wind direct on-site electricity generation direct corporate uk... · times online fears over...

12
On-site electricity generation WIND DIRECT Low cost Low cost Fixed price for 10 years Fixed price for 10 years Zero capital Zero capital Zero risk Zero risk Zero carbon Zero carbon Wind Direct

Upload: ngothuy

Post on 06-Sep-2018

214 views

Category:

Documents


0 download

TRANSCRIPT

Wind Direct has local offi ces in Bristol, Cockermouth, Durham, Edinburgh, Haywards Heath, Hexham, Lancaster and Solihull. Our Sales offi ce address is: 19 Haugh Lane Industrial Estate, Hexham, NE46 3PU.

www.wind-direct.co.uk 0845 468 0230

On-site electricity generationW I N DD I R E C T

Low costLow cost

Fixed price for 10 yearsFixed price for 10 years

Zero capitalZero capital

Zero riskZero risk

Zero carbonZero carbon

Wind Direct

Do you want us to assess the feasibility of your site?

Call 0845 468 0230 [email protected]

W I N DD I R E C T

Prin

ted

on 1

00%

rec

ycle

d pa

per

usin

g ve

geta

ble

base

d in

ks

“Wind Direct has the best management, technical and execution team in the business.”Tom Murley, Head of HgCapital’s Renewable Energy Team

1

➊ Reduce your electricity costs

Wind Direct supply electricity that is 30-50% cheaper than the equivalent ‘brown’ electricity. We can do this because:

▲ renewable energy benefits from the Government’s support under the Renewables Obligation

by generating on-site we avoid use of system charges normally paid to network operators

You will still need to use some brown electricity, but you could expect to see your total electricity bill reduce by 10-20%. A 2MW turbine could save you £50,000 - £100,000 p.a. on your electricity costs, depending on the wind speed and electricity usage at your site.

Wind Direct’s innovative application of the Government’s Renewables Obligation allows our low cost, green solution to meet increasingly demanding industry needs.

The BenefitsElectricity prices are volatile and unpredictable in the short and long-term. Climate change is high on the world agenda. Wind Direct install wind turbines that supply energy to your site which is low cost, green and reliable.

“ We got involved with Wind Direct because we saw energy prices increasing. First and foremost, Wind Direct is giving us lower electricity prices.” Paul Cooper, Eastman Chemical Company

Brown Energy

Comparison of remote versus on-site power generation

Remote electricity generation

0%

100%

Cost of electricity

Use of system charges etc

On-site electricity generation

Wind Direct Energy

Left: Eastman Chemical Company, Cumbria

Longhill Road built in 2005

2

➋ Budget with certainty for 10 years

Keith Agnew, Energy Manager at Solutia in Newport says: “Wind Direct offer cost stability. Currently we’re looking at a 10 year agreement for virtually fixed price electricity with an option to extend in the future.”

Wind Direct’s electricity is fixed price because we can forecast what the wind will do far more reliably than conventional suppliers can predict fluctuations in the energy trading market.

The price only rises in line with the Retail Price Index (RPI). You contract to buy the electricity from the turbine for 10 years, allowing you to budget with a high level of certainty.

Uncertainty and price volatility are key challenges to business. Gas price rises have a knock–on effect on electricity prices because gas powered stations are a substantial component of UK electricity generation.

➌ Make an environmental statement

Wind turbines are a very positive environmental symbol and Wind Direct customers have found that their commitment to renewable energy brings numerous marketing, public relations, and corporate social responsibility benefits.

Wind Direct enables you to make a difference by generating clean renewable energy. Organisations can now choose to reduce their costs and their carbon footprint; taking action that is valued by customers, employees and shareholders.

Times Online

Fears over looming energy crisis in UK“The idea of the lights going out is not a fantasy. People seem to accept that security of energy supply is a right. It is not.” Simon Skillings, Director of Strategy and Energy policy at Eon UK.

