The document summarizes a presentation on energy storage project financing given to the Clean Energy Financing Advisory Council. It includes the following:
1) Presentations were given by representatives from DBL Partners, Generate Capital, Advanced Microgrid Solutions, and Clean Energy Group on various topics related to energy storage project financing such as market trends, project finance models, case studies, and challenges.
2) The energy storage market is growing substantially and lithium ion battery chemistry currently dominates deployments. Project financing can drive standardization and scale for the industry.
3) Financing models discussed included infrastructure as a service, mitigating technology risks, and monetizing multiple revenue streams to improve project economics.
4
SPLC 2019 Summit: Buying Renewables: How Leaders are Shifting Energy from a C...SPLCouncil
Slides from David Phillips, Associate Vice President, Energy and Sustainability, University of California, Office of the President; Hans Royal, Director, Schneider Electric; Chip Wood, Director of Strategic Partnerships, CRS; presented at the Sustainable Purchasing Leadership Council’s 2019 Summit in Portland, OR.
At the Public Utilities Fortnightly event, Stuart Pearman, partner and energy practice leader at ScottMadden, presented his views on the economic consequences of new models.
Traditionally, utilities have been known for their security as an investment, their regular dividend payments, and their long-term dependability. They have been well rated by the agencies, and their stock has done well in a time of low interest rates. But some say their future is cloudy. If the traditional model is changing, what do they offer investors? Will their Wall Street ratings decline? Will raising money be more difficult?
This presentation explores the evolution of the business model—the current business model, future potential models, risks, reactions from financial markets, and the process to get from here to there.
For more information, please visit www.scottmadden.com.
This pivotal moment of transformation in the utility industry is providing large scale and unprecedented opportunity for traditional power providers and those operating at the edge of the grid. In this capability primer, we highlight some of the broader industry technology trends and the resulting tools, approaches and insights that Indigo Advisory Group employs to help utilities navigate uncertainty and create the right strategies.
SPLC 2019 Summit: Buying Renewables: How Leaders are Shifting Energy from a C...SPLCouncil
Slides from David Phillips, Associate Vice President, Energy and Sustainability, University of California, Office of the President; Hans Royal, Director, Schneider Electric; Chip Wood, Director of Strategic Partnerships, CRS; presented at the Sustainable Purchasing Leadership Council’s 2019 Summit in Portland, OR.
At the Public Utilities Fortnightly event, Stuart Pearman, partner and energy practice leader at ScottMadden, presented his views on the economic consequences of new models.
Traditionally, utilities have been known for their security as an investment, their regular dividend payments, and their long-term dependability. They have been well rated by the agencies, and their stock has done well in a time of low interest rates. But some say their future is cloudy. If the traditional model is changing, what do they offer investors? Will their Wall Street ratings decline? Will raising money be more difficult?
This presentation explores the evolution of the business model—the current business model, future potential models, risks, reactions from financial markets, and the process to get from here to there.
For more information, please visit www.scottmadden.com.
This pivotal moment of transformation in the utility industry is providing large scale and unprecedented opportunity for traditional power providers and those operating at the edge of the grid. In this capability primer, we highlight some of the broader industry technology trends and the resulting tools, approaches and insights that Indigo Advisory Group employs to help utilities navigate uncertainty and create the right strategies.
The Challenge of Stimulating, Funding, Implementing and Regulating National R...Caribbean Development Bank
A presentation to the Barbados Association of Professional Engineers at their seminar '100% Renewable by 2030?'
presented by Joseph Williams, Head (ag.) Renewable Energy/Energy Efficiency Unit,
Caribbean Development Bank
Energy efficiency project financing in indiaJayant Sinha
Energy efficiency financing is critical to the success of the project. This presentation explains the various institutional mechanisms set up by the Ministry of Power, Govt. of India to promote and finance energy efficiency projects in India.
This presentation was delivered at the conference organized by Karnataka Renewable Energy Development Ltd (KREDL), in association with the Society of Energy Engineers and Managers (SEEM).
Presentation prepared for the Florence School of Regulation's 8th Conference on the Regulation of Infrastructures. Andreas Gunst, Burcu Zobu and Kenneth Wallace-Mueller presented key case studies based on practical experience to highlight trends in digitalisation in the energy sector and regulatory considerations.
