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District Heating Strategy2018-2028
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CONTENTS
Foreword 5
1 Background and objectives 7
1.1 Introduction 7
1.2 Whatisdistrictheating? 8
1.3 Benefitsofdistrictheating 10
1.4 Policycontext 12
1.5 DistrictheatinginDundee 16
1.6 ObjectivesfordistrictheatinginDundee 19
2 Opportunity assessment of district heating loads 21
2.1 Datacollection 21
2.2 Identificationofpotentialclusters 22
3 Opportunities for heat supply 25
3.1 Heatsupplyresourcesmapping 25
3.2 EnergyCentres 26
3.3 EnergyfromWaste 26
4 Heat Network Opportunities 29
4.1 Mappingofheatsupplyanddemand 29
5 Programme delivery 31
5.1 Preliminaryassessmentofdeliveryprogramme 32
5.2 Technologyscenarios 32
5.3 DevelopmentofBusinesscases 33
5.4 StakeholderEngagement 33
5.5 Riskappraisal 33
5.6 DeliveryvehiclesandFunding 35
6 Action Plan Summary 37
Appendix1 38
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FOREWORD
Dundeehasaclearroletoplayinrisingtothechallengesclimatechangewillpresenttothelocalarea.Reducingourgreenhousegasemissionsaheadofnationaltargets,adaptingtotheeffectsofclimatechangeandre-assertingourlowcarboncredentialswillmarkthenextphaseinourtransitiontoalowcarbonfuture.Achievingthiswillrequireatransformationalchangeinourenergyusebyreducingdemandandencouraginglocalgenerationthroughinvestment in infrastructure that will deliver a long-term affordable, lowcarbonheatsupply.
Districtheating,thesupplyofheatbyhotwatertoanumberofbuildingsthrough a heat network of underground pipes, is an effective way ofmaking themostofourheat resources, reducing thecarbon intensityofheatandreducingfuelcosts.WearealreadyseeingitsbenefitsinDundeeand there isevengreateropportunity forexpansion tocreate integratedheatnetworksthatwillgeneraterealsocial,economicandenvironmentalbenefits for thecity throughtacklingfuelpoverty,creatingnewjobsandreducingourcarbonemissions.Thiswillrequirenewpartnershipsbetweenthepublicandprivatesectortoexploreinnovativesolutionsandmostofall,long-termstrategicplanningtodelivertheinvestmentrequired.
Wearethereforepleasedtowelcomethis,thefirstDistrictHeatingStrategyforDundeeCityCouncil,whichaimsto respondto thesechallengesandopportunities by setting out our long-term ambitions to build on ourexisting schemes and deliver new projects in the pursuit of a city-widedistrictheatingnetwork.
John AlexanderLeader of the Administration
David MartinChief Executive
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1.1 Introduction
ThisdocumentaimstoidentifypotentialdistrictheatingnetworksinDundee,includingtheshort,mediumandlong-termstrategicopportunitiesandthedevelopmentofalongtermvisiontosupporttheCity’sgrowthandlowcarbontransitionusingdecentralisedenergy.ItwillprovideanevidencebasetoadvancedistrictheatingnetworkschemesinDundee,informingbothpolicyanddelivery.TheStrategyhasbeenpreparedwithassistancefromResourceEfficientScotlandandRambollandinformedbyarangeofstakeholders.
HeataccountsformorethanhalfoftheenergyconsumedinScotland1,withthemajorityofhomes,businessesandpublicbuildingsusingconventionalgasboilers.Thisdependenceonfossilfuels,coupledwitholdandpoorly-insulatedbuildingstock,meansthatheatingalsoaccountsforhalfofScotland’stotalcarbondioxideemissions.Heatmustthereforebeatthecentreofourmovetoalowcarboneconomy.
Scotlandaimstodecarboniseitsheatingby2050anddistrictheatingisseenasacrucialtechnologyinenablingthistohappen.TheScottishGovernmentrecognisethatdistrictheatingcouldmakeanimportantcontributiontomeetingScotland’sfutureheatdemandinareaswhereheatdensityissufficientlyhightodevelopnetworksthatcanprovideheatatanaffordablecost.Wherealliedtoalowcarbonheatsource,italsooffersthepotentialtomeetheatdecarbonisationobjectives2.Thenationalvisionistoachieveasignificanttransformationinthedeploymentofaffordablelowcarbondistrictheatingaspartoftheroutetoalargelydecarbonisedheatsystem,movingfromthecurrentapproachtoamorestrategicallyplanned,integratedandcomprehensivesystemthatisattractiveforinvestorsandtakesintoaccounttheneedsoftheheatuser.
ScottishPublicSectorBodieshaveakeyleadershiproletoplayindevelopingdistrictheatingthroughtheactionstheytakeontheirownestatestominimiseheatdemand;transformingthedistrictheatingmarketbyproviding‘anchor’loads(buildingswithmajorheatrequirements);andidentifyingpartnershipopportunitiesforutilisingunusedexcessheat.Threespecificroleshavebeenidentifiedforlocalgovernment:
1 BACKGROUND AND OBJECTIVES
1TheScottishGovernment,(2015)‘HeatPolicyStatementTowardsDecarbonisingHeat:Maximisingthe
OpportunitiesforScotland’(www.gov.scot/Publications/2015/06/6679)
2TheScottishGovernment,(2017)‘ConsultationonHeat&EnergyEfficiencyStrategies,andRegulationofDistrictHeating’(www.gov.scot/Resource/0051/00513244.pdf )
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• encouragedeveloperstofocusonalternativestofossilfuelheatingthroughtheplanningprocess.
• useheatmapstoplandecarbonisationinitiativesintheirlocalareas.• establishframeworkstoencouragebusinesses,industryandhomeownersto
minimiseheatdemand.
1.2 What is district heating?
Districtheatingsystemsuseanetworkofpipestodeliverheatfromaplacewhereheatisgeneratedtomultiplecustomerswhereheatisused(Figure1).Theheatistypicallyintheformofhotwaterandistransportedthroughanetworkofpre-insulatedundergroundpipes.Theheatmaybegeneratedinanenergycentreusinganyofarangeoftechnologies(e.g.surplusheatrecoveredfromanenergyfromwastefacilityorotherindustrialplant,watersourceheatpump,gascombinedheatandpower(CHP),solarthermal,etc.),andcouldchangeovertimeaslowercarbon/renewableheatsourcesemerge.
Buildingsareconnectedtotheheatnetworkthroughasubstationwheretheheatusedismetered.Buildingsmayhaveanassociatedenergycentrewhichattimesprovidesheattothebuilding,butatothertimesfeedsheatintothewiderdistrictheatingnetwork.Asthedistrictheatingnetworkexpands,higherlevelsofefficiencyandresilienceareachievedthroughtheincorporationofmultipleheatsourcessupplyingmultipleandvaryingdemands.
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Figure 1: Diagram of a district heating network
Whilstthescopeofdistrictheatingprojectscanvaryconsiderably,thevastmajorityofheatnetworksintheUKarerelativelysmall-scale;inwhichtheseelementsareunderahighdegreeofcommonownershiporcontrol.Inmanycases,generation,transmissionandmanagementiscarriedoutbyasingleorganisationsupplyingpropertiesonasinglesite,typicallyalocalauthorityorhousingassociation.
Assmall-scaleislandnetworksgraduallyexpandandintegratetoformlargerscalenetworksandrecoveryoflow-gradeheatfromindustrybecomesmorewidespread,thevariouselementswillbecomeincreasingly‘unbundled’(i.e.underseparateownership).Wherethishappens(e.g.denseurbanareas),thedeliverystructuresneedtoevolvetomanagethedifferentownershipofgeneration,transmissionanddistributionassets.
