft3 No. 1 net coal importer in the world: 205.978 mil. T No. 5 carbon dioxide fcff emitter in the world: 1,179.8 mmt CO2

3e

-------------------------------------------------

5 Plans to build gas pipeline from Sakhalin (Russia) to Tokyo

No. 15 carbon dioxide fcff emitter in the world: 423.71 mmt CO2

China No. 11 carbon dioxide fcff emitter in the world: 473.15 mmt CO2

No. 1 coal consumer in the world - 60% of the global coal consumption in industry: 3,826.87 mil. T No. 1 carbon dioxide fcff emitter in the world: 7,997.04 mmt CO2 No. 2 consumer of electricity in the world: 3,271.19 bil. kWh

7.6% other renewable sources 21.8% hydroelectric plants

Legend 29.4%

69.5%

Renewables Fossil fuels Nuclear

1.1%

Sources: www.cia.gov, World Factbook; www.eia.gov; www.eia.gov, “U.S. coal exports set monthly record,” June 19th 2013; www.iea.org, “Redrawing the Energy-Climate Map,” June 10th 2013.

Units of measurement & abbreviations: bil. = billion; fcff = from consumption of fossil fuels; ft3 = cubic feet (1 ft3 = 0.028 m3); mil. = million; mmt = million metric tons (t); kWh = kilowatt hour; T = short ton (1T = 907.185kg).

All data is based on 2012 estimates, except for: * - which denotes 2011 estimates; ** - which denots March 2013 estimates or if it is otherwise indicated in the text.

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Cover story: International Cooperation in Energy and Energy Law

and advise governments and industry representatives, which include meetings with ministers and corporate heads and numerous analysis-packed reports (e.g., “Redrawing the Energy-Climate Map”).

In order to maintain the average global temperature increase at 2° C, international negotiations are crucial. What we know is that the results of these negotiations will not be seen until 2015, and new legal obligations will be enforced starting in 2020.

While these negotiations develop, we need to make sure we are prepared for the legal obligations that will be enforced sooner than later, which is why energy law is critical for international cooperation. Law will ensure that new energy developments will have the right mechanisms to be properly introduced into the market. Despite the fact that global preoccupations are still focused on the economy, we mustn’t let the issue of climate change off the international policy agenda. The US Secretary of State, John Kerry expresses that “climate change grows more urgent. The science grows more compelling, and it screams at us, all of us, to take action. There is no country in the world that does not experience some of the impact of climate change already.” (ens-newswire.com, June 24th 2013) Additionally, energy security is the underlying “must” of creating a sustainable global energy system. Without ensuring the physical integrity of pipelines and the security of energy data from the new wave of smart energy applications like smart grids and smart meters, the energy sector cannot achieve its goals.

Therefore, if we had international cooperation in energy, based on sound energy regulation, and if we made sure that energy security were reinforced, we might just make it to sustainability.

Until then, from international policies to lab research in nanotechnologies, plenty of work needs to be done. A healthy discussion with various experts in the field is always a good way to start. Hence,

in this edition, Laura Cozzi, Principal Analyst and Deputy Head of the Office of the Chief Economist at IEA, connects international cooperation with energy and elaborates on the incentives for policy compliance and collaboration, while Pier Nabuurs, former Chairman of the Dutch Top Sector Energy and Chairman of the Smart Energy Collective, explores why cooperation is so important. Martha Roggenkamp, Professor of Energy Law at the University of Groningen explains how law can help the energy sector and can influence trends in international energy cooperation. Later on, Annika Sponselee, Senior Manager Security & Privacy at Deloitte, and Marko van Zwam, Partner Security & Privacy at Deloitte, share their knowledge of energy security while supporting the combination of ICT and law for tackling security threats. All five experts will explore how the players on the world stage of energy interact and where the glitches in cooperation can be found.

Keeping 2° C with 4 policies IEA’s role has been to inform and advise governments and companies, while protecting energy markets. The agency recognizes the dangers of climate change, but also acknowledges the difficulties of reaching strong and stable international agreements for tackling climate related issues. In order to help countries, the IEA creates complex reports, accessible to the public. The latest one, in anticipation of the World Energy Outlook 2013, is called “Redrawing the Energy-Climate Map” and was released on June 10th 2013. Besides providing a comprehensive overview of the global energy market, this special report also puts forth four policies that are aimed to help countries comply with energy efficiency and minimizing CO2 emissions, between the present day and the day international agreements on 2020 targets will be reached, which is expected to take place on the 2015 Conference of the Parties on Climate Change, in Paris, France.

The creation of the four policies started from the most important energy aspects

The 4-for-2° C Scenario Policies:

Adopting specific energy efficiency measures (49% of emissions savings).

Limiting construction and use of the least-efficient coal-fired power plants (21%).

Minimising methane (CH4) emissions from upstream oil and gas production (18%).

Accelerating the (partial) phase-out of subsidies to fossil-fuel consumption (12%).

Why have these policies been selected?

They can deliver significant reductions in emissions from the energy sector by 2020.

They rely on existing technologies.

They have already been adopted and proven in several countries.

Their widespread adoption would not harm economic growth.

Source: www.iea.org, “Redrawing the Energy-Climate Map”

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that could be approached in the world, “given the current global economic situation and the different concerns that countries around the globe have about energy (e.g., energy security, local pollution),” notes Laura Cozzi. She also remarks that the policy recommendations that were kept in the report had to be actionable, practical and most importantly, unaffecting of the economic outlook or prospects of each country – no net costs to the economy.

Phasing out subsidies has to be done very carefully

The four policies selected are focused on efficiency in selected applications – where payback is small and the capital investment is not great, which is important for developing countries. One obstacle that needed to be overcome while making the policies was financing. Ms Cozzi: “We made sure that the policies would be easily financeable in the current economic situation.” Another obstacle was related to fossil fuel subsidies. Ms Cozzi explains that, in some cases, one of the main issues for energy efficiency is having fossil fuel energy subsidized, which makes the payback period for the consumer or for the industry too big. Hence, you’re not interested in making the investment either because of financing or because the timing for recovering your investment is too long. So, partially phasing out official subsidies was one of the key points to making energy efficiency analysis and investments doable. The obstacles are seen mostly in countries which are rich in resources. “International cooperation is required to understand how best practices, policies and subsidy phase-out can be implemented from one region to another – this is crucial. But we have to keep in mind that, in some countries where subsidization rates are over 19%, one cannot think that fossil fuel subsidies can be implemented without hurting the population – so it has to be done very carefully,” says Ms Cozzi.

Furthermore, two key issues approached in IEA’s special report are the limitation of usage and the ban on investing in new subcritical coal. Ms Cozzi: “In many cases, the technology is available and there aren’t many additional costs to provide the same electricity with more efficiency. This measure is taking place in most OECD countries and, realistically, this is a matter of domestic opposition that must be tackled.” Local pollution is also addressed through the four policies.

The final policy on methane emissions is based on the fact that methane is a more powerful greenhouse gas than CO2. The technologies to take care of

Cover story: International Cooperation in Energy and Energy Law

From left to right: Laura Cozzi, Principal Analyst and Deputy Head of the Office of the Chief Economist at the International Energy Agency: Ms Cozzi was in charge of the IEA special report “Redrawing the Energy-Climate Map,” released on June 10th 2013. She is also in charge of the World Energy Outlook 2013. Pier Nabuurs, former Chairman of the Dutch Top Sector Energy and Chairman of the Smart Energy Collective. Martha Roggenkamp, Professor of Energy Law at the University of Groningen and initiator of the Groningen Centre for Energy Law. Photos from left to right: © 2013 OECD/IEA, courtesy of Pier Nabuurs and courtesy of Martha Roggenkamp

this exist and the costs are quite low, but industries have to sit together and decide that it’s something doable, and this is another area of international cooperation –countries must share best practices and so do industries. These types of forums will accelerate action in these specific fields. “Exchanges between governments and industries are key for the energy transition,” adds Ms Cozzi.

“Many people will not be connected to the grid”

Globalization does not mean everyone is approaching energy supply in the same manner everywhere. “For example, in the case of Sub-Saharan Africa, many people without electricity are not connected to the grid and will not be connected to the grid, because they live in rural areas where grid solutions would be more expensive than installing local technologies,” says Ms Cozzi. In certain areas, solar power in off grid solutions is competitive and makes more economic sense than on grid solutions. “For those who are without electricity in urban or peri-urban areas, we shouldn’t impose the most expensive

options since what we really care about is that they have access to electricity,” remarks Ms Cozzi.

Knowledge sharing is going to be part of the solution and companies need to be team players. “We need businesses, development banks and NGOs to go to underdeveloped countries and prove that there are valid business cases there,” emphasizes Ms Cozzi. The ‘electricity for all’ issue will be solved when its business case is proven and can attract private capital. “Knowledge-based international cooperation is central to all of this.”

“In the EU, the biggest downfall is that all countries are protecting their own system”

When we discuss enabling cooperation, common grounds, a sturdy basis or unified principles are a good way to start.

According to Pier Nabuurs, the EU does not have a unified regulatory framework to support its energy market. This fact is important to understanding the future of energy in the Union. There are 27

Laura Cozzi and the World Energy Outlook 2013 team. To her left, Fatih Birol, Chief Economist and Director of Global Energy Economics at IEA. Photo © 2013 OECD/IEA

different markets and different market models for energy, as well as numerous different players. Moreover, the regulation between governments and these players are different as well, and each nation’s vision of what has been done or what needs to be achieved is dissimilar to that of their neighbouring countries. Since energy falls under domestic policy, this makes it difficult to combine energy initiatives and goals. Mr Nabuurs believes that: “We have to figure out how to interconnect our policies, and we have to work through commitments. In the EU, the biggest downfall is that there is no unified EU energy system. Hence, it is hard to work together towards sustainability when all countries are protecting their own system.”

What the EU can do to stimulate cooperation

Currently, the EU is establishing a number of policies, but all EU directors have separate energy packages, Mr Nabuurs informs us. The EU does not yet have the power to change the system and enable the process to move faster, but we need time. Time will help the transition happen, however there are many variables blocking or slowing down the process. Mr Nabuurs remarks on the fact that “the intention of the European Commission is to move to a sustainable energy system, while supporting consumer participation in the market.” He notes that the key to turning this intention into reality is to create a local market and energy system founded on smart grids, demand side management, local trading, etc. and based on international system design and standard. In order to do this, we have to stimulate local interest in the matter.

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Cover story: International Cooperation in Energy and Energy Law

Exporting Dutch know-how

Using its knowledge and experience in the field of energy, the Netherlands can potentially inspire other EU countries and enable them to act, especially when it comes to creating opportunities for transmission systems operators (TSOs) to build their own strategy and to look into how they can serve their consumers better, as well as when it comes to helping companies develop new business and policies for the market. According to Mr Nabuurs, “the Netherlands is a frontrunner in creating new services and new market systems.” In addition, the Dutch have a lot of knowledge in the energy sector, especially for wind and solar technology.

“Roughly half of the solar panels produced in the world are manufactured with Dutch equipment. There are quite a few Dutch companies cooperating with other EU nations to share their knowledge in this particular area,” says Mr Nabuurs.

Adding to this, the former Chairman of the Top Sector Energy assures us that part of the top sector’s agenda is focused on improving international energy business.

The skilful ally of sustainability

Professor Martha Roggenkamp’s success in the energy sector has been the result of taking the right opportunities. “I don’t believe in career planning, I believe in taking opportunities when they are there,” she says. Philosophically and practically, her words resonate with the energy field and its connection to law.

For Prof. Roggenkamp, energy law is interesting because it is a field of law that follows technical developments.

Particularly in the pursuit of sustainability, integrating new energy technologies in the market is crucial, hence the law does more than organize the way the energy market functions, it actually guides its evolution.

In the past, energy production was a local activity and the law that fell under the energy category was drafted as municipal legislation. Following WWII, Europe got national electricity grids and national gas grids. This occurred around the time that national laws were developed.

Nowadays, a great many new innovative energy technologies are awaiting market introduction. The law has to enable them to pass from being innovations, to being tools that will help make the transition to sustainability.

Windy challenges

“With each technological development, we have to look if the law is still sufficient to organize that development or whether something new needs to be added,” states Prof. Roggenkamp. An example comes from the offshore wind industry. Prof.

Roggenkamp informs us that, currently,

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there are no legal regimes established to organize offshore wind, and that countries with borders on the sea are still trying to tackle how to organize offshore wind production. “Are they going to make use of their onshore electricity law and then extend it to the offshore? Should they make new offshore laws?” asks Prof.

Roggenkamp. She continues by saying that with technological progressions comes the need to evaluate the existing legal frameworks in place, to see if they are sufficient to support the new developments.

Read more about offshore energy in our Offshore section, pages 20-25

The evolution of the gas market

The European Economic Community (EEC) (1957) was established around the same time that the Groningen gas field was discovered (1959). Even though more than five decades have passed since then, the EU market continues to be associated with the gas and the electricity sector.

“These markets are developing from a local, to a national market and perhaps in the future, into an international market.

The evolution of the energy market will continue and there is no way of predicting where we will be in a few years from now, however, trends are showing that there should be more cross border cooperation,” notes Prof. Roggenkamp. Currently, legislation is aiming to establish cross border cooperation and to harmonize national laws so that they are more comparable for trading electricity and gas, across borders in the EU. “In the meantime, we will just have to wait to see how the EU energy situation will unfold,” adds Prof. Roggenkamp.

With respect to the rise in unconventional gas reserves exploration, she remarks: “Shale gas is considered a natural gas; therefore, it is regulated by all laws applying to natural gas. The difference lies in the methods of extraction. From a legal perspective, the development of shale gas will depend on the legislation created to regulate the extraction methods.” The professor believes that the problem is not that there is not sufficient legislation, but that the lengthy process of obtaining a permit in the energy industry will cause the biggest issues in this market.

Read more about the latest developments in the gas market in our Gas section, pages 28-33

What about laws for renewables?

Already existing, the legislation for renewables in the EU promises a brighter future for achieving sustainability goals. The Electricity Directive states

that all member states need to have authorizations for energy and electricity production, and then it is up to each member state what kind of authorizations they want to apply. In the Netherlands, the situation is different, since there are licenses for gas production under the Mining Act, but no licenses under the Electricity Act. According to Prof.

Roggenkamp, the government should introduce an electricity production permit.

This way the government will have the power to influence the development of renewables. Prof. Roggenkamp: “For permitting, we need experts to help us.

Nevertheless, we have already made a huge step forward since 20-30 years ago – we have created the environmental permits, the spatial planning permits and the water permits.” She continues by emphasizing that the key is to find the balance between the EU community and national governments. “If we have cross border projects, then we need permits from both sides of the border.

At the moment, EU legislation benefits each independent nation when it comes to energy regulation.” As it seems, the current regime is drafted in such a way that when a country has a wind park offshore, for example, and it wants to supply electricity to the onshore consumers, that country is going to construct a cable to its own TSO, because this way it gets its subsidies. However, there could be a far shorter connection to the onshore by using cables through another country. “In order to tackle this, in the new Renewable Energy Directive there are some instruments included to promote cooperation, so that countries can come up with joint subsidy schemes or joint projects,” says Prof. Roggenkamp.

Cover story: International Cooperation in Energy and Energy Law

What to do when Security & Privacy Threats are Just a Matter of Time?

In today’s cyber enhanced world, any electronic equipment connected to a network can be hacked. As the Internet expands its bandwidth every day, countries are increasingly dependent on cyber infrastructures that ensure functioning financial services, transport networks and energy grids. Everyone uses the online for business or pleasure, thus everyone is at risk. (cisac.stanford. edu, cyber security threats) “The question is not if you will be hacked, but when you will be hacked,” says Marko van Zwam. But hacking is just the beginning. When security is breached and data are leaked, privacy concerns arise. Hence, data security and privacy concerns go hand in hand and need to be approached from both the technical and the legal side.

It sounds complex, and it is. This is why we’ve asked Deloitte’s security and privacy experts Annika Sponselee and Marko van Zwam to give us insight into how energy security and law can work with each other to prepare energy companies and consumers for security threats and their consequences for privacy.

Network security and cyber security are becoming top concerns for the energy sector. Technology security threats are related to intellectual property theft, commercial espionage and operational sabotage. (www.upi.com, Business News, Energy Resources, May 31st 2013) The problem today is that there are no real regulations created for tackling security threats and privacy concerns in energy.

