HYBRID Wärtsilä approach to the marine market

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HYBRID Wärtsilä approach to the marine market Giulio Tirelli, Director, Marine Engineering Presentation at Propeller Club Genova 22/3/2017 Wärtsilä 22/3/2017 Giulio Tirelli - Propeller Club - Genoa

INTRODUCTION: WHAT IS HYBRID? In this presentation hybrid system means a combination of different power and energy storage systems

DISCHARGE TIME AT RATED POWER SECONDS MINUTES HOURS OPTIMIZED FOR TOO LOW POWER ENERGY STORAGE TECHNOLOGIES ELECTROCHEMICAL ELECTRICAL MECHANICAL METAL-AIR BATTERIES FLOW BATTERIES SODIUM-SULPHUR BATTERIES LAND PUMPED HYDRO COMPRESSED AIR BASED ENERGY STORAGE HIGH ENERGY SUPERCAPACITORS ADVANCED LEAD-ACID BATTERIES NANICL2 BATTERIES LI-ION BATTERIES LEAD-ACID BATTERIES NICKEL CADMIUM BATTERIES NICKEL METAL HYBRID BATTERIES FLYWHEELS OPTIMIZED FOR TOO FAST DISCHARGE HIGH POWER SUPERCAPACITORS SUPER CONDUCTING MANGETIC ENERGY STORAGE 1 kw 10 kw 100 kw 1 MW 10 MW 100 MW SYSTEM POWER RATING, MODULE SIZE

DISCHARGE TIME AT RATED POWER SECONDS MINUTES HOURS POWER / ENERGY WINDOW FOR MARINE APPLICATIONS METAL-AIR BATTERIES PUMPED HYDRO FLOW BATTERIES COMPRESSED AIR ENERGY STORAGE SODIUM-SULPHUR BATTERIES HIGH ENERGY SUPERCAPACITORS ADVANCED LEAD-ACID BATTERIES NANICL2 BATTERIES LI-ION BATTERIES LEAD-ACID BATTERIES NICKEL CADMIUM BATTERIES NICKEL METAL HYBRID BATTERIES FLYWHEELS HIGH POWER SUPERCAPACITORS SUPER CONDUCTING MANGETIC ENERGY STORAGE 1 kw 10 kw 100 kw 1 MW 10 MW 100 MW SYSTEM POWER RATING, MODULE SIZE Wärtsilä 22/3/2017 Giulio Tirelli - Propeller Club - Genoa

DISCHARGE TIME AT RATED POWER SECONDS MINUTES HOURS LI-ION BATTERIES METAL-AIR BATTERIES PUMPED HYDRO FLOW BATTERIES COMPRESSED AIR ENERGY STORAGE SODIUM-SULPHUR BATTERIES HIGH ENERGY SUPERCAPACITORS ADVANCED LEAD-ACID BATTERIES NANICL2 BATTERIES LI-ION BATTERIES LEAD-ACID BATTERIES NICKEL CADMIUM BATTERIES NICKEL METAL HYBRID BATTERIES FLYWHEELS HIGH POWER SUPERCAPACITORS SUPER CONDUCTING MANGETIC ENERGY STORAGE 1 kw 10 kw 100 kw 1 MW 10 MW 100 MW SYSTEM POWER RATING, MODULE SIZE Wärtsilä 22/3/2017 Giulio Tirelli - Propeller Club - Genoa

SUMMARY TABLE FLOW METAL AIR SODIUM SULFUR MOLTEN SALT NICKEL METAL H ADV LEAD- ACID LI-ION APPLIED TO SHIPS COST USD/kWh SPECIFIC ENERGY kwh/ton ENERGY DENSITY kwh/m3 EFFIENCY AC/AC 200 200 425 500 250-500 250 250-500 <60 170 117 75 40 <50 80-260 17 >200 170 70-290 40-100 60-110 40-(700) 60-75% <50% >74 % 85 % 90-95% 85-90 % 90-95 % DEPTH OF DISCHARGE 100% 100% 80% 80-85 % 80-100 % 80-100% 80-100% CH/DCH RATE 0.5 C 0.15 C 1/6 C <0.25 C LIFETIME Charge cycles Ch 0.2-3 C Dch 0.5-2 C Ch 0.2 C Dch 1 C 1-10 C 2k-20k >5k 4.5k 2-10k 2k 1k-5k 1k-15k MAINTAINANCE Low No Low-no Lowno Low-no Low No MATURITY Novel Novel Mature Novel Mature Mature Mature CONSTRAINTS No Humidity 300-350 C 250 C No No No

