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There Yn cefnogi ymgyrch Cymru dros economi carbon isel lwyddiannus. Supporting Wales’ drive towards a successful low carbon economy Swansea Bay City Region: Regional Energy Planning Notes from Stakeholder Webinar held on 30 March 2020 April 2020

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Page 1: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

There

Yn cefnogi ymgyrch Cymru dros economi carbon isel lwyddiannus.

Supporting Wales’ drive towards a successful low carbon economy

Swansea Bay City

Region: Regional

Energy Planning

Notes from Stakeholder Webinar held on

30 March 2020

April 2020

Page 2: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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Contents

About the Welsh Government Energy Service ................................ 3

1. Webinar Registrants ..................................................................... 4

2. Introduction .................................................................................. 6

3. Vision ............................................................................................ 7

3.1 Vision Statement ................................................................. 7

3.2 Regional priorities .............................................................. 7

3.2 Ranking Regional priorities ............................................. 11

3.3 Setting the level of ambition ............................................ 12

3.4 Energy Strategy Hopes .................................................... 13

3.5 Energy Strategy Concerns ............................................... 13

3.6 Evaluating the success .................................................... 14

4. Regional Opportunities and Challenges ................................... 15

4.1 Heat and Energy Efficiency .............................................. 15

4.2 Electricity & Flexibility ...................................................... 16

4.3 Transport ........................................................................... 17

5. Governance ................................................................................. 19

Page 3: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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About the Welsh Government Energy Service

The Welsh Government Energy Service can help progress your energy

efficiency and renewable energy projects.

The service supports community and public sector organisations in Wales to develop energy efficiency and renewable energy projects that will lower carbon emissions and provide cost savings, income generation and wider community benefits.

We offer technical, commercial and procurement support through a team of experts with extensive experience in developing energy projects in Wales.

Page 4: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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1. Webinar Registrants

Organisation Name Title

Transport for Wales Alana Smith Sustainable Development

Officer

Dwr Cymru Welsh Water Alexander Herridge Alliance Carbon Manager

Swansea University - Active Building

Centre

Andrew Perry Head of Programme

Pembrokeshire Coastal Forum CiC /

Marine Energy Wales

Bethan Simes Project Coordinator

WGES (Carbon Trust) Brian Drysdale Development Manager

Carbon Trust Charlie McNelly Senior Analyst

Tata steel Chris Williams Manager Energy Research

NPT Council Christopher Jones Energy Manager

Hywel Dda University Health Board Clare Hale Strategic Partnership Manager

Transport for Wales - Rail Services David Perrett Sustainability & Environmental

Manager

Welsh Government Eleanor Knight Head of Smart Living

WGES (Carbon Trust) Floriane Ortega Development Manager

Carmarthenshire Energy Gareth Tucker EV Chargepoint Coordinator

WGES (Carbon Trust) Georgia Mostyn Development Officer

Natural Resources Wales Gideon Carpenter Specialist Advisor Energy

Ynni Glân Guto Owen Cyfarwyddwr

Regen Hazel Williams Head of Delivery

Welsh Government Helen Donovan Business Energy Manager

Welsh Government Huw Lewis Energy Delivery Manager

Facilitating the Future & Active

Building Centre

Hywel Lloyd Director /Advocacy Manager

Swansea University Marine Energy Ian Masters Professor

WGES (Local Partnerships) Jane Forshaw Strategic Lead

Welsh Government Jennifer Pride Head of Energy Policy

innogy Jeremy Smith Head of Development Strategy

- Wales

Regen Joel Venn Head analyst

Swansea Bay City Deal Jonathan Burnes Programme Director

Swansea University - Active Building

Centre

Jonathan Williams Head of Projects

Offshore Renewable Energy Catapult Joseph Kidd Innovation Manager

Neath Port Talbot Council Julia Lewis Strategic Funding Officer

Welsh Government Kate Hearnden Head of Industry

Decarbonisation, Energy &

Steel

Carmarthenshire County Council Kendal Davies Sustainable Development

Manager

Welsh Government Kevin Friis Industrial Decarbonisation

Manager

Swansea Bay University Health

Board

Kyle Jones Technical Services Officer

(Energy and Carbon)

