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Helping Businesses seize the opportunities for Renewable Energy


                                                                  Renewables East
                                                                  Annual Review




                                                                  2007
                                                                  2008




                                                                              RENEWABLES
                                                                              EAST
Renewables East Annual Review 2007/08                                  Helping Businesses seize the opportunities for Renewable Energy                                                       03




                                        Contents
                                                                           Chairman’s
                                                                           introduction

                                        03 Chairman’s introduction                                                                                         John Reynolds Chairman
                                                                           As we approach our fifth anniversary, Renewables East continues to grow.
                                        04 MD’s Report                     We now have more than 200 companies as members and investment is
                                        07 Primary energy                  growing, as is our reach. It is clear that Renewables East is successfully
                                           in the Region                   fulfilling its initial vision: to advance the cause of renewable energy while
                                        08 East of England Renewable       helping deliver significant economic benefits for the region.This year once
                                           Energy Statistics               again, we have delivered a number of firsts for the region and for the UK.
                                        09 Technology Acceleration
                                        10 BioREGen and Anaerobic          We hosted the first UK conference dedicated to Anaerobic Digestion.
                                           Digestion Conference            Renewables East also secured the first high profile tenant - Airtricity/SSE
                                        13 PurePower                       – for the magnificent all-new OrbisEnergy centre in Lowestoft.
                                        15 Renewables Energy
                                           Highlights                      JDR Cables secured the first multi-million pound component order for
                                        16 OrbisEnergy soon to             offshore wind to be won and delivered within the region, after being
                                           be ready for business           introduced by Renewables East into the offshore wind marketplace,
                                        18 JDR Cable Systems               with support from EEDA and what was then the DTI.
                                        19 The Crown Estate
                                           announces Offshore              PurePower won planning approval for the region’s first smaller scale biomass
                                           Round 3 - complete              electricity power plant with the support of the Renewables East BioRegen
                                        20 Responding to                   project. This £7m development should come on stream later this year.
                                           the Skills Shortage
                                        21 Working with LAs across         Many of the activities that the company instigates are first-of-kind, novel
                                           the region to address           and innovative but we also take time to learn from others. In October we
                                           planning permission             facilitated a visit to the Renewable Energy Installer’s Academy in Northern
                                        22 Resource Efficiency East        Ireland, clearly capturing the benefit of learning from others, and as a
                                        23 EMDA Developments               result, we have established the Eastern Renewable Energy Academy,
                                        24 The way forward                 bringing together colleges, business and sector skills councils.
                                           for Renewables East
                                        25 Financial Report                Across the region, the UK and globally, there is an ever greater requirement
                                        26 Renewables East                 for renewable energy to offset increasing energy demands, along with
                                           Team and Board                  growing concerns over energy prices, energy security, and the need to
                                        26 Strategic Partners              reduce our dependency on fossil fuels, and tackle the greatest challenge
                                           and Funders                     of our generation, climate change.

                                                                           Against this backdrop, I assure you that all of us at Renewables East will
                                                                           continue to work as hard as ever to enable, deliver, and to inspire even
                                                                           greater renewable energy opportunities for the region.                          Image shown: Leading edge
                                                                                                                                                           solar collector technology from
                                                                                                                                                           HelioDynamics Ltd
Renewables East Annual Review 2007/08                                                    Helping Businesses seize the opportunities for Renewable Energy                                   05




         MD’s Report


         Over the last few years Renewables East has continuously evolved to meet
         fresh challenges and a changing funding climate.

         Thanks to the success of our finance and systems teams, we have made
         the transition from a micro-business into a fully functioning small business.

         We have already secured investment commitments of approximately
         £2 million for 2008/09, which will help us deliver the ambitious programme
         of activities outlined on page 24 of this Review.

         If we get it right, and I believe we will, then the commercial prizes that
         we can bring to the East of England are huge. Measured simply in terms
         of jobs and money, if we reach our goal of delivering 20% of the region’s
         energy requirements from renewables by 2020, that will generate an
         extra £1 billion of GDP into the region, and create an additional 24,000
         jobs locally.

         As significant as that is though, Renewables East is not just about
         the numbers.

         Concerns over rising energy prices, climate change and energy security
         – or the lack of it – are not going to disappear.

                                                                                                                                                           “Having just become a father
         There are clearly enormous challenges for the East of England, for me,
                                                                                                                                                            for the first time, I am now
         and for my new-look team, with the arrival of Ian Williams (Director of
                                                                                                                                                            even more keenly aware that
         Operations), John Heath (Delivery Manager), Carole Randall (Renewables
                                                                                                                                                            we must take every available
         Deployment Manager), Kim Warnes (Office Manager), and Nigel Dent
                                                                                                                                                            opportunity to reduce our
         (Northstowe Project Manager).
                                                                                                                                                            impact on the environment.”
         But with continued support from our regional stakeholders, with the
                                                                                                                                                           James Beal
         advice and support of renewable businesses, and by continuing to mobilise
                                                                                                                                                           Managing Director
         those visionaries in the region to join us on this journey, I know that we
                                                                                                                                                           Renewables East
         can deliver.




         Image shown: Ecogen’s Ransonmoor Wind Farm
Renewables East Annual Review 2007/08                                  Helping Businesses seize the opportunities for Renewable Energy                                                               07




                                                                           Primary energy
    Government’s target.                East of England potential.
    15% of primary energy               The region has the potential
    requirements should come            to achieve 20% of final

                                                                           in the Region
    from renewables by 2020             energy consumption from
                                        renewables by 2020




    15%                                 20%
                                                                                                                                                            The report identified four key
                                                                           A report commissioned by Renewables East with funding support from
    East of England.                                                                                                                                        areas of opportunity in heat
                                        National average.                  EEDA and wide support from the region including East of England
                                                                                                                                                            renewables:
    2.2% of our primary energy                                             Regional Assembly, Environment Agency, Natural England, numerous
                                        1.4% of primary energy
                                                                                                                                                            •	 Community off gas grid
                                                                                                                                                               	
    comes from renewables                                                  local authorities and businesses, showed that the East of England could
                                        comes from renewables
                                                                                                                                                               installations. Over 30% of the
                                                                           plot a course to surpass the Government’s target for 15% of primary
                                                                           energy requirements to come from renewables by 2020.                                region’s housing is currently not
                                                                                                                                                               connected to the gas network.



    2.2%                                1.4%
                                                                           We are already the UK’s leading region in this field with 8.9% of our               Often these properties are
                                                                           electricity supply, and 2.2% of our primary energy overall – coming                 poorly insulated, and together
                                                                           from renewables, against a national average of 1.4%.                                with using heating oil, are
                                                                                                                                                               responsible for high costs
                                                                           The region has the potential to achieve 20% of final energy consumption             and carbon emissions.
                                                                                                                                                            •	 Individual business
                                                                           from renewables by 2020. This would generate over 75,000 jobs of which
                                                                                                                                                               installations. Many businesses
                                                                           a further 24,000 could be captured within the region, increasing regional
                                                                                                                                                               rely on costly and high carbon
                                                                           economic activity by more than £1 billion a year and reducing the region’s
                                                                                                                                                               emitting oil heating for main
                                                                           carbon emissions by 24%.
                                                                                                                                                               supply or back-up supply. To
                                                                                                                                                               increase their competitiveness,
                                                                           To achieve such ambitious goals means the region needs to maintain
                                                                                                                                                               businesses need to look to
                                                                           its significant progress. It is a tough challenge but one we are absolutely
                                                                                                                                                               renewable alternatives.
                                                                           confident that the region, with support from Renewables East, can
                                                                                                                                                            •	 New developments. With
                                                                                                                                                               	
                                                                           deliver on.
                                                                                                                                                               500,000 houses and associated
                                                                                                                                                               public and commercial buildings
                                                                           The report also found that while demand for electricity and transport
                                                                                                                                                               needing new heat sources,
                                                                           fuel is likely to increase, the demand for heat in buildings is likely to fall
                                                                                                                                                               renewable energy will play an
                                                                           due to their greater thermal efficiency and industrial processes.
                                                                                                                                                               increasingly important role in
                                                                                                                                                               delivering on site energy supplies.
                                                                           It is already clear that the region is going to significantly benefit from
                                                                                                                                                            •	 Biogas to feed into the
                                                                                                                                                               	
                                                                           offshore wind with the creation of the multi-billion pound market
                                                                                                                                                               gas grid. Anaerobic digestion
                                                                           around our coast, and key investments such as OrbisEnergy, to capture
                                                                                                                                                               produces methane (natural
                                                                           new business opportunities. The region needs to bring forward a raft of
                                                                                                                                                               gas). With some cleaning,
                                                                           measures to stimulate and capture benefit from an increased deployment
                                                                                                                                                               this gas, subject to legislation,
                                                                           of renewable energy. In particular, a massive growth area is the provision
                                                                                                                                                               could and should be fed into
                                                                           of heat from renewable sources.
                                                                                                                                                               the national gas network.