Moderndistrictheatingnetworksallowheattobeefficientlytransferredforupto30kmfromasingleheatsource.Thepipenetworkinfrastructuremayalsobecombinedwiththeprovisionofotherutilitiessuchaselectricityanddata.Withmultipleheatsources,districtheatingnetworks,suchasthoseincontinentalEuropeancountries,canbehundredsofkilometreslong.InsomenorthernEuropeancountriesmorethan50%ofthebuildingstockisconnectedtoadistrictheatingsystem;inCopenhagenthisfigureisinexcessof95%.
School/Leisure and Sports Centres
Heat transition and distribution network
Energy Centre
Local energy centre
Offices
Multi-StoreyDevelopments
Residential
Low rise Developments/Community Centres
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1.3 Benefits of district heating
Districtheatingsystemsusuallyofferbenefitsderivingfromeconomiesofscale.Evenalocal(building-scale)districtheatingsystemisusuallyoperatingatagreaterscalethanthealternativeheatingsystemsitreplaces.Districtheatingmayalsoresultinheatproductionefficiencies,reducedoperatingcoststocustomersandhigherlevelsofreliabilityandqualityofheatasoutlinedbelow.
Efficiency
CHPtechnologiesaremoreefficientintheiruseofenergythanthecombinationofcentralisedpowergenerationplant(electricity)andgasboilers(heat)theytypicallyreplace.ACHPsystemmayoperateat80-90%overallefficiency,providingheatandelectricitywithalowercarbonfootprint.Modern,largescaleextractionplantshaveheatefficienciesofupto300to400%,whencompareddirectlywiththeequivalentquantityofelectricitygeneratedbythermalpowerplant(withnoheatrecovery)andheatgenerationfromboilers.Districtheatingsystemsarealsoveryreliable.TheInternationalDistrictEnergyAssociation(IDEA)reportthatmostdistrictenergysystemsoperateatareliabilityof‘fivenines’(99.999percent)andtotheirknowledge,therehavebeennorolling‘heat-outs’relatedtodistrictenergysystems.
Emissions
Districtheatingnetworksofferthepotentialtoreduceemissionsfromexistingboilerinstallations.AirqualityinDundeeispoorestinthecitycentreandalongthestrategicroadnetwork.Acity-wideAirQualityManagementArea(AQMA)hasbeendeclaredforexceedancesofthestatutoryEuropeanandNationalairqualityobjectivesfornitrogendioxide(NO2)andfineparticulatematter(PM10).
Fuel Poverty
Districtheatingsystemshavethepotentialtohelpaddressfuelpovertybyprovidingsecureheatatpriceslowerthanalternatives.Whilstthedevelopmentofadistrictheatingsystemmaybecapitalintensive,districtheatingsystemshavethepotentialtoofferstablefinancialreturnstoinvestors,whichmaythenallowaccesstofinanceatlowrates.This,togetherwiththeabilitytouseefficientheatgenerationandtofeedinlowcostheat(forexamplewasteheatfromindustrialprocesses),canresultintheabilitytosupplyheatatarelativelylowcost,withthesecurityoflong-termcontractsandthesecurityofalocalenergysupplygivingsomeprotectionfromthevolatilityofenergymarkets.TodateintheUK,however,accesstosuitablefinancehasremainedabarriertodevelopingsomedistrictheatingprojects.
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Integration
The‘economyofintegration’derivesfromtheabilitytobalancedifferentheatloadswhichhavepeakrequirementsatdifferenttimes.Itistypicalformaximumheatingandcoolingloadstofluctuatesignificantly,withmaximumdemandoccurringforshortperiodsoftime.Whenloadswithdifferentpeakdemandtimesareservedbythesamenetwork,thetotalheatcapacityrequiredcanbesignificantlylessthanthesumofeachindividualheatcapacityrequirement.Themorediversetheheatloadsonasystem(mixingcommercial,domesticandpublicbuildings,forexample),thegreaterthebenefit.
Renewables
Districtheatingnetworksofferopportunitiestouserenewableand/orlowcarbonsourcesofheat(forexampleheatpumps,heatfromwaterandsewage,geothermal,solarthermal,biomass,hydrogenfuelcells,wasteheatfromindustrialprocesses,energyfromwaste)andheatstoragetechnologiesthatmayotherwisenotbeviable,especiallyasnetworksgrow.Theydosoasthenetworkis‘technologyagnostic’,meaningthatanysource,andcombinationofsourcesofheatcanbefedintothenetworkwithouttheoperationofthenetworkbeingdependantonanyoneheatsource.
Connectability
Theabilitytoconnecttoanexistingdistrictheatingsystemcanbeveryattractivetodevelopers.Firstly,theycanavoidthehighcapitalcostsofinstallingstandalonebuildingheatgenerationequipment.Secondly,theycanmakeproductiveuseofthespacethatwouldotherwiseberequiredfortheboilerhouseorenergycentre.Thirdly,becauselargescaledistrictheatingsystemssupporttheuseoflowandzerocarbonenergysources,thecarbonfootprintofthebuildingcanbesignificantlyreduced,enablingthemtomeetanyobligationsinconnectionwithbuildingstandardsand/orplanning.Lastly,theymaybeabletoofferthebuildingoccupierstheopportunitytotakeheatsupplycontractsatalowercostthanthealternativecostofabuilding-scalesupply,especiallywhenmaintenanceandrefurbishmentcostsaretakenintoaccount.
3www.districtenergy.org4CityPlan2017-2026,DundeePartnership:ResultsfromtheScottishHouseConditionSurvey2013-2015foundthatlevelsoffuelpoverty37%ofallhouseholdsinDundeewerefuelpoor.Sincethen,therapidrisesinthecostofenergyhaveoutstrippedanyrisesinhouseholdincomeresultingintheprobabilitythatlevelsoffuelpovertywillhaveincreased.
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1.4 Policy context
ThedevelopmentofdistrictheatinginDundeeisinformedandsupportedbynational,regionalandlocalstrategicpolicies,including:
National
• ClimateChangePlan-theThirdReportonPoliciesandProposals(2018)
• TheFutureofEnergyinScotland:ScottishEnergyStrategy:TheFutureofEnergyinScotland(2018)
• EnergyEfficiencyScotlandProgramme(2018)
• ConsultationonHeatandEnergyEfficiencyStrategies,andRegulationofDistrictandCommunalHeating(2017)
• TheHeatPolicyStatement(2015)
• NationalPlanningFramework3
Regional
• TAYplanStrategicDevelopmentPlan(2016-2036)
• TayCitiesDeal
Local
• CityPlan(2017-2026)
• CouncilPlan(2017-2022)
• CapitalInvestmentStrategy(2018-2028)
• DundeeLocalDevelopmentPlan(2014-2019)
• ProposedLocalDevelopmentPlan2(2017)
• LocalHousingStrategy(2013-2018)
• DundeeFairnessActionPlan(2018)
• AirQualityActionPlan(2011)
• LocalHeatandEnergyEfficiencyStrategies(2018-pilot)
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ThefigurebelowoutlineswheretheDistrictHeatingsitswithintheDundeehierarchy.
Figure 2: Dundee Plans hierarchy
CITY PLAN
LOCAL HEAT & ENERGY EFFICIENCY STRATEGIES
CAPITALINVESTMENT
STRATEGY
COUNCIL PLAN
Dundee Partnership
Dundee City Council
DISTRICT HEATING STRATEGY
SUSTAINABLE ENERGY & CLIMATE
ACTION PLAN
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Local Heat and Energy Efficiency Strategies (LHEES)
AspartofthesuiteofconsultationsfirstlaunchedinJanuary2017,theScottishGovernmenthasbeenconsultingonahighlevelpolicyscopingpaperon‘LocalHeat&EnergyEfficiencyStrategies(LHEES),andRegulationofDistrictandCommunalHeating’.WithinthedocumentistheproposalthatlocalauthoritiesbegivenastatutorydutytodevelopLHEEStosupportthedeliveryofheatdecarbonisationandenergyefficiencyobjectivesofthenew‘Scotland’sEnergyEfficiencyProgramme’(SEEP).Coveringaperiodof15-20years,theLHEESwoulddeterminezoneswhichsetoutthemostappropriateenergyefficiency,districtheatingandheatdecarbonisationoptionsforgeographicalareas.