Page 5: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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WGES (Carbon Trust) Lisa Lafferty Development Manager

Neath Port Talbot CBC Lisa Willis European & Strategic Funding

Manager

Swansea University Miles Willis Strategic Programme Manager

Transport for Wales Natalie Rees Sustainable Development

Manager

Swansea University - Active Building

Centre

Nigel Morris EV Integration Manager

Wales & West Utilities Oliver Lancaster Future of Energy Manager

Swansea Bay City Deal Peter Austin Business Engagement

Manager

Swansea Environmental Forum /

Low Carbon Swansea Bay

Philip McDonnell Coordinator

Carbon Trust Poppy Potter Associate Director

WGES (Local Partnerships) Richard Evans Strategic Lead

Community Energy Wales Robert Proctor Business Development

Manager

Welsh Government Ron Loveland Energy Advisor

Carbon Trust Shayan Moghaddam Intern - Cities & Regions

NPTCBC Simon Brennan Head of Property &

Regeneration

SBEB Simon Holt Board Member

Swansea University - Active Building

Centre

Simon McWhirter Head of Engagement

Pembrokeshire County Council Steve Keating Sustainable Development &

Energy Manager

Tidal Lagoon Power Tessa Blazey Director of Engagement

Page 6: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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2. Introduction Thank you very much for your participation in the online webinar held on 30th March 2020.

This webinar was in place of the first workshop organised to support the development of a

Regional Energy Plan in the Swansea Bay City Region. During the webinar, we sought to

obtain feedback from the region in order to inform the development of a strategic vision for the

future energy system in the region.

• 45 stakeholders from Welsh Government, local councils, industry and academia

attended the webinar and shared their vision, hopes, and concerns about the energy

future in the Swansea Bay City Region. In addition to the webinar, an on-line survey

was created to obtain feedback from regional stakeholders on the energy plan’s

direction of travel and level of ambition. As part of this, respondents also shared their

hopes and concerns for the plan.

We have summarised the feedback and ideas shared during the webinar. This document

presents this summary using the following structure:

• First, we summarise the feedback collected from the online survey on the Strategy

Vision and objectives.

• This section is followed by three sections that summarise the feedback collected during

the webinar ‘breakout rooms’ on the key opportunities & challenges for the region with

regard to transport, electricity and flexibility, and heat and energy efficiency.

• The final section provides a summary of some of the City Region’s options for

appropriate governance structures for the energy plan.

Page 7: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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3. Vision

3.1 Vision Statement

Survey Respondents stated that the vision statement for the SBCR regional energy plan

should include the following:

• To deliver the region’s transition to a zero-carbon society whilst improving the lives of

those living in the Swansea Bay City Region.

• A wholly integrated energy system looking to exploit the region’s available resources.

• Renewable, low carbon energy for all, affordable by all, to the benefit of all.

• Tackling the climate emergency head on.

• To transform the energy system for the SBCR into one that is highly efficient, flexible

and low carbon, providing affordable power and transport to support a healthy and

equitable society.

• To have a proactive and effective regional delivery vehicle in place that champions,

lobbies for and implements the recommendations contained in the Energy Plan. The

Energy Plan will offer a tangible route map to the regional achievement of enhanced

sustainable energy production, improved energy usage efficiencies, a reduction in

fossil fuel reliance and Net Zero carbon attainment.

• For the SBCR to become the most energy efficient region of Britain.

• To include an ambition to be net zero carbon by 2050 (realistically this may need to

exclude very large industrial consumption).

