Stakeholder dialogue and environment

As a grid manager, we play a key role in the energy supply chain and hence in the energy transition. Dialogue and cooperation with our stakeholders are therefore essential. By talking with customers, we know what level of customer demand to expect. We discuss the results grouped by the following three topics: built environment, mobility and industry.

1. Built environment

Improving the sustainability of the built environment is a complex puzzle that not only offers technical challenges but is also a social transition. By contributing to the Regional Energy Strategies, Transition Visions for Heat and Test Beds for natural gas-free districts, Stedin is actively involved as a partner. We are also working hard to develop and implement innovations, including heating homes with sustainable gases, such as hydrogen.

Regional Energy Strategies (RES)

Growth in energy generation continued unabated in 2021

The amount of sustainably generated electricity continued to grow in 2021. On the roofs of households alone, the capacity of installed solar panels increased by no less than 28%. Such tumultuous growth figures reflect the speed and size of the changes in the energy system. The growth is taking place right across the grid and requires different solutions at different places in the grid.

The commitments in the Climate Agreement relating to electricity and the built environment require each region to develop an RES. In 2021, the 14 RES regions in which Stedin and Enduris are involved developed their plans further in collaboration with the provincial and municipal authorities and water authorities, among others. Of the 11.3 TWh in total that we must connect in our service area by 2030, approximately 33% has already been completed, 18% is ‘in the pipeline’ and roughly half (49%) remains an ambition requiring further elaboration. That is an enormous challenge.

Services provided to RES regions

Stedin actively participates in consultations in RES regions, contributing knowledge of the structure of the grid and using opportunity maps to show where the present grid can further facilitate additional energy generation. The objective is to make optimum use of the existing grid and to enable planning and preparation for grid expansions. We carried out grid impact assessments for all the RES regions. Through these assessments, we establish for the proposed scenario how much space, time and investment is needed to achieve the grid expansions. We are also developing a strong relationship at the administrative and other levels that will help accelerate grid expansion implementation now and in the future.

RES 1.0 delivered

On 1 July 2021, the RES regions delivered their first energy strategy to Central Government: the RES 1.0. The analysis of the RES 1.0 carried out by grid managers shows that the Netherlands’ agreed climate target of 35 terawatt hours (TWh) onshore renewable energy generation is feasible, provided that all the parties join together now in making the challenges posed by the RES concrete and draw up implementation programmes for modifying, developing and realising the spatial integration of infrastructure.

Making optimal use of our grids

Ensuring that grids are used as efficiently as possible is challenging in the RES regions. This is a key element of the energy strategy. Demand for space and certainty of support are key considerations that often lead regions to favour solar generation (71% of power consumption in the RESs), in particular rooftop solar, over wind generation (29%). The consequence of this is that additional energy infrastructure is needed.

Cooperation with local interests even more important

The next phase will see Stedin work with the RES regions on implementation plans for the RES 1.0. This involves further identifying the locations for sustainable energy generation, where storage and transmission (above as well as below ground) and heat are to be integrated into the surroundings, making suitable provision in the Environmental and Planning Act (Omgevingswet) and jointly coordinating planning, locations for energy generation and plans for expanding the energy infrastructure. Participation from an early stage is essential in this regard, as are our considerations of affordability and sufficient support.

Innovation: energy communities

In several test beds, we are working with energy communities, ranging from households to industrial parks. Initiatives such as Hoog Dalem in Gorinchem, Coöperatie Sterk op Stroom in The Hague, Eemnes and Greenparc in Bleiswijk have a common objective: to consume locally generated sustainable energy as far as possible. Stedin is pleased to play its part in these initiatives, since every kilowatt hour that is consumed locally contributes to reducing social expenditure. The combined purpose of energy community members as well as Stedin is to achieve the smart balancing of energy consumption and generation. Blockchain technology helps to facilitate local consumption of locally generated energy.

