Central Electricity Generating Board

The Central Electricity Generating Board (CEGB) was responsible for electricity generation, transmission and bulk sales in England and Wales from 1958 until privatisation of the electricity industry in the 1990s.[1]

Central Electricity Generating Board
State owned government body and regulator
IndustryEnergy: electricity
FatePrivatised throughout the 1990s
PredecessorCentral Electricity Authority (1955–57), British Electricity Authority (1948–55)
Successors
Founded1 January 1958
Defunct9 November 2001
HeadquartersLondon, United Kingdom
Area served
England and Wales
ProductsElectricity generation, transmission and bulk sales
Revenue0.4264 p/kWh sold (1957–8), 3.0371 p/kWh sold (1981–2)
£340.3 million (1957–8), £6,363.6 million (1981–2)
Net earnings £48.3 million (1957–8), £295.7 million (1981–2)
Number of employees
65,410 (1972), 55,487 (1982)

It was established on 1 January 1958 to assume the functions of the Central Electricity Authority (1955–7), which had in turn replaced the British Electricity Authority (1948–55). The Electricity Council was also established in January 1958, as the coordinating and policy-making body for the British electricity supply industry.

Responsibilities

The CEGB was responsible for electricity generation, transmission and bulk sales in England and Wales, whilst in Scotland electricity generation was carried out by the South of Scotland Electricity Board and the North of Scotland Hydro-Electric Board.

The CEGB's duty was to develop and maintain an efficient, coordinated and economical system of supply of electricity in bulk for England and Wales, and for that purpose to generate or acquire supplies of electricity and to provide bulk supplies of electricity for the area electricity boards for distribution. It also had power to supply bulk electricity to the Scottish boards or electricity undertakings outside Great Britain.

The organisation was unusual in that most of its senior staff were professional engineers, supported in financial and risk-management areas.[2]

Corporate structure

Background

In 1954, six years after nationalisation, the Government appointed the Herbert Committee to examine the efficiency and organisation of the electricity industry. The committee found that the British Electricity Authority's dual roles of electricity generation and supervision had led to central concentration of responsibility and to duplication between headquarters and divisional staff which led to delays in the commissioning of new stations. The Committee's recommendations were enacted by the Electricity Act 1957 which established the Electricity Council to oversee the industry and the CEGB with responsibility for generation and transmission.[3]

Constitution
Power in Trust (1961) by Norman Sillman, at Staythorpe Power Station

The CEGB was established by section 2 of the Electricity Act 1957.[4] It consisted of a Generating Board comprising a chairman and seven to nine full-time or part-time members, appointed by the Minister of Power, who had experience or capacity in "the generation or supply of electricity, industrial, commercial or financial matters, applied science, administration, or the organisation of workers". The power of appointment later devolved to the Minister of Technology, then to the Secretary of State for Trade and Industry.

There were six chairmen of the CEGB:

The executive comprised the chairman and the full-time board members. The Headquarters Operations Department provided a service to the board and executive and could supply specialist staff.[2]

The chairman and two other members of the board plus the chairmen of the area boards were members of the Electricity Council.[2]

Organisation

The design, construction and development functions associated with power stations and transmission was undertaken by two Divisions: the Generation Development and Construction Division based in Cheltenham and then Marchwood Gloucester, and the Transmission Development and Construction Division based in Guildford.[2] In 1979 the Transmission Division had been restructured as the Transmission and Technical Services based in Guildford, and a Technology Planning and Research Division based in London, the latter was formed from the Research Division System Technical and Generation Studies Branches.[6][7]

A Corporate Strategy Department was formed in 1981 from some of the Planning Department. A Nuclear Operations Support Group was also formed in 1981 to provide expert support.[7]

The sculpture "Power in Trust" from the CEGB logo was made by Norman Sillman to represent a hand made from boiler pipes and a turbine, it was commissioned in the 1961 for the opening of Staythorpe B Power Station.[8]

When first constituted the CEGB's London headquarters was at the former Central Electricity Authority's building in Winsley Street W1, there were also offices in Buchanan House, 24/30 Holborn, London, EC1.[9]

Employees

There was a total of 131,178 employees in the electricity supply industry 1989, composed as follows:[10]

