Project Summary
The decarbonisation of the marine sector is likely to drive a substantial surge in national electrical demand. The sector has a critical role in UK economy and supporting island communities, but is also complex, with huge diversity across ports and their stakeholders.
Seeking to address this challenge, SeaChange will:
*build a replicable, localised model for exploring energy transition scenarios for the sector and electricity network .
*develop a tool to understand potential maritime energy demands and considerations for optimised network investment planning
*investigate potential business models to facilitate the transition; and
*consider regulatory implications for critical national infrastructure.
Innovation Justification
SeaChange will enable maritime decarbonisation by informing strategic investment for networks, ports and their users. While the sector faces great barriers to decarbonisation, all pathways will require significant electrification -- a realistic counterfactual is that any meaningful electrification of the maritime sector is significantly delayed due to the lack of coordination between maritime and energy stakeholders or, at best, uncoordinated applications are made to DNOs.
The need for SeaChange is clear; the counterfactual of ports making piecemeal, uncoordinated applications based on limited energy assumptions will lead to ineffective and inefficient electricity network investment decisions. Without any coordination, the economic impact of extended uncertainty, and the avoidable costs of pursuing workaround solutions, would be significant. This directly addresses the theme of digital simulation and advanced modelling techniques to facilitate whole system network planning and development.
SeaChange Discovery phase interacted with stakeholders ranging from vessel operators such as Serco to Shipping Agents, including Denholm, which has informed the direction of Alpha. To date, research into grid impacts of maritime decarbonisation has largely focused on the likely pathways for specific maritime sectors or vessel types. SeaChange intends to take a whole-port perspective, working directly with the port authorities and users; this approach will develop the network's understanding of these new users, as well as build confidence for port stakeholders on their decarbonisation trajectory. With the addition of the British Ports Association ( BPA) to the project team for Alpha, we plan to expand the number of stakeholders we work with and that can promote, challenge and refine SeaChange with us.
Initially focusing on ferries, cruise and containers, the project will develop a model which can then be more widely applied. We envisage that the initial focus will be on the maritime sector, but intend to investigate the applicability for other critical national infrastructure, such as airports.
As well as maritime stakeholders, we have interacted with other SIF projects such as Electric Thames and HyNTS Maritime. We will continue to build upon these relationships and share lessons learnt as we progress the project through planned Alpha and Beta stages.
SeaChange aims to produce a useable modelling tool and validation of example ports during Alpha; on completion, we anticipate the tool will have moved from Commercial Readiness Level (CRL) 3 to CRL 4 following real-world verification with stakeholders at Technical Readiness Level (TRL) 5-6. In preparation for Alpha we have started to expand the project's technical understanding, as demonstrated in the appendix.
Our proposed approach goes beyond incremental innovation because it will enable understanding of not only technical, but economic and social interactions, including the ripple effect of port electrical use -- critical for UK ports due to their logistical, economic and resilience significance. This makes the Project appropriate for SIF funding and objectives for the relevant innovation challenge, and not business as usual (BAU), as it not only helps DNOs to make investment decisions at the right time and at the right scale, but helps ports develop credible decarbonisation pathways.
The proposed SeaChange project is the most suitable way to investigate this issue, given that it is investigating potential changes outside current "BAU" practices. By coordinating within the industry via project partners with relevant and specialised expertise, the Project is a suitable means of investigating improvements for the benefits of GB energy consumers.
Impacts and Benefits
Ports currently lack a straightforward and accurate method to map their decarbonisation pathways and the subsequent electricity network requirements. The SeaChange project aims to address this by creating a tool - called Navigating Energy Transitions (NET) - that will:
*Inform and enable ports and their users to map their most viable decarbonisation pathways.
*Help identify key electricity network reinforcement investment requirements.
NET's primary goal is to facilitate coordination among DNOs, ports, and other maritime stakeholders on their decarbonisation pathways, ensuring that DNOs can optimise network investment. This project has a dual benefit:
*For DNOs, it allows for optimised network planning, avoiding unnecessary reinforcement costs.
*For maritime stakeholders, it supports their net-zero efforts by providing grid access and reducing emissions.
Financial Benefits - Future reductions in the cost of operating the network, annual cost savings on energy bills for consumers, annual cost savings for users of network services.
*Initial high-level CBA Discovery calculations suggest that, network reinforcement costs could be reduced by between £315m and £619m depending on the scenario.
*Coordinated port-level electrification capacity will lead to a simpler more efficient design that is easier implement and managed compared to the current uncoordinated approach.
*Whole systems planning benefits achieved from this project will enable more accurate forward investment with lower costs.
*Encouraging more flexible use of electricity during low-demand times (e.g., EV charging for ferry and cruise passengers).
Environmental Carbon Reduction -- direct and indirect CO2 savings per annum
*Through reduced use of marine diesel.
*Through reduced gas and diesel fuel to generate electricity to meet demand from shore power. Initial CBA Discovery calculations suggest that between 5 037 tCo2e and 10 073 tCO2e could be saved by reducing fuel oil emissions on a UK scale.
*Through reduced embodied carbon from avoided reinforcement. Initial CBA Discovery calculations suggest that between 103 264 tCo2e and 247 526 tCO2e could be saved by reducing embodied carbon at the UK scale.
*Accelerated decarbonisation of ports through optimised reinforcement of the power network infrastructure.
Revenues - improved access to revenues for users of network services and creation of new revenue streams
*Ports using energy storage or flexible demand to access income from ancillary services.
New to market -- products, processes and services
*Create a new UK vessel energy hub market through introduction of significant UK shore power facilities ahead of the curve. This is amplified when linked with other maritime fuel projects, such as SIF-funded HyNTS Maritime.
*Amendments to current DNO local/regional energy planning processes will be achieved, providing greater accuracy for ports compared to current general assumptions.
*Whole energy systems modelling and future scenario planning tools for Port stakeholders to help them better map out viable decarbonisation pathways and investment cases.
Others that are not SIF specific
*Reduced economic impact of delayed uncertainty.
*Maintain or elevate GB's position and reputation as a leading Maritime nation.
*Improve the reputation of the energy sector by working collaboratively with maritime stakeholders ( for example vessel operators and port operators) to move from a 'blocker' to facilitator of maritime decarbonisation efforts.
*Air quality improvements in ports and port towns and cities.
*Supports resilience and viability of island populations.
*Supports local employment and economic activity stimulated around port locations.