Voltage quality: a growing focus of attention

In the low-voltage grids in outlying areas and villages in particular, the increasing number of solar panels can lead to excessively high voltage on cables. This is causing problems for increasing numbers of customers. They may notice, for example, that solar inverters disconnect, causing them to lose some of the energy generated by their solar panels. Alternatively, high energy usage can lead to excessively low voltage. Equipment can then shut down for safety reasons. While customers can report problems with voltage levels to us, not all of them are aware of this possibility.

Pilot project in Hoeksche Waard

In 2021, a pilot project was conducted involving the use of smart meter data to determine whether the voltage was too high or too low. The pilot project was successful, providing a far more complete picture of the voltage issues than can be obtained from customers’ reports. This insight increases our ability to define and schedule appropriate solutions (by combining them with other work, for example). Further upscaling and use of these data is an objective in 2022. This will depend, however, on clarity being obtained as to whether we may use the smart meter data for this purpose as well as how we should handle the data in the interest of safeguarding customer privacy.

Heat transition

Alternatives for existing buildings

The majority of the 99 municipalities in our coverage area had provided a transition vision for heat by the end of 2021. In this vision, they set out how they intend to make the switch to sustainable and gas-free heating and cooking in their municipality. Our area directors and account managers actively supported municipalities in making their choices. They will continue to do so in the follow-up stage of defining district implementation plans, in which they will finalise their choices. A total of 3,500 districts are involved in our service area.

Opening Bid and Stedin Area Analysis Tool

The Opening Bid and Stedin Area Analysis Tool help municipalities to determine which neighbourhoods or building clusters are smart options for commencing the heat transition.­ In the Opening Bid, we do this by superimposing three renowned models (Vesta Mais, CEGOIA and the Energy Transition Model) over each other and analysing different energy futures. In 2021, Stedin and Enduris were joined by grid manager Capturam, for the area of grid manager Westland Infra, in adopting the Opening Bid. In May, we introduced the Area Analysis Tool. This uses the same method as the Opening Bid, although with a new area layout as a basis. An algorithm groups similar properties, producing clusters that are smaller in size than neighbourhoods. This provides more concrete guidance and assistance to municipalities, who expect that the Area Analysis Tool will play an important role in the follow-up phase of the Transition Visions for Heat: the district implementation plans.

Grid Impact Quick Scan

Stedin provides municipalities and building owners such as housing associations with insight into the impact of plans on the electricity grid. The Grid Impact Quick Scan, for example, is a tool that we employ to give an outline picture of whether plans can be implemented straight away, or whether Stedin first needs to carry out work. If work needs to be undertaken, we give an indication of the expected lead time and the space required for distribution stations. At the same time, the plans give Stedin increasingly better insight into how the heat transition is developing. This allows us to refine our investment forecast as well as analyse whether our expectations match real-life developments.

Test beds for Natural Gas-free Districts

The government is promoting moves to enhance the sustainability of the built environment through various grants, subsidies and programmes. Of the 27 test beds in the first round of the Natural Gas-free Districts Programme, 7 are located in the Stedin area; in the second round, 3 (Goeree-Overflakkee, Rotterdam and Pijnacker-Nootdorp) of the 19 test beds are in Stedin's service area. Stedin is actively involved in all the test beds. Each district is characterised by its own dynamics and planning phase and moves at its own pace.

Hybrid heat pumps

Besides the test beds, attention is also given to individual routes toward gas-free homes. Homeowners and housing associations can make their own decisions on making homes gas free by improving insulation and installing hybrid heat pumps. Stedin supports these routes by joining with Techniek Nederland, environmental protection organisation Natuur & Milieu and the NVDE Netherlands sustainable energy association in participating in the Hybrid Route Coalition, which aims to see 100,000 hybrid heat pumps installed per year.

