Post on 01-Jun-2015
description
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Energy Commercialization : Your Strategic Partner for Growth
Copyright 2011 Energy Commercialization, LLC all rights reserved
Enabling Energy Projects by Providing Full Service Solutions
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Driving and Managing Energy ProjectsEnergy projects enabled when combining all three components
Copyright 2011 Energy Commercialization, LLC all rights reserved
Finance
TechnologyRegulatory
Skilled at integrating these three
components in order to implement
projects
Projects
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List of CapabilitiesUnderstanding of both the supply and demand side
Carbon Capture & Storage (CCS) Reducing Carbon Footprint in Supply Chain Renewables & Clean Energy Energy Storage Smart Grid Strategies Regulatory / Legislative Intelligence Distributed Generation Branding Product / Services Portfolio Analysis
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Energy Commercialization BioC-Level execs experienced in energy and reducing operating expenses
Team includes former C-level execs experienced in new product development, marketing, strategic planning, finance, and operations
Most of team +30 years experience Adept at public / private partnerships Experienced working with the Department of Energy (DOE) Skilled at forming teams to deploy energy technologies Accomplished at implementing new technology to enhance
efficiencies in operations Project developer for +20 MW projects in US and
internationally Understand PPA, FIT, and other factors affecting energy
deals
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Critical Infrastructure PresentAdvantageous when teaming to pursue funding opportunities
Limited Liability Corporation within the state of California Certified small business within the state of California Accounting system designed to meet DCAA / DOE requirements On-site experience at NETL Provided assistance to NETL with ARRA funding and monitoring Reviewer for DOE proposals Currently funded by the DOE / NETL to commercialize new
capture technologies Relationships with major utilities Relationships with other developers / providers of capture
technology Relationships with investment groups Relationships with EPC firms
5Copyright 2011 Energy Commercialization, LLC all rights reserved
Global Reach Through PartnershipsInternational partner network enables access to critical partners and markets
ENERFEX
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GREYSTONE CAPITAL ADVISORS, LLC STRATEGIC MANAGEMENT CONSULTANCY
Example : CCS Strategic RelationshipEnergy Commercialization member of Westcarb Regional Partnership
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• Relationships into other regional carbon partnerships as well• Enables understanding of large project needs and trends
Example : Partnerships for Economic GrowthUsing energy projects to drive regional economic growth
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• Skilled at working with regional economic development groups
• Adept at linking job growth to new energy markets
• Important factors to consider when raising public funds to build infrastructure
Energy Ecosystem : Complex & DynamicRequires understanding relationships & navigating dynamic landscape
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Method to Measure Maturity of TechnologyMany studies done on determining TRL and developing R&D portfolios
Technology Readiness Levels (TRLs) : scale for assessing the maturity of a particular technology
Developed by NASA, now wider use in DoD and other agencies
Viewed as one component of a risk-reduction measure*
Creates “common language” that facilitates the integration of technologies from universities and research labs (e.g. NRL, ARL)*
Recent versions include market related risks, e.g. COSYSMO**
*Graettinger, C; S. Garcia, J. Siviy; R. Schenk; P. Syckle, Using the “Technology Readiness Levels” Scale to Support Technology Management in the DoD’s ATD/STO Environments”, conducted for Army CECOM, CMU/SEI-2002-SR-027, August 2002**Valerdi, R; R. Kohl, An Approach to Technology Risk Management, Engineering Systems Division Symposium, MIT, March 2004
Copyright 2011 Energy Commercialization, LLC
Commercialization PathwayRequires significant capital, talent, and knowledge of stakeholder needs
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Project C
ost
$0.3 MM to$1 MM
DemonstrationConceptual PilotLab Scale
• Drives type of investor relative to technology maturity• Field testing begins at pilot scale• Often failures in transition from lab scale to pilot
Copyright 2011 Energy Commercialization, LLC
$10 MM to$40 MM
+$100 MM
0.01 -0.1 MW 1 -5 MW 100 -250 MW
$1 MM to$5 MM
n/a
Challenge for Maturing Energy TechnologiesCapital, talent, and knowledge of stakeholder needed to commercialize
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Project C
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TRL1-3
TRL3-5
TRL5-7
TRL7-9
PilotDemonstration /
DeploymentLab ScaleConceptual
• Drives type of investor relative to technology maturity• Challenge is that often easier to get large funds for TRL 7-9
than small funds for TRL 1-3• Traditional R&D funding “gap” is the TRL 5-7Copyright 2011 Energy Commercialization, LLC
Focus of Energy Commercialization
Breadth of Capabilities Provides StrengthProject developers as well as technology commercialization
Client Type Government (G) or Commercial ( C )
Description
Utility C • Technology surveillance for energy storage, CCS, distributed Generation
TechnologyDeveloper
C • Team formation for DOE grant• Assist in DOE interactions• Assessing regulatory / legislative
trends that impact businessCalifornia Energy Commission
G • Evaluate beneficial use of captured CO2, i.e. applications other than sequestration
• Evaluate impact on regional economy
Waste Management Facility
