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Copper Contribution to
Renewables and Energy
Efficiency


Fernando Nuño
European Copper Institute
fng@eurocopper.org




       ICREPQ
       March 2010
       Granada, Spain
The European Copper Institute (ECI)


            Non profit
             Non profit       Network of
                              Network of            Mission
                                                    Mission
           organisation
            organisation     Associations
                             Associations

         Representing the   Brussels based      Communicate
         world's mining     headquarters with   copper's
         companies and      a network of 11     essentiality for
         the European       Copper              health,
         copper industry    Development         technology and
                            Associations        quality of life.




www.leonardo-energy.org                                www.eurocopper.org
Energy Efficiency and Renewables vs CO2
 abatement cost




                          http://lightbucket.files.wordpress.com/2008/05/carbonabatement800.jpg
www.leonardo-energy.org                                                                           www.eurocopper.org
Index


          Electric Motors
          Transformers
          Renewables
          PV case study




www.leonardo-energy.org     www.eurocopper.org
ELECTRIC MOTORS




www.leonardo-energy.org                     www.eurocopper.org
Electric motors : key figures


                                        65% of EU industrial
                                         65% of EU industrial
                                           electricity use
                                            electricity use




                          202 TWh //year savings potential
                          202 TWh year savings potential
                           by switching to energy efficient motor driven
                            by switching to energy efficient motor driven
                                             systems
                                              systems




                      http://www.leonardo-energy.org/high-efficiency-motor-systems-0




www.leonardo-energy.org                                                            www.eurocopper.org
Electric motors : electricity savings potential
                                 202 TWh annual savings potential
                                  202 TWh annual savings potential
                                 by switching to energy efficient motor
                                  by switching to energy efficient motor
                                            driven systems
                                             driven systems


                                                                                      Total
          7% of total                         Electricity                          amount of
           electricity
                                               System                             EU network
         consumption
                                                                                   electricity
             of EU                             impact                                losses




           35 nuclear power               130 fossil fuel power     1.5 times the EU’s total
           plants (1000 MW)                 plants (350 MW)         2008 wind capacity (142
               70% load factor                50% load factor          TWh generated in 2008)




www.leonardo-energy.org                                                         www.eurocopper.org
Electric motors : GHG savings potential

                          202 TWh annual savings potential
                           202 TWh annual savings potential
                          by switching to energy efficient motor
                           by switching to energy efficient motor
                                     driven systems
                                      driven systems



         100 Million                                                      About 20% of the
                                                                             GHG emission
           Tonnes                         GHG
                                                                            reduction in EU
          annually                       impact                            between 1990 and
           CO2 saved                                                      2010 (400 - 500 MT)*


                                Significant reductions in
                               NOx, SO2, heavy metal, and
                                     dust emissions


                                                     *Source : Report of the review of the initial report of
                                                     the European Community, FCCC/IRR/2007/EC.
                                                     UNFCCC, 15 February 2008.
                                                     2008 GHG inventories 1990-2006 (submissions to
                                                     UNFCCC)


www.leonardo-energy.org                                                           www.eurocopper.org
Electric motors : economic savings potential

                              202 TWh annual savings potential
                               202 TWh annual savings potential
                              by switching to energy efficient motor
                               by switching to energy efficient motor
                                         driven systems
                                          driven systems

        € 10 Billion                                                       € 50 Billion
                                                                           investment
          annual                           Economic
                                                                          saved for new
         operating                          impact                         generation
        costs saved
                                                                             capacity




                     Lower Life Cycle
                                                              6% reduction on
                     Cost — a typical
                                                             fossil fuel imports
                    reduction of 35%




www.leonardo-energy.org                                                      www.eurocopper.org
Electric motors : barriers to be removed

         High efficiency motors (Eff1) represent only 12% of the market in the EU. If
          High efficiency motors (Eff1) represent only 12% of the market in the EU. If
       energy efficient motor systems have in the large majority of the cases the lowest
        energy efficient motor systems have in the large majority of the cases the lowest
                    Life Cycle Cost (LCC), why is the adoption rate so slow?
                     Life Cycle Cost (LCC), why is the adoption rate so slow?


                   Split Budgets : purchase                     Existing stocks : back-
                    department and operating                    up spares of the same type
                     costs managers need to                        and efficiency in the
                    make a common approach                      warehouses, even if LCC is
                     on Life Cycle Cost basis                             higher




                   Lack of Information :                         Long Life Cycle : 20
                                                                 years. A poorly-reasoned
                      education is needed in
                                                                 purchasing decision will
                   terms of definitions and Life
                                                                  have a negative impact
                            Cycle Cost
                                                                   lasting for 20 years.




www.leonardo-energy.org                                                    www.eurocopper.org
How Copper saves CO2 emissions in motors

