SP Transmission

Delivering Infrastructure for Renewables

Colin Taylor

Head of Transmission Programmes

Large Increase in offshore & onshore wind generation

Base case investment delivers MWs and boundary capacity in line with Gone Green scenario

Increased import capacity will further enhance security of supply for Scotland

Flexibility to fund investment over and above Gone Green if required

Delivering Energy Policy

Majority of 275kV network over 40 years old

£1.3bn (~ 65%) of investment provides connections & capacity for wind generation

Strong Incentives for Delivery - By 2020 we will:

Increase transmission capacity to England to 6.6GW (now 2.8GW)

– a further 2.GW+ (ECHVDC) triggered by submission to Ofgem

Connect a further 2.5 GW of wind generation (total of 4.4GW ) to align with Gone Green

scenario - revenue driver to fund up to 7GW if required

15% of our substation assets renewed

Replaced over 800 circuit km of overhead line

– modern transformers and conductors increase transfer capability

£0.8bn (~ 35% )of investment needed to modernise the network by 2020

Significant sections of 132kV network over 60 years old

Investment Plan based on nationally agreed central scenario (Gone Green)

RIIO-T1 Overview

Meeting the Delivery Challenge

Using the latest technologies • Getting the most out of existing assets

• Installation of shunt and series capacitors

• Use of advanced inter-tripping technologies to facilitate higher transfers

• HVDC “bootstraps”

Market • Developing the capacity and capability of the supplier base

• Attracting new suppliers

• Changing the contractual model

People • Developing existing staff and recruiting staff with the necessary skills

• Significant graduate and apprentice programmes to grow our own workforce

• Increase in staff focused on transmission activities since 2011 of circa 200

Stakeholders • Government communities and landowners

• Strong focus on consents with Scottish Government

• Close liaison between SO and TOs

• More flexible approach to land rights, encourage engagement from developer at

early stage

Load-Related Projects: Strategic Upgrades

7

Load-Related Projects: Strategic Upgrades

Project Description of Works Progress to Date Benefit

1. Beauly - Denny 400kV and 275kV OHL from

Beauly in SHETL’s area to new

substation at Denny in SPTL area

Construction – To complete 2015/16

• Final consents received in April 2012

• Main contracts awarded and works underway

• SHETL circuits to complete 2015 and remainder

of project in 2016

• 1200MW additional capacity across

Boundary B4 (from north to central

Scotland).

2. South West Scotland OHL and substation works involves

80km of OHL

Construction. First connection provided 2015

• S37 consents for 275kV works in place

• Substation works at Coylton commenced

• OHL works start in March

• Harness 700MW renewable resource

by 2017

3. Shunt Compensation Install shunt capacitors at Windyhill,

Longannet, Elvanfoot and Moffat

Construction – To complete 2013

• Windyhill and Elvanfoot works complete.

• Longannet and Moffat works to complete in 2013

• Upgrades Boundary B6 export

capacity by 500MW (from 2800MW to

3300MW).

4a. Series Compensation Installation of series capacitors at

Gretna, Moffat & Eccles.

Construction – To complete 2015

• OHL consents received

• Tender process well advanced for SC equipment

• Increase B6 export capacity by

1100MW to 4400MW 4b. East/West 400kV Upgrade Upgrade 75km of existing OHL from

275kV to 400kV

Construction – To complete 2015

• 400kV OHL works well advanced at Strathaven

• 400kV substation plant for Wishaw ordered

4c. East Coast & Central Upgrade New 400kV circuits from Denny to

Wishaw. Includes 17km new OHL

Bonnybridge to Airdrie.

Pre-construction – Project to complete 2018

• Pre-engineering and environmental works well

advanced

• 2018 date aligns with SHETL programme

• Incremental capacity through central

Scotland of 600MW.

5. Western HVDC Link 400kV link to from Hunterston in

Ayrshire to Deeside in Wales

Construction – To complete 2015/16

• Main contracts let

• Ongoing landowner discussions at Hunterston

• 2200MW capacity link

• Enhances both export and import

capacity

6. Eastern HVDC Torness - Lackenby HVDC. Part of

Eastern HVDC

Scoping

• Multi-terminal options being assessed by

NGET/SPT/SHETL

• Circa 2000MW capacity link

• Enhances both export and import

capacity

7. Dumfries & Galloway Upgrade 175km of new 275kV OHL from

Harker to Auchencrosh.

