Presentation of Energinet.dk April 2008 1 Presentation of Energinet.dk Agenda 10:00 12:00 Welcome and presentation of Energinet.dk /Peter Jørgensen Wind integration - challenges /Antje Orths R&D in environment-friendly electricity production /Niels Ejner Helstrup The electricity market and wind energy /Hans Erik Kristoffersen Questions and discussion Group 1 12:00 12:45 Lunch Group 2: 12:00 13:30 Lunch and discussion on wind forecasting and system operation /Bo Hesselbæk 2 1
Mission and vision Mission As the owner of the main infrastructure, we maintain the security of supply and ensure an efficient market for electricity and gas Vision Through cooperation and innovation, we wish to be known nationally and internationally as a competent, business-oriented and trustworthy TSO* * TSO = Transmission System Operator 3 Energinet.dk s responsibilities Ensure stable energy supply both in the short and long term Ensure an efficient market for electricity and gas Ensure well-functioning emergency preparedness in the energy sector Own, operate, maintain and expand the gas transmission grid Own, operate, maintain and expand the 400 kv and part of the 132 kv electricity transmission grid Support environment-friendly electricity production through research, development and demonstration of new technologies Collect information about the energy sector s emission of substances harmful to the environment 4 2
History of Energinet.dk National transmission system operator for electricity and gas Merger between Elkraft, Eltra and Gastra Established by virtue of the Danish Act on Energinet.dk of 14 December 2004 Formed in August 2005 with retrospective effect as from 1 January 2005 Independent public undertaking owned by the Danish state under the Danish Ministry of Climate and Energy Own Supervisory Board 5 Facts about Energinet.dk Approx. 475 employees Head office in Jutland (Erritsø near Fredericia) Local offices in Ballerup, Egtved, Tjele, Vester Hassing and Lille Torup Four subsidiaries: Eltransmission.dk A/S, Gastransmission.dk A/S, Energinet.dk Gaslager A/S and Fibertransmission A/S Co-owner of the Nordic power exchange, Nord Pool Spot Annual turnover: approx. DKK 6 billion 6 3
New head office As from January 2008 Location: Erritsø near Fredericia Provides the framework for a modern and development-oriented workplace 7 Executive Board Peder Ø. Andreasen Executive Secretariat Torben Glar Nielsen HR Steen Dalsgaard Sørensen Corporate Communications Hans Mogensen Market Lene Sonne Electricity Transmission Carsten Jensen Gas Transmission & Peter A. Hodal Planning Peter Jørgensen IT and QM Torben Glar Nielsen Finance and Administration Poul Steen Market Coordination and Surveilance Klaus Thostrup O&M East Niels Højgaard Pedersen Technology Torben Larsen Planning and Scenarios Dorthe Vinther Core Processes Kim Reidar Lantz Finance and Analysis Steffen Østermark Costumers/Front Office Torben Brabo Metering and Settlement Gas Chr. M. Andersen Metering and Settlement Elec. Morten B. Nielsen Market Design Hans-Erik Kristoffersen O&M North Jesper Bak-Jensen O&M West Kim Kongstad Cables and Overhead Lines Aksel Sørensen Substations Søren D. Mikkelsen Protection and Control Systems Henrik Riis O&M Gas Leif Hansen Lille Torup Gas Storage Facility Leif Hansen Development Per Sørensen Centre West Jens Møller Birkebæk Centre East Ole Jan Olesen Control Centre - Gas Ernst Hagge System Design and Development Per Lund Analysis and Methods Peter B. Eriksen Environment and PSO-R&D Kim Behnke Grid Planning Lars Højbjerg Nielsen Support Processes Kurt Spangsbjerg Petersen Release Management Thomas Pein-Malmberg Technology and Infrastructure Gert Nielsen Information Management Nicolaj Petersen Quality and Safety Anette Münsberg Accounting Brian Sørensen Financing and Risk Management Claus Hangaard Legal Affairs Annette Ikast Internal Service Preben Riis Jørgensen Coordination, Ernst Hagge 8 4
Supervisory Board appointed by the Danish Minister for Climate and Energy Niels Fog, Chairman, Director and Merchant Birgitte Kiær Ahring, Professor, Technical University of Denmark Erik Dahl, Engineer and Economist Niels Arne Gadegaard, MA (Laws) Poul Erik Morthorst, Senior Research Specialist, Risø Peter Møllgaard, Professor, CBS Birgitte Nielsen, Director, Nielsen & Axelsson Hans Schiøtt, MA and MSc, local council member Employee board members Søren Dupont Kristensen, Master of Arts (Economics) Carl Erik Madsen, Electrical Technician Berit Schilling, Diploma in Specialised Business Studies 9 Finances Income and expenses must balance Income collected via tariffs Cover expenses for: - Operation of the electricity and gas systems - Security of supply - Expansion of transmission grids - Support to research and development and environment-friendly electricity production The Danish Energy Regulatory Authority approves the tariffs 10 5
Energinet.dk s electricity grid 1,571 km cables and overhead lines 24 substations and converter stations 11 Energinet.dk s natural gas grid 860 km gas pipelines 46 meter and regulator stations 2 gas storage facilities owned by Energinet.dk (Jutland) and Dong (Zealand). 12 6
Energinet.dk and other types of energy companies In general, there are the following types of energy companies: Energinet.dk handles transmission and system operation Regional transmission companies Grid companies distribute electricity and gas Companies with supply obligation supply consumers who do not want to choose electricity or gas supplier themselves Production companies produce electricity and gas Trading companies purchase and sell electricity and gas on the wholesale market and supply consumers who choose electricity and gas suppliers themselves (Generic) Utilities Value Chain Production Exchange Storage Transmission Distribution Metering Sales Customer Energinet.dk 13 7