Taking Stock – 40 years of Industrial Energy Audits Leonardo ENERGY
Industrial energy audits were amongst the first energy efficiency policy measures developed in response to the oil shocks of the 1970s. Since then they have become enormously popular in industrialised economies. In the EU they are mandatory for large organisations under the EU Energy Efficiency Directive. Developing countries are considering them as they scale up their own climate programmes.
So interest in audits can only grow. But, from a policy-maker’s perspective, do they work? How do they work? How could they work for me? Certainly, in principle, audits are extremely important because they get to the heart of how a company uses energy. But after 40 years, the scientific literature on audits is large and complex and difficult for the non-specialist policy-maker to wade though.
This webinar tell the story of audits in a way designed to cut through this complexity. It recounts the history of audits and sets out why they are important. It sets out some of the main features of successful audit programmes, and, from the practical experience of the speaker, how to go about putting one together. It then considers the main problems with audits and how these can be addressed. Finally the talk will look ahead to see how audits might evolve in the near future.
Transactive Energy (TE) can play a defining role in adapting and stabilizing today's grid for tomorrow. A follow-up to the Cross-DEWG Discussion on Transactive Energy session held in May at the SGIP Spring 2014 Members Meeting, this webinar continues the dialogue regarding this important game changer. SGIP is making this webinar event open and free to the public.
ENGIE Impact accelerates the sustainability transformation for corporations, cities and governments. We help
organizations embed sustainability into their operational strategies, allowing them to bridge the gap between
sustainability commitments and realized results that capture economic value and make organizations more
competitive over the long term.
Gone are the days when accounting teams were the only ones hunting down utility bills in order to pay them.
Now, more than ever before, a growing list of departments within a single organization are asking for energy data for sustainability and CSR reporting, energy consumption benchmarking and forecasting, customer and investor transparency, among many other reasons.
This webinar includes slides featuring NetApp, Powerhouse Dynamics, Cox Enterprises, Verdantix, and Urjanet will discuss how the industry has seen the need for energy data span across multiple departments within the enterprise, and how these end users are applying the data to achieve their departmental and organizational goals.
Transformation Tools for Utilities | Indigo Advisory GroupDavid Groarke
This pivotal moment of transformation in the utility industry is providing large scale and unprecedented opportunity for traditional power providers and those operating at the edge of the grid. In this capability primer, we highlight some of the broader industry technology trends and the resulting tools, approaches and insights that Indigo Advisory Group employs to help utilities navigate uncertainty and create the right strategies.
The Challenge of Stimulating, Funding, Implementing and Regulating National R...Caribbean Development Bank
A presentation to the Barbados Association of Professional Engineers at their seminar '100% Renewable by 2030?'
presented by Joseph Williams, Head (ag.) Renewable Energy/Energy Efficiency Unit,
Caribbean Development Bank
Energy efficiency project financing in indiaJayant Sinha
Energy efficiency financing is critical to the success of the project. This presentation explains the various institutional mechanisms set up by the Ministry of Power, Govt. of India to promote and finance energy efficiency projects in India.
This presentation was delivered at the conference organized by Karnataka Renewable Energy Development Ltd (KREDL), in association with the Society of Energy Engineers and Managers (SEEM).
Presentation prepared for the Florence School of Regulation's 8th Conference on the Regulation of Infrastructures. Andreas Gunst, Burcu Zobu and Kenneth Wallace-Mueller presented key case studies based on practical experience to highlight trends in digitalisation in the energy sector and regulatory considerations.
Taking Stock – 40 years of Industrial Energy Audits Leonardo ENERGY
Industrial energy audits were amongst the first energy efficiency policy measures developed in response to the oil shocks of the 1970s. Since then they have become enormously popular in industrialised economies. In the EU they are mandatory for large organisations under the EU Energy Efficiency Directive. Developing countries are considering them as they scale up their own climate programmes.
So interest in audits can only grow. But, from a policy-maker’s perspective, do they work? How do they work? How could they work for me? Certainly, in principle, audits are extremely important because they get to the heart of how a company uses energy. But after 40 years, the scientific literature on audits is large and complex and difficult for the non-specialist policy-maker to wade though.