Inherent vulnerabilities For IEA, energy security means ensuring the uninterrupted availability of energy sources at affordable prices (www.iea.org, energy security). Nowadays, large amounts of data are at the basis of all energy production and exchange processes. For instance, sensitive information is constantly circulating between oil and natural gas companies and their counterparts or between the smart meters from millions of households and utility companies. This is happening while threats that are aimed at industrial security are constantly evolving.

“When we look at grid companies, they are becoming more IT enabled, and more targeted by ‘hacktivists’,” says Mr Van Zwam. Energy companies are just starting to be familiar with handling the security

and legal concerns that come with such large amounts of private data.

These companies are vulnerable.

When grid operators’ security is trespassed, private data are leaked, which in turn causes serious privacy concerns. Handling both security and privacy problems is not an easy task.

In line with this, grid operators have to be transparent about how they handle data and approach security and privacy concerns, and “they should be able to prove that data is being used ethically and securely,” notes Mr Van Zwam.

“Data security and data privacy are all about risk management,” states Mr Van Zwam. He informs us that risk assessments are critical for pinpointing where a company’s weaknesses lie. Equally important is to have a strong hacking detection system, preventative measures in place and a quick response plan to handle security breaches and the privacy concerns that come with data leakage. “A response strategy is not only an IT responsibility, but it’s about people, process and technology,” says Mr Van Zwam. He emphasizes the importance of having a continuous process when it comes to security and privacy, with experts who know what they’re doing and understand the field they’re operating in. Prevention, detection and response need to be considered all together when making decisions about how much risk can be taken within an organization, as well as how much should be spent on security and privacy.

Nowadays, with security threats rising and data privacy concerns being imminent, smart grid companies must ensure their products are developed while incorporating security measures and “Privacy by Design” in the first phase of development. In addition, they should be appointing someone responsible for security and privacy. According to Deloitte’s experts, security and privacy should not be a general responsibility, but a clearly focused one, approached from both the ICT and the legal side. Enabling security and having “Privacy by Design” means that companies should consider that once their products are in the hands of the consumer, they should be able to re-secure data and be prepared to handle privacy concerns.

Marko van Zwam, Partner Security & Privacy at Deloitte and Annika Sponselee, Senior Manager Security & Privacy at Deloitte.

Photos courtesy of Deloitte

perspectives. “When handling data security and privacy, there should be a close cooperation between technical experts and legal experts. This is why Deloitte has created its ‘translation’ service, which allows people with technical knowledge and people with legal knowledge to communicate with each other and understand security and privacy issues as a whole. In other words, the translation service provides a complex overview of both the technical and legal aspects of data privacy,” remarks Ms Sponselee.

Deloitte is able to offer this distinctive translation service, which enhances security prevention and the quality of handling privacy concerns for companies. Moreover, Deloitte has top technical experts – exhackers – and legal experts – for example, Ms Sponselee was previously a lawyer for Baker & McKenzie – who work for the translation service. Ms Sponselee suggests that governments must perform impact assessments in order to monitor if companies are meeting security standards and the legal boundaries for privacy.

“For instance, smart grid companies are newcomers to the world of large amounts of sensitive data. They need to be aware of the vulnerabilities that stem from their core activity. They need to know that having top security and being able to handle privacy concerns are a must,” says Ms Sponselee. In this respect, Deloitte can also handle security and privacy issues from a social perspective. In fact, the company is unique in the Netherlands for having people with both technical and legal expertise handling security and privacy.

A different kind of translation An interesting practice highlighted in Deloitte’s activities is related to connecting ICT and law, which is only natural since security (the technical aspect) and privacy (the legal aspect) go hand in hand. Deloitte looks at data from both

NRG Magazine Edition 11 | 13

Energy Law section

RenewabLAW – The new concept supporting Dutch sustainability As the transition to a more sustainable energy system unfolds, the supportive role of law increases. Experts in energy law can help from companies to housing corporations to the individual consumer undertake sustainable energy projects in a more efficient and structured manner. RenewabLAW is the upcoming Dutch company that specialises in renewable law. What makes RenewabLAW unique is the emphasis on the legal framework that regulates particularly the renewable energy sector in the Netherlands, rather than having a focus on energy law in a broader sense. Jan Albert Timmerman, founder of RenewabLAW and experienced lawyer in the energy sector, envisioned a company that has project lawyers and other legal experts able to provide companies, local governments or branch organizations the project guidance and the legal advice they need in their renewable energy plans.

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he concept of “RenewabLAW” was created by Mr Timmerman inspired by the European 2020 target to have 20% renewable energy production and by the national need for an energy transition towards renewable energy.

While the 20% renewables goal is set by the EU, for the Netherlands the goal is to move renewable energy production in the country’s energy mix to 16%. However, the Energy Agreement for Sustainable Growth from The Social and Economic Council of the Netherlands (SER Energieakkoord) may slightly change this national ambition.

This target has implications for producers, suppliers and consumers of energy and will be translated into both policies and regulations. These policies and regulations will open new possibilities for e.g. founders of renewable energy projects, but will also have an effect on parties currently active within the energy sector.

This is where Mr Timmeman’s company comes into play.

RenewabLAW’s vision is to become a company “renowned for its in-depth understanding of renewable law, combined with relevant and pragmatic technical knowledge about renewable energy sources and project management know-how,” based on a network of partners, mainly project lawyers and experts.

Projects and services Currently, RenewabLAW is working hard on raising the awareness of companies and local governments with respect to the 2020 ambitions, the legal framework of renewable energy supporting these ambitions and where changes must be made or opportunities can be sought.

At the same time, RenewabLAW lawyers provide advice, assistance and support to companies and organizations associated with various projects involving renewable energy.

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The company is cooperating with a variety of different partners from diverse backgrounds. There are at least 12 associate partners working with RenewabLAW. As examples for working with associate partners, the company collaborates with Holland Van Gijzen for providing notary public services and with one of the leading attorneys in the Netherlands for energy law services.

An interesting project the company is involved in belongs to Stichting E-Laad (the E-Laad foundation), focused on electric vehicles (EVs). The project is called “switchen aan de paal” (to switch at the pole) and is aiming to create a market model that will enable increased competition in the area of energy suppliers for the EVs. “Switchen aan de paal” is a simple and flexible concept that allows consumers to charge their EVs from an electricity provider of their choice, even at the cost of their own household electricity supplier.

“RenewabLAW is the first legal initiative that focuses only on renewable law” In another project RenewabLAW supports WarmCO2, an organization which uses warmth from an industrial complex to heat up greenhouses in the province of Zeeuws-Vlaanderen. Apart from this, “the company is working with partners on a way to legally and fiscally structure projects involving solar panels, in order to have the most favourable business case for the parties investing in these panels,” mentions Mr Timmerman.

Setting trends “RenewabLAW is the first legal initiative that focuses only on renewable law,” says Mr Timmerman. Being a trend setter in such a specialized field has its advantages,

Jan Albert Timmerman, Founder of RenewabLAW Photo: Marjon Zijlstra Fotografie

but also its disadvantages, comments the RenewabLAW founder. One of the disadvantages is having to explain that the market RenewabLAW is focusing on is a new one and that, although legal challenges are not yet eminent, parties should be aware of the increasing importance these “challenges” will have.

Mr Timmerman’s company is aspiring to help the renewable energy market to expand by facilitating, where possible, improvements to the legal, regulatory and fiscal framework which holds back the development of this very market.

Mr. Timmerman envisions a company involved in a number of “big projects but also intermediate projects which need the support of a lawyer and of legal experts,” a legal services company which can become a point of reference for the different parties involved in renewable projects in the Netherlands.

For more information, please visit www.renewablaw.nl

Energy Law section

BASE Advocaten: Litigation experts in the energy sector BASE Advocaten, “the no-nonsense law firm” from Rotterdam was founded seven years ago by a handful of lawyers from Nauta Dutilh. The founders wanted to specialize in what they enjoyed most – litigation and advising. Among commercial, corporate, contract and employment law, the company also focuses on energy regulation. BASE Advocaten lawyers regularly act on behalf of smaller energy companies. For example, they assess model contracts and general conditions but also litigate against grid operators on disputes that may arise with power suppliers.

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n 2004, BASE Advocaten had a significant role to play after the liberalization of energy markets, when grid operators and power suppliers encountered issues with administrative processing.

Joris Arts, lawyer specializing in civil advisory and litigation practice at BASE Advocaten explains that in 2004, energy suppliers applied the supplier model on a voluntary basis. This meant that consumers could pay their energy transport costs (due to the grid operator), to the power supplier – which meant that the suppliers and the grid operators had to settle the costs among themselves. This has led to a number of proceedings between grid operators and power suppliers. For BASE Advocaten lawyers, these types of proceedings are their expertise, because they entail advising and litigating, which are strong points for the company. Mr Arts: “I believe that the lawyers from BASE Advocaten are born litigators.”

Prior to joining BASE Advocaten, Mr Arts worked at De Brauw Blackstone Westbroek for five years and for the Ministry of Economic Affairs for four years.

Joris Arts Lawyer at BASE Advocaten, specializing in the civil advisory and litigation practice. Mr Arts is one of the partners of the firm.

Photo: Fred Smulders, Studio Hoge Heren

With respect to the company’s capabilities in agreements between consumers and energy companies, Mr Arts elaborates on BASE Advocaten’s expertise by providing background information on consumer protection regulation. He explains that in the energy sector in particular, many consumer protection rules are created by EU initiatives. For instance, in anticipation of the opening of the energy market in 2004, the Dutch legislator already chose to incorporate stipulations from the Unfair Commercial Practices Directive in the Electricity Act and in the Gas Act. The directive was not in force at that time. However, in Dutch law, stipulations of this nature belong in the Dutch Civil Code and not in the Electricity and Gas Acts. As a consequence, after The Unfair Commercial Practices Directive had been implemented into the Dutch Civil Code, not all consumer protection stipulations from the Electricity and Gas Acts were needed. This has led to complications because, in the past, the Consumer Authority used to enforce consumer law based on the Dutch Civil Code, but the Netherlands Competition Authority (Nederlandse Mededingingsautoriteit) used to enforce consumer law in the Electricity and Gas Acts. Hence, two authorities were taking care of more or less the same consumer protection stipulations. BASE Advocaten is involved in some of the litigations resulting from this double supervision, which enhanced the company’s expertise in energy law.

Nowadays, there is only one authority overseeing

consumer protection stipulations, the Authority for Consumers & Markets (Autoriteit Consument & Markt - ACM). The problem of double supervision no longer exists. Nevertheless, a new problem may arise depending on what approach the ACM will adopt. Mr Arts: “The ACM will place most of its focus on consumer protection stipulations in order to have working markets. In this respect, BASE Advocaten plays a crucial role when it comes to creating model contracts between consumers and power suppliers. Our company aims to make the best and most beneficial contracts for the energy companies.” Additionally, Mr Arts remarks that having a unique authority for consumers and markets – ACM’s multi-purpose supervisory roles – may cause problems on the energy market.

Furthermore, BASE Advocaten was also involved in the white labels issues, in which corporations presented themselves as power suppliers but in reality, were just energy resellers and did not own their own supply permit. The law firm drew up contracts that companies could use with the old white labels. Hence, BASE Advocaten was able to create contracts that make it very clear for consumers where their energy comes from.

In order to deliver the best quality and expertise, in some cases, Mr Arts works closely with Mr De Bree from Wladimiroff Advocaten, who specializes in sanction law. “His expertise is very useful in situations relating to supervisors’ conducts and investigations on power suppliers. Supervisors have various far reaching competences, including the hearing of employees of energy companies, copying computer files and reclaiming them. In this framework, criminal law expertise is very useful in combination with energy law expertise,” notes Mr Arts. BASE Advocaten’s capabilities combined with such partnerships allow the company to offer highquality services to its clients.

For more information please visit: www.baseadvocaten.nl

NRG Magazine Edition 11 | 15

Energy Law section

Den Hollander Advocaten: Helping the Dutch wind energy roll-out The history of Den Hollander Advocaten dates back to 1944 when L.J. den Hollander senior founded the law firm. “Next year we will celebrate 80 years of activity. We are proud to be a company with tradition,” says Natasja Robijn-Meijer, lawyer at Den Hollander Advocaten. Currently, the firm has eleven lawyers, wih Mr L.J. den Hollander junior involved as an advisor, after being a lawyer for 40 years. The company is continuously pursuing quality services for its clients.

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raditionally, Den Hollander Advocaten has an agricultural background and made a great name in the sector. Den Hollander Advocaten’s lawyers also specialize in environmental law, which includes town and country planning and citizen planning, as well as corporate, labour and energy law.

Sustainable energy and, in particular, wind energy is an area of expertise for Den Hollander Advocaten. The firm has been continuously involved in energy law since 1996 when the Regulatory Energy Tax (Regulerende Energie Belasting - REB) was introduced, with various complications to the existing energy supply contracts. History repeated itself in 2004, when the REB was followed by the Environmental Quality of Electricity Production (Milieukwaliteit van de Elektriciteitsproductie - MEP) tax – “a kWh subsidy paid to domestic producers of electricity from renewable sources and CHP who feed-in to the national grid” (www.iea.org, Policies and Measures, Renewable Energy, MEP).

Windpark De Plaet - Mariapolder, Sluishaven Photo courtesy of Den Hollander Advocaten

The firm’s lawyers mainly serve the interests of wind turbine owners and corporations or companies in which these owners are united. Den Hollander Advocaten’s services include contractual advice, for example, for contracts with

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turbine suppliers and energy companies or contracts on rights to erect a wind turbine on a piece of land, and assistance during legal proceedings or where clients are in contact with authorities.

Today, the challenge for wind energy is to find a way to store it. Ms Robijn-Meijer: “We would become significantly more reliant on wind energy if we weren’t so dependent on whether the wind blows or not and if we knew how to store that energy.” In the Netherlands, what is especially challenging is the complex legislation. “Wind turbines for example are increasingly powerful, thus the prescribed investigations on environmental effects are getting more extensive and time consuming.

Also, provincial authorities and national governments have to create integration plans to force decisions and then, we may encounter the NIMBY (Not in my back yard) effect, which is always difficult to solve,” explains Ms Robijn-Meijer. When possible, Den Hollander Advocaten handles procedural accelerations, but these are difficult to achieve most of the time. Ms Robijn-Meijer also remarks that if the government would hold on to steady, longterm legislation for subsidies, this would help wind turbine deployment and could avoid past problems as with the REB and the MEP tax.

Den Hollander Advocaten often cooperates with Windunie, an organization that serves mostly farmers who are also producers of wind energy. When developing wind projects, not all individuals are energy law experts and it is difficult to find information on regulations for renewables.

This is where Windunie’s expertise plays a significant part. The organization is responsible for much of the work required in the first phase of wind turbine development. After which, when legal advice is needed, Den Hollander Advocaten plays its role, in addition to taking care of license and contract issues. Moreover, Den Hollander Advocaten aims to simplify the process of placing wind turbines on land by separating the civil part from the

Natasja Robijn-Meijer Lawyer at Den Hollander Advocaten, specialist in employment law, energy law (including wind power) Photo: Fotostudio Arjo van der Graaff

environmental part and the land owner part. Additionally, the law firm works with top professionals in order to deliver quality services. For instance, in the environmental field, the company has Architectural Liaison Officers, technical advisors and ecological consultants as partners.

When it comes to legal adjustments in the Dutch framework for renewables, there are few things that could help speed up the deployment of wind energy generators. Ms Robijn-Meijer exemplifies: “If the license duty to erect wind turbines were replaced by a duty to inform or to report turbines with high power, it would most likely speed up the building process. Nowadays, there is an obligation to obtain licenses to build new turbines.

It takes quite some time to obtain these licenses. Only having a duty to report would motivate the deployment of wind turbines.” The lawyer adds that, in theory, environmental legislation could be changed in such a manner that the national government or provincial authorities alone could determine where wind turbines can be placed, instead of giving that power to local authorities. This would support a national wind turbine rollout, in a structured and planned manner.

For more information please visit: www.denhollander.nl

Energie 2013

The latest developments, trends and solutions for energy professionals

Trade show Energie 2013 gives head start on energy

Sustainable energy is one of the fastest growing industries in the world. The B2B trade show Energie 2013 offers you everything you need in order to take advantage of the opportunities in the industry and get a jump-start on your competition.