Electricity supply industry employees 1989
Electricity Council CEGB Area Boards Total
Managerial 122 780 535 1,437
Technical and scientific 444 13,098 8,473 22,015
Administrative and Sales 566 7,142 30,146 37,854
Industrial 125 26,611 41,142 67,878
Trainees and apprentices 0 In Industrial 1,985 1,985
Total 1,257 47,631 82,291 131,178

Infrastructure

The CEGB spent more on industrial construction than any other organisation in the UK. In 1958  about 40 power station were being planned or constructed at a capital cost of £800 million.[3]

Power stations

Those public supply power stations that were in operation at any time between 1958 and 1990 were owned and operated by the CEGB. In 1971–2 there were 183 power stations on 156 sites, with an installed capacity of 58,880.051 MW, and supplied 190,525 GWh.[2] By 1981–2 there were 108 power stations with a capacity of 55,185 MW and supplied 210,289 GWh.[6]

National Grid

At its inception the CEGB operated 2,763 circuit km of high-tension 275 kV supergrid. The growth of the high voltage National Grid over the lifetime of the CEGB is demonstrated in the following table.[3]

Length in circuit km of 275 kV and 400 kV transmission system
Year 1958 1963 1968 1973 1978 1983 1988
275 kV, km 2763 5923 5403 4471 4442 4303 4069
400 kV, km 0 85 4927 7905 9319 9531 9822

Substations
Main article: High-voltage substations in the United Kingdom

In 1981–2 there was a total of 203 substations operating at 275/400 kV, these sub-stations included 570 transformers operating at 275/400 kV.[6]

Operations

Control of generation and the National Grid

At the centre of operations was the National Control Centre of the National Grid in London, which was part of the control hierarchy for the system. The National Control Centre was based in Bankside House from 1962.[7] There were also both area and district Grid Control Areas, which were originally at Newcastle upon Tyne, Leeds, Manchester, Nottingham, Birmingham, St Albans, East Grinstead and Bristol. The shift control engineers who worked in these control centres would cost, schedule and load dispatch an economic commitment of generation to the main interconnected system (the 400/275/132kV network) at an adequate level of security. They also had information about the running costs and availability of every power producing plant in England and Wales. They constantly anticipated demand, monitored and instructed power stations to increase, reduce or stop electricity production. They used the "merit order", a ranking of each generator in power stations based upon how much they cost to produce electricity. The objective was to ensure that electricity production and transmission was achieved at the lowest possible cost.

In 1981 the 3-tier corporate transmission structure: National Control, Area Control Rooms in the Regions, and District Control Rooms (Areas) was changed to a 2-tier structure by merging the Area and District Control Rooms.[7]

Electricity supplies and sales

The electricity generated, supplied and sold by the CEGB, in GWh, was as follows:[10]

CEGB electricity supplies and sales
Numbers in GWh Year
1958/9 1963/4 1968/9 1973/4 1978/9 1983/4 1988/9
Electricity generated 91,753 141,655 187,064 217,542 238,148 229,379 250,699
Electricity supplied 86,233 132,091 173,418 201,763 222,091 212,728 231,909
Imports 500 2,016 2,991 3,521 3,253 5,214 16,416
Exports 598 1,054 2,046 551 736 176 3
Total supplies on system 86,135 133,053 174,363 204,733 224,608 217,766 248,322
Used in transmission 2,174 3,719 5,216 4,103 4,961 5,200 5,619
Sales to direct customers 3,025 1,890 3,005 4,937 5,668 3,944 4,260
Sales to Area Boards 80,936 127,444 166,142 195,688 213,979 208,623 238,443
Generated by Area Boards 1 4 5 6 6 42 106
Purchases by Area Boards from private sources 381 138 210 334 374 571 2,010
Used in distribution 6,245 7,950 9,093 11,410 14,778 13,666 14,338
Sales by Area Boards 75,073 119,634 157,264 184,618 199,581 195,570 226,221

Note: imports are bulk supplies from South of Scotland and France and from private sources, exports are bulk supplies from South of Scotland and France.

