The Cost of Generating

EIectricity
st y carrie o t y o er for
The oyaI ca e y of Engineering
The Costs of Generating EIectricity
The Costs of Generating EIectricity
The oyaI ca e y of Engineering

arch
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The oyaI ca e y of Engineering
Great eter treet est inster on on
TeIe hone acsi iIe
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The oyaI ca e y of Engineering is a egistere Charity o

T E C E E G EE G

ore or
n or er to a e sensi Ie ecisions a o t energy oIicy for the oIicy a ers nee to e
a Ie to co are the costs an enefits of ifferent ty es of eIectricity generating technoIogies
on a Ii e for Ii e asis nfort nateIy the eIectricity ar et is co Ie The reIationshi
et een the cost of generating eIectricaI o er fro ario s so rces an the rice that
cons ers ay is I rre y irect an in irect s si ies ar et echanis s trans ission
an istri tion costs The tr e costs of generating eIectricaI o er are often o sc re y
co erciaI sensiti ities an co eting cIai s a e the eter ination of sensi Ie energy
oIicy iffic It an often i recise
The oyaI ca e y of Engineering has ta en a een interest in energy oIicy an has often
een concerne a o t the Iac of cIarity et een co eting cIai s o er hat is the est i
of generation an ho the eIectricity ar et sho I e ani Iate to achie e the ai s of the
Go ern ents c rrent energy oIicy To heI i ro e n erstan ing the ca e y has
atte te to co are the costs of generating eIectricity fro a n er of ifferent
technoIogies in an e enhan e an is assionate anner an co issione o er to
carry o t a st y
The co Ie financiaI str ct res of co erciaI roects ean that it is often i ossi Ie to
co are the ca itaI costs of generating Iant in a eaningf I anner This st y has ta en
hat e no to e the act aI costs of iI ing aintaining an r nning ario s ty es of
o er station in the an eri e costs of ro cing eIectricity y sing a co on financing
o eI ith a no inaI isco nt rate of t co ares ne iI o er stations on a Ie eI
Iaying fieI an e a ines their sensiti ities to e issions costs an f eI rices The fig res
resente here are therefore in icati e rather than re icti e o e er nIi e any other
co iIations of costs they co are Ii e ith Ii e an therefore iII e of i ense se to
oIicy a ers
The iss es to e a resse hen consi ering an energy oIicy incI e sec rity of s Iy
en iron entaI i act nationaI co etiti eness an sociaI concerns Each technoIogy
e a ine in this st y has its o n set of characteristics that are aI e to ore or Iesser
e tents e en ing on the conte t an hich ha e a earing on fo r iss es a o e ence the
i of generation cannot an sho I not e eter ine soIeIy y cost t a rigoro s
n erstan ing of those costs iII ena Ie oIicy a ers to n erstan the Ie eIs of s si y or
ar et ani Iation that is re ire to gi e a esire o tco e rther ore those ar et
echanis s an s si ies sho I reIate irectIy to the artic Iar for of generation an the
ercei e enefit rather than eing s oothe across the syste gi ing rise to cross
s si ies
This e a ination of the costs of generating eIectricity is a fo n ation on hich isc ssion
a o t f t re energy oIicy incI ing s si ies an ar et echanis s can e ase
r hiI f f Ies C E Eng
Chair an of the t y teering Gro
T E C T GE E T G E ECT CT

C TE T
E
C TE T
Iist of a re iations

i s
es Its
ET G
The ro Ie ith eIectricity
eIe ant costs
nter ittency
E tent of in inter ittency
Cost of stan y generation
eIection of technoIogies
E
er ie
ossiI f eI rices
io ass f eIs
E E T C E T
egisIation
ate ent of e issions
I h r io i e
i es of nitrogen
artic Iates
Car on costs
E TEC GE
CoaIfire
I i i e e co stion
CoaIfire C
io assfire
CoaIfire GCC
Gas t r ines
Gasfire CGT
Gasfire CCGT
cIear fission
in t r ines
nshore
ffshore
a e an arine technoIogies
E T E C E E G EE G E E G T
T E C E E G EE G

T E T
C ance C eactor
G ance GasCooIe eactors
T est a aiIa Ie techni es
Iing fI i i e e
C car on io i e
C circ Iating fI i i e e
CCGT co ine cycIe gas t r ine
T e art ent of Tra e an n stry
E e issions Ii it aI e
ET E issions Tra ing che e
E Energy nfor ation inistration
E C engineer roc re an constr ct
EEC E ro ean Econo ic Co nity
E E ro ean ress rise ater eactor
E E ro ean nion
G fI e gas es I h risation
GT gas t r ine
G gigao Ies
G heat reco ery stea generator
ert fre ency cycIes er secon
T high te erat re reactor
higher heating aI e
GCC integrate gasification co ine cycIe
C integrate oII tion re ention an controI
C interest ring constr ction
E nternationaI Energy gency
E oint Energy ec rity of Iy or ing Gro
iIo att
h iIo attho r
C Iarge co stion Iant irecti e
G Ii efie nat raI gas
Io er heating aI e
CT arine C rrent T r ines
T assach setts nstit te of TechnoIogy
ega att
th ega att ther aI
i e o i e
ationaI ir aIity trategy
E ationaI E issions e ction Ian
itrogen io i e
E cIear Energy gency
CGT o encycIe gas t r ine
o eration an aintenance
EC rganisation for Econo ic Coo eration an e eIo ent
C osciIIating ater coI n
o i es of nitrogen
e Ie e o Iar reactor
erfor ance an nno ation nit
hoto oItaic
C oII tion re ention an controI
o er rchase agree ent
C ress rise fI i i e e
ress rise ater reactor
I erise f eI
C seIecti e cataIytic re ction
C seIecti e noncataIytic re ction
T stea t r ine
s I h r io i e
T E C T GE E T G E ECT CT

T E C E E G EE G

i s
o er has een a ointe y the oyaI ca e y of Engineering to n erta e a st y of
the costs of generating eIectricity The ai of the st y is to ro i e ecision a ers ith
si Ie so n Iy ase in icators of cost erfor ance for a range of ifferent generation
technoIogies an f eIs
There are of co rse aI ost Ii itIess f eI an technoIogy co inations an as s ch the foc s
of this artic Iar st y is to e a ine the costs of eIIesta Iishe technoIogies a ro riate to
the as eII as those hich are Ii eIy to eco e esta Iishe or an a Ie o er the ne t
fifteen to t enty years
t is i ortant to ra a istinction et een the cost of generating eIectricity an the rice for
hich it is soI in the ar et This st y is soIeIy concerne ith generation costs an not
ith eIectricity rices
ith a at re eIectricity s Iy in stry as fo n in the there is the o tion to e ten the
Iife of an e isting o er station eyon its originaI esign Iife ith seIecte reha iIitation or s
an or retrofitting of a itionaI e i ent for i ro e erfor ance This st y oes not
e a ine the erits of e ten ing the Iife of e isting Iants its rinci aI o ecti e is to co are
the costs of generating eIectricity fro ne Iants a ro riate to the syste hich are
co Iiant ith e isting an ro ose en iron entaI IegisIation
II generation technoIogies e hi it so e egree of inter ittency or n re icta iIity to a
greater or Iesser e tent The Ie eI of inter ittency ho e er for certain rene a Ie generation
technoIogies s ch as in t r ines is generaIIy higher than for ore con entionaI for s
o ing to the n re icta Ie nat re fic Ieness of the energy so rce in the in itseIf ne of
the chaIIenges face y this st y is to eri e a ro st a roach to co are irectIy the costs
of inter ittent generation ith ore e en a Ie so rces of generation on a Ii eforIi e asis
es Its
The cost of generating eIectricity as efine ithin the sco e of this st y is e resse in
ter s of a nit cost ence er h eIi ere at the o n ary of the o er station site This
cost aI e therefore incI es the ca itaI cost of the generating Iant an e i ent the cost
of f eI rne if a Iica Ie an the cost of o erating an aintaining the Iant in ee ing
ith est ractices
ithin the st y ho e er the cost of generating eIectricity is ee e to refer to that of
ro i ing a e en a Ie or fir s Iy or inter ittent so rces of generation s ch as in
an a itionaI a o nt has een incI e for the ro ision of a e ate stan y generation

iththe e ce tion of n cIear the anaIysis ass es that eco issioningis cost ne traI The ca itaI cost
esti ate for n cIear Iant incI es an aIIo ance for the costs of eco issioning
T E C T GE E T G E ECT CT