20 May 2007

Don’t let Russia turn gas into a new weapon‘All of which gives him [Putin] huge influence in western Europe. If power is measured by the fear instilled in others – as many Russians believe – Putin is certainly winning, says The Economist.’May 27 2007

Shell Chief fears oil shortage in seven years ‘Mr van der Veer’s prediction that the oil industry would soon struggle to deliver sufficient conventional oil and gas to meet demand echoes growing concern from other oil bosses.’25 Jan 2008

NPower sparks new round of energy price rises‘With the price of crude oil, which is linked to the wholesale cost of gas, continuing to hover close to all-time highs of $120 per barrel… It is thought that domestic energy bills could rise by as much as 25 per cent over the next 12 months.’29 April 2008

BBC online

Opec warns oil could reach $200 ‘The trouble at Grangemouth is the latest spur to an already febrile oil market which has seen prices rise nearly 25% this year.’28 April 2008

What do our customers have in common?As well as suffering from energy price uncertainty, our customers all use a significant amount of energy on-site. We are working for all types of industry: a precision engineering company, a chemicals manufacturer, a petfood manufacturer, a ship repair yard, a large retail distribution organisation, an agricultural college and many others.

We work with customers of varied organisational ownership. We are working with owner-managed businesses, blue chip international corporates, and public sector organisations located in regions all over the UK.

3

Zero costOur aim is to make it as easy as possible for industry and commerce to gain the benefits of wind energy. Therefore, we look after all aspects of the planning, installation and operation, so that you can concentrate on your core business. We supply all the skills and finance required.

Zero Risk: Wind Direct fund all the development costs

We take all the risk on funding the costs of applying for planning permission, wind monitoring and electrical connection, which could be up to £100,000.

We only proceed to planning with sites which have a good business case and a good chance of getting approved. With a 97% planning success rate in the last 10 years, you can be assured of a professional and dedicated commitment to your project.

Zero Capital: We have funding ready for your turbine(s)

The cost of installing a 2MW turbine is around £2m but you do not need to make any capital outlay. HgCapital (previously part of Merrill Lynch) has established the largest fund for European renewable power projects at €300m, and they fund all Wind Direct projects. Funding is ready for your project the moment planning consent is granted, avoiding the normal project delays and ensuring savings at the earliest opportunity.

Your Commitment: You only need to lease us the land where the turbine stands and to buy the electricity it generates.

1. Lease a small piece of land We need to arrange a 20 year lease on the land. The turbine needs a space of about 15m x 15m during construction of the foundation. However, once this is filled in, the turbine only takes up a few car parking spaces. The land close to the turbine can often return to its original use.

2. Buy the electricity We set up a 10 year power purchase agreement between us. In years 11-20, a number of options are available, including another 10 year agreement.

“Wind Direct is a ground-breaking opportunity. It offers industry a simple, cost-effective and one stop solution to ever-increasing energy prices. It has the best management, technical and execution team in the business and, with HgCapital’s backing, the financial resources to deliver that solution.”Tom Murley, Head of HgCapital’s Renewable Energy Team

Zero carbon & taxesWhen Marks & Spencer announced their aim to become carbon neutral, their adviser Jonathan Porritt said that their plan was raising the bar for businesses in every sector.

“We don’t know what or when, but we can be sure new carbon taxes will soon be hitting industry. The cost of carbon will soon be built into everything. The world is waking up to the fact that emitting carbon has a price and we can’t go on emitting carbon free of charge.”

Martin Alder, Optimum Energy

4

Our processWe know how to fast track projects to deliver the savings and benefits your organisation wants immediately. Once you decide to proceed, a turbine should be up and running in 2 years; about 1 year after achieving planning consent.

➊ Do a free feasibility study into your site

▲ We carry out this step before visiting you. A desktop study will determine whether your site is likely to have a clear flow of good wind and space for a turbine. We look at the constraints that can reduce the usable space for turbines; such as residential dwellings, airports and any areas of ecological or cultural heritage value.

➎ Draw up commercial agreements

▲ Our commercial team draw up all the necessary agreements for the:

• project development • lease on the land • power purchase agreement.

➏ Construct and energise

▲ This stage involves the physical construction of the turbine foundation, managing erection of the turbine, and connecting it into your site’s electrical system. Through close liaison, we minimise the disruption to your activities, whilst ensuring that the health and safety of your staff and the public remains paramount.

