Hertfordshire County CouncilOwner: Energy Management Task Force Sponsor: Sass Pledger, Assistant Director, Property

Hertfordshire Energy Strategy

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Contents

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ForewordRecent years have seen a growing global awareness of the environmental impact of human activity on the planet. The need for sustainable use of resources, environment protection, biodiversity and above all the impact of climate change as a direct result of rising carbon emissions have become obvious.

Governments around the globe have committed to the Paris Climate Change Agreement. The UK Government has committed to reducing its emissions by 80% by 2050 from 1990 levels, with an ambition of achieving a ‘net zero’ position.

Hertfordshire County Council serves over 1,180,000 residents. It owns and manages buildings, farms and land assets covering 10,044 acres (4,064 hectares). As a major owner and manager of land and building assets we recognise it has the potential to make a significant contribution to reduce carbon, reduce waste and protect the environment to serve both the local and national interests.

Achieving any great ambition requires vision and a great team effort in planning and execution to achieve our goals. I am very pleased to say, at Hertfordshire, our dedicated and committed teams have already achieved a reduction in energy demand and carbon emissions by 38% in the past six years in the Non Schools Portfolio through efficiency measures.

The new phase of the energy strategy builds on the previous success to drive further change and improvement across the county. Widening the scope, not only in terms of its stakeholder engagement including working with schools, communities and businesses, but also its delivery themes. In addition to the demand reduction, which will remain a key cornerstone, the strategy will also include green energy procurement, renewable generation and infrastructure development. The aim of the strategy is to deliver a range of benefits which will be both environment and financially sustainable.

Ralph Sangster

Executive Member, Resources

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Hertfordshire Energy Strategy

1.0 Executive SummaryHertfordshire County Council recognises that reducing energy demand and carbon emissions is an imperative in addressing the impact of climate change. Its efforts will help to meet the target set by the UK Government in the Climate Change Act 2008 of reducing UK emissions by 80% by 2050 with a revised ambition towards ‘net zero’ emissions.

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To help meet the targets, the UK Government has introduced legislation and a policy framework in recent years designed to reduce carbon emissions in the economy and improve resilience in UK energy infrastructure. This has presented opportunities and risks for end customers. Opportunities have come in the form of incentives to adopt low and zero carbon technologies, reduce or shift demand and even distributed generation. Meanwhile risk have come in the form of higher transmission, distribution charges, taxes and levies in the main.

Technology options constantly evolve often in parallel with changing regulatory landscapes. New technologies enter the market, whilst costs and efficiencies change with other technologies making them more or less attractive. To ensure the most appropriate technologies are adopted requires a continual programme of re-evaluation against the backdrop of current estate and practices.

The Council is keen to deliver value for money and cost savings in the most cost-effective manner. This is in line with the HCC Integrated Review plan 2016-2020 addressing efficiency improvements. As such it has adopted a prioritised approach to delivering an energy and carbon reduction strategy.

The HCC Energy Management Programme started in 2013 and has included reports to Senior Management Board and Resource & Performance Members including a Members Scrutiny Panel in 2015.

HCC has had significant success in a focused implementation of carbon reduction work within its own estate. The aim of the HCC Energy Management Programme was to achieve the most efficient and cost-effective method of reducing carbon emissions and to ensure the saving would be sustained. The strategy adopted by the Energy Management Board was the following prioritised approach:

Reduce energy and utilities

demand

Review application

of technology

Strategic plant/renewables

• Maintain comfort conditions/eliminate waste

• Good Housekeeping• Plant Optimisation• Behavioural Changes

• Fabric• Lighting• Motors• Heating & Hot Water• Cooling• Fans• Metering• IT and Office Equipment

• Boilers• Chillers• Combined Heat & Power• Solar Photovoltaics• Lifts• Fabric• Low & Zero Carbon

Technologies

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At today’s energy prices, savings are running at over £3.2M per annum. Should the cost of energy rise, this avoided cost will be even higher. The Appendix 1.3 shows a detailed breakdown of carbon and energy related savings achieved by HCC since the 2012/13 baseline year.