The fin ings of this st y are s arise in ig re hich iII strates the resent ay costs
of generating eIectricity fro ifferent ty es of technoIogy a ro riate to the
ig re Cost of generating eIectricity ence er h ith no cost of C e issions incI e
or aseIoa o eration ie those Iants hich are o erate contin o sIy the chea est ay to
generate eIectricity in the f t re fro ne Iant ie ignoring reha iIitation of e isting Iant is
y constr cting co ine cycIe gas t r ine CCGT Iant esigne to rn nat raI gas
Ta Ie s arises the cost of generating eIectricity for the ifferent aseIoa Iants
consi ere y this st y
Ta Ie Cost of generating eIectricity for aseIoa Iant ence er h
or ea ing o eration ie generating for Ii ite erio s of high e an an ro i ing stan y
ca acity o encycIe gas t r ines CGT fire on nat raI gas are the ost a ro riate ne
Iant can i ates CGT is i eaIIy s ite for the roIe of ea ing ty hich re ires fIe i iIity
reIia iIity an can e starte ic Iy sho I the nee arise e esti ate that the cost of a gas
fire CGT generation iII e a o t ence er h if o erate contin o sIy o e er
the a erage cost iII rise to a o t ence er h if onIy o erate for Ii ite erio s of
ti e consistent ith ea ing ty ie for onIy er cent of the ti e say
Gasfire CCGT
cIear fission Iant
CoaIfire I erise f eI stea Iant
CoaIfire circ Iating fI i i e e C stea Iant
CoaIfire integrate gasification co ine cycIe GCC
T E C E E G EE G

ene a Ies are generaIIy ore e ensi e than con entionaI generation technoIogies This is
e in art to the i at rity of the technoIogy an the ore Ii ite o ort nity to ta e
a antage of cost sa ings ro ght a o t y econo ies of scaIe s aIIy associate ith ore
tra itionaI fossiIf eI ty es of generation n a ition fI ct ations in the energy so rce itseIf
ay Ii it the o t t of generation a aiIa Ie fro these technoIogies an th s raise the nit
costs of the generator on t o co nts
as ca acity factor faIIs nit costs of generation rise
a itionaI fast res onse stan y generating Iant ay ha e to e ro i e to aintain
syste sec rity as the energy so rce fI ct ates
Ta Ie s arises the cost of generating eIectricity ith an itho t the a itionaI cost of
stan y generation fro the seIection of rene a Ie technoIogies consi ere y this st y
Ta Ie Cost of generating eIectricity for seIecte rene a Ies ence er h
Itho gh the f eI co onent of eIectricity ay re resent as ch as er cent of the totaI
cost of ro ction eri ing a etaiIe forecast of f t re f eI rices as o t ith the sco e of
this st y n or er to co are the costs of ifferent f eIs se in eIectricity generation e
ha e ta en a rag atic ie of historicaI rices an the ey ri ers affecting f eI rices o ing
for ar to eri e reasona Ie ench ar s fro hich to erfor sensiti ity anaIyses
ig re iII strates the effect on the cost of generating eIectricity gi en a change of er
cent in f eI rice here the ase cost of coaI is er tonne an nat raI gas is ence er
ther
itho t stan y ith stan y
generation generation
o Itry Iitterfire Iing fI i i e
e stea Iant
nshore in far
ffshore in far
a e an arine technoIogies

ca acity factor is an o erationaI ter to re resent the e tent to hich the generator is ro cing eIectricity
o er a erio eg a year in t r ines ha e ty icaI ca acityfactors of er cent hiIst Iarge coaI or
n cIear Iants ay ha e ca acity factors in e cess of er cent hen o eratingon aseIoa

The a itionaI cost of stan ygenerationfor a e an arine technoIogies has not een incI e eca se onIy
Io Ie eIs of enetrationare e ecte ithin the st y horion
T E C T GE E T G E ECT CT

ig re Effect of change in f eI rice on the cost of generating eIectricity
t the ti e of riting this re ort no fir co it ent has een gi en y the Go ern ent on
ho car on io i e C

e ission aIIo ances iII e aIIocate to ne entrant generation

Iant for the erio to n ie of this ncertainty a conser ati e a roach has
een a o te y the st y to r en er cent of the o t t fro fossiIf eIIe generation
ith a notionaI cost caIc Iate in ter s of er tonne of C

reIease or the r oses of

this st y a range of aI es et een ero an er tonne as se here the er Ii it
refIects the re orte cost of C

se estration
ig re iII strates the otentiaI increase in generating costs ro ght a o t y the
intro ction of car on e ission aIIo ances
T E C E E G EE G

ig re Cost of generating eIectricity ith res ect to car on io i e e ission costs
ero to er tonne
t is cIear that C

costs iII onIy affect those technoIogies rning fossiIf eIs The Io er
efficiency of stea Iant co ine ith the greater Ie eI of car on fo n in coaI co are
ith nat raI gas eans that the ga et een CCGT Iant an other coaIfire technoIogies
iII i en as the cost of C

increases The cost of n cIear an other rene a Ies ee e

to e car on ne traI re ain nchange an therefore eco e ore co etiti e as the
s ecific cost of C

e issions increases
T E C T GE E T G E ECT CT

ET G
The ro Ie ith eIectricity
The f n a entaI ro Ie ith the s Iy to an e an for eIectricity is that it cannot e
store nce generate eIectricity st e eIi ere an cons e i e iateIy o ing to
technicaI iffic Ities ith an the rohi iti eIy high cost of storage n this regar eIectricity
is erha s a ni e co o ity in that the rate of its ro ction st aIance the rate ith
hich it is cons e at aII ti es
s one ight e ect e an for eIectricity oes not re ain constant an fI ct ations in
Ioa occ r
at ifferent ti es of the ay to refIect the attern of or ing ho rs an the effects of
eIectric Iighting coo ing heating etc
on ifferent ays of the ee to refIect the atterns of in striaI an co erciaI acti ity
on ee ays ee en s an hoIi ays an
in ifferent onths of the year often refIecting ifferent cIi atic con itions
n or er to ro i e a goo aIity s Iy of eIectricity therefore s fficient generation Iant
generation ca acity st e constr cte to eet e an at its highest oint y
i Iication this eans that there iII e ti es of the ay hen e an is not at it highest
oint an generation ca acity is stan ing i Ie ie not aII generation ca acity is f IIy tiIi e aII
of the ti e
This conce t of Iant tiIi ation is i ortant hen anaIysing the costs of generating eIectricity
t can e o ser e that a Iant ith Io tiIi ation ine ita Iy has a high nit cost of ro ction
eca se the sa e in est ent an fi e costs of o eration an aintenance are reco ere
o er fe er nits of ro ction The generaI reIationshi et een Iant tiIi ation an the nit
cost of ro ction is iII strate in ig re eIo
ig re Effect of Iant tiIi ation on the nit cost of eIectricity ro ction
T E C E E G EE G

eIe ant costs
The cost of generating eIectricity as efine ithin the sco e of this st y is e resse in
ter s of a nit cost ence er h eIi ere at the o n ary of the o er station site The
reIe ant costs of generating eIectricity can for the r oses of this st y e i i e into fo r
ain categories
Ca itaI e en it re ie the initiaI Ie eI of in est ent re ire to engineer roc re an
constr ct the Iant itseIf
i e costs of o eration an aintenance eg staff saIaries ins rance rates an other
costs hich re ain constant irres ecti e of the act aI ant of eIectricity generate
aria Ie costs of o eration an aintenance eg I ricating oiI an che icaIs hich
are cons e in ro ortion to the act aI ant of eIectricity generate an
The cost of f eI if a Iica Ie cons e in generating eIectricity
Th s ith so e reIati eIy si Ie inter oIation of the ario s cost eIe ents it is ossi Ie to
e ress the cost of generating eIectricity in ter s of the nit cost of eIectricity ence er h
for a gi en Ie eI of Iant tiIi ation or ca acity factor
or the a oi ance of o t the cost aI es eri e in this st y o not incI e the eIi ery
costs

of trans itting eIectricity o er the trans ission an istri tion syste s to an en

cons er nor o they incI e any aIIo ance for the rchase cost of Ian an reIe ant
er its ith the e ce tion of n cIear the anaIysis ass es that the costs of
eco issioning are e aI to the intrinsic scra aI e of the Iant e i ent itseIf n other
or s eco issioning is ass e to e cost ne traI
n a ition to the irect cost of f eI e ha e ta en into acco nt the i act of car on io i e
e issions costs in o r anaIysis range of costs has een consi ere ie fro ero to
er tonne or the r oses of iII strating the significance of this cost a notionaI aI e of
er tonne as se in the anaIysis resente in the nne

ca itaI roect s chas the constr ctionof a generating Iant can e e eIo e ina ariety of ifferent ays
n this res ect financingcharges IegaI fees an e eIo ers costs can ary consi era Iy et een ifferent
roects of a si iIar ty e or si Iicity the ca itaI cost esti ates se inthis st y onIy refer to the
engineering constr ction an roc re ent E C costs of e eIo ing a roect The hasing of ca itaI
e en it re rior toco erciaI o eration has een o eIIe toens re that the cost of interest ring
constr ction C is not o erIoo e

ote that trans ission an istri tioncosts increase as the istance of generation fro its Ioa increases
T E C T GE E T G E ECT CT

nter ittency
n a ition to fI ct ations in e an escri e in ection the aIance of aintaining a
reIia Ie s Iy of eIectricity is f rther co Iicate y atten ant fI ct ations in the s Iy itseIf
I ct ations in s Iy iII occ r as a res It of
fI ct ations in the s Iy of ri ary energy s ch as ater for hy roeIectric Iant or in
for in t r ine generators
the nee to ta e nits of generating Iant o tofser ice erio icaIIy for o erha I an ro tine
aintenance to ini ise the ris of nsche Ie Ioss an
nsche Ie Ioss or force o tage of Iant
I ct ations in the s Iy of ri ary energy s ch as coaI or gas sho I rareIy occ r ith
ro er o erationaI Ianning o e er the inter ittency of in an to a Iesser e tent ater
o ing to the fact it can e store in reser oirs in the case of hy roeIectric Iants or re icte
in the case of a e an arine technoIogies nee s s eciaI consi eration hen Ianning for
the nee s of a syste ne of the chaIIenges face y this st y as to eri e a ro st
a roach to co are irectIy the costs of inter ittent generation ith ore e en a Ie
so rces of generation on a Ii eforIi e asis
E tent of in inter ittency
The inter ittency of in raises t o ain iss es ith res ect to syste Ianning an
o eration
ro an o erationaI ers ecti e s fficient s inning reser e

st e aintaine to ens re
a sta Ie syste gi en contin o s fI ct ations in e an an s Iy s stantiaI a o nt
of or has een carrie o t to in estigate hether the inter ittency of in generation
at ifferent Ie eIs of enetration a s to the costs of aintaining a e ate s inning
reser e The ey ass tion generaIIy se in this ty e of anaIysis is to consi er the
a erage contri tion a e y an inter ittent so rce of generation to esti ate the ost
Ii eIy o tt rn scenario
ro a Ianning ers ecti e s fficient static reser e ca acity

st e aintaine to
ens re that e an can e et hen other generating nits are ta en o t of ser ice for
aintenance or Ianning r oses it is tra itionaI to ta e a essi istic or orstcase
ie of inter ittent generation so ens ring that there is a high Ie eI of confi ence that
e an can e et e en n er e traor inary cIi atic circ stances
ra ing on so rces of Iishe infor ation it o I a ear that the aority of st ies
n erta en to eri e a correIation et een generation fro in t r ines an syste
e an are ase on rather Ii ite a o nts of ti e series ata ty icaIIy onths hich
in o r ie ight not e re resentati e of a orstcase re ire for Ianning r oses e
are cognisant of so e Iishe st ies ho e er hich s ggest that for s aII Ie eIs of in
t r ine ca acity enetration the e i aIent fir ca acity a e to the syste is e i aIent

o er recognises the concerns of ario s sta ehoI ers ithres ect tothe sec rityof the s s Iy of
nat raI gas

