Local Energy Markets

As part of its decarbonisation programme, Bridgend County Borough Council launched a Whole Systems Business Research Innovation for Decarbonisation (WBRID) competition to identify potential demonstration projects to test a Local Energy Market (LEM) in Bridgend and to understand how it could operate within current market rules. Challoch is working closely with BCBC to develop the LEM demonstration project within the County Borough.

Phase 1 delivered a scoping study of potential LEMs, covering issues that influence their development, concluding that Bridgend County Borough’s natural resources make it an ideal location for developing a range of LEM projects.

Phase 2 evaluated the LEM options identified in Phase 1 in more detail, developing the business case ready for the demonstration project to be developed in Phase 3. South Cornelly was deemed to be an ideal location to test the LEM concept.

Solar panels have been fitted to 9 houses in South Cornelly. In addition, batteries have been installed in 2 houses and Home Energy Managemlent Systems (HEMS) in 6 houses. A Local Energy Operating System (LEOS), managing the energy flows in addition to back office functions has also been defined and will hopefully be tested in the next phase.  The project will investigate how electricity produced can potentially be shared with the other members of the Low Carbon Community.

For more information, visit the Low Carbon Communities website: https://www.bridgend.gov.uk/residents/housing/low-carbon-communities/

Hydrogen in Rural Energy Systems (HyRES)

A Welsh Government Hydrogen Business Research & Innovation for Decarbonisation (HyBRID) competition was launched to develop innovative research solutions to help achieve Welsh Government hydrogen ambitions.

Challoch undertook a feasibility study to investigate the potential to produce and supply green hydrogen to a rural energy system. It supported the LEM demonstration work already ongoing in the village of South Cornelly, taking it the next step on the road to decarbonisation by expanding it to a fully integrated energy system, thus benefitting the community through the provision of low carbon, low cost energy.

The concept comprises integration of locally produced hydrogen with a portfolio of renewables including wind, PV and batteries as follows:

  • Green hydrogen can be produced locally using power from local wind farms or via a dedicated wind turbine
  • Bulk storage provided by electrolysers will absorb excess electricity produced by renewables, turning it into hydrogen
  • This hydrogen can be used for local transport such as farm machinery and earth moving machinery at the local quarry
  • Hydrogen can also be injected into the natural gas grid, initially at a blend of 20%, eventually increasing to 100%
  • Hydrogen can be used to meet extra energy needs in the winter.

The LEOS will manage the whole system, through optimisation of energy flows and providing back-office functionality.

Green Hydrogen Production

Another project under the Welsh Government HyBRID competition, this project undertook feasibility and optioneering studies for the electrical connection to either the distribution network or via a private wire connection for a new green hydrogen production facility to be developed in Bridgend County Borough. Challoch is supporting Marubeni Corporation in the delivery of this phase of the work which includes:

  • Analysis of the electricity network of the site at Brynmenyn Industrial Estate
  • Detailed assessment of renewable resources and the potential for private wire offtake
  • Detailed assessment of grid infrastructure and options for grid connection
  • Design of electrical infrastructure

In addition, a ‘How To’ Guide was developed, specifically to assist those developing proposals for medium scale (5MW to 25MW) green hydrogen production and distribution in Wales, by bringing together information in a single compendium document to help clarify what is and what isn’t possible for supplying electricity to run a green hydrogen production facility.

Green energy generation graphics

Regeneration of community buildings

The Kinver Sports & Community Association (KSCA) is a local not-for-profit community centre in the South Staffordshire village of Kinver. Built over 50 years ago, it has suffered the ravages of time and lack of investment.

It is used by many different community groups and includes a skateboard park, cricket and football pitches, bowls club, outdoor gym and children’s area. It is also home to a wide variety of indoor activities and events including exercise classes, University of the 3rd Age and the New Kinver Players theatre group as well as a volunteer-run community café. It is seen as an invaluable resource for the community.

The Trustees recognised the need to update the building and make it climate resilient, especially in terms of energy management and conservations.

Challoch was commissioned to undertake design and management services for the redevelopment of KSCA which included the design, procurement and overseeing the installation of:

  • Solar PV
  • Solar Thermal
  • Air-sourced Heat Pumps
  • Thermal Insulation
  • EV Charging Stations

ULEV Charging Infrastructure Operational Design

Bridgend County Borough Council aims to install ULEV charging stations across the borough on council-owned land in support of its transport decarbonisation objectives.

Challoch has been contracted to assess the feasibility of installing a superfast charging scheme on the Brynmenyn Industrial Estate in addition to investigating requirements for other sites in the borough. Furthermore Challoch will oversee the design delivery of the installations on all sites.

The work has included discussions around the type and size of chargers to be installed and their associated costs, discussions with the local DNO, WPD regarding budget estimates as well as formal applications for connection.

In addition, all sites have been assessed for potential to install renewable assets, specifically PV with the view to providing renewable power to the sites, thus further decarbonising mobility and transport within Bridgend.

Implications of the Energy Transition for the European storage, fuel supply and distribution infrastructure

Working closely with Trinomics, for UPEi (Independent Fuel Suppliers Association) and FETSA (Federation of European Tank Storage Associations), Challoch undertook a study on the implications of replacing conventional fossil fuels with low carbon alternatives on the bulk liquid storage sector and entire supply chain.

Fossil fuels covered included liquid fuels such as diesel, gasoline, kerosine, marine fuels, gas  oil and gaseous fuels such as LPG and natural gas. Many of these fuels have various end-uses and also alternative-fuel substitutes. However, for the purpose of exploring fuel infrastructure adaptations, the short list of renewable alternatives was designed with the widest possible range of applications, and cover: biodiesel (FAME & HVO); bioethanol; compressed/liquid hydrogen; e-fuels like methanol; e-kerosene; e-gasoline; e-diesel; bio-LPG.

The methodology took a case study approach, examining 5-step supply chains from primary storage through to end use application via transport and secondary storage and included cost implications.

High Efficiency Cogeneration Reference Values

Challoch was subcontracted by Ricardo Energy & Environment, with assistance from Trinomics, to support the review of cogeneration reference efficiencies as required by Article 14(10) of the Energy Efficiency Directive.

The overall aim was to revise the fuel list and to develop a list of harmonised reference values for the separate production of electricity and heat for the period 2022-2025. This answers the requirement to be able to compare impacts of EU Member States’ cogeneration policies on a like-for-like basis, whilst considering latest technological advances.

Market Studies

Challoch has undertaken numerous market studies over the years for a wide range of equipment suppliers and looking at different market sectors. Our market studies generally include:

  • Identification of the overall market MW size /segment
  • Market segmentation by sector and with typical size for on-site generation opportunities
  • Market segmentation by fuel, including potential for hydrogen
  • Current generation
  • Policy framework
  • Financial subsidies including qualification criteria
  • Assessment of potential adjacent revenue streams (grid-balancing services, CO2 capture, flexibility services)
  • Market trends in terms of electricity and gas prices
  • Project development framework
  • Competitive landscape
  • Routes to market