The document discusses how energy storage and smart grids can drive economic competitiveness through innovation. It outlines how large-scale energy storage can increase the value of solar PV to smart grids by better managing voltage variation, reverse power flow, and power fluctuations. The document also presents projections showing significant growth in the North American grid storage market and how energy storage can allow for increased solar penetration on the grid.

1. CHARGED 2020
The Global Energy Storage Forum 2010
30 June-1 July, San Diego-USA
Driving sustainable innovation along the energy storage and
smart-grid value chain
Driving economic competitiveness through Energy
Storage and Smart Grid innovation
Reyad Fezzani
CEO of BP Solar

2. Driving economic competitiveness
through Energy Storage and Smart Grid
innovation
Reyad Fezzani, CEO, BP Solar
Charged2020, June 30, 2010

3. BP Solar International, Inc.
• A customer focused, branded products and project
development company providing highest lifetime
value by serving residential, small and large
commercial, and utility customers
• Industry leader since 1973
• Multicrystalline silicon PV
pioneer
• Over 10 million modules sold,
1 GW installed in more than
160 countries
BP Solar Sail at Guangdong Science Center

4. U.S. Renewable Portfolio Standards
www.dsireusa.org / June 2010
VT: (1) RE meets any increase ME: 30% x 2000
WA: 15% x 2020* New RE: 10% x 2017
MN: 25% x 2025 in retail sales x 2012;
MT: 15% x 2015 (Xcel: 30% x 2020) (2) 20% RE & CHP x 2017 NH: 23.8% x 2025
OR: 25% x 2025 (large utilities)* ND: 10% x 2015 MI: 10% + 1,100 MW MA: 22.1% x 2020
x 2015* New RE: 15% x 2020
5% - 10% x 2025 (smaller utilities)
(+1% annually thereafter)
SD: 10% x 2015 WI: Varies by utility;
NY: 29% x 2015 RI: 16% x 2020
10% x 2015 statewide
NV: 25% x 2025* CT: 23% x 2020
IA: 105 MW OH: 25% x 2025†
CO: 30% by 2020 (IOUs) PA: ~18% x 2021†
10% by 2020 (co-ops & large munis)*
IL: 25% x 2025 WV: 25% x 2025*† NJ: 22.5% x 2021
CA: 33% x 2020 UT: 20% by 2025* KS: 20% x 2020 VA: 15% x 2025* MD: 20% x 2022
MO: 15% x 2021
DE: 20% x 2020*
AZ: 15% x 2025
OK: 15% x 2015 NC: 12.5% x 2021 (IOUs) DC DC: 20% x 2020
10% x 2018 (co-ops & munis)
NM: 20% x 2020 (IOUs)
10% x 2020 (co-ops)
TX: 5,880 MW x 2015
HI: 40% x 2030
State renewable portfolio standard Minimum solar or customer-sited requirement 29 states +
State renewable portfolio goal
Solar water heating eligible *
†
Extra credit for solar or customer-sited renewables
Includes non-renewable alternative resources
DC have an RPS
(7 states have goals)
Source: DSIRE

5. U.S. Renewable Resources
Source: NREL

6. Grid Architecture

7. Issues for Increased Renewable
Generation
• Variability
• Uncertainty
• Distributed Generation
• Economics

8. Flexibility Supply Curve
Source: NREL

9. Time Scales of Interest
Source: UWIG

10. Demand and Supply Flexibility to
Reduce Curtailment
Source: NREL

11. Storage Impact on Generation Profile

12. Storage Technology Operating Regimes

13. Global Installed Electricity Storage

14. Energy Storage Development

15. Energy Storage
• Large-scale energy storage will significantly increase
PV value to Smart Grid, better managing:
− Voltage variation
− Reverse power flow
− Power fluctuations
• BP invested in flow
battery research and
development

16. Revenue Projection – North American
Grid Storage Market

17. North American Electricity Storage
Market Projection by Technology

18. PV and Smart Grid
While the PV market has entered a time of robust growth, electric utilities and
others have begun to implement the Smart Grid
Issues
Does the PV-
Issues Driving
Smart Grid
Driving PV create value? Smart
Grid
• Increased PV cost • Energy reliability and security
competitiveness and lower • Integration of renewable
price volatility relative to fossil energy
fuels • Facilitation of higher energy
• Large scale investment in efficiency and consumption of
technologies, projects and new less fossil-based energy
business models • Increased involvement of end-
• Consumer demand for clean users as energy partners
energy
• Climate change concerns and
limits on CO2 emissions

19. Cumulative Grid-Tied US Solar Capacity
1500
1125
MW-dc
750
375
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Chart courtesy of Solar Energy Industries Association

20. Does PV-Smart Grid Create Value?
• Navigant Consulting study issued in January 2009
• Clients included solar companies, utilities,
regulators, environmentalists
Conclusion:
Convergence of solar PV and Smart
Grid will create significant value and
opportunities

21. PV Penetration
• Smart Grid will enable increased PV penetration on
the distribution grid
− Helps address T&D challenges of high PV
penetration, resulting in:
− Simplified interconnections, improved PV
economics
− By 2020, rooftop PV capacity could
increase by over 60%

22. Grid Benefits
• Smart Grid will help PV provide grid benefits,
particularly with strategic energy storage integration
Cumulative Benefits to Grid from Rooftop PV-Smart Grid – Total U.S. (Present Value MM$2008)
Value of Benefits (millions $2008)
8,000 Without SmartGrid
Scenario 1 (PV-SG) 60% increase due
Scenario 2 (PV-SG w/ DR) to Energy Storage
6,000
Scenario 3 (PV-SG w/ ES)
Scenario 4 (PV-SG w/ DR & ES)
4,000 Mixed Feedstock $20/wet ton tipping fee
Column 7
2,000
0
2010 2015 2020
©2009 Navigant Consulting, Inc.

23. Business Opportunities
• PV-Smart Grid will create new business
opportunities in the short- and medium-term
− Distributed Generation Power Plant
− Smart Capacity Firming
− Distribution Optimization

24. Next Steps
• Coordinated effort of all stakeholders
− Utilities*
− Distributed generators
− Customers
− Equipment suppliers
− Regulators
− Investors
* Utilities championing PV-Smart Grid increase odds
of success