                                                                                                               Type 1     Type 2    Type 3
                                                                                       Materials
                                                                                       Aluminium           Kg      3,5       3,5       4
                                                                          Increasing
                             22 kW                                          Copper     Copper              Kg      8,8       12,9     13,9
                                                                                       Electrical steel    Kg      108       108      108
                                                                                       Parameters
          +1 kg Cu -> - 3 Tons CO2                                        Increasing
                                                                                       Rating              Kw       22        22      22
                                                                           Efficiency
                                                                                      Efficiency           %       89.5      91.8     92.6
                                                                                       Lifetime           Years     20        20      20
                                                                                       Load                %        50        50      50
                   Eco-design analysis
                   Eco-design analysis                                                 Annual
                                                                                                          Hours   4380       4380    4380
                                                                                       operation
                                                                                       Environmental balance
  Manufacturing               Utilisation             End of Life                      Primary Energy      GJ     1233       940      841
                                                                          Decreasing
                                                                             CO2     CO2                  Tons      56        43      38
 Given that one kg of copper takes 3 kg of CO2e emissions in production
 the environmental payback is more than a factor 1000, while at the end
 of life, the kg copper can be recycled for the next application.                    http://www.leonardo-energy.org/webfm_send/359




www.leonardo-energy.org                                                                                         www.eurocopper.org
The European Copper Institute : a long tradition in
 promoting efficient motor systems

                                      European Motor
                                      European Motor
                                        Challenge
                                         Challenge
                                         Program
                                          Program




                          ECI supports this program launched in 2003
                          Voluntary program of European Commission
                          focused on improving the efficiency of motor
                          driven systems




www.leonardo-energy.org                                                  www.eurocopper.org
The European Copper Institute : removing barriers
 through education

                            Leonardo
                             Leonardo
                          ENERGY blog
                          ENERGY blog




                                          Reports the
                                          latest
                                          developments
                                          in motor
                                          efficiency
                                          standards,
                                          case studies,
                                          etc.




www.leonardo-energy.org                    www.eurocopper.org
The European Copper Institute : removing barriers
 through education




                           Policy      Seminars      Technology
     Eco-design
                          Briefings   on the Web      Diffusion




www.leonardo-energy.org                            www.eurocopper.org
Removing barriers for motors



            EDUCATION


                                   Lack of       Long Life
                                information        Cycle




                                 Split            Existing
                                Budgets            stocks




www.leonardo-energy.org                       www.eurocopper.org
Index

          Electric Motors
          Transformers
          Renewables
          Proposals for local actions




www.leonardo-energy.org                 www.eurocopper.org
TRANSFORMERS




www.leonardo-energy.org                  www.eurocopper.org
Distribution transformers : key figures


                                      222 TWh EU electricity
                                       222 TWh EU electricity
                                          network losses
                                           network losses




                          19 TWh //year savings potential
                          19 TWh year savings potential
                           by switching to energy efficient distribution
                            by switching to energy efficient distribution
                                          transformers
                                           transformers




           http://www.leonardo-energy.org/seedt-highlights-european-distribution-transformers




www.leonardo-energy.org                                                           www.eurocopper.org
Distribution transformers : electricity savings
 potential
                                 19 TWh annual savings potential
                                  19 TWh annual savings potential
                                   by switching to energy efficient
                                    by switching to energy efficient
                                      distribution transformers
                                       distribution transformers


                                                                                9% of total
        0,7% of total                        Electricity                         amount of
          electricity
                                              System                            EU network
        consumption
                                                                                 electricity
            of EU                             impact                               losses




            3 nuclear power              13 fossil fuel power     13% of EU’s total 2008
           plants (1000 MW)               plants (350 MW)          wind capacity (142 TWh
               70% load factor              50% load factor            generated in 2008)




www.leonardo-energy.org                                                       www.eurocopper.org
Distribution transformers : GHG savings potential

                          19 TWh annual savings potential
                           19 TWh annual savings potential
                            by switching to energy efficient
                             by switching to energy efficient
                               distribution transformers
                                distribution transformers



         10 Million                                                     About 2% of the
                                                                          GHG emission
          Tonnes                        GHG
                                                                         reduction in EU
         annually                      impact                           between 1990 and
          CO2 saved                                                    2010 (400 - 500 MT)*


                               Significant reductions in
                              NOx, SO2, heavy metal, and
                                    dust emissions


                                                   *Source : Report of the review of the initial report of
                                                   the European Community, FCCC/IRR/2007/EC.
                                                   UNFCCC, 15 February 2008.
                                                   2008 GHG inventories 1990-2006 (submissions to
                                                   UNFCCC)


www.leonardo-energy.org                                                         www.eurocopper.org
Distribution transformers : economic savings
 potential
                                19 TWh annual savings potential
                                 19 TWh annual savings potential
                                  by switching to energy efficient
                                   by switching to energy efficient
                                     distribution transformers
                                      distribution transformers

        € 1 Billion                                                        € 5 Billion
                                                                          investment
          annual                           Economic
                                                                         saved for new
         operating                          impact                        generation
        costs saved
                                                                            capacity