                                                                           Image shown: Lotus Exige 270E Tri-fuel, which runs on any mixture of petrol,
                                                                           bio-ethanol and methanol
Renewables East Annual Review 2007/08                                                                                                    Helping Businesses seize the opportunities for Renewable Energy                                                                09




    East of England Renewable                                                                                                                Technology Acceleration
    Energy Statistics June 2008
    The East of England could exceed its 2010 offshore                The region only has some 70 turbines - or 120MW
    target of 317MW, if, The Gunfleet Sands Round One                 of installed capacity - up and running so far. During
    project off Clacton and Airtricity’s Round Two Greater            the 12 months to June 08, only 4 schemes (53 MW)
    Gabbard project off Orford, deliver to their planned              have been approved but 8 schemes (99MW) refused.
    timetables. The signs look good following Dong                    Renewables East is therefore disappointed that the
    Energy’s acquisition of the 108MW Gunfleet Sands                  new Infrastructure Planning Commission is currently
    project and the grant of consent for Greater Gabbard.             not intended to deal with schemes less than 50MW,
    As a result the region could well meet its overall                and has lobbied accordingly.
    target of 10% electricity from renewables by 2010.
                                                                      The relaxation in April this year of rules governing solar
    The region’s 2020 target - of at least 17% electricity            and heat pump installations should mean more smaller
    from renewables - will need to be met purely from                 scale power generation. While the larger housing
    onshore renewables. The disappointing rate of planning            schemes to be built as part of 500,000 homes planned
    permissions for onshore wind schemes over the past                for the region could easily source all their power and
    year is therefore a matter of concern.                            heat from local renewable energy generation.

                                                                                                                                             Renewables East is to develop a Technology Acceleration       Renewables East is working with businesses, universities,
                                                                                                                                             scheme backed by EEDA funding to stimulate more               trade associations and support organisations capable of
    Planning decisions June 07-June 08
                                                                                                                                             renewable technology developments.                            delivering and supporting innovation in all these areas.
    Approved by                       Approved             Refused by                    Refused                New
    local authority                   on appeal            local authority               on appeal              applications
                                                                                                                                             Although there is significant demand for new innovation       Using this style of support Renewables East has
    Coldham Extension 12-14MW         Kessingland 6MW      Poddington 20MW               Guestwick 12MW         Lotus resubmission 6MW
                                                                                                                                             in the low carbon arena, the demand is not being met          demonstrated significant success in the past, for
    Tilbury (UDC decision) 8MW        Bradwell on Sea      Wadlow Farm 30MW                                     Hempnall 14MW
                                                           Swaffham Extension 12MW                              Snowmountain 2MW
                                      25MW                                                                                                   with credible and investment ideas. This Scheme will          example, working with JDR Cables to innovate their
                                                           Flag Fen 12MW                                        French Farm 4MW
                                                                                                                                             help innovators at the earliest stages of their work to       cable design. Making it available to the offshore wind
                                                           Creek Road 2MW                                       Benington 6MW
                                                                                                                                             assess their ideas in terms of both “technology-push”         market has resulted in new multi-million pound orders
                                                           Earls Hall Farm 10MW
                                                                                                                                             and “market-pull”, and in this way assist them in             being won.
                                                           QE Hospital 0.8MW
    22MW                              31MW                 86.8MW                        12MW                   32MW                         underpinning their business plans with a credible
                                                                                                                                             route to market.                                              The scheme’s first call will be for innovations in the
                                                                                                                                                                                                           field of offshore renewables, since global demand
    Progress - Installed capacity of all renewables against 2010 and 2020 targets (MW)
                                                                                                                                             The scheme will involve a twice-yearly call for innovation.   for wind turbines is set to remain significantly higher
         1800
                                                                                                                                             Applications will be assessed by a panel. Funding for         than supply, while for successful innovations there are
         1600
                                                                                                                                             the projects that are selected will come from Renewables      financial incentives such as 1.5 times ROCs (Renewable
         1400
                                                                                                                                             East and from selected third-party service providers.         Obligation Certificates) for offshore wind technologies,
         1200
                                                                                                                                                                                                           and 2.0 times ROCs for marine technologies.
    MW




         1000
                                                                                                                                             Support will be available for components, systems,
          800
                                                                                                                                             services, research, infrastructure, grid connectivity         The second call for innovation is likely to go out towards
          600
                                                                                                                                             and transmission, investment analysis, and                    the end of 2008, and support will be available for all
          400
          200                                                                                                                                intellectual property/patenting.                              technologies credited as being ‘Renewable’ under the
            0                                                                                                                                                                                              terms of the Renewables Obligation (RO).
                   2003        2004      2005       2006       2007     2008      2009        2010 (E) 2010 (T) 2020 (T)

                                                                                                                                                                                                           Image shown: Lotus Concept Ice Vehicle
                Landfill Gas     Biomass        Onshore wind     Offshore wind       All onshore technologies
Renewables East Annual Review 2007/08                                                                                     Helping Businesses seize the opportunities for Renewable Energy   11




    BioREGen and Anaerobic
    Digestion Conference

    The highly successful BioREGen project ended in           be actively involved with Government in developing
    March 2008 with a London conference on Anaerobic          a framework for the future.
    Digestion (AD) - the first event of its kind in the UK.
                                                              BioREGen provided £20,000 towards developing
    The event, a complete sell-out, was attended by more      a Quality Protocol and Digestate Standard (PAS 110),
    than 250 delegates from all over the UK and by 17         a protocol which could be in place by early 2009.
    exhibitors from across Europe.
                                                              The project has given rise to a series of guidance notes
    In his keynote speech, Jeremy Eppel from DEFRA’s          for biomass projects; studies into technologies including
    Farming for the Future programme, outlined                deployment of combined heat and power using wood
    Government interest in AD as part of its renewable        waste; and surveys of potential energy feedstocks.
    energy strategy.
                                                              The Renewables East decision to focus on AD and
    Presentations at the event covered topics including       gasification through its BioREGen project has been
    a digestate standard, organic residues from municipal     fully vindicated. These are now recognised as emerging
    waste collections, opportunities for land owners,         ‘advanced technologies’ qualifying for ‘double ROCs
    initiatives for a zero-waste strategy, and the handling   (Renewable Obligation Certificates)’ from April 2009.
    of pig slurry and commercial food waste.                  The potential for small scale gasification projects has
                                                              been shown by PurePower’s Huntingdon plant.
    Richard Parker, Development Director for Bio Energy,
    outlined the BioREGen project to delegates. BioREGen      Which is why, although the BioREGen project is now
    has enabled Renewables East to significantly advance      ‘closed’, Renewables East continues to work to promote
    AD technology across the region and the UK, and           these technologies and give support where possible.




                                                              Image shown: OWS – Dranco System, located in Stuttgart
Renewables East Annual Review 2007/08                                     Helping Businesses seize the opportunities for Renewable Energy                      13




                                                                              PurePower


                                        “PurePower really appreciated         From 2006 to 2008, Renewables East invested £680,000 of funding
                                         the practical support and            from EEDA under the Government’s Business Resource Efficiency and
                                         guidance received from               Waste (BREW) programme, for our BioREGen project.
                                         Renewables East throughout
                                         the development stage of a           BioREGen was set up as a regional initiative to identify and evaluate
                                         number of its projects located       opportunities to divert material from landfill, and to recover renewable
                                         in the East of England.”             energy from organic residues and waste wood. BioREGen also provided
                                                                              support to help companies ‘kick-start’ projects in this arena.
                                         Adam Overfield
                                         Chief Executive                      One of the companies to have benefitted from BioREGen’s support is
                                         PurePower                            PurePower, which focuses on the development, construction, ownership
                                                                              and operation of renewable power stations. PurePower also explores the
                                                                              acquisition and development of waste recycling businesses.

