AFRICAN UTILITY WEEK March 2011 Challenges with electricity supply: The role of the City of Cape Town

Transcription

1 AFRICAN UTILITY WEEK March 2011 Challenges with electricity supply: The role of the City of Cape Town Alderman Clive Justus, Executive Mayoral Committee Member: Utility Services, City of Cape Town

2 Content Energy consumption in Cape Town - Overview City of Cape Town Energy and Climate Action Plan Demand management Applications for supply Measurement of electricity usage, protection of distribution networks and communication channels within the networks Role of Tariffs Revenue Protection and Key Customer initiatives

3 Energy Consumption per sector in Cape Town, 2007

4 Carbon emissions per sector in Cape Town, 2007

5 Energy Growth into the Future Business as Usual Energy consumption for Business as Usual is expected to almost quadruple by 2050

6 PROCEEDING ALONG A BUSINESS AS USUAL SCENARIO HAS SIGNIFICANT RISKS Inefficient economy Higher energy expenditure for the city s occupants Susceptible to oil price rises ( End of cheap oil ) Peak Electricity vulnerability Vulnerability to power price hikes Fewer jobs taken advantage of in the energy sector Loss of competitive advantage as a green city Energy Demand will quadruple by 2050 if current energy demand growth continues

7 Energy and Climate Action Plan Energy Goal and Prioritisation Criteria Goal Criteria 1 Criteria 2 Energy Efficiency Low Carbon Renewable Energy Public Transport Compact City Energy Security Economic Development Poverty Alleviation Resilient City Local Energy Business Development Job Creation Improved Health/Quality of Life Better Access to Urban Goods Lower Risk Localisation

8 What do we do? Business as usual 1 Electricity efficiency 2 Transport efficiency Optimum Energy Future 3 Renewable electricity supply Optimum Energy Future interventions do not compromise energy service delivery.

9 Priority Energy Efficiency Interventions Commercial Sector Efficient HVAC Efficient Water Heating Efficient Lighting Residential Sector Efficient Lighting Efficient Water Heating Space Heating Efficiencies Transport Fuel Switching (liquid to electricity) Modal Shifts Travel Demand Management Efficient street and traffic lights Industrial Sector Efficient Lighting Efficient Motors Fuel Switching

10 Impact of Efficiency on Total Demand Electricity efficiency Transport efficiency (modal shift etc)

11 Almost all electricity efficiency interventions are financially sensible and pay themselves back, leading to a more efficient economy Mid-hi income residential Commercial The bars represent cumulative net savings (i.e. considering capital costs and electricity savings) of electricity efficiency interventions. Low-income residential Govt

12 Energy and Climate Action Plan City-Wide 10% Reduction in electricity consumption by 2012 (3.3% per annum ) Solar water heaters on facilities Buildings retrofits Street lights Traffic lights The role of local government

13 Densification of the City Densification of the city is expected to result in significant reductions in capital requirements to service the population with adequate public transport. (and also other service infrastructure storm water, water, electricity) ZAR 40 billion saved ZAR 10 billion saved

14 Demand Management Maximum demand on Eskom bulk supply managed by use of: Steenbras pumped storage power station Gas turbines Ripple control As a condition of supply, applicant is required to submit a report setting out the measures that will be implemented to improve energy efficiency Residential: More than 10 dwellings or supplies of 60 A 3 phase or more per dwelling unit Commercial and industrial: Supplies of 60 A 3 phase or more Report to be prepared by a professional registered with ECSA

15 Measurement of electricity usage The systems the City of Cape Town is to use: To provide to lower costs of reading electricity meters and to assist electricity consumers to monitor their electricity consumption To provide protection systems for safe network operation To provide communication channels within the electricity network Automated Meter Reading [AMR] integration in SAP Advanced Metering Infrastructure [AMI] module to provide accurate and timeous billing and usage information to commercial and industrial consumers Smart Metering six hundred smart prepayment meters to pilot this functionality

16 Protection Implementation of IEC Protocol for secure and very fast communication between intelligent electronic devices (IED s) to provide tripping, alarm and control signals in digital format. massive cost saving are achieved by reducing traditional copper wiring looms and bus-wiring to a minimum linking all protection relays, control systems and SCADA systems with fibre-optic cables.

17 Substation automation Intelligent electronic devices (IED s) replaces the traditional SCADA remote terminal units (RTU s) in substations connected to all protection and control IED s via fibre-optic cables. Bi-directional communication between control centres and substations are faster and more secure, and millions of Rands are saved on secondary wiring and expensive RTU s. This technology has been implemented at 12 substations in the City

18 THE ROLE OF TARIFFS: Customer behaviour NEEDS to be modified Pricing is key motivator in this Two key aspects will be examined: Affordibility Pricing Signals

19 THE ROLE OF TARIFFS: Affordibility Biggest single motivator when it comes to saving in short term Becoming a more and more crucial consideration when setting tariffs strain on individuals and businesses Increased prices lead to alternative energy sources and strategies becoming more financially viable

20 THE ROLE OF TARIFFS: Pricing Signals City embarking on a process to over time convert the Medium Voltage customer base to Time of Use tariffs To encourage Customers to shift their consumption out of the peak periods to times when supply is not as tight Seasonal variation in tariffs will also assist in this as High Demand seasons (June to August) is when supply is at its most constrained

21 Revenue Protection and Key Customer initiatives Monthly variance reports and metering checks Vigorous Revenue Protection initiatives Monitoring Notified Maximum Demand iro Key Customers Monitoring of top 20 customer Liaison with Customers via Very Large Power User forum

22 Other challenges with supply of electricity Aging infrastructure - Potential explosion risk of bulk oil circuit breakers and phasing out thereof Competitive and market related remuneration for scarce skills Acquiring skills, competencies, experience, academic qualifications and professional registration for employee advancement Vandalism

23 Thank you