Smart Energy Buildings 02.03.16

Smart Energy Resorts – Planning and Operation

By Are Gloersen

Company Founded in 1977 Located at Eggemoen outside Hønefoss Global supplier of specialized machines

and parts 20 years in the renewable energy industry

FacilitiesRaw material storage and preparation Frame and structure welding

CNC Machine workshop Assembly hall

Cost of solar PV components

Dramatic price reduction

Off-grid solar PV follows grid tied cost reductions

Other components follow same trend as economy of scale grows

Industries relying on energy storage like electric cars lowers cost

Low risk technology

Solar PV has been installed for decades and lifetime of over 20 years is proven by several brands presently

Energy storage is also a known and predictable technology

2015: 1 to 1.5 USD/W

Energy Storage cost/kW

Competitiveness vs location vs application

General business case variables

Component cost and reliability is known as explained on previous slide

The main alternative to renewable energy small scale, off-grid are diesel generators - diesel cost on location is vital for the business case, as well as factors that might increase it

When is the application in use? Daytime vs. Nighttime?

Is mobility a requirement?

Lifetime of the application to be powered?

Good business case example

If we are in a sunny location with high diesel prices and if the power consumption is mainly done during daytime and if the application is not too energy intensive – Off-grid solar PV is likely an option!

From 0.01 USD to 1.68 USD per liter

Energy potential at location

Assessing available energy

Available energy on location will depend on the amount of insolation. This amount is well documented and can be translated into average received energy per day in number of peak sun hours

This presentation is based on solar PV for a resort, but parallels can be drawn to other renewables and other businesses

Energy output varies on location. Typical values for Indonesia are around 4.5

Energy demand on location

What will consume power

A long list of equipment will add up to the total energy use on the resort. Some main elements are: Cooling – Air conditioners, fridges, freezers, fans Washing and drying of linen / clothes Compressors (for locations with diving) Pumping of water for rooms, circulating pumps for pools, desalination where applicable Lighting Heating of water, potentially cooking, Electronics like chargers, hair dryers, laptops, wireless routers, PC’s etc.

We would want to limit and optimize this list as much as possible without compromising the standard of the resort

Tailoring and manipulating power demand

The previous slide mentioned everything that uses power; and it is possible to tweak this to fit the available power to a large extent. Do not loose control!

Use the facility location for natural ventilation or shading where possible Building techniques that promote natural airflow through sleeping chambers and quiet,

quality fans – or – well insulated bedrooms and a small, efficient aircon system. Place water reservoir on a high location for gravity distribution to rooms LED lighting and equipment with top energy efficiency Direct PV pumps and PV subsystems for pumping Solar water heaters on top of each unit if possible Gas for cooking Timers, photocells, sensors to turn off any high energy use equipment like aircons All high intensity electrical equipment like washing machines, compressors to be run mid

day

Summarized try to keep usage low, run high intensity equipment during mid day, follow the solar energy curve as much as possible.

Engineering for optimal energy use

Go green! Enforce the ECO branding

Make a point to everyone that it is a ECO resort

Educate firstly all staff and workers to keep lights off when not in rooms, plan for what to take out of cool rooms before going in and getting it so doors are not opened too frequently.

Secondly inform all guests about the ECO impact and highlight especially cleaning of towels and water use in the rooms as well as aircon use if present.

Not only is ECO branding good PR, it also saves money!

Scaling up

Future growth of the business and higherpower demand would be possible to accommodatefor with more PV panels / inverters / batteries, water heaters and pumps as the components are modular.

Paying for future power today

High up front capex

Main hurdle with renewable power sources are paying for the next 20+ years of power today and few customers can afford this. The investment long lifetime bring in additinal factors:

Conventional power price / diesel price development

Climate issues like floods, tornadoes, volcanoes etc.

Political stability

Application lifetime

For hybrid solutions the target is a financing package where more or less the same amount of money as is spent on power per year is used to pay back a hybrid system

- 5-7 years typically

After this payback period is over the customer owns the system and only maintenance is required.

Financing – Norwegian Export Credit and GIEK

Headlines Up to 85% of a project can be financed

30% needs to be Norwegian content

Favourable interest and loan tenures, especially for renewable energy

Complience with OECD rules

Hybrid example resort off Bintan, Indonesia I

Consumption and cost of power from diesel generator

A 40 bungalow resort is being constructed off the coast of Bintan on a private island. The bungalows are made of bamboo with sleeping arrangements in an upper story for ventilated, no air-con sleeping conditions.

When adding up all the power consumers on the island the expectation is a usage for 24 hours looking like this

1 liter of diesel typically yields 2.5 kWh

133 liters of diesel are consumed daily

1 liter diesel cost 1USD

1 kWh from diesel = 40 USD-C

This excludes maintenance and oil costs for generators, replacement generators that are likely to be saved because of less wear etc

Solar PV generation

As shown Indonesia typically has 4.5 peak sun hours, so installing a 60 kWp system would yield 60 x 4.5 = 270 kWh before system losses generally computed to 15-20%, meaning a conservative net usable energy of 216 kWh pr day average that would be generated during sunlight hours

The generator can also be run at more optimal load during low intensity hours as energy from generator can be stored in battery bank, yielding a higher power output per liter of diesel used

Daily savings of 216 / 2.5 = 86.4 USD from less diesel consumption

Annual savings of 31 536 USD

A battery bank is included to store power whenthere is oversupply and supply additional power when there is undersupply

Hybrid example resort off Bintan, Indonesia II

Cost and financing

As a rule of thumb the install cost for a Solar PV offgrid system is around 3.5 USD pr. Installed W. Our considered system of 60 kWp at 3.5 USD/W = 210 000 USD for the system.

If a 6 year financing is obtained this amounts to 34 726 USD/year, only slightly more than paying for diesel

After this the customer would own the system and considerable yearly savings occur

Hybrid example resort off Bintan, Indonesia III

Thank you for your attention

Have a very good day!

Any additional follow-up questions can be directed to:

are.gloersen@tronrud.sg