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aving energy can have considerable environmental benefits as well as bring substantial financial gain, especially in the (large-scale) construction and industry sectors. Energy efficient buildings maintain their value better and are easier to lend.

Lower production costs push up margins and make companies more competitive.

Thanks to new technology, increasingly smart and efficient energy solutions are within reach.

Energy: the growth market in times of financial crisis An increasing number of major and commercial energy users are looking for new ways to cut their energy costs. With the Dutch cabinet suggesting a fiscal “greening” package and the financial crisis forcing companies to increase efficiency and cut costs, there is no better time than right now to anticipate the quickly changing energy market with smart business solutions. Energie 2013 provides just that. Here you find the latest developments and trends, innovative products and systems and up-to-date information on how to make optimal use of (sustainable) energy in your company and/or project. From biomass, decentralized energy supply and sustainable sources to (heat) pumps, smart grids and metres: whatever solution you’re looking for, you’ll find it at Energie 2013.

Extensive programme on current topics Visitors can participate in an extensive substantive programme. In a wide variety of activities, lectures and conferences, you can catch up with the latest developments, trends and products.

At the East Netherlands Energy Square in Hall 1, for example, you will find several renowned and innovative exhibitors in sustainable energy and environmental technology from the East of the Netherlands. In cooperation with Stichting kiEMT, this region has formed the GreenTechAlliances, which aims at a top sector in Gelderland and an acceleration of the energy transition. On the Steam Platform you will find specialists in the field of steam technology that will demonstrate their latest products and give expert advice.

Furthermore, you can pay a visit to the PassiefBouwen Event and the Solar Event, where you can take part in theme-specific presentations and workshops.

Solar Event: inspired by the sun The Solar Event is a brand new B2B event, organized in collocation with Energie 2013, in Hall 3, in cooperation with Holland Solar, Solarplaza and Solliance. The trade show combines high-quality opportunities to exchange knowledge and experiences with practical workshops, bringing supply and demand together. Here you can gather extensive (product) information about solar energy, from generation to practical application. Go to www.solarevent.nl for more information.

Opening hours Tuesday, 24 September: 10:00 a.m. – 6:00 p.m.

Wednesday, 25 September: 10:00 a.m. – 6:00 p.m.

Thursday, 26 September: 10:00 a.m. – 5:00 p.m.

Location Brabanthallen (Hall 1 – 4), Diezekade 2, Den Bosch, The Netherlands Free entrance Go to energievakbeurs.nl/register to request your free entry ticket. With your badge, which will be sent to you by mail, you also have free entrance to the Solar Event (Hall 3) and the PassiefBouwen Event (Hall 4).

More information W www.energievakbeurs.nl E visitorinformation@vnuexhibitions.com T +31 (0)30 295 2731 Photos courtesy of VNU Exhibitions Europe

PassiefBouwen Event The second trade show that takes place in collocation with Energie 2013 is the PassiefBouwen Event in Hall 4. It offers all the latest developments, smartest products and practical information you need for building passive houses and, by doing so, saving as much energy as possible.

NRG Magazine Edition 11 | 17

Energy Efficiency with Frits Verheij: Smart grids reloaded & offshore solar

Newly expanded, more innovative than ever and also part of Sustania 100 (www.sustainia.me), PowerMatching City has entered its second phase. The project is based on centralized and renewable energy systems, which connect the supply and demand of electricity and heat through a smart grid structure. PowerMatching City is a European smart grids field trial which began in 2009 in Hoogkerk, the Netherlands with 25 households. In 2012, Henk Kamp, Minister of Economic Affairs of the Netherlands, gave the official start to the second phase of PowerMatching City. Today, there are 42 households taking part in the project. Next to solar panels, heat pumps and micro CHPs (combined heat and power systems), all households in the project use smart meters and smart household appliances and have electric vehicles supplied by Essent, which are virtually connected to the system.

The project is coordinated by DNV KEMA, the company that is also behind the revolutionary concept of offshore solar fields – SUNdy. NRG Magazine sat down with Frits Verheij, Director Smart Energy at DNV KEMA Energy & Sustainability, to find out more about the future of energy efficiency.

Frits Verheij is Director Smart Energy at DNV KEMA Energy & Sustainability and Chairman of the Top Consortium for Knowledge and Innovation Switch2SmartGrids from the Top Sector Energy in the Netherlands.

Photo: Š 2013 DNV KEMA

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Energy Efficiency

The quest for making the electric industry more customerinteractive has crossed paths with the smart grid – the technology that can make the generation, transmission, distribution and consumption of electricity more efficient than ever before (energy.gov, smart grids). For 2012, the European Commission’s official database includes 281 smart grids projects and 90 smart metering pilots and roll-outs in Europe (ec.europe.eu, “Smart Grids projects in Europe”, 2012 Update).

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lthough Europe has a great many developments involving smarts grids and smart meters, PowerMatching City is the first EU project that researches the conditions for the functioning of a real-life smart grid system.

In its first phase (2009-2011) the project focused on the technical conditions of creating a successful smart grid system.

Now, in its second phase, its aim is to create a new market business model – how to save energy costs and where and how tariffs should be applied, depending on different circumstances. DNV KEMA along with Enexis, Essent, Gasunie, ICT Automatisering, TNO, Delft University of Technology, Eindhoven University of Technology and Hanze University of Applied Sciences are PowerMatching City’s project partners.

“We know how much sustainable energy production there is in the households and how much energy is used for storage or consumption.”

Special software called the PowerMatcher has been developed for the project. The software detects high energy traffic points and ensures that supply and demand within the households can be fine-tuned automatically. All smart appliances within PowerMatching City are powered by renewable energy sources as much as possible, which are equipped with sensors that determine when appliances should be turned on or off in order to use energy when it is abundantly available and minimize energy costs wherever possible.

Moreover, PowerMatcher facilitates data collection throughout the process. The data are stored per household and - on an aggregated level - also on an external server for analysis. Consumers can figure out how to regulate their energy behaviour through a secured website.

One of the most interesting aspects of PowerMatching City is how electricity

produced by renewables is stored in the houses. Frits Verheij explains: “We use the actual data of both the consumption and the production of energy from the devices connected to the system. When the sun is radiating and there is no need to use the energy produced, that energy is stored as heat in water boilers or in the batteries of the electric vehicles connected to the houses.”

The PowerMatcher allows grid operators to know what the status of energy capacity is at all times and where it can be distributed. This also benefits energy companies, since they know how much energy can be matched with another area, if they should supply more energy to the system or if they should absorb the energy in the system and sell it to others. “The idea is that we know how much sustainable energy production there is from the households and how much energy is used for storage or consumption.

If there is a surplus, the price will be lower for the consumer,” remarks Mr Verheij.

The results of the first phase of the project have shown that the energy consumption curve is flatter when connecting energy flows through electric cars, micro CHPs and heat pumps. The second phase has already started. “Once the project is fully developed, we expect to have free movement of all energy flows (gas and electricity), flexible tariff rates, new ways of invoicing and other innovative market mechanisms,” says Mr Verheij.

“We call this a technology step-up.”

An innovative practice in PowerMatching City is encouraging new companies to join the smart grid, while respecting its rules. “Companies that would like to try out new power matching technologies can join the project, since it is established as a pro-demonstration system. We call this a technology step-up. For instance, NXP, which is a semiconductor test company, will be applying some of its chip technologies to scooters and other devices in the system,” notes Mr Verheij.

From offshore wind to offshore solar PowerMatching City is one example of the innovative power of DNV KEMA. Another one, still in its concept phase, is already making waves in the global energy sector. SUNdy is a new offshore renewable energy system, planned to be turned into a prototype. A Joint Industry Project with different stakeholders will be established in order to build this prototype. The SUNdy concept takes advantage of the sun’s reflection on water to produce energy from a floating solar field. Since roughly 50% of the world’s population is living within 100km of coastlines, SUNdy could help generate the electricity these people need. (www.dnvkema.com, SUNdy) The system is designed to be easily scaled up, flexible and it is based on triangles filled with solar PV panels. Depending on demand, tens or hundreds of solar “rings” can be easily added to these floating devices in order to produce electricity in remote locations around the globe.

SUNdy could be deployed from coastal communities, to offshore facilities and to island resorts. For instance, in Europe, The Mediterranean Sea would be a good location for SUNdy, especially since the sun is so generous in the south of the continent.

DNV KEMA is all about continuous innovation. Hence, new research on smart grids and on super grids – the counter part of smart grids but for high voltage systems – is expected. A super grid could connect, for example, all offshore wind farms and EU countries to each other with very high voltage DC grids. In the future, we could transport high volumes of power through Europe and across the globe. With plans for such applications and the possibility of replications elsewhere on the planet, energy efficiency could soon be the global norm, not the global desiderate that it is now.

NRG Magazine Edition 11 | 19

Offshore section

NRG Magazine presents: T

Climate change has been a wake-up call for many countries and has amplified the need for more complete energy solutions, turning away from traditional energy sources. The pressure for such developments has led to the creation of next generation offshore wind farms. The Kyushu University Wind Lens project in Japan has been one of these advancements. Offshore floating wind turbines have proven to be a key solution to meeting EU’s electricity demands 4 times over (www. cleantechnica.com, July 31st 2013) In the US, there are several projects underway. Three of the projects approved by the Department of Energy (DOE) will be selected by the DOE to be commercially operational by 2017, as long as they meet requirements for innovation. (www1.eere. energy.gov/wind/18842, December 12th 2012)

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Offshore section

The Revolutionary Offshore N

ew research shows that there are several ways to make offshore wind power more energy efficient.

First, there is the vertical-axis wind turbine (VAWT), which requires far less maintenance than the horizontalaxis wind turbines (HAWT). VAWT designs also have better stability and provide a greater chance for capturing wind direction. Next, there is the new simulation software (cleanweb technology) which improves turbine designs, giving them greater durability over time – InVest is an example of this kind of software that predicts energy production and the value of wind energy. Another efficiency nugget comes from China. The country’s Envision Energy company demonstrates a 2-blade turbine, more aerodynamic system instead of a 3-blade one (www.envisioncn.com). Furthermore, we can look at Japan’s Wind Lens project mentioned above for a new and improved wind turbine design – lighter and made with stronger rare earth minerals – which boosts the amount of energy generated. Additionally, Bayer Material Science is working on a chemical coating to overcome the challenge of built-up ice on the turbine blades during winter. Yet more to come from the US, innovation demands have determined the University of Maine to deploy turbines on spar buoys, collecting vital geographic suitability data in order to reduce overall project costs. The system is called LIDAR and uses laser beams, light detection and ranging systems to determine suitability. Still on the topic of offshore weather, another technological advancement is the Lockheed Martin Wind Tracer which incorporates the first commercial use of the world’s strongest long-range weather radar. (www.breakingenergy.com, June 11th 2013, technological innovation) The Netherlands has also set a prime example for innovative technologies. It has taken the Delft University of Technology four years of research and testing to develop a miniature wind turbine, but finally it is available on the market. The miniature turbine is called the Windchallenge 1.7, weighs only 10kg and has a blade span of 1.7m. Because it’s so small and light, the mill can easily be placed on roofs, light poles and greenhouses.

Due to patented new technology and high-tech materials, the mill is silent, efficient, affordable and easy to combine with solar panels. The turbine produces around 500kWh per year, at a wind speed of 4m/s and 900kWh per year at 6 m/s. What else can we ask for? (www.windchallenge.com) If the Danes have enough offshore wind energy to cover the equivalent electricity consumption of 1 million households in Denmark, they must be doing something right. The secret is the country’s ambitious energy agreement that states that around 35% of Denmark’s

energy will come from renewable energy sources by 2020, half of which will come from wind energy. This will make Denmark the most energy efficient country in the world. (www.investindk.com, March 23rd 2012, historic energy agreement) The simple fact that Denmark is indeed a windy country is contributing to these ambitious energy goals. However, this is not the only reason behind such plans. Denmark’s wind industry was the first in the world to be developed and has created core competencies in production, design and installation of wind turbines that are sought after globally. Moreover, most, if not all Danes are in support of wind power, since onshore wind power is cost competitive, wind is inexhaustible, stable and freeof-charge. (www.denmark.dk, wind-energy) Even though its potential is immense, offshore energy is not all breezy. All these offshore operations can lead to emergency situations. Let’s look at oil and gas extraction in rough areas, for instance. Especially in the Arctic spills and other accidents are very difficult to tackle. This is why new technologies to respond to oil spills include: “unmanned aerial vehicles with optical, infrared, radar and other sensing systems; unmanned underwater vehicles; surface radar systems with portable power supplies and the remote sensing of ice conditions through cloud cover using radar technology”. (www. adn.com/1936344) In addition, in 2012 a novel gel was discovered by Mike Chung and Xuepei Yuan. The gel can absorb 40 times its own weight in oil and forms a soft solid that is strong enough to be scooped and fed into a refinery to recover the oil – this helps solve the problem of separating split crude from the water it pollutes. (www.reuters.com, USBRE8A10NP20121102, February 11th 2012) Finally, Chris R. Chase and Leonard G. Roberts from the Inter Ocean Systems Conference describe the development of an oil spill detection and alarm system that provides a reliable, cost-saving mechanism for containing and/or preventing accidental discharges of hydrocarbon-based pollutants. This system is similar to a smoke alarm, but for oil spills. Oils are known to fluoresce.

The newly developed oil detection sensor detects the presence of oil by means of exciting and measuring fluorescence. (www.slicksleuth.com, IOSC Conference) With all these innovations and plans for tackling challenges, from energy efficiency to emergency situations in harsh environments, offshore energy has come a long way. Still, innovation is not the end. The idea is to have these great solutions introduced into the market at reasonable costs. In this respect, the appropriate legal framework has a say in how the newest devices and techniques in offshore energy can enjoy the leap from demonstration projects to roll-outs.

NRG Magazine Edition 11 | 21

Offshore for Sure

Large areas, heavylift capabilities and the corresponding equipment – that´s what our offshore terminals in Germany and the Netherlands provide. With a direct access to the North and Baltic Sea they are ideally located. From planning and handling to storage – we take care of your offshore wind logistics. Round the clock and 365 days a year.

More information at: www.buss-ports.de

Offshore Energy Exhibition & Conference 2013

Offshore Energy Exhibition & Conference 2013

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he Offshore Energy Exhibition & Conference addresses the technical, operational and commercial challenges associated with developments and growth in the offshore energy sector.

Held on the 15th and 16th of October 2013 at the Amsterdam RAI, this twoday conference includes an exhibition where 500 supply chain companies are expected to attend and showcase their products and services. In addition, there is an accompanying conference that covers key topics and solutions for the offshore community.

Offshore Energy is the fastest growing assembly of offshore industry professionals in Europe. Founded in 2008, it has broken attendance records year after year. The 2012 edition attracted 7,632 visitors from 45 different countries. The number of exhibitors, visitors and conference delegates is expected to be even greater in 2013: • Expected number of exhibitors: > 500 • Expected number of visitors: > 8,500 • 15,000 m2 exhibition space • Expected number of delegates: > 900 • Exhibitors, visitors and conference delegates from over 50 different countries OE13 Conference Preview Securing our energy future is the crosscutting theme of this year’s conference - this is what all industry professionals aim to do. From developing innovative solutions to extending the lifetime of gas fields in the North Sea, to designing new offshore wind access systems and from new drill ships to tests with tidal energy generators. Working in the offshore oil, gas and energy industry

ultimately means contributing to the global security of energy supply.

The two day conference program offers a full slate of C-level panels, technical sessions and side events that will feature an international body of expert speakers.

Confirmed speakers represent Fugro, Wood Mackenzie, Wageningen University, Schottel, Fred. Olsen United, Green Giraffe Energy Bankers, DNV and TKI Wind op Zee (Top Consortium for Knowledge and Innovation Offshore Wind).

East Africa Conference sessions focus on three themes: North Sea exploration and production, next-frontier E&P projects and renewable marine energy. For the first time, Offshore Energy also features a session on East Africa. Fugro and International SOS have confirmed their participation in this session.

Industry Panel Building on the success of last year’s inaugural industry panel, Offshore Energy offers a panel discussion, once again, bringing C-level representatives together in upstream oil and gas. Moderated by John Andrews -editor of The Economistthis year, the panel discussion will focus on the future structure and business strategies for the offshore industry, the increasing complexity of the industry and how decision makers up and down the value chain can deal with this increased complexity.