FromNovember2017,theCouncilhasbeenworkingwiththeScottishCitiesAllianceandResourceEfficientScotlandtopilotaLHEESdevelopmentintheLocheeLocalCommunityPlanningPartnership(LCPP)area.Thestudyfocusesthestep-by-steppracticalitiesofdevelopingaLHEES,thedataandotherrequirementsnecessarytodevelopmeaningfulimplementationplans,thetechnologysolutionsthatarelikelytobeapplicableintheareaaswellasanunderstandingofthechallengesandlessonsonhowthewiderdevelopmentofLHEEScanbestbedeliverediftheCouncilismandatedtodosointhefuture.
TheLocheeLCPPareahasbeenchosenasithasadiverserangeofbuildingsandconstructiontypes,andvaryingsocio-economicfactors,andthereforecoverarangeofscenariostohelpinformawiderLHEES.ItisamixeduseareasimilartootherareasinDundeesoelementsoftheLHEESarelikelytobereplicable.Fuelpovertylevelsarehigh,andtheneighbourhoodsofLocheeandMenzieshillarecurrentlyintheprocessofregenerationwhichwillincludenewdevelopmentsinthenearfutureprovidingtheopportunitytotestthedevelopmentofaLHEESinadevelopingcommunity.
TherearealsosomemoreuniqueaspectsofthechosenWard.TherearethreeexistingdistrictheatingschemesownedbyDundeeCityCouncilandaseparatedistrictheatingprojectatNinewellshospital,whichbordersthisLCPParea.Theremaybethepotentialforintegratingandextendingthesetotransitionalargersectionofthecommunityawayfromdirectlysupplyingheattobuildingsfromagasnetwork.
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‘Bringing it all together’ – the Sustainable Energy and Climate Action Plan
TheCouncil’sDistrictHeatingStrategyisintendedtodirectlycontributetothecity’swiderlowcarbonambitions.TheDundeePartnershiparecurrentlydevelopinganoverarching‘SustainableEnergyandClimateActionPlan’(SECAP)forthecityaspartoftheglobalCovenantofMayorsmovementwhichwillprovidetheleadership,commitmentandplanningnecessaryforthetransitiontoalowcarbonDundee.
Thecity-widestrategywillalignwiththeScottishGovernment’snew‘ClimateChangePlan’and‘ScottishEnergyStrategy’andtheCleanerAirforScotlandStrategy.ItwillhaveasharedvisionandobjectiveswiththeTayCitiesDealofsupportingsustainableeconomicgrowth,reducingsocialinequality,andenablingentrepreneurshipandinnovation.
SixStrategicProgrammeAreashavebeenidentifiedwhichwillcombinetoformasingleintegratedplanforDundee.TheseworkprogrammesreflecttheprioritiesoftheSECAPtomaximiseemissionsreductionandtacklingclimatechange.
Figure 3: LHEES Pilot Area
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1.5 District heating in Dundee
Thecityhaslongheldareputationforenergyconservationandgenerationandahistoryofdistrictheating.Withtheintroductionofthefirstpublicsectorsocialhousingdevelopmentsinthe1920’sand1930’s,thethenCouncilbuilttheLogieHousingestateandHospitalfieldHousingestateoftenreferredtoas“TheSteamies”onaccountofthehightemperaturesteamenginesservinglowriseunits.
TheUniversityofDundeehasitsowndistrictheatingsystemwhichhasservedtheircampussincetheearly1970’s.Thisscheme,consideredasintegraltoacity-widenetwork,hasfourlargeenginesandisabouttoundertakearefurbishmentsurveylookingtoincorporatetheUniversityofAbertayinitially,withcapabilityoffutureexpansion.
Figure 4: Proposed Strategic Programme Areas of the Dundee City SECAP
Reducing the consumption of energy, promoting energy efficiency and increasing the proportion of energy from low and zero carbon technologies.
Reduce the impact of transport and travel by promoting and deploying sustainable alternatives.
DistrictHeatingRenewables
EnergyEfficiency
ResourceEfficiency
Resilience and
Adaptation
SustainableTransport
SECAP
Managing our wastesustainably by reducing, re-using and recovering waste to improve resource efficiency.
Increasing the percentage of renewables used for power and heat and delivering savings.
Increasing the use of District Heating schemes in the city, creating new heat networks and delivering affordable energy.
Reduce the risks and vulnerability to a changing climate and build resilience to unavoidable impacts.
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MorerecentlytheCouncilhasdeliveredanumberofdomesticdistrictheatinginstallationswithintenmultistoreydevelopmentsatDallfield,Lansdowne,LocheeandWhorterbank.
Eachsitehasitsowndesignatedplantroomsituatedseparatefromthelivingareaswithapurposebuiltcentralisedboilerhousecontainingboilers,pumps,pressurisationunitsandcontrols.Heatingisprovidedviasteelpanelradiatorsandindirecthotwatercylindersforhotwater.TheheatitselfisdistributedtoradiatorswithinlivingareasbyadomesticpumpsituatedinaHeatInterfaceUnit(HIU)andeachflathasitsownEnergyBillingsmartmetersothattenantsareonlychargedfortheenergytheyuse.
Theseexistingexamplesofheatnetworksdemonstrateanearlycommitmenttotheimplementationandencouragementoftheuseofheatnetworkswithinhousing.TheCouncilhasalsoidentifiedadditionalareasforpotentialdistrictheatingschemes,discussedlaterintheStrategy.
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Case Study: District Heating with Dallfield Multi-Storey Development
Dallfieldconsistsoffour14-storeytower-blocksincentralDundeeandlieswithinthepoorest10%ofdatazonesintheScottishIndexofMultipleDeprivation(SIMD).Priortotheproject,70%oftenantswereonhousingbenefit,70%hadpre-paymentfuelmetersandfuelpovertywashigh.
TocomplywiththeScottishHousingQualityStandard(SHQS),theflatsweretoreceivenewheating,kitchensandbathroomsthroughtheCouncil’scapitalprogrammeandeventhebestavailableelectricheatingwouldnothavebroughtmanyoftheflatsuptotherequiredenergyefficiencyrating.ExploratorytalkswithScottishGasraisedthepossibilityofexternalfundingforover-claddingtheblocksininsulatedrenderanddevelopingagas-fireddistrictheatingschemewhich,combined,wouldgreatlyimprovetheenergyefficiencyrating.
Whilsttheflatsofferedreasonablespacestandards,acentrallocationandspectacularviewsovertheRiverTay,theywereunpopularandturnoverwashigh.Theblockssufferedhighlevelsofanti-socialbehaviourandvandalismandtheirreputationamongstexistingtenantsandthewidercommunitywasverypoor.Ifinvestmentinthefabricandphysicalregenerationoftheareawastotakeplacethenhousingmanagement,safetyandsecurityissueshadtobeaddressedfirst.Tothisend,amulti-agencygroupwassetup
toaddresstheseissuesandbyautumn2011whenthephysicalworkswentonsite,theblockshadstabilised,turnoverhaddecreasedandawaitinglistfortheflatshadbeenestablished.