To take the programme to the next level we are broadening the scope of the strategy from the non-school estate to across Hertfordshire working with schools, communities and partners.

Our objective will be to:

• Provide a better joined up, corporate approach to energy investment on our assets to make savings and generate income for the Council;

• Identify how we can reduce energy consumption through service delivery redesign and policy development

• Attract investment into energy infrastructure on the Council’s assets which can benefit the Council and the broader community

To deliver the strategy an HCC Energy Task Force consisting of officers and members will be established. The terms of reference will cover the scope and key areas of responsibilities.

The HCC Energy Task Force will set the objectives, baseline, targets for approval by the executive committee. A suggested baseline and target have been put forward for initial discussion.

It will be responsible for the delivery of the overall energy management programme including approach to project identification, prioritisation, delivery, finance, monitoring, reporting and review of the strategy.

• Identify how the Council’s assets can facilitate the development of low carbon energy infrastructure to support transport, housing, waste management and smart community projects

• Work with all partners (public and private sector) and the local community to identify and facilitate low carbon energy projects using the Council’s assets that bring benefits to all partners

The strategy will focus on the following 5 key priority areas to deliver the savings and revenue generations:

• Demand Reduction;

• Procurement;

• Generations including use of renewable & emerging technologies;

• Communities/partnership support;

• Infrastructure development – electric vehicle’s, heat networks

To date it has delivered a 38% reduction in carbon emissions from the baseline year of 2012/13 for the Non Schools Estate and Highways.

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Hertfordshire Energy Strategy

2.0 Key Drivers and Policy

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2.1 National Context

CLIMATE CHANGE ACT 2008

• UK government has mandated to achieve 80% reduction in CO2 emissions by 2050. Latest government ambition to achieve ‘Net zero’ emissions by 2050.

• Policies and frameworks developed to achieve these targets

• Five Year Carbon Budgets – 4th (2023-27) & 5th (2028-32) budgets will need to drive a significant acceleration in the pace to reduce carbon emissions

• Targets set for producing at least 15% from renewable sources by 2020

RISING COSTS/ NATIONAL GRID DEVELOPMENT

• Non-commodity costs in the short term are likely to increase by 35% from 2016 levels by 2021. This means that even if the wholesale price of electricity remains at the current level, the delivered cost of electricity will increase.

• UK Government’s Department of Business Energy and Industry Strategy energy cost projection scenarios show up to 7 scenarios. In all cases the cost of energy in the short to medium term is projected to increase.

UK CLEAN GROWTH STRATEGY LAUNCHED IN 2017

• Following the Paris Agreement 2015 to keep global temperature rise below 2˚C by end of century

• Focused at achieving clean growth while ensuring affordable energy supply for business and consumers

• Expected to increase productivity, create good jobs, boost earning power, for people right across the UK & protect the climate and environment

• Amongst the action is the delivering of clean smart flexible power

• Introduce voluntary public sector target of a 30% reduction in carbon emissions by 2020 for the wider public sector

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2.2 Local Context

There is a growing awareness of the impact of climate change from HCC’s own stakeholders including employees, members, senior management, council taxpayers and the requirements to demonstrate the HCC response in responsible stewardship of the environment.

HCC has a portfolio of:

• 974 Non School Properties (290 Operational, 466 Managed 218 Other)

• 412 Schools (Exc. Academies)

• 191 Farms/Rural Estate Assets

HCC has an Integrated Plan focused on the need to achieve efficiency improvements and savings.

There have been a few previous reports indicating the potential to develop renewable and low carbon infrastructure in Hertfordshire:

• As initial HCC carbon reduction work was primarily focused at a strategic and influencing level, in 2005 and 2010 detailed reports were commissioned into the adoption of Renewable and Low Carbon Technologies in Hertfordshire. Whilst they identified at a high level

• Our current electricity supplier was asked to conduct a high level assessment to identify if application of large scale Battery Storage would be feasible on any of our main office sites. Opportunities were identified as having a reasonable financial payback as well as presenting scope to future proof for electric car charging and participation in Demand Side Response for revenue generation, however more investigative work would be needed.

the potential for these opportunities in Hertfordshire, its main thrust was in developing local planning policies and enabling activities county wide. In 2012 HCC’s focus moved towards direct activity on reducing carbon emissions within the HCC estate.