Iant that is r nningat Iess than o t t hich can e caIIe oni e iateIy if sore ire ythe syste
o erator

Iant hich is a aiIa Ie for se on the syste an can e o erate gi en e notice
T E C E E G EE G

to a o t er cent of the instaIIe ca acity

e ha e se this fig re in the st y

itho t the enefit of ery etaiIe statisticaI anaIysis it is iffic It to ra concI sions
reIating to the correIation et een e i aIent fir generation fro in t r ines an syste
e an or the r oses of this st y therefore the a itionaI cost of ro i ing stan y
generation to s ort the other er cent of inter ittent in t r ine ca acity ie the
a o nt hich is consi ere nonfir has een anaIyse
There are of co rse other syste costs associate ith fI ct ation in s Iy fro aII for s
of generation The e aI ation of these syste costs is consi ere to e o t ith the sco e
of this st y
Cost of stan y generation
n a at re eIectricity syste ith s r I s generation ca acity Ii e that fo n in the the
chea est ay to ro i e stan y generating ca acity iII Ii eIy e fro e isting ther aI an
hy ro Iants ith s n costs Gi en the ne entrant cost conte t of this st y ho e er e
feeI that it is ore a ro riate to e Ioy a ro y for stan y generation ase on the costs of
an o encycIe gas t r ine CGT the chea est ne Iant o tion
The cost of stan y generation ca acity has een caIc Iate on the asis of the ann iti e
in est ent cost an costs of o erating an aintaining a s ita Ie CGT in the or
reasons isc sse Iater in nne a gasfire aero eri ati e gas t r ine in o encycIe
config ration as seIecte to e a s ita Ie ro y for the costs of stan y generation Ta Ie
resents the costs se in the st y
Ta Ie Cost of stan y generation
n a ition to the ca itaI cost of ro i ing stan y ca acity it sho I e recognise that there
are ifferences in the cost of eIectricity generate at ea an off ea ti es or the
r oses of this st y e ass e that the energy contri tion fro a in t r ine iII on
a erage is Iace f eI hich o I other ise e rne in a CCGT Iant n or er to acco nt
for the f II cost of ro i ing stan y generation e ha e a e the ifference in arginaI cost
et een the stan y generator CGT an the syste arginaI Iant CCGT to the
ro ortion of generation hich is not consi ere fir energy The ifference in arginaI cost
is esti ate to e a o t ence er h

aI e of is ro i e y a i iI orro in an articIe ene a Ies are the fears o eregge Iishe

in o er The oyaI ca e yof Engineeringesti ates a Io er aI e of et een
Ca itaI cost er
Econo ic Iifee ectancy years
isco nt rate
nn iti e cost er a
i e costs er a
T E C T GE E T G E ECT CT

eIection of technoIogies
ather than en erate aII ossi Ie f eI an technoIogy co inations this st y foc ses on
hat e consi er to e the referre co inations of technoIogy an f eI that ight e
constr cte y a co erciaI e eIo er in the to ay an o er the ne t to years
o ting this a roach has si Iifie o r e aI ation of the ifferent Iant o tions consi era Iy
as any of the ossi Ie er tations of Iant an e i ent o I in oI e the reha iIitation
of e isting Iant or retrofitting of ne Iant an e i ent hich o I strictIy s ea ing not
e irectIy co ara Ie technoIogies a ro riate o er the ti e scaIe of the st y
This st y co ers the foIIo ing ty es of generating Iant technoIogy hich are consi ere to
e an a Ie o tions for e eIo ent in the an or Ii eIy to e a significant contri tor to
eIectricity ro ision in the f t re
I erise f eI stea Iant
circ Iating fI i i e e C co stion Iant
integrate gasification co ine cycIe GCC Iant
o encycIe gas t r ine CGT Iant
co ine cycIe gas t r ine CCGT Iant
n cIear fission Iant
Iing fI i i e e co stion Iant
in t r ines onshore an offshore an
arine technoIogies
Each of the a o e technoIogies is riefIy escri e in the nne ith the res Its of o r cost
anaIysis t sho I e note that oth hy roeIectric an hoto oItaic technoIogies ha e
een e cI e fro o r anaIysis eca se
The sco e to constr ct ne hy roeIectric Iants in the is ery Ii ite o ing to the
aority of ia Ie sites ha ing aIrea y een e Ioite an constr ction of a s for the
i o n ent of Iarge ater reso rces eing no Ionger acce ta Ie for en iron entaI
reasons The rinci aI e eIo ents reIating to hy roeIectric Iant in the o er the
co ing years iII e concerne ith reha iIitation of e isting faciIities The cost of
generating eIectricity fro sche es ith s n costs is s ecificaIIy e cI e fro this
st y
technoIogy is a ancing consi era Iy t is stiII ho e er reIati eIy e ensi e co are
to other generation technoIogies has not een incI e in this st y eca se it is
nIi eIy to e a significant contri tor to the energy aIance ithin the st y hori on
o ing to the i at rity of the technoIogy an the reIati eIy Io e tent of soIar
irra iation resent in the

n a ition it sho I e note that energy fro aste technoIogies ere not consi ere as
art this st y as the eIectricity ro ce as ee e to e a y ro ct fro the aste
is osaI rocess t is recognise ho e er that the is osaI of io ass astes thro gh
incineration an the s se ent generation of eIectricity sing this so rce of energy co I
a e a significant contri tion to e an for eIectric o er in the in the f t re

ene a Ies for o er Generation E
T E C E E G EE G

E
er ie
eIs se for eIectricity generation roa Iy faII into one of three ain categories
ossiI f eIs co o ities s ch as coaI f eI oiI an nat raI gas hich are tra e on the
internationaI ar et
io ass f eIs s eciaIIy gro n cro s for e a Ie shortrotation co ice or y ro cts
fro other rocesses for e a Ie o Itry Iitter
cIear rani or f eI
The in i i aI characteristics of these f eI ty es ten to sha e the choice an o ti si e of
the co stion technoIogy e Ioye y ay of e a Ie
ossiI f eI
igh s ecific energy content therefore chea to trans ort fro origin
igh en iron entaI cost ith res ect to e issions eg C

e issions an

a ate ent
a o rs Iarge efficient ty icaIIy stateoftheart Iant technoIogies ith e tensi e
infrastr ct re to s ort the eIi ery of f eI an e ort of eIectricity
io ass
o en iron entaI cost an f rther incenti i e ith rene a Ie o Iigation an cIi ate change
Ie y e e tion certificates
o s ecific energy content therefore ery e ensi e to trans ort fro origin aria Ie f eI
aIity Iso seasonaI har esting can ean oor tiIi ation of har esting an storage faciIities
a o rs Iants Iocate near to the so rce of f eI ro ction to a oi high trans ort costs Iant
si e is therefore Ii ite y the ro ction ca acity of f eI ithin its icinity i e aria iIity
in f eI aIity fa o rs si Ie ro st Iant technoIogy
ro a cost ers ecti e e can a e so e roa generaIi ations a o t the ey ri ers hich
co e into Iay ith res ect to n erIying f eI rices
ossiI f eIs rices set in internationaI ar ets s ect to fiscaI oIicy i ort ties
an ta es an Iia Ie for C

e ission reIate costs

io ass f eIs rices set in IocaI ar ets significant trans ort cost ro ortionaI to
istance fro o er station site high rices offset y Go ern ent incenti es for
rene a Ie generation
cIear the cost of n cIear reactor f eI is s aII co are to the in est ent cost of the
o er Iant itseIf The sensiti ity of n cIear Iant econo ics to f eI rice is therefore
Io an as s ch is not isc sse in any f rther etaiI y this st y
ossiI f eI rices
Ta Ie ro i es a sna shot of rices for ifferent ty es of fossiI f eIs se in generating
eIectricity These aI es cIearIy iII strate that coaI is y far the chea est f eI for generating
eIectricity on an energy s Iie asis hat is Iess cIearc t ho e er is the ifference
et een f eI oiI an nat raI gas
T E C T GE E T G E ECT CT