Financial statistics

A summary of the income and expenditure of the CEGB (in £ million) is as follows:[10][11]

CEGB financial summary
Numbers in £ million Year
1958/9 1963/4 1968/9 1973/4 1978/9 1983/4 1988/9
Income from electricity sales 505.8 821.5 1,278.4 1,783.5 5,093.0 9,026.3 11,467.8
Other income 14.1 20.3 25.4 22.8 30.4 535.7 906.0
Total income 519.9 841.8 1,303.8 1,806.3 5,123.4 9,562.0 12,373.8
Expenditure 429.6 657.5 980.8 1,652.9 4,448.2
Operating Profit 90.3 184.3 323.8 153.4 675.2 917.7 777.2
Interest 62.5 113.9 222.4 339.0 423.8 450.3 159.3
Profit after interest 27.3 70.4 100.6 -185.6 251.4 464.1 607.2
Revenue Account Expenditure
Fuel 284.1 384.7 707.7 2,379.4 4,008.4 4,268.5
Salaries 143.3 200.9 313.4 750.1 1,454.4 1,992.0
Depreciation 138.3 250.9 328.0 582.2 1,295.1 1,765.0
Interest 113.9 22.4 339.0 423.8 450.3 159.3
Rates 24.1 38.1 64.2 167.5 322.5 496.0
Other costs 67.7 106.2 246.6 568.9 1,563.9 2,715.0
Total costs 71.4 1,203.2 1,991.9 4,871.9 9,097.9 11,766.6
Capital expenditure
Generation 142.3 229.9 207.6 222.2 433.4 766.1 431.8
Main transmission 30.8 77.1 118.0 33.7 61.6 150.9 76.2
Other 0.9 3.1 4.2 10.8 19.4 21.8 96.6
Total CEGB 174.0 310.1 329.8 266.7 514.4 938.8 604.6
Area Boards 83.4 159.1 139.1 140.9 198.1 393.5 854.5
Total capital expenditure 257.4 469.5 469.3 408.2 714.7 1,605.2 1,471.8

Regions

Detailed control of operational matters such planning, electricity generation, transmission and maintenance were delegated to five geographical Regions. From January 1971 each Region had a Director General, a Director of Generation, a Director of Operational Planning, a Director of Transmission, a Financial Controller, a Controller of Scientific Services and a Personnel Manager.[2]

Midlands Region

Regional Headquarters: Haslucks Green Road, Shirley, Solihull, West Midlands.

The Midlands Region was responsible for the operation of 38 power stations, over 170 sub-stations and nearly 2,000 miles of grid transmission line in an area that covered 11,000 square miles. The region produced more than a quarter of the electricity used in England and Wales and had a major share of the industrial construction programme mounted by the CEGB during the 1960s.

In 1948 the total generating capacity of all the power stations in the region was 2,016 MW only a little more than a modern 2,000 MW station. By 1957 the region's capacity was up to 4,000 MW, doubling to 8,000 MW by 1966 and rising to 14,000 MW in 1969 and 16,000 MW by 1971.

Previous chairman of the Midlands Region were Arthur Hawkins, Gilbert Blackman, and R.L. Batley.[12][13]

Prior to 1968 the Midlands Region was divided into the West Midlands Division and the East Midlands Division.The number of power stations, installed capacity and electricity supplied in the Midlands Region was:[2][6]

Midlands Region
Year No. of power stations No. of sites Installed capacity of generators, MW Electricity supplied, GWh
1971–2 36 26 16,256.0 54,509.849
1980–1 26 19 15,619.0 70,586.354
1981–2 22 17 14,655.5 71,455.615

North Eastern Region

Regional Headquarters: Merrion Centre, Leeds (1971). Beckwith Knowle, Otley Road, Harrogate.

Extending through Northumberland, Durham, Yorkshire and North Lincolnshire the North Eastern Region was responsible for the operation of 32 power stations capable of producing 8,000 MW of electricity. 108 substations and over 1,200 route miles of overhead lines transmitted the electricity to the Yorkshire Electricity Board and the North Eastern Electricity Board for passing onto the customer.

A previous chairman of the North Eastern Region was P.J. Squire.[13]

Prior to 1968 the North Eastern Region was divided into the Northern Division and the Yorkshire Division.The number of power stations, installed capacity and electricity supplied in the North Eastern Region was:[2][6]

North Eastern Region
Year No. of power stations No. of sites Installed capacity of generators, MW Electricity supplied, GWh
1971–2 30 26 11,568.5 41,380.793
1981–2 18 15 11,702.0 50,020.604

North Western Region

Regional Headquarters: 825 Wilmslow Road, Manchester, M20 (1971). Europa House, Bird Hall Lane, Cheadle Heath, Stockport.

