Utility Week

28 | AUGUST 2022 | UTILITY WEEK Gas Analysis Laying the groundwork forhydrogen We don't yet know how big a role hydrogen will play in the energy mix, but Cadent is working with local authorities right now to help ensure that hydrogen will be a viable option if needed. B y the time the government makes its decision on what the role of hydrogen will be in the decarbonisation of heat- ing in the UK, decisions could have been made at a local level that already rule it out as an option. That's why Cadent, which owns 50% of the natural gas network, is working with local authorities to help determine how much is likely to be required and what steps need to be taken in the coming years to ensure the green gas can still be an option in the future. Ensuring resilience Although it is to be expected that a gas net- work would look to safeguard its future, Dr€ Angela Needle, strategy director at Cadent, says such a viewpoint overlooks the critical role that gas has always played in ensuring the resilience of the UK's energy supply – a situation she believes is unlikely to change. Despite the recent focus on electri„ cation and boosting renewable generation, two- thirds of energy in the UK is met by natural gas, with the recent spike in energy prices seen since the start of the war in Ukraine highlighting how reliant the UK still is on the energy source. It has also thrown into sharp focus the vulnerability of the UK now that it has very limited gas storage facilities. Needle says the government is right to be pushing electri„ cation in the form of heat pumps, because they will be used by a signif- icant proportion of UK homes in the future, even if its 600,000 pump installations per year target is ambitious. "Chucking the kitchen sink at it is the right thing to do at the moment, it's not going to damage hydrogen in the long run," she says. While the conversation has moved beyond electricity versus gas, understand- ing how hydrogen and electricity can work together to ensure security of supply is key for those who will be making decisions at both a national and regional level. "How do you make sure you can provide a resilient, reliable and cost-e‹ ective sup- ply?" Needle asks. While there is a tendency to jump to one answer or another, the inability to store elec- tricity long term in batteries means stored hydrogen is likely to play a role in generating electricity to meet winter peaks. Similarly, excess renewable energy in the summer can be used to make hydrogen for storage. Local planning Ofgem recently published a review into local energy system operation, looking at options such as separating out distribution system operator roles internally from the distribu- tion network operators, or potentially even creating regional bodies with responsibilities across gas, electricity and heat. While Needle believes we are quite far away from giving responsibility to local authorities to plan networks, a local level plan will be necessary as well as a national plan. "We can't do one without the other," she says. "If Manchester's plan is completely di‹ erent from She" eld's plan and there is a big gas pipe running between, how do we manage that?" While the consultation is more focused on electri„ cation, Needle says this can't really be separated out from gas and there needs to be a limit on how much can be decided at a local level. "Devolving some responsibil- ity to local authorities is a good idea, local schemes will work to a point, but we do need national resilience," she says. One of the obstacles facing the hydrogen industry while it awaits a decision on its future is the lack of skills and expertise in the sector compared with renewable energy. "Devolving some responsibility to local authorities is a good idea, local schemes will work to a point, but we do need national resilience." DrAngela Needle, strategy director at Cadent "Devolving some responsibility to local authorities is a good idea, local schemes will work to a point, but we do need national resilience." DrAngela Needle

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