Ta Ie na shot of f eI rices for generation

nIi e coaI an nat raI gas i orters of f eI oiI st ay an e cise ty of ence er

Iitre e i aIent to a o t er tonne sing the aI es state a o e this o I a e the
o eraII cost of i orte hea y f eI oiI er cent ore e ensi e than nat raI gas on an
energy s Iie asis
To e hasi e this oint ig re iII strates the a erage cost of f eI rchase y aor
o er ro cers in the o er the erio to n this artic Iar ata set f eI oiI
re resents the eighte a erage cost of hea y f eI oiI an gas oiI rchases hich ere
rchase

in the ratio for the year
ig re istoricaI f eI costs for generation

er G
at raI gas ther
CoaI tonne


ea y f eI oiI

tonne
Gas oiI tonne

onthahea rices net of ta es ties an eIi erycharges for arch aI es fro Iatts
nternationaI Gas e ort e resse in Gigao Ies

aI es a ste tocorreIate iththe a erage caIorific aI e of f eI se y o er stations resente in the
igest of Energy tatistics T

ase on I h r ea y eI iI

Ta Ie igest of Energy tatistics T

arterIyEnergy rices ece er T
T E C E E G EE G

E en ith these sIight istortions e to the a eraging of ifferent f eI ty es an a ing so e
aIIo ance for the f eI oiI hich ight e rchase fro ithin the it is cIear that n er
the Go ern ents e isting fiscaI oIicy f eI oiI cannot co ete ith other ty es of fossiIf eI
se to generate eIectricity t is o r ie therefore that the sco e for f t re f eI oiIfire
generation is ery Ii ite other than for se as a ac f eI in Iants hich ha e the ca a iIity
to rn ore than one ty e of f eI This o inion a ears to e share y other sta ehoI ers
for e a Ie in the Iatest E

re ort ith its forecast of generation y f eI ty e n this
regar hea y f eI oiI has een e cI e fro f rther consi eration in this st y
Itho gh the f eI co onent of eIectricity ay re resent as ch as er cent of the totaI
cost of ro ction eri ing a etaiIe forecast of f t re f eI rices as o t ith the sco e of
this st y n or er to co are the costs of ifferent f eIs se in generation e ha e
caIc Iate the arith etic a erage of the cost of coaI an gas as rchase y aor o er
ro cers o er the erio to
Ta Ie erage cost of fossiI f eI eIi ere to aor o er ro cers in the to
Itho gh the aI es gi en in Ta Ie faII ithin the range of rice roections Iishe y
the T

it is o r ie that the rice of nat raI gas reIati e to coaI iII increase in the f t re
as in igeno s reso rces eco e e Iete an e eco e ore e en ent on i orte
nat raI gas incI ing Ii efie nat raI gas G fro the Continent an eIse here The rice
for nat raI gas se in this st y has therefore not een eri e fro historicaI a erage
aI es t is ase on a ro y for the a erage cost of G s Iie to E e er co ntries
in I s an aIIo ance for the costs of G regasification
Ta Ie ro y for f t re gas rice
t is interesting to note that the gas rice eri e a o e is si iIar in aI e to the for ar rice
for nat raI gas in Iishe y eren

hich at the en of an ary as ence

er ther
er G
at raI gas ther
CoaI tonne
er G
G i ort rice ther


egasification ther


oint Energy ec rity of Iy or ing Gro E Thir e ort o e er

Energy a er Energy roections for the T

Energy rices tatistics EC

The eren e ort
T E C T GE E T G E ECT CT

n this asis it is o r ie that er tonne for coaI an ence er ther for nat raI gas
are re resentati e of the Iongter rices for these t o co o ities an a reasona Ie
ench ar fro hich to erfor sensiti ity anaIyses e are cognisant ho e er that E
is c rrentIy eing re ise an is e to e reiss e ring arch This re ort ay
ro i e a ore etaiIe anaIysis of these rice roections
io ass f eIs
ing to significant trans ort costs in oI e ith the aority of ifferent io ass f eIs it is
iffic It to esti ate reciseIy gi en fe ar ets ithin reach of e isting io ass generation
Iant the cost of ifferent fee stoc s o e a ro riate costs for io ass f eIs are gi en
eIo
o Itry Iitter er tonne
hortrotation co ice o en rie er tonne
oo eIIets er tonne
To co Iicate atters so e io ass f eI cro s attract ario s Go ern ent s si ies

hich a es it iffic It to caIc Iate the reaI cost of f eI

or the r oses of this st y e ha e chosen to se o Itry Iitter in o r cost anaIysis o ing
to the greater Ie eI of o erationaI e erience ith this f eI in the an the a sence of
Go ern ent s si ies

E EnergyCro che e
T E C E E G EE G

E E T C E T
egisIation
n irecti e EC no n as the Iarge co stion Iant irecti e C the E sets
o n Ii its for the re ction of e issions to air for o i es of nitrogen s I h r io i e

an artic Iates st fro co stion Iants ith a ther aI in t greater or e aI to

ega atts th This re Iaces the re io s irecti e EEC
The C a Iies to e isting ne an ne ne Iants here y
e isting Iants are efine as those consente efore Iy an e e t fro
EEC
ne Iants are efine as those ha ing een iIt et een Iy an cto er
hich are o Iige to eet the criteria o tIine in EEC an
ne ne Iants are efine as those co issione after cto er that are o Iige
to eet the criteria o tIine in the C
The Ii its a Iica Ie to ne ne Iants are s arise in Ta Ie an Ta Ie
Ta Ie e issions er itte y ne ne Iants g

Ta Ie e issions er itte y ne ne Iants g

eas re as
Itho gh the Go ern ent has yet to eci e hether it iII i Ie ent the C thro gh a
nationaI e issions re ction Ian E e issions tra ing syste ET or e issions Ii it
aI e E the instr ent of i Ie entation iII e ia the integrate oII tion re ention
an controI C er itting syste The C er it a Iication iII aIso ta e into
consi eration o Iigations of the nationaI air aIity strategy an the oII tion
re ention an controI reg Iations C regs Therefore e en if the Ii its set o t in
the C are achie a Ie y e ission a ate ent technoIogy ro ose for a ne ne Iant
there is no g arantee that the a Iication for a er it to constr ct an o erate o I act aIIy
e s ccessf I
eI ty e
th

th

th
io ass f eIs
ther soIi f eIs
i i f eIs
eI ty e
th

th

th
oIi f eIs
i i f eIs
at raI gas
ther gas
T E C T GE E T G E ECT CT

ate ent of e issions
n the foIIo ing s sections e riefIy o tIine so e of the ifferent ay in hich
an artic Iate e issions can e a ate The referre a ate ent techni e for each ty e of
generation Iant technoIogy is isc sse as art of the nne
I h r io i e
There are ario s techni es for re cing e issions of ring the co stion of f eIs
se for generating eIectricity These techni es are any an arie t incI e inter aIia
se of Io s I h r f eIs
inf rnace s I h r controI ia the inection of a sor ent s ch as caIci o i e or caIci
car onate ring the co stion rocess
fI e gas es I h risation G an
f eI gas es I h risation
i es of nitrogen
i e there are ario s techni es for re cing e issions of ring the co stion of
f eIs se for generating eIectricity or e a Ie
a ance ry co stion syste s
inection of e ater
Io rners
fI e gas recirc Iation
re rn
seIecti e noncataIytic re ction C an
seIecti e cataIytic re ction C
artic Iates
artic Iate e issions are generaIIy controIIe sing one of t o ain techni es
eIectrostatic reci itators or
ag fiIters
T E C E E G EE G

Car on costs
II hy rocar on f eIs reIease car on io i e C hen they are rne to generate eIectricity
The s ecific car on content of ifferent f eIs ho e er aries as iII strate in Ta Ie
Ta Ie Car on content of ifferent f eIs

t the ti e of riting this re ort no fir co it ent has een gi en y the Go ern ent on
ho C e ission aIIo ances iII e aIIocate to ne entrant generation Iant for the erio
to n er the forthco ing E e issions tra ing sche e n ie of this ncertainty
e ha e a o te a conser ati e a roach to r en er cent of the o t t fro fossiI
f eIIe generation ith a notionaI car on e ission cost caIc Iate in ter s of er tonne of
C reIease or the r oses of this st y a range of aI es et een ero an er
tonne as se here the er Ii it refIects the re orte cost of C se estration
Itho gh the raft ationaI IIocation Ian an ary oes not e IicitIy state the fact
e ha e ass e that aII rene a Ie so rces of generation sing stra o Itry Iitter etc iII
not e r ene ith any car on e ission costs
eI ty e Car on content
CoaI g G
eI oiI g G
at raI gas g G

ationaI t os heric E issions n entory
T E C T GE E T G E ECT CT

T E C E E G EE G

nne
T E C T GE E T G E ECT CT

T E C E E G EE G

E TEC GE
n this ection e riefIy escri e the aIternati e generating technoIogies consi ere y the
st y an ho these technoIogies ay e eIo o er the st y erio
The Ie eIi e costs resente in this section ha e een caIc Iate sing a isco nt rate of
er cent or iII strati e r oses a notionaI C cost of er tonne has een e Ioye in
the anaIysis
CoaIf ire
Con entionaI I eri e f eI co stion is a co on for of ro en generation
technoIogy fo n thro gho t the orI ineIy gro n articIes of coaI are Io n into a oiIer
here they are rne The heat reIease is coIIecte thro gh the ater aIIs of the oiIer
an a series of s se ent heat e changers ro cing high ress re stea This stea is
asse thro gh a stea t r ine hich in t rn ri es an eIectric generator Itho gh Iants
can e iIt o er a i e range of si es for the r oses of this st y stea Iant is
consi ere s ita Ie for IargescaIe greater than sche es here coaI is the ri ary
f eI se for generation
any ifferent config rations of stea Iant are ossi Ie either for cogeneration co ine
heat an o er or eIectricityonIy a Iications ithin the sco e of this st y e o not
consi er cogeneration a Iications f rther
The ey esign feat re of a con entionaI Iant is the ress re an te erat re at hich
stea is generate The aority of Iants in the in fact aII that are o erationaI to ay
o erate at s criticaI stea con itions ercriticaI oiIers ho e er are eII ro en
technoIogy hich o I Ii eIy e constr cte to ay o ing to their greater Ie eI of efficiency
ne s criticaI con entionaI Iant can achie e an o eraII net efficiency of a o t
er cent co are to a ne s ercriticaI Iant that can achie e a net efficiency of a o t
er cent
oo ing to ar s the f t re to years it is Ii eIy that ore e otic ateriaIs iII ena Ie the
ress re at hich stea is generate to increase f rther These a ance s ercriticaI
Iants iII ro a Iy achie e yet higher Ie eIs of efficiency erha s ercent aI eit at a
sIightIy higher ca itaI cost o er s ercriticaI Iants
E issions controI is an i ortant as ect of aII ty es of stea Iant These costs can e
ini ise ho e er if rior consi eration is gi en to the Iocation of o er Iant an the
s ecification of the f eI rne or the r oses of this st y e ass e that a ros ecti e
e eIo er of a stea Iant iII o ti ise the Iant to incor orate the foIIo ing esign
feat res
o erate s I h r coaI Ien ing coaIs so that the s I h r content is Iess than er cent y
ass in or er to ta e a antage of the sea ater fI e gas es I h risation rocess hich
a oi s the a itionaI cost of sor ent s ch as Ii e or Ii estone
o co stion syste ith aIIo ance in the oiIer esign for seIecti e cataIytic
re ction C Iant an e i ent to e fitte at a Iater ate
se of ag fiIters to controI the e ission of artic Iates
T E C T GE E T G E ECT CT

