Micro-generation from renewables Designing and producing small scale wind turbines (20 to 60kW) & hybrid systems (PV, wind, storage)

Torino, I3p | Jan 24, 2012

Andrea Bertello CEO, Eolicar s.r.l. abertello@eolicar.it

Content

1.  Investment category

2.  Core business Eolicar

3.  Market segment

4.  What we do

5.  Our first product: E20 kW

6.  20kW and 60kW project: pay back period for clients

7.  Off-grid application: pilot project

8.  Smart grid application: pilot project

1. Investment category: a “niche”

GLOBAL TRENDS IN CLEAN ENERGY INVESTMENT, 14 JANUARY 2013 4 / / / /

+4+15

+15 +1 +5 41 -1

+149

+80 269

+51 319!"#

VC Corp RD&D Gov R&D PE Public markets new equity

Total company investment

Re-invested Asset finance SDC Total investment M&A/buy-outs etc. Total transactions

CLEAN ENERGY INVESTMENT TYPES & FLOWS 2012 ($BN)

Source: Bloomberg New Energy Finance Note: Includes corporate and government R&D, and small distributed capacity. Adjusted for re-invested equity.

VC Corp RD&D*

Gov R&D*

PE Public markets

new equity

Total company

investment

Re-invested Asset finance

SDC* Total investment

M&A/ Buy-outs

etc.

Total transactions

Technology development

Equipment manufacturing/ scale-up

Projects

Asset and company mergers, acquisitions, refinancing, buy-outs etc.

In 2012 global investments in clean energy totalled US$319bn. US$41bn were invested in technology development & equipment scale-up, the niche market where Eolicar’s core business is located

Source: Bloomberg New Energy Finance, 2013

1.2. SDC: an expanding market

Source: Bloomberg New Energy Finance, 2013

Investments in small distributed capacity (SDC) on the rise = 30% of all projects’ investments (driven by roof-top PV installations)

2. Core business Eolicar

Eolicar is a start-up company whose core business is: 1.  to design, develop and produce small-scale wind

turbines (20-60kW) 2.  to design, develop and produce hybrid stand alone

systems (i.e. wind, PV, storage) for off-grid applications

Eolicar, beside being incubated in I3p, is part of the Polight, an innovation cluster for sustainable energy based at the Environment Park, in Torino.

In collaboration with the Politecnico di Torino we are currently working on two R&D projects aiming at integrating our products with innovative storage & ICT solutions, for grid-connected, off-grid and “smart grid” applications.

3. Small scale wind energy market

Source: WWEA Small Wind World Report 2012

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Br170x240_WWEA-Husum1203-K1 _ S20 _ CMic.indd 17 06.03.2012 13:26:43 Uhr

600MW capacity installed globally (turbines 10-100kW, 80% in U.S. and China)

3.2. Italian market

Source: Wind Energy Report 2012 – Politecnico di Milano

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12MW capacity installed in Italy (2% of total world capacity, 8MW installed in 2011 only)

Feed-in tariff scheme*  

Up to 20kW €0.291/kWh

From 20.1 to 200kW

€0.268/kWh

* Tariffs are for 20 years  

4. What we do: product design

We are a company devoted to research and innovation in the small-scale wind power sector: an internal team of mechanical, aeronautical, electrical & electronic engineers take care of the design & development of our turbines

4.2. What we do: production

Eolicar’s core competencies in composite materials applications are at the basis of our blades’ production, within our manufacturing facility.

4.3. What we do (an externalize too) EPC, O&M

4.4 Prototypes installations (E12kW, 2011)

Fonte: Eolicar

Source: Eolicar

Nominal power 20 kW

Rotor diameter 11.7 m

Tower 24 m

Cut-in speed 3 m/s

Rated speed 9.5 m/s

Blades Fiber glass

Max rotor speed 100 rpm

Generator Synchronous direct-drive, permanent magnets

Pitch Fixed

Sistema di frenatura Triple security system

Yaw control Active (PLC)

Warranty 2 years, extensible

5. Our first product: E20kW

Source: Eolicar

5.2. Power curve E20kW (to be certified)

830

h

1.26

1 h

1.42

0 h

1.36

6 h

1.17

4 h 92

3 h

671

h

455

h

289

h

173

h

97 h

52 h

26 h

13 h

6 h

2 h

1 h

0 h

0 h

0 h

614

h

968

h

1.15

2 h

1.19

1 h

1.11

9 h 97

5 h

799

h

619

h

455

h

320

h

215

h

138

h

85 h

51 h

29 h

16 h

8 h

4 h

2 h

1 h

526

h

841

h

1.02

3 h

1.08

9 h

1.06

0 h 96

4 h

828

h

677

h

529

h

396

h

285

h

198

h

133

h

86 h

54 h

33 h

19 h

11 h

6 h

3 h

0

5

10

15

20

25

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

KW

  m/s

Additionally the annual electricity production hours of each wind speed bin is given for different hub heights.The values for the entered hub height are shown in yellow. For comparison the values for hub heights of 10 m and 40 m are also shown.