Previous chairman of the North Western Region were J.L. Ashworth and G.B. Jackson.[13]

The number of power stations, installed capacity and electricity supplied in the North Western Region was:[2][6]

North Western Region
Year No. of power stations No. of sites Installed capacity of generators, MW Electricity supplied, GWh
1971–2 37 36 7,248.662 19,859.890
1981–2 19 19 6,532.225 26,007.229

South Eastern Region

Regional Headquarters: Bankside House, Summer Street, London.

Past chairman of the South Eastern Region were G.N. Stone, H.J. Bennett and F.W. Skelcher.[14][13]

Prior to 1968 the South Eastern Region was divided into the North Thames Division and the South Thames Division. The number of power stations, installed capacity and electricity supplied in the South Eastern Region was:[2][6]

South Eastern Region
Year No. of power stations No. of sites Installed capacity of generators, MW Electricity supplied, GWh
1963–4 73 59 9,957.171 30,355.353
1971–2 46 37 13,114.804 42,005.335
1980–1 35 33 12,556.904 22,764.492
1981–2 28 28 12,758.404 23,637.504
1983–4 20 20 10,628. 26,519.474

South Western Region

Regional Headquarters: 15–23 Oakfield Grove, Clifton, Bristol (1971). Bedminster Down, Bridgwater Road, Bristol.

Previous chairman of the South Western Region were Douglas Pask, Roy Beatt, A.C. Thirtle and R.H. Coates.[14]

Prior to 1968 the South Western Region was divided into the Southern Division, the Western Division and the South Wales Division. The number of power stations, installed capacity and electricity supplied in the South Western Region was:[2][6]

South Western Region
Year No. of power stations No. of sites Installed capacity of generators, MW Electricity supplied, GWh
1971–2 34 31 10,692.085 32,769.175
1980–1 22 20 13,423.450 40,925.009
1981–2 21 19 12,988.950 39,167.919
1983–4 18 16 10,839 38,956.301

Supplies to Area Boards

The supplies of electricity from the CEGB Regions to the Area Electricity Boards in 1971–2 and 1981–2 were as follows.[6][2] The average charge in 1971–2 was 0.6519 pence/kWh, in 1981–2 the charge was 3.0615 pence/kWh.

Electricity supplies to Area Boards
Area Board Electricity sold 1971–2, GWh Electricity sold 1981–2, GWh
London 14,472 16,173
South Eastern 12,586 14,730
Southern 17,744 21,073
South Western 9,030 10,817
Eastern 20,469 23,661
East Midlands 16,439 18,596
Midlands 19,587 20,209
South Wales 9,638 10,470
Merseyside and North Wales 13,672 14,783
Yorkshire 19,640 21,420
North Eastern 11,296 13,272
North Western 18,614 18,988
Total 183,187 204,192

During the lifetime of the CEGB peak demand had more than doubled from 19,311 MW in 1958 to 47,925 MW in 1987. Sales of electricity had increased from 79.7 TWh in 1958 to 240 TWh in 1988.[3]

Research and development

The CEGB had an extensive R&D section with its three principal laboratories at Leatherhead (Central Electricity Research Laboratories, CERL) (opened by the Minister of Power in May 1962),[7] Marchwood Engineering Laboratory (MEL), and Berkeley Nuclear Laboratories (BNL). There were also five regional facilities and four project groups, North, South, Midlands and the Transmission Project Group. These scientific service departments (SSD) had a base in each region. A major SSD role was solving engineering problems with the several designs of 500 MW units. These were a significant increase in unit size and had many teething problems, most of which were solved to result in reliable service and gave good experience towards the design of the 660 MW units.

In the 1970s and 1980s, for the real-time control of power stations the R&D team developed the Cutlass programming language and application system. After privatisation, CUTLASS systems in National Power were phased out and replaced largely with Advanced Plant Management System (APMS) – a SCADA solution developed in partnership by RWE npower (a descendant company of CEGB) and Thales UK.[15] APMS itself has since become obsolete. However, Eggborough was the last station, particularly unit 2; fully operated using APMS until its decommissioning in 2017.