AswellashelpingtheCounciltoachievetheSHQSandclimatechangetargets,itwasvitalthateffortshadamajorimpactonfuelpovertyoftenantsbyreducingfuelbills.GaswasthereforeprocuredatcommercialratesthroughaTaysideconsortiumwhichtheCouncilutilisesinobtainingfuelforitsownbuildings.Itwasdecidedearlyonthataflat-rateheat-with-rentschemewasnotappropriateassuchaschemewoulddiscourageenergy-efficientbehaviourbytenants.Thismeantthatsupplieshadtobemeteredandusingwirelesstechnology,apay-as-you-gosystemwasdeveloped.Aunit
rateforheatwassetbytakingthecommercialrateandaddingallowancesfordistributionlosses,managementchargesanddelinquency.Theoverallcosttotenantsislessthanthecostofdomesticgas.Ingoingfromelectricheatingandnoinsulationtogas-fireddistrictheatingandinsulation,tenantscouldexpecttheirfuelbillstobereducedbyatleast30%.EnergyratingsimprovedfromEtoBandcarbonemissionswerecutby60%.Theschemewassosuccessfulthatitwasreplicatedatafurthersixhigh-riseblocksinthreelocationseachwiththeirownenergycentres.
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1.6 Objectives for district heating in Dundee
Tacklingfuelpoverty,reducingCO2emissionsanddecentralisingenergyarekeyissuesforthecityasidentifiedintheCityPlan,theCouncilPlanandtheCapitalInvestmentStrategy.
TheDundeeFairnessCommissionreport‘AFairWaytoGo’5publishedin2016identifiesdistrictheatingasameanstoprovideaffordableenergyandrecommendedthatDundeeshould“expandtheavailabilityandviabilityofdistrictheatingsystems”tohelpaddressfuelpovertywithinthecity.
TheDistrictHeatingStrategyhasthereforebeenbroughtforwardtodeliverthesecommitmentsandaimstoprovideanotherstepforwardintheCouncil’slongstandingaspirationforthecityframedaroundjobs,socialinclusionandqualityoflife.
TheDistrictHeatingStrategywillfollowtheScottishGovernment’sHeathierarchyof:
1. Reducingtheneedforheat2. Supplyheatefficientlyandatleastcosttoconsumers3. Userenewableandlowcarbonheatresources
TheStrategyaimstoachievethefollowingobjectives:
• Deliversustainableandaffordableenergytoreducefuelpovertyandenergycosts.
• AchievereductionsintheCouncil’sCO2emissionsandcontributetothecity’semissionsreductiontargetof40%by2030.
• Developthecity’sheatnetworkatapacewhichisfinanciallyandpracticallyviableandwhichimproveseconomicefficienciesfromassets.
• Developtheknowledgeandskillsbasetofacilitateheatnetworkdelivery.
• Fostercollaborativepartnershipsandagreementsforheatnetworkdelivery.
5www.dundeepartnership.co.uk/sites/default/files/fairnessreport-screen_0.pdf
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TheopportunitiesfordistrictheatingnetworksinDundeearecharacterisedbytheirroleindelivering:
• Reducedenergycostsandcustomerprotection–addressingfuelpoverty.
• Carbonsavings–fromamixoftechnologysolutions.
• Energysecurity–multipletechnologyoptionssupplyingintothenetwork.
• Revenuegeneration–throughowningandoperatingdistrictheatingnetworks.
• Economicdevelopment-Dundeeasanattractiveplaceforbusinessestolocateandinvest.
2.1 Data collection
Akeystartingpointindevelopingalongtermstrategyforheat,atbothalocalandnationallevel,istounderstandwhereheatneedis(demand)andopportunitiestogenerateandprovideheat(supply).DundeeCityCouncilhasbeenworkingwiththeScottishGovernment’sHeatMappingprogrammetosupportthedevelopmentofalocalGISbasedheatmap.Thelocalsystemmeanslocaldataandpriorities,suchasfuelpoverty,planning,economicopportunityorpublicsectorestate,canbeconsideredatthesametime.
Figure 5: Dundee Heat Demand Map
2 OPPORTUNITY ASSESSMENT OF DISTRICT HEATING LOADS
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Heatmappingprovidesafundamentaltoolinthisprocessbyprovidingvaluableinformationoncurrentheatloadswithinthecity.Itcanalsoassistindeliveringprojectsonthegroundbymodellingfutureheatsupplyanddemandscenariosforinvestmentinnewdevelopments.ItwillprovideameansfortheCounciltoidentifylinksbetweenheatsourcesandheatdemandtooptimiseresourcesandmaximiseinvestmentopportunities.
Theinitialstageinvolvedthecollectionofkeydatasetsto:
• Characterisepropertieswithinthelocalauthorityareaintermsoftheirbuildingtype,tenureandheatdemandwhichwereinitiallyestimatedfromtheScotlandHeatMap6andthenenhancedwithsupplementarylocaldata.
• Identifyinitialgroupsofpropertiesbyownershiporpropertytypethatcanbeaggregatedtogetherunderonecompanyorcommunitygrouptofacilitatefuturestakeholderconsultationactivity.
• Identifyinformationonproposednewdevelopmentsinthearea,includinginformationonproposedfloorareas/numberofdwellingsandplannedenergysupplyplant.
• CollateadditionalGISinformationtoassistwiththeunderstandingofopportunitiesincluding:informationonfuelpovertyindices,proposedinfrastructureworks,utilitieswhereavailableetc.
TheheatmapwillbeupdatedregularlyastheCouncil’sdistrictheatingstrategyisbeingdelivered.Thiswillensurethatthemappingisinformedandrefinedtoprovidecontinuedclarityandguidanceonthescopeofheatnetworksolutionsforfuturedevelopment.
2.2 Identification of potential clusters
Opportunitiesfordistrictheatingwereidentifiedthroughworkshopsin2017,combiningtheinterestsofPlanning,Property,HousingandEnergyManagement.ParticipantsreviewedtheHeatMapandinparticularthelayersshowingtheheatdemanddata,proportionofsocialrentedproperties(asaproxyforfuelpoverty),andfuturedevelopmentproposalsandconstraintsmapsfromtheLocalDevelopmentPlan.
Clusteropportunitieswerefurtherassessedwheresituatedinareasofexistinghighdensityheatloads,asillustratedinFigure6.ItisworthnotingthatthisdoesnotrepresentthelimitoftheopportunityinDundee,ratherthesearetheareaswhereCouncilorotherpublicsectoranchorloadswereidentifiedandwhereclusterscouldinitiate.
6www.scotland.gov.uk/heatmap
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Figu
re 6
: Hea
t dem
and
clus
ters
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3 OPPORTUNITIES FOR HEAT SUPPLY
ThissectionreviewsthepotentialopportunitiesthatexistinDundeeforheatgenerationincludingdedicatedheatplantandrecoveryofheatfromexistingindustry.Italsoconsiderson-siteornear-sitenaturalresourcesthatcouldbeutilisedforheatproduction.
3.1 Heat supply resources mapping
Basedonlocalknowledge,Scotland’sheatmapandpublicdatasets,thefollowingresourceshavebeenidentified.ThesetechnologiescanbecharacterisedinthegroupsshowninTable1thatcanbecombinedwiththermalstoragetoprovidesustainableheatsupply.
*ExamplesofthesetechnologieshavealreadybeendevelopedinDundeeorareindetaileddesignphases.