                     Lower Life Cycle                           A reduced
                     Cost — IRR from                          dependency on
                       10% to 70%                           fossil fuel imports




www.leonardo-energy.org                                                     www.eurocopper.org
Transformers : barriers to be removed
                                                                                                                                                                                                                  80% of EU distribution
                                                                                            Regulatory Models to integrate Life                                                                                  transformers population
                                                                                             Regulatory Models to integrate Life                                                                                    belong to electricity
                                                                                                   Cycle Cost analysis
                                                                                                    Cycle Cost analysis                                                                                          distribution companies,
                                                                                                                                                                                                                whose activity is regulated


   Life Cycle Cost Analysis                                                                        Current Regulatory Practice                                                                   Regulatory Model Proposal
           The higher efficiency,                                                                Discourages investments in                                                                 Do not remove benefits
            the higher benefit                                                                      efficient transformers                                                                before a period long enough
         yr 0

                yr 2

                       yr 4

                              yr 6

                                     yr 8




                                                                                                       yr 0

                                                                                                              yr 2

                                                                                                                     yr 4

                                                                                                                            yr 6

                                                                                                                                   yr 8




                                                                                                                                                                                                  yr 0

                                                                                                                                                                                                         yr 2

                                                                                                                                                                                                                 yr 4

                                                                                                                                                                                                                        yr 6

                                                                                                                                                                                                                               yr 8
                                            yr 10

                                                    yr 12

                                                            yr 14

                                                                    yr 16

                                                                            yr 18

                                                                                    yr 20




                                                                                                                                          yr 10

                                                                                                                                                  yr 12

                                                                                                                                                          yr 14

                                                                                                                                                                  yr 16

                                                                                                                                                                          yr 18

                                                                                                                                                                                  yr 20




                                                                                                                                                                                                                                      yr 10

                                                                                                                                                                                                                                              yr 12

                                                                                                                                                                                                                                                      yr 14

                                                                                                                                                                                                                                                              yr 16

                                                                                                                                                                                                                                                                      yr 18

                                                                                                                                                                                                                                                                              yr 20
   NPV




                                                                                                 NPV




                                                                                                                                                                                           NPV
                                                                                                                                                                                          2, 3 or more regulatory periods
          Investment premium is                                                                           Benefits removed at
                                                                                                                                                                                               before benefit removal
         recovered and generates                                                                        regulatory review avoid
                                                                                                                                                                                           encourages renovation using
               positive NPV                                                                                  positive NPV
                                                                                                                                                                                                efficient equipment

                                     Legend:                          Investment premium (green), energy savings (yellow), net present value (red)
                                                                      400 kVA C-C’ vs. A-A’; 5% discount rate (real); energy valued at 35 €/MWh


                                                                                                       Source : Endesa Distribución
www.leonardo-energy.org                                                                                                                                                                                                 www.eurocopper.org
How Copper saves CO2 emissions in
 transformers

                                                                                                                   AA’     CC’ C-Amorphous
                                                                                          Materials
                                                                                          Mech steel          Kg         850    725     887
                                                                            Increasing
                            1.6 MVA                                           Copper      Copper              Kg         505    725     1225
                                                                                          Electrical steel    Kg         1100   1200    1550
                                                                                          Parameters
          +1 kg Cu -> - 0.5 Ton CO2                                         Increasing
                                                                                          Rating             MVA         1.6     1.6     1.6
                                                                             Efficiency   Load Losses         kW         17      14      14
                                                                                          No-Load Losses      kW         2.6     1.7     0.4
                                                                                          Lifetime           Years       30      30      30
                   Eco-design analysis
                   Eco-design analysis                                                    Load                %          50      50      50
                                                                                          Annual operation   Hours       8760   8760    8760
                                                                                          Environmental balance
  Manufacturing                 Utilisation              End of Life
                                                                                          Primary Energy      GJ     19750      15061   11439
                                                                            Decreasing
                                                                               CO2        CO2                Tons        897    683     522
 One kg of copper takes 3 kg of CO2e emissions in production, while at
 the end of life, the kg copper can be recycled for the next application.            http://www.leonardo-energy.org/webfm_send/361




www.leonardo-energy.org                                                                                            www.eurocopper.org
The European Copper Institute : a long tradition in
 promoting efficient distribution transformers

                                  Strategies for Development and
                                  Strategies for Development and
                                   Diffusion of Energy Efficient
                                    Diffusion of Energy Efficient
                                     Distribution Transformers
                                      Distribution Transformers




                          ECI participates in this program.
                          SEEDT builds the business case for development and
                          diffusion of energy efficient distribution transformers.
                          A project within the framework of the Intelligent
                          Energy program of the European Union.
                          For the SEEDT project, ECI works in collaboration with
                          the NTUA (Greece), Wuppertal Institute (Germany),
                          and ENDESA (Spain).




www.leonardo-energy.org                                                              www.eurocopper.org
The European Copper Institute : removing barriers
 through education

                            Leonardo
                             Leonardo
                          ENERGY blog
                          ENERGY blog



                                          Reports the
                                          latest
                                          developments
                                          in
                                          transformer
                                          efficiency
                                          standards,
                                          regulation,
                                          and
                                          technology.




www.leonardo-energy.org                    www.eurocopper.org
Removing barriers by active regulatory actions

