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A PLATFORM FIT
FOR THE FUTURE
MATTHEW WILLIAMS
Founder & CTO
Visit: faradaygrid.com
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
Analysis
divergence into exponential growth at
penetration levels beyond 30%-50%
2017 – 12% costs £1.5 million / TWh
2050 – 62% costs £15 million / Twh
Sample Average VRE Penetration (LHS) & Balancing Costs/TWh (RHS)
VRE PENETRATION VS BALACING SERVICE COSTS: GLOBAL SAMPLE
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
Systemic change is needed.
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
FARADAY EXCHANGER CONTROL CAPABILITY
• RMS Voltage Control
• Power Factor Control
• Harmonics Removal
• Independent Phase-Voltage Control
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
FARADAY EXCHANGER DESIGN
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
FARADAY EXCHANGER BENEFITS
Economic benefits
• RMS Voltage - $150k / voltage drop
• Power Factor - $191 trillion in US
• Harmonics Removal - $150 billion in US /
year
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
Distribution to
Low Voltage Renewable
Generation
Integration
High Voltage
Distribution &
Transmission
Large Scale Generation
Integration
THE FARADAY EFFECT
 Incremental rollout
 Autonomous decentralized
control
 Scalable in core design
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
Distribution to
Low Voltage Renewable
Generation
Integration
High Voltage
Distribution &
Transmission
Large Scale Generation
Integration
THE FARADAY EFFECT
80%
renewable generation
25%
capacity
7%
losses
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
FARADAY BALANCING
SERVICE
DESCRIPTION
EXCHANGER
PENETRATION
(MVA)
PROJECTED
MARKET VALUE
2020
PROJECTED
MARKET VALUE
2030
Frequency
Response
Managing frequency in the system (within 1 min)
Fast Reserve Delivery of active power (within 2 mins)
Short Term
Operating Reserve
Delivery of active power (within 20 mins)
< 45% ~ £400m ~ £1,400m
Demand Turn-up Reduction in demand (within 120 minutes for an
average 6-8 hours)
Reactive Power* Provision of reactive power to manage voltage levels
across system
*Non rivalrous with other services; does not require additional Exchanger
deployment.
< 15% ~ £450m ~ £1,600m
Faraday Grid could satisfy total UK demand for the five key balancing services.
FARADAY’S BALANCING SERVICES: UK EXAMPLE
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
2. Add-on balancing services at lowest marginal
cost
• Grid balancing services capability through independent
markets or as a service
• Lower cost balancing services in competitive markets
1. Hardware sales to distribution utilities
• Sales at comparable price to transformers
• Drops in to existing infrastructure
• All functionality of a transformer + benefits (e.g., voltage, power
factor & harmonics) FARADAY
FARADAY ENERGY AS A SERVICE PROPOSITION
FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome.
• Embedded in System
• Every agent balances
account
• Transactions coupled
to physics
EMERGENT TRANSACTIONAL PLATFORM
Key Characteristics
A PLATFORM FIT
FOR THE FUTURE
MATTHEW WILLIAMS
Founder & CTO
Visit: faradaygrid.com

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Case Study: A Platform Fit for the Future – Coupling the Physics and the Economics Together

  • 1. A PLATFORM FIT FOR THE FUTURE MATTHEW WILLIAMS Founder & CTO Visit: faradaygrid.com
  • 2. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. Analysis divergence into exponential growth at penetration levels beyond 30%-50% 2017 – 12% costs £1.5 million / TWh 2050 – 62% costs £15 million / Twh Sample Average VRE Penetration (LHS) & Balancing Costs/TWh (RHS) VRE PENETRATION VS BALACING SERVICE COSTS: GLOBAL SAMPLE
  • 3. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. Systemic change is needed.
  • 4. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. FARADAY EXCHANGER CONTROL CAPABILITY • RMS Voltage Control • Power Factor Control • Harmonics Removal • Independent Phase-Voltage Control
  • 5. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. FARADAY EXCHANGER DESIGN
  • 6. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. FARADAY EXCHANGER BENEFITS Economic benefits • RMS Voltage - $150k / voltage drop • Power Factor - $191 trillion in US • Harmonics Removal - $150 billion in US / year
  • 7. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. Distribution to Low Voltage Renewable Generation Integration High Voltage Distribution & Transmission Large Scale Generation Integration THE FARADAY EFFECT  Incremental rollout  Autonomous decentralized control  Scalable in core design
  • 8. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. Distribution to Low Voltage Renewable Generation Integration High Voltage Distribution & Transmission Large Scale Generation Integration THE FARADAY EFFECT 80% renewable generation 25% capacity 7% losses
  • 9. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. FARADAY BALANCING SERVICE DESCRIPTION EXCHANGER PENETRATION (MVA) PROJECTED MARKET VALUE 2020 PROJECTED MARKET VALUE 2030 Frequency Response Managing frequency in the system (within 1 min) Fast Reserve Delivery of active power (within 2 mins) Short Term Operating Reserve Delivery of active power (within 20 mins) < 45% ~ £400m ~ £1,400m Demand Turn-up Reduction in demand (within 120 minutes for an average 6-8 hours) Reactive Power* Provision of reactive power to manage voltage levels across system *Non rivalrous with other services; does not require additional Exchanger deployment. < 15% ~ £450m ~ £1,600m Faraday Grid could satisfy total UK demand for the five key balancing services. FARADAY’S BALANCING SERVICES: UK EXAMPLE
  • 10. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. 2. Add-on balancing services at lowest marginal cost • Grid balancing services capability through independent markets or as a service • Lower cost balancing services in competitive markets 1. Hardware sales to distribution utilities • Sales at comparable price to transformers • Drops in to existing infrastructure • All functionality of a transformer + benefits (e.g., voltage, power factor & harmonics) FARADAY FARADAY ENERGY AS A SERVICE PROPOSITION
  • 11. FARADAY GRID LIMITED | MAY 2019 | COMMERCIAL IN CONFIDENCE | Figures are based on assumptions, projections and modelling as to potential future events and are indicative only of a possible outcome. • Embedded in System • Every agent balances account • Transactions coupled to physics EMERGENT TRANSACTIONAL PLATFORM Key Characteristics
  • 12. A PLATFORM FIT FOR THE FUTURE MATTHEW WILLIAMS Founder & CTO Visit: faradaygrid.com