LI-ION BATTERIES FOR MARINE APPLICATIONS LTO LITHIUM-TITANATE LFP LITHIUM IRON PHOSPHATE NMC NICKEL MANGANESE COBALT MARINE REF. 0 references High power Longer lifetime Expensive Low specific energy MARINE REF. 6+ ships in operation Cost competitive Low power Moderate lifetime MARINE REF. 30+ ships in operation Cost competitive High spec. energy Moderate power Moderate lifetime

LI-ION BATTERIES FOR MARINE APPLICATIONS LTO LITHIUM-TITANATE LFP LITHIUM IRON PHOSPHATE NMC NICKEL MANGANESE COBALT MARINE REF. 0 references High power Longer lifetime Expensive Low specific energy MARINE REF. 6+ ships in operation Cost competitive Low power Moderate lifetime MARINE REF. 30+ ships in operation Cost competitive High spec. energy Moderate power Moderate lifetime

LI-ION BATTERIES SPECIFIC ENERGY SPECIFIC ENERGY [Wh/kg] SIGNIFICANTLY HIGHER ENERGY DENSITY 200 200 NMC LCO 250 140 110 90 80 60 40 LEAD ACID Wärtsilä 22/3/2017 NiCD NiMH LTO Giulio Tirelli - Propeller Club - Genoa LFP LMO NCA

WEIGHT SPECIFIC ENERGY SPECIFIC POWER ALL-ELECTRIC OPERATIONAL CONSTRAINTS All-electric systems beneficial only for short routes plant size is directly proportional to the energy capacity needed BATTERIES ENGINE FUEL 11 800 kwh/t 900 kw/t 90 kwh/t 70 kw/t Marine Li-Ion MDO Marine Li-Ion 10C Medium speed genset AUTONOMY (SAME POWER DEMAND)

BUILDING PRINCIPLE 20-foot container size

PERFORMANCE INDICATORS CHARGE/DISCHARGE POWER 4500 kw WEIGHT 16 ton OUTPUT VOLTAGE 1050 VDC VOLUME 40 m3 ENERGY DENSITY 37.5 kwh/m3 TEMPERATURE RANGE -40C to 50 C ENERGY STORAGE CAPACITY 1500 kwh CHARGE/DISCHARGE RATING 3C SPECIFIC ENERGY 93 kwh/ton SPECIFIC POWER 281 kw/ton LIFETIME 5000+ cycles at 80% discharge MAINTENANCE No maintenance

PERFORMANCE INDICATORS: KEY FOR MARINE APPLICATIONS CHARGE/DISCHARGE POWER 4500 kw WEIGHT 16 ton OUTPUT VOLTAGE 1050 VDC VOLUME 40 m3 ENERGY DENSITY 37.5 kwh/m3 TEMPERATURE RANGE -40C to 50 C ENERGY STORAGE CAPACITY 1500 kwh CHARGE/DISCHARGE RATING 3C SPECIFIC ENERGY 93 kwh/ton SPECIFIC POWER 281 kw/ton LIFETIME 5-12000+ cycles at 80% discharge MAINTENANCE No maintenance

LI-ION BATTERIES PRICE DEVELOPMENT 1500 EUR/KWh 1000 EUR/KWh 650 EUR/KWh MARINE PURCHASE PRICE (20%-30% lower if integration is in-house)

SHORE CONNECTION ENERGY SUPPLY Strong grid Dallas Express with Wärtsilä HVSC Direct High Voltage Shore Connection (HVSC) Weak grid Norleds Ampere electric ferry shore connection Onshore battery buffers

SHORE CONNECTION TECHNOLOGIES CABLE PANTOGRAPH INDUCTION Low cost High power High voltage Moderate cost High power Wireless 30 to connect Risk of failure Slow charging Expensive Energy losses

COMBINED INDUCTION CHARGING AND MOORING Wärtsilä induction charging unit with Cavotec vacuum mooring technology

COMBINED INDUCTION CHARGING AND MOORING

BATTERY UTILIZATION HYBRID (+ PLUG-IN HYBRID) Batteries combined with engine to optimize performance in specific conditions (e.g. DP) ALL-ELECTRIC Batteries used as only power source all the time during operations (short routes only) Renderings by Davide Lamparelli Wärtsilä Ship Design

ALL-ELECTRIC AND HYBRID VESSELS IN OPERATION 4 2 Norway 2 Sweden 3 3 USA 24 6 Norway 6 Denmark 6 Netherlands 4 France 2 UK 1 Italy 5 1 Japan 34 hybrid 4 all-electric 5 5 Australia