Table 1: Heat generation technology options identified
Group Technology Description and examples
Existing heat production
EnergyfromWaste(EfW)Plant TheEfWplantatBaldovieislocatedclosetoWhitfieldandhashighpotentialheatproductionthatcouldsupplyasubstantialnumberofcustomers
Industrialplantswhereheatmaybeavailablefromrecoveringheatfromcoolingtowers,fluesandeffluentdischarge
TherearevariousindustrialareasinDundeewhereexistingindustrymayhaveexcessheatthatcouldberecovered,alternatively,industriallandcouldberepurposedforheatgeneration
Potential new production within the City
Combinedheatandpower(CHP)*andboilersusingnaturalgasgridinfrastructure
ThenaturalgassupplywillallowCHPandback-upandpeakingboilerstobelocatedstrategicallywithintheCity
Riversandsurfacewatersupplyingheatviaheatpumps
ThetidalRiverTay,itstributariesandthePortofDundeeoffersignificantheatresource
Groundconditionsthatcouldsupportgroundsourceheatpumps*
Sustainableheatrecoveryfromthegroundandgroundwaterusingclosedoropenloopboreholes
SewerHeatRecovery Heatrecoveryfromthesewernetworktoprovideheatviaheatpumps
EffluentHeatRecovery Heatrecoveryfromwastewatertreatmentsitestoprovideheatviaheatpumps
Potential new production on the perimeter of the City
Biomass Biomassboilerplantusingforestryandagriculturallandtogrowshortrotationcoppice
AnaerobicDigestion Useofindustrial,agriculturalandotherwastematerialtogeneratebiogas
SolarThermal* Potentialforlargescaleheatgeneration,combinedwithseasonalheatstorageinpit,boreholeoraquiferthermalenergystoreswhereconditionsarefavourable
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Theopportunitieslistedabovearepresentedwithoutdetailedconsiderationofthepotentialviabilityofeachoption.Theinclusionofanypotentialheatsupplyassetsandtheirlocationwilldependonanumberofchallengesassociatedwithtechnological,environmental,financialandcommercialconsiderationsincluding:
• Thecapitalinvestmentandoperationandmaintenancecostswillhavetobecarriedbytheprojectandjustifiedthrougharobustbusinesscase.
• Environmentalimpactsassociatedwiththedeploymentoftechnologywhichmaybepermittedwillbemitigatedthroughplanningandenvironmentalpermittingregulations(noise,airquality,visualimpact,ecology,etc).
• Theestablishmentanddevelopmentofsupplychainsforthesupplyandinstallationoftechnology,whichmayimpactonthecostandqualityofsolutions.
• Resilienceofthetechnologytodeliverreliablepowerandheattocustomers.
• Theselectionofsuitablelocationsfordeploymentofsolutionswithinlocalplanningpolicy.
3.2 Energy Centres
TheCouncilhasalreadyestablishedcommunalheatingsystemsbasedonanumberofthetechnologieslistedinTable1includingCHPsupplytomulti-storeydevelopments.Approvalhasalsobeensecuredtodevelopaninnovativemulti-technologysolutioncombiningCHP,groundsourceheatpumpsandsolarthermalatCairdParkRegionalPerformanceCentreforSport.Theenergycentredesigncombinesheatpumps,gasCHP,SolarThermal,PV’S,andlargethermalstoresforlowgradeandhighergradeheatcombinedwithgasboilersforpeakingandbackup(seeappendix1).ThismodelwillbepilotedinitiallyatCairdParkwheretheCHPismodelledtosupplythebaseloadcovering35%oftheloadthroughouttheyear.TheGroundSourceHeatPumpswouldcontributeafurther55%leavingtheGasBoilerswithonly15%oftheprojectedload.
Othertechnologies,listedinTable1,aresuitedtothesiteandlocationofmultipleenergycentreswithinthecityandonindustrialandbrownfieldlandattheperimeterofthecitytosupplyheattowardsthecentre.Thiscouldallowmoreofthesuburbanareastoconnectinthefuture.Renewabletechnology,suchasanaerobicdigestionandsolarthermalmaybeabletoutiliserurallandintheperimeterofthecityandprovidediversificationtotheagriculturalsector.
3.3 Energy from Waste
EnergyfromWaste(EfW)istheprocessofcreatingenergy,intheformofelectricity
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and/orheat,fromthethermaltreatmentofwaste.EfWfacilitiescanbedesignedtoprovidepower(electricity)and/orheat,andtheratioofheatcomparedtopowercanbesplittofavoureither.Thedistanceyoucansendheatinadistrictheatingschemedependsonhowmuchenergyisinthesteamorhotwaterbeingsentout.Thegreatertheenergycontent,thefurtheritcanbetransportedbeforesystemlossesmakeitunsuitable.AnexistingEfWfacilityinLerwickprovidesheattopropertiesover6kmawaywhilstinDenmarkboosterstationsareusedtoreduceenergylosseswhentransmittingheatover80km.
ItisrecognisedthatwhilstEfWitselfisnotarenewableenergysource,theenergyproducedbyEfWfacilitiesreplacesthatgeneratedbyotherfuelssuchascoal,oilandnaturalgas.ScottishPlanningPolicy6:RenewableEnergy7identifiesthatenergyfromwaste,landfillgasandothertechnologieswillbeusedtohelpmeetScotland’stargetsforincreasingtheamountofelectricitygeneratedfromrenewableenergysources,asthisisavitalpartofthenationalresponsetosustainabledevelopmentandclimatechange.
AlongtermstrategicopportunityforsupplyingadistrictheatingnetworkinDundeeCityisaconnectiontotheCombinedHeatandPower(CHP)facilityabouttoenterconstructionatBaldovie.MVVEnvironmentBaldovieLtd(MEB)haverecentlybeenawardedatwentyeightyearcontractbyDundeeCityCouncilandAngusCounciltotreatresidualwastefromthetwoauthorities.ThecontractwillbedeliveredbytheconstructionandoperationofanewplantonasiteatBaldovie,adjacenttotheexistingEfWplantformerlyoperatedbyDERL.
Thewastewillbecombustedandtheheatwillbeusedtogeneratesteam.Thesteamwilldriveasteamturbineandgeneraterenewableelectricityforuseatthefacility,tosupplytheMichelintyrefactoryandforexporttothegrid.SteamwillalsobeextractedfromtheturbineandfedintotheMichelintyrefactorysteamnetworktobeusedforprocessandheatingpurposes.TheEfWfacilitywillthereforeincorporateCombinedHeatandPower(CHP)technology.Onaverageapproximately10MWofsteamwillbeexportedtoMichelinforusewithintheirfactoryforproductionandheatingpurposes.Anewpipelinewillbeinstalledtoconnecttotheexistingheatdistributionsystemandsomeexistingpipeworkwillneedtobereplaced.Aseparateplanningapprovalhasbeenawardedforthesteamconnection.
BytakingsteamfromMVV’sEfWCHPfacility,Michelinwillbeabletoplacetheirboilers,whicharecurrentlygasfired,onstandbymode;andtobekeptwarmusingsteam,andonlyusedwhentheEnergyfromWasteCombinedHeatandPowerfacilityisnotproducingenergy.Approximately5MWofpotentialsteamwouldbeavailableaftersupplytoMichelin,whichcouldbelinkedtoawiderheatnetwork.
7http://www.gov.scot/Resource/Doc/171491/0047957.pdf
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Thedemandandsupplyopportunitiesoutlinedinsection2and3havebeencombinedtoidentifythescopeandextentofpotentialheatnetworks.Thisincludesthegeographicalextent,potentialinfrastructureroutes,proposedconnectionsandthelocationandtechnologyfortheheatsupply.
TheCouncilhasworkedwithRambolltotestanumberofmodellingscenariosandkeyeconomicperformanceindicatorsderivedforeachscenario.Thesekeyindicatorswereweightedtoassesstherelativerankingandpriorityfordevelopingtheopportunitiesidentified.
4.1 Mapping of heat supply and demand
OpportunitiesforindividualdistrictheatingnetworkshavebeenmappedinGISandareillustratedinFigure7below.FurtherdetailsonfourofthesearepresentedinAppendix1.