This webinar tell the story of audits in a way designed to cut through this complexity. It recounts the history of audits and sets out why they are important. It sets out some of the main features of successful audit programmes, and, from the practical experience of the speaker, how to go about putting one together. It then considers the main problems with audits and how these can be addressed. Finally the talk will look ahead to see how audits might evolve in the near future.
Transactive Energy (TE) can play a defining role in adapting and stabilizing today's grid for tomorrow. A follow-up to the Cross-DEWG Discussion on Transactive Energy session held in May at the SGIP Spring 2014 Members Meeting, this webinar continues the dialogue regarding this important game changer. SGIP is making this webinar event open and free to the public.
ENGIE Impact accelerates the sustainability transformation for corporations, cities and governments. We help
organizations embed sustainability into their operational strategies, allowing them to bridge the gap between
sustainability commitments and realized results that capture economic value and make organizations more
competitive over the long term.
Gone are the days when accounting teams were the only ones hunting down utility bills in order to pay them.
Now, more than ever before, a growing list of departments within a single organization are asking for energy data for sustainability and CSR reporting, energy consumption benchmarking and forecasting, customer and investor transparency, among many other reasons.
This webinar includes slides featuring NetApp, Powerhouse Dynamics, Cox Enterprises, Verdantix, and Urjanet will discuss how the industry has seen the need for energy data span across multiple departments within the enterprise, and how these end users are applying the data to achieve their departmental and organizational goals.
Transformation Tools for Utilities | Indigo Advisory GroupDavid Groarke
This pivotal moment of transformation in the utility industry is providing large scale and unprecedented opportunity for traditional power providers and those operating at the edge of the grid. In this capability primer, we highlight some of the broader industry technology trends and the resulting tools, approaches and insights that Indigo Advisory Group employs to help utilities navigate uncertainty and create the right strategies.
The Revolution in Energy and the ETRM Software Requirements to Support Profit...Eka Software Solutions
Learn why extreme price volatility and new logistical requirements require next-generation ETRM software solutions.
In this webinar, featured guest speaker Bjorn Haglemann, MRE Consulting, and Eka discuss:
- Why first-generation ETRM software solutions cannot meet requirements
- How software will enable compliance with governmental and regulatory standards such as Dodd-Frank, ASC, FAS, IAS, and IFRS
- The top 3 ETRM software requirements for energy companies
- How to maximize profits with real-time scenario analysis
Download webinar recording: http://info.ekaplus.com/energy-revolution-etrm-webinar
Engagement Coordinator Megan Hoye gave a presentation on CEE's research projects to the American Institute of Architects Minnesota's, Committee on the Environment.
At the Asia Clean Energy Forum 2016 Ricardo Energy & Environment’s waste management and resource efficiency experts discussed a range of critical issues, including financial, institutional, policy, regulatory, engineering, environmental and social issues around the planning for and delivery of appropriate and effective waste to energy infrastructure in developing economies.
In this presentation Tim Fill discusses infrastructure and service delivery and power purchase agreements.
RE-DELAYS: Documenting and analising the cost of regulatory delaysIEA_RETD
IEA-RETD investigated the costs of regulatory delays for the growth and economic potential of the renewable energy industry. Key recommendations from the RE-DELAYS project are:
• Streamline the regulatory processes by creating a one stop shop with simplified rules for applications.
• Increase accountability for decision making processes at the regulatory/governmental level, for example in the form of pre-determined fines associated with not achieving set milestones.
• Link the level of incentive such as FIT to delay.
• Define clear procedures and cost impact assessment of appeal processes.
• Inform the public about benefits and risks of RE and encourage consultative mechanisms to share concerns.
The project was carried out by 3E together with London Economics International LLC (LEI).
Financing energy storage - Masterclass By MACQUARIEDavide Bonomi
This presentation was presented at the masterclass session during 11th Energy Storage World Forum in 2018, Berlin.
Financing energy storage - Masterclass by Macqurie focuses on energy markets changes and how they affect corporations:
- Adoption of battery storage
- Typical revenue streams
- Frequency response
- DUoS & TRIADs
- Overlooking UK Capacity Market
If you’d like to get a deep industry insights and learn in person from energy storage professionals, join our next masterclass at https://energystorageforum.com/register
Similar to April 12, 2016 CEFAC Energy Storage Presentation (20)
GraphRAG is All You need? LLM & Knowledge GraphGuy Korland
Guy Korland, CEO and Co-founder of FalkorDB, will review two articles on the integration of language models with knowledge graphs.