ith these esign feat res a ne Iant s criticaI s ercriticaI or a ance s ercriticaI
iII eet en iron entaI IegisIation as set o t in the C an e consi ere as a est
a aiIa Ie techni e T
Ta Ie s arises the ain characteristics of coaIfire Iant that o I e constr cte
to ay an one hich ight e constr cte in the f t re
Ta Ie CoaIfire Iant characteristics
ig re s arises the ifferent cost co onents of generating eIectricity fro resent
ay coaIfire Iant
ig re C rrent cost of generating eIectricity fro coaIfire Iant
C rrent t re
otionaI si e of instaIIation
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency

Ca itaI cost er
nn aI o eration an aintenance er

sne efficiency has een a ste torefIect the arasitic Ioa of G Iant hich is e i aIent toa Ioss of
a o t ercentage oints on net efficiency
T E C E E G EE G

Ta Ie s arises the ario s cost eIe ents on a er h asis for c rrent coaIfire
Iants an those hich ight e achie a Ie in the f t re
Ta Ie C rrent an f t re costs of coaIfire Iant generation ence er h
I i i e e co stion
I i i e e co stion technoIogies ha e so e inherent en iron entaI enefits o er
con entionaI ty e Iants
Co stion te erat res are generaIIy Io er than those fo n in ty icaI Iant n this
regar Io er e issions are achie a Ie itho t the nee for s eciaI co stion
syste s
The nee for e ensi e fI e gas es I h ri ation e i ent can e a oi e y inecting
sor ent eg Ii estone irectIy into the fI i ise e oiIer This has the a e enefit of
f eI fIe i iIity to rn coaIs ith a i e range of s I h r content
or the r oses of this st y e consi er t o ty es of fI i i e e co stors
circ Iating fI i i e e co stion C Iant an
Iing fI i i e e co stion Iant
The characteristics of these Iants are escri e in the foIIo ing s sections t this stage
ho e er it is erha s o ort ne to ention hy ress rise Iing or circ Iating fI i i e
e co stors Cs ha e een e cI e fro f rther consi eration EssentiaIIy C
technoIogy entaiIs assing ress ri e hot fI e gas thro gh an e an er section of a gas
t r ine efore it is then se to raise stea in a con entionaI oiIer t is o r ie that a
ros ecti e e eIo er o I not o t to constr ct C Iant to ay or in the near f t re
eca se
the higher efficiency of C o er C oes not offset the Io er a aiIa iIity ca se y the
Iac of o ort nity to carry o t onIine re airs an
gas t r ine ateriaIs ha e a ance s ch that the o ti esign te erat re for the
e an er inIet is greater than can e achie e y ro en hotgas cIean in the C Iant
C rrent t re
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C T GE E T G E ECT CT

CoaIf ire C
C is a eII ro en technoIogy s ita Ie for e i si e Iess than coaIfire Iants
Iocate inIan ie it oes not re ire the a aiIa iIity of sea ater for fI e gas es I h risation
or the r oses of this st y e ass e that a ros ecti e e eIo er of a C Iant o I
o ti ise the Iant to incor orate the foIIo ing esign feat res
nection of sor ent into the oiIer to controI s I h r e issions ith sor ent recirc Iation
fro the ag fiIter to enhance tiIi ation
se of ag fiIters to controI the e ission of artic Iates an enhance s I h r ca t re
t is o r ie that a coaIfire C Iants constr cte to ay iII e of the s criticaI ty e hich
has an o eraII net efficiency of a o t er cent n the f t re s ercriticaI stea con itions
iII Ii eIy e e Ioye for Iarger Iants res Iting in an o eraII efficiency gain e i aIent to a o t
ercentage oints
Ta Ie s arises the ain characteristics of coaIfire C Iants that o I e
constr cte to ay an those hich ight e constr cte in the f t re
Ta Ie CoaIfire C Iant characteristics
C rrent t re
otionaI si e of instaIIation
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency
Ca itaI cost er
nn aI o eration an aintenance
er
T E C E E G EE G

ig re s arises the ifferent cost co onents of generating eIectricity fro a resent
ay coaIfire C Iant
ig re C rrent cost of generating eIectricity fro coaIfire C Iant
Ta Ie resents the ario s cost eIe ents on a er h asis for c rrent coaIfire C
Iants an those hich ight e achie a Ie in the f t re
Ta Ie C rrent an f t re costs of coaIfire C Iant generation ence er h
io assf ire
is a eII ro en technoIogy s ita Ie for s aII Iess than io assfire Iants
Iocate in the The Iing fI i ise e ro i es ther aI inertia hich a es it s ita Ie
for co stion of f eIs of high an aria Ie oist re content an f eIs hich are iffic It to
I erise effecti eIy s ch as oo y ateriaIs t aIso has the enefits escri e for the C
C rrent t re
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C T GE E T G E ECT CT

Ta Ie s arises the ain characteristics of io assfire Iant that o I e
constr cte to ay t is o r ie that there is Ii ite o ort nity to a e significant efficiency
gains or re ce costs in the f t re ith this ro en technoIogy ost of the chaIIenges facing
this technoIogy reIate to its e eIo ent to rn ifferent ty es of f eI
Ta Ie io assfire Iant characteristics
ig re s arises the ifferent cost co onents of generating eIectricity fro resent
ay technoIogy io assfire Iant
ig re C rrent cost of generating eIectricity fro io assfire Iant
C rrent t re
otionaI si e of instaIIation
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency
Ca itaI cost er
nn aI o eration an aintenance
er
T E C E E G EE G

Ta Ie resents the ario s cost eIe ents on a er h asis for c rrent technoIogy
io assfire Iant
Ta Ie C rrent an f t re costs of io assfire Iant generation ence er h
CoaIf ire GCC
ntegrate gasification Iants offer en iron entaI enefits t at greatIy increase ca itaI cost
hen co are to ore con entionaI co stion technoIogy The o erationaI e erience of
these Iants is aIso reIati eIy Ii ite
There are a n er of ifferent gasification technoIogies a aiIa Ie hich ha e een ro en on
Iarge scaIe Iants The ty e consi ere ithin this re ort o I in oI e an o ygen Io n
gasifier into hich a coaI ater sI rry is s raye at high ress re The artiaI co stion
hich occ rs o I yieI a synthetic gas syngas hich is re o inantIy car on ono i e
an hy rogen This syngas o I e cIeane rior to it eing co ste ithin a high
efficiency gas t r ine co ine cycIe o er Iant I h r o I e re o e fro the
syngas ro cing eIe entaI s I h r hich co I either e store or se in the che icaI
in stry
CoaI gasification offers the foIIo ing enefits
CIeaning of the syngas can res It in ery Io stac e issions co ara Ie ith nat raI gas
firing
igh co ine cycIe efficiencies can e o taine of the or er of er cent y tiIising the
ost a ance gas t r ine technoIogies a aiIa Ie
Can e esigne to han Ie f eIs ith ery high s I h r content
ro ces a sintere gIassy ash hich Ioc sin ost che icaI co onents resent in the
f eI ash
ffers the otentiaI to re o e car on io i e fro the syngas for car on io i e
se estration ro cing essentiaIIy a hy rogen syngas
ro riate treat ent of the y ro ct strea s fro the gasification rocess an ens ring a
safe esign eans that the ca itaI cost of s ch Iants is high t is en isage that GCC Iants
o I co rise sites ith a o er generation in e cess of ith Iti Ie o ygen
se aration Iants an gasifier o Ies so as to achie e a high o eraII a aiIa iIity of the o er
generation Iant
C rrent
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C T GE E T G E ECT CT

Ta Ie s arises the ain characteristics of coaIfire GCC Iant that o I e
constr cte to ay n the f t re a itionaI efficiency gains in GCC technoIogy ay e
achie a Ie y i ro e ents to o ygen se aration f eI ceII technoIogy an a ances in gas
t r ine technoIogy ithin the st y hori on ho e er it is o r ie that onIy o est
efficiency i ro e ents of er cent say iII e co erciaIIy a aiIa Ie

y
Ta Ie CoaIfire GCC Iant characteristics
ig re s arises the ifferent cost co onents of generating eIectricity fro resent
ay technoIogy coaIfire GCC Iant
ig re C rrent cost of generating eIectricity fro coaIfire GCC Iant
C rrent t re
otionaI si e of instaIIation
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency
Ca itaI cost er
nn aI o eration an aintenance
er

t sho I e note that the ha e a rogra e caIIe hichho es to e eIo anGCC ase o er
Iant ithan efficiencyof er cent o e er at that stage it ayonIy e a e onstration Iant
T E C E E G EE G