Theseindividualdistrictheatingnetworkscanbedesignedtoadoptcompatibleheatspecificationsanddeveloped,intheshortterm,tooperateasislandclusters.Inthemediumtolongtermitisintendedthattheseindividualnetworksbeexpandedandconnectedtooneanotherinordertocreateacity-widedistrictheatingsystem.Asuitablydesignedcity-widesystemcouldbenefitfromgreaterdemand,economyofscaleandoverallsystemefficiency.
4 HEAT NETWORK OPPORTUNITIES
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Figu
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Figure 8: Steps in delivering a district heating project8
TheStrategyseekstoinitiateaprogrammeoflowcarbondistrictenergyprojects,relatedbytechnologyandlocationwhichcandelivertransformationalchangeinDundee.Eachprojectwillbedeliveredfollowingtheapproachsetoutinfigure8.Theprincipalthemestobetakenforwardintheprogrammedeliveryphaseare:
• DeliveringsignificantreductionsinCO2emissionsandgreenhousegases;
• Fosteringandformalisingcollaborativepartnershipsthatdeliverqualitativesolutionsandadditionalinvestment;
• Engagingwiththecommunitiestodeveloplocalsupportandbenefitsfromcommunityinvestmentandparticipationanddirectlyreducingfuelpoverty;
• Deliveringarangeofprojectspecificandlongertermbenefitstoemploymentandbusinessdevelopment;
• Deliveringsustainableandresilientsolutionsthatprovideasecurelocalenergysupply.
5 PROGRAMME DELIVERY
8Basedon“CommunityEnergy”,King&Shaw(www.districtheatingscotland.com/wp-content/uploads/2015/12/CommunityEnergyPlanningDevelopmentAndDelivery.pdf )
Set Objectives Gather Data
Define project and stakeholders
Opportunityassessment and
ranking
Project delivery & contract
management
Market testing & procurement
Commercialbusiness model
Financial modeling,
funding options
Technical feasibility study
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5.1 Preliminary Assessment of Delivery Programme
ThepreferredmethodofdeliveringprojectsschemesisthroughaprogrammeofworkmanagedbytheCouncil.ThisprogrammemanagementapproachwilltakeanoverarchingandlongtermviewoftheCitytoensurethatenergycentresandnetworksaresizedtosafeguardfutureexpansionandinterconnection.
TheindicativeprogrammeisshowninFigure9anddefinesthestrategicambitionsoftheclusterdevelopmentandinterconnections.Theproposeddeliveryvehicleisdiscussedlaterandtheidentificationofthemostappropriatemodel,governancestructureandimplementationwouldevolvewiththeemergingclusters.Theoperatingmodelwouldbefullyimplementedpriortosignificantinterconnectionofclustersandroll-outofthecitywidenetwork.
5.2 Technology scenarios
Amixofsuitabletechnologiesforthesupplyofheattothedistrictenergynetworkwillbeconsidered.Thiswillbebasedonutilisingavailableexcessheatfromindustry,suchasEnergyfromWaste,proposedhydrogenproductionandfuellingstationandotherindustrialparksinthecity.Itwillalsoincludededicatedlowandzerocarbonenergycentreswithsuitableback-upandpeakingboilerplantcapacity.
Figure 9: Initial delivery programme to create a city wide district heating network in Dundee
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5.3 Development of Business cases
Thisstrategydoesnotdefinethebusinesscase,howeveritsetsouttheobjectivesandrequirementsforpresentingabusinesscasefortheoverallprogrammeandforindividualprojectswithintheprogramme.
Theintendedapproachtoinvestinginandconnectingacitywidedistrictenergyprojectisthroughavehiclethatidentifiesindividualdistrictenergyclustersanddeliversthemthroughaprogrammeofdistrictheatingdevelopment.Thisensuresthat:
• Thereisanoverarchingdesignbasistoensurecompatibilityofallsystems;
• Reducesthecapitalcostandriskofinfrastructureinvestmentbysharingthecostacrossanumberofprojects;
• Mayallowalternativeoptionsforinnovativefundinganddeliverythatcanbeintegratedcontractuallyandcommerciallylater.
5.4 Stakeholder Engagement
Theengagementandactiveparticipationofstakeholdersiscriticaltothesuccessofthestrategy.Itisanticipatedthatbusinesspropertyownersandtenantsinthestudyareaswillbecomecustomersofthesystemwhereappropriate.Asaresult,thestrategydefinesapresumptionthatthenetworkoperatorwilloffercustomersthebestvalueagainstalternativeenergysupplyoptions.Eachdistrictheatingprojectwillrequirecollaborativepartneringbetweenenergygenerationsuppliers,thenetworkoperatorandinvestors.
5.5 Risk appraisal
ThekeyrisksfordevelopingdistrictheatingprojectsareoutlinedinTable2.TheCouncilwillexploreavarietyofwaystohelpde-riskprojectswhererequired,makingthemmoreinvestiblefordevelopersandfinanciers,including:
• facilitation–co-ordinatingandbrokeringcommitmentsfromthirdparties.
• regulation–e.g.throughtheplanningsystem.
• committingpublicsectorbuildingsaslong-termanchorloads.
• underwritingcertainprojectrisks9.
9ScottishFuturesTrust:GuidanceonDeliveryStructuresforHeatNetworks(www.districtheatingscotland.com/sites/default/files/SFT%20DH%20Delivery%20Structure%20Report%20%28v1%20-%2016%20Mar%2020015%29_0.pdf )
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Table 2: District Heating Risk Appraisal
Risk DescriptionMitigation measures during current phase or included in Design, Build,
Operate or Maintain
Timescales • Timescalesfornewdevelopmentsareexpectedtobefixedandanyheatmustbeavailableathandover
• Rangeofpotentialtechnologyoptions
• Requirementforasystematicoptionsappraisal
Customer uptake • Lowcustomerengagementandwillingnesstoparticipateinprojectswouldresultinlowerthanexpectedrevenues
• Ensurepropertylandlordsandtenantsareengagedandensurethatfullbenefitsareclearlycommunicatedandreasonableconcernsareaddressed
Project data availability
• Informationprovision
• Continuityofsupport/Availabilityforconsultation
• Influence(positive/negative)
• EarlyengagementwithstakeholdersandsupportingCouncilthroughcommercialdiscussions
• Procurementtoidentifykeyclientissuessuchascriticaltimescalesorperiodswhenworksshouldbeavoided
Network route constraints
• Physicalbarriers,groundconditions,etc
• Identificationofrouteconstraints
• Riskassessmenttoidentifyanyunknowns
Below ground utility routes
• Gas,electricity,water,communications
• Obtaininformationinternallyandundertakeutilitysearchesifinformationnotavailable
• Preparationofinformationpacktoincludefullsetofutilityinformation
Planning Procedures
• LocalDevelopmentPlanpolicyrequirements
• Planningapplicationprocess
• Heatnetworkfeasibilitystatement,airqualityassessmentetc
• EarlyengagementwithPlanningDivision
Commercial • Theoverallcommercialviabilityoftheindividualprojectsorcitywidenetwork
• Riskstrategy:riskappetiteofthedeliveryorganisation
• Theoutlinebusinesscasefortheoverallprogrammeandthedetailedbusinesscaseforindividualprojectsshouldbebasedonappropriatequalityofcostdataforthetechnologyproposals
• Thestrategyshoulddefineanappropriatescaling&flexibilityoftechnologydesign
• Clearscheduleoftechnicalrequirementsandassociatedbillsofquantitiesatprocurement
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5.6 Delivery vehicles and Funding
Deliverystructuresfordistrictheatingprojectscanrangefromfullypublicsectorledtofullyprivatesectorled,orincludeavarietyofjointpublic/privateor‘hybrid’arrangementsaccordingtoeachpartofthedesign,build,financingandoperation(DBFO)oftheproject.Eachapproachprovidesdifferentlevelsofcontrol,degreeofrisk,requiredratesofreturn,investmentcostsandexistingexperienceandskillssetsrequired.