Program at a glance Tuesday 15 October 2013 [Panels] 10.30 – 12.30 Industry Panel 2013 [Technical sessions] 10.30 – 12.00 Advances in wave and tidal energy 13.30 – 15.00 North Sea exploration & production 15.30 – 17.00 State-of-the-art vessels for the offshore industry Wednesday 16 October 2013 [Collocated event] 9.00 – 15.30 4th Offshore Wind Installation and Maintenance Conference [Technical sessions] 10.30 – 12.00 Developments in diverless subsea interventions 13.30 – 15.30 Opportunities in East-Africa [Side event] 13.30 – 15.30 IRO Decommissioning Seminar Preliminary program as of July 1st 2013.

The program may be subject to change.

More information on the Offshore Energy 2013 conference program can be found on offshore-energy.biz/ conference

Photos: Sander Baks

NRG Magazine Edition 11 | 23

Offshore section

NRG Magazine presents Offshore Energy: What Despite the benefits that offshore wind generation could have for the environment, there are still some challenges to be faced. First off, the ocean’s surface is a brutal place. The installation of wind farms is far more complex than on land since wind turbines must endure big storms, waves and corrosion from salty water and air, which also explains why maintenance costs are more than double compared to onshore. Furthermore, wind turbines can only exist in shallow waters. So far, they have been installed in water no more than 30 metres deep which is difficult to find across the globe. Offshore wind remains expensive.

If we want to drive these projects further, it will require the development of floating turbines – which will cost even more. Among offshore challenges there is also the threat that these turbines pose a danger to the ocean’s habitat and sea animals. Electromagnetic cables could also be harmful to sea and ocean life.

Therefore, there is still research to be done to overcome these challenges. (www. makanipower.com, February 2013, offshore challenges)

Regulatory Uncertainty Oil and Gas Offshore Platforms

Drilling and production platforms are among the world’s most extreme workplaces in the world. For this reason, safety concerns are a prime challenge to overcome when it comes to offshore oil and gas production.

Among the must-haves of offshore platforms are increased monitoring of heavy operating equipment and safety-rated interlocks and, with the development of larger, more complex fields also more measurements, controllers and actuators on the sea floor, which means more sophisticated strategies are needed at the sea floor. (www.wintershall.com, production-technology, offshore) Another challenge is ensuring environmental preservation through offshore oil and gas developments.

This includes preserving the oceans and also limiting greenhouse gas emissions. (www.total.com, the deep offshore, challenges). Overall, issues we must conquer include safety concerns, the preservation of the environment, the delays caused by trial and error, rising costs and the fact that all these new developments will challenge traditional methods of extraction. (www. mareforum.com, Oslo shipping forum)

24 | NRG Magazine Edition 11

According to the European Wind Energy Association (EWEA), the offshore wind industry is twice as healthy as in the previous year. A year before, within the first six months, the EWEA found 132 offshore wind turbines throughout Europe, with combined capacity of over 1 GW that were fully gridconnected. This year, they found 277, meaning that offshore grid-connected wind turbines have been multiplied by two in the first six months of 2013. At the end of June this year, the EWEA estimates that Europe has 1,939 turbines offshore, with a combined capacity of 6040 MW. These turbines are fully grid-connected in EU waters at 58 wind warms in 10 different countries. Despite these advancements, financing for offshore wind farms had slowed down significantly during the first six months of 2013. According to the EWEA’s policy director, Justin Wilkes, orders are lacking for placing offshore wind turbines and so are substructures and components. All these issues indicate regulatory uncertainty in offshore markets. (www.renewableenergyworld.com, July 16th 2013)

Offshore section

ts about the challenges?

Arctic Challenges

Drilling - Technological Challenges

Innovation is crucial to develop offshore drilling. One of the biggest challenges is to add a drilling function to a floating production, storage and offloading system (FPSO), in order to have minimal reliance on shore-based facilities. The obstacle in developing these technologies is the economic challenge itself, since the currently experienced oil prices dip does not allow funding for significant technological advancements. To reduce costs, operations through a “hub system” could be created. The hub system handles production from two or more producing zones at a single facility’s measurement point. Here we see the real regulatory and technical tasks that come with production and measuring production. Another factor that causes difficulties in developing these new technologies is the deeper and colder waters, which create expensive problems for hydrates, paraffin and solids build-up. (oceanservice.noaa.gov, offshore challenges)

Remoteness, darkness, ice and low temperatures – working in the Arctic is not exactly a walk in the park.

In the past, with the presence of sea ice in the Arctic, oil and gas developments were impossible. Now, as seasonal ice increases, offshore exploration can further develop.

This could add significant economic benefits, but also pose extreme environmental challenges with pollution, contaminants, oil spills and health and social impacts.

Increased industrial access to the Arctic causes water pollution, including garbage, sewage and invasive species from ship ballast water. Toxins that can harm sea life and even humans include persistent organic pollutants (POPs), heavy metals and radionuclides. We have not yet developed effective technology to clean up oil spills, all together. Oil spills cause tremendous damages to the environment.

Moreover, industrial activities may affect the traditional way of life for indigenous Arctic peoples. (www.oceansnorth. org, social environmental risks) Most importantly, the reason these challenges exist is because the response gap for spills is too large which makes it difficult to prevent or fix these issues once they arise. (worldwildlife.org, arctic drilling assessment)

Offshore Grid Connection

It is clear by now that we do know how to produce renewable offshore energy, however, then comes the question: when we do overcome production challenges, how do we connect the energy so that it reaches consumers? There are several challenges when it comes to offshore grid connections. First, we have the offshore grid maintenance, which is expensive and requires a lot of time, monitoring and money. Then there is the task of tackling multiterminal operations and, adding to this, rising key commodity prices needed to create the offshore grids may pose a challenge as well. Then, if we look at EU standardization, the challenges here are related to fault behaviours, system protection schemes and control and protection. Finally, legal challenges include the lengthy process of obtaining a license to operate. (www.ewea.org, Offshore grid report)

NRG Magazine Edition 11 | 25

Financing Sustainability is a column by Holland Financial Centre

Cooperation is good, but TLC is better

F

rom a financing perspective, the North Sea has offshore wind potential in five jurisdictions, each of them having its own subsidies and regulations.

Financing is a challenge, the biggest risk being regulatory risk. Especially in the time before the financial close, when all the pieces come together as permits, subsidies, financing and building arrangements, agreements with windmills producers etc., all ready for one big signing ceremony. Normally it takes years to come to the close, and in these years one of the worst things that could happen is changes in regulations.

Deutsche Bank used to have the so-called Climate Change Advisors in New York. They made very useful research and one I liked most was on regulatory risk. They disseminated the risk into three characteristics: good regulations should be transparent, have very long longevity and offer certainty - in short TLC. They even got as far as looking at 100+ countries around the world and grouping them on their TLC regarding clean tech and renewable energy.

My own interpretation has been: it’s more advantageous to have second best regulation that stays unchanged for years, than a string of better ones that change all the time. For example: top regulation from a banker’s perspective is the setting for German renewable energy. Long-term guaranteed tariffs and guaranteed feed in to the grid made the financing into a retail product.

Although other countries (and the German industry) are wondering whether it is efficient and couldn’t be done cheaper, from a financing perspective the TLC of the German regulations is “super”.

However, the German surge in renewable energy also made clear that the effect of a lot of decentralized renewable energy projects on the transmission system is huge. So huge, that the interdependencies with regional and international grids got problematic. International cooperation is needed and even more so now that the rest of Europe is expanding its renewable generation. Immediately, the first question popping up is: who will pay for that? That’s a political question and therefore tricky to answer. Meaning it will take time, will change regularly and the outcome by definition will be unsure the very opposite of TLC. Renewable energy growth makes more international cooperation necessary.

We should ensure that future regulation resulting from this cooperation is TLC proof: transparent, long-term and certain. Otherwise financing will be troublesome and the growth of renewables would be frustrated or not happening at all.

Gerard van Baar Holland Financial Centre Managing Director Centre for Finance & Sustainability

The Holland Financial Centre foundation is a joint public/private venture launched by a number of parties in the financial industry and the government, who have joined together to form a broad-based interest group. The objective of HFC is to develop initiatives aimed at preserving a strong, open, internationally competitive financial industry in the Netherlands, and to retain existing jobs in the industry and create new ones.

One of the focal points of HFC is Finance & Sustainability. The Centre for Finance & Sustainability started the discussions around the Green Investment Corporation (Groene InvesteringsMaatschappij), initiated the webportal www.FSinsight.org, a platform for discussions on Finance & Sustainability between academia and business. The Centre also commissioned the book Financing Sustainability which can be downloaded at the website of Holland Financial Centre: www.hollandfinancialcentre.com.

26 | NRG Magazine Edition 11

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Offshore Energy 2013 - stand 11.077

Gas section

A Blue & Green Gas Revolution

Photo: Suiker Unie, Sky Pictures, Izak van Maldegem

NRG Magazine likes to stay tuned with the latest developments and events in the energy sector. On September 19th, Gas Industry 2013 promises an interesting debate on the current gas market situation, with the attendance of top experts such as Catrinus Jepma (Energy Delta Institute), Coby van der Linde (Clingendael), Dick Benschop (Shell Netherlands), Jon van Oostrom (GDF SUEZ LNG Solutions) and the list continues.

In line with this, we plunged into an interesting discussion about the Dutch and European gas markets and the future of the industry with Prof. Catrinus Jepma, professor of energy and sustainability at the University of Groningen and director of the Energy Delta Gas Research, and with Wilfred Heijblom, congress developer at Management Producties and conference manager Gas Industry 2013.

Photo: Gate terminal, portpictures.nl

Photo: G.C.M. Deen Shipping 28 | NRG Magazine Edition 11

Gas section

The gas industry has proven to be highly dynamic and sometimes unexpected. From the shale gas revolution in the US, to fuelling ships and trucks with liquefied natural gas (LNG), to providing reliable support for the energy sector in the face of renewables intermittency, the gas industry is interesting and evolving fast, but, at the same time, it is affected by quite a few complex issues. The global situation of extremely low prices for coal due to decreasing demand in the US has changed gas’ market movement. At the same time, this has repercussions on the way renewables are being deployed around the world.

T

he situation in the Netherlands is a rather interesting one. The country is the main net exporter of gas for the EU, while the reserves in its main gas fields (Groningen) are decreasing. The Netherlands is also banning fracking.

All these aspects make the country’s gas industry prone to many debates, as well as various trials. At the moment, as Prof.

Catrinus Jepma and Wilfred Heijblom explain, the greatest challenges for the Dutch gas market are, first, that it is gradually running out of gas and, second, the ability of the country to be competitive in the global energy market. One of the most pressing questions for the industry is: What will happen when the Groningen fields will no longer produce gas?

The answer might be distressing for the Netherlands, unless the country expands its gas exploration capabilities and related infrastructure to include transport.

Currently, as gas prices are relatively high compared to coal price, gas has a weak business case on the international market.

The Netherlands should also be looking to encourage new investments in the industry, since the large industrial and chemical companies have substantially decreased their investments. According to Mr Heijblom, the Dutch need a gas revolution.

On September 19th 2013, the Gas Industry 2013 event is taking place and is expected to help meet these challenges, by enabling the right communication and know-how sharing among gas industry experts. “Since it is very unlikely that we will be drilling for shale gas in the immediate future, the event should facilitate discussions about the usage of LNG and biogas, in order to share realistic thoughts on how to use less energy and more sustainable forms of energy at lesser

Photo: Shell, Greenstream, Ernst Bode

costs,” says Mr Heijblom. He explains that the major promise of the future is the combination of gas and renewables, but that we cannot depend on renewable energy alone.

Another part of the discussion at Gas Industry 2013 concerns developing technologies to combine both gas and renewable energy. “If we agree that gas will be the enabler of renewables, then the question is: What does the gas sector need to do in order to make itself a logical ally and appreciated partner of renewables?” asks Prof. Jepma. He continues by saying that new regulations will need to be enforced – as part of a longer-term discussion – regarding how gas can have a greener image, and that this will require more research on biomassbased gas.

it. The methane can then be fed into the grid at times of need.” Apart from storage possibilities, gas is a valid backup system for renewables. Gas can be stored and transported at relatively affordable costs. Therefore, gas could optimize the whole system. Then, why has this not been done yet? Prof. Jepma: “It hasn’t been sufficiently realized because people just focus on renewables without seeing the whole picture. If you talk about renewables, you should never talk about renewables in isolation. You should talk about the new energy system that is based on renewables with a backup system which is most likely going to be gas.” Thus, the green future of renewables needs the blue backup of gas be a reality.

“People just focus on renewables without seeing the whole picture. If you talk about renewables, you should never talk about renewables in isolation.”

The real investment figures for renewable energy make it clear that renewables are going to be pursued in the future in the EU, despite what the rest of the world might be doing. For Prof. Jepma this and the fact that renewables cannot stand alone due to their intermittency, indicate that gas indeed has a future. Making renewables and gas work together is not without challenges. One of them is how to ensure backup capacity. Another is how to balance energy within a smart grid.

Presumably, developing new means to store the energy will tackle these issues.

But there are things that could be applied sooner. Prof. Jepma explains: “Power to Gas (the methanation of hydrogen), which is a storage technology still in its infancy, could be interesting in this direction.” Power to Gas entails that the gas infrastructure can be used for storing electricity produced with renewables.

This technology allows for hydrogen (H2) and carbon monoxide or dioxide (CO or CO2) to be converted in methane (CH4). “For instance, when there is an oversupply of wind power production, you can split hydrogen from water and turn it into methane and then store

Photo: GDF SUEZ LNG Solutions, mobile LNG fuellling station Babet Hogervorst

The future of gas will be further tackled in the next pages by GDF SUEZ LNG Solutions and Shell Netherlands. The articles that follow emphasize the possibilities offered by gas in the transport sector, while discussing why the market for gas in mobility is underdeveloped. This situation is not confined to Europe. The question that lingers on is: Why is the market for gas in the transport sector so underdeveloped, since gas is the cleanest alternative to oil-based fuels?

Prof. Jepma believes that “LNG seems to be a good candidate not only from an environmental perspective but also from a business perspective.” Finally, shale gas is still banned in the Netherlands. Related research is in its exploratory phase and focuses on more environmentally friendly technologies. Perhaps Gas Industry 2013 will help shed some light on the shale gas discussion as well.

For more information please visit www.gasindustry.nl

Photos courtesy of Management Producties, organizer of Dutch Gas Industry 2013

NRG Magazine Edition 11 | 29

Gas section

LNG: Fuelling Sustainable Transport GDF SUEZ Group is a world leader in the gas industry and has a strong upstream LNG position, including production, liquefaction and transport. GDF SUEZ LNG Solutions is focused on LNG operations in the Netherlands, with a special accent on LNG as transport fuel for trucks and ships. The company is a successful combination of the knowledge and technical service experience from Cofely and GDF SUEZ Energy Netherlands in the field of LNG and gas markets. GDF SUEZ LNG Solutions has a strong focus on innovation.

From advocating LNG as transport fuel, to ensuring a no emissions policy with a state of the art cooling system, GDF SUEZ LNG Solutions is a trend setter on the global LNG market.

Jon van Oostrom Managing Director, GDF SUEZ LNG Solutions B.V.

W

hen natural gas is cooled to approximately -162° C at normal pressure, the liquid that forms as a result of the condensation is called Liquefied Natural Gas (LNG) (www.naturalgas.org, Focus on LNG). Since its volume is 600 times smaller than that of its gaseous state, LNG is particularly useful in transporting natural gas (id.). When LNG is converted back to gas, the natural gas can be used across various sectors (e.g., household heating, generating electricity, manufacturing paper, glass and other material). Its most recent applications include the transport sector (e.g., heavyduty vehicles and ships) (www.lngfacts.org, About LNG, Basics).

Using LNG in the transport sector has several, very important environmental and cost related advantages compared to diesel and marine gas oil or heavy fuel oil.

Jon van Oostrom, Managing Director GDF SUEZ LNG Solutions informs us that since transport and vehicles are responsible for 30 to 40% of the pollution in cities, LNG can make quite a difference. “Air quality is a big issue in cities with NOx (nitrogen oxide), SOx (sulphur oxide) and fine dust produced during engine combustion.

