West Lothian Council Environment Policy & Scrutiny Committee 04 11_14

Linlithgow Natural Grid

Answering the West Lothian Energy Question

Chris Cook

Livingston 4th November 2014

Introducing Linlithgow Natural Grid (LNG)

“The cheapest energy of all is energy saved”

LNG's aim is energy independence for Linlithgow

Linlithgow - currently £6.5m pa of carbon fuel costs

WLC - probably most significant Linlithgow energy user with greatest carbon footprint

Higher the fuel price the greater the return on savings

LNG will cut energy consumption & install renewable energy at no cost to consumers or WLC

Local investment in local energy infrastructure

Linlithgow Natural Grid - Key Principle

Least Carbon Fuel Cost principle

- minimum carbon fuel input for a given output of electricity, heat or power

- investment in energy efficiency, renewables, heat, transport

- successfully adopted by Denmark since 1973

Structure of Linlithgow Natural Grid

Company Limited by Guarantee with multiple stakeholders – 'Co-operative of Co-operatives'

Custodian of community energy infrastructure

Infrastructure developed within surplus sharing 'capital partnership' framework

Development partners include network of Scottish Universities & 'best of breed' commercial expertise

Oversight by LNG team: led by Nordic Enterprise Trust with support from Community Energy Scotland

Linlithgow Energy Partnership

Linlithgow Natural Grid (Custodian)

Linlithgow Natural Grid (Custodian)

InvestorInvestor

ConsumerConsumer

Prepay %

%

Developer/Manager

Developer/Manager

Payment

Proofs of Concept

Vennel Solar Roof – allocation of CARES funding requires only council support

Linlithgow Energy Corridor

- Low Port heat/power link to Vennel & heat from Loch

- Phase One Local Energy Challenge funding applied for – up to £6m Phase Two funding in 2015/16

Linlithgow Energy Park

- potential solar PV & River Avon hydropower

- Heat from River Avon & from adjacent waste water

Outcomes

Energy costs cut at nil cost to Linlithgow energy users

Sharing of surplus through Energy Dividend

- addresses fuel poverty

- funds energy investment

- increases economic growth & stems outflow

Local investment in local energy infrastructure

Local employment from LNG development & operation

Carbon fuel use reduction = lower carbon footprint

Proposal & Next Steps

Proposal – West Lothian Council invited to agree formal participation in Linlithgow Natural Grid

Next Steps

- non-binding letter of support for Proofs of Concept

- participation in feasibility studies where relevant

- one or more nominated individuals to liaise with LNG & join LNG project working group

- Presentation to WLC council meeting on 13th January 2015 backed by detailed Memorandum