And more recently we have completed the reports below (since looking further beyond our demand reduction focus).

• A Renewables Report looked at the Rural Estate Portfolio. This focused quite heavily on Electric Vehicle charging points and didn’t capture the whole spectrum of low carbon and renewable opportunities available.

• In early 2019, a renewables specialist were asked to look at a specific site, after colleagues in Rural Estates advised it had potential. An initial desktop feasibility report was run to identify if a solar farm was financially viable. The results suggested that the individual scheme could give a healthy financial payback, generating 22MW. Further investigations would be necessary.

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Hertfordshire Energy Strategy

3.0 Objectives and Targets To initiate the discussion for the Energy Task Force suggested targets are to be presented for the short and medium to long term. Once agreed, by the members they can then be adopted.

Short Term (2022)

• Set up an HCC Energy Task Force & agree an Energy Strategy

• Reduce carbon emissions by 50% from 2012/13 baseline

• Purchase energy from renewable sources

• Identify Demand Side Response opportunities

• Launch Schools Energy Management Programme

• Identify and develop renewable energy investment projects

• New buildings to be of higher building energy performance standards

Medium to Long Term (2025)

• Reduce carbon emissions by 80% from 2012/13 with a long-term ambition of achieving a ‘net zero’ position

• Reduce energy consumption to good practice benchmark for all of the HCC Portfolio

• Deliver renewable energy investment projects

• Infrastructure development and community projects delivery

Review

The short term targets will be reviewed on an annual basis by the Energy Task Force to ensure they remain relevant. Any changes in legislation, technology, portfolio and personnel are considered.

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Hertfordshire Energy Strategy

4.0 Energy Strategy Themes Building on the HCC demand reduction success, this next phase of the HCC energy strategy will focus on adoption of the strategic measures. Whilst reducing demand still remains a priority as a cost-effective measure, emerging opportunities from advancement in technology, changing energy marketplace and maturing market for commercial models means HCC can potentially reduce its emissions by over 80% from the built environment by 2025. Furthermore it can become a net exporter of clean energy and generate revenue at the same time.

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The scope of portfolio will include:

• HCC estate – Non Schools Portfolio including buildings and farmland

• Schools

• Corporately Managed Properties e.g. Aldwyck Housing Association

• Support for local authority and agencies within the county boundary

• Planting trees and developing meadows to offset carbon emissions

The scope of activities will include and be prioritised in the following order:

Priority Themes Outcomes

1Demand Reduction

• Reduce waste, consumption & costs • Reduce emissions to support environmental targets• Optimise use of assets• Improve resilience

2Energy Procurement

• Reduce costs• Improve renewable mix in cost effective manner to

reduce emissions by procuring green tariffs

3Generation • Revenue generation

• Improve resilience through distributed generation• Optimise assets use – offices, schools

4Community/ 3rd Party Engagement

• Developing collaborative relationships• Supporting schools, district council & local business

and communities• Enabling technology and access to framework

agreements to help to reduce carbon emissions, manage assets better through economies of scale

5Infrastructure Development

• Electric Vehicle charging• Development of heat networks• Supporting communities and improved use of regional

assets to help reduce carbon emissions

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To ensure the delivery of the outcomes are on track the Energy Task Force will consider the terms of reference for the process to follow in identifying projects, resourcing, finance, monitoring and reporting. Detailed process will be developed and evolve in line with changing legislation and technology. Current list of identified opportunities in line with priorities are:

Themes Project Activity Opportunities Demand Reduction

• Within Non Schools Portfolio including: Offices, Fire & Rescue, Libraries, Day Centres, Youth Buildings, Private Finance Initiative sites

