Saturday 21 September 2013

Energy, ESCo and the Economy of the Western Isles


Energy is a critical issue and even more so in the Outer Hebrides. It is a strange situation to be in when we have a lot of free renewable energy potential available yet we are still dependent on costly conventional energy - costly not only in terms of price but also transportation which, of course has been a huge local issue.


There seems to be a theme whereby energy sources which should be working for us are working against us and we are paying dearly for conventional fossil fuels to mitigate this. The wind, for example, usually a great source of consternation through the chill factor and bad weather it brings, is being countered by households through costly fossil fuels. We only have to look at the rising energy bills and our position in terms of the fuel poverty league tables to see the expense each family is faced with. Wind, which could be argued, is one of our greatest assets, is working against us.

We could also look at the tide. Again, the effects of the tide could be looked at as adversely working against the community. Coastal erosion and the upkeep of piers and harbours incur costs and tax payer finances have been used to battle the constant effects of the tide. And, on the other hand, tidal energy, with its consistency, could be harnessed to benefit the community.

Council

The council's policy at the moment seems to be developing renewable energy generation for large-scale export only. While I am supportive of large-scale renewable energy development on the island, there are still unknown factors such as the benefits to the community and basically every single household from the Butt to Barra. The wind that should benefit us, first and foremost, the communities of the Outer Hebrides, is getting exported for the benefit of others. How will it benefit us?

Currently, our council is one of the council's participating in the Our Islands Our Future conference in Orkney this month with the objective of greater autonomy for islands to take responsibility of their own affairs but surely there is a need to demonstrate this by showing that our own council can manage its own energy resource.

Energy Plan

After raising this at the Sustainable Development Committee in September, I was delighted that the Comhairle agreed to look at an Energy Plan and start planning on the ESCo.  I have been lobbying for the ESCo with the view that with the abundance of renewable energy potential, islanders should benefit from low energy bills. However, the ESCo can only work with a coherent Energy Plan.
The Energy Plan should not focus on the interconnector but should really focus on local generation and consumption of the abundant energy resources on the island and the displacement of expensive fossil fuels.
In itself, the interconnector is not an energy plan, the benefits to every household in the Outer Hebrides has not been underlined, the risks have not been addressed. What are the risks?
The risks are that the funding policy or strategy will have changed by the earliest possible date of the interconnector and the details of the new policy have too many unknown factors or variables.
Therefore, this is the appropriate time to develop a plan which will ensure all people and agencies in the Outer Hebrides move together towards a common energy goal in eradicating fuel poverty and exploiting the energy resources we have. The chief motivator must be the communities of the islands and how every single household will benefit, how huge energy bills can be reduced, bills that puts so much pressure on families especially at the coldest times of the year.

ESCo

A positive, very positive thing to emerge recently is the ongoing discussions regarding the ESCo - Energy Supply Company - and the option of setting up an Outer Hebrides Energy Supply Company – possible the central feature of the Energy PLan. However, this is only a concept at this stagehand whilst a good concept, the underpinning support and structures are not in place. The ESCo should be the logical culmination of a well-conceived energy plan.

Could partners such as HHP, WINHS, Lews Castle College and Comhairle nan Eilean Siar become partners in the Outer Hebrides Energy Supply Company each ensuring a better deal for the housing, health, education and public services of all islanders in addition to significantly lower energy bills.

Another option to be explored could be hydrogen and energy storage. Community wind turbines producing hydrogen in times of excess generation could be considered.

Hydrogen and Energy Storage

This is all underpinned by a long term vision for energy. If we are considering a staged approach to the delivery of a self-sufficient energy economy then the remoter none nucleated settlements could benefit from off grid community turbine projects in the first instance. Stornoway presents a different problem that requires generating capacity and that is where the hydrogen project probably kicks in but with a capacity in the first instance of upwards of 50MW. The hydrogen technology is then developed locally to manufacturing / assembling of individual Combined Heat and Power plants that can be fitted to individual houses and commercial properties on a subsidised basis, e.g. cost of plant and interest repayable over 5 years with quarterly energy bill given that the energy part of the bill should be much less than currently is the case. There is sufficient generating capacity to utilise the existing interconnector to sell the excess energy to the national grid to provide a major income stream. 

Hydrogen production could utilise the major wind energy projects that otherwise cannot sell their energy 'off island' because of the absence of the new interconnector.  

The next stage of the process would see an expansion of hydrogen production, the introduction of technology to utilise hydrogen for public transport, and the introduction of technology to transport hydrogen by sea to the major population centres in the central belt. Ultimately the ESCo could built hydrogen powered electricity generating stations in Glasgow for instance, using the hydrogen produced on the Outer Hebrides to generate electricity in the Central Belt with no transmission loss while 'shipping' the profits back to the islands and the shareholders – the people of the Western Isles.

Possible Energy Fund

The model would anticipate the formation of an Energy fund to assist the Islands to provide enhanced levels of infrastructure including roads and schools. A cheap energy economy would encourage manufacturing activities to the islands. Even food production could be revolutionised by the use of cheap heat and light by developing hydroponics based solutions.

With care and commitment the Energy Policy could put the Comhairle right to the front as a world leader because we have the benefit of a relatively small population and we could deomnstrate that isolation from the mainland can actually be advantageous

Councillor Gordon Murray, Stornoway North













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