    EU Regulators Group-ERGEG                                       REPORT                                           WEBINAR
     Treatment of Electricity                          Insuficient Regulatory                           Regulatory Incentives for
     Losses - CONSULTATION                           Incentives for Investments                       Energy Efficiency in Networks
                                                       in Electricity Networks




        Active contribution to                            Pointing at the savings                                Spreading the
         promote regulatory                                  potential and the                              regulatory proposals to
                reform                                     regulatory proposals                                the professionals




                                                                           REGULATORY
                                                                            REGULATORY
                                                                              MODEL
                                                                               MODEL


          http://www.leonardo-energy.org/huge-potential-energy-savings-improved-regulatory-models-efficient-investment-and-loss-reduction




www.leonardo-energy.org                                                                                                www.eurocopper.org
Index

          Electric Motors
          Transformers
          Renewables
          Proposals for local actions




www.leonardo-energy.org                 www.eurocopper.org
RENEWABLES




www.leonardo-energy.org                www.eurocopper.org
Renewables : key figures
                             EU to reach 20% renewables in
                              EU to reach 20% renewables in
                           final energy consumption by 2020
                            final energy consumption by 2020

                    40%
                                          2005      2020
                    35%
                    30%
                                                           Electricity : :from 15% to 35%
                                                            Electricity from 15% to 35%
                    25%
                    20%                                    Heating : :from 10% to 25%
                                                            Heating from 10% to 25%
                    15%
                                                           Fuels : :from 1% to 10%
                                                            Fuels from 1% to 10%
                    10%
                      5%
                      0%
                           Electricity    Heating           Fuel




www.leonardo-energy.org                                               www.eurocopper.org
Renewables : key figures
                                          EU to reach 20% renewables in
                                           EU to reach 20% renewables in
                                        final energy consumption by 2020
                                         final energy consumption by 2020
                     Malta
             Luxembourg
                 Hungary                                                            2005
                   Cyprus
              ch Republic                                                           2020
                  Belgium
              ak Republic
             Netherlands                8.5%          20%
             ed Kingdom
                   Poland
                   Ireland
                 Bulgaria
                      Italy
                  Greece
                Germany
                     Spain
                Lithuania
                   France
                 Romania
                 Slovenia
                  Estonia
                Denmark
                 Portugal
                   Austria
                  Finland
                    Latvia
                  Sweden
                              0%   5%     10%   15%   20%   25%   30%   35%   40%      45%      50%




www.leonardo-energy.org                                                                    www.eurocopper.org
Support policy as the main driver for
 renewables




www.leonardo-energy.org                  www.eurocopper.org
Support policy as the main driver for
 renewables

                                                                                          Fiscal /
                           Feed In        Quota +                 Tendering
                                                                                         Financial
                            Tariff         TGC                    / Bidding
                                                                                        Incentives




     Cost allocation      To consumers   To Generators            To Generators          To Generators
      Cost allocation



     Administrative       Depends on      Depends on
      Administrative                                              YES, complex           YES, complex
        burden             the form        the form
         burden


       Long term
        Long term                                                  Depends on            NO, terms can
     confidence for           YES            NO
      confidence for                                                the form             easily change
       investors
        investors


                                                         http://www.leonardo-energy.org/webfm_send/2757




www.leonardo-energy.org                                                           www.eurocopper.org
Support policy as the main driver for
 renewables

                                                                                                Fiscal /
                             Feed In            Quota +                 Tendering
                                                                                               Financial
                              Tariff             TGC                    / Bidding
                                                                                              Incentives



     Encourages
      Encourages           YES, possible       YES, possible            YES, possible          YES, possible
  specific technology
   specific technology


   Takes technology       Depends on the
    Takes technology                            Depends on               Depends on             Depends on
     learning into         form (Germany
      learning into                              the form                 the form               the form
        account           degression tariff)
         account

       Suitable for                                                                                YES,
        Suitable for                           NO, as market            NO, as market
      immature RE               YES                                                           stimulates new
       immature RE                               oriented                 oriented
         market
          market                                                                               tech projects


                                                               http://www.leonardo-energy.org/webfm_send/2757




www.leonardo-energy.org                                                                 www.eurocopper.org
Barriers to renewables development



                  Legal /                                              Technology /                  Grid
               Administrative                                            Research                 Integration


       National, Regional and                               Development of technical      Grid infrastructure
       Local coordination.                                  specifications                development
       Responsibilities definition                          European Standards            Interconnections
       and share                                            (eco-label, energy-label…)    between countries
       Precise deadlines for                                Needed more EU                Rules for bearing and
       planning approval                                    Research interaction and      sharing the costs of grid
       Lighter process for smaller                          cooperation                   development and
       projects                                             Improve spreading the         reinforcement
       Administrative charges                               quickly evolving technology   Provide physical access to
       transparent and cost-                                of renewables                 grid
       related                                                                            Dispatching priority
As indicated in the proposal for Directive by EC :                                        Dealing with variability
http://ec.europa.eu/energy/climate_actions/doc/2008_res_directive_en.pdf                  and forecast ability



www.leonardo-energy.org                                                                        www.eurocopper.org
Special accent by the European Commission:
   INFORMATION AND TRAINING



