1. London 2062 Symposium London’s Energy Future Peter North 19 th March 2012

2. The Questions What are London’s energy challenges (supply/demand/infrastructure) and how did we get here? What are London’s energy opportunities and how can we reach them? What scale of change is required (adaptation/mitigation/resilience) to secure London’s energy future?

3. Future Cities 70% of the world’s population will be living in cities by 2050 Growing pressure on resources Cities have to become increasingly efficient and self-sufficient in energy To adapt current energy systems into more sustainable ones, less dependent on imported fuels Based on a diverse mix of energy sources, in particular renewables, energy carriers and non polluting sources Enhance energy efficiency, by rationalising use and storage of energy Addressing the challenges of security of supply and climate change, whilst maintaining competitiveness

4. London’s Starting Point: Reducing CO 2 Emissions 30% of London’s CO 2 emissions are attributable to consumption of heat (mostly mains gas) Greatest opportunity for CO 2 reduction within London is to reduce demand for heat through building retrofit and low carbon, local (decentralised) heat supply. Decarbonising electricity supply is better placed as a national action (nuclear, wind, carbon capture and storage)

5. Mayor’s Climate Change Targets An ambitious target for London for a 60% reduction in 1990 levels of CO 2 emissions by 2025 Mayor’s targets is to decarbonise 25% of London’s energy supply Mayor’s CCAP sets a target of 2.2 million tonnes p.a. of CO 2 emissions to be saved by 2025 through decentralised energy DE can deliver 12% of the CO 2 target and counts for 55% of ‘committed Mayoral action’

6. 6 Delivering Low Carbon Energy for London Annual CO 2 reduction of 2.2 to 3.5 million tonnes Tenfold increase in generating capacity £5-7 billion of investment National political will is creating a favourable policy framework for DE - changing investment environment Public sector is working to remove barriers and harness the private sector’s financing and delivery capability

7. Decentralised Energy The generation of electricity local to demand and recovery of waste heat for building space heating and domestic hot water production Type 1 - Single sites Small or medium CHP units 0.3 to 3.0MWe Limited infrastructure - up to 3,000 residential units Capex up to £10 million and a pay-back period of around five years for commercially viable schemes Type 2 - Multi-site mixed use schemes CHP units 3.0 to 40MWe 3,000 to 20,000 residential units Capex up to £100 million and an extended pay-back period of around ten years Type 3 - Area wide heat transmission projects Extensive heat pipe networks connecting multiple heat producers such as power stations, industrial waste heat or energy from waste facilities May serve 100,000 plus residential units and a large range of mixed public and private commercial facilities Paybacks in excess of 10 -15 years but with the potential for steady Cash flow and utility type yields

8. Energy Master Planning

9. The Strategic Context

10. Contacts Peter North Senior Manager Programme Delivery – Sustainable Energy Greater London Authority peter.north@london.gov.uk