Technology can help address challenges with renewable energy sources like wind power. Information technology can help optimize balancing of supply and demand when wind is intermittent through analytics, system orchestration, and automated remote operation. IT can also help speed scale and reduce costs through design innovation, installation simplicity, and smart asset operations and maintenance. Finally, IT can help enable the necessary physical infrastructure through solutions like a smart grid management platform and supply chain optimization to enable efficient development of renewable resources.

1. Is technology the silver bullet to address ‘expensive’ and ‘unpredictable’ renewables? Jon Bentley – Executive Partner and Smarter Energy Lead, IBM Global Business Services

2. Rising to the challenge: Integrating cost effective renewable energy into a balanced and stable energy system Designing, building and managing solutions, in hostile environments Balancing supply and demand in a dynamic market with variable wind supply Enabling the physical infrastructure to be created rapidly Increase in renewable share of UK energy mix to reach the 2020 UK target Electricity produced from wind at 3.00am 28 March 2011 and at 11.40am 31 March 2011 1% = £4m p.a. Impact of a percentage point improvement in availability for a 1GW wind farm 500% 9MW – 2.6GW

3. Mass micro generation or large scale distributed generation? Optimisation & Balancing Integration & Orchestration Speed to Scale Cost & Reliability Lowest cost mix plus returns to owners Maintaining balance of demand and supply “ Virtual power plant” and network connections Managing variability and grid connections Enough customer take-up to make a difference Filling the generation gap and slashing emissions Realistic pay-back periods “ Grid parity” from lower capital and operating costs There are similar challenges across all renewable technologies

4. The role of information technology Optimisation & Balancing Integration & Orchestration Speed to Scale Cost & Reliability Analytics and optimisation System orchestrated “supply response” Automated, coordinated remote operation “ Smart Grid” Design innovation to cut manufacturing costs Installation simplicity and supply logistics Engineering for simplicity and reliability Smart asset operations and maintenance

5. Cogen Data / C/oud Grid Infrastructure How do we create an efficient Supergrid, enabling energy trading and distributing across Europe £ Smart Solutions How do we generate new ways of doing things to enable a smart and efficient energy system? Integrated Power How do we integrate renewable power with conventional sources? Efficient Trading How can we engage in effective day ahead trading with so much intermittency in renewable power supply? Asset Management How can we optimise availability and outputs from our wind assets? Maintenance How can efficient maintenance enable operational profitability? Safety How to minimise safety risks for construction and maintenance teams? Smart Wind Farm Location / Design How do we find those marginal improvements to wind farm location and design that can yield significant returns over the life of the assets? Turbine Technology How do we find the next generation of wind turbines that are more efficient, more reliable and more versatile? Logistics How can we manage complex array of materials, manpower and transportation vessels whilst minimising costs and ensuring expedient development?

6. Designing, building and managing renewable solutions Wind Farm Development High-resolution weather model of target areas Creates a “climatology” to determine power potential Evaluate more than just maximum wind Physical, economic and logistical factors determine optimum design Reducing the Ratio of Downtime IBM MAXIMO Wind Suite – Integrated MRO system. Improve forecasting for ordering, delivery and warehousing Framework for predictive maintenance using SPSS and Smart Signal Solution has delivered 57% reduction in downtime to wind turbines Predictive maintenance “ Stream Analytics” on sensors detects faults before they happen Statistical data mining predicts likely asset failures and service needs Schedule preventive maintenance at the optimal time Maximise uptime and minimise turnaround time: 1% = £4m/GW

7. Balancing supply and demand when intermittency is the norm Integrated Control Centres optimise operations Monitor, control and balance generation Optimise generation and mix across diverse portfolio Eliminate functional, expertise and asset silos Uncovers patters from operational, engineering and business data Denmark’s EDISON Project "Electric Vehicles in a Distributed and Integrated Market using Sustainable Energy and Open Networks" (EDISON). EVs as balancing tool for intermittent wind Charge scheduling for demand management and energy storage Vehicle-to-grid in periods of low wind power and excess demand Optimal market trading Higher return potential from Day Ahead than Spot trading But high risk of penalties for missing the bid power amount IBM Deep Thunder and ILOG can significantly reduce risk Enables efficient and profitable trading on day ahead market

8. Enabling the physical infrastructure Creating the Smart Grid – enabled in the Cloud Renewable and micro-gen Smart Grid Management Platform IBM Smart Energy Cloud for smart grid data comms & analytics Integration of smart meters, micro storage, EV and intelligent home Forecasting accuracy, optimisation models and automation rules Visualisation for improved decision making Optimising the Supply Chain Supply chain visibility across categories, geography, tiers Tens of thousands of variables Optimisation of millions of deployment scenarios Demand forecasting, logistics scheduling and inventory optimisation ILOG ODME, Lotus Mashups and Websphere Portal manager

9. Life cycle plant information management and model-driven embedded software engineering IBM PlantLIF completes the expanded lifecycle: Integrates plant development activities with asset management Maintains common information repository throughout service life Shares key information across manufacturers and owner/operators Reduces operational and maintenance risk and drives efficiency Rational Rhapsody Architect UML/SysML model-driven development environment Real time and embedded systems engineering Complex, multiple control sub-systems and interaction Robust generation of control software Configuration management and collaboration tools

10. IBM can manage the data. We can integrate technology with business processes. We can help design the overall system. And w e can mine and exploit the information. But We don’t build the turbines. We don’t construct the physical infrastructure. We don’t operate the wind farms. And we don’t sell the energy. Building a smarter planet .

11. So, we need to work with you. Collaboration Open Standards Innovation [email_address] [email_address]