Reedman.L_Keynote Address
Transcription
Reedman.L_Keynote Address
Future Grids in Australia Luke Reedman | PowerFactory Users' Conference and Future Networks Technical Seminar 2013 6 September2013 ADD BUSINESS UNIT/FLAGSHIP NAME ENERGY FLAGSHIP In this talk • Where have we come from • Some recent changes • The next 10-20 years 2 | Future Grids in Australia | Luke Reedman Where have we come from (last 10 years) 3 | Future Grids in Australia | Luke Reedman Peak and average demand Source: CSIRO calculations from AEMO data 4 | Future Grids in Australia | Luke Reedman Electricity generation 250 AUS Principal electricity generation by fuel type (TWh) Wind 200 Solar Oil products Natural gas 150 TWh Coal seam methane Brown coal Black coal 100 Biofuels Hydro 50 0 Source: ESAA (2013), Electricity Gas Australia 2013 5 | Future Grids in Australia | Luke Reedman Wholesale electricity prices 200 180 160 140 $/MWh 120 100 NSW QLD SA 80 60 40 20 0 Source: AEMO 6 | Future Grids in Australia | Luke Reedman SNOWY TAS VIC Retail electricity prices Sources: ABS 2012, Producer Price Indexes, Australia, cat. no. 6427.0; Consumer Price Index, Australia, cat. no. 6401.0. 7 | Future Grids in Australia | Luke Reedman Some recent changes 8 | Future Grids in Australia | Luke Reedman Electricity consumption declining 206 204 202 200 Consumption (TWh) 198 196 194 192 190 188 2004-05 2005-06 2006-07 2007-08 Source: ESAA (2013), Electricity Gas Australia 2013 9 | Future Grids in Australia | Luke Reedman 2008-09 2009-10 2010-11 2011-12 Electricity consumption declining Consumption by NEM State (TWh) 200 180 160 140 TAS TWh 120 SA QLD 100 VIC 80 NSW & ACT 60 Total Consumption 40 20 0 2008 2009 2010 Source: ESAA (2013), Electricity Gas Australia 2013 10 | Future Grids in Australia | Luke Reedman 2011 2012 Possible reasons for NSW Source: Intelligent Energy Systems (2013), IES Insider, Issue No. 14 11 | Future Grids in Australia | Luke Reedman Solar PV Source: Australian PV Association 12 | Future Grids in Australia | Luke Reedman Solar PV Solar PV Capacity in Australia 2,500 4 Solar PV Capacity Reduction of Solar Credits Multiplier, June 2012 2,000 3.5 3 Average PV system size MW 2 1,000 End of Solar Bonus Scheme, April 2011 Reduction of solar Credits Multiplier, June 2011 1.5 1 500 0.5 0 0 Jan-10 Apr-10 Jul-10 Oct-10 Jan-11 Apr-11 Source: Clean Energy Regulator 13 | Future Grids in Australia | Luke Reedman Jul-11 Oct-11 Jan-12 Apr-12 Jul-12 Oct-12 kW 2.5 1,500 Peak demand Source: CSIRO calculations from AEMO data 14 | Future Grids in Australia | Luke Reedman ‘Strong’ La Nina on the east coast Source: Bureau of Meteorology 15 | Future Grids in Australia | Luke Reedman Electricity generation 250 AUS Principal electricity generation by fuel type (TWh) Wind 200 Solar Oil products Natural gas 150 TWh Coal seam methane Brown coal Black coal 100 Biofuels Hydro 50 0 Source: ESAA (2013), Electricity Gas Australia 2013 16 | Future Grids in Australia | Luke Reedman Average wholesale prices down Average price ($/MWh) Total Energy GWh Total energy Average price 60 208,000 206,000 50 204,000 40 202,000 30 200,000 20 198,000 10 196,000 194,000 0 2008-09 2009-10 Source: ESAA (2013), Electricity Gas Australia 2013 17 | Future Grids in Australia | Luke Reedman 2010-11 2011-12 Wholesale price spikes subdued 200 175 180 160 Days above $300 140 131 120 120 2008-09 102 100 2010-11 80 66 60 40 2009-10 88 48 37 39 35 47 37 34 27 22 22 20 12 19 11 13 12 1 0 0 NSW QLD SA Source: ESAA (2013), Electricity Gas Australia 2013 18 | Future Grids in Australia | Luke Reedman 2011-12 59 VIC TAS NEM The next 10-20 years 19 | Future Grids in Australia | Luke Reedman The next 10-20 years • Will electricity consumption continue to decline? • Will peak demand rebound? • What about centralised generation? • More PV? • Prices rising? • What about storage and EVs? • Can retailers keep their customers? 