WHY ARE BATTERIES APPLIED IN THESE REGIONS? EU funds TEN-Ts Motorways of the Sea program POLITICAL TECHNICAL Renewables Cheap renewable energy in Northern Europe Denmark No electricity tax for >500GT ships Short routes Norway <1 hour crossing time (e.g. Fjords) Electric Norwegian ferries + NOX fund

ALL-ELECTRIC VESSELS IN OPERATION 4 0 0 0 0 FERRY TUG OSV YACHT FISHING

AMPERE PASSENGER AND CAR FERRY OWNER YARD Norled Fjellstrand IN SERVICE 2015 CAPACITY CROSSING TIME CHARGING TIME SPEED 350 pax, 120 cars, 8 trucks 20 min (3 nm) 10 min 10 knots (max 14 knots) PROPULSION 2x 450 W Rolls Royce AZP 08 LOCATION Norway BATTERIES TECHNOLOGY CAPACITY Lithium NMC liquid cooled 1040 kwh + 2x 410 kwh onshore

E/S SJÖVÄGEN COMMUTER FERRY OWNER YARD Rederiaktiebolaget Ballerina Faaborg Vaerft IN SERVICE 2014 CAPACITY CROSSING TIME 150 pax 1 hour (multiple stops) CHARGING TIME / SPEED PROPULSION LOCATION max 10 knots 2x 125 kw pods Sweden BATTERIES TECHNOLOGY CAPACITY Super-Iron Phosphate Li-ion 500 kwh

HYBRID VESSELS IN OPERATION 8 6 5 4 1 FERRY TUG OSV YACHT FISHING

PRINS RICHARD ROPAX OWNER YARD Scandlines Remontowa (conversion) BUILT 1997 CONVERTED 2014 CROSSING TIME CAPACITY SPEED LOCATION 45 min (10 nm) + 30 min maneu. 1140 pax + cars + wagons 14 knots (max 18.5 knots) Germany Denmark BATTERIES TECHNOLOGY CAPACITY Lithium NMC liquid cooled 2600 kwh

RT EVOLUTION & RT EMOTION TUG OWNER PARTNERS YARD Kotug Aspin, Kemp & Associates Damen BUILT 2014 LBT 31.9m x 12.6m x 5.9m BOLLARD PULL SPEED LOCATION 80 tons 12.5 knots Port of Rotterdam BATTERIES TECHNOLOGY CAPACITY Lithium NMC 117 kwh

ADVANTAGES INCREASED FLEXIBILITY ENVIRONMENTAL FRIENDLY REDUCED COSTS FAST ENGINE STARTING LOAD TAKING CAPABILITY REDUNDANCY SYSTEM PUBLIC FUNDS LESS MAINTENANCE REDUCED EMISSIONS CHEAP ENERGY OPTIMUM LOADING LOW NOISE / VIBRATION LESS POWER INST.

FELLOWSHIP PROGRAM SCOPE 4x 32DF engines + Low Loss Hybrid system (including 450 kwh batteries) + auxiliary containers + fuel cells (removed after Phase II) + Ship Design OPERATIONS Engines at optimum load, all-electric in harbour (to be developed), batteries used during critical operations for peak shaving, load taking, increased redundancy BENEFITS Up to -15% fuel and up to -30% NOx and CH4, lower maintenance (4 years payback time), increased redundancy, fast load taking, smoother DP operations PARTNERS Wärtsilä, Eidesvik, DNV, MTU Onsite Energy (fuel cells up to ph II), Norwegian Research Council (funds) PROJECT TYPE PHASE I PHASE II PHASE III PHASE IV Conversion 2003-2005 FEASIBILITY STUDY FOR FUEL CELLS 2007-2010 INTEGRATION OF FUEL CELLS 2011-2014 INSTALLATION OF HYBRID SYSTEM 2015-2017 HYBRID SYSTEM OPTIMIZATION

CONCLUSIONS Li-Ion LI-ION NMC TECHNOLOGY Li-Ion NMC is currently the best technology for marine Fast technical development MULTIPLE APPLICATIONS All-electric: applicable to vessels with short routes Hybrid: applicable and beneficial for all vessels SYSTEM PERFORMANCES Shifting even further the importance of integrate propulsion with control. Wärtsilä portfolio developing strenghtening propulsion plant with E&A capabilities

22/3/2017 Giulio Tirelli - Propeller Club - Genoa