Review calls for more energy flexibility and smart water meters in GB

Britain’s National Infrastructure Commission has called for further investment and upgrading of the electricity and water infrastructures among others.

In its second five-year review, the Commission highlights the need for urgent action in the energy sector including the phasing out of fossil fuels and electrification of the system to meet net zero and the need to improve asset and resource management in the water sector to ensure that the demand does not outstrip supply.

While there is still a long way to go in creating a secure net zero energy system, it is achievable with the right policies and a relentless focus on delivery, the Commission states in its report.

“The good news is that modern, reliable infrastructure can support economic growth, help tackle climate change and enhance the natural environment,” writes Commission chair Sir John Armitt in the foreword to the report.

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“We stand at a pivotal moment in time, with the opportunity to make a major difference to this country’s future. But we need to get on with it.”

Net zero energy sector

Among actions recommended is accelerated deployment of offshore wind, onshore wind and solar power and support to the market to deploy the necessary accompanying flexible technologies, i.e. electricity storage and demand side response.

Investment also should be incentivised in large scale hydrogen and gas with carbon capture and storage power stations that can provide electricity even during extended calm or cloudy periods, while a “transformational change” is required in planning, regulation and governance to expand the transmission and distribution networks.

On electrification the Commission recommends electrifying heating with heat pumps, stating that there is “no public policy case” for hydrogen to be used to heat individual buildings and that it should be ruled out as an option.

To deliver this households should receive a subsidy of £7,000 ($8,481) and up to £4 billion ($5 billion) per year should be allocated to support lower income households.

There should be increased adoption of electric vehicles, with a nationwide network of at least 300,000 public charge points across the country by 2030.

The core networks to transmit and store hydrogen and carbon to decarbonise the industrial sector also need to be put in place around the country.

Smart water metering

Regarding the water sector the Commission states that without action to adapt to a changing climate there could be an over 4,000Ml per day gap between the demand and supply of water by 2050.

A twin track approach to drought resilience should be followed, both managing demand, including leakage, and increasing supply.

To this end on the supply side at least 1,300Ml/day should be provided by the mid-2030s through additional water transfers and supply infrastructure.

On the demand side, the objective to halve leakage from 2017-18 levels by 2050 should be maintained and compulsory metering beyond water stressed areas enabled by 2025, with the systematic rollout of smart meters a first step in a concerted campaign to reduce water demand to 110l per person per day and to reduce non-household usage by 15% by 2050.

These actions and others across other infrastructure sectors, including transport and digital connectivity, are estimated to require an increased investment from an average £55 billion ($66.6 billion) per year over the last decade (around 10% of UK investment) to around £70 to 80 billion ($85-$97 billion) per year in the 2030s and £60 to £70 billion per year 2040s.

Public sector investment will need to rise from £20 billion ($24 billion) per year over the last decade to around £30 billion ($36 billion) in the 2030s and 40s.

Private sector investment also will need to increase from around £30 to 40 billion ($36-$49 billion) over the last decade to £40 to £50 billion ($49-$61 billion) in the 2030s and 2040s. This includes around £20 to £35 billion ($24-$42 billion) per year between 2025 and 2050 in renewable generation capacity and flexible sources of generation, electricity networks, and hydrogen generation, storage and networks and a carbon capture and storage network.