C • Act as owner’s engineer to evaluate waste to fuels technologies
• Coordinate with investors
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Using Carbon Management to Drive Revenue Growth
More than just a cost savings mechanism
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True Smart Grid: Integrates ChangesEstimated market size of $200 Billion over next 10-15 years1
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1Electric Power Research Institute (EPRI) and Pacific Northwest National Laboratory (PNNL) study
RPS Standards CCS
Plug in vehiclesProsumers
Carbon Trading
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Full Service Sustainable SolutionMore than just “point” solutions
Strategic sustainability coupled with technology surveillance • Future growth coupled with sustainable business practices• Three to five year planning horizon
Not just single point solutions, e.g. change lighting fixtures
Combines marketing, manufacturing, distribution, customer service, finance, and accounting considerations
Planning and implementation
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Branding and SustainabilityHost of products being branded as sustainable
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Branding products as sustainable drives
revenue growth
Strategic SustainabilityMeeting the need to meet the “Triple Bottom Line”
Triple Bottom Line: People, Planet, Profits Organizations driving sustainability in supply chains:
• Unilever: Double size while reducing environmental impacts through sustainable, profitable, volume growth
• Wal-Mart: Reduce 20 million metric tons of greenhouse gas emissions from its global supply chain by 2015
Example of metrics being developed regional and globally:• The Greenhouse Gas Protocol Initiative
http://www.ghgprotocol.org/standards/product-and-supply-chain-standard
• Eco Index (product life cycle for outdoor equipment)http://www.ecoindexbeta.org/
Energy Commercialization approach: focus on enhancing sustainability AND profitability• Reduce both the carbon footprint (i.e. CO2 footprint) AND the
production cost of the delivered product
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Sustainability Analysis for a ManufacturerImproving the profit and sustainability of products and services
Copyright 2011 Energy Commercialization, LLC all rights reserved
Lowering energy use and carbon footprint per unit of production in each of these components will increase profitability
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Financing the EffortUsing sustainability enhancements to expand business
Forecast expenditures for
sustainability upgrades
Monetize potential cost savings
across operationsCalculate ROI and
payback
Identify people and planet
benefits
Calculate impact on cost
accounting, i.e. COGS
Develop pro forma for managerial
control and financing
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Understanding the Impact of Technology on Carbon Management
Service to mitigate risks in large scale projects
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Enablers of Sustainability within OrganizationsTechnology identified as a top enabler within respondents to survey
Copyright 2011 Energy Commercialization, LLC all rights reserved
Demographics of Respondents to
Survey
Sustainability in Business Today: A Cross-Industry View, Deloitte, 2010
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Technology Surveillance ProgramMitigating technology risk for organizations
Needs of Organizations:• Evaluating new technologies being developed• Understanding new and anticipated regulations• Leverage government funding to deploy technologies
Approach:• Use accepted standards to define technology maturity• Evaluate economics, list field trials at utilities, and vendors• Provide a “hot sheet” listing technology, regulatory, finance
developments that could impact utility and/or consumer Benefits:
• 3rd party assessment of technology developments• Rationale for transitioning from surveillance mode to engaging in
projects• Ability to connect to appropriate government funding sources
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Approach for Technology SurveillancePhased approach to mitigate risk
Copyright 2011 Energy Commercialization, LLC all rights reserved
Monthly Technology
Briefings
Technology / Projects “Deep Dive” Analysis
Involvement with Specific
Project
Phase I• Technology readiness &
impact on your customers• Economics, advantages,
disadvantages, vendors• Interaction of regulatory &
technology • Overview tool for strategic
planning
Phase II• Detailed analysis of specific
technology• In depth analysis of specific
projects• Structured meetings with
team members and funding sources (e.g. NETL)
• Pre-engagement tool
Phase III• Team member on project
or formation of project team
• Development of public / private funding
• Assists internal operations in planning and execution of project
Surveillance / Monitor / Plan Engage
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Partnering with Energy CommercializationAdvantages of a small business coupled with multi-national reach
Adept at assessing and mitigating finance, regulatory, and technology risks for large projects
Experienced with DOE / NETL funding mechanisms and procedures
Established relationships regionally with regulatory and economic development groups
Understands how financial drivers such as PPA, FITs, etc. impact bondable / bankable deals: i.e. more than simply an analyst
Provides commercialization assistance from a project developer perspective : mitigates technology, regulatory, and financial risk
Develops teams and deals based on international experience and understanding of global trends in carbon management
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Kevin C. Obrien, PhD
CEO / PresidentEnergy Commercialization
+1 925 858 2448kevin.obrien@energycommercialization.com
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