                                                                              Earlier this year PurePower raised financing totalling £12 million, allowing
                                                                              the company to acquire Huntingdon Recycling, a large composting and
                                                                              wood recycling business on a 14 acre site by the A14/A1 junction.

                                                                              The facility currently composts a large proportion of Cambridgeshire’s
                                                                              green and animal by-product waste and also processes large volumes
                                                                              of mixed waste wood.

                                                                              On the site, PurePower is investing up to £8 million on advanced gasification/
                                                                              pyrolysis technology. This will produce a ‘syngas’ used to generate around
                                                                              3MW of electricity - enough to power the equivalent of 5,000 homes.
                                                                              Waste heat from the power generator will be used to dry material to
                                                                              be sold as a biomass fuel.

                                                                              The process will save up to 25,000 tonnes of wood waste a year from
                                                                              going to landfill.

                                                                              The site - to be finished by late 2008/early 2009 - will comply fully with
                                                                              the Waste Incineration Directive, and the company expects to construct
                                                                              up to five other plants at strategic locations in early 2009.
Renewables East Annual Review 2007/08   Helping Businesses seize the opportunities for Renewable Energy                                                                 15




                                            Renewable
                                            Energy Highlights
                                            2007/08
                                            •	 	 urePower	announced	their	financing	of	the	
                                               P                                                          •	 	 overnment	Renewable	Energy	Strategy	sets	
                                                                                                             G
                                               £7 million Huntingdon plant to generate 3MWe                  out £100 billion plan to achieve 15% of primary
                                               from the pyrolysis / gasification of wood waste.              energy from renewables by 2020.
                                            •	 	 ritish	Sugar	commissioned	the	UK’s	first	
                                               B                                                          •	 	 enewables	East	Primary	Energy	Report	puts	region	
                                                                                                             R
                                               bioethanol plant at Wissington, demonstrating                 on course to produce 20% of its primary energy
                                               a carbon saving of 71%.                                       demand from renewables by 2020.
                                            •	 	 he	Renewables	East	BioREGen	project	culminated	
                                               T                                                          •	 	 he	East	of	England	Plan	is	the	first	regional	spatial	
                                                                                                             T
                                               in the sell-out Anaerobic Digestion event in London           strategy requiring new developments to include
                                               - the UK’s first event of its kind.                           renewable energy.
                                            •	 	 he	Crown	Estate	announced	Round	3	of	Offshore	
                                               T                                                          •	 	 lanning	permission	no	longer	required	for	
                                                                                                             P
                                               Wind Developments, taking UK capacity from 8GW                photovoltaic installations.
                                               to 33GW by 2020.                                           •	 	 ambridge	University	secure	£5	million	Carbon	
                                                                                                             C
                                            •	 	 rbisEnergy	won	EU	project	of	the	year	AND	
                                               O                                                             Trust investment to develop and deliver organic
                                               National Gold Winner – England International                  photovoltaic technology.
                                               Green Apple Awards 2008.                                   •	 	 egional	company	PolySolar	secure	£1	million	
                                                                                                             R
                                            •	 	 enewables	East,	working	with	industry	and	
                                               R                                                             investment from Technology Strategy Board
                                               regional stakeholders, ensured development                    to develop new photovoltaic.
                                               of a new UK protocol for Anaerobic Digestion.              •	 	 rident	Energy	secures	£700,000	of	investment	
                                                                                                             T
                                            •	 	 irtricity/Scottish	and	Southern	Energy	chose	
                                               A                                                             for region’s first wave technology test site off the
                                               Lowestoft as their long term operation and                    coast of Lowestoft, at which Trident’s first array
                                               maintenance base for the £2 billion Greater                   of four point absorber devices is to be deployed
                                               Gabbard offshore wind farm following planning                 following their manufacture in the Lowestoft area.
                                               consent for a heli-pad and hanger. For the same            •	 	 enewables	East	secures	the	East	of	England	as	a	
                                                                                                             R
                                                                                                             pilot region for £1 million BERR (Department for
                                               project, Cambridgeshire-based JDR Cables secured
                                                                                                             Business, Enterprise and Regulatory Reform)
                                               the multi-million pound contract for the
                                                                                                             investment into piloting renewable technologies
                                               inter-turbine array cables.
                                            •	 	 herringham	Shoal	offshore	wind	and	Gunfeet	
                                               S                                                             to relieve fuel poverty.
                                               Sands Phase 2 wind farms consented.                        •	 	 astern	Renewable	Energy	Academy	established	
                                                                                                             E
                                            •	 	 ver	2GW	(approx	£5	billion	capital)	offshore	wind	
                                               O                                                             - a regional partnership of Further Education
                                               now consented around region awaiting construction.            Colleges, sector skills councils, and industry.
                                            •	 	 nvirolink	produce	DVD	highlighting	the	region’s	
                                               E
                                               advancing renewable energy capabilities and
                                               technologies.
Renewables East Annual Review 2007/08                                                                                 Helping Businesses seize the opportunities for Renewable Energy   17




    OrbisEnergy
    soon to be ready
    for business
    “OrbisEnergy is open for business and changing the outlook for Lowestoft.”

    This iconic low-carbon structure, housing a unique business space, grew
    out of the regional commitment from EEDA, ERDF, Waveney District
    Council, Renewables East and Suffolk County Council to capture a bigger
    share of the growing offshore wind, wave and tidal energy technologies.

    A huge boon, helping establish OrbisEnergy at the heart of the region’s
    offshore renewables industry, came in May 2008 when national energy
    utility Airtricity/SSE (A/SSE) signed up as a key anchor tenant.

    A/SSE’s pledge came after planning consent was given allowing Bond Air
    Services to build a helicopter pad and hanger in the Lowestoft Harbour’s
    docks area. The deal between Bond Air and A/SSE is the first of its kind
    in the UK offshore wind sector.

    The move sees A/SSE committing itself to OrbisEnergy, Lowestoft and the
    region, by making OrbisEnergy the company base for the long-term
    operation and maintenance of their 500MW, 140-turbine Greater Gabbard
    offshore wind farm.

    As well as its role in fostering business creation and growth, OrbisEnergy
    has spectacular exhibition and conference facilities. A number of high
    profile events have already been booked for guests including the Royal
    Institution of Chartered Surveyors and WindPower Renewable Solutions Ltd.

    The role for OrbisEnergy is to develop and grow as part of the wider,
    surrounding energy park; to give tenants the space they need to expand,
    and to work closely with complementary businesses within the low-carbon
    and offshore renewables energy sector.

    Underpinning regional growth in this sector is EEDA’s award to Renewables
    East, of the feasibility assessment for four regional capital infrastructure
    projects, two of which are directly linked to the offshore renewable agenda.

                                                                                   Image shown: Steve Clarke,
                                                                                   Development Director, Offshore
                                                                                   Renewable Energy at OrbisEnergy.
Renewables East Annual Review 2007/08                                                                                 Helping Businesses seize the opportunities for Renewable Energy   19




    JDR Cable Systems                                                                                                     The Crown Estate
                                                                                                                          announces Offshore
                                                                                                                          Round 3 - complete
                                                                                                                          Indicative Economic Potential
                                                                                                                          for Offshore Wind
                                                                                                                          The Crown Estates’ 4th June 2008
                                                                                                                          announcement on Round 3 for
                                                                                                                          offshore wind developments further
                                                                                                                          emphasised the East of England’s
                                                                                                                          role at the forefront of the offshore
                                                                                                                          renewable energy industry.