• Energy Monitoring• Building Management Systems, and other controls review• Behavioral Changes/Good Housekeeping (Energy Champions)• Repairs & Maintenance• Low Carbon Technologies• Schools GRID Energy Management pages• New build Energy Performance Certificates rating of A or British

Research Establishments sustainability assessment BREEAM1 rating of ‘Excellent’ or better

• Water Management

• Existing Non Schools• Extend work with Schools and Corporately• Managed Properties• Retro Fitting Low and Zero Carbon

Technologies• New Build/Refurbs• Energy Performance Contracts• Work with Design & Capital Delivery Team

Energy Procurement

• Green Tariffs from 100% renewable source to provide a low cost/ low risk option• Review energy risk management strategy reduction• Review supplier options for added value service

• Extend to Schools/Partner • Explore opportunities with

partner organisation

Generation • Revenue generations through renewable technology• Battery Storage/Demand Side Response

• Development of Power Purchase Agreement• Use of Farmland/Rural estate• Schools/office/community buildings

Supply of energy to 3rd party/ community

• Extend availability of green energy through existing procurement route• Generation and setting up of Energy Service Company • Private wire network• Combined Heat and Power Plant• Energy from waste• Collective Switching

• Schools• Community • Business

Infrastructure Development

• Electric Vehicle charging facility• Transport related initiatives• District heat network

• Car parks• Transport routes• Concentrated areas of commerce

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Hertfordshire Energy Strategy

5.0 Resources and Delivery

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5.1 Key Stakeholders

Several stakeholders are involved in our work both directly and indirectly. By identifying these stakeholders and mapping responsibilities this will improve communications, efficiency and the overall benefit of the Energy Strategy.

• Members

• Energy Task Force

• Service Department Heads

• Education• Highways• Social Service• Fire Services• Libraries• Property

• Property

• Energy Management Team• Technical Team and Site Managers• Contractors and Consultants

• Finance & Commercial

• Finance Team• Procurement Team

• Schools

• Community

The Energy Task Force will meet on an ad hoc basis but generally frequency will be monthly.

The Energy Task Force will liaise with key stakeholders, partners and community to collate information, identify opportunities, oversee effective delivery and monitor and report.

The Energy Task Force will decide the best route to delivering the outcomes. It will explore and base its decision on several factors including whether there is enough in-house resource available, with technical, financial and commercial capabilities. It may choose to deliver some, all or none through internal resources. For example whilst small scale projects on demand reduction may be achieved through good housekeeping and system optimisations with internal teams, large scale and complex renewable and generation projects may require specialist knowledge and external support.

The Energy Task Force will review the options on delivery models to adopt considering use of specialist third party support, Energy Performance Contacts models and framework where appropriate.

5.2 HCC Energy Task Force

From 2013 - 2018 HCC operated an Energy Management Board with representation from Senior Management within the Property Department. Given the ambitious nature of the Energy Strategy there will be an HCC Energy Strategy Task Force including Executive Committee Members.

The Energy Task Force will be responsible for overseeing the delivery of the Energy Strategy and its objectives. Terms of reference as per below:

• Oversee and agree the development of the Energy Strategy

• Agree processes to help identify projects

• Business case review

• Maintain the project tracker database

• Identify resources requirements

• Identify finance requirements and sourcing of them

• Periodic review

• Monitoring and reporting of energy consumption, savings and emissions in line with the Energy Strategy objectives and targets

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5.3 Accounting, Monitoring and Reporting

The Energy Strategy will be underpinned by clear processes and accounting procedures.

Accounting for consumption by site is the first step. Conducting a benchmark analysis is the second step in revealing the potential for improvement at a given site and the potential targets we may be able to set.

A key corner stone of an effective strategy is a system for monitoring and reporting that can support analysis and identification of opportunities and risks on a given site.

HCC utilises Systems Link as its main system for Energy Monitoring and Reporting and bill verification for all its Non Schools Portfolio. It was also an early adopter of Automated Meter Reading system across its Non Schools Portfolio for electricity, gas and water meters. Data from Automatic Meter Reading provides half hourly data for analysis and feedback for optimisation.

