Environmental considerations and transmission planning in a renewable power system

Iceland is rich with geothermal and hydro energy resources in addition to unique natural conditions that attract a rapidly increasing number of tourists. All these factors will play an important role in the future economy and therefore a trade-off is needed to accommodate all aspects, that may in certain circumstances be considered mutually exclusive. The transport of electrical energy to load centers will require future expansion the electric transmission system, the responsibility of the national grid operator, Landsnet. However environmental constraints play an increasing role in both the generation and transmission expansion process, due to tourism and preservation concerns. To reach a consensus in generation expansion, the Government Master Plan (MP) is currently in progress in its 3rd phases with allocation of various hydro or geothermal projects into the preservation or utilization categories. In transmission expansion planning, similarly, Landsnet has recently published its new, system wide plan to consolidate the conflicting views of where and when transmission expansion steps can be taken, in order to meet the future transmission requirements, but at the same time avoid environmentally sensitive areas. These steps are principally, of course, in the form of viable overhead line and/or underground cable routes and options. This paper examines the transmission planning options that are available, including those in the Landsnet system plan. The main topic and purpose of the paper is to describe, review and discuss these plans, in the light of securing necessary future energy supply, but still be able to reach a consensus that respects environmental concerns and the needs to preserve for instance sensitive natural parks and attractions for future generations. New technologies and transmission capacities or options, such as overhead lines and underground cables, will be examined, both in different load zones and transmission corridors, in the light of established load forecasts and the generation options that are currently in the MP and its utilization category. The paper also discusses the need for robustness in planning, as the forecasts and generation options in each category will be subject to currently unknown changes in the future. These changes may stem from changed political climate and/or arrival of new customers such as with future interconnections to external markets and new local energy intensive customers. Here the possibility of the shutting down the facilities of old customers, must be borne in mind.