When LNG is used instead of diesel, there is a 95% reduction in fine dust. Also, the NOx and SOx quantities are decreased with 80 to 85%. Hence, there is a large improvement in air quality when we choose LNG for transport,” says Mr Van Oostrom. Moreover, he remarks that when

30 | NRG Magazine Edition 11

it comes to noise pollution, LNG trucks are half as noisy as diesel ones. “Additionally, since gas reserves are estimated to be larger than oil reserves, LNG also has a cost advantage,” pinpoints Mr Van Oostrom.

Challenges Even with all these advantages, LNG is not used as transport fuel all over the world. Why is this happening? Because, the technology involved in maintaining LNG cool, the requirements for distribution and loading and the regulatory conditions all hinder the large-scale usage of LNG as fuel. Mr Van Oostrom clarifies: “We are lacking the infrastructure for using LNG in the transport sector. We need transport towards fuelling stations by road, by river or by sea, and we need truck and ship fuelling facilities.” All these require considerable investments. Futhermore,

keeping the LNG cold is a challenge. GDF SUEZ LNG Solutions made considerable progress in this area. “Fuelling stations are not an off-the-shelf solution, so we needed to innovate and go through a learning curve,” says Mr Van Oostrom.

GDF SUEZ LNG Solutions opened a fuelling station in Arnhem, the Netherlands. The station has a nitrogen cooling system and is advanced technology. In addition, the station required a considerable investment from the company. Mr Van Oostrom is confident in the investment since “it is important to continuously provide LNG to the trucks and to have a high availability of the fuelling stations.”

“Using LNG as a fuel is not an evolutionary development but a disruptive one,” explains Mr Van Oostrom. He emphasizes that it is difficult for transport companies

Advatanges of using LNG as fuel 50%

reduction

Noise

10-20% reduction

CO2

95%

reduction

Fine dust

80-85% reduction

NOx & SOx Graph: In grey, 100% of the pollution indicators from using diesel as fuel. In blue, the same indicateors when using LNG as fuel. to invest in LNG trucks if there is no guarantee that the LNG fuelling stations will be there. The reverse is also true: it is difficult for companies to invest in LNG fuelling stations if customer commitment is not certain. There are also impediments from the regulatory side. The Netherlands does not have a standard framework for giving out permits for LNG stations and bunkering facilities. This affects the rollout of LNG as transport fuel.

“Using LNG as a fuel is not an evolutionary development but a disruptive one.”

Research studies have pinpointed the dangers of methane leaks in accelerating global warming, as methane is a more potent greenhouse gas than carbon dioxide (www.theguardian.com, June 4th 2013). GDF SUEZ LNG Solutions is up to speed with ensuring no venting. The company maintains a zero emissions policy for its LNG operations: “We have a system in the tanks which enables the cold LNG to be sprayed onto the gaseous LNG, so that it becomes liquid again.

Our cooling system with nitrogen also insures that there are no emissions. This will be the standard on the LNG market.

Unfortunately, other players are not doing it yet.”

Pleasantly Coexisting with Renewables LNG is a viable transport fuel. With significantly reduced CO2, NOx, SOx and fine dust emissions and the safety measures ensured by GDF SUEZ LNG Solutions, LNG can easily be the solution for sustainable transport. By mixing in bio-LNG, the fuel becomes even more sustainable. Besides that, using LNG for transport does not negatively impact using renewables for electricity generation.

On the contrary, they complement each other. “If you can achieve good results by using renewable energy sources for electricity production and LNG for transport, then you are going in the right direction, as electricity and transport, together, amount to approximately two thirds of our global energy use. Most efforts so far were directed at making our electricity production more sustainable.

With LNG we can now make big steps towards sustainable transport, away from diesel and marine gas oil,” notes Mr Van Oostrom.

Going International GDF SUEZ LNG Solutions is focused on the Netherlands, but GDF SUEZ Group is also looking into Belgium, France and the US for the roll-out of LNG as a fuel. Mostly due to the innovation policy of the Dutch Government that founded the National LNG platform, the Netherlands is ahead of

its neighbours when it comes to LNG usage and knowledge. The plan is to use the Dutch know-how in other countries. The roll-out has already started with the LNG fuelling station in Everett, Massachusetts, US where GDF SUEZ Group has started LNG truck fuelling (www.suezenergyna.com, Our Companies).

What does the future look like?

The aim of GDF SUEZ LNG Solutions is to be a leading supplier of LNG as fuel and to base that on the company’s own fuelling and bunker stations. “In the next five years we want to build 15 fuelling stations and a number of bunkering facilities, and we will also start developing local intermediate storage solutions,” says Mr Van Oostrom. In the meantime, GDF SUEZ is considering fuelling stations in other European countries. Mr Van Oostrom: “If international transport companies that are based in the Netherlands shift to LNG, they need LNG fuelling stations in neighbouring countries, thus there is a need to build a number of these stations in the next years.

For this we can make use of the experience gained in the Netherlands.”

Photos: Babet Hogervorst

NRG Magazine Edition 11 | 31

Gas section

Gas – Backbone of the energy system Global demand for energy is rising along with the push to address climate change. In order to be able to meet this, natural gas plays a key role in the current and future energy mix.

Dick Benschop President-Director Shell Netherlands Photo courtesy of Shell Netherlands

L

ooking at the global situation concerning gas demand, several developments are visible. We see strong growth (anticipated 5% annual increase) in Asia, owing to the rapid development of gas infrastructure there.

In North America the power sector will drive a 2% annual increase in gas demand.

Europe is the only region where gas demand will not grow significantly. The market is mature and issues concerning the fuel mix and increased use of coal as a power source must be resolved.

Today, the world is thought to have 250 years of worldwide recoverable gas at current production levels. Out of these resources, roughly half is tight gas, shale gas and coal bed methane. China, Latin America, Australia, Eastern Europe and South Africa all hold significant tight gas deposits. In North America the shale gas revolution is having a major impact on the economy and the energy security of the US. By using more gas and less coal, the US recently realised an 11% reduction in CO2 emissions - a positive development in that particular region. But, how is cleaner energy developing worldwide?

Accelerate energy efficiency The International Energy Agency (IEA) recently published the results of a study called “Tracking Clean Energy Progress”.

It concluded that progress is not fast enough. While we are managing the challenge of providing the world with more energy, we have been unable to

32 | NRG Magazine Edition 11

move towards a low carbon energy system.

The carbon intensity of the energy system has not been reduced over the past 20 years. This is due to the substantial rise in the use of coal, and it is worrying from a climate change perspective.

The staggering outcome of the IEA’s report is that investments in renewable energy and electric vehicles are in line with what is needed, but that all other sectors are lagging behind. Many energy efficiency opportunities remain untapped: too much coal is being combusted, growth of nuclear energy is lower than expected and Carbon Capture and Storage is not being developed fast enough. The US and China are moving towards gas, nevertheless Europe is moving backwards towards coal. Time is a frightening element here, as energy transition cannot be achieved overnight.

The European energy paradox Europe is definitely not going in the right direction. Its energy and climate policies are in a crisis. The use of coal is increasing at the expense of natural gas, caused mainly by the export of cheap coal from the US. Old coal plants are running and new gas plants are idling.

Action must be taken now in the direction of natural gas, renewables and energy efficiency and these elements should be combined. This is the most direct, costeffective pathway to reducing carbon emissions. IEA’s work shows that we need

growth in low-carbon technologies, like gas-fired power, alongside investments in renewables. It is also important that this situation is explained to and understood by the general public and decision makers.

Industry must work together to improve the current situation and that requires an in-depth analysis and clear communication to send out this complex message.

The uniqueness of gas Innovation in gas is a key topic in stimulating cleaner energy and gas demand, since it contributes to the reduction of coal consumption in the energy industry. This innovation is being driven along the whole value chain from upstream production, via midstream to new downstream applications. Examples of innovation throughout this chain are Floating LNG (Liquefied Natural Gas), floating regasification systems and LNG in transportation.

Gas has several qualities that make it a unique fuel and suitable for the journey towards cleaner energy. It can be converted into power and heat efficiently at every scale, from domestic boilers to large-scale CCGT (Combined Cycle Gas Turbine) systems. Efficiency can be boosted further by producing power and heat together, also at every scale.

Gas can be the backbone of the energy system. This is becoming increasingly well understood, but has yet to be fully realised. The flexibility provided by

Floating liquefied natural gas (FLNG) is a revolutionary technology that will allow Shell to access offshore gas fields that would otherwise be too costly or difficult to develop. Prelude FLNG (67.5% Shell) is the world’s first FLNG development.

Source: Photographic Services, Shell International Ltd.

gas-fired power in combination with efficient transportation and storage is vital for a power sector in which renewable energy starts to impact the entire system.

The short-term role of gas is supported by technological developments, such as biogas and hydrogen, which will contribute to the decarbonisation of gas.

Gas for transport and household efficiencies Natural gas could form a bigger part of the energy mix in the transport sector than it currently does. According to the Shell Energy Scenarios, it could account for 10% of road transport fuel by 2050. LNG, for example, is a smart way of reducing sulphur-oxide and particulate emissions, especially in the marine industry. LNG will play a leading role in Europe, where stricter emissions limits have been set for shipping from 2015. Shell recently signed a contract to charter two new tank barges powered entirely by LNG. Major benefits for applying LNG in transport include: lower fuel costs; cleaner burning and hence fewer emissions; less noise and smaller volume.

What about gas in households? Europe’s Energy Performance of Buildings Directive (EPBD) instructs governments only to allow the building of new houses with an energy performance of close to zero from 2020.

“The use of coal is increasing at the expense of natural gas, caused mainly by the export of cheap coal from the US. Old coal plants are running and new gas plants are idling.”

In this case, close to zero means energy neutral. Many investigations have been conducted into how energy neutral households can be achieved.

The best solution for both costs and resilience for households in residential neighbourhoods is a hybrid one, involving both the electricity and gas grids and a combination of technical concepts (e.g. high-efficiency boilers).

Act, innovate and communicate!

It is important that the European energy paradox is solved soon. We cannot afford to proceed in a direction in which the consumption of coal is growing all the time. To achieve this, Europe’s energy and climate policies must change to create a level playing field for gas by establishing a robust CO2 price. Gas and its infrastructure can and should constitute the backbone for transforming the energy system. This concept will enable us to move beyond the debate whether gas is simply a transition or a destination fuel. We must act together and develop knowledge to convey accurate messages about a difficult topic, but in a simple way. We must innovate (more) and communicate (better).

NRG Magazine Edition 11 | 33

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to keep up to date on the latest technical developments.

Rational Middle

Are increased taxes on imports of Chinese solar panels beneficial for the European solar market?

On June 4th 2013, the European Commission decided to impose provisional anti-dumping duties on the Chinese solar panels, cells and wafers imported in the European Union. What brought this on? China was accused by the Commission of “undercutting European rivals by selling panels below cost and threatening 25,000 jobs in the European solar industry” (www.guardian.co.uk, June 4th 2013). Starting with August 2013, the tax would be set at 47.6% (europe.eu, press release on June 4th 2013). Germany would suffer the most at the hand of these dumping prices, since many of the main European manufacturers of photovoltaics (PVs) come from this country along with 15,000 jobs in the industry (www.nytimes.com, Global Edition, Business, July 28th 2013). Nevertheless, the German government and China opposed the tax raise (id., July 28th 2013).

At this point we had to ask ourselves if this tax will truly help the European solar market. Answering this question was not that easy, which is why we approached two top energy experts to formulate a balanced answer for this edition’s Rational Middle section - Prof. Dr. Wim C. Sinke from ECN and Prof. Dr. Anton J.M. Schoot Uiterkamp from the University of Groningen. You can read what they thought about the situation in the next pages. But the story is not over here.

In the last weekend of July 2013, the tax dispute seemed to find a resolution when the EU and China agreed to set “a fairly high minimum price” (0.55 to 0.57 euros per Watt) for sales of Chinese solar panels in the EU (id., July 27th 2013). The next day, EU ProSun, the industry coalition that pushed for the sanctioning of dumping prices in the first place, threatened to sue the European Commission for settling the prices at such low levels (id., July 28th 2013). While our two Rational Middle experts help us grasp the complexities of the situation, the Chinese solar panel story is TO BE CONTINUED…

NRG Magazine Edition 11 | 35

Are increased taxes on imports of Chinese solar panels beneficial for the European solar market?

Unsustainably low prices: a disaster for PV innovation W

e are living at least five years ahead of our time in terms of photovoltaic (PV) solar module prices. As a result of production overcapacity, prices have dropped far below the historic trend line. This line, the so-called price-experience curve, describes the evolution of market prices as a function of the cumulative volume produced. For more than 30 years, it has given a rather accurate description of the combined effects of innovation and economies of scale, which yielded a robust 20% price decrease on average for every doubling of the cumulative volume. Prices falling far below this line either indicate a technological miracle or drastically shrinking margins. Unfortunately, we are looking at the latter right now.

It is a devilish dilemma. Current low module prices and, consequently, low system prices enable the development of the first major self-sustained PV markets. Something we have worked on and waited for so long. This unexpected acceleration of market deployment

Prof. Dr. Wim Sinke is Manager Program Development Solar Energy at the Energy Research Centre of the Netherlands (ECN). Prof. Sinke was awarded the European Becquerel Prize in 2011 during the 26th European Photovoltaic Solar Energy Conference in Hamburg, Germany. This prize attests his outstanding contributions to the development of the field of photovoltaics.

Photo: Wim Raaijen

from our eyes, an even bigger number of companies in Asia have also disappeared.

Industrial technology development has almost come to a standstill and this severely affects public sector research as well since a substantial part of it is demand-driven. Therefore, too low prices are a disaster for the development of PV technology as a whole. There is a serious risk that the PV sector will lose a significant part of the valuable diversity that has been built up over decades, in which Europe has played a crucial role.

In this complex situation the European Commission has recently introduced import taxes on solar modules from China and announced to increase that taxation

“Taxes will not change the very bright future of PV, but may delay its arrival.� has also promoted photovoltaics to the rank of options that can contribute substantially to the EU 2020 target of 20% renewable energy. In other words, low prices are a blessing for the downstream part of the PV sector. However, small, zero or even negative margins are a curse for the upstream part of the sector, in particular for solar cell and module manufacturers and their suppliers. Many companies have gone bankrupt and the remaining ones don’t have the financial means to innovate. Clearly, the European manufacturing industry has suffered tremendously, but, somewhat hidden

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if no agreement can be reached. There is broad consensus that at certain points in time solar modules could be bought at prices below the manufacturing costs of even the biggest and most efficient companies.

Unsustainably low prices that were welcomed by one part of the PV community and its customers alarmed another part. I am convinced that it is not possible to build a sustainable sector on unsustainable grounds. The question is how to respond wisely to the current unsustainable situation.

How to find the balance between energy related interests, industry and economic interests and more?

Import taxes, when increased further, will almost certainly affect PV markets in Europe. That will be a blow for many downstream entrepreneurs and for the role of PV on the short term. Indirectly, taxes may have impact on the export business of high-tech upstream companies such as equipment suppliers. Taxes will not change the very bright future of PV, but may delay its arrival.

Clearly, restoring profit margins is not sufficient for the European manufacturing industry to successfully face the fierce global competition.

Consistent and ambitious policies for research and innovation, suitable regulatory frameworks and availability of capital at favourable conditions are equally important for longer-term success. A globally adopted system for quality assurance at all levels as well as environmental labelling of products will help all serious companies worldwide to strengthen their position and to build the professional terawatt-scale sector that is needed for impact.

The PV sector and its customers are not expected to reach consensus about import taxes. Short-term interests (making business) are too divided and long-term interests (building a strong, sustainable PV sector) are too general for stakeholders to agree. Therefore, I have one hope or even request: do not allow this disagreement to drive the PV subsectors apart. The entire PV sector will be worse off if we allow this to happen.

Are increased taxes on imports of Chinese solar panels beneficial for the European solar market?

Arguably NO... twice M

y answer to the question is NO! The answer is based on two arguments: overcapacity in the global solar panel industry and “tit for tat”.

First, let’s discuss overcapacity in the solar panel industry. In the last decade solar energy has really taken off in many countries around the world. The main drivers were technological breakthroughs, production expansion and specific policies aimed at abating and mitigating climate change, policies which resulted in rapidly falling prices of solar panels.