Gas-free homes

The number of gas connections removed to enhance sustainability in Stedin’s coverage area increased by 170% to 12,003 in 2021 (2020: 4,448/2021: 12,484 incl. DNWG). In 2021, 90% (2020: 89%) of the connections requested for new homes in our coverage area were natural gas free.

Collectives Desk

The Collectives Desk answers questions that energy collectives may have on subsidy schemes, feed-in connections and meters. In 2021, Stedin connected 26 projects of energy collectives and 7 projects of Owners’ Associations, with feed-in connections for returning energy to the grid (2020: 20). Of these projects, 8 were in Zeeland (2020: 14).

Innovation: spatial challenge in Utrecht

We have to build roughly 1,000 new distribution stations in Utrecht alone by 2050. Fitting all these stations into the limited public space available is a complex challenge. Together, Stedin and the Municipality of Utrecht have grasped this challenge in an ‘innovation accelerator’. As a result, we now emphasise the importance of ‘spatial integration’ far more explicitly in the tendering procedure for future distribution units. Take, for example, a colour scheme to create a uniform appearance. We are also putting up more compact buildings and have the possibility of using the same types of brick for the exterior of a station, for example, as commonly appear in the district where the station is built.

Innovation: hydrogen

Our gas network is of great social and economic value. Heating homes with sustainable gases such as hydrogen may offer a good alternative in the future, alongside fully electric heating and heat grids. In this way, we give our gas network a new lease of life. To ensure hydrogen is usable as a viable alternative, it is important that we gain knowledge and experience with how to distribute hydrogen now. We are doing this in the following projects.

Stad aan ‘t Haringvliet

In 2021, Stedin and its partners continued to examine the possibilities for replacing natural gas with hydrogen for heating in Stad aan ‘t Haringvliet, using the current gas grid, with effect from 2025. A Green Deal was concluded with the national government to remove potential policy obstacles. A broad national coalition was forged with various relevant stakeholders, which resulted in a system design that provides adequate safeguards for safety and supply security.

Conversion trials

Following the successful conversion trial in Uithoorn, in which the current gas grid and 14 homes were temporarily converted to hydrogen from natural gas, we started the preparations for a follow-up project in 2021: the conversion of a ‘demonstration home’ in Stad aan ’t Haringvliet. This home project will demonstrate conversion from natural gas to hydrogen. The demonstration is planned for early 2022.

Alliances and associations: The Green Village and HyDelta

The gas grid at The Green Village in Delft has been switched to hydrogen pressure since early 2021. We carried out small-scale tests and validation trials to find out how hydrogen and the gas grid behave in a static situation. HyDelta is a Dutch national research programme aimed at the safe integration of hydrogen into the existing gas transport and distribution infrastructure. The consortium comprises DNV, Gasunie, Kiwa, New Energy Coalition, Netbeheer Nederland, TKI Nieuw Gas and the Netherlands Organisation for Applied Scientific Research (TNO). The initial results were delivered in 2021 and are positive.

Energy system

The activities that Stedin undertakes with hydrogen are fully in line with the recommendations from the recently published Integrated Infrastructure Survey 2030-2050 (‘Integrale Infrastructuurverkenning 2030-2050’) (II3050). This infrastructure survey comprehensively examines the energy system and covers every single energy carrier.

Mission H2: the Netherlands: a pioneering hydrogen country

In August 2019, Stedin Group joined Mission H2, a consortium of seven companies that aims to promote hydrogen in the Netherlands. Mission H2 did so by sponsoring TeamNL at the Tokyo Olympic Games with the message: Together we will make the Netherlands a Hydrogen Country. Through our participation in Mission H2, we seek to raise awareness for the role the gas grid can continue to play in the energy transition. Research by various agencies shows that this campaign helped to boost awareness of Mission H2, from 6% to 21%. Awareness of hydrogen rose from 9% to 16%. Awareness of hydrogen usage in industry and the built environment was also up (from 51% to 72% for the built environment).