However, for sites not on Systemslink such as school, HCC will work with them to adopt a consistent approach for accounting and monitoring and reporting.

Account for Energy

use

Gap Analysis

OpportunitiesImplementation

Monitoring & Reporting

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5.4 Project Identification

Across the county of Hertfordshire there is a wide portfolio of properties and assets, ranging from offices, libraries, fire stations, day centres, youth buildings, farmland and highways. They provide a wide range of opportunities – demand reduction to generation and infrastructure development. To ensure HCC maximises its opportunities two approaches will be adopted:

1. Site by site projects

a. Most likely for Demand Reduction

b. Following a high-level benchmark analysis to identify high priority sites that would require a detailed site energy audit.

2. Thematic projects

a. Specific low carbon technologies e.g. LED lighting, boilers

b. Renewable

c. Generation

d. Supply

The aim will be to develop an opportunities tracker database linked to a specific site target and reduction plan or revenue generation. This will be developed in conjunction with asset management lists and refurbishment and asset replacement programmes.

Projects will be prioritised to ensure value for money. The main principle will be to reduce demand before making an investment in energy efficiency. It is also preferable to reduce demand with more efficient technologies before considering renewable energy. However, in some circumstances the benefits may not be clearly defined and the Energy Task Force will consider all the opportunities and decide how the projects will progress.

Identification Initial Review

Business Case

Development

Implement

Monitor

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5.5 Finance

The saving so far for demand reduction measures have been achieved through either self-funding or from Government backed interest free Salix funds. The projects for Salix had a strict criterion of less than 5-year paybacks.

Going forward the Energy Task Force will be able to review the financing options from other sources in line with the Energy Strategy and policy.

5.6 Programme

This will develop over time but an approximate programme for the next year is set out as per below:

Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb MaAgree strategy and set task forceReview new opportunities and delivery partnersExisting Demand ReductionImplementation of new opportunitiesMonitoring and reporting

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Appendix A – Previous Work and Outcomes

1.1 HCC Carbon Reduction Commitment (CRC) submission for purchase of carbon allowances

The table below shows the annual emission for HCC for each year. The table includes the whole of the Non Schools Portfolio and highways consumption.

The table shows both the actual gas consumption related data and weather corrected data using Degree Days adjustment. Although the actual gas consumption is used for the purchase of carbon allowance as part of the CRC, normalising for weather in this way provides a better measure of comparison of one year against another removing the impact of variation in weather.

For each year, carbon tonnes and percentage ‘year on year’ emissions savings is displayed.

Source 2012/13 2013/14 Year 1 Saving 2014/15 Year 2

Saving 2015/16 Year 3 Saving 2016/17 Year 4

Saving 2017/18 Year 5 Saving 2018/19 Year 6

savingTotal Saving

Non Schools Gas

6,327 4,286 -32.3% 3,474 -18.9% 3,285 -5.4% 3,053 -7.1% 2,950 -3.4% 2,844 -3.6%

Non Schools Gas (DD adj)

6,327 5,135 -18.8% 4,347 -15.3% 4,183 -3.8% 3,955 -5.5% 3,821 -3.4% 3,673 -3.9% -50.7%

Non Schools Elec

10,622 9,574 -9.9% 8,648 -9.7% 8,463 -2.1% 8,231 -2.7% 7,759 -5.7% 7,397 -4.7% -34.8%

Non Schools Total

16,949 14,708 -13.2% 12,995 -11.6% 12,646 -2.7% 12,186 -3.6% 11,580 -5.0% 11,071 -4.4% -40.6%

Highways Elec 16,173 16,090 -0.5% 15,837 -1.6% 14,829 -6.4% 13,008 -12.3% 12,273 -5.7% 11,358 -7.5% -33.8%

Total (DD adj) 33,122 30,798 -7.0% 28,832 -6.4% 27,475 -4.7% 25,194 -8.3% 23,853 -5.3% 22,429 -6.0% -37.7%

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1.2 Carbon Reduction Commitment (CRC) allowances

The table shows the cost of purchasing the emission allowance for CRC for HCC each year for the whole portfolio for the past 5 years. This is based on actual gas data and not weather corrected.