    Under the auspices of its Championing Offshore          Greater Gabbard offshore wind farm - a round 2
    Renewables programme, Renewables East feels both        project which, once built, will be the largest offshore
    proud and privileged to have been able to support       wind farm in the world at 500MW from 140 turbines.
    JDR Cables during their ongoing diversification from
    oil and gas umbilical cables, into offshore wind.       So, for Ely-based JDR Cables Ltd. renewable-sector
                                                            growth is on the agenda for the foreseeable future.
    During 2006/7, year one of the Championing              Today it’s within their domestic market, but in years
    programme, Renewables East supported JDR’s              to come, theirs will undoubtedly become a huge
    need to assess the market opportunity by providing      regional success story in terms of penetration into
                                                                                                                          Legend
    sector/market and technology data, contacts, and        export markets too.
                                                                                                                              Round 2 Development Zones
    offshore wind farm project information, including
                                                                                                                              Potential Round 3
    procurement timescales.
                                                                                                                              Development Zones
                                                             “Renewables East’s support,                                      UK Territorial Sea Limit
    Having then made their decision to target specific
                                                              technology understanding
    offshore wind projects, JDR were further supported
                                                              and access to market
    in year two (2007/8), but this time Renewables East’s
                                                              information, was invaluable                                 Note
    intervention had a clear focus on driving down
                                                              for JDR in securing the UK’s                                This map represents The Crown
    production costs through lean manufacturing
                                                              largest component order                                     Estate’s initial view of locations of
    and productivity initiatives.
                                                              for offshore wind.”                                         potential zones for the development
                                                                                                                          of offshore wind farms. It will be
    This strategic positioning of their cost and pricing
                                                               Patrick Phelan                                             subject to revision. The zones do
    structure relative to the market has helped yield
                                                               Managing Director                                          not in any way reflect the output
    the recent confirmation of contract award for the
                                                              JDR Cable Systems Ltd                                       of BERR’s SEA.
    inter-turbine array cable order for Airtricity/SSE’s
Renewables East Annual Review 2007/08                                               Helping Businesses seize the opportunities for Renewable Energy                                                            21




    Responding to                                                                       Working with LAs across
    the Skills Shortage                                                                 the region to address
                                                                                        planning permission
    Fulfilling the region’s potential for the uptake of renewables will require         Renewable energy is becoming more common in                   Having recognised this need, in 2007, Renewables East
    a substantial increase in the number of skilled people – trained to high            new build developments and retro-fit installations            responded, in partnership with Creative Environmental
    standards – in the region.                                                          across the UK.                                                Networks, by holding a series of events across the
                                                                                                                                                      region for local authority planning department staff.
    Recognising this need, Renewables East seeks to support agencies and                As a result, local authority planning department
    organisations involved in all aspects of training, and where possible,              staff are having to assess increasing numbers of              These bespoke training sessions were tailored
    make its own contribution.                                                          applications involving the deployment of renewable            specifically to help relevant staff better handle this
                                                                                        energy technologies.                                          important element of sustainable development.
    After a visit to the Renewable Energy Installer’s Academy in Northern
    Ireland, facilitated by Renewables East, a group of colleges and sector             To enable them to make fully informed decisions               A further round of updated seminars will take place
    skills councils, along with the Higher Education Funding Council for                as to the suitability of proposed installations, these        in the Autumn of 2008, and will again bring
    England and MOVE, realised the opportunity for the region and formed                personnel need a basic understanding of the common            up-to-the-minute, relevant and expert knowledge
    the Eastern Renewable Energy Academy (EREA).                                        technologies, and a much more detailed understanding          to local authority planning department staff across
                                                                                        of the current tools available to them from the               the region.
    EREA, a virtual academy of training providers, supports and stimulates              planning system.
    sustainability and growth in the use of renewable and alternative energy
    technologies in the East of England. It aims to drive the low carbon
    economy, stimulate and increase demand for, and use of, renewable and
    alternative energy systems, and provide a forum for sharing best practice
    in training.

    In June 2008, EREA, with six European partners, submitted a one million
    Euro bid to the Intelligent Energy Europe programme. If successful this
    funding will facilitate workforce development, training and skills
    programme development, quality assurance standards and technology
    awareness-raising, in seven countries.

    This group is also putting together a bid that will be submitted to the
    recently announced Learning Skills Council’s Further Education Specialisation
    and Innovation Pathfinder Project.

    If successful this will see EREA members take the lead in a national project
    facilitating knowledge transfer in the Further Education network between
    businesses and training providers.



    Image shown: Heat pump lab at Lisburn College, Northern Ireland
Renewables East Annual Review 2007/08                                                                                    Helping Businesses seize the opportunities for Renewable Energy                                                    23




    Resource                                                                                                                 EMDA
    Efficiency East                                                                                                          Developments

                                                                                    The REE programme will:
    In a move that recognises the many successes we have had in delivering                                                   Based on Renewables East’s successes in the East              Image shown: Centrica’s Lynn and Inner Dowsing
                                                                                                                                                                                           offshore wind farm
    key regional projects and programmes, Renewables East has been tasked           •	 	 romote	Business	Link	
                                                                                       P                                     of England, similar support services are now being
    to lead the Resource Efficiency East (REE) regional project.                       as its key point of contact.          provided to business in the East Midlands on behalf
                                                                                    •	 	 ssist	business	to	identify	
                                                                                       A                                     of the East Midlands Development Agency (EMDA).
    REE aims to improve resource efficiency among the region’s businesses,             potential resource savings
    particularly among small and medium sized enterprises (SMEs).                      as well as the actions needed         The two year programme is a little over halfway
                                                                                       to achieve those savings.             through but already a significant number of businesses
    Having been allocated £2.1 million for the project, the Renewables East         •	 	 aximise	nationally	funded	
                                                                                       M                                     have been helped to better understand technology
    REE programme will help businesses in the East of England become more              activity in the region.               development opportunities for offshore wind, wave and
                                                                                    •	 	 nsure	businesses	receive	
                                                                                       E
    efficient operationally, by delivering and coordinating a comprehensive                                                  tidal generation. The project has helped deliver greater
                                                                                       effective, consistent and
    package of guidance, advice and support.                                                                                 understanding too of the opportunities for innovation
                                                                                       quality support from                  in the renewables supply chain, and of how to access
    The help and advice from REE will be business-focused and commercially-            appropriate service providers.        lean manufacturing and productivity assistance.
                                                                                    •	 	 eliver	effective	solutions	
                                                                                       D
    orientated, giving practical guidance and support about all aspects of
                                                                                       to environmental issues
    resource efficiency.                                                                                                     Significant events have also been delivered to the
                                                                                       of strategic importance.              regional EMDA businesses, including a ‘Meet The
                                                                                    •	 	 enerate	new	employment	
                                                                                       G
    REE is to establish a single point of contact for any business looking to                                                Utility’ event with Centrica, and an event delivered
                                                                                       and secure existing jobs.
    improve its performance. The aim is for REE to assist the region’s businesses                                            in partnership with Siemens and others, focussed
                                                                                    •	 	 timulate	new	environmental	
                                                                                       S
    to identify, implement and monitor environmental and resource efficiency                                                 wholly on the long term ‘Operation and Maintenance’
                                                                                       innovations.
    initiatives. These will in turn lead to a reduction in the environmental                                                 agenda, the first of its kind in the UK.
                                                                                    •	 	 stablish	resource	efficiency	
                                                                                       E
    impact of regional businesses, bringing long-term efficiencies and
                                                                                       as a key regional economic
    greater commercial competitiveness.
                                                                                       function, further assisting
    Key REE initiatives will include business reductions in CO2 emissions,             the region to prosper in
    use of landfill, water consumption and materials.                                  global, competitive markets.
Renewables East Annual Review 2007/08                                                                         Helping Businesses seize the opportunities for Renewable Energy                                                                 25




    The way forward                                                                                               Financial Report
    for Renewables East
                                                                                                                  Renewables East - Key Financials - Income
                                                                                                                  Income for Renewables East has grown significantly            £1,500,000
                                                                                                                  in the time the organisation has been in existence,
                                                                                                                                                                                £1,125,000
                                                                                                                  with grants providing its main source of income.
                                                                                                                                                                                 £750,000
                                                                                                                  For the current financial year, prospects remain highly
    Renewables East is constantly growing and evolving                                                            positive; grants continue to be the main income stream,        £375,000
    with more projects being added to its portfolio of                                                            and total income is set to reach £1.5 million by the
                                                                                                                                                                                        £0
    work as the renewable energy agenda develops.                                                                 end of the financial year.
                                                                                                                                                                                                2004/05 2005/06 2006/07 2007/08


                                                                                                                                                                                                          Sponsorship         Grant funding
                                                                                                                                                                                 Other income
                                                                                                                                                                                                          and events


