Monday 05 June 2023
The Committee for the Environment & Infrastructure has published the 'Electricity Strategy for Guernsey' to provide a strategic direction for the Island's future electricity demand and supply between now and 2050, and to enable the development of the electricity market.
With Guernsey's demand for electricity increasing, and the expectation that it will continue increasing, the Strategy outlines how Guernsey can manage and meet increased demand whilst balancing security of supply, affordability and Guernsey's decarbonisation aspirations.
Having carefully considered six potential approaches to meet the predicted demand, the Committee is recommending that the States agree a strategic direction of increased local renewable energy through both solar and offshore wind arrays, and the installation of a second subsea cable to France with 100-Megawatt capacity. These new assets would complement the subsea cable via Jersey to France.
The pathway is not a fixed roadmap for exactly when technologies should be implemented but is instead a direction for the Island to follow. Whilst specific technologies are referenced, agreeing this strategic direction does not commit Guernsey to using them, or to a specific cable destination. Instead, the pathway recommends solutions that provide the most cost-effective and commercially viable solutions as understood today. There is flexibility to use alternative technologies should they become viable in line with existing States policies.
Once all proposed assets are fully operational, the offshore wind array would supply between 46% and 55% of Guernsey's electricity needs, with the cables to France supplying between 37% and 43%, and solar supplying between 8% and 10%, reducing the amount of electricity that would need to be imported.
At this time, the States are being asked to agree the strategic direction to enable energy providers, potential investors and other entities to make informed business decisions. If agreed by the States, more detailed work, including the financial implications and funding options will be brought back to the States at a later date. It is hugely important that there is flexibility in the approach to financing the assets and the Committee is aware that any funding or backing would need to be considered in line with the wider States' commitments. There are options for funding much of the necessary capital investment without the requirement for States financial backing.
Deputy Lindsay de Sausmarez, President of the Committee for the Environment & Infrastructure, said:
"Our demand for electricity is growing, but we need to meet that growing demand in an affordable, secure and sustainable way.
"Energy providers and potential investors are waiting for government to make a decision and provide a strategic direction. If we fail to make a decision, Guernsey Electricity will be obliged to spend tens of millions of pounds to keep the lights (and some may say more importantly, the WiFi) on by expanding the existing methods of supply. This is the most expensive option, and a scenario we are therefore very keen to avoid.
"We've worked closely with local energy representatives and subject matter experts, Siemens and PwC, to bring forward the recommended pathway. This is a more affordable option than continuing with how we currently generate electricity and will also provide us with a more secure supply, which over time will give us greater access to locally-generated renewable energy, and improved energy infrastructure."
This Strategy has been developed through a technical consultation process with the Electricity Strategy Steering Group (a cross-committee group), the Energy Partnership (a consortium of local energy industry representatives), key stakeholders in the business community, and broad political input, with subject matter expertise provided by Siemens (on supply and demand) and PwC (on market structure).
More information, including the full Electricity Strategy for Guernsey, is available at gov.gg/electricitystrategy.