2. Mobility

The number of electric vehicles in the Netherlands grew by 40% in 2021, to 381,815. The Climate Agreement includes a commitment to install 1.7 million charging points in the Netherlands by 2030, for 1.9 million electric cars. That illustrates the challenge that we as grid managers face in the coming years.

Number of connections for low-use consumers for charging infrastructure

The growth in the number of connections for low-use consumers for charging infrastructure increased by 39% from the end of 2020, to 2,791. Unlike previous years, these figures also include the growth at Enduris for the years 2019, 2020 and 2021. We are reporting on the growth of the number of low-use connections because Stedin, as a grid manager, provides the infrastructure for connections. We do not have precise information on the number of charging points realised on a connection.

National Agenda on the Charging Infrastructure Network (NAL)

The NAL is a multi-year implementation programme resulting from the Climate Agreement. It covers charging stations on private driveways and at businesses as well as public and semi-public charging stations and fast chargers. The programme also includes the installation of charging infrastructure for the logistics sector. Smart solutions, which are jointly developed by the NAL, are essential to prevent peak loads occurring on the low-voltage grid. Smart charging has been proven to work well in multiple test beds and system pilot projects. The next step is a national uniform market model that grid managers support with new variable and semi-variable low-use consumer tariffs. The introduction of zero-emission zones means that the logistics sector must also embrace electrification. Stedin and ElaadNL are jointly researching the related necessary grid capacity on business parks and along freight corridors.

Innovation: smart charging

Smart charging involves charging electric cars as far as possible at times when sufficient sustainable energy is available at the lowest price. That way, we ensure that the electricity grid remains in balance and avoid consuming even more electricity during peak periods, among other things.

The system was tested and further developed in five different test beds in the Utrecht region. This led to the creation of a sustainable energy system at district level. Locally generated energy is stored in electric cars and shared cars. The energy can then be returned to the district at a later moment through a smart charging point. More than 800 of these smart charging points have already been installed.

Smart charging is the future and is key to ensuring optimal functioning of the energy grid. Read the position paper ‘Keep the energy transition affordable – make smart charging the norm’.

Charging infrastructure forecasting process for grid impact

Regional and local authorities plan for charging infrastructure in their region/municipality on the basis of agreements on charging infrastructure in the Climate Agreement and the NAL. The grid managers need insight into these plans (what, when, where) to determine their impact on the electricity grid as well as to establish the grid capacity and level of investment that will be required. The NAL region is responsible for providing forecasts to the grid managers. The grid managers

then calculate the effects of these forecasts together with those of the RES, and an impact assessment is made for each NAL region setting out the specific impact of charging infrastructure. The first assessment was completed in 2021 and was shared with the regions at the start of 2022.

Connection specifications and inspection

New public charging points with an integrated network connection must meet grid manager requirements: the charging points must facilitate smart charging. An updated version of these specifications was implemented in 2021. Various new charging points were inspected and declared safe. The most significant advance in the new connection specifications concerns the requirement to provide information supporting smart meter accessibility in charging points. Furthermore, the contract for the tender put out jointly by the grid managers for compact connection boxes was awarded in 2021. This innovative product allows the connection time in the public space to be halved. The connection boxes will be rolled out in all facilities in the public space incorporating low-use connections in the coming year.

Tendering procedures launched by the Municipality of Rotterdam

The number of connections for public charging points is set to grow tremendously: from 18,000 drivers of electric cars without a private driveway in 2020 to 135,000 in 2030. It is an immense challenge: the number of installations undertaken by the Municipality of Rotterdam for charging points increased by 60% in 2021 alone (from 800 installations in 2020 to 1,300 in 2021).