                                           Information on
      Information on                                                          CERTIFICATION             Guidance for
                                          BENEFITS, COSTS
         SUPPORT                                                                 schemes               PLANNERS and
                                            and ENERGY
        MEASURES                                                                                        ARCHITECTS
                                            EFFICIENCY


    To be made                           Of equipment and                  For installers of small-   Objective : consider
    available to the                     systems for the                   scale RE:                  the use of RE and
    broad public                         use of electricity,                   Biomass boilers        district heating &
    (consumers,                          heating and                           and stoves             cooling when
    builders, installers,                cooling from                          Solar Photovoltaic     planning, designing,
    architects…)                         renewable                             and Thermal            building and
                                         sources                               systems                renovating industrial
                                                                                                      or residential areas
                                                                               Heat pumps

As indicated in the proposal for Directive by EC :
http://ec.europa.eu/energy/climate_actions/doc/2008_res_directive_en.pdf




www.leonardo-energy.org                                                                                 www.eurocopper.org
The European Copper Institute : removing barriers
 for renewables

                            Leonardo
                             Leonardo
                          ENERGY blog
                          ENERGY blog

                                          Technology
                                          introduction,
                                          project
                                          assessment,
                                          engineering
                                          practice,
                                          support
                                          mechanisms,
                                          addressing
                                          barriers, case
                                          studies, how
                                          to manuals
                                          for small
                                          scale…




www.leonardo-energy.org                    www.eurocopper.org
Removing barriers for renewables:
  Leonardo Energy PARTNERSHIP Program

      Partnership with RETSCreen                                                                                            Partnership with European      Partnership with ESTELA /
    Addressing LEGAL issues and                                                                                              RENEWABLE ENERGY                 PROTERMOSOLAR
       PROJECT assessment                                                                                                  RESEARCH Centres Agency         European Solar Thermal
                                                                                                                                                            Electricity Association
           L e g a l A s p e c t s o f C le a n E n e r g y P r o j e c t s
                        C le a n E n e r g y P r o je c t A n a ly s is C o u r s e
                              B io m a s s F ir e d P o w e r P l a n t, U S A




                                                                                                                          Supporting and spreading 43
                             P h o to C r e d it : A n d r e w C a r lin , T r a c y O p e r a t o r s / N R E L P I X




           Clean Energy Project                                                                                          PROMINENT RESEARCH GROUPS         Spreading the technology,
              Analysis Tools                                                                                                 from all over Europe in        congress contributions,
           Intensive WEBINAR                                                                                             strengthening and rationalizing     relevance of CSP as a
                PROGRAM                                                                                                        European Research            dispatchable technology




                                                         LEGAL / /                                                                     TECHNOLOGY / /                     GRID
                                                          LEGAL                                                                         TECHNOLOGY                         GRID
                                                      ADMINISTRATIVE                                                                     RESEARCH                     INTEGRATION
                                                       ADMINISTRATIVE                                                                     RESEARCH                     INTEGRATION

Other relevant partners for renewables : REEEP / Reegle, Green Power Labs, CSP Today, Deuman Climate Change Consulting…




www.leonardo-energy.org                                                                                                                                             www.eurocopper.org
Removing barriers for renewables

        IN-DEPTH ANALYSIS              WEBINAR PROGRAM           TECHNOLOGY INTRODUCTION
     Grid Integration, Support       Generation of a wide and    Concentrating Photovoltaics
            Mechanisms             INTERACTIVE COMMUNITY of       Concentrated Solar Power
                                        PROFESSIONALS




                                                                  Documentaries, Webinars,
                                                                   Partnership with ISFOC,
                                    Weekly : Renewables, Clean       Estela Solar, 1400+
                                    Development Mechanism…        professionals community




                    LEGAL / /                       GRID                    TECHNOLOGY / /
                     LEGAL                           GRID                    TECHNOLOGY
                 ADMINISTRATIVE                 INTEGRATION                   RESEARCH
                  ADMINISTRATIVE                 INTEGRATION                   RESEARCH




www.leonardo-energy.org                                                    www.eurocopper.org
Concrete contribution to European Commission
 objectives on INFORMATION and TRAINING
     Briefing WEBINARS and                                                                        Partnership with REEGLE            SMALL SCALE RENEWABLES
    WEBCASTS introducing the                                                                                                              How To Manuals
     EU Directive and Support
            Measures
                 100%

                 90%    Indicative Trajectory

                 80%    2020 Target

                 70%
                                                                     65%    65%

                 60%

                 50%
                                                       45%    45%

                 40%
                                          35%   35%

                 30%
                         25%     25%

                 20%

                 10%

                  0%
                         2011    2012    2013   2014   2015   2016   2017   2018   2019   2020




    Valuable resource center for
        project developers                                                                          Renewables and Energy
                                                                                                                                      Photovoltaics, Wind, Heat
                                                                                                 Efficiency dedicated SEARCH
                                                                                                                                               Pumps
                                                                                                            ENGINE




