Lithuania –the region’s energy
Transcript of Lithuania –the region’s energy
Lithuania – the region’s energy
competence centre
Litgrid 2015 Activity Report for Shareholders
and the Public
27 April 2016, Vilnius
Table of contents
Implementation of Litgrid strategic goals
Reliability of the electricity system and network
Development of the organisation and the region’s energy competence centre
Financial results
Upcoming tasks for strategy continuity
Strategic interconnections
4
• The first electricity link between
Lithuania and Poland, between the
Baltic countries and Western
Europe
• The link has been in operation
since 9 December 2015
• 163 km electricity transmission line
Alytus-Elkas
• 500 MW HVDC converter station
near Alytus
• Total project cost – € 580 million:
€ 150 million in Lithuania and € 430
million in Poland
• EU funds – € 200 million (in Poland)
and € 31 million (in Lithuania)
J F M A M J J A S O N D
2009
J F M A M J J A S O N D
2013
J F M A M J J A S O N D
2012
J F M A M J J A S O N D
2010
J F M A M J J A S O N D
2011
J F M A M J J A S O N D
2014
J F M A M J J A S O N D
2015
J F M A M J J A S O N D
2016
400 kV line
Alytus – state
border
400 kV line
Elk – state
border
Elk Substation
Reconstruction
DESIGN
DESIGN, MANUFACTURING, AND CONSTRUCTION
TERRITORIAL PLANNING, DESIGN, AND CONSTRUCTION
CONSTRUCTION OPERATION
OBTAINING OF PERMITS
OBTAINING OF PERMITS
TERRITORIAL PLANNING AND DESIGN
TERRITORIAL PLANNING AND OBTAINING OF PERMITS
HVDC
Converter
Station
Alytus 330 kV
Switchyard
Expansion
OPERATION
OPERATION
OPERATION
OPERATION
CONSTRUCTION
OBTAINING OF PERMITS
DESIGN
CONSTRUCTION
OBTAINING OF PERMITS
LitPol Link implementation
Reinforcement of corner pylons
on the line Alytus – state border
0%
10%
20%
30%
40%
50%
Iki 15.04.01 Po 15.06.26
Laidų tempimas Pamatų montavimas
0
0,5
1
1,5
2
2,5
3
3,5
4
4,5
5
Polių įrengimui Galvenųįrengimui
Kampuočiųsuvirinimui
Laidų tempimui
Iki 15.06.26
Po 15.06.26
Contract work resources of the line Alytus –
state border before and after 26 June 2015
Before 26 June 2015
After 26 June 2015
For pylon
installation
For header
installation
For corner
reinforcement
For wire
pulling
Wire pulling Installation for foundation
J F M A M J J A S O N D
2009
J F M A M J J A S O N D
2013
J F M A M J J A S O N D
2012
J F M A M J J A S O N D
2010
J F M A M J J A S O N D
2011
J F M A M J J A S O N D
2014
J F M A M J J A S O N D
2015
J F M A M J J A S O N D
2016
HVDC Cable
HVDC
Converters
Nybro Substation
Reconstruction
DESIGN AND MANUFACTURING
DESIGN, MANUFACTURING, AND INSTALLATION
TECHNICAL DESIGN
DESIGN AND CONSTRUCTION
LAYING LAYING
OBTAINING OF PERMITS – SE
OPERATION
CONSTRUCTION
OBTAINING OF PERMITS – LT
CONSTRUCTION
SEABOTTOM INVESTIGATION
OBTAINING OF PERMITS – LT
OBTAINING OF PERMITS – SE
TERRITORIAL PLANNING, DESIGN, AND OBTAINING OF PERMITS
PREPARATION
WORKS
TECHNICAL DESIGN
Klaipėda
Transformer
Substation
Reconstruction
330 kV OL
Klaipėda – Telšiai
OPERATION
OPERATION
OPERATION
OPERATION
NordBalt Implementation
Horizontal drilling under the
Curonian Spit
1 640 m under the the
Curonian Lagoon and 800 m
under sand dunes
Cable pulling under the Curonian Lagoon
64 tons, 2 days from the
delivery of the cable to the port
to pulling under the Curonian
Lagoon
Concrete mattresses under and on the cable at a
depth of 60 m
Crossing with the Nord Stream gas
pipeline
Filling of the sea cable with rubble
58,860 tons of rubble
delivered by 4 ships
The symbolic links connection
ceremony in the Grand Dukes Palace
of Lithuania on 14 December 2015
A subsidiary of Litgrid has fully taken over
the operation of the connections
Electricity transmission never
stops
HVDC connections disconnected 138 times in
2013
Electricity generators disconnected 67 times in
Lithuania in 2014
24/7 electricity transmission to consumers is ensured by the Litgrid System Control Centre
NordBalt – technologically complex
and second-longest connection
35%
9%
262
105
171
233
299
160
150
150
450
580
212
211
213
226
57
254
1
0 100 200 300 400 500 600 700
Baltic Cable (SE-DE) 1994
Estlink 1 (FI-EE) 2006
Estlink 2 (FI-EE) 2014
Fenno-Skan 1 (FI-SE) 1989
Fenno-Skan 2 (FI-SE) 2011
Kontek (DK-DE) 1986
Konti-Skan 1 (SE-DK) 2008
Konti-Skan 2 (SE-DK) 1988
NordBalt (LT-SE) 2016
NordNed (NO-NL) 2008
Skageraak 1 (NO-DK) 1976
Skageraak 2 (NO-DK) 1977
Skageraak 3 (NO-DK) 1993
Skageraak 4 (NO-DK) 2014
Storebaelt (DK-DK) 2010
SwePol (SE-PL) 2000
Vyborg Link (RU-FI) 1981
HVDC jungčių ilgis, km
7%
4%
29%
23%
16%16%
17%
5%
8%
35%
32%
13%