3.2 Regional priorities

As part of the survey, stakeholders were asked to what extent they agreed with the SBCR

energy priorities as defined by the IWA report1. The level of support for each priority is as

follows:

Energy Efficiency

‘Deliver a step change in domestic and commercial and industrial energy efficiency

represented by at least a 20% reduction in heat and electricity demand, with a 30% energy

efficiency stretch target’

1 https://www.iwa.wales/wp-content/media/2018/04/Regen-SBCR-A-Renewable-Future-FINAL.pdf

Strongly Disagree

Strongly Agree

Page 8: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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There was general agreement with this objective, and its level of ambition but key concerns

and feedback were largely around the role and inclusion of large industry and the practicality

of delivering such an ambitious objective. It was pointed out that Industry will become more

energy efficient over time but it’s likely that's its electricity demand will increase significantly

as it looks to decarbonise. In line with this there was indication that the objective needs to

more clearly specify if very large industrial consumption is included and ideally differentiate

targets for large industry. There was also concern that it will be very challenging to address

the high percentage of privately-owned homes in the region that are pre-1919, without

significant financial assistance. It was also suggested that there should be separate targets

for electricity efficiency and heat efficiency, the latter of which should have greater focus and

be more ambitious (>50% reduction).

Renewable Energy Generation

‘100% of consumption: Maximise use of regional energy resources to achieve a target of

renewable electricity generation equivalent to 100% of electricity consumption on an annual

basis. Deliver an overall carbon intensity < 50g CO2e/kWh from local renewable generation

and imported (or backup) electricity’

There was strong agreement across the board with this target and its level of ambition.

Comments included that the region also should be aiming to reduce the amount of energy that

is being imported and that the land and roof space that Industry has available should be

exploited for renewable generation as well as their capability / skills for hydrogen production.

It was also highlighted here the risk that for renewable electricity, the currently higher cost of

electricity, compared to gas, poses for the region’s housing stock and the potential risk of fuel

poverty if energy efficiency isn’t significantly improved.

Decarbonisation of Heat

‘40% of heat supply from decarbonised heat supply sources – through electrification, gas

decarbonisation and use of renewable energy sources. Reduce the overall carbon emissions

from supply of heat (including energy efficiency) by at least 40% compared to 2017.’

Strongly Disagree

Strongly Agree

Page 9: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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With this objective there were concerns over it not being ambitious enough and that it needs

to be more tailored to the region and its unique landscape. Comments included:

• Industry has lots of waste heat that should be utilised in local heat distribution

networks.

• It is important to remember that a significant part of the region is very rural and

dependant on oil for heating. This target needs to acknowledge this to remain realistic

and achievable. The off-grid nature of these properties could be an opportunity for

technologies such as heat pumps.

• The objective should consider decarbonising heat systems in conjunction with

retrofitting.

• Heat efficiency (using less heat) should also be focussed on in this objective.

• There will be costs which should be balanced against fuel poverty.

• Hydrogen could play a greater part to supply off grid homes across the region.

Decarbonisation of Transport

‘Become a leading region for the reduction of vehicle emissions through:

• the electrification of transport with 80% of new cars, and over 30% of all cars

electric 2035

• growth and decarbonisation of public transport with 100% Ultra Low Emission

Vehicles by 2035.’

There was general agreement with this objective, but concerns over ability to achieve it in

context of the rural nature of the Region, low incomes, large proportion of terraced housing

(impact on home charging), and existing local electricity grid constraints. It was also indicated

that public transport, active travel and private mileage reduction need more of a focus. There

was indication that action should be taken immediately, especially with regard to the

infrastructure requirements for the transition. It was also pointed out that there is significant

Strongly Disagree

Strongly Agree

Strongly Disagree

Strongly Agree

Page 10: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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economic and environmental concern with regard to the existing stock of oil powered vehicles.

As well as this, industry can play a big part in the low carbon transport transition with regard

to the likes of grid balancing and hydrogen production. The need for significant financial

incentives from Government was also highlighted.