                                                                                      Information on                 CERTIFICATION               Guidance for
      Information on
                                                                                   BENEFITS, COSTS and                 schemes                  PLANNERS and
   SUPPORT MEASURES
                                                                                   ENERGY EFFICIENCY                                             ARCHITECTS




www.leonardo-energy.org                                                                                                                       www.eurocopper.org
Copper presence in renewables
                             Copper as a fundamental component
                             Copper as a fundamental component
                                of Balance Of Plant / /System
                                 of Balance Of Plant System
                                 for Distributed Generation
                                  for Distributed Generation




                          2-3 Tonnes Cu / MW     4 Tonnes Cu / MW




www.leonardo-energy.org                                             www.eurocopper.org
Index


          Electric Motors
          Transformers
          Renewables
          PV case study




www.leonardo-energy.org     www.eurocopper.org
Optimization of PV balance of plant :
                       cables and transformer



        Fix structure          Optimal slope
                                Optimal slope    Location : :South
                                                  Location South
         Fix structure
                               South oriented
                                South oriented        Spain
                                                       Spain


                                 Slope 33º       Latitude 37,38º




www.leonardo-energy.org                               www.eurocopper.org
Technical – Economic Model

                                                      Economic / /
                                                       Economic
             Inputs
              Inputs                 Computing
                                      Computing        Financial
                                                        Financial
                                                        Results
                                                         Results

            METEO                  PV BEHAVIOUR        FINANCIAL
        Solar Radiation            Modules Temp      NPV of entire
        Ambient                    Hourly current,   power plant
        Temperature                voltage, power
        Wind speed
                                                     CABLE SIZING
                                  CABLE BEHAVIOUR
         PV MODULES                                  Minimizing the
                                   Cables Temp       Total Cost of
        Performance
                                   Hourly current,   Cables
        Sensitivity to             power loss
        radiation and
        temperature                                   BOP DESIGN
                                  BOP BEHAVIOUR      Optimal Trafo
                                   Trafo             Class and
        PLANT LAYOUT                                 operation mode
                                   Earthing
        Length of cables




www.leonardo-energy.org                                  www.eurocopper.org
Inputs – PV modules and Plant layout

                                                                                                            PV modules
                                                                                                            PV modules                                                                                                                                Plant layout
                                                                                                                                                                                                                                                       Plant layout

                                                                                                                                                                                                                                           88Sub-Fields                   88Arrays per
                                                                                                                                                                                                                                                                             Arrays per
                                                                                                                                                                                                                                              Sub-Fields                    Sub-Field
                                                                                                                                                                                                                                                                             Sub-Field
                                                                                                                                                                                                                                                 4m   20Wmod

                                                                                                                                                                                                                                                                Array 1    Array 2         Array 3   Array 4

                                                                                                                                                                                                                                         SF1           SF2
                                                                                                                                                                                                                                                                                 SF1                           d
                                                                                                                                                                                                                                         JB1           JB2

                                                                                                                                                                                                                                                                Array 5    Array 6         Array 7   Array 8   a

                   RADIATION CURVES                          230 W nominal power                            TEMPERATURE CURVES                   130 W nominal power
                                                                                                                                                                                                                                         SF3           SF4
                   Radiation (W/m2) Current (A)              Voltage (V) Power (W)                           Module T (ºC) Current (A)           Voltage (V) Power (W)                                                                                                               JB1
                                  0         0,0                    25,0         0,0                                     25         7,9                 29,0      230,0
                                200         1,7                    26,0       45,0                                      40         8,2                 27,0      221,4                                                                   JB3           JB4
                                400         3,1                    27,0       85,0                                      55         8,6                 25,0      215,0
                                600         4,6                    28,0     130,0                                       70         8,9                 23,0      204,7
                                800
                               1000
                                            6,3
                                            7,9
                                                                   28,5
                                                                   29,0
                                                                            180,0
                                                                            230,0                     14%
                                                                                                                                                                                                                                                                   -
                                                                                                            Voltage=       V0 * (1- Vf * (Tmodule - 25))
                   Voltage=             A*Rad^2+B*Rad+C
                                                                      A -2,00E-06                           Current=       I0 * (1+ If * (Tmodule-25))
                                                                                                                                                                        Vf -0,46%
                                                                                                                                                                         If 0,27%                                                        SF5           SF6
                                                                      B 0,0061                              Power =        P0 *(1 - Pf * (Tmodule - 25))                Pf -0,24%
                                                                      C 24,946

                   Current =           D*Rad + E
                                                                                                                                                                                                                                         JB5           JB6
                                                                      D 0,0078
                                                                      E 0,0397


        35,0                                                                                  250,0


        30,0
                                             Radiation Curves
                                                                                                                                                                                                                                         SF7           SF8
                                                                                              200,0
        25,0
                                               2
                                     y = -2E-06x + 0,0061x + 24,946                                                                                                                                                                      JB7           JB8
                                               R2 = 0,9974                                    150,0
        20,0
 V, A