In contrast, PowerGen, later taken over by E.ON (which further split to form Uniper), undertook a programme to port the entire system to current hardware. The most current version of Cutlass, 'PT-Cutlass Kit 9', runs on Motorola PPC-based hardware, with the engineering workstation and administrative functions provided by a standard Microsoft Windows PC. It is fully compatible (with a few minor exceptions) with the DEC PDP-11 version (kit 1) released by PowerGen and has a high level of compatibility with the final version of kit 1 formerly used at National Power.[16] It is used at three UK power stations: Ratcliffe-on-Soar, Cottam, and Fiddlers Ferry.

Policies and Strategies

The CEGB was subject to examination from external bodies and formed policies and strategies to meet its responsibilities.

External

A 1978 government white paper Re-organisation of the Electricity Supply in England and Wales proposed the creation of an Electricity Corporation to unify the fragmented structure of the industry. Parliamentary constraints prevented its enactment.[7]

A report by the Monopolies and Mergers Commission, Central Electricity Generating Board: a Report on the Operation by the Board of its system for the generation and supply of Electricity in bulk was published in 1981. The report found that the CEGB's operations were efficient but that their investment appraisal operated against the public interest.[7]

Internal

In 1964 the CEGB chose the Advanced Gas Cooled Reactor, developed by the United Kingdom Atomic Energy Authority, for a programme of new station construction. The five stations were: Dungeness B, Hinkley Point B, Hartlepool, Heysham and Hunterston B.[7]

In 1976 the CEGB introduced an accelerated power station closure programme. On 25 October 23 power stations were closed and 18 partly closed, with a combined capacity of 2,884 MW. Six further stations with a capacity of 649 MW were closed in March 1977.[7][17]

In 1979 the CEGB and the National Coal Board entered a joint understanding that the CEGB would endeavour to take 75 million tonnes of coal per year to 1985 provided the pithead price did not increase above the rate of inflation.[7]

In 1981 the CEGB applied for Planning Consent to build a 1,200 MW Pressurised Water Reactor at Sizewell. There was a lengthy public inquiry.[7]

In 1981 the CEGB introduced another accelerated power station closure programme. On 26 October 16 power stations were closed with a combined capacity of 3,402 MW. A further 1,320 MW of capacity was maintained unmanned in reserve.[7][17]

Privatisation

The electricity market in the UK was built upon the break-up of the CEGB into four companies in the 1990s. Its generation (or upstream) activities were transferred to three generating companies, 'PowerGen', 'National Power', and 'Nuclear Electric' (later 'British Energy', eventually 'EDF Energy'); and its transmission (or downstream) activities to the 'National Grid Company'.[18][19]

The shares in National Grid were distributed to the regional electricity companies prior to their own privatisation in 1990. PowerGen and National Power were privatised in 1991, with 60% stakes in each company sold to investors, the remaining 40% being held by the UK government. The privatisation process was initially delayed as it was concluded that the 'earlier decided nuclear power plant assets in National Power' would not be included in the private National Power. A new company was formed, Nuclear Electric, which would eventually own and operate the nuclear power assets, and the nuclear power stations were held in public ownership for a number of years.[20]

In 1995, the government sold its 40% stakes, and the assets of Nuclear Electric and Scottish Nuclear were both combined and split. The combination process merged operations of UK's eight most advanced nuclear plants – seven Advanced Gas Cooled Reactor (AGR) and one Pressurised Water Reactor (PWR) – into a new private company founded in 1996, 'British Energy' (now 'EDF Energy').[21][22] The splitting process created a separate company in 1996 called 'Magnox Electric' to hold the older Magnox reactors, later combined with BNFL.

Although electricity privatisation began in 1990, the CEGB continued to exist until the Central Electricity Generating Board (Dissolution) Order 2001, a statutory instrument, came into force on 9 November 2001.[23]

Powergen is now E.ON UK, owned by the German utility company E.ON, who then further split to form Uniper, who own the majority of the former E.On conventional power generation. National Power split into a UK business, 'Innogy', now 'RWE npower', owned by the German utility company RWE, and an international business, 'International Power', now Engie Energy International and owned by the French company Engie.