Year 2014/15 2015/16 2016/17 2017/18 2018/19

CRC Payment £502,414 £448,272 £369,350 £304,821 £260,771

1.3 Comparison against business as usual scenario

The table below shows the impact of the Energy Management Programme comparing against the ‘Business as Usual’ scenario. Using the actual energy consumption and cost, we have compared the base year of 2012/13 versus the 2018/19 consumption.

During the period of comparison, the cost of energy has risen. To show the impact on annual cost we have applied the unit cost of energy in latest year (2018/19) to the base year (2012/13).

Business As Usual ScenarioActual 2012/13

2012/13 consumption @ 2018/19 unit rate

Actual 2018/19

Actual 2018/19

Energy Consumption (kWh)

Cost (£)

Consumption (kWh)

Cost (£)

Consumption (kWh)

Cost (£)

Gas 34,379,337 811,352 34,379,337 728,842 15,455,798 327,663

Electricity 23,843,027 1,978,971 23,843,027 3,075,750 17,021,510 2,195,775

Electricity (Unmetered) 36,304,660 3,389,367 36,304,660 6,451,338 25,079,762 4,456,674

Total 94,527,024 6,179,690 94,527,024 10,255,930 57,557,070 6,980,111

Annual Savings Compared to BAU

Cost Energy

£ % kWh %

401,179 55% 18,923,539 55%

879,976 29% 6,821,516 29%

1,994,664 31% 11,224,898 31%

3,275,819 32% 36,969,953 39%

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Appendix B – Current Projects

Demand Reduction – Non Schools Energy Management

The reduction in energy demand at HCC has been achieved through initial energy audits and maintained through a continuous improvement process which reviews and captures opportunities risk through data management, automated energy monitoring & reporting system, building management systems, operation & maintenance regimes and actively reviewing and managing measures.

Since the start of the programme, for the 4 main sites alone over 265 demand reduction measures have been identified and reviewed by the Energy Management Team. 150+ have been implemented, 60 are progressing and 49 have been rejected.

These activities have resulted in cumulative savings of:

• Gas Consumption 14,080 MWh (weather corrected)

• Electricity Consumption 15,340 MWh

• Carbon Reduction 12,570 tCO2e

• Energy Cost Savings £1,448,000

• CRCBenefit £159,000

Leading to performance improvement from baseline of:

• Energy Reduction 34 %

• Carbon Reduction 49 %

• Cost Reduction 33.5%

The majority of the savings have been achieved from no and low cost measures and some retrofits.

The continuous nature of the process means that we should be able to sustain the savings going forward and help to identify further opportunities in due course. The rise in the cost of energy will mean that the actual savings will be even higher going forward.

Many of the opportunities have been rolled out into the wider Non Schools Portfolio.

Demand Reduction - Behavioural Change

An important dimension to energy efficiency is encouraging reduced energy consumption and work is underway to explore ways to influence behavioural changes via the Sustainable Hertfordshire Strategy. In the past, HCC has engaged council staff as Energy Champions to promote energy efficiency messages, this and other approaches can be considered as part of this wider strategy development.

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Demand Reduction - Energy Management in Schools

We are in the early stages of exploring the best route for introducing our Non Schools demand reduction work to the Schools Estate.

Currently on Herts Grid for Learning, there is an Energy Management platform giving advice specific to schools which includes;

Support Activity DescriptionProducts to help manage/reduce consumption

Renewable Energy advice on installing renewables on site and processes that must be followed to do this

Live Energy Monitoring to help understand how to utilise AMR data to be more energy efficient

Supply Contract & Billing general contract information, industry updates and calculations to aid in year-end accruals. There is the Energy Management Team support with procurement of all utility supplies, bill payment/validation/query resolution.