        15,0
                                                                                              100,0
                                                                                                                                                                                                                                   Cable Field                                                                 +
        10,0                                                                                                                                                                                        Lmod     1,64 m
                                                                                              50,0                                                                                                  Wmod     0,99 m    1,6236 m2
         5,0
                                                                       y = 0,0078x + 0,0397
                                                                            2
                                                                           R = 0,9993
                                                                                                                                                                                                   Lcable      1m
         0,0                                                                                0,0                                                                                                    Scable      4 mm2

                                                                                                                                                                                                                                                                          Cable module
               0               200             400            600          800           1000
                                                     W/m2                                                                                                                           Max Peak Power Voltage   29,5 V
                                                                                                                                                                                    Max Peak Power Current   7,79 A
                                                                                                                                                                                           Max Peak Power     230 W
                                                                                                            Tmodule = Tair + 45*Rad/1000 * [1 - 10%*(Wind_speed - 1)]
          Current (A)                          Voltage (V)                   Power (W)                                     Rad (W/m2)
          Polinómica (Voltage (V))             Lineal (Current (A))                                                        Wind_speed (m/s)                                                                  4314




www.leonardo-energy.org                                                                                                                                                                                                                                        www.eurocopper.org
Inputs - Investment

                          3 €/W
                           3 €/W   Administrative tasks (grid
                           €/W
                                   connection, municipal permits…)
                                   Project and site management

                                   PV modules

                                   Inverter

                                   Support Structure

                                   Security systems

                                   Work force (days)




www.leonardo-energy.org                       www.eurocopper.org
Inputs – Business model along 25 years
       Years                                             0      1      2      3     …     25
       Annual generation                       MWh            373    370    367     …     308
       Feed In Tariff                          €/MWh          280    284    288     …     400
       Gross Income                            k€             104    105    106     …     123
       Operation costs                         k€               -8     -8     -8    …     -10
       EBITDA                                  k€              96     97     97     …     113
       Plant Amortization                      years            1      1      1     …       0
       Plant Amortization                      k€              -58    -58   -58     …       0
       EBIT                                    k€              38     39     39     …     113
       Loan Interests                          k€              -24    -23   -21     …       0
       EBT                                     k€              14     16     18     …     113
       Taxes                                   k€               -4     -5     -5    …     -34
       Net Income                              k€              10     11     13     …      79
       Cash Flow (Net Income + Amortization)   k€              68     69     71     …      79
       Equity                                  k€      -209                         …
       Loan amortization                       k€              -31    -32   -34     …       0
       Project Cash Flow                       k€      -209    37     37     37     …      79
       Cumulated Project Cashflow              k€      -209   -172   -135   -98     …    1221




www.leonardo-energy.org                                                     www.eurocopper.org
Outputs: maximizing NPV

                   Nominal Power                                        220,8   kWpeak
                   Investment                                            694    k€
                   Modules - cable                                         4    mm2
                   Arrays - cable                                          6    mm2
                   Field - Cable                                          70    mm2
                   Voltage drop                                         1,2%
                   IRR                                                19,46%
                   NPV                                                  536,1   k€
                   Cables : Life Cycle Cost                             18,81   k€
                   Trafo : Total Cost of Ownership                       22,6   k€
                   Trafo Rated Power                                     240    kVA
                   Trafo Type                                    Amorphous
                   Trafo Operation                         Connected at night
                   Total Copper (cable, earthing, trafo)                 898    kg
                   Copper intensity                                      4,07   Tonnes / MW




www.leonardo-energy.org                                                                  www.eurocopper.org
Outputs: minimizing Life Cycle Cost of Cables

                          Nominal Power                                        220,8   kWpeak
                          Investment                                            694    k€
                          Modules - cable                                         4    mm2
                          Arrays - cable                                          6    mm2
                          Field - Cable                                          70    mm2
                          Voltage drop                                         1,2%
                          IRR                                                19,46%
                          NPV                                                  536,1   k€
                          Cables : Life Cycle Cost                             18,81   k€
                          Trafo : Total Cost of Ownership                       22,6   k€
                          Trafo Rated Power                                     240    kVA
                          Trafo Type                                    Amorphous
                          Trafo Operation                         Connected at night
                          Total Copper (cable, earthing, trafo)                 898    kg
                          Copper intensity                                      4,07   Tonnes / MW




www.leonardo-energy.org                                                                      www.eurocopper.org
Outputs: minimizing other BOP (Trafo TCO)

                          Nominal Power                                        220,8   kWpeak
                          Investment                                            694    k€
                          Modules - cable                                         4    mm2
                          Arrays - cable                                          6    mm2
                          Field - Cable                                          70    mm2
                          Voltage drop                                         1,2%
                          IRR                                                19,46%
                          NPV                                                  536,1   k€
                          Cables : Life Cycle Cost                             18,81   k€
                          Trafo : Total Cost of Ownership                       22,6   k€
                          Trafo Rated Power                                     240    kVA
                          Trafo Type                                    Amorphous
                          Trafo Operation                         Connected at night
                          Total Copper (cable, earthing, trafo)                 898    kg
                          Copper intensity                                      4,07   Tonnes / MW




www.leonardo-energy.org                                                                      www.eurocopper.org
Impact of economic cable sizing