Scoping

• Pre-engineering and environmental works

underway

• Facilitates 2000 MW of renewables

• Remove 45km 132kV OHL

• Enhance security in D&G

Key Activities and Challenges for 2013

• RIIO-T1 provides a robust framework for investment

delivery

– stable mechanism to fund investment

– strong incentives on output delivery

• We have made the most of our “fast-track year”

– recruitment, market development, engineering

– good progress on project delivery

– major focus on consents

• We are committed to continuous improvement in our

engagement with all stakeholders

– TOs, SO, DNOs

– Government at all levels

– Developers

In Conclusion

Delivering Energy Policy Objectives

SHE Transmission

Programme Update

David Gardner – Director of

Transmission

EXISTING

SHE TRANSMISSION

NETWORK

WESTERN

ISLES

Skye

ORKNEY

Dounreay

Thurso

Ullapool

Foyers

Beauly Keith

Peterhead

ABERDEEN

Blackhillock

Kintore

Elgin

Fraserburgh

DUNDEE

Tealing

PERTH

Fort William

Oban

Arran

Mull

Tiree

Coll

Islay

Jura

Kirkwall

Stornoway

Shin

Grudie Bridge

Errochty

Campbeltown

F. Augustus

Killin

Dunoon

Inveraray

Bute

Boat of Garten

Dunbeath

Tarland

Macduff

Braco

Port Ann

Carradale

Cassley

Cruachan

Alness

Bonnybridge

Windyhill

Afric

Nairn

SHETLAND

Lerwick

Key:

132kV circuit

275kV circuit

400kV circuit

M:\planning\_Transmission Development\DIAGRAMS AND GEOGRAPHICS\110425-2020-Transmission Reinforcement Strategy-Mahesh Dayal.ppt

WESTERN

ISLES

Skye

Thurso

Ullapool

Keith

ABERDEEN

Elgin

Fraserburgh

DUNDEE

Tealing

PERTH

Oban

Arran

Mull

Tiree

Coll

Jura

Kirkwall

Shin

Campbeltown

Killin

Dunoon

Bute

Boat of Garten

Tarland

Port Ann

Carradale

Cassley

Cruachan

Alness

Windyhill

Affri

c

Nairn

SHETLAND

Lerwick

Key:

New 132kV

New 275kV

New 400kV

Sloy

POTENTIAL FUTURE NETWORK

Beauly

Braco

Tummel

Bridge

Denny

Fasnakyle

Inverarnan

Dounreay

Fyrish

(Alness)

Loch Buidhe

(Cambusmore)

To Shetland

ORKNEY

Peterhead

Gravir

Stornoway

Kintore

Rothienorman

Alyth

Kincardine

SPTL

Dalmally

2.7GW to SPTL

Tealing

To North of England

Mybster

Spittal

Foyers

Crossaig

Inveraray

Taynuilt

Lairg

Macduff

Keith

Grudie Bridge

Corriemoillie

Tomatin

Fort William

Fort Augustus

Skye Tee

New HVDC

Blackhillock

Knocknagael

Mossford

Moray

Firth 1.5GW

Hunterston

Bute

Carradale

Firth of Forth 3.7GW

Argyll

Array 1GW

M:\planning\_Transmission Development\DIAGRAMS AND GEOGRAPHICS\110425-2020-Transmission Reinforcement Strategy-Mahesh Dayal.ppt

DP Energy Marine

0.4GW

Islay 1GW

Islay HVDC Hub

To SPTL/NGET

South Ronaldsay

Sinclairs Bay

HVDC Hub

Gills Bay

Beatrice 1GW

1GW to SHETL

• 1200 Contractors/Consultants

presently directly employed

• Open4business Initiative

• HVDC cable supply and

vessel constraints

• Overhead Line Framework

• Substation framework now

awarded

Supply Chain

• 250 SHE Transmission Staff –

recruiting an additional 60

• 1200 Contractors/Consultants

• 25 Overhead Line

Apprenticeships per year

• 5 Technical Staff Trainees

• 5 Graduates

Resources / Skills

Summary

• 2600MW of renewables

connected so far

• Over £1bn of spend committed

• Projects being delivered

• Consenting progressing well

• Focusing on the delivery of

the planned major projects