Transcript Energy Generation and Supply Implementation Plan 2010

Driving Innovation
The Challenge and the Opportunity
Neil Morgan
Head of Energy Programmes
September 2010
Driving Innovation
We support the full range of business
• We help strengthen the global competitive
position of our leading businesses
• We identify and grow sectors and
businesses with the capacity to become the
best in the world
• We nurture the businesses that can succeed
in the growth sectors of tomorrow
Driving Innovation
And we make choices
• We don’t pick winners, we pick sectors
where UK businesses can thrive and support
innovative companies in them
• We consider the size of the markets, the
capability of the UK to address them and the
timing
• And the difference our support would make
Driving Innovation
The world is a challenging place
Driving Innovation
Billions
The “how many people there are” challenge
10
9
8
7
6
5
4
3
Since 1900 the world population
increased 4 fold to 6.5 billion
Since 1900 the UK population
increased 1.6 times to 61 million
2
1
0
1700
1800
1900
2000
Driving Innovation
The “what people do” challenge
9
∞
16
3.4
40 11000
2000
1.5
The “how long we live” challenge
Driving Innovation
Driving Innovation
Driving Innovation
The “how we live and work” challenge
Driving Innovation
Driving Innovation
32% of all landfill in the UK
is construction waste
Driving Innovation
13% of all construction
materials delivered to a site
in the UK go straight into a
skip without being used
Driving Innovation
Buildings consume almost
60% of UK drinking water
most of it is not used for
drinking
Driving Innovation
45% of all carbon emissions
in the UK come from buildings
The “we love to travel” challenge
Driving Innovation
Driving Innovation
Driving Innovation
The digital world is an even
more challenging place
Driving Innovation
It has a staggering growth rate…
Driving Innovation
Driving Innovation
Development
Energy
Transport
Sustainability
Healthcare
Digital
Technology
Emerging
Technologies
Fuel Cells & H
Low Carbon
Vehicles
Low Impact
Buildings
Assisted Living
Network
Security
Advanced
Materials
Creative
Industries
CAT
Intelligent
Transport
Systems &
Services
Sustainable
Agri-Food
DIIA
Digital Britain
Bioscience
High Value
Services
Wave & Tidal
Transport
Resource
Efficiency
Water
Oil & Gas
Electronics &
Photonics
Technology
Enabled
Learning
Smart Grid
High Value
Manufacturing
Stratified
Medicine
Nuclear
Business
Analysis
Medicines &
Healthcare
ICT
Driving Innovation
Budget:
The Technology Strategy Board has assigned an indicative budget of £45
million over the period 2011-14, for investment in energy technologies.
Key challenge focus:
15% of Energy to come from renewable sources by 2020 (W&T target etc)
Provision of affordable energy
Security of an estimated 85GW supply requirement in 2020
80% reduction in CO2 emissions by 2050 – (Legally binding commitment in the UK
for an 80% reduction in GHG emissions by 2050 (33% target reduction by 2020)
Driving Innovation
Current Portfolio
60.0
50.0
Total
30.0
Grant
20.0
10.0
PV
an
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m
Technology
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oe
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Bi
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rid
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FC
&H
In
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av
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an
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tio
n
Ti
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W
in
AT
C
an
d
G
as
0.0
O
il
(£M)
40.0
Driving Innovation
Delivery & Funding 2009
TSB
£20m
Other £17m
Total £37m
DECC/TSB- LCIF
£10M
DECC/TSB/NW
£5M
Jan 09
£7M
£15M
Mar 09
June 09
Sept 09
Dec 09
23
Driving Innovation
Delivery & Funding 2010
TSB
£12m
Other £1.5m
Total £13.5m
£2M
£7M
Jan 10
£3M
Mar 10
General
Election
June 10
Sept 10
CSR
Dec 10
Driving Innovation
Making an impact:- delivery
World’s largest wave energy converter demonstrated &
connected to the grid
(Aquamarine Power)
Europe’s largest Carbon Capture pilot plant funded
(SSE and Doosan Babcock)
UK’s first domestic combined heat and power boiler
system based on fuel cell technology.
(CERES Power & British Gas)
 1st tri-partite funded programs with DECC and RDAs
and coordination with ETI, RCs and Carbon Trust
Driving Innovation
Retrofit for the Future
>80% homes in 2050 already built
4.5 million social homes in UK
Driving Innovation
Buildings have a very large environmental
footprint and there is a huge business
opportunity in reducing that footprint
The low carbon house retrofit business is
estimated to be worth around £3.5bn to
£6.5bn per year on top of the £24bn already
spent on repair, maintenance and
improvement work
Driving Innovation
We are legally required to reduce our Green
House Gas emissions by 80% based on 1990
figures by 2050
27% of all carbon emissions
in the UK come from our houses
Perhaps 60 - 80% of the houses we’ll be
living in by 2050 are already here
Driving Innovation
Retrofit for
the Future
£17m competition to kick start the retrofit
market for UK business and connect the
best solutions with UK Government
procurement in social housing through
developing and evaluating world class
innovation in whole house solutions
Driving Innovation
Target
More than 80 demonstrator refurbishments:
• deep cuts in carbon emissions (80%)
• different home types and locations
• good indoor environment
• cost effective
Driving Innovation
Deep cuts!
CO2 Target: 17 kg/m2.yr [20 kg/m2.yr for
PHPP]
(baseline for an 80 m2 semi-detached house is an emissions rate of 97
kg/m2.yr for 1990)
Primary Energy Target:
115 kWh/m2.yr
To discourage an excessive use of biofuel-fired heat-only boilers
Space Heating: Should be ambitious
Monitoring and Evaluation
Driving Innovation
•Short term data (thermal imaging and air
tightness)
•Long term data (temperatures, humidity, utilities
use etc)
•Soft data (interviews with tenants and builders
•24 months
Driving Innovation
86 Projects
More than 100 houses
What we will achieve:
Driving Innovation
•Kick
start the social housing retrofit market
•A demonstrator pattern book and database
•In use performance benefits and costs
•Development of UK business
•Impact retrofit skills
•Innovative solutions for potential
procurement
•Solutions that may be applied to 4.5m
homes!
www.retrofitforthefuture.org
Driving Innovation
We
are
about
the
UK
business
Driving Innovation
opportunities that embedding
sustainability in society will bring
www.innovateuk.org