Agenda item

To receive a presentation from Laurence Oakes-Ash - Head of Finance Exeter City Futures with details of the roadmap to city scale Energy Independence.

(A copy of the Executive Summary relating to the Exeter Energy Independence report by Exeter City Futures report is attached).

The Head of Finance of Exeter City Futures, Laurence Oakes-Ash referred to the commissioning of a series of three reports to examine the potential options and a roadmap that would enable the Greater Exeter area to develop a path towards a sustainable future.  The stated goal of Exeter City Futures was to ensure an Energy Independent and Congestion Free city region by 2025, which included the geographic area of Exeter City, East Devon, Mid Devon and Teignbridge District Councils, which would be without precedence in the UK. The report provided a comprehensive analysis of the potential energy efficiency and generation opportunities for energy technologies including solar, photovoltaics (PV), wind, bioenergy, hydro marine and geothermal as well as enabling technologies including smart grids and energy storage. The full report was available to download from Exeter City Futures and also the City Science web sites.

He stated that it was important to ensure that, as part of an evaluation of the report, there was robust evidence to explore the economic impact and ensure that the ambitions were achievable and resulted in specific actions.  The first report undertook a detailed assessment of potential energy resources and uses in Greater Exeter and across the wider South West Region. The second report will assess the transport situation and options available to alleviate congestion and deliver further efficiency and the third and final report will pull together the economic evidence to provide an independent analysis of the impact of the programme’s goals and proposed deliver plans.

Mr Oakes-Ash detailed a series of ten key recommendations arising from the Energy study to help reduce energy consumption and boost clean energy generation across Exeter and its travel to work area (with a brief explanation in italics) as set out below. 

      Recommendation 1: Facilitate the Development of Net Energy Positive Buildings (The development of a supply chain and policy environment that ensures the delivery of net positive energy buildings was an urgent priority. New developments that positively contribute to city energy use would mean that less onshore generation development and retrofitting of older building stock would be required) Greater Exeter already benefits from progressive local authorities which actively pursue building energy efficiency objectives, in particular in their own properties. The next steps were to further encourage innovative solutions, combine insights and analysis to support tighter planning policy and develop mechanisms to significantly expand the project base).

Recommendation 2: Develop credible Roadmaps to Large Scale Retrofit

(A key assumption in the Maximum Technology scenario presented in the report is that viable business models which deliver large-scale retrofit could be developed over the time horizon. The development of credible roadmaps that deliver comprehensive intervention in this area is essential. This was a challenging undertaking which requires significant investment in skills, new solutions and the development of businesses that could integrate, finance and deploy the roll-out of multiple technologies at scale).

Recommendation 3: Encourage and Demonstrate Innovate Solutions to Reduce Domestic Appliance Energy Use

(While space and water heating consume the largest proportion of domestic energy, appliance use represents 0.5 TWh of Greater Exeter demand. The benefits of upgrading to the highest efficiency appliances should be promoted and systems developed which enable and manage behavioural change to both optimise use and reduce overall cost. Identified technologies should be trialled and best practice fostered).

Recommendation 4: Develop Commercial and Industrial Case Studies

(This study identifies 359 GWh of potential savings from commercial buildings and 250 GWh of potential savings from industrial processes, based on current understanding of technical opportunities. More specific demonstrator projects would be required to advance and promote greater understanding of what was achievable across a varied range of end users. A diverse group of local commercial and industrial partners should be brought together to develop leading-edge strategies to encourage potential energy savings).

Recommendation 5: Develop Credible Roadmaps to Cut Transport Consumption (Transportation is expected to represent 4.4 TWh of annual energy consumption by 2025. Developing roadmaps to significantly address this consumption is an essential priority, and is the focus of a forthcoming report by Exeter City Futures. In this context, wider participation in the development of various options should be encouraged, in particular through Exeter City Futures’ innovation programme).

Recommendation 6: Co-Ordinate Solutions to Address Grid Constraints

(The grid is a critical technical constraint that impedes the viability of projects across the region. Moving past this barrier is essential if the regional energy industry was to thrive. Several options exist including capacity amnesties, the socialisation of upgrade costs and technology-led options such as smart grid infrastructure. All would need considerable co-ordination with the local grid operator to progress, but should be seen as a pivotal issue for the South West economy and Exeter City Futures’ goals. If this barrier could be overcome, Greater Exeter could play a key role in stimulating a regional approach to energy independence, drawing on the skills, expertise and innovation of local research and industry. Close collaboration with the Department for Business, Energy and Industrial Strategy (BEIS) and other national stakeholders is required to develop policy and technology mechanisms to realise the potential local benefits of regional generation).

Recommendation 7: Stimulate Offshore Generation

(In the face of considerable planning barriers, improved stakeholder understanding of the impact of onshore generation options - principally wind and solar - was required. Co-ordinated Greater Exeter multi-authority strategic planning would be needed to optimally locate new generation and work openly and collaboratively with the public to identify solutions that would be acceptable in the context of the energy choices available. Furthermore, the exploration of generation technologies that achieve higher levels of aesthetic acceptability should be encouraged. This was already happening within the solar industry, with the introduction of technology integrated into rooftops and roads. Further integration into other standard infrastructure could achieve both new generation and cost reduction without facing political barriers).

Recommendation 8: Provide an Economic Evidence Base

(Evidence for the economic benefits of the proposed approach to energy independence and the opportunities afforded by being at the forefront of integrated smart energy infrastructure development should be provided, and was the focus of a forthcoming report by Exeter City Futures. Demonstrating significant potential for increased local productivity, jobs and growth would enable the development of a wider network of support for this approach).

Recommendation 9: Encourage and Support Research into Enhanced Generation Efficiency

(Estimates of generation were based on widely accepted methodologies, the efficiency of many technologies could be expected to improve with time. Extrapolating the historical trends in technology efficiency would increase the estimates of generation made in this report. Research into areas with the potential to improve natural energy resource conversion efficiency, for example, solar cell technology, should be prioritised).

Recommendation10: Encourage Investment in Marine and Geothermal Technologies

(In the wider South West region, geothermal and marine technologies offer sizeable generation potential in the Maximum Technology scenario. These capital-intensive sectors require significant levels of investment to reach commercial viability. High technology and deployment risk, alongside falling substitute technology prices, mean public sector support was likely to be required to achieve long-term market development. Private investment and innovation in these sectors should be supported and promoted, alongside strategic engagement with policy-makers at national level).

Mr Oakes-Ash provided a response to a Member’s comment on the future of the National Grid, which he stated was operating at capacity in the South West, but alternatives technologies or policy actions, suggested in the report, could alleviate these restrictions.  It was important to look at more innovative and viable business models including the development of battery and solar power.  He also responded to a Member’s comment on the Waste to Energy Plant on Marsh Barton. The benefits of shared infrastructure, including the further development of the District Heating Scheme, were discussed in general, but the particular issues the Member raised would need further investigation.

The Chair thanked Mr Laurence Oakes-Ash for the informative presentation which included a number of high level of aspirations.

Place Scrutiny Committee supported a further opportunity to look at the report in detail and proposed the establishment of a Task and Finish Group to include the Portfolio Holder for Economy to identify the implications in relation to resources and staff on offering support to develop the aspirations of the programme.