    EEDA Strategy Funds                  EEDA Enabling Funds                 EEDA Capital Fund
                                                                                                                  Renewables East - Key Financials - Costs
    Renewable Planning Skills            Resource Efficiency East            Bio Renewable Energy                 The cost base of Renewables East is closely                   £1,500,000
                                         EEDA Project                        Research Park
    Provision of training for LAs,                                                                                monitored to ensure it always remains totally in line
                                                                                                                                                                                £1,125,000
    planners and developers to           Project management to deliver       Research to develop the next         with income. A small surplus has been achieved and
    provide an integrated approach       resource efficiency to businesses   generation of bio fuels and          retained every financial year Renewables East has
                                                                                                                                                                                 £750,000
    to planning                          across the region                   bio energy technologies              been established.
                                                                                                                                                                                 £375,000
    Policy Development                   Technology Acceleration             Solar Energy Park                    The majority of funding received is invested in technical
                                                                                                                                                                                        £0
    Working in partnership with other    Identifying technologies and        Development of the UK’s first        and professional experts, through a combination
                                                                                                                                                                                                2004/05 2005/06 2006/07 2007/08
    organisations and businesses         accelerating their deployment       Solar Energy Park                    of employees and external consultants. Office and
                                         to investment                                                            administration overheads are actively managed to
                                                                                                                                                                                 Communication and            Office and
                                                                             Offshore Operation                   provide excellent value for money whilst keeping               promotional activities       administration costs
    Other Activity                       Advanced Biofuels Hub               and Maintenance Centre               costs to a minimum.                                            Technical and                Staff costs
                                         Virtual hub to facilitate contact   Development of world-class                                                                          professional fees
    OrbisEnergy                          between industry and academia       facilities around servicing
    Championing the centre               to drive the development of         the offshore wind industry
                                                                                                                  Renewables East - Income and Expenditure Account
    of excellence for Offshore           advance generation biofuels
                                                                             Wave and Tidal Test Bed
    Renewables on the East Coast
                                         Fuel Poverty                                                                                                               2008              2007                    2006                 2005
                                                                             Development of test facilities
    FE Skills Delivering Partnership                                                                              Grant funding
                                         Community projects delivering       for wave and tidal devices for                                                     1,164,359           958,357                 361,495              380,106
    Working with FE establishments                                                                                Sponsorship and events
                                         renewables projects to address      the East Coast                                                                        66,293            90,181                  95,120                    0
    to provide the training to meet                                                                               Other income
                                         fuel poverty                                                                                                                 150               250                   1,098               10,257
                                                                                                                  Total income                                  1,230,802         1,048,788                 457,713              390,363
    skills shortages

                                                                             Community-scale Renewables
    Offshore Industry                                                                                             Technical and professional fees                 595,206           490,062                 137,426              139,801
                                                                             (Northstowe)
    Development                                                                                                   Staff costs                                     476,501           382,032                 193,491              189,970
                                                                             Project management to deliver
    Helping build supply chain                                                                                    Office and administration costs                  33,796            22,787                  23,952               19,640
                                                                             community-scale renewables
    and O&M capacity                                                                                              Communication and promotional activities         99,418            96,463                  71,267               23,256
                                                                                                                  Total costs                                   1,204,921           991,344                 426,136              372,667
                                                                                                                  Surplus                                          25,881            57,444                  31,577               17,696
Renewables East Annual Review 2007/08                                                                                                            Helping Businesses seize the opportunities for Renewable Energy                                                   27




    Renewables East
    Team and Board

    Renewables East Team                                                     Renewables East Board
                                                                                                                                                                                                                                Design 2Cs Communications
    James Beal       Managing Director                                       Cllr John Reynolds Chairman of Renewables East,
                                                                                                                                                                                                                                Editorial 2Cs Communications
    Richard Parker   Development Director:                                                      Chairman of East of England
                                                                                                                                                                                                                                Print Breckland Print
                     Bio Energy                                                                 Regional Assembly
                                                                                                                                                                                                                                Stock Revive 100 Offset
    Steve Clarke     Development Director:                                   James Beal         Renewables East
                     Offshore Renewables                                     Peter Raftery      Airtricity
                                                                                                                                                                                                                                Photography
    Ian Williams     Operations Director                                     Paula Jennings     Independent
    Susan Jordan     Finance Director                                        Corinne Meakins Campaign to Protect Rural England                                                                                                  Many thanks to all who have
    Simon Chiva      Project Manager:                                        Paul Burall        East of England                                                                                                                 kindly contributed photography
                     Resource Efficiency East                                                   Development Agency                                                                                                              used in this brochure
    Nigel Dent       Project Manager: Northstowe                             Dave Riches        East of England International
    Carole Randall   Renewables Deployment Manager                           Simon Bishop       English Partnerships
    Colin Allard     Financial Accountant                                    Richard Wells      Norwich and Peterborough
    John Heath       Delivery Manager                                                           Building Society
    Kim Warnes       Office Manager                                          Ian Mays           Renewable Energy Systems Ltd
    Peter Lee        Planning Advisor                                        Jim Skea           UK Energy Research Centre
    Pat Oakley       Supply Chain Advisor
    Alan Agent       Development Advisor
    Philip Curry     Investment Advisor




    Strategic Partners and Funders



                                                                                                       BERR
                                        PROJECT PART-FINANCED                                                   Department for Business
                                        BY THE EUROPEAN UNION
                                                                                                                Enterprise & Regulatory Reform
                                        European Regional Development Fund




          Essex County Council



                                                                                                                                                                                             Image shown: Aerogenerator concept, developed by Wind Power Limited
Renewables East Annual Review 2007/08




         Renewables East

         ZICER Building
         University of East Anglia
         Norwich
         Norfolk NR4 7TJ

         T 01603 591415
         F 01603 591194
         E info@renewableseast.org.uk
         www.renewableseast.org.uk




                                        RENEWABLES
                                        EAST

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Renewables East Annual Review 0708

