Utility Week

26 | 12TH - 18TH JANUARY 2018 | UTILITY WEEK Operations & Assets Analysis L ate last year, Ofgem announced the winners of the latest annual Network Innovation Competition (NIC), which awards funding to a small number of large- scale innovation projects. Up to £90 million was up for grabs – £20 million for gas networks and £70 million for electricity networks. Of that, £15.2 million has been granted to two gas innovation pro- jects, while five electricity innovation pro- jects have between them secured up to £42.4 million. Here is a brief run-through of the winners. H21, Northern Gas Networks £8.9 million Northern Gas Networks (NGN) has been granted £8.9 million to take forward the lat- est stage of its H21 programme to support the conversion of the UK gas grid to run on hydrogen. The funding will be used to gather evi- dence on whether gas distribution networks are suitable to safely transport 100 per cent hydrogen, and will build on NGN's work for the H21 Leeds City Gate innovation project, which concluded that hydrogen conversion is both technically possible and economi- cally viable. NGN is collaborating with the other three gas distribution networks – SGN, Cadent, and Wales & West Utilities – which will together contribute around £0.3 million. Northern Gas Networks will itself stump up £1 million, bringing the total value of the project to around £10.3 million. "As a gas industry, we are pleased that the UK government, and now our regulator Ofgem, recognise the benefits that a conver- sion of the UK gas distribution networks to 100 per cent hydrogen could bring," says NGN chief executive Mark Horsley. "This decision moves us a step closer to supporting the government in delivering clean growth and affordable energy for the UK, by unlock- ing the significant environmental and energy customer benefits such a conversion could create." It is proposed the project be executed in two phases, the first of which will involve laboratory tests to examine potential changes in background leakage levels and determine the effect on safety risks. Ofgem approved, this first phase based on the recommendations of the expert judging panel, who said it could both inform gas net- works' maintenance strategies and a poten- tial government policy decision on the future of heat. However, the regulator rejected the request for a further £4.4 million to conduct field trials on a disused section of the gas network for the second phase of the project (valued at £5 million in total). The judges said it is unclear whether the field trials were necessary, at least for the time being, and could be undertaken at a later date once a definite need had been established. H21 programme director and head of hydrogen technologies at NGN, Dan Sadler, says: "It's very positive that we can start to gather the essential evidence to unlock the potential for a world first large-scale hydro- gen economy through conversion of the UK gas distribution network. "Funding for phase one is a great start and hopefully in the near future, we will secure the outstanding funding for phase two, to ensure there are no delays in the pro- vision of holistic evidence, which will allow the UK government to make credible, large- scale decarbonisation policies for UK energy. This is a huge step forward on the road to a long-term sustainable and secure global energy system." Robotic Roadworks and Excavation System, SGN £6.3 million SGN has been awarded £6.3 million to automate the excavations process using advanced robotics and artificial intelligence. The company says the system will lower the cost of excavations, improve safety and effi- ciency and reduce the impact on road users and the environment. Below-ground locating sensors, computer vision and "so touch" excavation tools will be used to prevent damaging neighbour- ing utilities and the target asset. As well as performing excavations, the system will also be able to carry out backfilling, tamping and reinstallation of the original road surface. SGN will work with ULC Robotics to develop a prototype system before testing it in both rural and urban areas. SGN will con- tribute £0.7 million to the project, while ULC Robotics will add £0.2 million. Transition, Scottish and Southern Electricity Networks up to £13.1 million Scottish and Southern Electricity Networks (SSEN) has been allocated up to £13.1 million to design and demonstrate the tools required to develop markets for flexibility as envi- sioned by the Energy Network Association's Open Networks project. SSEN will contribute an additional £1.5 million to the Transition project, which will include the testing of models for the trading of flexibility and the creation of the IT inter- face needed to facilitate markets for flex- ibility. The company expects the trial to save network customers £292 million by 2050 if rolled out across Great Britain, by reducing the need for grid reinforcements. The project will involve fellow distribu- tion network operators (DNOs) Electricity North West and Northern Powergrid, along with British Gas, Elexon, Atkins, CGI and Ori- gami Energy. "By collaborating with SSEN and our other Transition partners, we have an oppor- tunity to realise the potential of network innovation through increased flexibility; ultimately delivering energy that is cheaper, greener and more secure," says Origami chief executive Peter Bance. "The market frameworks being trialled by our partners have the potential to save network customers more than a quarter of a billion pounds, drastically reduce carbon Cash prizes for NIC winners Tom Grimwood looks at the energy network projects that secured funding in the latest round of Ofgem's annual Network Innovation Competition. NGN has won £8.9 million to take forward its H21 project looking at converting the UK gas grid to run on hydrogen

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