15%
13%
Connection unavailability per
year, %
Connection
unavailability per
year, %
Length of HVDC connections, km
Reliable and effective network
In 2015, demand for electricity
increased 1.4%
0,0
0,5
1,0
1,5
2,0
2,5
3,0
3,5
4,0
4,5
5,0
5,5
6,0
6,5
19901991199219931994199519961997199819992000200120022003200420052006200720082009201020112012201320142015
TWh Pramonė
Transportas
Žemės ūkis
Gyventojai
Paslaugos ir kiti vartotojai
• In 2015, 10.86 TWh of electricity was consumed in Lithuania
• Electricity consumption by industrial companies increased more by than 3%, while
the needs of the service sector grew 1.8%
• Consumption by the population remained stable
• Almost 16% of the consumed electricity was produced from renewable energy
sources.
Industry
Transport
Agriculture
Population
Services and other consumers
12,07
4,75
36,50
1,79 2,24
11,637,53 7,36 6,70 5,36 4,54
0,350,15
1,08
0,230,06
0,490,35 0,34 0,31 0,25 0,23
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Operatoriaus atsakomybė
END bendras, MWh
AIT bendras, min
2015 END = 4.5 MWh, AIT =0.23 min.
Best reliability indicators
• The majority of disconnections is caused by natural conditions and other
external causes
• A quarter of incidents is caused by the careless behaviour of people in
overhead line protection areas
The operator’s responsibility
Total END, MWh
Total AIT, min
Nusidėvėjimo normatyvas, 35 metai
0
10
20
30
40
50
60
95 reconstructed
substations
59 TP ≤ 35 y 80 TP ≥ 35 y
139 non-reconstructed
substations
Facilities are reconstructed to
maintain the reliability of the
network
Substation operation time, years
• In 2015, 15 transformer substations were reconstructed
• Substations, lines, and other facilities age and naturally wear, so investments
in the network facilities are continued with rather high intensity
Depreciation rate, 35 years
Concern for smaller ones
• In 2015, a total of 6,000 special wire
markers, stork protection devices,
additional insulators were installed
and 121 nesting-boxes for kestrels
were mounted
• Works amounting to EUR 164,155
were performed
• A monitoring plan was drawn up in
order to assess the impact of the
newly constructed and operating
lines – LitPol Link and Klaipėda-
Telšiai
The sense of community and
social responsibility- The website www.elektrosistorija.lt, which is designed to provide, in
simple terms, general knowledge on the members, a brief history and
present time of the electricity system, currently operating power stations
and assurance of electricity demand as well as key development
aspects
- For four consecutive years, Litgrid employees plant forest trees on the
occasion of the professional holiday of Power Engineer's Day
- During 2015, the company received 25 groups of visitors who were
interested in the electricity system and the strategic interconnection
projects and learned about the specifics of the work of energy
professionals
- Attention to the activities of Litgrid from officials of various countries and
experts and high-rank executives of international organisations brings
Lithuania into an international focus
www.elektrosistorija.lt Traditional forest planting 25 tour groups
Lithuanian and Swedish heads of states
Litgrid – the company with the strongest sense of community
Nasdaq award for the most prominent progress
Enhancement of the design and
contract work quality and
occupational safety
To improve the quality of projects being implemented
To enhance the safety of the work of contractor and customer specialists
To manage risks more efficiently
To raise the quality standard for contract work
The expected result – better
quality
High-quality and reliable expert examination of projects
Updated standard design and work contracts
Contract termination option
The enhancement of technical supervision and
occupational safety quality
The procurement of works is based on the principle of economic
efficiency
Financial results• Litgrid will pay EUR 0.0091 per share in dividends
• Lower costs due to more efficient operating costs and ITT
management
• The asset value reduction after the asset evaluation performed in
2014 led to lower depreciation costs
• The subsidiary Tetas operated profitably and paid dividends in 2015
Key financial indicators
159
20
4760
106
2034
10186
21 27
208
0
50
100
150
200
250
Pajamos, mln. eurų Veiklos sąnaudos, mln. eurų EBITDA, mln. eurų Investicijos, mln. eurų
2013
2014
2015
19% reduction in transmission tariff
rate
Without regard to the result of asset
