My last past was on the Fulcrum Power application to build a 20MW diesel power station. I predict that this will be part of the next big scandal to hit so-called renewables sector.
Fulcrum Power are planning to become part of the National Grid’s STOR (Short Term Operating Reserve) scheme. The STOR End of Year Report 2011/12 summary is
In 2011/12 National Grid procured on average 3230 megawatts (MW) for the six seasons, at a cost of £70.4m in availability payments. This was made up on average of 2160 MW for the Committed service and 1071 MW for the Flexible service. The actual MW availability provided through STOR during the peak demand of each day between 1st April 2011 and 31st March 2012, averaged out at 2172 MW. This represents an increase of 6.2% over the average MW availability for peak of each day during the 2010/11 term.
There were 421 successful STOR tenders in 2011/12, of which 191 units were Committed service providers and 230 units were Flexible service providers.
The average availability price for both Committed and Flexible STOR was £9.13/MW/h and the average utilisation price was £232.37/MWh. This represents an increase of 0.6% on 2010/11 average availability prices and a decrease of 7.7% on 2010/11 average utilisation prices.
National Grid utilised a total of 173.3 gigawatt hours (GWh) of STOR, yielding utilisation payments of £32.3m; and thus marks increases of 73% and 66%, respectively, when compared with the total STOR utilisation for 2010/11 and its cost.
The total expenditure for STOR during the 2011/12 term was £102.7m.
This 20MW scheme would add less than 1% to the total STOR capacity, which is currently costing just over £100m per year. Neither is this the
The STOR scheme is used at the moment in case of the emergency shut-down of a major power station. In the future I predict it is likely to be to cover two sources.
- With increasing reliance on wind turbines, for in the sub-zero winter temperatures, caused by windless high pressure systems.
- With the shutting down of the older generations of coal and nuclear capacity without new base-load power coming along, to provide peak time capacity on windless days.
The BBC report on the Fulcrum Power planning application stated
Two diesel power stations planned in Plymouth will compensate for fluctuations in supplies from green energy, say developers.
Green Frog Power got planning permission last year and Fulcrum Power has made an application for a similar power station.
Green Frog Power recently received financing of £75m to build 200MW of standby power. They must have these mini stations all over the place. They are not alone. The “STOR Market Information for TR19” report notes that in Year 7 showed that whilst the accepted STOR was around 3000MW, the rejected applications were about 6300MW. There is a huge amount of generating capacity out there of 3MW or more. However, much of this will be old diesel engines, with efficiencies far less than the coal-fired or nuclear power stations than are being shut down. The cost per kwh would also be about two or three times those of the coal-fired power stations, if used as base-load. But used as peak demand carrying load on windless days, they could be five to ten times the cost. The gas-fired power stations currently used for peak times could be switched to base load. All the extra diesel being used could hit car drivers in the wallets as well in the winter.
So the good point here is that the lights are unlikely to go out. We have plenty of temporary capacity. The bad news is that the dithering over shale gas and the banning of new coal-fired power stations could push energy costs through the roof and might even increase CO2 emissions.
James Delingpole likes to call the green movement “watermelons“. That is, they are politically green on the outside, but socialist red on the inside. In Britain, diesel not used for transport does not carry excise duties. It carries a red dye, to easily identify its illicit use in road vehicles. British energy policy is likely to become a watermelon policy – green renewables on the surface, but red diesel at the safety core.