New Solar Technology ABB s Advanced Solutions for Solar Plants

Cleiton Silva, Sales & Market Manager, Power Generation Cigré Chile. October, 2012. New Solar Technology ABB s Advanced Solutions for Solar Plants October 25, 2012 Slide 1

Table of contents Introduction to ABB. Power Generation BU ABB technologies for solar markets Photovoltaic Solar technology (PV). Concentrating Solar Power technology (CSP). Storage Power technology (SP). PowerStore-Flywheel System Additional considerations for solar projects Worldwide References (PV & CSP) October 25, 2012 Slide 2

ABB: a global leader in power and automation technologies Leading market positions in main businesses 135,000 employees in about 100 countries $38 billion in revenue (2011) Formed in 1988 merger of Swiss and Swedish engineering companies Predecessors founded in 1883 and 1891 Publicly owned company with head office in Switzerland NYSE, Zurich and Stockholm stock markets October 25, 2012 Slide 3

How ABB is organized Five Global divisions. Power Generation BU Power Products (PP) Power Systems (PS) Discrete and Motion (DM) Low Voltage Products (LV) Process Automation (PA) $10.3 billion 35,000 employees $7.7 billion 19,500 employees $8.4 billion 27,500 employees $5.0 billion 21,000 employees $7.8 billion 28,500 employees (2011 revenues, consolidated) ABB s PS Division, Power Generation BU: More than $4 billion worldwide business Among the Top 10 in the power generation ABB is recognized as market leader and reliable supplier of main equipment for all power generation applications ABB has turnkey capabilities based upon: Extensive process and system know-how One of the largest installed bases in the world October 25, 2012 Slide 4

ABB. Global power generation Overall scope and applications Gasturbines / CCPP Hydro plants Steam power plants Nuclear Diesel plants Waste-to-Energy / Biomass Solar plants Water October 25, 2012 Slide 5

Table of contents Introduction to ABB. Power Generation BU ABB technologies for solar markets Photovoltaic Solar technology (PV). Concentrating Solar Power technology (CSP). Storage Power technology (SP). PowerStore-Flywheel System Additional considerations for solar projects Worldwide References (PV & CSP) October 25, 2012 Slide 6

ABB Technologies Solar power technologies by ABB PV Photovoltaic Power Technology. Turnkey ABB solution (EPC / BoS / EBoP) with ABB technology. 400 MW ABB Products. 227 MW installed, 30 MW under erection, 3,125 MW under negotiation. Concentrating Solar Power Technology. Turnkey ABB solution (EPC), with ABB technology. 22 years in the CSP business. One third of the CSP market (1,160 MW) is running ABB technology. 40 MW installed, 1.100 under negotiation. Battery Storage Power Technology. Storage option for all solar technologies. Turnkey solution. 60 MW installed, 100 MW under negotiation. PowerStore-Flywheel System Schematic. 18 MWs spinning reserve for peak demand and load fluctuation. Turnkey solution. 5 MW installed, 20 MW under negotiation.

PV Solar Plants EPC BOS EBOP Fix 1 Axis String composition Inverters MV an LV Swicthgears MV Lines Polycrystalline DC Cables 2 Axis Switching Transformers Substation Monocryistalline Glasshouses DC Cabinet Protection and string monitoring Concrete building Concrete building Perimetral vigilance Roof Thin film DC Cabinet tracker control Plug & play Plug & play Supervisory and control system Panels October 25, 2012 Slide 8 Structures - DC Cabling - Protection - String control - Tracker control Inverters CT

Novatec Solar CSP Technology for Solar Power Concentrating Solar Power Linear Fresnel technology (CSP) NOVA-1 Solar Boiler Low cost turnkey solar boilers based on Fresnel technology NOVA-1 SUPERNOVA Direct saturated steam Direct superheated steam 285 C 70 bar 540 C 140 bar Land efficiency: for the same installed capacity, 30% less land than the required by Parabolic Trough Fixed positioned receiver system (no vacuum insulation) Direct vaporization of water Use of 16 primary reflector rows per unit Continuous tracking of primary reflectors to keep sun focused on receiver Self moving cleaning machines, allowing 3 day cleaning cycle Cleaning performance 4,000 m² / hour (14 km/h) 2 millimeter water use per square meter per year (80% less water than Parabolic Trough) ABB Inc. North American Region Utility Landscape Interactive Display Slide 9