1. Unifying Large Language Models and Knowledge Graphs: A Roadmap.
https://arxiv.org/abs/2306.08302
2. Microsoft Research's GraphRAG paper and a review paper on various uses of knowledge graphs:
https://www.microsoft.com/en-us/research/blog/graphrag-unlocking-llm-discovery-on-narrative-private-data/
Elevating Tactical DDD Patterns Through Object CalisthenicsDorra BARTAGUIZ
After immersing yourself in the blue book and its red counterpart, attending DDD-focused conferences, and applying tactical patterns, you're left with a crucial question: How do I ensure my design is effective? Tactical patterns within Domain-Driven Design (DDD) serve as guiding principles for creating clear and manageable domain models. However, achieving success with these patterns requires additional guidance. Interestingly, we've observed that a set of constraints initially designed for training purposes remarkably aligns with effective pattern implementation, offering a more ‘mechanical’ approach. Let's explore together how Object Calisthenics can elevate the design of your tactical DDD patterns, offering concrete help for those venturing into DDD for the first time!
Kubernetes & AI - Beauty and the Beast !?! @KCD Istanbul 2024Tobias Schneck
As AI technology is pushing into IT I was wondering myself, as an “infrastructure container kubernetes guy”, how get this fancy AI technology get managed from an infrastructure operational view? Is it possible to apply our lovely cloud native principals as well? What benefit’s both technologies could bring to each other?
Let me take this questions and provide you a short journey through existing deployment models and use cases for AI software. On practical examples, we discuss what cloud/on-premise strategy we may need for applying it to our own infrastructure to get it to work from an enterprise perspective. I want to give an overview about infrastructure requirements and technologies, what could be beneficial or limiting your AI use cases in an enterprise environment. An interactive Demo will give you some insides, what approaches I got already working for real.
Slack (or Teams) Automation for Bonterra Impact Management (fka Social Soluti...Jeffrey Haguewood
Sidekick Solutions uses Bonterra Impact Management (fka Social Solutions Apricot) and automation solutions to integrate data for business workflows.
We believe integration and automation are essential to user experience and the promise of efficient work through technology. Automation is the critical ingredient to realizing that full vision. We develop integration products and services for Bonterra Case Management software to support the deployment of automations for a variety of use cases.
This video focuses on the notifications, alerts, and approval requests using Slack for Bonterra Impact Management. The solutions covered in this webinar can also be deployed for Microsoft Teams.
Interested in deploying notification automations for Bonterra Impact Management? Contact us at sales@sidekicksolutionsllc.com to discuss next steps.
Builder.ai Founder Sachin Dev Duggal's Strategic Approach to Create an Innova...Ramesh Iyer
In today's fast-changing business world, Companies that adapt and embrace new ideas often need help to keep up with the competition. However, fostering a culture of innovation takes much work. It takes vision, leadership and willingness to take risks in the right proportion. Sachin Dev Duggal, co-founder of Builder.ai, has perfected the art of this balance, creating a company culture where creativity and growth are nurtured at each stage.
Generating a custom Ruby SDK for your web service or Rails API using Smithyg2nightmarescribd
Have you ever wanted a Ruby client API to communicate with your web service? Smithy is a protocol-agnostic language for defining services and SDKs. Smithy Ruby is an implementation of Smithy that generates a Ruby SDK using a Smithy model. In this talk, we will explore Smithy and Smithy Ruby to learn how to generate custom feature-rich SDKs that can communicate with any web service, such as a Rails JSON API.
Securing your Kubernetes cluster_ a step-by-step guide to success !KatiaHIMEUR1
Today, after several years of existence, an extremely active community and an ultra-dynamic ecosystem, Kubernetes has established itself as the de facto standard in container orchestration. Thanks to a wide range of managed services, it has never been so easy to set up a ready-to-use Kubernetes cluster.
However, this ease of use means that the subject of security in Kubernetes is often left for later, or even neglected. This exposes companies to significant risks.
In this talk, I'll show you step-by-step how to secure your Kubernetes cluster for greater peace of mind and reliability.