Publications
  • Nuclear Know-How! – with an element of truth. Published by the Central Electricity Generating Board Publicity Services – South East, Bankside House, Sumner Street, London SE1 9JU (n.d. but published c. 1980s–1990s). 20 pages.
  • Central Electricity Generating Board, Annual Report and Accounts (published annually).
  • Central Electricity Generating Board, Statistical Yearbook (published annually).
  • H.R. Johnson et al., The Mechanism of Corrosion by Fuel Impurities (Central Electricity Generating Board; Marchwood Engineering Laboratories, 1963).
  • Central Electricity Research Laboratories, Symposium on chimney plume rise and dispersion, Atmospheric Environment (1967) 1, 351–440.
  • Central Electricity Generating Board, Modern Power Station Practice, 5 volumes (Oxford, Pergamon Press, 1971).
  • Central Electricity Generating Board, How Electricity Is Made and Transmitted (CEGB, London, 1972).
  • Central Electricity Generating Board, Submission to the Commission on Energy and the Environment (CEGB, London 1981).
  • Central Electricity Generating Board, Acid Rain (London, CEGB, 1984).
  • Central Electricity Generating Board, Achievements in technology, planning and research (CEGB, London, 1985).
  • Central Electricity Generating Board, Advances in Power Station Construction (Oxford, Pergamon Press, 1986).
  • Central Electricity Generating Board, European Year of the Environment: the CEGB Achievements (CEGB, London, 1986).
  • Central Electricity Generating Board, Drax Power Station, Proposed Flue Gas Desulphurisation Plant (London, CEGB, 1988).
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See also

References
  1. The CEGB Story Archived 9 December 2012 at Archive.today by Rob Cochrane (with additional research by Maryanna Schaefer) (1990)
  2. CEGB (1972). CEGB Statistical Yearbook 1972. London: CEGB. pp. 2–3, 31.
  3. Sheail, John (1991). Power in Trust: The Environmental History of the Central Electricity Generating Board. Oxford: Oxford Scientific. pp. 101, 104, 117, 280. ISBN 0198546734.
  4. "Electricity Act 1957". www.legislation.gov.uk.
  5. Cochrane, Robert (30 March 1990). "The CEGB Story" (PDF): 34. Retrieved 1 February 2019. Cite journal requires |journal= (help)
  6. CEGB (1982). CEGB Statistical Yearbook 1981-2. London: CEGB. pp. 20, 17. ISBN 0902543695.
  7. The Electricity Council (1987). Electricity Supply in the United Kingdom: a Chronology. London: The Engineering Council. pp. 88, 120, 126, 131, 132, 137, 142. ISBN 085188105X.
  8. "RWE npower – who we are" (PDF). npower. Retrieved 18 February 2020.
  9. Trade Directory Greater London (1959)
  10. Electricity Council (1989). Handbook of Electricity Supply Statistics 1989. London: Electricity Council. pp. 20–21, 33, 36–7, 42–3, 98–9. ISBN 085188122X.
  11. Electricity Council (1979). Handbook of Electricity Supply Statistics 1979. London: Electricity Council. pp. 35, 38–40, 50–1. ISBN 0851880762.
  12. Gilbert, Blackman. "The London Gazette" (PDF). The Gazette. Retrieved 15 June 2018.
  13. CEGB Publicity Brochure dated March 1964 and January 1967
  14. Ledger, Frank (8 September 2017). Crisis Management in the Power Industry : An Inside Story. Routledge. ISBN 978-1351394291. Retrieved 15 June 2018.
  15. Farewell to CUTLASS Archived 5 May 2013 at Archive.today
  16. http://esolangs.org/wiki/CUTLASS CUTLASS on Esolangs.org
  17. "Coal-fired Power Station Closures". Hansard. Retrieved 20 February 2020.
  18. Page 68 "Lessons from Liberalised Electricity Markets" IEA / OECD (2005)
  19. "Funding Universe – History of BNFL". Retrieved 11 July 2012.
  20. "International Power PLC History". Retrieved 11 July 2012.
  21. "EDF agrees to pay $23 billion for British Energy". The New York Times. 24 September 2008. Retrieved 11 July 2012.
  22. "The sale of the Government's interest in British Energy". Retrieved 11 July 2012.
  23. The Central Electricity Generating Board (Dissolution) Order 2001 full text
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