The Municipality of Rotterdam issued a new call for tenders for the thousands of new public charging points that need to be installed. They were joined in the tender by 29 other municipalities in the province of South Holland. ENGIE installs the charging points based on the expected demand, and not just following a concrete request. In that way, the municipalities hope to shorten the lead times. Speed is also of the essence, due to the emerging market for previously owned electric cars. Since they are able to take immediate possession of their vehicle, the new owners want also immediate access to charging facilities. As Stedin was involved in this tendering procedure from the outset, its interests have been included in each call for tenders. All the charging stations will be able to provide smart charging, for example, and the necessary provisions are coordinated with Stedin, among others. As a result, the available capacity of the grid is taken into account at certain moments and critical locations. That way, we avoid unnecessary investments while also making efficient use of the grid.

3. Industry

To achieve the climate goals for industry, the necessary energy infrastructure must be in place in good time. Stedin’s service area includes the most energy-intensive region in the Netherlands: the port of Rotterdam. There is plenty of industry beyond this region as well, for which new infrastructure is needed if they are to realise their transition plans.

Rotterdam Port Industry Complex (HIC)

The Rotterdam-Moerdijk industrial cluster is currently responsible for 17% of the Netherlands’ CO2 emissions. The ‘cluster plan for the Rotterdam-Moerdijk Industrial Cluster’ outlines that electrification in industry is expected to bring about an annual reduction in CO2 emissions of roughly 2.5 Mt by 2030. Stedin is working closely with the various stakeholders in the Port Industry Complex (HIC) to make this electrification possible.

One example is the Energy Infrastructure Working Group. The Port of Rotterdam Authority, Stedin, Deltalinqs, TenneT, Gasunie, the Province of South Holland, the Municipality of Rotterdam and the Institute for Sustainable Process Technology (ISPT) effectively highlight obstacles in relation to infrastructure development. To facilitate this, overviews and instruments have been developed that lead to improved coordination between industry and the grid operators TenneT, Gasunie and Stedin.

Project Gridmaster: developing adaptive investment strategies

This project aims to combine models and methods to enable us to explore the many uncertainties within the transition of the industry. The project provides insight into possible transition pathways, the necessary infrastructure and matching investment strategies. The parties signed the cooperation agreement in 2020 and initiated the project in 2021. Participating parties are Stedin, TenneT, Gasunie, the Port of Rotterdam Authority, the Province of South Holland, the Municipality of Rotterdam, SmartPort, TU Delft, Siemens, Quintel and the Netherlands Organisation for Applied Scientific Research. The scenarios have been expanded compared to those under the master plan, increasing the scope for exploring opportunities for expansions in electricity, natural gas, heat and hydrogen grids. The first suitable investment plans have emerged from the computer models and have been assessed by the experts. That is also the prelude to fully automated calculations, which will enable Stedin to undertake sound and future-proof investments as well.

Master Plan: a port filled with new energy – current developments

In collaboration with the Port of Rotterdam Authority and TenneT, Stedin produced the master plan entitled ‘a port filled with new energy’ in 2019. The master plan identified several future bottlenecks in the electricity grid, based on future scenarios developed with the Wuppertal Institute. On the basis, among other things, of the master plan, six major investments in the grid are currently being developed or carried out, including a completely new station in Europoort.

Energy Mix Study project

In the Energy Mix Study, we identify the potential changes affecting the energy and raw material systems of roughly 30 companies in the HIC In 2021, the final phase of the project was carried out by the Netherlands Organisation for Applied Scientific Research and Deltalinqs on behalf of Stedin and the Port of Rotterdam Authority. The results of the study consist of a ‘business as usual’ transition pathway up to 2030 and three transition pathways for the period thereafter; CCS (carbon capture and storage), hydrogen and electrification. We foresee a substantial increase in demand for electricity in all four scenarios. In the second half of 2021, the Province of South Holland commissioned the development of a model that uses the results of the Energy Mix Study. This model provides insight into the impact and timing of the transition pathways for the necessary energy infrastructure in the port. The results of this model can help Stedin identify future bottlenecks.