Local Energy Generation and Ownership

‘Maximise use of local energy resources to minimise the need for imported electricity with a

target of less than 15% electricity imports over the year. Support Wales’ ambition that all

renewable energy schemes should have an element of local ownership as a basis for another

workstream within the Re-energising Wales project.’

There was general agreement with this objective and its value and benefit to the region but a

mixture of responses in terms of how much of a priority it should be for the region and how

essential a high level of ambition in this area is. It was also highlighted that local ownership is

difficult to combine with rapid decarbonisation. Other comments included:

• Simplify and mainstream 'sleeving' / 'Energy Local' arrangements. Regional

collaboration to deliver joint projects at sufficient scale to develop generation hubs

(>100 MWp).

• Work with National Procurement Service to support greater procurement of energy

from locally generated renewable energy projects - could help de-risk development

business cases.

• Concern that it is only suggesting an element of local ownership and that there

could be slightly greater ambition of maximising the amount of local ownership

(possibly build on the Re-energising Wales work and suggest a range of 15-33%).

Could also commit to a certain percentage of Public bodies pension funds being

invested in these schemes which would mean the value would be retained in

Wales.

• SBCR should maximise the local off-shore marine resource and the resources

Industry has available for low carbon/renewable energy generation.

• Demands should be put on developers to produce enough power for the

dwellings/facilities being built, either on a community or plot by plot basis.

Ownership of this action should be enforced via the planning system.

Flexibility and Smart Energy

Strongly Disagree

Strongly Agree

Page 11: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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‘Use flexibility through energy storage, Time of Use Tariffs, smart charging and appliances,

and demand side response, to minimise energy system imbalance, grid impacts and imports.’

There was very strong agreement with this objective and few concerns and comments. It was

pointed out that energy flexibility should integrate with local community

energy/storage/transport schemes to benefit the local economy and the grid and that it is

important to optimise energy availability with increased variability from renewables. It was also

highlighted that regional grid constraints make energy storage difficult to implement but that

'Homes as power stations' will be able to play a greater part in this now and that industry could

play a significant role.

3.2 Ranking Regional priorities

The survey respondents were asked to rank the above objectives in order of regional priority.

The results were as follows:

Strongly Disagree

Strongly Agree

1. Improved Energy Efficiency

2. Renewable Energy Generation

3. Local Energy Generation and Ownership

3. Flexibility and Smart Energy

4. Decarbonisation of Transport

5. Decarbonisation of Heat

Page 12: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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3.3 Setting the level of ambition

Carbon reduction targets

Feedback suggests that there is wide agreement that a SBCR Regional Energy Plan should

include a carbon reduction target. All ten responses to this question were for a regional target2.

Level of ambition

All but two responses indicated they would like to see a target more ambitious than the current

Welsh Government carbon reduction target (80% reduction by 20503). Four people indicated

that time-scales should be more ambitious and the 80% target should be brought forward to

2035 or 2040. Two people suggested the target should be net zero by 2050 and a further two

increased the level of ambition to net zero by 2030/2035. There was also a suggestion that

the region should target carbon negative by 2050 to account for other regions/industries where

total decarbonisation is significantly harder.

2 One person indicated that they would not like to see a regional target, but then went on to choose a regional target in the next question, so this second response was taken) 3 It’s worth noting that on May 2, 2019, the Committee for Climate Change has released a report that recommend that Wales adopts a new target of 95% reduction by 2050.

Should the Region have a carbon

reduction target?