DevOps and Testing slides at DASA ConnectKari Kakkonen
My and Rik Marselis slides at 30.5.2024 DASA Connect conference. We discuss about what is testing, then what is agile testing and finally what is Testing in DevOps. Finally we had lovely workshop with the participants trying to find out different ways to think about quality and testing in different parts of the DevOps infinity loop.
Software Delivery At the Speed of AI: Inflectra Invests In AI-Powered QualityInflectra
In this insightful webinar, Inflectra explores how artificial intelligence (AI) is transforming software development and testing. Discover how AI-powered tools are revolutionizing every stage of the software development lifecycle (SDLC), from design and prototyping to testing, deployment, and monitoring.
Learn about:
• The Future of Testing: How AI is shifting testing towards verification, analysis, and higher-level skills, while reducing repetitive tasks.
• Test Automation: How AI-powered test case generation, optimization, and self-healing tests are making testing more efficient and effective.
• Visual Testing: Explore the emerging capabilities of AI in visual testing and how it's set to revolutionize UI verification.
• Inflectra's AI Solutions: See demonstrations of Inflectra's cutting-edge AI tools like the ChatGPT plugin and Azure Open AI platform, designed to streamline your testing process.
Whether you're a developer, tester, or QA professional, this webinar will give you valuable insights into how AI is shaping the future of software delivery.
UiPath Test Automation using UiPath Test Suite series, part 3DianaGray10
Welcome to UiPath Test Automation using UiPath Test Suite series part 3. In this session, we will cover desktop automation along with UI automation.
Topics covered:
UI automation Introduction,
UI automation Sample
Desktop automation flow
Pradeep Chinnala, Senior Consultant Automation Developer @WonderBotz and UiPath MVP
Deepak Rai, Automation Practice Lead, Boundaryless Group and UiPath MVP
2. Clean Energy Financing Advisory Council:
Energy Storage
April 12, 2016
Ryan Carney & Brian Breckin
3. Today’s Program
• Welcome
• Program updates: CHEEF REEL and SGIP
• Mark Perutz, DBL Partners
• Amanda Li, Generate Capital
• Katherine Ryzhaya, Advanced Microgrid Solutions
• Robert Sanders, Clean Energy Group
• Panel Q&A 11:04 AM
• Break 11:35 AM
• Networking 11:40 AM-12:00 PM
11. Financing Finder
• Searchable database of
financing options
• Filtered by zip code & city
• Filtered by property type
• Financing is organized
according to type (secured,
unsecured, PACE, etc.)
• Vendor profile pages
12. Financing Concierge System (FCS) Tool
• Decision-making software to
help consumers understand
how they prioritize financing
decisions
• Marketing report provides
insight into what is important
to them
• Data system cross references
preferences against loan
products in the database to
rank order the loan products
13. My Action Plan
• Quick questions
to customize a
virtual
assessment
• Personalized to
reach your goals
• Informs the
Finance
Concierge
14. Clean Energy Financing Advisory Council:
Energy Storage
Mark Perutz
Partner, DBL Partners
25. What is Project Finance?
If you googled it:
Project finance is the long-term financing of infrastructure and industrial projects
based upon the projected cash flows of the project rather than the balance sheets of
its sponsors.
What it breaks down to:
• Owning a real asset or lending against a real asset’s cash flows
• Investing in a developer’s projects - not in the developer (it’s not VC)
• Mitigating risk so that projected economics are actual economics
2
26. Project financing enables customers to purchase infrastructure “as-a-
service” with zero upfront investment
Profit Distributions
FINANCE CO
(e.g., Generate)
Cash Investment
Monthly payments
CUSTOMER
(e.g., Hotel X)
Energy savings from
storage system
PROJECT
COMPANY
Profit Distributions
and Fees
BATTERY
Asset Management and DEVELOPER /
O&M Services VENDOR
3
27. There are four major types of risk to mitigate when
evaluating storage projects for project finance
1
2
3
4
Regulatory Changes
Regulatory
Rebate Reliance
Product Performance
Technology
Warranty Coverage
Servicing
Operations
System Optimization
Customer Credit
4
28. Energy storage is a growing market with opportunities
for product maturity and scale
• Driven by government mandates and federal rulings, utilities and
ISOs/RTOs are increasing their procurement of storage and allowing
storage to participate in wholesale energy markets
• Competition among experienced technology OEMs drives down costs,
reduces technology risk and yields new business models
• Project finance drives standardization of products, contracts, and
operations and allows for developers to scale
• Software providers are enabling the optimization of system revenue
streams and degradation curves
5
29. Project finance drove the solar and wind industry - and
has the opportunity to do the same for storage
New Investments in Clean Energy by Asset Class - Q1 2004 - Q3 2015 [$BN]
6
30. About Generate Capital
WHO WE ARE Generate Capital, Inc. is a specialty finance company that builds, owns, operates, and finances infrastructure
assets involving the world's critical resources: energy, water, agriculture and basic materials.