Automatic Meter Reading (AMR) ongoing management and procurement of the contract that is available to all schools

Energy Management support dealing with all issues related to energy, advise on issues, reduction etc

Online Energy database management of web version of energy database that enables schools to view and run reports on invoices, usage and Automatic Meter Reading data

Consideration is to be given to the level of energy management support provided to Schools and whether any more specific project work should be undertaken.

Demand Reduction - Energy Management in Schools

• Design & Capital DeliveryTeam

• For New Builds consider Energy Performance Certificate rating of A or British Research Establishments sustainability assessment BREEAM rating of ‘Excellent’ or better

Energy Procurement - Green Tariff

To help achieve our long-term goal of minimising carbon emissions we have been exploring the possibility of purchasing electricity from a 100% renewable source. Potentially this is a key step towards reducing the HCC’s own estate emissions toward an 80% reduction.

We intend to stipulate that 100% renewable electricity be inclusive as part of the next contract which will begin in October 2020.

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Generation – Solar Photo Voltaic Development

HCC Estate has identified a site within its portfolio which is a 120-acre disused gravel pit. We approached, following discussions with other local authorities, a specialist in development of solar fields. An initial desktop study identified an opportunity to develop a 22MW solar field with battery storage. The indicative costs and savings were:

Installed Capacity: 22MW

Yield: 21,538MWh

Capital Costs: £26,500,000

Revenue: £2,006,300

Payback: 13 years

Asset life: 30 years

The above model showed one scenario, potentially there can be several other scenarios that can show higher revenues and lower paybacks. There are various routes to delivering the above and we are currently exploring suitable options.

Generation - Demand Side Response

Demand Side Response covers a broad range of developing areas of demand response storage and distributed generation.

Although experts agree that energy efficiency by reducing overall demand will always be

make the business case work. However, since the original study 2 years ago, advances in technology and reduced costs may make large scale battery storage a real possibility for HCC at the main office sites. A desktop feasibility has been undertaken with our energy supplier to show not just the financial benefits but also to utilise the stored power to cope with the inevitable increase in Electric Vehicle’s and the need to charge them. These show that over three sites there is a financial case for taking forward a project of this nature.

Water Management

The Energy Team has already conducted a programme of Water Management activities that has identified efficiency opportunity to reduce waste. Projects have included:

• initial monitoring and reporting water consumption and cost

• leakage surveys in infrastructure across the main office sites

• application of hydro zip taps

• exploring demand reduction in toilets

• extended monitoring - existing contracts include enhanced monitoring and reporting in the wider portfolio

the best option for reducing costs, becoming flexible with demand can also contribute to reducing costs and even contribute to generating revenues.

Demand Side Response is the ability to change the output or demand in reaction to changing external signals. Its use will play an important part in the low carbon future. There is many Demand Side Response schemes that can combine the use of these measures, but not all are suitable for all customers.

Examples include:

• Firm Frequency Response (FFR)

• Enhanced Frequency Response (EFR)

• Short Term Operating Reserve (STOR)

• Fast Reserve

• Demand Turn Up

Accessing Demand Side Response schemes can be done through a number of routes depending on size and the capability to vary supply or demand. For customers with large numbers of smaller sites Demand Side Response can be accessed through aggregators. For most smaller users STOR has offered some opportunities. HCC has previously investigated using existing generators to replace grid energy at peak times, however the upgrade costs to bring these up to the required level for Demand Side Response proved too expensive to

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Appendix C – Target Setting Considerations

Potential target setting based on:

• HCC portfolio that includes Schools, Non Schools and Highways (not degree day adjusted)

• Purchase of 100% power from a green source

• Development of Renewable Generation Projects across the HCC Portfolio

Baseline Current2018/19

Step 1 Green Tariff

Step 2Generation

Step 3 Gas Demand

Reduction

41%

73%

82%

89%

Base line 12/13

68,494 tCO2e

2018/1940.518 tCO2e

Green Tariff18,782 tCO2e

Generation 12,281 tCO2e

Gas Demand Reduction

7,586 tCO2e