favoured installation partners and by adopting this strategy EA1 are promoting competition and providing a wider pool of suppliers access to this opportunity [C1,C2,C3] {ii, iii}
2.17.3 Wide market engagement: Twenty six potential cable installation suppliers have been approached as part of themarket engagement activity for this package. Of the 26 parties engaged, 17 (65%) are either less established or new suppliers to the offshore wind industry. The formal tender will be launched in 2015 with preferred supplier award taking place in Q1 2016. [C1,C4,C5] {ii}
2.17.4 To help ensure themost cost effective and efficient cable installation programme is derived EA1 will collaborate closely with the successful cable installation supplier to share the lessons learned on projects such asWoDS and will seek to provide additional geophysical, geotechnical andmetocean data to ensure EA1 is well placed to design themost effective execution plan. [C3] {ii}
2.17.5 Impact: The EA1 Project will be one of the first offshore windfarms to deploy 66kV array cable. The experience gained on the EA1 Project will benefit future projects electing to use 66kV technology which represents a realisable cost reduction choice. [I2,I4] {ii, iii}
2.18 Offshore Transmission EPCI (“Grid Package”)
2.18.1 HVDC technology being considered: This package comprises the design, engineering, procurement, manufacturing, supply, delivery, construction, installation, testing and commissioning of all works associated with the Grid Transmission System. Comprising a single combined AC collector & HVDC Converter offshore substation platformand an onshore HVDC converter stationwith 320kv export cables connecting the converter platforms.
2.18.2 If HVDC is selected, the EA1 project will be the first UK offshore windfarmto deploy this technology, so any contracts will significantly further develop the supply base and drive competition relevant to the UK for offshore HVDC substations and remove a barrier for the whole industry. [C1,C2,C5,I2,I4,I3,I5] {ii,iii).
2.18.3 Lessons learned: Before commencing a pre-qualification exercise, EA1 considered lessons learned from previous substation procurement. EA1 has also sought lessons learned fromthe shortlisted suppliers who have been involved in some of the German HVDC projects to enable amore informed, efficient and integrated approach to the EA1 Project. Such learning includes the need to give thorough consideration to fabrication impacts during the detailed design stage in order to avoid costly re-engineering and variations at a later stage. Experience also indicates thatmaximising the amount of onshore commissioning improves overall efficiency and can accelerate delivery of the offshore installation phase. [C3] {ii]
2.18.4 Several new entrants considered: Seven suppliers were contacted through themarket engagement process, four (57%) of which were either new or less established offshore wind suppliers. One of these suppliers is of Chinese origin. Four suppliers progressed to the formal tender process. [C5] {ii}
2.18.5 Although EA1 will contract a full EPCI package, a pre-qualification process was used to facilitate the exploration of a number ofmeasures to increase competition and UK benefit. Including challenging the cost of energy benefits of semi-standardisation of electrical andmechanical interface to facilitate lower cost manufacture and improved spares position. [C1,C2,C4,C5,I2,I3,I5] {ii}
Sub-suppliers for HVDC transmission
2.18.6 Two potential suppliers have engaged with a significant local company that is capable of fabricating AC substations for the EA1 Project. If this supplier was awarded the contract over 200 direct jobs would be created over a two year period. This is further evidence of EA1 encouraging its tier 1 supply chain to maximise UK content and connect lower tier UK suppliers with a supply chain opportunity. EA1 has a supply chain plan fromthis potential sub supplier (Annex 8.11.2). [C1,C2,C3,C4,C5,I1,I2,I3,I4,I5,I6,S1,S2,S3,S4,S5] {ii, iii}
2.18.7 Impact: The actions described above address all of the criteria relating to competition, as outlined in Annex 1. Generic impacts are discussed in Section 2.9. Key package-specific impacts at a project level are:
Investment in newmanufacturing capability in electrical andmechanical areas. Tier 1 suppliers committing to increased localisation of supply. Addition of new jobs in a range of areas and securing existing jobs. Competition in a key new area of supply for UK projects – first UK HVDC project. {ii}
Page 15 of 30
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87