Yes

Aligned with Welsh Government

targets

Net Zero by 2050

Net Zero by 2030/2035

More ambitious time-scale (80% by

2035/2040)

Carbon negative by 2050

No

2

2

2

4

1

11

0

Page 13: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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3.4 Energy Strategy Hopes

Respondents hope the energy strategy will:

3.5 Energy Strategy Concerns

Stakeholders expressed the following concerns around the regional energy strategy:

The scale of challenge is not sufficiently resourced

The message becomes too complicated

That it will not be ambitious enough and that it won't deliver

what is required

That this huge opportunity won't benefit the people of Wales as much as it could do with large

multinational corporations delivering a lot fo the work and not involving local communities

and business

That we need action now as well as policy and planning

A regional ownership plan would need resourcing for a delivery

vehicle. This vehicle would need to be empowered to make certain decisions in order to apply and

deliver the regional plan. Delivery and action needs more than a

caretaker role

Enhance Collaboration

• To lead to a coordinated effort

• A plan that fullyintegrates Industry

Bring decarbonisation to the main stream

• To encourage the same degree of priority to be applied

as has been to COVID 19.

• To provide decentralised, democratised, decarbonised

energy for the region.

• To deliver a just transition to zero carbon

Provide Clarity

• To make clear what's locally led, where SBRC is making the most of

levers elsewhere; and what isn't going to be done in SBCR.

• That it offers a relevant, practical and realistically deliverable route

map for the region. It needs to offer staged SMART solutions for

delivery and define a way forward, rather than rely on ambitions or

recommemdations.

• To provide clear vision and benefits

Facilitate Strong Governance

• To advise on the formation of the

Regional Delivery and Governance vehicle -using lessons learned from other parts of the

UK.

To Raise the Level of Ambition and Momentum

• To be ambitious and have radical yet credible,workable proposals to properly tackle the really difficult areas of energy conservation in

domestic housing and emissions from transport.

• To be able to steer decision making and avoid being just another plan on the shelf.

• A plan that is Challenging but deliverable.

• That it is ambitious but achievable

Page 14: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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3.6 Evaluating the success

Survey respondents identified the following ways for how the success of the regional energy

plan should be judged:

Carbon and Energy Targets

• Regular reporting on progress against the set carbon reduction target

• Against overall targets for decarbonisation as a whole energy system to allow

flexibility in the path taken to get to that point.

Delivery of Objectives

• Based on a staged delivery approach across all objectives.

Level of Regional Benefit

• Benefits realisation.

• To what extent the lives of its citizens now and in the future has been improved

(cleaner, greener energy for our future generations)

Regional Inclusivity and Support for the Plan

• If it is wholly integrated and multi-vector (it cannot ignore Industry).

• By how effectively the public engage and can be persuaded to put by petty personal

interests to benefit all our futures.

• The City Deal should be setting an example and energy and local government

colleagues should want to learn from what the City Deal is doing and achieving.

How realistic it is to deliver effectively in the current

structures of national and regional government

That the plan will try and do too much itself

That it does not set out practical actions and

becomes another high level plan with great intentions that fails to achieve the

credibility necessary for it to be used in decision making

That it will be used to re-elect politicians who then fail

to deliver

Industry is not included at the moment. This is a

massive missed opportunity.

That the plan is too ambitious and thus becomes

watered down or downgraded as economnic and social pressures are

applied.

Page 15: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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4. Regional Opportunities and Challenges

4.1 Heat and Energy Efficiency

Priorities for the Region

• Unanimous agreement that energy efficiency is by far the most important priority in

order to minimise the regions energy consumption

• Improving the current building stock’s EPC ratings within the region by retrofitting

• A priority order for retrofitting based on the poorest EPC ratings and homes

experiencing fuel poverty. Mapping EPC ratings within the region will help achieve this

• Clearly defined regulations for all new builds to have high EPC or Passivhaus

standards so they require little or next to no heating, as well as new builds being

‘prosumers’ (i.e. having the ability to generate their own energy as well as using

energy)

• Reducing commercial electricity demand through appliance efficiency

• Improving efficiency of heavy industry within the region with CHP (Combined Heat and

Power) and hydrogen technologies once costs are viable

Local Strengths and Opportunities

• Houses not connected to the gas grid pose an opportunity for low carbon heating such

as heat pumps. Can LPG heating fuel be replaced with bio-LPG?

