Issue link: https://fhpublishing.uberflip.com/i/1173186
NETWORK / 11 / OCTOBER 2019 Supply chain development Whilst load related investment can be sub- ject to uncertainty, network maintenance should be more predictable, and it should be subject to longer term planning, par- ticularly with increasing electrification of transport and, in the longer-term, heating, in order to meet legislated carbon reduction targets and net-zero ambitions. It would as- sist the supply chain if these plans were set out over a longer term. It would also assist if maintenance needs were planned over a longer term so that new approaches had longer investment periods to compete for. When considering innovation, manufactur- ers have real experience of the innovation environment and related developments over the past 15+ years. It must be recognised that, in a time of rapid change, especially in demand for connections and power, that there is a real danger that demand for electricity arising from EVs can increase faster than network companies (and their supply chains) can satisfy. It follows that there is risk both in unnecessary investment and delayed investment. Simply waiting for the need for network investment to reveal itself and then to respond can be very negative for consum- ers. Network companies should be expected to state in their business plans how they are dealing with the balance between these risks and be measured against their perfor- mance. This is essentially a question of who to trust; which parties can be relied on to make neutral and, as accurate as possible, judge- ments on the future needs of the networks and consumers. It may be necessary to agree future demand scenarios and allow the networks to invest in meeting these demands with limited penalties for stranded invest- ments. It will be important to establish the roles of TSO and DSO to ensure a neutral view on what future demand will be and whether there is a credible plan to meet it. Summary Network investment in addition to flexibility is essential in enabling net-zero and we will increasingly see a shi‰ of heat and transport loads onto the electricity network. Cost and customer experience are key and customers choosing to decarbonise should not be dis- proportionately penalised i.e. if their single heat pump installation triggers a network upgrade. Appropriate levels of funding should be made available for network operators to react to low carbon triggers and work to implement solutions or upgrades that facilitate the connection of low carbon technologies, rather than the network being a barrier. There is a balance in practice to be understood, between the need for anticipa - tory investment and reactive investment in response to 'triggers' and the distinctions between new build and retrofit applications. Our Net-Zero by Design report sits alongside the BEAMA Electrification by Design series – a comprehensive look at the challenges facing the UK in the electrifi- cation of heat, transport and the market design imperatives to decarbonise through electrification. You can read more on BEAMA's net-zero commitment and download the report on the BEAMA website here – www.beama.org. uk DECARBONISATION OF HEAT DECARBONISATION OF TRANSPORT