  • 1. Helping Businesses seize the opportunities for Renewable Energy Renewables East Annual Review 2007 2008 RENEWABLES EAST
  • 2. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 03 Contents Chairman’s introduction 03 Chairman’s introduction John Reynolds Chairman As we approach our fifth anniversary, Renewables East continues to grow. 04 MD’s Report We now have more than 200 companies as members and investment is 07 Primary energy growing, as is our reach. It is clear that Renewables East is successfully in the Region fulfilling its initial vision: to advance the cause of renewable energy while 08 East of England Renewable helping deliver significant economic benefits for the region.This year once Energy Statistics again, we have delivered a number of firsts for the region and for the UK. 09 Technology Acceleration 10 BioREGen and Anaerobic We hosted the first UK conference dedicated to Anaerobic Digestion. Digestion Conference Renewables East also secured the first high profile tenant - Airtricity/SSE 13 PurePower – for the magnificent all-new OrbisEnergy centre in Lowestoft. 15 Renewables Energy Highlights JDR Cables secured the first multi-million pound component order for 16 OrbisEnergy soon to offshore wind to be won and delivered within the region, after being be ready for business introduced by Renewables East into the offshore wind marketplace, 18 JDR Cable Systems with support from EEDA and what was then the DTI. 19 The Crown Estate announces Offshore PurePower won planning approval for the region’s first smaller scale biomass Round 3 - complete electricity power plant with the support of the Renewables East BioRegen 20 Responding to project. This £7m development should come on stream later this year. the Skills Shortage 21 Working with LAs across Many of the activities that the company instigates are first-of-kind, novel the region to address and innovative but we also take time to learn from others. In October we planning permission facilitated a visit to the Renewable Energy Installer’s Academy in Northern 22 Resource Efficiency East Ireland, clearly capturing the benefit of learning from others, and as a 23 EMDA Developments result, we have established the Eastern Renewable Energy Academy, 24 The way forward bringing together colleges, business and sector skills councils. for Renewables East 25 Financial Report Across the region, the UK and globally, there is an ever greater requirement 26 Renewables East for renewable energy to offset increasing energy demands, along with Team and Board growing concerns over energy prices, energy security, and the need to 26 Strategic Partners reduce our dependency on fossil fuels, and tackle the greatest challenge and Funders of our generation, climate change. Against this backdrop, I assure you that all of us at Renewables East will continue to work as hard as ever to enable, deliver, and to inspire even greater renewable energy opportunities for the region. Image shown: Leading edge solar collector technology from HelioDynamics Ltd
  • 3. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 05 MD’s Report Over the last few years Renewables East has continuously evolved to meet fresh challenges and a changing funding climate. Thanks to the success of our finance and systems teams, we have made the transition from a micro-business into a fully functioning small business. We have already secured investment commitments of approximately £2 million for 2008/09, which will help us deliver the ambitious programme of activities outlined on page 24 of this Review. If we get it right, and I believe we will, then the commercial prizes that we can bring to the East of England are huge. Measured simply in terms of jobs and money, if we reach our goal of delivering 20% of the region’s energy requirements from renewables by 2020, that will generate an extra £1 billion of GDP into the region, and create an additional 24,000 jobs locally. As significant as that is though, Renewables East is not just about the numbers. Concerns over rising energy prices, climate change and energy security – or the lack of it – are not going to disappear. “Having just become a father There are clearly enormous challenges for the East of England, for me, for the first time, I am now and for my new-look team, with the arrival of Ian Williams (Director of even more keenly aware that Operations), John Heath (Delivery Manager), Carole Randall (Renewables we must take every available Deployment Manager), Kim Warnes (Office Manager), and Nigel Dent opportunity to reduce our (Northstowe Project Manager). impact on the environment.” But with continued support from our regional stakeholders, with the James Beal advice and support of renewable businesses, and by continuing to mobilise Managing Director those visionaries in the region to join us on this journey, I know that we Renewables East can deliver. Image shown: Ecogen’s Ransonmoor Wind Farm
  • 4. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 07 Primary energy Government’s target. East of England potential. 15% of primary energy The region has the potential requirements should come to achieve 20% of final in the Region from renewables by 2020 energy consumption from renewables by 2020 15% 20% The report identified four key A report commissioned by Renewables East with funding support from East of England. areas of opportunity in heat National average. EEDA and wide support from the region including East of England renewables: 2.2% of our primary energy Regional Assembly, Environment Agency, Natural England, numerous 1.4% of primary energy • Community off gas grid comes from renewables local authorities and businesses, showed that the East of England could comes from renewables installations. Over 30% of the plot a course to surpass the Government’s target for 15% of primary energy requirements to come from renewables by 2020. region’s housing is currently not connected to the gas network. 2.2% 1.4% We are already the UK’s leading region in this field with 8.9% of our Often these properties are electricity supply, and 2.2% of our primary energy overall – coming poorly insulated, and together from renewables, against a national average of 1.4%. with using heating oil, are responsible for high costs The region has the potential to achieve 20% of final energy consumption and carbon emissions. • Individual business from renewables by 2020. This would generate over 75,000 jobs of which installations. Many businesses a further 24,000 could be captured within the region, increasing regional rely on costly and high carbon economic activity by more than £1 billion a year and reducing the region’s emitting oil heating for main carbon emissions by 24%. supply or back-up supply. To increase their competitiveness, To achieve such ambitious goals means the region needs to maintain businesses need to look to its significant progress. It is a tough challenge but one we are absolutely renewable alternatives. confident that the region, with support from Renewables East, can • New developments. With deliver on. 500,000 houses and associated public and commercial buildings The report also found that while demand for electricity and transport needing new heat sources, fuel is likely to increase, the demand for heat in buildings is likely to fall renewable energy will play an due to their greater thermal efficiency and industrial processes. increasingly important role in delivering on site energy supplies. It is already clear that the region is going to significantly benefit from • Biogas to feed into the offshore wind with the creation of the multi-billion pound market gas grid. Anaerobic digestion around our coast, and key investments such as OrbisEnergy, to capture produces methane (natural new business opportunities. The region needs to bring forward a raft of gas). With some cleaning, measures to stimulate and capture benefit from an increased deployment this gas, subject to legislation, of renewable energy. In particular, a massive growth area is the provision could and should be fed into of heat from renewable sources. the national gas network. Image shown: Lotus Exige 270E Tri-fuel, which runs on any mixture of petrol, bio-ethanol and methanol
  • 5. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 09 East of England Renewable Technology Acceleration Energy Statistics June 2008 The East of England could exceed its 2010 offshore The region only has some 70 turbines - or 120MW target of 317MW, if, The Gunfleet Sands Round One of installed capacity - up and running so far. During project off Clacton and Airtricity’s Round Two Greater the 12 months to June 08, only 4 schemes (53 MW) Gabbard project off Orford, deliver to their planned have been approved but 8 schemes (99MW) refused. timetables. The signs look good following Dong Renewables East is therefore disappointed that the Energy’s acquisition of the 108MW Gunfleet Sands new Infrastructure Planning Commission is currently project and the grant of consent for Greater Gabbard. not intended to deal with schemes less than 50MW, As a result the region could well meet its overall and has lobbied accordingly. target of 10% electricity from renewables by 2010. The relaxation in April this year of rules governing solar The region’s 2020 target - of at least 17% electricity and heat pump installations should mean more smaller from renewables - will need to be met purely from scale power generation. While the larger housing onshore renewables. The disappointing rate of planning schemes to be built as part of 500,000 homes planned permissions for onshore wind schemes over the past for the region could easily source all their power and year is therefore a matter of concern. heat from local renewable energy generation. Renewables East is to develop a Technology Acceleration Renewables East is working with businesses, universities, scheme backed by EEDA funding to stimulate more trade associations and support organisations capable of Planning decisions June 07-June 08 renewable technology developments. delivering and supporting innovation in all these areas. Approved by Approved Refused by Refused New local authority on appeal local authority on appeal applications Although there is significant demand for new innovation Using this style of support Renewables East has Coldham Extension 12-14MW Kessingland 6MW Poddington 20MW Guestwick 12MW Lotus resubmission 6MW in the low carbon arena, the demand is not being met demonstrated significant success in the past, for Tilbury (UDC decision) 8MW Bradwell on Sea Wadlow Farm 30MW Hempnall 14MW Swaffham Extension 12MW Snowmountain 2MW 25MW with credible and investment ideas. This Scheme will example, working with JDR Cables to innovate their Flag Fen 12MW French Farm 4MW help innovators at the earliest stages of their work to cable design. Making it available to the offshore wind Creek Road 2MW Benington 6MW assess their ideas in terms of both “technology-push” market has resulted in new multi-million pound orders Earls Hall Farm 10MW and “market-pull”, and in this way assist them in being won. QE Hospital 0.8MW 22MW 31MW 86.8MW 12MW 32MW underpinning their business plans with a credible route to market. The scheme’s first call will be for innovations in the field of offshore renewables, since global demand Progress - Installed capacity of all renewables against 2010 and 2020 targets (MW) The scheme will involve a twice-yearly call for innovation. for wind turbines is set to remain significantly higher 1800 Applications will be assessed by a panel. Funding for than supply, while for successful innovations there are 1600 the projects that are selected will come from Renewables financial incentives such as 1.5 times ROCs (Renewable 1400 East and from selected third-party service providers. Obligation Certificates) for offshore wind technologies, 1200 and 2.0 times ROCs for marine technologies. MW 1000 Support will be available for components, systems, 800 services, research, infrastructure, grid connectivity The second call for innovation is likely to go out towards 600 and transmission, investment analysis, and the end of 2008, and support will be available for all 400 200 intellectual property/patenting. technologies credited as being ‘Renewable’ under the 0 terms of the Renewables Obligation (RO). 2003 2004 2005 2006 2007 2008 2009 2010 (E) 2010 (T) 2020 (T) Image shown: Lotus Concept Ice Vehicle Landfill Gas Biomass Onshore wind Offshore wind All onshore technologies