Typicallyprivatesectordevelopmentmodelsrequirehigherprojectreturnrates(IRR)toenabledevelopmentbutabsorbmuchoftherisk.PublicmodelsmayenabledevelopmentofprojectswithlowerIRRsandallowfocusonalternativeprioritiessuchascarbonreduction,fuelpovertyandschemeexpansion.
Duringtheearlystagesofstrategyimplementation,DundeeCityCouncilwillbetheprogrammeleadfortheidentifiedschemesandintakingtheseforwardwillconsidercollaborativeinvestmentopportunitieswithinthepublicandprivatesectorwhereitprovidescommercialoreconomicbenefit.Intheshort-termtheCouncilwillseektosecureexternalcapitalthroughexistingfundingschemesonaprojectbyprojectbasisincludingtheScottishGovernment’s‘LowCarbonInfrastructureTransitionProgramme’andwherealliedtodomesticenergyefficiencyimprovement,thenew‘Scotland’sEnergyEfficiencyProgramme’.Aninternalrevenuebudgetforthedesignanddevelopmentoffutureschemeswillbeexplored.
Inparallel,theCouncilwillconsidertheoptionsforcreatinganEnergyServicesCompany(ESCo)toprovideacleardeliverymodelforplanning,developingandoperatingnewschemesoverthelongerterm.Anorganisationthatwasabletoofferthiswideroverviewcouldhelpensurethatbestpracticeismadeavailable,thatthetechnologiesusedarescalableandcompatibleandthateconomiesofscaleareutilised.Overtime,theESCocouldseektocreatethedistrictheatingnetworkacrossthecity,workingwithotherpartnerstocreatethefinancialmodelandseekingoutinterestfromthewiderinvestmentcommunity.TheCouncil’srecentheatnetworkdevelopmentsrepresentaninvestmentofaround£27M,whichcouldpotentiallybetransferredtoanESCotooperate,andformpartofitsassetbase.
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6 ACTION PLAN
Action Timescale
Short Term (2018-2020)DelivertheCouncil’sfirstnon-domesticdistrictheatingschemeviatheLow Carbon District Energy HubattheRegionalPerformanceCentreforSport.
August2019
Seektosecurefunding fordistrictheatingprojectsthroughLCITP2andongoingSEEPprogrammeandinternalbudgets.
December2018
DevelopfeasibilitystudiesfordistrictheatingprojectsandnetworkswithintheLochee CorridorandDighty Corridor.
December2018
EncouragethedeliveryofdistrictheatingwithinthecitythroughproposingnewDistrict Heating Planning PolicyintheLocalDevelopmentPlan2.
December2018
Medium Term (2020-2024)LiaisewiththeScottishGovernmenttoembed Local Heat and Energy Efficiency Strategieswithinnationalandlocalpolicy.
March2022
DeliverdistrictheatingprojectsandnetworkswithintheLochee CorridorandDighty Corridorsubjecttofunding.
March2021
Supporttheexpansionofadistrictheatingnetworkwithinthecity centreinpartnershipwithotherlocalpublicandprivatestakeholders.
December2022
WorkwithpublicandprivatesectorpartnerstoexploredistrictheatingopportunitiesinandaroundMenzieshillandColdside.
April2023
SeektoestablishaDundeeCityESCo. March2024
Longer Term (2024-2028)Assessoptionsonhowdistrictheatingcanbeutilisedinthedevelopmentofintegratedenergyhubswithhydrogenprovisionfortransportandfleet.
2024
Investigatepossibleconnectionsbetweenestablisheddistrictheatingschemestoimproveoperationalefficiencies.
2024-28
Continuetosupporttheexpansionofacity centre district heating network inpartnershipwithotherlocalpublicandprivatestakeholders.
April2028
Explorealternativemethodsofheatgenerationtodecarbonisedistrictheatingnetworksinlinewithemerging technologies.
April2028
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APPENDIX 1
Project: Low Carbon District Energy Hub at Regional Performance Centre for Sport
Description
DundeeCityCouncilandsportscotlandarepartnersintheprojecttocreateaRegionalPerformanceCentreforSportatCairdParkinDundeetoserveTaysideandFife.AlsoinvolvedareDundeeUniversity,AbertayUniversityandDundee&AngusCollege.ALowCarbonDistrictEnergyHubwillbebuiltaspartoftheprojecttofeedtwobuildings,theRegionalPerformanceCentreandDome,theAthleticStraightandDome.Thehubhasbeendesignedinsuchawaytohavefuturecapacitytofeedapproximately220housesinMillofMainsorLinlathenhousingdevelopmentsadjacenttothesiteoverthenexttenyearsandotherpossibleinterestedparties.Bydeliveringalowandzerocarbonsolution,thefullyintegrateddistrictenergyHubwillbeoperationalin2019andwillsignificantlylowercarbonemissionswhilstprovidingkeyinfrastructurethatwillactasthecatalysttoacceleratethecity’sambitionsforthedevelopmentofacity-wideenergynetwork.
Technical Information
Theenergycentrewillhave600kWofheatpumps,236kWofheatbyagasCHP,50kWofSolarThermal,63kWofPV’S,2400kWofgasboilerbackupandtwolargethermalstoresforlowgradeandhighergradeheat.GIEnergy(whowereworkingonanenergycentrefortheV&AMuseum),andRamboll,(whohadundertaken
workfortheScottishGovernmentonprospectsfordistrictheatinginDundee),haveassistedtheCouncilwiththisproject.RambollhaveprojectedtheusageofplantwithinthesiteandtheviabilityoftheproposedheatingelementsfindingthattheCHPwouldbethebaseloadcovering35%oftheloadthroughouttheyear.TheGroundSourceHeatPumpswouldcontributeafurther55%leavingtheGasBoilerswithonly15%oftheprojectedload.
Projected Cost
TheCouncilappliedforfundingfromtheScottishGovernment’sLowCarbonInfrastructureTransitionProgramme(LCITP),whichsubjectedtheproposalstofurtherrigoroustestingofthefinancialandtechnicalviabilityofthescheme.TheCouncilsuccessfullysecured£2.9millionfundingfromtheLCITPinMarch2017,togetherwithanallowanceof£100,000towardsenablingworks.
Estimated Pay Back
Theestimatedpaybackperiodforthisprojectis11years.
Project Delivery
SiteStartMay2018,CompletionAugust2019.
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Case Study: Low Carbon District Energy Hub at RPCS
PartoftheCouncil’sdesignproposalsforthenewRegionalPerformanceCentreforSport(RPCS)atCairdParkincludea‘LowCarbonDistrictEnergyHub’(LCDEH).ThedriverforthiswasthechangetotheScottishBuildingStandardsinOctober2015whichrequireanimprovementinenergyconservation/efficiencyfornewbuildingsbyreducingcarbonemissionsbyapproximately43%comparedtotheprevious2010standards(60%comparedtothe2007standards).SuchasignificantreductionincarbonemissionsnecessitatestheutilisationofLoworZeroCarbonTechnologies.
TheCouncil’sproposedtoutilise‘lowgrade’heat(circa8°Cto10°C)frombelowgroundandtoconvertthisintoahighertemperatureofheat(70°C),whichbecomesusefulinprovidingtheheatdemandsofthevariousbuildings.Thisisachievedusingadeviceknownasa‘heatpump’.Theheatpumprunsonelectricity,andforevery1kWofelectricalenergyconsumed,itwillproduce3.61kWofheatenergy,duealsototheheatobtainedfrombelowtheground.Duetotherelativecostofgas(3p/kWh)andelectricity(11.3p/kWh),afurtherproposalwasagreedtouseaCombinedHeatandPower(CHP)unittogeneratetheelectricityconsumedbytheheatpumps.Thisenablesfinancialbenefitsfromthesignificantlycheapercostofgas,whilstusingelectricallypoweredheatpumpunits.TheCHPunitwillalsocontributeusefulheattothesystem,aswillsolarthermalpanels,whichalsoformpartoftheproposals.
