Milford Haven – a proposed decarbonised local smart energy system

A study for Milford Haven in southwest Wales sets out what is considered the most comprehensive picture yet on how to create a hydrogen economy.

The Milford Haven: Energy Kingdom (MH:EK) study from the Energy Systems Catapult positions hydrogen as a key part of a multi-vector energy system for Milford Haven and the surrounding area as a potentially unique location to demonstrate “a commercially viable, technically feasible, scalable, replicable, and investable working energy economy incorporating all energy vectors.”

A hydrogen enabled economy is one where a significant range of energy and services are delivered through hydrogen.

Milford Haven is the UK’s largest energy port and an important industrial area in the region, with a 2011 study finding that activities around the waterway injected £324 million ($432 million) to the local economy and supported 5,000 jobs.

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The port itself is capable of handling almost one-third of the UK’s gas demands for example, while Pembroke B power station is the largest gas power station in Europe generating enough power for 3.5 million homes and businesses.

In addition, the nearby Pembrokeshire Demonstration Zone seeks to demonstrate the feasibility of 90MW of floating offshore wind.

The study indicates that hydrogen could play a key role in the region in decarbonising homes, transitioning infrastructure and driving investment.

It considers hydrogen alongside local renewable energies, including solar, onshore and offshore wind and biomass, with diversified seed markets for hydrogen across buildings, transport and industry and consumer trials of fuel cell vehicles and hydrogen-ready heating systems.

System arrangements considered range from self consumption to national blending, while the physical arrangements address production, distribution and storage to preparation and use.

Smart energy systems

A key finding is that smart local energy systems are dominated by a huge number of complex inter-relationships involving people, organisations, regions and technologies.

“A whole systems approach is critical to ensure that development in one area isn’t at the expense of another,” the report states.

“This is difficult, but the complexity is there whether it is managed or not.”

Another top finding is that while a transition to net zero might be driven locally, there are key enablers which are currently in the hands of central government. These include effective carbon pricing regulation, production initiatives to support asset construction and an agreed approach to network and infrastructure cost recovery.

Without many of these there is only so far local authority, industry and other stakeholders can currently go before hitting major regulatory or legal barriers – especially with hydrogen given its early maturity.

With the system designs the next step would be a roadmap for the next phases of development and implementation. They also are intended to provide confidence in the future longevity of investments in hydrogen and serve as a common basis of understanding for all stakeholders wishing to contribute to the development.

“We believe the project holds promise in showcasing the far reaching benefits of low carbon energy,” the report states.

“If successful, it has the potential to lead the way and become the first of many smart local energy systems supporting the UK and our local communities in reaching the government’s target of net zero greenhouse gas emissions by 2050.”

Demonstration projects

As part of the MH:EK initiative, two hydrogen demonstration projects have been launched.

One is the use of Welsh company Riversimple’s Rasa hydrogen powered vehicles as fleet cars in and around the port area, using the green hydrogen electrolyser and refuelling facility installed on the port estate.

The second is a demonstration of the role that hydrogen will play in decarbonising heating in homes and businesses by combining a hydrogen boiler with a heat pump and smart controls to deliver low carbon heating.