Ta Ie resents the ario s cost eIe ents on a er h asis for c rrent technoIogy coaI
fire GCC Iant
Ta Ie C rrent an f t re costs of coaIfire GCC Iant generation ence er h
Gas t r ines
Gas t r ines can e i i e into three ain ty es
ea y ty in striaI gas t r ines GTs hich are consi ere con entionaI in esign
The firing te erat res an cycIe efficiency of these nits are conser ati e y o ern
stan ar s an this is refIecte in the esign an choice of ateriaIs thro gho t the GT
These nits range in o t t fro to an yieI an o en cycIe efficiency of
a ro i ateIy to er cent These con entionaI esign nits are note for eing ery
reIia Ie achines an they ha e acc Iate consi era Ie o erating ho rs
ea y ty in striaI GTs hich are consi ere state of the art The firing te erat res
co ression ratios co stion syste s cooIing an seaIing syste s ateriaI seIection
an fact ring rocesses an Ia ing esigns in these achines are consi ere in any
cases to e state of the art n generaI these nits faII into t o ain o t t an s in
si Ie cycIe config ration to an to The o en cycIe
efficiency fig res range fro a o t to er cent
ero eri ati e GTs These GTs as the ter s ggests are Ian ase eri ati es of
s ccessf I aeroengine esigns ero eri ati e nits are characterise y high o en cycIe
efficiency fig res an short start ti es co are ith hea y ty in striaI GTs The
Iargest aero eri ati e GTs are in the region of to going o n to to at
the Io en of the range Ty icaIIy o en cycIe efficiencies in the to o t t an
are in the range to er cent
II three ty es of gas t r ines can e se in o encycIe CGT or co ine cycIe CCGT
config ration hich are escri e eIo in ore etaiI
Gasf ire CGT
n an CGT o er Iant the ain co onents co rise the GT generator an the associate
a iIiary syste s s ch as the f eI s Iy syste I e oiI cooIing syste fire rotection
syste an the controI syste
C rrent t re
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C T GE E T G E ECT CT

ig re Ty icaI CGT config ration
or the r oses of this st y it is o r ie that an aero eri ati e ase CGT is the ost
a ro riate for the ar et o ing to the reIati eIy high cost of nat raI gas an nee for
highIy fIe i Ie Iant
Ta Ie s arises the ain characteristics of a gasfire CGT Iant that o I e
constr cte to ay an one hich ight e constr cte in the f t re
Ta Ie Gasfire CGT Iant characteristics
ET
C E
E
T
G T E
C T
E T E
E T
GE E T
C rrent t re
otionaI si e of instaIIation
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency
Ca itaI cost er
nn aI o eration an aintenance
er
T E C E E G EE G

ig re s arises the ifferent cost co onents of generating eIectricity fro a ty icaI
gasfire CGT Iant constr cte to ay
ig re C rrent cost of generating eIectricity fro gasfire CGT Iant
Ta Ie resents the ario s cost eIe ents on a er h asis for a c rrent technoIogy
gasfire CGT Iant
Ta Ie C rrent an f t re costs of gasfire CGT Iant generation ence er h
Gasf ire CCGT
n a CCGT o er Iant the hot e ha st gases fro the GT are eIi ere to a heat reco ery
stea generator G The G is a heat e changer in hich heat energy in the gases
e ha ste fro the GT is transferre to ater hich is then con erte to stea The e i
ress re high te erat re stea generate in the G is then eIi ere to a stea t r ine
T n a CCGT Iant a o t t othir s of the eIectricaI o er is eri e fro the GT an one
thir fro the T
C rrent t re
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C T GE E T G E ECT CT

The aIity of the fI e gas e itte fro a GT in co ine cycIe o e is the sa e as fro a
GT in o en cycIe o e o e er the antity of e issions for a notionaI Ie eI of o t t C
er h is greatIy re ce o ing to the i ro e efficiency of CCGT Iant
ig re Ty icaI CCGT config ration
or the r oses of this st y it is o r ie that a stateoftheart hea y ty gas t r ine ase
CCGT is the ost a ro riate for the ar et o ing to the reIati eIy high cost of nat raI gas
an high Ie eI of co etition et een generators
Ta Ie s arises the ain characteristics of gasfire CCGT Iant that o I e
constr cte to ay an one hich ight e constr cte in the f t re
Ta Ie Gasfire CCGT Iant characteristics
G T E
G C E E E T T CCGT
C E
GE E T
TE
C E E
EE TE
T E T G
E
C T
C E
E T EC E
TE GE E T
C E T G
T T E E
E
T E
TE
T E

C rrent t re
otionaI si e of instaIIation
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency
Ca itaI cost er
nn aI o eration an aintenance
er
T E C E E G EE G

ig re s arises the ifferent cost co onents of generating eIectricity fro resent
ay technoIogy gasfire CCGT Iant
ig re C rrent cost of generating eIectricity fro gasfire CCGT Iant
Ta Ie resents the ario s cost eIe ents on a er h asis for c rrent technoIogy gas
fire CCGT Iant
Ta Ie C rrent an f t re costs of gasfire CCGT Iant generation ence er h
C rrent t re
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C T GE E T G E ECT CT

cIear f ission
cIear o er Iants c rrentIy acco nt for ore than er cent of totaI eIectricity e an
ith the aority co ing fro a ance gas cooIe reactors G s The Iast of these ere
co issione in the Iate s an can e e ecte e eco issione in stages o er the
ne t fe eca es The re ecessors to the G s the agno reactors acco nt for a
reasona Ie share of n cIear generation t these are aIrea y eing eco issione an are
e ecte to e hase o t y The onIy other n cIear Iant iIt since the G s is the
i e eII ress rise ater reactor hich egan o eration in
The n cIear in stry is ro osing a ances on e isting esigns ith increase safety so e
stan ar isation to faciIitate Iicensing re ce costs an greater efficiencies t is Ii eIy that
any ne iI in the o I ta e a antage of these i ro e ents T

has seIecte a
E ro ean ress rise eactor E for the innish roect This has een e eIo e y an
contracte to ra ato e a oint ent re co any et een re a of rance an ie ens of
Ger any ther reaIistic o tions for the shortter incI e the reactor eing
e eIo e y estingho se hich is o ne y an the ance C eactor
C a e eIo ent of the Cana ian e teri rani reactor These three o tions ha e
yet to e iIt an ha e yet to e Iicense in the E en ore ro ising technoIogies are
eing researche s ch as the e Ie e o Iar eactor a high te erat re
reactor T enefiting fro inherent safety feat res an s aII si e tho gh these are onIy
Ii eIy to e co erciaIise in the Ionger ter
art fro Iic concern o er n cIear o er generation the attracti eness of CCGT
generation has aIso recI e ne iI of n cIear Iant n co etiti e ar ets the high
ca itaI costs an Iong constr ction ti es of n cIear Iant ha e a e it nco etiti e The
n cIear in stry has state that costs ha e faIIen significantIy t this has een iffic It to
aIi ate fro the Ii ite n er of recent roects
recent st y

carrie o t y the assach setts nstit te of TechnoIogy T in

re ie e ifferent so rces of cost esti ates for ne n cIear generation incI ing the
foIIo ing
Energy nfor ation inistration E nn aI Energy tIoo
e art ent of Energy E ffice of cIear Energy E oa a t y
cIear Energy gency E nternationaI Energy gency E roecte Costs of
Generating EIectricity ate
erfor ance an nno ation nit cIear o er in the EC
easi iIity st y for the innish I iI oto roect
e orte costs of recent roects in sia

I iI oto nit is c rrentIy eing e eIo e yT in inIan for o eration in T o erates as a not
for rofit co any to ro i e eIectricitytoits sharehoI ers a consorti of Iarge in striaI energy sers
n er this arrange ent the sche e faces significant enefits incI ing noinco e ta cor orate financing
an ost significantIya Iongter o er rchase agree ent for its o t t

The t re of cIear o er nnter isci Iinary t y assach setts nstit te of TechnoIogy
T E C E E G EE G

The ca itaI cost of a ne n cIear Iant re resents the aority of the totaI cost of generation
ty icaIIy as ch as for a ase Ioa Iant The T re ort ro ose a totaI cost state
in no inaI ter s e cI ing interest ring constr ction C t incI ing eco issioning
of a o t er for the ase case The ca itaI cost see s a reasona Ie

i oint for
the so rces re ie e y T an for the a itionaI so rces e ha e i entifie o e er the
range of rices ro ose in icate the ncertainty there is in the ar et Iace o er the costs of
ne iI n cIear o er Iants easona Iy e o I e ten o r Ie eI of ncertainty to e
er cent
ase case costs of a o t ence er h has een ro ose y T T
recognises that this is Io er than the a erage cost of historicaI ata it has re ie e t
s ggests that efficiency gains can e achie e ther re orts re ie e y T as eII as
other re orts re ie e y o rseI es s ggest that costs are haIf this a o nt n
aIance e ha e ro ose costs of ne n cIear Iant of a o t ence er h
eI costs for n cIear Iant are Iess contentio s T ro oses a range of to ence er
h This is sIightIy Io er than ata so rces e ha e re ie e an therefore e ha e
ro ose a f eI cost of a o t ence er h e note that there is a se arate e ate in
the in stry a o t the s staina iIity of rani s Iy an res Itant rices t the f eI cost
co onent of the totaI cost of generation is reIati eIy s aII
e to the reIati eIy Io aria Ie costs an the iffic Ity of t oshifting ne iI n cIear
generation o I onIy e consi ere for aseIoa o eration aiIa iIities e cee ing er
cent sho I e achie a Ie
Ta Ie s arises the ain characteristics of a ty icaI n cIear fission Iant e a ine y
the st y s a sensiti ity to the ain anaIysis e ro i e esti ates of the cost of generating
eIectricity fro n cIear fission ass ing a shorter econo ic Iife of years co are ith
years
Ta Ie cIear fission Iant characteristics