Germany offers a prime example. In 1999 the country introduced the so-called feed-in tariff for energy from renewable sources. It is basically a long-term contract whereby power companies agree to allow access of solar power to their grids and to buy the excess solar power from consumers. Especially after the 2000 and 2004 updates of the law further specifying the feed-in tariff, the production, installation and use of solar panels grew spectacularly. Many German production companies were founded and thousands of jobs were created in the installation and maintenance business.

Prof. Dr. Anton J.M. Schoot Uiterkamp is an Emeritus Professor of the University of Groningen. His expertise is in Environmental Sciences.

Prof. Schoot Uiterkamp is active at the Centre for Energy and Environmental Sciences, IVEM, Energy and Sustainability Research Institute Groningen (ESRIG) at the University of Groningen. but only a potential of 21 gigawatts was realized. The drop in prices of solar panels was stimulated by the growth of solar companies in countries like China, with low labour costs and high production volumes.

At the end of February 2012 the share prices of solar panel producers fell sharply when the German government announced plans to slash subsidies for electricity generated from solar energy. Remarkably, in that same week, on February 27th 2012, the German weekly news magazine Der Spiegel reported that the Chinese solar panel boom had been supported by German financial aid. Chinese companies profited from the German government’s budget for development aid in the context of the so-called “global climate justice” programme of the German Environment Ministry. It has to be added that the Chinese company, LDK Solar invested in the German solar cell producer Sunways located in Konstanz.

“No country or industry wins in trade disputes since they tend to escalate into economic arms races.”

Things began to change after 2010. In a report on solar energy issued in November 2012, the Swiss bank Sarasin & Co. Ltd stated that a market shakeout was inevitable given the global overcapacity in solar panel production. In 2011 the global production capacity for solar panels modules rose to 50 gigawatts

All of these developments and similar ones in the USA preceded the introduction of extra tariffs on imported solar panels from China by the USA and the EU. The “tit for tat” argument follows.

Imposing sanctions seems a politically attractive measure to address unfair trade practices by other countries.

After all it seems perfectly reasonable to protect your producers if another country is perceived to unfairly undercut the locally prevailing prices. But theory and practice differ. The recent case of the solar panels trade dispute, China versus the EU and the USA, shows once again that, in general, no country or industry wins in trade disputes since they tend to escalate into economic arms races.

In June 2013 the EU imposed tariffs of about 12% on Chinese solar panels.

If China does not stop the practice of dumping, the EU will raise the tariffs to about 50%. China responded by investigating whether European wines had been sold below cost in China. Ironically, a swap of spirited solar based fluids for solar panels! In the fall of 2012 the United States preceded the EU by imposing tariffs ranging from 24 to 36% on imported solar panels from China. On July 18th, The New York Times reported that China plans to impose tariffs perhaps exceeding 50% on US and South Korean produced solargrade polysilicon, an essential material for constructing the majority of current solar panels. A new economic arms race among WTO member states may have started.

And according to the WTO Rules and Procedures, conflicts between member states should be resolved using the multilateral system of settling disputes.

In conclusion, the European Solar industry should concentrate and cooperate, innovate, focus on quality over quantity and rely on its own strength instead of trying to benefit temporarily from illperceived protective measures.

NRG Magazine Edition 11 | 37

NRG Facts or Fiction

Fracking Future?

Fiction

EVs replacing ICEs, no way!

38 | NRG Magazine Edition 11

Methane Leaks: Where’s the Solution?

Methane leaks might accelerate climate change.

A recent report from the Centre of Climate and Energy Solutions (C2ES) (www.c2es.org) has shown that the reduction of carbon emissions resulting from the shift of coal to gas is being offset by a sharp rise in methane leaks. As a greenhouse gas, methane is believed to be up to 105 times more powerful than CO2 on a 20-year timescale. (www.theguardian.com, June 4th 2013, methane leaks). This is why environmentalists are demanding greater attention to assessing the real climate benefits of using gas. There are technologies that can be used to help limit methane leaks, such as zero-bleed pneumatic controllers, improved valves, corrosion resistant coatings and dry seal compressors. (www.pri.org, June 21st 2013, stories, methane leaks) These technologies can help us reduce the damage to our environment while reaping the benefits of decreased CO2 emissions from using gas to produce energy or to fuel vehicles and ships – as LNG.

NRG Facts or Fiction

graphene & polymers

Nano-level heroes

Fact

Fiction Uranium is the best!

I

n fact: Thorium could be better. Recent discoveries about thorium indicate it to be

the curious solution to the climate crisis. After being used in power plants, the element leaves very little amounts of waste, which only needs to be stored for a few hundred years, unlike other nuclear by-products. Also, since there is such a large abundance of thorium in nature, it is nearly impossible to exhaust it and it is one of the few substances that act as a thermal breeder. Not only that, but it is also impossible for the by-products of a thorium reactor to be used by terrorists or anyone else to make nuclear weapons. (www. wired.com, December 21st 2009, thorium) Before thorium can be sold on the market, an adequate amount of testing, analysis, licensing and qualification work is necessary. Additionally, government support is needed to replace uranium, which is still abundant in nature, with thorium. Developing thorium’s business case can offer enormous long-term energy security benefits, since it is considered a self-sustaining fuel without any need for fast neutron reactors. With thorium we could have a viable solution to limit nuclear energy related waste. In other words, a nuclear renaissance could be underway. (www.world-nuclear.org, thorium)

NRG Magazine Edition 11 | 39

SIEnergyLab

SIEnergyLab - Bridging Science & Business SIEnergyLab seeks to bundle the forces of complementary scientific research and brings business and science together in the field of Sustainable ICT & Energy.

Under the supervision of Prime Minister Mark Rutte (the Netherlands), MinisterPresident Kris Peeters (Flanders) and Jose Romano representing Governor Rick Perry (Texas), the Memorandum of Understanding between the University of Texas (Texas), Energyville (Flanders) and SIEnergyLab (the Netherlands) was signed on July 8th 2013 in Houston, Texas.

The key factor in the transition to a sustainable society is to apply ICT to solve the energy challenges that we are facing.

These challenges cannot be solved by occasionally collaborating on projects between science and business. What is needed, is to create structural synergy between science and business. By nature, science and business tackle issues from different perspectives. By combining these different perspectives structurally and continuously, a new, powerful potential is unleashed. This is why SIEnergyLab aims to form a structural bridge between science and business to apply ICT to monitor and control energy production, distribution and consumption in a better way in order to work towards a sustainable society. In SIEnergyLab, representatives from science and business collaborate to create solutions that are solid, innovative and applicable in practice. At the (inter) national level SIEnergyLab seeks to bundle the forces of complementary scientific research and brings together members of the participating companies with scientific expertise in the field of Sustainable ICT & Energy.

The SIEnergyLab organization performs knowledge commercialization (valorisation): initiating, promoting and carrying out scientific research in above mentioned fields for commercially viable and socially thoughtful applications, taking into account those issues that are important for end users, e.g. convenience, trust, enjoyment and gain. Going beyond the standard unidirectional knowledge commercialization, SIEnergyLab initiates structural, close interaction between business and science in order to create the right level of synergy to produce new knowledge with ‘built-in’ valorisation.

In this way, SIEnergyLab seeks for advanced technological solutions to ICT & Energy related urgent issues, consciously considering social and human impact.

National and International Cooperation SIEnergyLab has been initiated by GreenICT Foundation and Radboud University Nijmegen to join forces nationally. Starting from this Dutch perspective and being aware of the fact

40 | NRG Magazine Edition 11

that the world is further developing into a global village, international cooperation is a natural next step. On July 8th 2013 the Memorandum of Understanding between the University of Texas at Austin (Texas), Energyville (Flanders) and SIEnergyLab (the Netherlands) was signed in Houston, Texas.

The University of Texas was represented

by Dr. Thomas Edgar, Prof. Dr. Ir. Ronnie Belmans represented Energyville while SIEnergyLab was represented by Prof. Dr. Ir. Ton Backx.

Both the University of Texas and Energyville are interesting R&D partners.

For instance, the University of Texas Systems covers nine universities, including the University of Texas at Austin, which educate more than 216,000 students and employ 87,000 faculty and staff members.

Energyville is a Flemish cooperation including VITO, KU Leuven and Imec., among others.

Prior to signing this Memorandum of Understanding (MoU) for international cooperation, another MoU, the SIEnergyLab Memorandum of Understanding was signed. The SIEnergyLab Memorandum of Understanding was signed in the first week of July, 2013. The parties involved in the SIEnergyLab MoU are Radboud University Nijmegen, GreenICT Foundation, Delft University of Technology, Eindhoven University of Technology, IIP Sustainable ICT Foundation - Platform for Sustainable ICT, Alliander and the University of Twente.

The SIEnergyLab Memorandum of Understanding was signed by Prof. Dr. Tom

Signing of the Memorandum of understanding between University of Texas (Texas) EnergyVille (Flanders) and SIEnergyLab (the Netherlands) by Dr. Thomas Edgar (University of Texas), Prof. Dr. Ir. Ronnie Belmans (Energyville) and Prof. Dr. Ir. Ton Backx (SIEnergyLab) on July 8th 2013 Houston Texas.

Heskes, Director Institute for Computing and Information Sciences - Radboud University Nijmegen, Roel Croes LL.M, co-founder and board member - GreenICT Foundation, Prof. Dr. Ir. Rob Fastenau, Dean Faculty Electrical Engineering, Mathematics and Computer Science - Delft University of Technology, Prof. Dr. Ir. Ton Backx, Dean Faculty Electrical Engineering - Eindhoven University of Technology, Prof. Ir. Ton Koonen, Chairman - IIP Sustainable ICT Foundation, Bram Reinders MSc, Manager Alliance Management Alliander and Prof. Dr. Ir. Ton Mouthaan, Dean Faculty Electrical Engineering, Mathematics and Computer Science University of Twente.

Besides these MoU signing partners, many (scientific) organizations have indicated interest to join and support the SIEnergyLab initiative. The will to invest in a sustainable future is actually, only a matter of (scientific) common sense.

SIEnergyLab is striving after this common interest.

SIEnergyLab Goals The objectives of SIEnergyLab are acquiring new knowledge in synergy and strengthening the knowledge economy.

Research in this field is critical to progress, as is sharing such research and innovative developments. This is why this twofold goal forms the foundation on which SIEnergyLab bases its objectives.

SIEnergyLab

s in ICT & Energy for a Sustainable Society Roel Croes (SIEnergyLab co-founder & board member) and Mark Rutte - Prime Minister of the Netherlands. Houston, July 8th 2013. Picture taken by Melanie Schultz van Haegen - Minister of Infrastructure and the Environment of the Netherlands.

Acquiring New Knowledge in Synergy in the Field of Sustainable ICT & Energy SIEnergyLab fulfils this objective by realizing synergy and acquiring new knowledge through research and development. Among other factors, synergy is achieved by pooling scientific expertise in the field of sustainable ICT & Energy at an (inter)national level and improving the cooperation between science, business and government.

The acquisition of new knowledge will be realized by initiating, promoting and conducting scientific research on the aforementioned fields in favour of commercially viable and socially sophisticated applications. Of course, important issues such as the end user’s convenience, pleasure and gain are taken into account. Researchers study topics and issues, which are put forward by business, using their scientific background. In addition, external project proposals related to similar research topics put forward by businesses can also be studied. For this, SIEnergyLab cooperates with leading universities and supports the integration of academic research and teaching at the universities involved.

Strengthening the Knowledge Economy in the Field of Sustainable ICT & Energy SIEnergyLab fulfils the objective of strengthening the knowledge economy in aforementioned fields by disseminating and commercializing (valorisation of) knowledge, including by bringing to the attention of Sustainable ICT & Energy related scientific research, in business.

Besides this, the SIEnergyLab organization stimulates the commercialization of the knowledge developed, through application and implementation within the companies concerned. This results in

new propositions and business models.

The visualization of the social and commercial importance of scientific research in the field of Sustainable ICT & Energy also contributes to strengthening the knowledge economy. Improving the mutual perception of science, business and government in the field of Sustainable ICT & Energy creates new opportunities for all parties involved.

Organizational Structure SIEnergyLab is an independent publicprivate partnership in the field of Sustainable ICT & Energy. The organization is led by a board which consists of scientific director, Prof. Dr. Marko van Eekelen (Radboud University Nijmegen) and business director, Roel Croes LL.M (GreenICT Foundation). Both members are also the initiators of SIEnergyLab. Due to its lean and mean organizational structure, SIEnergyLab’s organization is characterized

by effectiveness, efficiency and sufficient flexibility. It is therefore able to adequately react to changes in the dynamic research and development field of Sustainable ICT & Energy.

SIEnergyLab is a joint venture of leading universities, companies and NGOs such as: Eindhoven University of Technology, Radboud University Nijmegen, GreenICT Foundation, Delft University of Technology, Alliander, University of Twente and IIP Sustainable ICT Foundation - Platform for Sustainable ICT. To achieve its goals, the organization can use its own extensive network of professionals and the networks of its partners. SIEnergyLab aims to closely cooperate with its contacts in science, business, government (the Ministry of Economic Affairs, NL Agency, the Netherlands organization for scientific research NWO and Technology Foundation STW, among others) and various Top Sectors including Top Consortia for Knowledge and Innovation (TKIs): TKI Switch2SmartGrids, TKI EnerGO, TKI HTSM and TKI Biobased Economy.

SIEnergyLab is open to all parties who wish to make an active contribution to scientifically interesting and commercially viable solutions in this crucial social and technological R&D field. Further information is available via www.sienergylab.com

The launch of the Dutch portal website on Sustainable ICT & Energy The launch of the Dutch portal website on Sustainable ICT & Energy (ICTgaatvoorgroen.nl) during the Sustainable ICT & Energy Conference An Innovative Truth V on June 19th 2013. From left to right: Ab van der Touw (CEO Siemens Netherlands NV), Mark van Stiphout (Cabinet member of Energy Commissioner Günther Oettinger, European Commission), Marcel Krom (CIO and Director International PostNL), Roel Croes (Secretary IIP Sustainable ICT Foundation) and Pier Nabuurs (Chair Top Sector Energy - until July 1st 2013) on the stage of the Beatrix Theatre in Utrecht, the Netherlands.

Photos © 2013 GreenICT Foundation

NRG Magazine Edition 11 | 41

Back to the future with Coby van der Linde

Back to the future

with Coby van der Linde

Did you ever wonder what defines a great career, what people we look up to have to say about global issues and which advice they can provide for young talents, just starting their career? In this edition, Coby van der Linde, director of the Clingendael International Energy Programme talks about issues in international cooperation within the energy market, shares her thoughts on the geopolitical strength of the Netherlands and how the younger generation will take over the energy sector.

Photo courtesy of Coby van der Linde

42 | NRG Magazine Edition 11

Back to the future with Coby van der Linde

H

[Bio]

aving a relaxed discussion with an expert in geopolitics and energy markets is a feast for the mind. Coby van der Linde is that expert. Among her many activities, Ms Van der Linde is able to educate the public and important decision makers through the Clingendael International Energy Programme. Originally, the programme was founded to inspire collaboration between government and private entities working in the energy sector. Most importantly, CIEP has created its own place in the energy debate. The debate accounts for not only market efficiency, but also for energy security and the environment – all three sides of the energy policy triangle are just as essential to discuss. Ms Van de Linde explains that from CIEP’s current position and size, CIEP is very agile and able to quickly pick up issues. This allows CIEP research to be ahead of the curve and shared with a network of energy professionals.

Starting CIEP is one of Ms Van der Linde’s greatest career achievements. The biggest one being having her book on oil published. “For me, this was monumental. I was so proud I was able to publish it with my supervisor’s series on industrial organization. I felt so honoured by the fact that he invited me to publish in his series,” she explains. In her career as a professor, Ms Van der Linde was able “to turn on the light for students” when it comes to energy matters. The CIEP director is proud she was able to help them along the way. Nevertheless, during her impressive career, Ms Van der Linde also experienced disappointment. She remarks: “My greatest disappointment is that universities have interests in energy but they drop the topic very quickly. From now on, until I retire, I feel an obligation to help younger generations understand energy. The generation is also a smaller one that will assume more responsibility at a younger age, since the 55+ individuals will all be gone from the energy sector.” Ms Van der Linde notes that, nowadays, experts and CIEP collaborate in energy programmes so that they can help the younger generation get a wider perspective on all the energy issues we are facing. “The younger generation should know how we dealt with changes before, which errors were made and why,” pinpoints Ms Van der Linde.