We believe the world's fourth industrial revolution -- a "resource revolution" -- is underway, where the world is
finding new, profitable ways to do more with less of our precious or constrained natural resources. Unlike
traditional capital sources, Generate Capital has the people, systems, and flexibility that make us the trusted
capital partner for technology manufacturers, project developers and contractors driving this resource
revolution.
WHAT WE DO Generate Capital partners with project developers and solution providers to finance resource-related projects.
We have developed a financing product enabling end customers to use their technologies in a pay-as-you-go
model we call Infrastructure-as-a-Service™. Our financing options provide our Partners easy access to capital,
which shortens sale cycles and enables higher sales volumes. Generate Capital offers shorter and longer-term
equity and debt capital.
BENEFITS TO 1. Substantially increase revenue by using a ‘zero down’ offering to raise closing rates with end users and
PARTNERS reduce the closing timeline.
2. Having a true capital partner for growth
• Flexible financing solutions to meet evolving developer and customer needs over time
• Industry expertise enabling rapid feedback and efficient underwriting
• Extensive transaction experience provides standardized documents and processes which creates
streamlining and reduces costs
BENEFITS TO 1. No upfront expense - Customer recognizes benefits (i.e., energy savings) over time, as they accrue, without
CUSTOMERS making a large expenditure on an uncertain technology or pay-back proposition
2. No Risk - Generate Capital and the solution provider take the risk on the economic benefits of the solution
CONTACT Jigar Shah
jigar@generatecapital.com
http://www.generatecapital.com
7
31. Clean Energy Financing Advisory Council:
Energy Storage
Katherine Ryzhaya
Chief Commercial Officer, Advanced Microgrid Solutions
34. WHO IS ADVANCED MICROGRID SOLUTIONS?
AMS INSTALLS ADVAN
THAT LOWER ENERGY
AND PROVIDE CLEAN
TO ELECTRIC UTILITIES
• Owner and operator of onsite energy storage
• Purveyor of Storage-as-a-Service - zero upfront cost plus
guaranteed energy bill savings
• Developer of Hybrid Electric Building hardware/software platform
• Technology partnership with Tesla to procure 500 MWh of Powerpacks
35. FAST FACTS
• BEHIND THE METER (BTM) ENERGY STORAGE
DEPLOYMENTS INCREASED BY 405% IN 2015
• TOTAL ENERGY STORAGE DEPLOYMENTS WERE
UP 243% IN 2015 (UTILITY, C&I, RESIDENTIAL)
• TOTAL MWs DEPLOYED EXPECTED TO GROW
FROM 221 IN 2015 TO 1,662 BY 2020
ENERGY STORAGE GROWTH
36. EVOLUTION OF ENERGY STORAGE PROJECT FINANCE
DOES THIS LOOK FAMILIAR?
