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What is an Energy Hub?

Written by Flo Silver | Jul 15, 2024 8:00:00 AM

The electricity and gas networks are traditionally planned and operated as separate grids, resulting in inefficient planning and, in the context of whole-system multi-vector energy, sub-optimal operational decisions. As the energy transition drives greater inter-dependencies the potential for inefficiencies will intensify.

This is where the concept of an Energy Hub comes in. An Energy Hub is a node in the energy system where multiple energy vectors can be converted, stored, and supplied across different energy types. The concept allows energy systems to be optimised by converting and storing energy between electricity/gas vectors across network extreme low demand and high demand conditions. For example, if the system is experiencing a high demand for electricity, the energy hub would facilitate gas being converted to electricity to reduce the strain on the electricity system. Equally, in fully developed energy hub concepts, the conversions between systems could be reciprocal. This means that if there were a high demand for gas, the energy hub would allow for electricity to be converted into hydrogen gas using an electrolyser to support the gas system, or a Combined Heat and Power (CHP) system could be used to generate both electricity and heat to power a district heating scheme, reducing the demand for gas central heating.

 

It is generally considered that there are three key features and functions of an Energy Hub:

  • Input
    • Any form of energy or material that an Energy Hub can use for its operations such as; energy production, conversion, or storage. These inputs are critical as they determine the functionality, efficiency, and versatility of the energy hub. Inputs include: electricity, fossil or biomass fuels, renewable energy sources, storage inputs and more.
  • Conversion
    • The process of transforming one form of energy input into another form of energy output within an Energy Hub. For example: energy to heat, fuel to electricity and heat (CHP), Heat to electricity, energy storage conversions, and so on. This conversion is central to the functioning of Energy Hubs as its co-ordination allows for the optimisation of energy use, integration of various energy sources, and enhancement of overall efficiency. These conversions allow Energy Hubs to be highly flexible and efficient in managing diverse energy sources and demands, contributing to more sustainable and reliable energy systems.
  • Output
    • Refers to the various forms of energy or services delivered by an Energy Hub after processing the inputs through different conversion technologies. These outputs are designed to meet the specific energy needs of consumers, enhance system efficiency, and support energy sustainability. The primary types of energy hub outputs include: electricity, heat, cooling, hydrogen, stored energy, and so on.

Energy Hubs consist of the following key components (which can take different forms):

  • Energy Generation/Production
    • The methods and technologies used within an Energy Hub to produce different forms of energy from available inputs. This generation is a key function of Energy Hubs, allowing for multiple energy sources. The primary methods of energy generation within an Energy Hub include: electricity generation, heat generation, hydrogen generation, and so on. Energy Hub generation is a comprehensive approach that leverages various technologies to produce and manage energy efficiently, enhancing the sustainability and resilience of the overall energy system.
  • Storage
    • Refers to the various methods and technologies used to store different forms of energy within an Energy Hub. For example: electrical energy storage including battery storage systems, thermal energy storage, chemical energy storage and so on. This storage is essential for balancing supply and demand, ensuring reliability and optimizing the use of renewable energy sources. Storage is beneficial to an Energy Hub as it helps balance supply and demand, providing stability and reliability to the grid. Moreover, storage facilitates the integration of intermittent renewable energy sources by storing excess energy when production exceeds demand and releasing it when production is low.

It can therefore be seen that Energy Hub Concepts will optimize the energy system by aiding the supply and demand issues that arise when managing grids separately. Moreover, adding hydrogen and/or battery storage would further expand the possibilities of optimising the energy system.

 

Smarter Grid Solutions (SGS) has partnered with Northern Powergrid (NPg) on an Ofgem Strategic Innovation Fund (SIF) funded project at Discovery Phase which has designed a multi-vector Energy Hub, with plans to take the concept to network trial. The project will use the Energy Hub to optimise gas and electricity networks in the UK, effectively allowing additional pathways to sustainable net zero energy grids. The Energy Hub will allow for a reduction in the need for infrastructural build arising from more efficient networks and improve the business case for renewable generators through additional form of revenue and energy arbitrage. Moreover, the project will demonstrate power-to-gas and gas-to-power applications (as outlined in the above example) in a holistically optimised system, and will optimise battery storage and hydrogen storage in a single system capable of islanded operation.

To learn more about this groundbreaking project, please watch the video below.

 

 

 

 

 

 

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