T is re orte toha e signe a iIIioncontract ith re a an ie ens for a E ro ean
ress rise ater eactor E in ece er The cost of this contract is e i aIent to a o t er
t is o r ie that o ing to it eing the first contract of this ty e there are cost sa ings to e a e in
the f t re ithregar to the constr ction of Iti Ie nits of the sa e esign an oint certification Iicensing
ase on these ass tions e eIie e that the cost esti ate ro ose y T er is reasona Ie
for the r oses of this st y

The ca itaI cost esti ate for n cIear Iant incI es anaIIo ance for the costs of eco issioning
C rrent ensiti ity
otionaI si e of instaIIation
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency na
Ca itaI cost

er
nn aI o eration an aintenance
er
T E C T GE E T G E ECT CT

ig re s arises the ifferent cost co onents of generating eIectricity fro n cIear
fission Iant
ig re C rrent cost of generating eIectricity fro n cIear fission Iant
Ta Ie resents the ario s cost eIe ents on a er h asis for n cIear fission Iant
Ta Ie C rrent costs of n cIear fission Iant I s year Iife sensiti ity anaIysis ence er h
C rrent ensiti ity
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C E E G EE G

in t r ines
ntiI the i s in t r ines ha a ty icaI o t t of Iess than n the i s
they range fro Iocate onshore an s aIIy gri connecte To ay
co erciaI rototy es of in t r ines are eing instaIIe
The tren to ar s Iarger t r ines ith Iarger rotor ia eters contin es an ith these
a ance ents iII co e greater re ctions in cost n a ition econo ies of scaIe iII e
achie e as the si e of in far roects increases This is artic IarIy aIi for offshore in
far s here there are no Ians for in far s in the or er of h n re s of rather than
st tens of as re io sIy e eIo e onshore
t is iffic It to say ith any certainty ho the afore entione tren s iII affect the o eraII
cost of in t r ine technoIogy or the r oses of this re ort therefore e ass e that a
notionaI re ction of er cent is achie a Ie ithin the st y hori on
nshore
Ta Ie s arises the ain characteristics of onshore in t r ines to ay an in
the f t re
Ta Ie nshore in far characteristics
C rrent t re
a e Iate ca acity

et o er o t t

Ca acity factor
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency na
Ca itaI cost er
nn aI o eration an aintenance
er

ase on t eI e in t r ine generators

The net o er o t t aI e ta es acco nt of the effects of gro ing in t r ines inan array an the Iosses
inc rre intrans itting the o er fro in i i aI t r ines toone centraI oint
T E C T GE E T G E ECT CT

ig re s arises the ifferent cost co onents of generating eIectricity fro resent
ay technoIogy onshore in t r ines
ig re C rrent cost of generating eIectricity fro an onshore in far
Ta Ie resents the ario s cost eIe ents on a er h asis for c rrent onshore in
t r ine Iant
Ta Ie C rrent an f t re costs of onshore in far generation ence er h
C rrent t re
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C E E G EE G

f f shore
Ta Ie s arises the ain characteristics of offshore in t r ines to ay an in
the f t re
Ta Ie ffshore in far characteristics
ig re s arises the ifferent cost co onents of generating eIectricity fro resent
ay technoIogy offshore in t r ines
ig re C rrent cost of generating eIectricity fro offshore in far s
C rrent t re
a e Iate ca acity

et o er o t t

Ca acity factor
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency na
Ca itaI cost er
nn aI o eration an aintenance
er

ase on t entysi in t r ine generators

The net o er o t t aI e ta es acco nt of the effects of gro ing in t r ines inan array an the Iosses
inc rre intrans itting the o er fro in i i aI t r ines toone centraI oint
T E C T GE E T G E ECT CT

Ta Ie resents the ario s cost eIe ents on a er h asis for c rrent offshore in
t r ine Iant
Ta Ie C rrent an f t re costs of offshore in far generation ence er h
a e an arine technoIogies
a e an arine roa Iy enco asses fi e ifferent ty es of technoIogy consi ere to e
reIe ant to the
Ti aI arrages constr ction of a arrage thro gh hich sea ater fIo s to ro i e o er
to t r ine generators Ti aI arrages hiIst a co erciaIIy ro en technoIogy are not
consi ere as ia Ie in the e i ter ntiI en iron entaI concerns can e a ease
ffshore ti aI c rrent t r ine hich generates eIectricity y sing the energy in the
c rrents create y ti aI strea s arine C rrent T r ines CT has e eIo e the first
rototy e the eafIo roect hich n er ent triaIs ring off the coast of e on
CT Ian a reco erciaI instaIIation in of to e tra nits to gi e a co ine
o er o t t of a o t The esign is c rrentIy Ii ite to ater e ths of et een
to aItho gh it is ossi Ie that s ita Ie technoIogy ay eco e a aiIa Ie in the ne t
years hich iII aIIo the e Ioitation of ee er fast o ing c rrents
sciIIating hy ro Iane hich generates eIectricity y sing the energy in the c rrents
create y ti aI strea s The Engineering siness E is c rrentIy e eIo ing a achine
no n as the tingray hich or s on the rinci aI of an osciIIating hy ro Iane tingray
n er ent offshore testing in the hetIan sIan s ring s er an Ians to
constr ct a reco erciaI f n e y E e onstration instaIIation of one
nits in ater e th is not criticaI to the siting of the generator an Iocation is
e en ent on the cIearance re ire a o e it for shi ing etc ee of the ti aI
strea is the eter ining factor
eIa is sea sna e hen fIoating on the sea hinge oints et een its se is erge
artic Iate cyIin ricaI sections o e ith the a es o ering hy ra Iic otors hich then
generate eIectricity The rototy e eIa is has een e eIo e y E in rgh ase
cean o er eIi ery an is etres Iong etres i e an tonnes in eight
e eraI e ices can e connecte an Iin e to shore thro gh a sea e ca Ie ith a
a e far occ ying one s are of sea The rototy e is to e teste
at the E ro ean arine Energy Centre in r ney ring
C rrent t re
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

T E C E E G EE G

sciIIating ater CoI n e ice C The C e ice co rises a artIy s erge
concrete or steeI str ct re o en eIo the ater s rface insi e hich air is tra e a o e
the ater free s rface The osciIIation of the internaI free s rface ro ce y the inci ent
a es a es the air to fIo thro gh a eIIs t r ine that ri es an eIectric generator The
onIy generating a e o er station in the is the i et o erate y
a egen an Iocate on the cottish sIan of sIay t as co issione in an
o erates n er an contract
Itho gh a significant a o nt of research an e eIo ent into a e an arine
technoIogies is eing n erta en it is iffic It to esti ate the resent ay an f t re costs of
this technoIogy
Ta Ie s arises the ain characteristics of a e an arine technoIogies ass e in
this st y for to ay an in the f t re ass ing a cost re ction of er cent is achie a Ie
ithin the st y hori on
Ta Ie a e an arine technoIogy characteristics
C rrent t re
otionaI si e of instaIIation
Econo ic Iifee ectancy years
Constr ction erio years
sne efficiency na
Ca itaI cost er


nn aI o eration an aintenance
er

ene a Ie IyChain Ga naIysis T ene a Ie Iy Chain Ga naIysis T
T E C T GE E T G E ECT CT

ig re s arises the ifferent cost co onents of generating eIectricity fro resent
ay a e an arine technoIogies
ig re C rrent cost of generating eIectricity fro a e an arine technoIogies
Ta Ie resents the ario s cost eIe ents on a er h asis for c rrent a e an
arine technoIogies
Ta Ie C rrent an f t re costs of a e an arine generation ence er h
C rrent t re
Ca itaI e en it re
eI
Car on e issions
eration aintenance
GeneraI o erhea
tan y generation

The a itionaI cost of stan ygenerationfor a e an arine technoIogies has not een incI e eca se
onIy Io Ie eIs of enetrationare e ecte ithin the st yhorion
T E C E E G EE G

nne
T E C T GE E T G E ECT CT

T E C E E G EE G

E
T E C E E G EE G
E E G T
The oyaI ca e y of Engineering has een in oI e in e eIo ing its o n osition an
infI encing oIicy for a n er of years s a Iti isci Iinary fieI of engineering this is an
area here The ca e y can est se the i ersity of ac gro n s of its eIIo s oth
roacti e st ies an res onses to cons Itations ha e een carrie o t y The ca e ys
Energy or ing Gro
C E E E G T E T E C TE E
The oyaI ociety an The oyaI ca e y of Engineering set a oint or ing gro to
e a ine one as ect of energy oIicy here there is a o erf I te tation to rocrastinate
the roIe of n cIear energy in generating eIectricity This ha een gi en e tra ro inence y
the yoto co it ents on e issions of greenho se gases in generaI an car on io i e in
artic Iar The aca e ies ai as to s r ey the f II range of c rrent an otentiaI
technoIogies for generating eIectricity an against that ac gro n to for a ie on the
f t re roIe for n cIear
htt raengorg ne s Iicationsre orts fs cIear Energy f
T E E T E E E E ECT E EET G T T GET CT E
oint oyaI ca e y of Engineering an oyaI ociety res onse to the E ro ean
Co ission on esta Iish ent of targets for the generation of eIectricity fro rene a Ie
so rces foIIo ing the yoto rotocoI This res onse aire concerns o er sec rity of s Iy
iss es otentiaI iI rate an estione the a ro riateness of the financiaI instr ents
ro ose to ens re that the eIectricity ar et et the targets t reco en e a Car on Ta
on aII ri ary f eIs rather than financiaI instr ents hich ere not irectIy Iin e to
e issions
htt raengorg ne s Iicationsre orts fs ene a Ies irecti e f
E G T E T E E
The Energy t res Tas orce Iishe a cons Itation oc ent entitIe eIIing the
t re in ece er The oc ent set o t fo r scenarios for f t re energy se in the
an atte te to ra o t riorities for each The ca e ys res onse e resse
concern at the shortfaII occ rring in the n ers of ne Iy aIifie entrants to the isci Iines
of i ortance to the energy an en iron ent sector eraII this sit ation as e to the
generaI aIaise in the erce tion of engineering an science y yo ng eo Ie This as a h ge
ro Ie that ight e ent aIIy e a resse y ar et forces ie engineers eing in s ch
e an that saIaries rose significantIy or thro gh the contin e or y any organisations
to ro ote engineering as a career o tion ro er a Iication of the oII ter ays rinci Ie to
the energy ar et as s ggeste as a echanis for highIighting the i ortance of the
energy sector to the generaI Iic
htt raengorg ne s Iicationss issions fs eIIing the t re f
T E C T GE E T G E ECT CT