20 | Future Grids in Australia | Luke Reedman Electricity consumption forecast 260,000 240,000 Annual energy segments 220,000 200,000 180,000 160,000 140,000 Financial year Residential and commercial* Auxiliary Loads Annual energy - as generated Industrial Consumption Rooftop PV Annual energy - as sent out Source: AEMO, National Electricity Forecasting Report 2013 21 | Future Grids in Australia | Luke Reedman Transmission Losses Energy Efficiency Electricity consumption growth, some uncertainty 2013 NEFR native annual energy forecasts (10-year outlook - GWh) - NEM 250,000 Annual energy consumption (GWh) 200,000 150,000 100,000 50,000 0 2013 High 2013 Medium Source: AEMO, National Electricity Forecasting Report 2013 22 | Future Grids in Australia | Luke Reedman 2013 Low Actuals Peak demand rebound Source: AEMO, National Electricity Forecasting Report 2013 23 | Future Grids in Australia | Luke Reedman Peak demand rebound Source: Bureau of Meteorology 24 | Future Grids in Australia | Luke Reedman More rooftop PV 2013 NEFR rooftop PV annual energy forecasts (10-year outlook - GWh) - NEM 9,000 Annual energy consumption (GWh) 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 2013 High 2013 Medium 2013 Low Actuals Source: AEMO, National Electricity Forecasting Report 2013 25 | Future Grids in Australia | Luke Reedman 2012 High 2012 Medium 2012 Low Peak demand and solar PV: market level Source: CSIRO calculations from AEMO data 26 | Future Grids in Australia | Luke Reedman Peak demand and solar PV: network level Source: SKM (2013), Assessment of Economic Benefits of a National Energy Savings Initiative 27 | Future Grids in Australia | Luke Reedman Retail prices up some more Source: AEMC (2013), Electricity Price Trends Report 28 | Future Grids in Australia | Luke Reedman The ‘death spiral’ • Networks have fixed costs because they build capacity ($/kVA) • They recover their costs through energy charges (c/kWh) • If energy consumption falls (e.g., PV, energy efficiency), fewer kWh to recover fixed costs • Creates a revenue shortfall • In the next round, the network charge (c/kWh) has to rise • This feeds through to higher retail prices • This leads to greater incentive to reduce consumption • And so on… 29 | Energy pathways | Luke Reedman Storage, just around the corner? 30 | Future Grids in Australia | Luke Reedman Can retailers keep their customers? Source: AER (2012), State of the Energy Market 2012 31 | Future Grids in Australia | Luke Reedman Likely investment Percentage of proposed power stations by fuel type (MW) 100% other 90% 80% hydro 70% geothermal 60% solar 50% coal 40% 30% 20% 10% 0% Source: ESAA (2013), Electricity Gas Australia 2013 32 | Future Grids in Australia | Luke Reedman gas wind More wind, but… Source: Reedman et al. (2012), ‘Quantifying the Impact of Setback Limits on the Possible Deployment of Wind Farms in Australia’, Paper presented at the International Energy Workshop. 33 | Future Grids in Australia | Luke Reedman Large scale solar coming, PV… 2007 - 305 kWp on Alice Springs Crown Casino Photo provided by SunPower Corporation 2012 - 1.22 MWp at University of QLD 2009 - 1.0 MWp on Adelaide Showground 2013 - 10 MWp at Greenough River, WA Photo provided by First Solar 34 | Future Grids in Australia | Luke Reedman … can solar thermal fight back? Source: U.S. Department of Energy 35 | Future Grids in Australia | Luke Reedman What about gas? Comparison of historical Australian domestic natural gas demand forecasts 3000 Natural gas 2009-10 projections PJ 2500 2000 1500 Natural gas 2010-11 projections 1000 500 0 Source: ESAA (2013), Electricity Gas Australia 2013 36 | Future Grids in Australia | Luke Reedman Natural gas 2011-12 projections CCS and nuclear CCS • Number of technologies being investigated • Delays in timeline • CCS expected to be at commercial scale in 2020 at the earliest Nuclear power • Currently prohibited in some states • No local experience • Lack of community acceptance • Environmental issues and catastrophic risk 37 | Future Grids in Australia | Luke Reedman New demand: electric vehicles 9 8 Based on vehicle manufacturer projections 7 Based on IEA (2011) Million 6 5 4 3 2 1 0 2010 2011 38 | Future Grids in Australia | Luke Reedman 2012 2013 2014 2015 2016 2017 2018 2019 2020 The take away Considerable uncertainty Demand has changed and will continue to change More modular centralised supply Less network build, but still needs spend Decreasing utilisation needs to be tackled (‘death spiral’ in the extreme case) • Pricing needs to change, challenge is consumer buy-in • • • • • 39 | Future Grids in Australia | Luke Reedman Questions? 40 | Future Grids in Australia | Luke Reedman Thank you Dr Luke Reedman Stream Leader, Energy Modelling CSIRO Energy Flagship t +61 2 49606057 e [email protected] w www.csiro.au/OrganisationStructure/Flagships/Energy-Flagship.aspx ENERGY FLAGSHIP Acknowledgments Paul Graham John Ward Chris Fell