• Large industrial capacity of the region could give potential for CHP or hydrogen to

decarbonise heavy industry

• Ability to draw upon local expertise from academic/research institutions such as the

Active Building Centre and energy parks such as Baglan

• Potential for district heating grids within densely populated areas of the region

• Possibility to blend hydrogen/biogas into natural gas grid to act as a steppingstone for

heat decarbonisation

• Arbed and Nest programmes to improve energy efficiency of lower income households

Local Sector Weaknesses and Barriers

• Grid constraints within the region could be an issue if heating were to be electrified

• Lack of mains gas connections could restrict potential options for heating within homes

(such as hybrid heat pumps)

• Quality of existing building stock within the region

• Recognising the value of efficient homes by incorporating the cost of poor energy

efficiency into the value of properties

• Deciding on a heat decarbonisation pathway to stop redundant investment in different

technologies (i.e. heat pumps vs. hydrogen)

• Is there enough local expertise available? (e.g. heat pump installers)

• Concern around local authorities setting targets that do not align with the urgency of

the situation

• Planning permission being granted for developments several years down the line that

may not align with future regulations being put in place

Page 16: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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• Can hydrogen be produced within the region affordably and in a green manner?

Concern over funding availability to supplement SMR (Steam-Methane Reformation)

with CCS (Carbon Capture and Storage)

• District heating not viable for large proportion of rural communities

Change Needed and Actions that Need to be Taken

• Availability of high-quality data on which to base decisions on, such as a map of EPC

ratings for the region.

• Transparency about the benefits and cost of implementing low carbon schemes. How

do you persuade people to want to decarbonise?

• Is the Minimum Energy Efficiency Scheme being implemented? What lessons have

been learnt from the feed-in-tariff and RHI (Renewable Heat Incentive) scandal?

• Potential for Coronavirus stimulus investment to be used for retrofitting industry to help

decarbonise homes. If Wales can get ahead and create supply chains for this industry

there will be opportunities to export services out of the region

• Local authorities should begin taking actions on the phase out of gas

• Identify which legislation local authorities have control over and which legislation

requires authority from the Welsh Government

• Can environmental levies be shifted from electricity to heat in a revenue neutral

manner? This could enable prioritisation of energy efficiency measures within

households

4.2 Electricity & Flexibility

Priorities for the Region

• Improving grid capacity and removing constraints to prepare for electrification of

transport and heating as well as the ability to cope with demand side response and

microgeneration

• Aligning policy development to the needs of utilities, grid operators and consumers

simultaneously

• Continued rollout of more electricity efficient devices such as LEDs

• Utilising the low-cost borrowing power of local authorities, and regional pension funds

to finance low carbon schemes

• Supporting community energy projects to utilise their ability to spread education,

awareness and a feeling of ownership within local communities

• Innovative storage methods to enable a smoother demand profile

Local Strengths and Opportunities

• Excellent regional renewable energy resources to take advantage of. Potential for co-

location of wind and solar plants to minimise land use

• Potential for more onshore wind? National development consultation to scope potential

sites within the region

• Regional marine energy capabilities and demonstration zones, such as the 96MW

floating wind test facility being delivered by Simply Blue Energy and Total

Page 17: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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• Established community energy groups within the region as well as strong academic

institutions with energy sector expertise

• Developing an energy system with the potential to trade energy (e.g. decentralised

energy generation, storage, grid exports etc.)

• Potential for large scale pumped hydro storage can provide a significant source of

flexibility

• Flexibility opportunity in Greenlink 500MW interconnector to Ireland

Local Sector Weaknesses and Barriers

• Grid constraints

• Scale of active fossil fuel power stations within the region

• Capacity of community energy team to secure volunteers and funding for development

costs

• Geological constraints to implement CCS in SBCR

• Access issues in transporting long wind turbine blades through narrow roads in the

region

• Public sector sites are limited by the slowness of the councils to respond to

opportunities – meaning that commercial sector has hoovered up available grid

capacity

• Political challenge of ensuring the four local authorities can work together

Change Needed and Actions that Need to be Taken

• Schemes to support development finance for community energy

• There needs to be a clear, transparent, long term plan of how any new energy sources