• PAST
o Heavily reliant on incentives
o Operating revenues depend exclusively on demand charge management
o Premium charged for relatively ill-understood technology (lithium ion)
o Cost of capital in the mid to high teens
• PRESENT
o Additional operating revenues from utility contracts
o Project economics still reliant on incentives but improving quickly
o Lithium ion batteries increasingly seen as safe and bankable, while other energy
storage technologies remain challenging to finance
o Cost of capital in the high single digits to mid teens
• FUTURE
o Further monetization of the stacked benefits of storage
o Project economics stand on their own without incentives
o Additional energy storage technologies may become bankable as deployment
grows (alternatively, Li-ion economies of scale may prevent significant penetration
by other technologies)
o Cost of capital in the mid to high single digits
37. FINANCING BEHIND THE METER ENERGY STORAGE
IMPORTANCE OF CASH FLOW CERTAINTY
• UTILITY CONTRACTS
o Fixed payments from high credit counterparties are low risk and thus
bankable (e.g., AMS’ capacity contract with SCE)
o Numerous other utilities preparing behind the meter energy storage
procurements
• INCENTIVE CERTAINTY
o SGIP has been essential in establishing CA as the leading behind-the-
meter energy storage market
o ITC extension should be a huge boon to storage (solar + storage)
• STANDARDIZED HOST AGREEMENTS
o 10+ year contracts
o Fixed payments from host à increases percentage of capital stack that
can be contributed by debt, reducing the overall cost of capital
o Asset management and O&M agreements provide security that projects
will perform as promised
o Termination provisions that don’t encumber utility contracts
38. INCREASING ENERGY STORAGE RETURNS
MONETIZATION OF NEW PRODUCTS
OVER TIME IT WILL BE CRITICAL FOR MARKETS TO RECOGNIZE THE STACKED
BENEFITS OF ENERGY STORAGE
• HOST CUSTOMERS
o Time of use bill management
o Backup power
o Increased PV self-consumption à especially valuable as net metering rates decline
• UTILITIES
o Capacity
o Distribution deferral
o Transmission deferral
• ENERGY MARKETS
o Frequency regulation
o Voltage support
o Spinning / non-spinning reserves
o Energy arbitrage
POLICY FRAMEWORKS ARE BEING CREATED TO UNLOCK THESE NEW PRODUCTS
40. STORAGE AS A SERVICE
AMS INSTALLS, OWNS AND OPERATES
ENERGY STORAGE SYSTEMS AT HOST
CUSTOMER SITES
HOST CUSTOMERS RECEIVE ENERGY
AND DEMAND CHARGE SAVINGS ON
THEIR BILLS IN ADDITION TO
OPERATIONAL EFFICIENCIES
AMS FINANCES THE SYSTEMS WITH A
COMBINATION OF SHARED SAVINGS,
UTILITY REVENUES AND INCENTIVES
HOST CUSTOMERS CAPTURE
ADDITIONAL BENEFITS INCLUDING
MULTI-RESOURCE INTEGRATION,
REDUCED GHG EMISSIONS, BACKUP
POWER CAPABILITIES AND
ENHANCED DEMAND RESPONSE
Energy Services
Savings Fee
Host Customer
Own &
Operate
Battery Storage
AMS
Utility
Contract
Utility
ECONOMIC MODEL
41. UP TO
1 DEMAND CHARGE REDUCTION
Forecasting software predicts demand
spikes and seamlessly switches
buildings from grid to battery power,
thereby avoiding large peak charges
40%
REDUCTION IN
DEMAND COSTS
ENERGY COST SAVINGS
2 TIME OF USE RATE ARBITRAGE
Battery storage systems charge
overnight when the cost of grid power
is low and discharge during peak hours
when it’s more expensive, displacing
costly on-peak electricity
UP TO
15%
REDUCTION IN
ENERGY COSTS
43. THE AMS ADVANTAGE
WE INSTALL LARGE ENERGY STORAGE SYSTEMS THAT GENERATE
MEANINGFUL ENERGY BILL SAVINGS FOR HOST CUSTOMERS
AVERAGE
SYSTEM SIZE
FUNCTION
ANNUAL
SAVINGS
STORAGE PROVIDER A
18-36 kW
Peak Shaving
$500-$10,000
AMS
250-1,000 kW
Load Shifting &
Demand Reduction
$50,000-$200,000
45. CASE STUDY 01
IRVINE COMPANY
• 26 commercial office buildings
• 25% peak demand reduction
• 10 MW of firm, disptachable
capacity to the utility
• 8% reduction in energy costs
to the building owner
(~$900,000 annually)
• Zero emissions
• No distribution upgrades
46. CASE STUDY 02
INLAND EMPIRE
UTILITIES AGENCY
• 6 regional water recycling &
pumping facilities
• 14% peak demand reduction
• Powered from the grid and
onsite generation assets
o 3.75 MW energy storage (AMS)
o 3.5 MW solar
o 1 MW wind
o 2.8 MW fuel cell
• 5-10% reduction in annual
energy costs(~$550,000)
47. ENERGY STORAGE, SOLAR PV AND SMART GRID TECHNOLOGIES
EXPERIENCED INCREDIBLE GROWTH IN 2015, AND WE EXPECT THAT THEY
WILL PLAY AN INCREASINGLY IMPORTANT ROLE IN REACHING THE NATION’S
CLIMATE AND CLEAN ENERGY GOALS IN THE COMING YEARS.