“At one point in history, gas was our final solution to sustainability, but now, we don’t fully embrace the new notion that gas reserves have really increased as much, because we need to assess if the shale revolution in the US has as much potential elsewhere. If so, does that really change our structural import situation?”

Between coal and oil on one side and renewable energy sources on the other, gas plays a balancing role. Ms Van der Linde comments that the gas industry’s ability to continue new developments and to get a license to operate is considerably hindered. “It doesn’t matter if it is onshore or offshore, the ability to get a license to operate anywhere with the new technologies that have come to the sector is one of the biggest issues in international cooperation in energy,” she remarks. The same rule applies to shale gas.

Since gas has plenty of benefits over other fossil fuels, these licenses are truly needed.

The benefits of gas can be applied to both emerging and mature market economies.

Ms Van der Linde explains that the key to obtaining these licenses easily is to ensure that there is clarity about the development of gas. “This shouldn’t take away from a country’s sustainability strategy, it should only add to it. At one point in history, gas was our final solution to sustainability, but now, we don’t fully embrace the new notion that gas reserves have really increased as much, because we need to assess if the shale revolution in the US has as much potential elsewhere. If so, does that really change our structural import situation? This is the underlying question from an energy security point of view,” says Ms Van der Linde.

In the Netherlands, the whole gas value chain is already available. There is a lot of knowledge about gas since it is penetrated so deeply in the country’s market. However, this position will not be sustained unless there is innovation. “The decision on shale gas will be based on the environmental and other demands that we make,” notes Ms Van der Linde. She adds that, at this time, shale gas depends on the techniques being developed and also on the ownership of the land.

Ms Van der Linde remarks that the EU has become a group of gas consuming countries, and the Netherlands remains the only net exporter of gas within the Union – with the UK no longer a net exporter and Norway as a member of the EER. This gives the country a unique geopolitical position. “Due to the Netherlands’ exporting position, we need to make sure we know what kind of new developments we want and that we have new policies to support these,” continues Ms Van der Linde. She explains that the Netherlands needs to set an example for the EU. The country must be able to develop new technologies it can share and help benefit other societies. “It’s very good to be critical and very demanding of any industry, but at the same time, stopping a lot of developments that will continue elsewhere doesn’t always give us the best yardstick,” remarks Ms Van der Linde.

Photo courtesy of Coby van der Linde: Ms Van der Linde in a helicopter, on her way to an oil platform in the North Sea, May 1991

Coby van der Linde is the director of the Clingendael International Energy Programme (CIEP), which she initiated in January 2001. This programme was developed to tackle issues that both governments and private entities face together in the energy sector. Ms Van der Linde was first intrigued by the energy sector in 1973, during the oil crisis. Reading the newspapers as a teenager, she automatically became fascinated by what was going on in the Middle East.

Once she started her university education, she focused on studying that region, particularly Saudi Arabia, Kuwait and the United Arab Emirates, and continued with a PhD in international oil markets - doctoral thesis “Dynamic International Oil markets, Oil market development and structure”. Prior to CIEP, Ms Van der Linde was professor and researcher at various institutes in the Netherlands and abroad. In 2004, she became Professor of Geopolitics and Energy Management at the University of Groningen.

[Tip for Talent]

To new talents interested in pursuing a career in the energy sector, Ms Van der Linde says that it is important to embrace the dynamism of the field, since it requires re-evaluating their knowledge and figuring out where it fits at all times, especially with new developments.

“Knowing the facts is important, so look at energy for what function it has, what it is and what it isn’t, and don’t put so much ideology into energy. Always be open to new developments!” she advises.

NRG Magazine Edition 11 | 43

Expert Section with Warmtebedrijf Rotterdam

Hypocaust reinvented: Rotterdam

Co Hamers Director of Warmtebedrijf Rotterdam Photos on this page: Bram Lamens

Margot Scheltema Member of the Supervisory Board of Warmtebedrijf Rotterdam Photo courtesy of Margot Scheltema

NRG Magazine celebrates experts. In this edition Co Hamers, Director of Warmtebedrijf Rotterdam, and Margot Scheltema, Member of the Supervisory Board of Warmtebedrijf Rotterdam, share their experience of carrying out one of the most innovative energy projects in the Netherlands: using waste heat from the Rotterdam industrial port area for residential heating in the same city.

Warmtebedrijf Rottedam was founded in 2010 as a joint venture between the Municipality of Rotterdam and E.ON Benelux. The company is focused on creating a waste heat chain between the port and the residential part of Rotterdam via a pipeline network and distribution companies. Construction started in September 2012, and the heating system is expected to be operational in October 2013.

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Expert Section with Warmtebedrijf Rotterdam

is making use of its waste heat

H

aving warmed up houses, connected to heating systems is not a modern day luxury. The Romans were already enjoying such comfort more than two millennia ago. The Roman heating system was called hypocaust and was based on hot air resulting from a burning furnace and a series of ducts consisting of stone or brick tunnels (www.pages.drexel.edu, hypocaust). The system was very useful, but the Romans still needed to burn fossil fuels in order to warm up their homes.

What if the fossil fuels needn’t be burnt?

What if otherwise wasted heat were to be used to warm houses through a complex pipeline system in the underground of a city? Then the hypocaust would be taken to a whole new level.

Warmtebedrijf Rotterdam is the company that is taking heating systems to the next level. The waste heat harvesting project it initiated in Rotterdam may be the sustainable solution for residential heating. “It is sustainable to use industrial waste heat to warm up Rotterdam households, instead of using gas powered boilers,” says Co Hamers, Director of Warmtebedrijf Rotterdam. The company was established by Mr Hamers in 2010 to initiate the building phase of the project involving the reuse of industrial waste heat from the Rotterdam port area.

Warmtebedrif Rotterdam is constructing a safe and efficient heat network while bringing supply and demand together.

Moreover, the project is a great fit with climate change related plans for the city of Rotterdam. By 2025, the Rotterdam Climate Initiative aims to reduce CO2 emissions by 50% compared to 1990 levels.

Efficient use of energy could certainly help achieve this goal. If things go smoothly, the Warmtebedrijf Rotterdam heating system is expected to help reduce emissions in the area by 25%.

Nevertheless, before the benefits of the project can be reaped, a complex pipeline system needs to be finalized. The system is based on pipes that carry water. When the water travels to the industrial area and the hot installations of Rotterdam, it gets warmed up by the waste heat resulting from industrial processes. This is done in a closed system, meaning that water and heat cannot escape. “The people who are putting this whole pipeline network together take extreme care to insure that the pipes are clean and stay clean.

Once the system is interlocked then it is a closed system. The company took good

measures to prevent contamination of the pipelines during the construction phase,” remarks Margot Scheltema, Member of the Supervisory Board of Warmtebedrijf Rotterdam. The plan is to have the warmed up water travel through the pipes and be distributed to the city’s residential areas and to Maasstad Hospital. The heating network can cover the equivalent heat usage of 50,000 households. The water in the pipelines is meant to transfer heat via an intermediate station to radiators in buildings. The heated water can also warm up water for household usage through heat exchange. After the heat is conveyed to homes and Maasstad Hospital, the cooled water is reheated and the heat exchange can take place again, when needed. Regarding the sustainability of the building process of the pipeline network, Mr Hamers notes: “We used proper insulation to prevent waste heat in the system itself. Additionally, we used extremely efficient pumps and motor drives in order to minimize our electricity bills and use as little electricity generated by coal as possible.”

The district heating pipeline network constructed by Warmtebedrijf Rotterdam consists of two pipes for heat transfer through water that reaches 120° C. Each pipeline is 26km long. The pipeline network runs from AVR-Van Gansewinkel in Rozenburg, under the Oude Maas, along Hoogvliet, parallel to the widening of the A15, then along the Waalhaven to Charlois, after which it branches out and goes to Maasstad Hospital and to Kop van Zuid, Wilhemina Pier. Such an intricate pipeline, passing under residential areas and waterways required a complex construction process. The pipeline is buried1055m deep under the Oude Maas and 60m deep between Brielselaan and Wilhemina Pier. The company used Horizontal Directional Drilling (HDD) to bury the pipelines.

Warmtebedrijf Rotterdam needed to make sure it had a sound plan before construction started. “The Supervisory Board is continuously trying to make sure that the whole project makes sense economically. Apart from that, this business, as any business is data driven.

You need management information in order to steer the project. For example, management information can include safety statistics. In this respect, the building sites for this project have excellent safety statistics,” says Ms Scheltema. Apart from proper planning, safety measures, the

latest technology for drilling and energy efficient equipment, the project also needed a number of 86 licenses. This, of course, adds to the complexity of the task of creating a revolutionary heating system.

Why is this solution so innovative? Before Warmtebedrif Rotterdam’s solution, the waste heat produced by the many companies in the area was simply that, wasted. Hence, capturing it and preventing the burning of additional fossil fuels for heating households does not only make economic sense, it is also environmentally friendly and sustainable.

In terms of maintenance, the project is driven by sustainable practices as well, from insulation to prevent heat loss in its own processes, to highly energy efficient technologies involved in the construction.

Furthermore, the pipelines require little maintenance since they transport water, and the system is carefully constructed to prevent contamination. Additionally, the company is constantly monitoring the pipeline network for leakage and oxygen content, Mr Hamers informs us. Regarding emissions, the project helps reduce not only CO2 levels in Rotterdam with circa 80kton, but also the NOx (nitrogen oxide) levels in the area by 10%.

“It is sustainable to use industrial waste heat to warm up Rotterdam households, instead of using gas powered boilers.”

The revolutionary heating system is set to be completed by October 1st 2013, just in time for the new heating season. Once this milestone is achieved and the project runs well, the company aims to have an additional 50,000 households connected to the pipeline network by 2023. Moreover, if the project is a success, it could also be replicated in other port cities around the world. The company has not yet planned for this, but we have to wonder: Why not export such an innovative concept on an international scale? If coastal cities around the world were warmed up with otherwise wasted heat, then we would have significantly lower global CO2 emissions and NOx levels in these urban areas, as well as spend less money on heating. In other words, this could be the sustainable solution for warming the homes, hospitals and office spaces of the planet’s urbanized coastlines.

NRG Magazine Edition 11 | 45

NRG Battle - World Edition 18 - 22 November 2013 Beijing | China

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NRG Battle - World Edition is supported by the

Next Generation Energy Leaders (NGEL)

Join us now As a Partner

The NRG Battle-World Edition 2013 will take place in Beijing, China from 18th until 22nd of November, during the World Energy Forum (WEF) 2013.

The Talent competition will be a part of the Next Generation Energy Leaders (NGEL).

As a partner of the NRG Battle-World Edition 2013, you will: • Gain high-level exposure at the WEF 2013 in Beijing, China • Have online access to more than 10,000 carefully preselected Top Talents from over 60 countries • Be able to showcase your latest developments • Have the opportunity to create awareness for your company’s view on the future of energy

Do you want your company to participate?

Contact Rob Hogenelst for more information.

Mail: rob.hogenelst@tta-world.com Telephone: +31(0)50 317 14 70

www.nrgbattle.com

Talent Development: Who is Responsible for What?

T

he transformation of natural abilities into systematically developed skills, which eventually will define expertise, is perceived as talent (Françoys Gagné, “High Ability Studies”, p. 119-147, 2010). Professor Gagné pinpoints that developing a talent can be helped or hindered by three catalysts: (1) personal traits and self-management processes, (2) socio-demographic factors and the psychological influence of family, teachers and peers and (3) chance. While the first and the second catalysts remain to be intrinsic and unpredictable, respectively, psychological influences imply a larger debate. For instance, education is a significant part of developing a talent.

Educating talents for assuming certain roles in today’s highly interactive world does not and should not fall solely under the responsibilities of academia. The idea that a talent can be made “ready” – for a position outside the university by the educational institution itself – is flawed.

Moreover, study/job mobility and the multicultural experiences that come with our connected world, also need to be accounted for in talent development.

Share responsibility In order to explore how talent’s international mobility works and where it encounters problems, as well as its purpose in talent development and a country’s economy as a whole, World Education Service (WES) organizes a series of forums with representatives of educational institutions and businesses. On June 7th 2013, WES’s International Mobility Forum took place in Amsterdam. TTA World was invited to join the discussion.

The interesting debate that followed emphasized that, while countries have different figures for talent mobility and perhaps slightly distinct views on how talents should be developed, the responsibility for developing and managing talent has to be and should be shared between academia and business.

Nevertheless, the delicate issue is not related to whether or not responsibility is shared, but how responsibility is shared.

For instance, where does the responsibility of educational institutions stop and where does the responsibility of the business sector start?

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One of the challenges in setting the limits for this responsibility is finding the balance between a talent’s hard skills and soft skills. While educational institutions might handle the first, could companies handle the second? Or should they divide which soft skills can be instilled through education and which through training in companies? Whichever combination is fitting, we do not know yet. What is true and important is that dividing talent development responsibilities is not a national issue, but a global one – students are, after all, global education consumers and they are joining the world workforce after their formal education is completed.

Some might say that talents need to be polished and given an opportunity after they are done with their studies. But who does this polishing and who gives the opportunity? What the WES Mobility Forum did make clear was that making a plan for talent development, management and integration in the global workforce should be the joint responsibility of governments, educational institutions and companies.

Making the right selection To develop talents for a certain area, companies have to know what they are looking for in an employee. Unfortunately, as it was pinpointed at WES Mobility Forum in Amsterdam, companies are not always able to formulate what they want from the talents who would work for them, in terms of soft and hard skills. This is where TTA World’s talent selection and recruitment strategy can provide a valid answer. For TTA World, human capital is the key asset for any company. This means that talents have to be carefully selected and recruited. In order to do this, the company uses predictive analytics to identify top talents (i.e. top with respect to a 10,000-individual global talent pool).

Without forcing companies or universities to set boundaries for soft and hard skills and without making companies define what they would like to have, TTA World offers companies a comprehensive database with the top talent profiles, and then gives them the opportunity to select the talents they find most appealing to take part in a competition with real

business cases. Hence, companies have the skills on paper and they get to match them with competition-revealed skills and behaviour. Since the participants are guided by Human Resources (HR) and management representatives from the companies, they also get to experience the company culture on a small scale.

Moreover, this give companies the opportunity to have an interesting and live debate between HR and management representatives, in order to reach a consensus on which talents fit with the company.

In most cases, recruitment in companies is done by the HR department. The TTA World talent competitions give companies the opportunity to involve their decision makers. Additionally, to test the value of the work the talents carry out in the competition, the solutions found to the business cases are assessed by a jury made of professors and top managers of companies in a particular sector. Thus far, TTA World has been organizing competitions for the energy, health and financial sector. In these competitions, STEM, management, communication and business administration students from bachelor, master, PhD, post-doc and MBA programmes and young professionals from over 60 countries attend. For the energy sector, the competition has even reached a global level – NRG Battle-World Edition 2013 will take place in Beijing at the World Energy Forum, this November.

TTA World’s solution to talent selection and recruitment is one of the best solutions on the market to ensure companies get the talents that they need and not the talents they cannot define they need. The concept is also exportable to other sectors, and the TTA World is continuously improving its selection and recruitment strategy.

NRG Battle - Europe Edition

Round 2 at TU Delft

Round 2 of the NRG Battle is over and the winners and runners-up are now getting ready for the finals in November!

The NRG Battle-Europe Edition is a game-changing competition in which top talents find innovative solutions for real business cases created by energy companies. The competition has three preliminary rounds and one grand finale. In 2012, Team FUJIFILM won the NRG Battle-Europe Edition with an out of the box solution for generating blue energy. The team constructed a unique, self-sustaining, mobile closed-loop system that uses waste heat and RED (reversed electrodialysis) technology to create blue energy.

On May 28th 2013, round 2 of the NRG Battle-Europe Edition took place at the TU Delft, in the Netherlands. For every round, the expert jury chooses the best ideas that will go to the final on November 19th. The day’s winner was Team ROSEN with an innovative idea for offshore wind parks in deep seas. Round 2 runner-ups were two teams from Siemens, with solutions for the transition to gas consumption – and, last but not least, team FrieslandCampina with a thought-provoking idea for reusing the residual heat from spray dryers used in factories to make powder milk.

