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Ports-to-Plains Energy Summit


OPTIMIZATION BARRIERS INto
            The Journey
      WIND ENERGY
                                      Tier One
                 Presented by:
          David Miller,        JD, MBA Spring 2010
                 Vice Chancellor
    Commercialization & Economic Development



                      From here,
                         it’s possible.
The Goal
                                                                                  Figure 1



Department of Energy Goal:
20% Wind Scenario: Wind Energy
Provides 20% of U.S. Electricity Needs by
2030

                                                                                  Figure 2




Barriers to Achievement:
•Cost of wind energy compared to other
sources
•Transmission & Storage
•Standards & workforce development
                                                                           Figure 3




      Figure 1: AWEA 2009 Report Card, Figures 2 & 3 from Montana Environmental Information Center www.meic.org


                                                   Confidential & Proprietary
Key Barriers to Attaining the National Goals:
Cost




                      Confidential & Proprietary
Key Barriers to Attaining the National Goals:
Standards & Workforce Development


                                                     Nationally
                                                      Certified
                                                    Curriculum &
                                                       Safety
                                                     Standards



       Sharing of
      Best Practice
                      Standards &
        Models         Workforce
                      Development
                                                      Industry
                                                     Customizatio
                                                       n Model



                       Confidential & Proprietary
Key Barriers to Attaining the National Goals:
Transmission & Storage



                                                    Public/Private
                                                    Investment in
                                                    Infrastructure




      Enhancement
         of Grid
       Integration   Transmission
          Needs
                      & Storage

                                                       Efficient
                                                     Technology
                                                     Development


                       Confidential & Proprietary
Project Description
We have created the NATIONAL INSTITUTE FOR RENEWABLE ENERGY (NIRE)
and NATIONAL WIND RESOUCE CENTER (NWRC) to resolve the key scientific and
technology issues facing the wind power industry

   • We will lead the industry and nation to achieve 20% wind energy integration by 2030
   • We have created an organizational model and structure which is self-sustainable;
   facilitates collaboration with national laboratories, industry partners and academic
   institutions and will evolve into a long-term and meaningful federal R&D partnership
   • We will recruit additional world-class and commercialization focused researchers
   with expertise in the wind sector
   • We will expedite phased construction of research wind farms and research facilities
   (A regional living laboratory)
   • We will create incremental jobs and build on existing workforce development
   initiatives
   • We will facilitate implementation of a cohesive strategy to leverage other wind
   research facilities and resources in Texas and the nation


                                  Confidential & Proprietary
Organizational Structure



         Equity
         Partner                                                    Contract for Research
                                                                    Services/Funding and
                                                                    SLA
         Bond
        holder’s


        Ground
        Leases


        Power
                                                                             Academic            National          Other Fed.         Trade
       Purchase
                                                                             Partners          Laboratories         Agencies       Organizations
      Agreements




NIRE by-laws provide for an independent Board and likely include members from organizations such as Innovate Texas Foundation, The Wind
             Alliance and AWEA. (Members are pre-competitive) NWRC formed under TX law and in compliance with GASB 14
                                                      Confidential & Proprietary
Funding & Sustainability Plan


Initial Funding Vehicles                                Annual Wind Farm
 •Texas Emerging Technology                               Gross Revenue
 Fund (ETF): $30MM
 •Texas Tech University: $10MM
 •Industry: $10MM
 •Private Development: $496MM
                                          Annual                     Annual Gross Revenue
                                         Consortium                     from Services to
                                       Membership Fees                 Industry Partners




                           Confidential & Proprietary
Initiative Supporters and Partners
Government & Trade           Academia             Industry




                     Confidential & Proprietary
The National Institute for Renewable
Energy

               www.thenire.org




                   Confidential & Proprietary
The National Wind Resource Center

            www.windcenter.com




                 Confidential & Proprietary
Miller national wind_resource_center

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Miller national wind_resource_center

  • 1. Ports-to-Plains Energy Summit OPTIMIZATION BARRIERS INto The Journey WIND ENERGY Tier One Presented by: David Miller, JD, MBA Spring 2010 Vice Chancellor Commercialization & Economic Development From here, it’s possible.
  • 2. The Goal Figure 1 Department of Energy Goal: 20% Wind Scenario: Wind Energy Provides 20% of U.S. Electricity Needs by 2030 Figure 2 Barriers to Achievement: •Cost of wind energy compared to other sources •Transmission & Storage •Standards & workforce development Figure 3 Figure 1: AWEA 2009 Report Card, Figures 2 & 3 from Montana Environmental Information Center www.meic.org Confidential & Proprietary
  • 3. Key Barriers to Attaining the National Goals: Cost Confidential & Proprietary
  • 4. Key Barriers to Attaining the National Goals: Standards & Workforce Development Nationally Certified Curriculum & Safety Standards Sharing of Best Practice Standards & Models Workforce Development Industry Customizatio n Model Confidential & Proprietary
  • 5. Key Barriers to Attaining the National Goals: Transmission & Storage Public/Private Investment in Infrastructure Enhancement of Grid Integration Transmission Needs & Storage Efficient Technology Development Confidential & Proprietary
  • 6. Project Description We have created the NATIONAL INSTITUTE FOR RENEWABLE ENERGY (NIRE) and NATIONAL WIND RESOUCE CENTER (NWRC) to resolve the key scientific and technology issues facing the wind power industry • We will lead the industry and nation to achieve 20% wind energy integration by 2030 • We have created an organizational model and structure which is self-sustainable; facilitates collaboration with national laboratories, industry partners and academic institutions and will evolve into a long-term and meaningful federal R&D partnership • We will recruit additional world-class and commercialization focused researchers with expertise in the wind sector • We will expedite phased construction of research wind farms and research facilities (A regional living laboratory) • We will create incremental jobs and build on existing workforce development initiatives • We will facilitate implementation of a cohesive strategy to leverage other wind research facilities and resources in Texas and the nation Confidential & Proprietary
  • 7. Organizational Structure Equity Partner Contract for Research Services/Funding and SLA Bond holder’s Ground Leases Power Academic National Other Fed. Trade Purchase Partners Laboratories Agencies Organizations Agreements NIRE by-laws provide for an independent Board and likely include members from organizations such as Innovate Texas Foundation, The Wind Alliance and AWEA. (Members are pre-competitive) NWRC formed under TX law and in compliance with GASB 14 Confidential & Proprietary
  • 8. Funding & Sustainability Plan Initial Funding Vehicles Annual Wind Farm •Texas Emerging Technology Gross Revenue Fund (ETF): $30MM •Texas Tech University: $10MM •Industry: $10MM •Private Development: $496MM Annual Annual Gross Revenue Consortium from Services to Membership Fees Industry Partners Confidential & Proprietary
  • 9. Initiative Supporters and Partners Government & Trade Academia Industry Confidential & Proprietary
  • 10. The National Institute for Renewable Energy www.thenire.org Confidential & Proprietary
  • 11. The National Wind Resource Center www.windcenter.com Confidential & Proprietary