E E G E E C G TE E TE E
This ca e y res onse to the erfor ance an nno ation nit a Ia e the ecision to
for Iate ro erIy an energy oIicy for the or too Iong there ha een no oIicy other than
that of ar et forces ith ario s initiati es starte an rogressing in a ac To ta e a
Iong ter o tIoo to as enco raging t it aIso stresse that it as i ortant that the
o tco e as hoIistic so that the ario s go ern ent o ies s se entIy a o te the oIicy
an se s ecific as ects to irect acti ities in areas n er their controI there y a oi ing a
rea o n in the oine a roach
htt raengorg ne s Iicationss issions fsEnergy oIicy e ie f
E E G C EC T CT E
The ca e ys res onse to the o se of Co ons eIect Co ittee for Tra e an
n strys in iry into Energy oIicy ec rity of Iy
The res onse Ioo e at ho Go ern ent oIicy co I aIance the co eting nee s of sec rity
of s Iy en iron entaI i act nationaI co etiti eness an sociaI concerns arg ing that
sec rity of s Iy as the ost i ortant target as none of the others co I e achie e
itho t it t arg e that sec rity of s Iy as attaina Ie thro gh i ersity of oth ri ary f eI
an so rces stressing that o er reIiance on a singIe so rce s ch as ssian nat raI gas ha
associate oIiticaI ris s
htt raengorg ne s Iicationss issions fsEnergy oIicy ec rity of Iy f
T E E T TEG T E EC T E E G E E
The ca e ys res onse to the E ro ean Co issions Green a er on ec rity of Iy
n the conte t of E ro e as a hoIe si iIar iss es a Iy to sec rity of s Iy as The ca e y
arg e for the in Energy oIicy ec rity of Iy t iss es s rro n ing the E ro ean
s Iy net or s rose to the fore n essence eca se of its isIan stat s an geogra hicaI
osition the is at the e tre ities of the E ro ean s Iy net or s an is therefore ore
s sce ti Ie to interr tion of s Iy than e er tates hich are ore centraI i iIar
ro Ie s can e en isage for the erian enins Ia iffic Ities in esta Iishing tr Iy o en
ar ets for energy across the E ere aIso cite as otentiaI ro Ie s as eII as iffering
ta regi es a ing the esta Iish ent of E ro e i e financiaI instr ents iffic It
htt raengorg ne s Iicationss issions fsEC Green a er f
T E C E E G EE G

E G EE G T E E CE T T
E E G E E G T
The ca e y as in ite y r rian iIson inister of tate for Energy an n stry to
ro i e hi ith an engineering a raisaI of the s Energy e ie t the ti e so e
criticis ha een raise against the s Energy e ie as eing ri en y econo ic an
ar et consi erations ith IittIe concern as to hat co I hysicaIIy e eIi ere y in stry
The a raisaI as con cte y the ca e ys Energy or ing Gro n er the chair anshi
of r aIcoI enne y C E Eng an a e i eranging reco en ations for the
i Ie entation of s ch oIicies t aIso raise concerns a o t reIiance on in energy to eet
rene a Ie targets e to gri integration an sta iIity iss es hich ere f rther co Iicate
y in generators ran o inter ittency hiIe the e ie a oi e saying anything
concrete a o t the f t re of n cIear generation the a raisaI highIighte the fact that n cIear
generation i not e it greenho se gasses an that as it as hase o t it o I ha e to e
re Iace y other none itting so rces on to of the c rrent targets for rene a Ie generation
htt raengorg oIicy fsEnergy f
T TE E T CT G T E E G C G T
This res onse as for the E ro ean Co ission an a resse an EC caII for ie s
concerning the recent granting of tate i y the Go ern ent to ritish Energy Ic hiIe
on the face of it this ight e inter rete as a reIy financiaI or oIiticaI iss e there ere
strong engineering iss es ehin it
The ca e ys res onse hiIe ac no Ie ging the oIiticaI eIe ent of the sit ation state
that the generating ca acity of ritish Energys Iant as re ire to aintain ca acity argins
in the eIectricity syste an that the Go ern ent as therefore stifie in granting
state ai in the first instance to ens re that they ere not ta en offIine n the e ent of aII of
ritish Energys Iant eing ith ra n itho t notice the sec rity of eIectricity s Iies for
the hoIe of the o I ha e een t at ris n er of serio s IargescaIe Iac o ts
aro n the orI recentIy ha e e onstrate the Inera iIity of eIectricity syste s to
casca e faiI res hat e er the ro i ate ca se of that faiI re ight e ac of a e ate
generating ca acity argin o er an a o e e an o I ha e a e containing s ch an
e ent ery ch ore iffic It for the gri o erator ationaI Gri Transco
htt raengorg oIicy fs es onse f
T E C T GE E T G E ECT CT

E E T T E E CE CE TEC G E ECT C TTEE
T T E CTC TE E E G E E E E E G CT E
The ca e y recentIy res on e to the o se of or s cience an TechnoIogy eIect
Co ittees n iry into The racticaIities of e eIo ing ene a Ie Energy hen the
Go ern ents hite a er on energy r energy f t re creating a Io car on econo y
as Iishe earIier this year The ca e y feIt that the targets it set for rene a Ie eIectricity
generation ere Ia a Ie t a itio s The o se of or s cience an TechnoIogy
Co ittee as concerne that there o I e iffic Ity in eeting the targets eca se of
the i ortance of eeting these targets an the Iarge n er of sta ehoI ers in oI e the
ca e ys ain reco en ation as that the Go ern ent sho I Iish an ann aI re ort
on rogress to ar s the targets s ecifying the costs in oI e to rotect sec rity of s Iy an
the s si ies re ire
The ca e ys res onse aIso e a ine the ros ects for the ain rene a Ie energy
technoIogies c rrentIy a aiIa Ie an Ioo e at their econo ics n reaIity no rene a Ie
technoIogy not e en onshore in co I co ete ith o ern gas o ere CCGT Iant on
a Ie eI Iaying fieI an aII ha to e s si ise to so e e tent thro gh the ene a Ies
Iigation o e er so e serio s estions ha een raise concerning ho the
ene a Ies Iigation Certificates Cs syste or e eca se Cs ere tra a Ie
their rice co I fI ct ate th s the s si y that a rene a Ie eIectricity generator co I e ect
to recei e aIso arie ith oIatiIity in gas rices as eII the financiaI ris of in esting in
rene a Ie technoIogies as c rrentIy ore than any t fir s ith ery Iarge aIance sheets
co I ear Conse entIy there ere serio s financiaI arriers as eII as soIi engineering
arriers to the e eIo ent of rene a Ie eIectricity generation in the
htt raengorg oIicy fs es onse f
The oyaI ca e y of Engineering
The o ecti es of The oyaI ca e y of Engineering are to rs e enco rage an aintain
e ceIIence in the hoIe fieI of engineering in or er to ro ote the a ance ent of the
science art an ractice of engineering for the enefit of the Iic
The ca e y co rises the nite ing o s ost e inent engineers of aII isci Iines t is
a Ie to ta e a antage of their eaIth of no Ie ge an e erience hich ith the
inter isci Iinary character of the e ershi ro i es a ni e reso rce ith hich to eet
the o ecti es
ts acti ities incI e an e tensi e e cation rogra e research chairs an feIIo shi s
isiting rofessorshi s in striaI secon ents an internationaI tra eI grants t ro i es
e ert a ice on engineering atters to go ern ent an other o ies an a ar s the s
re ier ann aI ri e for inno ation in engineering The oyaI ca e y of Engineering
ac o ert ar
EIection to The ca e y is y in itation onIy to si ty eIIo s ay e eIecte ann aIIy
together ith onorary eIIo s an oreign e ers ho ha e a e e ce tionaI
contri tions to engineering II are eIecte y their eers for ersonaI achie e ent of
e ce tionaI erit an istinction eIIo s are isting ishe y the titIe eIIo of The oyaI
ca e y of Engineering an se the esignatory Ietters Eng
The ca e y as fo n e in as The eIIo shi of Engineering on the initiati e of
The e of E in rgh an a gro of isting ishe engineers t as grante its oyaI Charter
in an ith the consent of The een a o te the resent titIe in
The oyaI ca e y of Engineering
Great eter treet est inster on on
TeIe hone acsi iIe
raengorg