Heatfromthesethreesources(groundsourceheatpumps,CHPunit,andsolarthermalpanels)iscombinedintoanintegratedcircuitwithinanEnergyCentrebuilding,andisthendistributedtothedifferentbuildingsonsite.ThisisthemostcosteffectivewayofusingtheseLoworZeroCarbonTechnologiesindifferentbuildingsonthesamesite,andaltogetherformsthedistrictheatingsystem.Anotheradvantageofusingadistrictheatingapproach,isthatcapacityhasbeenincludedwithinthesystemtoprovideheattosocialhousing(inMillo’MainsorLinlathen),whichwillhelptoalleviatefuelpovertyintheseareas.Note-thefinalconnectiontothishousingwouldformafuturephaseofworks.
Takingaholisticapproachtotheenergydemandsoftheproject,Photovoltaic(PV)solarpanelswillbeusedtogenerateelectricityforuseinthebuildings.Thebuildingswillalsobenefitfrom‘enhanced’thermalinsulationandtripleglazedwindows,tohelplowerheatlosses.
Inthedesignsforthisproject,thesizeandusageofeachitemofequipmenthavebeenoptimisedtoachievethebestpossiblecarbonemissionsreductionforthelowestconsumedfuelcosts.
TheLowCarbonDistrictEnergyHubwasdesignedbytheDesign&PropertyDivisionwithintheCityDevelopmentDepartment,andtheplantdesignsweresubjecttoanindependentprofessionalpeerreviewbyaspecialistconsultantinthisfield,RambollEnergy.
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Description
TheLocheeProposalencompassesKirkStreetMSD(with550flats)andWhorterbankMSD(with168flats),bothwithacentralisedboilerplantandtotalconnectedload4,500kW(bothinstalledbyBritishGasin2014underaSESPfundedinitiative),WestAreaHousingOffice,StMarysPrimarySchoolandLocheeLeisureCentreandPool.AnalysishasbeenundertakentoexplorewaystoimproveandenhancetheperformanceoftheMSD’sbylinkingthesebuildingsthroughanenergycentre.SubjecttoanR&ALegacyagreementandsupportfromDoosan,itisproposedtoinstallahydrogenfuelcelllocaltothevehiclechargingstationasthebaseloadenergyprovider.ThiswillthenlinktheboilerroomswithinthebuildingsandatthebaseoftheMSDs.TheFuelcellwillbeusedtofeedbothheatandpowertoallthebuildingsbutalsoassistwiththecarchargingpoints.AlongwiththisthefuelcellwillalsoprovideHydrogenwhichcanbestoredandusedforhydrogenvehiclesthusprovidingatrueenergyhub.ThiswillenabletheCounciltoimproveenergycostswithinthesystemandreducethefuelbillsfortenantsevenfurtherthusremovingthemfurtherfromfuelpoverty.
Technical Information
TheHydrogenFuelCellwouldprovide
approx.1200kWThermaland900kWElectric.Thiswouldbelinkedtothe1,000kWboilersatWhorterbankand3500kWboilersatKirkStreet.LocheeLeisureCentreandPoolhastwoHovalSR-plusBoilersmodel700kWtotaloutputwith2Dachs(BaxiSenerTech)CHPunitseachwitha750litrebuffervesseleachunitratedat31kWthermal/11kWelectricaltotaloutput.StMarysPrimarySchoolconnectedload525kW(theseboilersaredueforreplacementandthuswouldsimplyberemoved).TheWestareahousingofficehasnothermalheatingsystembutisheatedwithaVRVairconditioningsystemwithAirSourceHeatPumps.
Projected Cost
ThehighlevelestimatedoverallcostofthePlant,infrastructure,andHIU’sineachbuildingwillcostintheregionof£3m.
Estimated Pay Back
Thecurrentestimatedpaybackperiodforthisprojectis5-6years(Thiscouldincreaseslightlyoncemoredetailedsurveysarecomplete).
Project Delivery
Itisanticipatedtohavethisonsitelate2018withcompletion2019subjecttofunding.
Project: Lochee Development
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Project: Dighty Corridor Development
Description
Whitfieldisanoldsocialhousingdevelopmentwhichisundergoingregenerationwithnewprivatedevelopmentsalreadyinplaceandadditionalhomesplannedforthefuture.ThereisalsoanewPrimarySchool,1960’sstyleSecondarySchoolwithaswimmingpoolandanewCommunityHub.TheprincipalwouldbetotakethewasteheatproducedattheBaldovieEnergyfromWasteplanttotheeastofthesitetoanenergycentreandpipethistoaseriesofheatexchangercentresdistributedthroughoutthedevelopment.Thesecentreswouldthendistributetotheindividualbuildings.TheenergycentrewouldalsorequirealternativeheatsourcestoensurecontinuityofsupplyastheheatfromtheEnergyfromWasteplantwouldonlybeavailablearound80%oftheyear.
TheinclusionofMichelin’swasteheatintotheenergycentrewouldgreatlyincreasethecapabilityoftheenergycentre.Withthisarrangement,thesitesatDouglasandMidCraigiecouldbeincludedwithapossiblelink
totheRPCSsiteinCairdPark.TheWastetoEnergyplantwillbeupgradedoverthenextfewyearsbyitsnewownersMEBwhichcouldallowconsiderationoffittinganelectrolyserintotheenergycentretosupplyaHydrogenGeneratorfortransportrefuelling.
Technical Information
Theenergycentrewillhaveapproximately9,000kWwasteheat,GasCHP,SolarThermal,PV’S,gasboilerbackup&alargethermalstores.
Projected Cost
Notknownatpresent.
Estimated Pay Back
Notknownatpresent.
Project Delivery
Noprogrammedatessetatpresent.
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Description
Thecitycentreisideallysuitedfordistrictheating,consistingofDundeeCityCouncilbuildings,thecentralwaterfront,docks,UniversitiesofAbertayandDundee,HighSchoolofDundee,PoliceScotlandandCourt,D.C.Thompson’s,StudentAccommodationandtheWellgateandOvergateshoppingcentres.Thesiteiscompactandplacedonthewaterfrontitopensvariouspossibilitiesforheatgenerationanddistribution.AbertayUniversityandtheUniversityofDundeearecurrentlyexploringthetechnicalandeconomicopportunitiesforadistrictheatingschemetolinktheirrespectivecampuses.Thiswouldgivetheinitialkickstarttoalargerprojectandwouldenableotherinterestedpartiesinthevicinitytofeedintothenetwork.
Technical Information
TosupplementtheUniversityofDundee’senergycentre,fourenergycentresareenvisagedinaringwithinthecentrecomprisingheatpumps,gasCHP,SolarThermal,PV’S,gasboilerandtwolargethermalstoresoneforlow
gradeandoneforhighergradeheat.Thosenearertheriverutilisingwaterheatpumpsandtheonesinlandgroundorairsource.TheEnergyCentrelayouttobestandardisedatRPCSwhereapplicabletomakefurthermaintenanceandplantreplacementeasierandallowforastandardstockofsparestobekeptwhichwillworkinanycentre.Ramboll,whoaresupportingwiththefeasibilitystudyhaveprojectedthat80%oftheenergycouldcomefromrenewableswouldstillbeaconservativeestimateatthistimeforthissitealso.
Projected Cost
Notknownatpresent.
Estimated Pay Back
Notknownatpresentbutwouldrequiretobewithinthe20yearlifeoftheplant.
Project Delivery
Noprogrammedatessetatpresent.
Project: City Centre Development
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