This is a ripple compared to the impending impact of Grid 2.0 on our Power Infrastructure

Transcription

1 This is a ripple compared to the impending impact of Grid 2.0 on our Power Infrastructure

2 Bulk Electricity Storage Enabling Grid 2.0

3 Energy fundamentals have changed 72c/kWh 54c/kWh 36c/kWh 18c/kWh c/kWh 3

4 Renewables + Bulk Storage are changing our power infrastructure Product maturity and low pricing of both PV and batteries are forcing an inflection point in microgrid design that challenges central generation Bulk storage plants can now effectively manage 24/7 load variability for decades, enabling renewables to be our primary energy source Fossil fuels are still required during extended periods of low renewable resources This approach yields stable energy costs well below 20c/kWh over decades 4

5 Value no longer comes from Making Energy Value comes from Managing Energy Storage must smooth AND load shift 5 100MW Panda Green PV design on 250 acre site

6 Electricity Prices [c/kwh] Renewables + Storage + small fossil is already the low cost option in key markets today Islands, remote towns, mining & military at 50-75c/kWh Requires battery with: 35 No capacity fade 100% SOC flexibility year life Recyclability Safety year PPA pricing of PV + 20 Uni.System + diesel A basic question emerges: How will 2008fossil fuels 2011 compete with free fuel forever + unlimited energy management? Decade of Disruptive Change 0 6

7 Grid 2.0 is becoming an aggregation of self-healing microgrids PV arrays are at grid parity and continue generating for decades after they are fully depreciated Generation Transmission Substation Distribution Bulk Storage Nearly all new capacity is already Distributed Generation 1. Customer driven by economic and resiliency requirements 2. Utilities are facilitating this paradigm shift Industrial + Gas Plants variable generation sources with zero fuel costs supporting variable loads Commercial Residential Renewables Lost rotating mass with digital drives Reduced load aggregation Peak loads are not curbed by energy efficiency programs 7

8 U.S. Energy Storage Annual Deployments Will Reach 2.5 GW by 2022 Energy Storage will be a $3.1 Billion Annual Market by 2022 in the U.S. alone 8 source: GTM Research

9 Requirements of a Bulk Electricity Storage Plant Low Total Cost of Ownership» Low upfront Capex, small footprint and fade-free capacity» Simple logistics with Plug & Play QA/QC and deployment» Minimize field time thru minimal footprint & low O&M Design for high value applications:» 4 to 8 hours of storage» high duty cycles (multiple cycles/day)» Long lifecycle (e.g. Utilities and C&I) Intrinsic safety nonflammable, nonreactive, environmentally responsible Provide a cycle-proof warranty to de-risk and improve project economics High residual value vs. hazardous materials recycling costs 50MWh on two basketball courts 9

10 100MWh of UET vs. Tesla in as little as ¼ the footprint Tesla UET Footprint 2 acres ½ acre Solar heat load 8MW 2MW Operating temp 23 C 45 C Substation prep $2.5M $800k # of SOCs >16.7M 200 UET capacity: 100% SOC access for 20y 200 batteries are installed on a ½ acre Unlimited, no-fade cycles over 20 years Nonflammable; nonreactive; fire retardant -40 C to 50 C e lyte temp Requires controlling only 2 SOCs per MWh 10 rendering from Tesla website TESLA capacity: assuming 50% SOC access for 5y cycle life 166,000 cells/mwh must be monitored and controlled for temperature, voltage & current 16.7M cells are installed on 2 acres Risk of combustion, propagation and thermal runaway requires ample aisle space and eliminates stacking Additional footprint is required for added capacity every few years Tesla limits SOC access to ~50% for heavy cycling for a 5 year life, doubling the required installed capacity Lower capacity <0 C and accelerated degradation >35 C

11 Building 200MW/800MW VRFB Peaking Power Station Rongke Power is building the world s largest electricity storage plant is a vanadium flow battery The plant is for peaking power, grid resiliency, and renewable integration The facility is under construction for completion in 2018 The storage plant includes office space for the local utility 11 8M people in Dalian» Safety is a big deal >1000 competitors with all technologies 5 years safe and reliable field experience at scale 2 years to build it 1 Solution Vanadium Flow» Load Shifting» Minimizing curtailment» System stabilization» Infrastructure support

12 TCO (c/kwh) TCO is the Key Parameter for Project Economics 12» Total Cost of Ownership (TCO) includes site prep, deployment, operation and capital» Flow batteries are designed from the molecule up for bulk energy cycling» UET TCO is significantly less than lithium TCO even with very aggressive assumptions for lithium pricing, cyclability and longevity Assumptions: Li-Ion UET 50MWh Capex in 2019 $380/kWh $370/kWh Annual Interest Rate 5% Useful capacity 100% O&M (% CapEx) 1.5% Augmentation 3.5% 0% Installation 10% Project Life (Years) 20 year 20 year TCO 15.4 c/kwh 11.7 c/kwh Not considered -$94/kWh hazardous waste +$80/kWh residual value TCO for 6h Bulk Storage Plants Assuming only 1 cycle/day Project Year Li-ion 1 Cycle/day UET 1 Cycle/day It takes 20 years for lithium to achieve UET s 12-year TCO

13 Which battery? UET s MW-scale Modular Storage Plant! A practical product minimizes many project risks UET Lithium NaS Thermal Low Price Capex and Total Cost of Ownership No capacity fade using it doesn t kill it Modularity boutique mass production Flexibility leverage any value prop Non-flammable not a fuel source Plug & Play Full factory integration & QA/QC Recyclable residual value > recycling costs Compact Low cost simple deployment Light weight Can you drive it around? 8MWh Uni.System 13