DAVID DANIELSON
US DEPARTMENT OF ENERGY
48. Clean Energy Financing Advisory Council:
Energy Storage
Robert Sanders
Senior Finance Director, Clean Energy Group
51. Resilient Power Project
• Increase public/private investment in clean, resilient power systems
• Engage city officials to develop resilient power policies/programs
• Protect low-income and vulnerable communities
• Focus on affordable housing and critical public facilities
• Advocate for state and federal supportive policies and programs
• Technical assistance for pre-development costs to help agencies/project
developers get deals done
• See www.resilient-power.org for reports, newsletters, webinar recordings
56. Energy Storage Early Adopters
• Energy storage companies
have largely targeted C&I
customers to reduce utility
bills (not for resilience).
• It’s important to bend the
technology trend for
solar+storage systems to
also meet public needs, such
as affordable housing and
other essential services in
low-income communities.
57. Resilient Power Projects – Housing
• TA Fund: grants pay for 3rd party TA
to determine project feasibility,
design resilient solar+storage systems
• Demonstrate viability of clean energy
+ storage in affordable housing
• Working with project developers in
CA, NYC, Chicago, DC, Newark, Austin
• Via Verde (Bronx) – could be 1st
solar+storage project for resilient
power applied to affordable housing
58. Resilient Power Projects –
Community Facilities
• Demonstrate viability of clean energy +
storage in critical community facilities
– MA DOER – 3 rounds of state funding for
the deployment of municipal-led systems in
its Community Clean Energy Resiliency
Initiative (CCERI).
– 28 critical facilities - including
schools/shelters, communications centers,
first responder facilities and hospitals - will
have resilient power.
• Working with municipalities to develop
resilient power plan for critical facilities
• Municipal solar+storage project planning
underway in San Francisco, Baltimore, Salt
Lake City, Los Angeles, Duluth, DC
59.
60. Resilience for Free - Findings
• Analysis of project economics in different markets
• Findings:
• Solar+storage can reduce operating costs
• Financing can be repaid with electricity market revenues
• Energy storage can improve economics of stand-alone solar
• In certain markets, resilient solar+storage can be developed at
little to no net cost over the life of the project
– Essentially resilience for free
• Similar analysis is now being done for CA affordable
housing
61. How Solar+Storage Projects are Financed Today
• Utilities - direct ownership or third-party ownership
under long term contract for services (rate based)
– Green Mountain Power - 4 MW of battery storage, 2.5 MW
of solar PV, provides resilient power to a school
community emergency shelter
– PSE&G – Hopewell Valley High School (community
emergency shelter)
• Large energy services companies - access to capital
markets targeting specific sectors
– (Schneider Electric, municipal water/sewer treatment
facilities, MUSH)
• New solar+storage companies - using project finance
funds, venture capital & private equity
– Green Charge Networks, Stem, AF Mensah
62. How Solar+Storage Projects are Financed Today
• State incentives for demonstration projects
– MA DOER
– MD Energy Administration
• Federal tax credits
– ITCs
– For affordable housing, can be combined with LIHTCs to
fully fund projects
• Bond financing for municipal projects, schools, large
nonprofit institutions
• Solar+storage systems are increasingly structured with
third-party ownership and leased to customers.
63. Integrated Approach is Needed
• Getting the market rules right is
a big facilitator for project
financing.
– Important to be able to stack
multiple cost savings and
revenue streams
• Investment in resilient power in
community projects won’t get
traction without an adequate
policy & regulatory framework,
access to experienced technical
services, data collection &
analysis, and information sharing
63
64. Sign up for the RPP e-Distribution List to get notices of
future webinars and the monthly Resilient Power
Project Newsletter: http://bit.ly/RPPNews-Sign-UP
More information about the Resilient Power Project, its
reports, webinar recordings, and other resources can
be found at www.resilient-power.org.
68. Networking Round Robin
1. Name
2. Job Title & Organization
3. What is hindering your efforts to advance
clean energy?
4. What do you need to increase your
contribution to clean energy?