Cluster Energy Strategies & Data Safe House

The first Cluster Energy Strategies (CES) were written in 2021. In the CESs, our industry partners share the expected future energy needs of their transition plans. This helps us in planning the infrastructure. The CESs will be continuously updated and refined in 2022 and beyond. There are two CESs in our coverage area: Rotterdam-Moerdijk and the Schelde-Delta region. There is an additional CES in the form of the non-regional CES for industry outside the HIC.

Rotterdam-Moerdijk CES

The Rotterdam-Moerdijk CES was written by a working group comprising the Port of Rotterdam Authority, Deltalinqs, the Province of South Holland, the Port of Moerdijk Authority and Stedin. Six core projects are identified in this CES, including reinforcement of the electricity grid in line with the master plan (see box) The Sustainable Industry Infrastructure Programme of the Ministry of Economic Affairs and Climate Policy considers whether these projects should be included in the Multi-year Programme for Energy & Climate Infrastructure, in the interest of accelerating implementation.

Schelde-Delta region CES

The Schelde-Delta region industrial cluster extends over the border to East Flanders and has its own transnational, cross-sectoral partnership: Smart Delta Resources (SDR). SDR consists of Dow, Trinseo, Yara, Zeeland Refinery, PZEM, Lamb Weston/Meijer, Ørsted, ArcelorMittal, North Sea Port and the Province of Zeeland. Here, Stedin Group works with SDR and the grid managers Enexis, TenneT and Gasunie.

Rooftop solar in Port of Vlissingen

In the Port of Vlissingen, Verbrugge Terminals and Kieszon have created the largest solar roof project in the world. The 140,000 panels that have been installed on the roofs of Verbrugge’s terminals have a generating capacity of 50 MW. That is 7% of the RES objective for solar energy in Zeeland. This connection was made possible by a drilling operation carried out at a depth of 50 metres over a length of 1.5 kilometres beneath the port areas. The project is connected to the new main distribution station in the port.

Out-of-area industry

A CES is also being developed for industry that is not located within the HIC: ‘Cluster six – out-of-area industry ‘. The location of these companies outside the HIC in particular makes it more difficult to assess their future energy infrastructure needs. They require a more customised approach. Stedin

and the other grid managers organised a series of webinars aimed at enhancing cooperation with the companies and raising awareness among them about what is involved in developing their transition plans.

We do not expect the first CES of cluster six to yield any information that will lead directly to any modification of our investment plans. A further analysis will be undertaken in 2022 to enable an accurate long-term prediction to be made of the infrastructure needs of these companies.

Data Safe House

A key condition for a good CES is reliable technical and planning data on forthcoming industrial projects and developments. A data safe house (DSH) provides a secure and confidential environment for exchanging data about proposed investments.

In 2021, Stedin, Deltalinqs, the Port of Rotterdam Authority and the Ministry of Economic Affairs and Climate Policy successfully carried out a feasibility study into developing a DSH. Further work was undertaken with a group of five industrial parties and three grid managers on addressing the legal framework, the governance and the structure and organisation of the DSH. The DSH went live at the end of 2021. We can now see whether this construction leads to improved predictability and planning certainty with regard to infrastructural needs. If the DSH proves successful, this can lead to countrywide application.

Maasvlakte expansion: Yangtze canal station and construction of 66 kV NoordRing

Capacity expansion has become necessary due to the huge growth in customer demand (on the generation as well as load side) on the Maasvlakte. The proposed building of 66 kV NoordRing phase 1 and the construction of a 66/25/23 kV station near the Yangtze canal will enable us to connect new customers. We will also bring the north side of the Maasvlakte (the existing Stedin Maasvlakte Station) to this new Yangtze canal station. This will free up space on the existing high-voltage station for connecting initiatives. The next phase of the NoordRing will see us connect a compressor station for CO2 storage. Phase 3 of the NoordRing, which we have already developed, will be built once there is a clearer picture of customer demand.