14 From Molecules to Megawatts The challenge to deliver a breakthrough technology in an unbreakable product! ELECTROLYTE STACKS CONTROLS PUMPS 14

15 The breakthrough technology: Stable Vanadium Chemistry VO 2 Cl(H 2 O) 2 Catholyte: VO 2+ + Cl - + H 2 O e VO 2 Cl + 2H + ε co =1.0 V Charge Discharge Anolyte: V 3+ + e V 2+ ε ao =-0.25 Charge Discharge Overall: VO 2+ + Cl - + H 2 O + V 3+ VO 2 Cl + 2H + + V 2+ E o =1.25 V Charge Discharge New molecule designed with PNNL s super-computing and advanced analysis equipment Team of 20 scientists led by Dr. Gary Yang & Dr. Liyu Li who then founded UET on pi day in 2012 Won the US Government highest Award of Excellence in Technology Transfer to UET Extraordinary electrolyte stability» stable from -40 C to +50 C 2X energy density improvement 5X footprint reduction Inherent Safety» Non flammable» No thermal runaway» Reduced chemical volume» Nonreactive with water + Containerization 15

16 Field-Driven Stack Development 22kW Stack in kW Stack in kW Stack in kW Stack in 2008 Over 7 years testing 31.5 kw Stack since 2014 The same stack, with slight modification, provided to UET 2kW Stack in 2008 Working with UET team and delivering 20kW next generation 0~100%SOC cycling stack late this year 1kW Stack in

17 Control System Architecture UET Site Controller Siemens WinCC OA SCADA software Siemens Industrial PC IPC427D Siemens HMI TP700 Siemens PLC S Siemens VFD G120 Distributed I/O ET200SP Resiliency by Control Architecture and Component Selection Siemens Components Each string is controlled by a single Siemens PLC String consists of four batteries, the PCS, cooling system, communications The PLC is master of the PCS The site controller controls up to 100 strings using Siemens WinCC OA on an industrial PC 17

18 Electrolyte from BNM - Bolong New Materials Co. Leveraging the massive vanadium industry in Dalian 1,300,000 ft2 manufacturing facilities, plus R&D Center German-engineered production lines, propriety processing ISO9001: 2008 Certified by TÜV Rheinland, DE The world largest VRFB electrolyte production lines, with a current production capacity of over 800MWh/y that will be expanded to 2.0 GWh/y 18

19 Scale Up and Mass Production with Rongke Power Built the world first VRFB mass production line outside Dalian First phase completed and current in production for annual capacity of 300MW stacks and systems The whole base is powered by a microgrid of solar, wind power and energy storage A 2nd phase for total capacity over 3GW by

20 Leveraging breakthrough technology and massive production capacity UET has deployed the most megawatt-scale containerized flow batteries in the world, benefiting from a decade of field experience in delivering solutions and services demanded by utilities, microgrids, and commercial & industrial customers Breakthrough Technology Massive Production Capacity US$350MM invested 1,700,000 ft 2 production facilities VO 2 Cl(H 2 O) 2 100% Recyclable Steel Plastic Carbon Titanium Vanadium 60,000ft 2 UET final assembly facility 300,000ft 2 RKP power stack production facility 200,000ft 2 BNM final stage mixing facility 20

21 Thank you and Go with the Flow! 500kW/2MWh Uni.System TM Commissioned April 2014, USA 1MW/4MWh Uni.System, for Avista Utilities Commissioned June 2015, Pullman, USA 500kW/2MWh Uni.System, for Terna Commissioned November 2016, Sicily, Italy 2MW/8MWh Uni.System, for Snohomish PUD Commissioned March 2017, Everett, WA 21

22 Abstract: Bulk Electricity Storage Enabling Grid 2.0 For the past 100 years, electric utilities have moved with glacial majesty to reliably and safely operate the world s most complex machine the US electric grid. Today we move into a new era with upwards of 40% of our energy coming from variable renewable sources, driven by the overwhelming appeal of free fuel forever. Once renewable assets are depreciated, they continue to generate power for decades, virtually for free, with the only caveat being a complete disregard for our highly optimized work/life balance. Electricity is the only commodity that must be created the instant it is consumed. This must change. As our renewable generation technologies become too cheap to meter, value is no longer found in making electricity. Value is being found in managing electricity and electricity security. This has brought about the dawn of bulk electricity storage on a massive scale. It is projected this nascent industry will grow at a CAGR of 33% to 2.5GW deployed within 5 years in the US alone. This digitally controlled buffer capacity will facilitate even greater deployments of renewable resources in an amplifying feedback loop. The trouble with this renewable utopia is that typical batteries are delicate electrochemical systems that don t usually have the toughness to perform six months of perpetual cycling, let alone decades. Despite billions being invested globally, there are very few technologies that even come close to the true requirements of this market. One successful technology is the vanadium redox flow battery being produced just north of Seattle at UET. Rather than seeking out dreamium or unobtainium to solve the problem of bulk energy storage, UET has been able to leverage a breakthrough from the national labs in the innovative use of a more common material vanadium. Winner of the highest US Government Awards for Excellence in Technology Transfer and the Presidential Green Chemistry Challenge, UET is leveraging a vertically integrated global supply chain to deliver bulk electricity storage to the electric grid in the form of 40 ton batteries. This presentation with dive into the technology of change that will create the utility of the future. From molecules to megawatts through the development cycle of a field rugged product, to the implications for our future where grid security can be achieved to an unprecedented degree through renewable resources and bulk electricity storage. Grid 2.0, made up of an aggregation of self-healing microgrids, will rely on a backbone of electricity storage plants for stability, reliability and resiliency 22