will utilise new or existing networks

• Clarity over the future of tidal lagoon to ensure the grid has time to prepare for the

extra capacity

• Following up activity on marine technology demonstration sites in Pembrokeshire as

quickly as possible

• Acceptance that innovative technologies such as floating wind may not be lowest cost

options for now but need to be invested in to bring down future costs

• A series of CfD (Contract for Difference) auctions with specified capacities for future

generation

4.3 Transport

Priorities for the Region

• Integration of different transport modes under efficient governance to allow maximum

synergies

• Promoting active transport

• Incentives to encourage switchover to EVs to improve regional emissions and air

quality, especially for public sector fleets and local taxis

• Rollout of intelligent EV charging infrastructure that incorporates features such as

contactless payment, pay-as-you-go schemes and joined up networks

• Improving the operations of the South Wales Metro

• EV car clubs to change the dynamics of vehicle ownership within society

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• Introduce planning regulations for installing EV charging systems in new build houses

Local Strengths and Opportunities

• Successful EV associations and taskforce within the region has led to good practices

and deployment of EV fleets that can be utilised by organisations wanting to electrify

their fleet

• Speed limits on M4 motorway near Swansea has notably improved air quality within

the city

• Potential opportunity for HFCVs (Hydrogen Fuel Cell Vehicles) given the regions high

renewable generation that could be used to generate green hydrogen

• Carmarthenshire and Swansea due to receive EV funding from OLEV

• Opportunity to learn and possibly roll out an on-demand bus service such as the one

being trialled in Carmarthenshire

• Utilising the rail infrastructure along the south coast of Wales for providing a mass

transit service

• Utilising the land use potential of the many farms within the region for technologies

such as Solar PV

Local Sector Weaknesses and Barriers

• Grid capacity constraints could be a barrier to transport electrification

• Engrained behavioural norms around driving. Could be difficult to encourage shifts to

alternative transport modes

• Lack of EV charging infrastructure within the region

• Limited and inefficient public transport in rural areas

• EV charging capabilities of terraced housing within the region

• Decarbonising emissions from marine vessels

• Consideration of what is done with existing vehicle stock and the associated costs of

phasing out ICE (Internal Combustion Engine) vehicles

• Price, capacity and lifespan of current battery technologies could be a limiting factor in

the take up of EVs, as well as the sustainability of minerals needed such as Lithium

and Cobalt

Change Needed and Actions that Need to be Taken

• Educational schemes to directly involve the local community (e.g. promoting

improvements in air quality, experience centres for active travel/EVs)

• Exploring the possibility of a network of ‘transport hubs’ that enable community car

sharing, local energy generation and combined delivery systems amongst other

services to encourage low carbon transportation

• Development of a public sector social impact fund that can be utilised for the

development of regional transport to improve mobility, health and wellbeing

• Collaboration between EV chargers provided by different firms to allow users to access

more chargers

• Active travel schemes such as separating out road infrastructure for different transport

modes to allow safer passage of way

• Encouraging the industrial sector to electrify their fleet

Page 19: Swansea Bay City Region: Regional Energy Planning · Swansea Bay City Deal Peter Austin Business Engagement Manager Swansea Environmental Forum / Low Carbon Swansea Bay Philip McDonnell

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5. Governance

Why is Governance Important?

• It impacts the ability of the Regional Energy Plan to deliver against its objectives

• It ensures the appropriate people and organisations are involved at the appropriate

level to take projects beyond discussion and into delivery

• It facilitates collaboration between partners across the public, private and community

sectors

What does good Governance look like?

• Identifying senior political and business energy champions

• Alignment with existing governance groups that hold influence/ power

• Setting up an energy sector specific working/technical advisory group

• Engagement with existing groups that deal with related focus areas (e.g. economy,

housing, health, transport)