Site constraints map

5

“ Our motivation is to run your turbine for 20 years at maximum productivity, making the most revenue for us and the greatest savings for you.”

➋ Get buy-in

▲ The cost-benefits of wind energy are proven, but it’s critical to have buy-in from influential people in your organisation right at the beginning. We often support and facilitate this process given the 20 year landlease commitment.

▲ Once the project goes public, we launch a dedicated project website to enable first class public consultation.

➌ Apply for planning permission

▲ Before submitting the planning application we prepare all the supporting documentation and work together with you in managing community relations. Consultations are made with various bodies such as the MoD, airports and the RSPB. We also carry out a number of in-depth studies looking at site design, turbine selection, wind monitoring and environmental impacts.

➍ Finalise civil and electrical designs

▲ In parallel with the planning process, our construction and electrical engineers will visit your site to identify what issues there will be in building and installing the turbine. We are used to dealing with the complexity of connecting into your on-site electrical infrastructure.

➐ Maintain efficient operation 24/7

▲ Monitoring the operation and maintenance needs of each turbine is very important in order to maximise productivity and income. Turbine stop statistics show that 87% are remotely resettable. We monitor the operation of wind projects 24 hours a day, for the lifetime of the turbine. Overnight monitoring is achieved in liaison with our offices in other time zones.

Through predictive modelling and proactive forecasting of maintenance needs we are able to achieve 99% turbine availability; an exceptionally high rate.

➑ Maximise revenue from selling electricity

▲ If your site is not using all the turbine electricity generation, our trading specialists negotiate its sale (export) to enable us to supply you at the best possible price.

24/7

Haverigg, built by Wind Prospect in 1992

6

Wind Direct is a member of the Wind Prospect Group. As a quality supplier, we are certified with the quality standard ISO 9001:2000; the Environmental Management Standard ISO 14001; the Health & Safety standard OHSAS:18001 and Investors in People. Wind Direct maintains very close relationships with its longstanding partners, Optimum Energy and Econnect.

All the core experience

Wind Prospect built Haverigg, the second wind farm in the UK, in 1992. Now, the group has developed and constructed 75 wind farms worldwide and has 24 offices in 8 countries. Wind Prospect has won the British Wind Energy Association’s (BWEA) Developers’ Developer award, and was ‘highly commended’ by the Renewable Energy Association (REA) awards in both 2006 and 2007.

Econnect started working on electrical grid integration of renewables in 1995 and have an enviable reputation built up from over 2000 renewable energy projects. In 2007 Econnect was involved in 85% of all wind power commissioned in Great Britain. Maintaining site electrical integrity is crucial, therefore being able to draw on Econnect’s innovative technical and construction skills is a major asset for any project.

Optimum Energy has 20 years experience in managing and trading energy.

Reassuringly experiencedWind Direct is founded on the expertise of three pioneering companies who began working in renewable energy in the early 1990’s. Wind Direct is working with clients to develop over 100MW of on-site generation from wind turbines (equivalent to 5% of the UK’s currently installed wind energy).

W I N DD I R E C T

Right: Dundalk Institute of Technology, Ireland Photograph courtesy of Larry Staudt.

Firsts in on-site generation

• First in IrelandWind Prospect built Ireland’s first ‘urban turbine’ (see opposite). Located on the grounds of Dundalk Institute of Technology it fits in beautifully with the many new buildings on the campus and provides around 30% of the college’s electricity demand.

• First in WalesSolutia in Newport has been granted consent for the first industrial on-site generation wind turbines to be built in Wales, expected to be operational in 2009.

• First Chemical PlantEastman Chemical Company is the first UK chemical plant to have wind turbines installed for on-site generation of green energy. Wind Direct installed two 2MW wind turbines on Eastman’s industrial complex, in Cumbria.

“Putting a turbine up in a chemical plant is very different to a farmer’s field. We’ve been impressed with how Wind Direct have dealt with the issues, working on all aspects of health & safety and publicity.” Paul Cooper, Energy Manager, Eastman

During 2007 Eastman were awarded a Chemical Industry Award for their commitment to sustainability.