5.3. Target: lower O&M costs (-30%)

Fonte: Garrad Hassan

Fig. Main causes of faults on large wind turbines (divided by component)

The use of a direct drive generator allows the elimination of the gearbox. The adoption of the fixed pitch eliminates all the mechanics/electronics of pitch controls, two of the most delicates components in wind turbines

La E20kW adopts high quality components: direct drive permanent magnets generator (Sicmemotori) and back to back inverter (Elpower), two very reliable components for one of the most critcal areas  

6. Typical 20kW project: avg. pay-back (for clients)

Fonte: Eolicar

Project E20kW

“Turn key” € 64.000

Hours eq. / avg. wind 1.700 (5.4 m/s)

Annual generation 34.000 kWh

Feed-in tariff € 0,291/kWh

Annual revenues € 9.900

O&M costs € 700

Pay back (pre tax) 7 years 9 mont.

IRR (pre tax) 12%

! -70.000

! -40.000

! -10.000

! 20.000

! 50.000

! 80.000

! 110.000

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

6.2. 60kW project: avg. pay-back period (for clients)

Fonte: Eolicar

Project 3 x E20kW (60kW)

“Turn key” € 192.000

Hours eq. / avg. wind 1.700 (5.4 m/s)

Annual generation 102.000 kWh

Feed-in tariff € 0,268/kWh

Annual revenues € 27.336

O&M costs € 2.000

Pay back (pre tax) 8 years 3 m.

IRR (pre tax) 10%

! -200.000

! -150.000

! -100.000

! -50.000

! -

! 50.000

! 100.000

! 150.000

! 200.000

! 250.000

! 300.000

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

7. Off-grid: need for micro-generation

•  According to the GSMA Development Fund there are 1.6bn people without access to electricity in the World, particularly in Asia, Africa and South America.

•  In main emerging economies, 60% or the entire telecommunication network operates through off-grid systems, mainly served by diesel generators. Only in India there are 330.000 off-grid network stations, which will become 550.000 in 2015 (Green Power for Mobile, July 2011).

•  Mobile network operators (MNO) in emerging markets are faced with following challenges:

ü  Growing subscriber base predominantly in rural areas;

ü  The necessity to expand the number of off-grid base stations;

ü  Capital constraints and the need to reduce operating costs (OPEX) with growing uncertainty of diesel prices.

7.2. Off-grid: Hybrid systems

In 2011, Eolicar has won a regional public grant for designing new stand alone hybrid systems combined with energy storage for the telecommunication sector (grant €170.000) +

+

8. Smart grids: pilot project

In 2010 Eolicar won a regional grant financed (€120.000), for the development of a smart metering framework able to optimize the interaction and predictability of renewable energy production and energy consumption on an industrial site.

FONDO EUROPEO DI SVILUPPO REGIONALE P.O.R. 2007 – 2013

Pagina 37

!Deliverables

• D4.1 – Documento descrittivo di architettura HW di dettaglio e manuale di installazione (T0 + 12)

• D4.2 – Piattaforma Software Middleware e reference Manual (T0 + 18) • D4.3 – Software per la stazione locale e API reference manual (T0 + 18)

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&'(%)%*+,-./"0*1+-%21+,-+3,*%,-2+*2*%4-5%61/$%7"2$".-%%8$9-5"%:;%<=3>%;A11#*/(&0'*07!B$C!409-')23)')!(24D)!(&&*+*&,!(44)%%0'*):#*9*&(&)!202!%&')&&(9)2&)!'*4023$4*1*#*!(!E$)##)!3*!*2&)/'(.*02)!%+0#&)!3(##0!%&)%%0!-('&2)'@%&';';%)% Definizione e progettazione degli elementi di campo: Sensori e Gateway WSN (Capetti) Definizione dell’infrastruttura HW basata su un insieme finito di sensori HW per la rilevazione della produzione e del consumo di energia, di un gateway WSN che permette la raccolta di questi dati e la relativa esportazione su una comunicazione wired (E.g ModBus), e di un GateWay IP basato su un PC embedded che attraverso delle API opportune permetterà la standardizzazione dei dati ricevuti dalla WSN e la relativa formattazione di questi via IP. Inizio: T0+6 , Fine T0+12, Responsabile: Capetti%

Thank you

www.eolicar.it abertello@eolicar.it Jan 24, 2012