CSP Technologies. Linear Fresnel Functional Layout October 25, 2012 Slide 10

Storage power technology Containerized solutions Fully Containerized solutions for ratings up to 4 MW Transformer contained for < 2.5 MW units and < 22 kv. External transformer for ratings above that. Testing for complete PCS prior to shipment to site. Mobile solution Minimize install & commissioning time Reduce transportation costs DynaPeaQ / SVC Light with Energy Storage > 20MW Producer consumer power balance. Balancing power is a major issue when the share of intermittent generation increases Energy Storage Systems contribute to balance and stabilize power generation and consume of power ABB Inc. North American Region Utility Landscape Interactive Display Slide 11

PowerStore-Flywheel System Containerized solutions PowerStore Flywheel System Spinning reserve Grid stabilising Minimize power output fluctuations Scalable & Modular Frequency control 440Vac 50/60Hz Fixed Frequency Virtual Generator Real Power Reactive Power Flywheel Inverter Real Power 440Vac 60-120Hz Variable Frequency MG 2.9T 1,800-3,600 RPM Introducing SYNTHETIC INERTIA Voltage control Fault ride through Grid forming Unbalanced load supply Active & Reactive power supply Frequency and voltage control setup for slow load changes Load sharing between generators Automatic dispatch control Peak shaving

PowerStore-Flywheel System Containerized solutions Magnetic Support Top Bearing Top Guard Bearing Rotating Rectifier Excitation Generator Main Machine Flywheel Bottom Bearing Bottom Guard Bearing Performance Data: Net. energy content Max input/output power Speed range Total weight Rotor weight Idling losses Greasing frequency Bearing service life Features: Helium filled Magnetic support Redundant bearings 18 MWs 1650 kw 1800 to 3600 rpm 6000 kg 2900 kg 10 kw 5 years 8 years

0,13 1,13 2,13 3,13 4,13 5,13 6,13 7,13 8,13 9,13 10,13 11,13 12,13 13,13 14,13 15,13 16,13 17,13 18,13 19,13 20,13 21,13 22,13 23,13 0,13 1,13 2,13 3,13 4,13 5,13 6,13 7,13 8,13 9,13 10,13 11,13 12,13 13,13 14,13 15,13 16,13 17,13 18,13 19,13 20,13 21,13 22,13 23,13 Solar PV Power Solutions. South Africa case. 1200 Grid demand Grid Consumption PV generation Typical hourly solar PV production. Solar PV covers 75% of the maximum power demand spectrum. 25% of storage system is recommended to cover the maximum demand power spectrum. Hydraulic Batteries Solar generation and motor peak demand fluctuation must be compensated. Fly wheel (18 MWs block ) + storage. 1000 800 600 400 200 0 Typical size of equipment October 25, 2012 Slide 14 PV Plant: 25 MW solar direct generation PV plant extension of 5 MW for storage (Min 20% of total). 1 Container of 40 PowerStore Flywheel every 25 MW of PV 5 MW storage (Batteries or Hydraulic) (Min 20% of total) Other considerations (Hybrid solutions) Wind + PV PV + (CSP & Thermal Storage) Diesel + PV + Pumping storage 900 800 700 600 500 400 300 200 100 0-100 -200 PV Cloud Storage Flywheel Power Gen.

Solar PV Power hybrid solution. Hydraulic simulation. Hydraulic Storage example: P e = electric power (W) ρ = fluid density (kg/m³) η t = performance of the hydraulic turbine (from 0,75 to 0,94) η g = performance of the electric generator (from 0,92 to 0,97) η m = mechanical performance of the turbine-generator coupling (from 0,95 to 0.99) Q = usable flow (m³/s) H = net head (m) Assumptions: 0,5 MW 1,0 MW 5,0 MW 10 MW Density 1,000 1,000 1,000 1,000 kg/m 3 Gravity 9.81 9.81 9.81 9.81 m/s 2 ƞt 0.845 0.845 0.845 0.845 % ƞg 0.945 0.945 0.945 0.945 % ƞm 0.97 0.97 0.97 0.97 % H 100 100 100 100 m Q 0.66 1.32 6.6 13,2 m 3 /s Pe 0.5015 1.0030 5.0150 10.0301 MW Volume 2,376 4,752 23,760 47,520 m 3 Equivalent volume for 1 hour: Volume for 0,5 MWh Volume for 1,0 MWh Volume for 5,0 MWh Volume for 10 MWh Length M 30 40 70 90 Wide M 27 40 70 90 Height M 3 3 5 6 Volume m 3 2,430 4,800 24,500 48,600 Diameter M 32 45 80 100 Height m 3 3 5 6 Volum m 3 2,413 4,771 25,133 47,124 H = 100 m H = 100 m October 25, 2012 Slide 15