depreciation
89% – for the implementation
of strategic projects
50%
15%
9%
2%4%
3%
17%
Elektros perdavimopajamos
Balansavimo energijospajamos
Sisteminių paslaugųpajamos
ITC pajamos
VIAP
Kitos su elektros energijasusijusios pajamos
The reduced transmission
tariff rate resulted in lower
income
OPEX structure, 2015
0
0,1
0,2
0,3
0,4
0,5
0,6
0,7
0,8
0
10
20
30
40
50
60
70
80
2011 2012 2013 2014 2015 2016
Investicijos, mln. eurų Perdavimo kainos viršutinė riba, ct/kWh
31%
28%
15%
9%
5%
2%9%
Darbo užmokestis irSODRA
Turto remontas irpriežiūra
ITT paslaugos
Mokesčiai
Patalpų nuoma,transportas
Mokymai irtarptautinė veikla
Kitos
Income structure, 2015
Investments, EUR million Price cap, cent/kWh
Salaries and social
insurance
Asset repair and
maintenance
ITT services
Taxes
Rent of premises;
transport
Training and
international activities
Other
Electricity sale income
Balancing energy income
System service income
ITT income
PSO
Other electricity-related
income
Strategy continuity assurance
The network projects for
synchronisation start this year
Vilnius junction
strengthening
Ignalina NPP transformer
substation reconstruction
Growing demand
• Today, the demand of Vilnius region accounts for one third of the national capacity demand
Decreasing production
• Electricity production at Vilnius power plants decreases
Synchronisation
• The synchronisation of Lithuania's electricity system with СEN and de-synchronisation from IPS/UPS
Reasons for Vilnius junction
strengthening
Projects
The construction of the 330
kV electricity line Vilnius –
Lithuania Power Plant
Vilnius transformer
substation strengthening
The construction of the 110
kV electricity line Neris –
Baltupis and reconstruction
of the 110/10 kV Baltupis
transformer substation
The construction of the 330
kV electricity line Vilnius –
Vilnia – Neris (with
installation of Vilnia
transformer substation 330
kV switchyard)
The reconstruction of Neris
transformer substation
1
2
3
4
5
In operation since 1981
• The condition of the facilities is critical and requires major repair
For new customer connection
• The nuclear fuel storage will be connected here
Strongly integrated with the Belarusian electricity system
• Non-adapted for the isolated operation of the Baltic countries and asynchronous operation of the Baltic electricity systems with IPS/UPS
The reconstruction of INPP
transformer substation
The projects important to Lithuania are in the
list of Europe's common interest projects
The electricity line Alytus – Kruonis
HPSP
The second Lithuania – Poland link
The synchronisation of the Baltic countries
with the CEN
The optimal use of the network
and links
The sustainable AEI
integration and management
model
The decision on the increase
of LitPol Link capacity
The isolated operation test of the
electricity systems of the Baltic
countries
2016 2017 2018Q2 Q3
Preparation works and analysis
Q4
The start of the dynamic and static stability study
The results of the
study
The decision on the isolated
operation test
The isolated operation test
Q2
Isolated operation is an
important step of preparation
for synchronisation
The results we are proud of
were achieved by the team
• The average employee age
– 42
• The average length of
experience in the energy
sector – 12 years
• The longest experience –
51 years
• 74% of the staff – men;
26% – women
• 50% of the staff are
graduates of KTU
• 8 doctors of science work
in Litgrid
• By successfully
implementing unique
energy projects of
European significance, we
accumulate exclusive
competences
235 professionals'
team
Experience of unique projects
5,089 training hours
19 internship places for students
43 specialised conferences
25 tours for interested
visitors
Reports at 5 international conferences
Mentoring programme
The issues of the electricity market, links and
generation development remain relevant
Per year, ~€ 90 lower costs on electricity
The second link with Poland
The development of flexible and effective
generation in the region
The second link with Sweden
The regional discussion on energy strategies
Lithuania – the region’s energy
competence centre
• 12 electricity links with
Latvia, Russia, and
Belarus
• Estlink 1 and 2 are the
only electricity links with
the Northern Europe
• From 2010, the biggest
electricity importer
among the energy
systems in Europe
• No power connection with
the Western Europe
Until 2016, Lithuania is the EU's energy
island
Today, Lithuania is the crossroad
of power flows
Empowering the growth of
Lithuania