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www.nrgbattle.nl

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Talents in the Spotlight

Talents in the Spotlight 50 | NRG Magazine Edition 11

Only once in a blue moon do we meet top talents. Not only are they high achievers in their studies, but they also have unique personalities and bring added value to any company. From the NRG Battle 2013 Round 2 we chose four gifted individuals with an uncommon mixture of talents. For instance, the Strategic Talent, an interesting combination of efficiency and creativity, a unique blend of attributes, so rare and worth encountering in one person.

You cannot see this in their rĂŠsumĂŠ or in their appearance. This is why TTA World uses the Big Five personality test to identify these highpotential individuals. We think Gijs, Hester, Jonas and Aagje are real top talents. You can read their stories in the following pages.

For more information about the way TTA World tests talent, please contact Geertje Dam at editor@tta-world.com

Talents in the Spotlight

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Talents in the Spotlight

“The person who discovers a revolutionary way to store energy from renewable sources will be awarded a Nobel Prize.”

“If you want to achieve something, do not keep it to yourself. Tell everybody you know and you will succeed.”

Gijs Stevers Team : Oranjewoud Study : Master in Environmental and

Natural Resource Economics Talent : Multi Talent with a focus on innovation

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ulti Talents like Gijs are unique and have their own way of approaching diverse situations. They combine their drive for results with innovation and great team spirit, leading to the most efficient way of getting things done. Multi Talents do not follow trends; they set them in their own unique way. For this reason, Gijs’ own personal story is also unique. He pursued his Master in Environmental and Natural Resource Economics in Denmark and combined his education with a student job at A.P. Moller - Maersk - a conglomerate in shipping and energy. He chose to go there because Denmark is far ahead of its neighbours when it comes to renewable energy. After finishing his master’s study, he realized he had never touched a wind turbine, had never driven an electric car nor had smelled biodiesel. In order to do so, he organized Cape to Cape 2012 - a 10-month cycling journey to explore the future of renewable energy.

The Cape to Cape 2012 adventure gave Gijs the opportunity to meet with 50+ renewable energy professionals and the chance to given 15 workshops on renewable energy, while inspiring individuals to work on a sustainable future. Gijs is currently working for Zonline. The company’s mission is to place solar panels on every single roof in the Netherlands. At the same time, he is exploring the entrepreneurial world of renewable energy as he is starting his own company named “Yott”. Under “Yott,” The talent will be giving workshops to engage young generations to discuss our energy future. Gijs likes to put his creativity to work and he wants to see results. When it comes to his career, Gijs hopes to contribute to accelerating progress towards a future based on renewable energy. After establishing himself as an entrepreneur in Europe, he hopes to pursue other opportunities in Malawi or Tanzania, where he can further develop his experience and skills.

Gijs’ interest for the energy sector emerged at the end of high school. He wrote his profile assignment on the hydrogen economy. For him, at the moment, the greatest challenge for the energy sector is surely the issue of storage of electricity from renewables. “I have no doubt that the prices of electricity produced from renewable sources will fall far below the prices of electricity produced using fossil fuels. The person who discovers a revolutionary way to store energy from renewable sources will be awarded a Nobel Prize.” His solution to speed up the transition towards a more sustainable future based on renewable energy usage is to better educate the public in order to engage them to create change.

During the NRG Battle, Gijs acted as a process facilitator for his team. He structured the ideas he and his team put forth in order to meet their NRG Battle goal: winning the competition. His experience throughout the Battle allowed him to become acquainted with a multitalented team, all interested and excited to change the world of energy.

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Talents in the Spotlight

“Feeling the boost when expanding beyond my comfort zone drives me to stay ambitious.”

“Honest feedback and open communication can take results to a higher level.”

Hester Engelsman Team : Siemens Study : Master in Industrial Ecology Talent : Management and Leadership Talent Hester is currently a student of the multidisciplinary Master programme in Industrial Ecology and simultaneously, board member of the Delft Energy Club. Her naturally occurring leadership and management skills allow Hester to consistently improve any team’s work.

From her position of External Commissioner on the board of the Delft Energy Club, she is able to have a large overview of the many opportunities in the continuously changing energy sector. Hester is ambitious and passionate about developing her personal skills and achieving something great. Her enthusiasm is contagious, and she believes that you should never be afraid of receiving and giving constructive criticism. According to Hester, “honest feedback and open communication can take results to a higher level”.

When career plans are concerned, Hester would like to be part of an ambitious and high performing team that works on tackling complex challenges in the energy sector. She looks forward to committing herself to a company in which she will have the opportunity to work on national and international projects, and to develop her skills so that she would be a significant member in that organization.

Hester was introduced to the energy sector in the first year of her Master’s programme.

Her focus was directed towards energy due to her involvement in CYPE (the CSP Young Engineering Platform of Europe) and by attending energy related events like the European Young Engineers Conference in 2012. For Hester, one of the biggest challenges the energy sector is facing today is to realize a sustainable energy sector, while dealing with increasing interdependencies among countries regarding politics, resources and economics. In order to overcome these issues, Hester believes in the stimulation of bottom-up initiatives “because the challenges are too large to be tackled solely by large organizations”. She hopes that her role in the energy sector will be to identify and bridge the gaps in order to accelerate technological, social and environmental developments needed to realize renewable energy targets.

The NRG Battle was a pleasant experience for Hester. “It was great to join the NRG Battle, one of all these amazing events that are organized nowadays to stimulate the generation of innovative ideas that should tackle (future) challenges of the energy sector.” Hester believes that the Battle is not only important for generating ideas, but also for increasing awareness about the challenges that companies in the energy sector are facing.

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Talents in the Spotlight

“Don’t waste energy!”

“I want to use my knowledge about sustainable energy to make the energy transition happen.”

Jonas Voorzanger Team : FrieslandCampina Study : Master of Science in Theoretical Physics with a concentration on Sustainable Energy and Processes Talent : Leadership Talent

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onas has a natural way of leading a group to achieving results. As a team leader during the G20 Youth Forum in St. Petersburg, he learned about the dos and don’ts of working in an international team. Also, his experience in the 2013 edition of the Netherlands-Asia Honours Summer School has also contributed to the development of his Leadership Talent.

Jonas’ NRG Battle team consisted of students from India, Mexico, Greece and the Netherlands.

With Jonas leading the team, they were able to work out a great idea and make it to the Finals in November 2013. Jonas’ passion revolves around supporting, coaching and training others in the energy transition.

Currently, the talent is pursuing his Master’s degree in Physics with a concentration in Sustainable Energy and Sustainable Processes. Jonas hopes to end up in energy consultancy.

This means many different things, but the most important aspect is that he wants to use his knowledge about sustainable energy – technical, economical and societal – to make the energy transition happen. He is already working towards this by establishing a teaching module for high school students. This module is called “Lesmodule De Energiecrisis” (www.deenergiecrisis.nl) and aims to teach students about the theoretical and the practical aspects of the energy transition. In collaboration with the VU University he is now working on making an online teaching module about the energy transition, which will hopefully be used in the curriculum of many high schools.

As soon as he realized that an energy transition directed away from fossil fuels could prevent runaway climate change, he became interested in the energy sector. Jonas considers making people aware of the possible consequences of our current energy consumption and production to be the biggest challenge for this sector. He believes we need to make our society aware of the already available technology in order to make this transition a reality. Therefore, the solution Jonas proposes seems rather simple in theory – sound energy education, beginning in primary school or high school. Students should learn all about the basics of energy, have a good sense of scale and most importantly, develop a critical mindset.

Jonas will start by developing teaching materials for students, but in the long run, he plans to be an energy consultant for either businesses or governments.

Overall, the NRG Battle was a challenging and enjoyable experience for Jonas, as he acted as team moderator. He engaged all players thus enabling successful intercultural team collaboration. His team worked on reducing energy loss in the process of making milk powder. Their solution was to reuse as much exhaust heat as possible by creating a filter that dries air without cooling it down too much. Talk about innovation!

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Talents in the Spotlight

“Energy companies can change their core business from energy generation towards a more service oriented approach, offering their human capacity and knowledge.”

“I deeply feel the urge to critically unravel and analyze issues in order to truly understand them.”

Aagje van Meerwijk Team : E.ON Study : Master in Energy and Environmental Sciences Talent : Leadership Talent

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agje is always looking to bring knowledge into action. During her Bachelor in Ecology, she realized that becoming an ecologist would never satisfy her urge to find solutions or strategies to deal with the complex problems that the energy sector is facing. Therefore, she chose to start a more applied master’s study, in which she could learn not only about the environmental aspects of the energy market, but also about the economical and political aspects. Aagje has a hands-on approach mindset and tries to implement her idealistic thoughts in a positive and proactive manner. During the NRG Battle, she proved her leadership skills by monitoring the team’s activity in a result-oriented way and taking notes of their developments, which lead the team to success. The fact that she is resultdriven, innovative and curious also makes her an Entrepreneurial Talent.

The talent is currently pursuing her Master’s degree in Energy and Environmental Sciences.

Once she completes her study programme, she plans to participate in sustainable projects, where she can be part of an ambitious team and be involved in all facets of the business.

Another possibility for her is to be a consultant and offer her specialized knowledge to different companies in the energy sector. When it comes to her long-term career plans, Aagje dreams to help governments and big companies understand each other’s needs and cooperate in order to implement sustainable solutions when it comes to their energy and material strategies.

Interestingly enough, it was the Brent Spar affair in Norway that left a lasting impression on Aagje and it was then that she became interested in the energy sector. Now, she finds that the imbalance between the increasing energy demand and the shrinking of reserves is the main challenge of the energy sector. Aagje believes that we need to break the habits from this past century, in which large, centralized power plants have been generating electricity (and heat) for a large group of consumers. Local participation with green projects that fit with the energy needs and budgets of participants could be an elegant solution. “Energy companies can change their core business from energy generation towards a more service oriented approach, offering their human capacity and knowledge,” says Aagje.

For Aagje, the NRG Battle was a good “playground” to learn to cooperate within multidisciplinary teams, which she thinks is an essential part of the upcoming transition towards a more sustainable future. “Not only was the cooperation within my team exciting - with many different educational backgrounds -, the contacts I had with members of other teams were also truly inspiring and positive. It seemed to me as if all those students together represented a new, highly active and creative generation ready to offer their capacity to the energy sector.”

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Ehendandent Energy Academy ra cuptatem Europe ut por

Energy transition: opportunities for young people “Investing in young talent and offering an open innovation environment is one of the main pillars of driving the human capital agenda,” says Wim van Gemert, leading Professor at the Hanze Research Center Energy in Groningen.

a place where people and businesses are given the facilities, opportunities and network to put innovative ideas for the energy future to the test and develop them into marketable products. ‘’EnTranCe,” Van

Gemert says, ‘’is the stepping stone between the lab and society. It is one of the tools to create an open innovation process. The combination of these three, RenQi, EnTranCe and society ensure the circulation and dissemination of knowledge.’’

He emphasizes that the energy transition is not just a technological process: ‘’Our entire society is going through an innovation phase. In Europe we decided to liberalise the energy market and that has been the start of an innovative path which will ultimately lead to the people themselves being able to choose how they want to organize their energy and even to produce and trade their own energy. At the same time, there is the need to make our energy supply more sustainable and move away from fossil fuels to renewable sources of energy. Sun and wind are plentiful but their energy

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rofessor Van Gemert has been closely involved in establishing energy as a priority research theme at the Hanze University of Applied Sciences.

This has resulted in in a multidisciplinary approach to energy, which includes lectureships for Energy and Law, International Entrepreneurship and Biology. Van Gemert has also been instrumental in setting up the Hanze Research Center Energy. He says energy research will only flourish in an open innovation process. As part of facilitating this process the Hanze University of Applied Sciences set up the RenQi lab five years ago, where multidisciplinary teams of experienced researchers, entrepreneurs and students come together for experimental research. One step up is the brandnew EnTranCe (Energy Transition Center) test facility in Groningen, which was initiated by Van Gemert. The Center is part of the Energy Academy Europe and is

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Energy Academy Europe

And it’s expanding at a rapid pace. When it opened last year, the EnTranCe site hosted just five containers for experiments. Now there are nearly 25 and over the summer another ten will be added. An algae pond is under construction and other experimental facilities will be built as well. ‘’But more important than that’’

says Van Gemert, ‘’is that entrepreneurs and big energy companies are bringing large strategic collaborative projects into the open innovation chain, creating a lot of dynamics.’’ So much so, that

is not available in the form we want or when we want it, so that is a technological matter. Consumers can opt to develop or buy technology and consequently the market for technology development is very active at the moment. This is creating enormous opportunities for an economy in which young people can express their innovative potential and talent. That is what we are

international interest is growing as well, from big players like E.ON and National Grid. And from Brussels: ‘’Our narrative of open innovation fits in well with the Human Capital Agenda and with Innovation Agenda for 2050 of the European Union. In October we will attend the annual European Innovation Summit in Brussels, together with six of our international Masters students, and explain to members of Parliament and captains of industry what we think Europe’s energy system should look like in 2050.

A month later we will be at a dinner debate in Brussels about People Driving Energy Transition. EnTranCe is only a small facility but what we are doing is certainly finding a resonance in Europe.’’

trying to do at RenQi and EnTranCe: create an environment which nurtures young talent and so contribute to the human capital agenda.’’

It is important to bring all stakeholders together in this innovative environment, because the energy transition is a combination of technical and social innovation which should keep in sync. Only in this way can technological innovation respond to demand from society. Van Gemert: ‘’At EnTranCe technological innovators come together with legal experts who can advise them on the required legal framework, people from businesses who can make an economic case and all other stakeholders. Together they are literally forming a playing field for new ideas to come to fruition. We’ve got students currently developing a concept for carports with solar cells, but they can only do that if they can communicate with legal experts, with the distribution system operator and with developers of electric vehicles.

EnTranCe facilitates this communication.’’

NRG Magazine Edition 11 | 57

Ehendandent Energy Academy ra cuptatem Europe ut por

Sibrand Poppema

“Energy is becoming more complex” “Energy Academy will attract much needed talent from abroad,” says Prof. Dr. Sibrand Poppema, President of the Executive Board of the University of Groningen.

Energy is one of the focal areas of the University of Groningen, together with Healthy Aging and Sustainable Society. It is therefore no surprise that when the idea of an Energy Faculty was put forward, Sibrand Poppema jumped at the chance. But, he says, ‘’energy is not a scientific discipline in itself. That is why we came up with the concept of an Academy, in which everything in energy education, research and valorisation is brought together in Groningen.’’

The University of Groningen is one of the founding fathers of the Academy, which in addition to university level education, includes (intermediate) vocational training and post-graduate education. Poppema explains why training a new generation of energy professionals is essential: ‘’In the next few years

many skilled individuals on staff are due to leave the energy industry, so there will be a huge replacement demand, much of which will be for vocational level skilled personnel.

Another reason is that energy is becoming more complex. In the past, all you had to do was stick a pipe in the ground and see if gas or oil would come flowing out. That is about to change. We need different types of energy and methods for saving energy. That will require much more intellectual input, hence the need to train and educate larger numbers of people and to provide refresher courses for people already employed in the energy industry.’’

The University is no stranger to the collaborative approach of a network organisation like the Energy Academy. The University of Groningen was already involved in several energy collaborations like EDGaR (Energy Delta Gas Research), the HEC (Hansa Energy

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Corridor) and other partnerships. But the Energy Academy will bring something extra: ‘’Many of those collaborations at the University of Groningen are hardly visible to the wider world. By bringing all these activities together in the Academy, which will coordinate energy education and research, it will become more visible.

That is why it is important that the Academy has its own building, which is under construction, and its own test facility, EnTranCe. The Academy also highlights the international dimension of our activities.’’

The Academy is looking to bring a much larger number of students from abroad to Groningen. Poppema would welcome such a development. ‘’The Netherlands stands to benefit enormously from an influx of talent from abroad. We have a very unfavourable ratio of talent coming in and going out, so we need more talent from abroad. Even if most of them leave at the end of their studies, it is very likely they will do business with the Netherlands in the future. It is important for

our energy industry that people working for foreign or international energy companies have this link with the Netherlands and with Groningen.’’

Our society urgently needs a transition to a sustainable energy system.

Energy Academy Europe the Center of Excellence for Energy Education, Energy Research and Energy Innovation.

Training and degrees are offered in a top research environment. One of the top research projects is the development of plastic solar cells.

Prof. Dr. Kees Hummelen, ranked among the top 10 best researchers worldwide in the field of materials science: “The solar cell of the future is plastic�

www.energyacademy.org/hummelen

We need young and motivated people to make it work.