Table of contents Introduction to ABB. Power Generation BU ABB technologies for solar markets. Photovoltaic Solar technology (PV). Concentrating Solar Power technology (CSP). Storage Power technology (SP). PowerStore-Flywheel System Additional considerations for solar projects Worldwide References (PV & CSP) October 25, 2012 Slide 16

Locations and Irradiation data base for mining Sunbelt key benefits of PV addressing. PV taps into unlimited, indigenous energy supply and can make a sizeable contribution to meet rising power demand PV generates power close to consumption, thus supporting strained grids or enabling local mini grids. It can be combined well with other renewable or conventional technologies. PV can thus accelerate electrification and stimulate economic activity, while reducing import reliance High irradiation levels make PV already competitive compared to diesel generators. In the future, PV will be highly competitive to all alternatives. Directing investment into PV now provides a long term source of energy with low operational cost and enables domestic industry build up PV is a low carbon technology and has an energy packback time of 10-20 months. It doesn t need water to operate and has no adverse impacts on local air quality October 25, 2012 Slide 17

Other consideration to improve PV plants Predictivity and dispatchability Require an evolutionary optimization algorithm based in an Artificial Neural Network used for 24 hours weather forecasting and production estimation. Accuracy must be better than 5%. Storage system required (hydraulic, batteries ) Additional incentives can complement the technology attractiveness (Law 20/20) Job creation. PV is the industry than will generate more local jobs in O&M. Countries with high portion of non-qualified people can employ and qualify this population for basic maintenance (cutting grass, cleaning panels, manual fix structure orientation, painting ) Require an adaptation over the actual O&M criteria (win to win). South Africa criteria: megawatt solar farm (8-10 people) Certified Emission Reduction (CER). The CERs are assigned and approved by United Nations and the beneficiary projects are revised per year. 1 CER = 1 ton CO 2. equivalent (Conversion CER to KWh depends on the host country energy mix) Average price for 2011 was 16 /CER. Estimated demand per year: USA 1.000 M, EU: 210 M, Japan: 250 M Conversion 1 kwh 0,64 kg of CO 2 (1 c /KWh). In case of industrial trading demand, 3 c /kwh October 25, 2012 Slide 18

Table of contents Introduction to ABB. Power Generation BU ABB technologies for solar markets. Photovoltaic Solar technology (PV). Concentrating Solar Power technology (CSP). Storage Power technology (SP). PowerStore-Flywheel System Additional considerations for solar projects Worldwide References (PV & CSP) October 25, 2012 Slide 19

Worldwide References Summary of ABB Solar Plants PV PLANTS More than 30 PV plants (Full EPC) More than 100 PV plants (ABB products > 400 MWp). 14.4 MWp grid connected in 2008-2009. 78.1 MWp grid connected in 2010. 24 PV plants grid connected (> 200 MWp) in 2011. 3,124 MWp under negotiation (6,600 MUSD) 4 countries with consolidated projects (Spain, USA, France, Italy). 38 new countries starting activities & projects. CSP PLANTS 22 years in the CSP business One third of the CSP market (1,160MW) is running ABB technology As DCS, EBoP or supplier, 220MW (4 plants) since 1990 in the SEGS plants in California, and 935MW (16 plants) in the last 4 years alone (in Spain, USA, Algeria and Egypt) As EPC, 3 plants in operation: PE1 1.4 MW (Spain), PE2 30 MW (Spain), Liddell 9.3 MWth (Australia) October 25, 2012 Slide 20

Construction and Erection Quality in all phases of the project. EPC company selection The EPC company must to combine all technology and efficiency criteria to adapt the customer request to the optimal installation and production scheme. Criteria selection. Strong reference list. Strong balance sheet. To be listed in stock market exchange. Bankability. Standard design, fully proved. Proved acknowledge and experience with grid connectivity. Local infrastructure. Local services for O&M. October 25, 2012 Slide 21

Thank you! Cleiton Silva Sales and Market Manager Power Generation cleiton.silva@cl.abb.com +56 9 7987-8968 October 25, 2012 Slide 22