  • 6. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 11 BioREGen and Anaerobic Digestion Conference The highly successful BioREGen project ended in be actively involved with Government in developing March 2008 with a London conference on Anaerobic a framework for the future. Digestion (AD) - the first event of its kind in the UK. BioREGen provided £20,000 towards developing The event, a complete sell-out, was attended by more a Quality Protocol and Digestate Standard (PAS 110), than 250 delegates from all over the UK and by 17 a protocol which could be in place by early 2009. exhibitors from across Europe. The project has given rise to a series of guidance notes In his keynote speech, Jeremy Eppel from DEFRA’s for biomass projects; studies into technologies including Farming for the Future programme, outlined deployment of combined heat and power using wood Government interest in AD as part of its renewable waste; and surveys of potential energy feedstocks. energy strategy. The Renewables East decision to focus on AD and Presentations at the event covered topics including gasification through its BioREGen project has been a digestate standard, organic residues from municipal fully vindicated. These are now recognised as emerging waste collections, opportunities for land owners, ‘advanced technologies’ qualifying for ‘double ROCs initiatives for a zero-waste strategy, and the handling (Renewable Obligation Certificates)’ from April 2009. of pig slurry and commercial food waste. The potential for small scale gasification projects has been shown by PurePower’s Huntingdon plant. Richard Parker, Development Director for Bio Energy, outlined the BioREGen project to delegates. BioREGen Which is why, although the BioREGen project is now has enabled Renewables East to significantly advance ‘closed’, Renewables East continues to work to promote AD technology across the region and the UK, and these technologies and give support where possible. Image shown: OWS – Dranco System, located in Stuttgart
  • 7. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 13 PurePower “PurePower really appreciated From 2006 to 2008, Renewables East invested £680,000 of funding the practical support and from EEDA under the Government’s Business Resource Efficiency and guidance received from Waste (BREW) programme, for our BioREGen project. Renewables East throughout the development stage of a BioREGen was set up as a regional initiative to identify and evaluate number of its projects located opportunities to divert material from landfill, and to recover renewable in the East of England.” energy from organic residues and waste wood. BioREGen also provided support to help companies ‘kick-start’ projects in this arena. Adam Overfield Chief Executive One of the companies to have benefitted from BioREGen’s support is PurePower PurePower, which focuses on the development, construction, ownership and operation of renewable power stations. PurePower also explores the acquisition and development of waste recycling businesses. Earlier this year PurePower raised financing totalling £12 million, allowing the company to acquire Huntingdon Recycling, a large composting and wood recycling business on a 14 acre site by the A14/A1 junction. The facility currently composts a large proportion of Cambridgeshire’s green and animal by-product waste and also processes large volumes of mixed waste wood. On the site, PurePower is investing up to £8 million on advanced gasification/ pyrolysis technology. This will produce a ‘syngas’ used to generate around 3MW of electricity - enough to power the equivalent of 5,000 homes. Waste heat from the power generator will be used to dry material to be sold as a biomass fuel. The process will save up to 25,000 tonnes of wood waste a year from going to landfill. The site - to be finished by late 2008/early 2009 - will comply fully with the Waste Incineration Directive, and the company expects to construct up to five other plants at strategic locations in early 2009.
  • 8. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 15 Renewable Energy Highlights 2007/08 • urePower announced their financing of the P • overnment Renewable Energy Strategy sets G £7 million Huntingdon plant to generate 3MWe out £100 billion plan to achieve 15% of primary from the pyrolysis / gasification of wood waste. energy from renewables by 2020. • ritish Sugar commissioned the UK’s first B • enewables East Primary Energy Report puts region R bioethanol plant at Wissington, demonstrating on course to produce 20% of its primary energy a carbon saving of 71%. demand from renewables by 2020. • he Renewables East BioREGen project culminated T • he East of England Plan is the first regional spatial T in the sell-out Anaerobic Digestion event in London strategy requiring new developments to include - the UK’s first event of its kind. renewable energy. • he Crown Estate announced Round 3 of Offshore T • lanning permission no longer required for P Wind Developments, taking UK capacity from 8GW photovoltaic installations. to 33GW by 2020. • ambridge University secure £5 million Carbon C • rbisEnergy won EU project of the year AND O Trust investment to develop and deliver organic National Gold Winner – England International photovoltaic technology. Green Apple Awards 2008. • egional company PolySolar secure £1 million R • enewables East, working with industry and R investment from Technology Strategy Board regional stakeholders, ensured development to develop new photovoltaic. of a new UK protocol for Anaerobic Digestion. • rident Energy secures £700,000 of investment T • irtricity/Scottish and Southern Energy chose A for region’s first wave technology test site off the Lowestoft as their long term operation and coast of Lowestoft, at which Trident’s first array maintenance base for the £2 billion Greater of four point absorber devices is to be deployed Gabbard offshore wind farm following planning following their manufacture in the Lowestoft area. consent for a heli-pad and hanger. For the same • enewables East secures the East of England as a R pilot region for £1 million BERR (Department for project, Cambridgeshire-based JDR Cables secured Business, Enterprise and Regulatory Reform) the multi-million pound contract for the investment into piloting renewable technologies inter-turbine array cables. • herringham Shoal offshore wind and Gunfeet S to relieve fuel poverty. Sands Phase 2 wind farms consented. • astern Renewable Energy Academy established E • ver 2GW (approx £5 billion capital) offshore wind O - a regional partnership of Further Education now consented around region awaiting construction. Colleges, sector skills councils, and industry. • nvirolink produce DVD highlighting the region’s E advancing renewable energy capabilities and technologies.
  • 9. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 17 OrbisEnergy soon to be ready for business “OrbisEnergy is open for business and changing the outlook for Lowestoft.” This iconic low-carbon structure, housing a unique business space, grew out of the regional commitment from EEDA, ERDF, Waveney District Council, Renewables East and Suffolk County Council to capture a bigger share of the growing offshore wind, wave and tidal energy technologies. A huge boon, helping establish OrbisEnergy at the heart of the region’s offshore renewables industry, came in May 2008 when national energy utility Airtricity/SSE (A/SSE) signed up as a key anchor tenant. A/SSE’s pledge came after planning consent was given allowing Bond Air Services to build a helicopter pad and hanger in the Lowestoft Harbour’s docks area. The deal between Bond Air and A/SSE is the first of its kind in the UK offshore wind sector. The move sees A/SSE committing itself to OrbisEnergy, Lowestoft and the region, by making OrbisEnergy the company base for the long-term operation and maintenance of their 500MW, 140-turbine Greater Gabbard offshore wind farm. As well as its role in fostering business creation and growth, OrbisEnergy has spectacular exhibition and conference facilities. A number of high profile events have already been booked for guests including the Royal Institution of Chartered Surveyors and WindPower Renewable Solutions Ltd. The role for OrbisEnergy is to develop and grow as part of the wider, surrounding energy park; to give tenants the space they need to expand, and to work closely with complementary businesses within the low-carbon and offshore renewables energy sector. Underpinning regional growth in this sector is EEDA’s award to Renewables East, of the feasibility assessment for four regional capital infrastructure projects, two of which are directly linked to the offshore renewable agenda. Image shown: Steve Clarke, Development Director, Offshore Renewable Energy at OrbisEnergy.
  • 10. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 19 JDR Cable Systems The Crown Estate announces Offshore Round 3 - complete Indicative Economic Potential for Offshore Wind The Crown Estates’ 4th June 2008 announcement on Round 3 for offshore wind developments further emphasised the East of England’s role at the forefront of the offshore renewable energy industry. Under the auspices of its Championing Offshore Greater Gabbard offshore wind farm - a round 2 Renewables programme, Renewables East feels both project which, once built, will be the largest offshore proud and privileged to have been able to support wind farm in the world at 500MW from 140 turbines. JDR Cables during their ongoing diversification from oil and gas umbilical cables, into offshore wind. So, for Ely-based JDR Cables Ltd. renewable-sector growth is on the agenda for the foreseeable future. During 2006/7, year one of the Championing Today it’s within their domestic market, but in years programme, Renewables East supported JDR’s to come, theirs will undoubtedly become a huge need to assess the market opportunity by providing regional success story in terms of penetration into Legend sector/market and technology data, contacts, and export markets too. Round 2 Development Zones offshore wind farm project information, including Potential Round 3 procurement timescales. Development Zones “Renewables East’s support, UK Territorial Sea Limit Having then made their decision to target specific technology understanding offshore wind projects, JDR were further supported and access to market in year two (2007/8), but this time Renewables East’s information, was invaluable Note intervention had a clear focus on driving down for JDR in securing the UK’s This map represents The Crown production costs through lean manufacturing largest component order Estate’s initial view of locations of and productivity initiatives. for offshore wind.” potential zones for the development of offshore wind farms. It will be This strategic positioning of their cost and pricing Patrick Phelan subject to revision. The zones do structure relative to the market has helped yield Managing Director not in any way reflect the output the recent confirmation of contract award for the JDR Cable Systems Ltd of BERR’s SEA. inter-turbine array cable order for Airtricity/SSE’s