7

The British Isles have the best wind resource in Europe

8

Will our electricity supply be reliable and will brown prices be affected?

The turbine connects directly into your electrical system and it works alongside your existing electricity supplier. There is a seamless transition between the turbine supply and the grid supply, ensuring there is no disruption to your power. Your current energy purchasing arrangements do not need to change. Our experience to date has shown that brown electricity prices are not adversely affected by the introduction of wind energy.

What’s good about brownfield sites?

Planning regulations for turbines below 5MW are simpler than those of a larger wind farm. Achieving planning permission and establishing a grid connection are the typical obstacles for a large wind farm. However, this is much easier for industrial or commercial sites which often benefit from:

fewer residential dwellings nearby▲

less impact on the visual landscape▲

existing electrical grid connections

existing access roads

few ecological or heritage concerns

How much electricity could a wind turbine supply us?

A 2MW turbine at a reasonably windy site will produce 5 million units of electricity p.a. (5,000 MW hours); enough to supply the needs of over 1,000 households. The turbine will supply you with all of its generation; any electricity that you don’t use can be exported to the distribution network. The level and

pattern of your existing electricity usage will determine what proportion will be replaced by wind energy.

How does Wind Direct recover its investment costs?

We recover our investment costs through selling the electricity to you and also via two financial incentives put in place for renewable energy generators. The Government’s Renewables Obligation requires electricity suppliers to purchase a proportion of their electricity from renewable sources in return for Renewables Obligation Certificates (ROCs), or face a penalty. Together with exemption from the Climate Change Levy (CCL), these two incentives enhance the value of renewable energy.

Why do you need a 20 year lease?

The lifespan of a typical wind turbine is 20-25 years, so we aim to secure a lease that gives time to recover the initial investment and make a reasonable return on the asset. At the end of the lease we remove the turbine and restore the land to its original use, at our own cost. The scrap/recycling value of the turbine at the end of its life more than covers the decommissioning cost.

What happens if our organisation moves location?

We built a turbine in Cambridgeshire (see opposite) which was due to supply electricity to a foundry. The business ceased trading at that location, but our turbine remains in operation; the electricity generated is now exported to the distribution network.

Can we do-it-ourselves?

If you want to fund the installation of the turbines we provide an alternative advisory service (Wind Direct Consulting), which provides you with a ‘pick & mix’ choice of services. We have a very flexible approach.

Which turbine is best?

The turbine is the single biggest project cost and correct selection is vital. Different turbines provide different yields in different wind conditions. They also differ in size, power, noise, and maintenance needs; so turbine selection is very specific to your site. The turbine needs careful maintenance to operate productively over 20 years, so our knowledge of how different turbines perform is highly relevant. We are not tied to any turbine manufacturer and select the best machine for your site.

Are turbine lead times an issue?

They can be but we mitigate against delays by:

bulk purchasing of turbines through our wider group

existing framework agreements through joint venture partners

long-standing relationships with turbine manufacturers.

Frequently asked questions

Right: Longhill Road, Cambridgeshire.

“Wind Direct has the best management, technical and execution team in the business.”Tom Murley, Head of HgCapital’s Renewable Energy Team

Wind Direct has local offi ces in Bristol, Cockermouth, Durham, Edinburgh, Haywards Heath, Hexham, Lancaster and Solihull. Our Sales offi ce address is: 19 Haugh Lane Industrial Estate, Hexham, NE46 3PU.

www.wind-direct.co.uk 0845 468 0230

On-site electricity generationW I N DD I R E C T

Low costLow cost

Fixed price for 10 yearsFixed price for 10 years

Zero capitalZero capital

Zero riskZero risk

Zero carbonZero carbon

Wind Direct

Do you want us to assess the feasibility of your site?

Call 0845 468 0230 [email protected]

W I N DD I R E C T

Prin

ted

on 1

00%

rec

ycle

d pa

per

usin

g ve

geta

ble

base

d in

ks