  • 11. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 21 Responding to Working with LAs across the Skills Shortage the region to address planning permission Fulfilling the region’s potential for the uptake of renewables will require Renewable energy is becoming more common in Having recognised this need, in 2007, Renewables East a substantial increase in the number of skilled people – trained to high new build developments and retro-fit installations responded, in partnership with Creative Environmental standards – in the region. across the UK. Networks, by holding a series of events across the region for local authority planning department staff. Recognising this need, Renewables East seeks to support agencies and As a result, local authority planning department organisations involved in all aspects of training, and where possible, staff are having to assess increasing numbers of These bespoke training sessions were tailored make its own contribution. applications involving the deployment of renewable specifically to help relevant staff better handle this energy technologies. important element of sustainable development. After a visit to the Renewable Energy Installer’s Academy in Northern Ireland, facilitated by Renewables East, a group of colleges and sector To enable them to make fully informed decisions A further round of updated seminars will take place skills councils, along with the Higher Education Funding Council for as to the suitability of proposed installations, these in the Autumn of 2008, and will again bring England and MOVE, realised the opportunity for the region and formed personnel need a basic understanding of the common up-to-the-minute, relevant and expert knowledge the Eastern Renewable Energy Academy (EREA). technologies, and a much more detailed understanding to local authority planning department staff across of the current tools available to them from the the region. EREA, a virtual academy of training providers, supports and stimulates planning system. sustainability and growth in the use of renewable and alternative energy technologies in the East of England. It aims to drive the low carbon economy, stimulate and increase demand for, and use of, renewable and alternative energy systems, and provide a forum for sharing best practice in training. In June 2008, EREA, with six European partners, submitted a one million Euro bid to the Intelligent Energy Europe programme. If successful this funding will facilitate workforce development, training and skills programme development, quality assurance standards and technology awareness-raising, in seven countries. This group is also putting together a bid that will be submitted to the recently announced Learning Skills Council’s Further Education Specialisation and Innovation Pathfinder Project. If successful this will see EREA members take the lead in a national project facilitating knowledge transfer in the Further Education network between businesses and training providers. Image shown: Heat pump lab at Lisburn College, Northern Ireland
  • 12. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 23 Resource EMDA Efficiency East Developments The REE programme will: In a move that recognises the many successes we have had in delivering Based on Renewables East’s successes in the East Image shown: Centrica’s Lynn and Inner Dowsing offshore wind farm key regional projects and programmes, Renewables East has been tasked • romote Business Link P of England, similar support services are now being to lead the Resource Efficiency East (REE) regional project. as its key point of contact. provided to business in the East Midlands on behalf • ssist business to identify A of the East Midlands Development Agency (EMDA). REE aims to improve resource efficiency among the region’s businesses, potential resource savings particularly among small and medium sized enterprises (SMEs). as well as the actions needed The two year programme is a little over halfway to achieve those savings. through but already a significant number of businesses Having been allocated £2.1 million for the project, the Renewables East • aximise nationally funded M have been helped to better understand technology REE programme will help businesses in the East of England become more activity in the region. development opportunities for offshore wind, wave and • nsure businesses receive E efficient operationally, by delivering and coordinating a comprehensive tidal generation. The project has helped deliver greater effective, consistent and package of guidance, advice and support. understanding too of the opportunities for innovation quality support from in the renewables supply chain, and of how to access The help and advice from REE will be business-focused and commercially- appropriate service providers. lean manufacturing and productivity assistance. • eliver effective solutions D orientated, giving practical guidance and support about all aspects of to environmental issues resource efficiency. Significant events have also been delivered to the of strategic importance. regional EMDA businesses, including a ‘Meet The • enerate new employment G REE is to establish a single point of contact for any business looking to Utility’ event with Centrica, and an event delivered and secure existing jobs. improve its performance. The aim is for REE to assist the region’s businesses in partnership with Siemens and others, focussed • timulate new environmental S to identify, implement and monitor environmental and resource efficiency wholly on the long term ‘Operation and Maintenance’ innovations. initiatives. These will in turn lead to a reduction in the environmental agenda, the first of its kind in the UK. • stablish resource efficiency E impact of regional businesses, bringing long-term efficiencies and as a key regional economic greater commercial competitiveness. function, further assisting Key REE initiatives will include business reductions in CO2 emissions, the region to prosper in use of landfill, water consumption and materials. global, competitive markets.
  • 13. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 25 The way forward Financial Report for Renewables East Renewables East - Key Financials - Income Income for Renewables East has grown significantly £1,500,000 in the time the organisation has been in existence, £1,125,000 with grants providing its main source of income. £750,000 For the current financial year, prospects remain highly Renewables East is constantly growing and evolving positive; grants continue to be the main income stream, £375,000 with more projects being added to its portfolio of and total income is set to reach £1.5 million by the £0 work as the renewable energy agenda develops. end of the financial year. 2004/05 2005/06 2006/07 2007/08 Sponsorship Grant funding Other income and events EEDA Strategy Funds EEDA Enabling Funds EEDA Capital Fund Renewables East - Key Financials - Costs Renewable Planning Skills Resource Efficiency East Bio Renewable Energy The cost base of Renewables East is closely £1,500,000 EEDA Project Research Park Provision of training for LAs, monitored to ensure it always remains totally in line £1,125,000 planners and developers to Project management to deliver Research to develop the next with income. A small surplus has been achieved and provide an integrated approach resource efficiency to businesses generation of bio fuels and retained every financial year Renewables East has £750,000 to planning across the region bio energy technologies been established. £375,000 Policy Development Technology Acceleration Solar Energy Park The majority of funding received is invested in technical £0 Working in partnership with other Identifying technologies and Development of the UK’s first and professional experts, through a combination 2004/05 2005/06 2006/07 2007/08 organisations and businesses accelerating their deployment Solar Energy Park of employees and external consultants. Office and to investment administration overheads are actively managed to Communication and Office and Offshore Operation provide excellent value for money whilst keeping promotional activities administration costs Other Activity Advanced Biofuels Hub and Maintenance Centre costs to a minimum. Technical and Staff costs Virtual hub to facilitate contact Development of world-class professional fees OrbisEnergy between industry and academia facilities around servicing Championing the centre to drive the development of the offshore wind industry Renewables East - Income and Expenditure Account of excellence for Offshore advance generation biofuels Wave and Tidal Test Bed Renewables on the East Coast Fuel Poverty 2008 2007 2006 2005 Development of test facilities FE Skills Delivering Partnership Grant funding Community projects delivering for wave and tidal devices for 1,164,359 958,357 361,495 380,106 Working with FE establishments Sponsorship and events renewables projects to address the East Coast 66,293 90,181 95,120 0 to provide the training to meet Other income fuel poverty 150 250 1,098 10,257 Total income 1,230,802 1,048,788 457,713 390,363 skills shortages Community-scale Renewables Offshore Industry Technical and professional fees 595,206 490,062 137,426 139,801 (Northstowe) Development Staff costs 476,501 382,032 193,491 189,970 Project management to deliver Helping build supply chain Office and administration costs 33,796 22,787 23,952 19,640 community-scale renewables and O&M capacity Communication and promotional activities 99,418 96,463 71,267 23,256 Total costs 1,204,921 991,344 426,136 372,667 Surplus 25,881 57,444 31,577 17,696
  • 14. Renewables East Annual Review 2007/08 Helping Businesses seize the opportunities for Renewable Energy 27 Renewables East Team and Board Renewables East Team Renewables East Board Design 2Cs Communications James Beal Managing Director Cllr John Reynolds Chairman of Renewables East, Editorial 2Cs Communications Richard Parker Development Director: Chairman of East of England Print Breckland Print Bio Energy Regional Assembly Stock Revive 100 Offset Steve Clarke Development Director: James Beal Renewables East Offshore Renewables Peter Raftery Airtricity Photography Ian Williams Operations Director Paula Jennings Independent Susan Jordan Finance Director Corinne Meakins Campaign to Protect Rural England Many thanks to all who have Simon Chiva Project Manager: Paul Burall East of England kindly contributed photography Resource Efficiency East Development Agency used in this brochure Nigel Dent Project Manager: Northstowe Dave Riches East of England International Carole Randall Renewables Deployment Manager Simon Bishop English Partnerships Colin Allard Financial Accountant Richard Wells Norwich and Peterborough John Heath Delivery Manager Building Society Kim Warnes Office Manager Ian Mays Renewable Energy Systems Ltd Peter Lee Planning Advisor Jim Skea UK Energy Research Centre Pat Oakley Supply Chain Advisor Alan Agent Development Advisor Philip Curry Investment Advisor Strategic Partners and Funders BERR PROJECT PART-FINANCED Department for Business BY THE EUROPEAN UNION Enterprise & Regulatory Reform European Regional Development Fund Essex County Council Image shown: Aerogenerator concept, developed by Wind Power Limited
  • 15. Renewables East Annual Review 2007/08 Renewables East ZICER Building University of East Anglia Norwich Norfolk NR4 7TJ T 01603 591415 F 01603 591194 E info@renewableseast.org.uk www.renewableseast.org.uk RENEWABLES EAST