      PV module cable
       PV module cable                    Array Cable
                                           Array Cable                              Field Cable
                                                                                     Field Cable
        -

                                                                                     SF1           SF2
                                Array 1    Array 2         Array 3   Array 4
                                                                                     JB1            JB2




                                                                                     SF3           SF4
                                Array 5    Array 6         Array 7   Array 8         JB3            JB4

                           +
                                                     JB1                             SF5           SF6
                                                                     5Wmod
            Cable module                                                             JB5            JB6




                                                                                     SF7           SF8
                                                                                     JB7            JB8


                                                                               Cable Field




www.leonardo-energy.org                                                                    www.eurocopper.org
Design codes

                                                                           Maximum
                                                                            Maximum
                      Maximum
                       Maximum                                         Allowed Voltage
                                                                        Allowed Voltage
                  Allowed Current
                   Allowed Current                                           Drop
                                                                              Drop
 Cable
  Cable
position
 position
                                                               Maximum Voltage Drop
                                                               between PV generator and
                                        Cable                  grid connection : 1,5%
                                         Cable
                                        type
                                         type

                                                               Total Voltage Drop :
                                                               modules + arrays + field

                                                                                L .I
                                                                        ΔV =
                                                                                γ .S
      Cable                          Maximum
       Cable                          Maximum
     Diameter                         Current
      Diameter                         Current
                                                                            Standard UNE 20460-5-523 (2004)

                                          Low Voltage Code - REBT (2002) - ITC-BT 40 (Low Voltage Generators)



www.leonardo-energy.org                                                                 www.eurocopper.org
Design codes

                                                                                           Maximum
                                                                                            Maximum
                              Maximum
                               Maximum                                                 Allowed Voltage
                                                                                        Allowed Voltage
                          Allowed Current
                           Allowed Current                                                   Drop
                                                                                              Drop
  MODULES                                                           MODULES
                              Maximum current           7,79 A                        Maximum current     7,79 A
                                                                                        Cable Section     4,00 mm2
                 Correction factor for LV generators    25%
                                                                                              Lenght        30 m
                  Correction factor for Temperature       0,9
                                                                                       Voltage Drop      1,25 V
     Correction factor for direct exposure to sunrays       1
                              Corrected current         10,82 A     ARRAYS
       Table1 (air tray) - XLPE2 & "F" configuration     1,5 mm2                      Maximum current     7,79 A
                                                                                        Cable Section     6,00 mm2
  ARRAYS                                                                                      Lenght        47 m
                              Maximum current            7,79 A                        Voltage Drop      1,31 V
                 Correction factor for LV generators     25%
                  Correction factor for Temperature       0,9       FIELD
     Correction factor for direct exposure to sunrays     0,9                         Maximum current    62,32 A
                              Corrected current         12,02 A                         Cable Section    50,00 mm2
       Table1 (air tray) - XLPE2 & "F" configuration      1,5 mm2                             Lenght      138 m
                                                                                       Voltage Drop      3,66 V
  FIELD
                              Maximum current           62,32 A
                 Correction factor for LV generators     25%                       System Voltage       443     V
                              Corrected current         77,90 A
                                                                                Total Voltage Drop      6,2     V
                      Table 2 (underground) XLPE2         16 mm2
                                                                              Relative Voltage Drop   1,4%          < 1,5 %




www.leonardo-energy.org                                                                                       www.eurocopper.org
Design codes – Results

                                       Section
                                                         Current   Voltage Drop
                                       (mm2)
                                    Modules                1.5          4
                                       Arrays              1.5          6
                                        Field              16          50

            Nominal Power                           kWpeak             220,8
            Investment                              k€                 694
            Modules - cable                         mm2                 4
            Arrays - cable                          mm2                 6
            Field - Cable                           mm2                 50
            Voltage drop                                               1,4%


            NPV                                     k€                 535,4
            Cables : Life Cycle Cost                k€                 22,00
            Total Copper (cable, earthing, trafo)   kg                 769
            Copper intensity                        Tonnes / MW        3,48




www.leonardo-energy.org                                                           www.eurocopper.org
Going beyond design codes: economic sizing
                                               Investment       7796 €       11500 €€         +3704 €€ (+48%)
                                                Investment       7796 €       11500            +3704 (+48%)
                             Section                                        Economic
                                               Current       Voltage Drop
                             (mm2)                                           Sizing
                          Modules                1.5              4           10
                             Arrays              1.5              6           10
                              Field              16              50           70

  Nominal Power                           kWpeak                220,8         220,8
  Investment                              k€                     694          697
  Modules - cable                         mm2                     4            10
  Arrays - cable                          mm2                     6            10
  Field - Cable                           mm2                     50           70
  Voltage drop                                                   1,4%         0,9%

                                                                                              ++ 0,4 k€ (0,08%)
                                                                                                0,4 k€ (0,08%)
  NPV                                     k€                    535,4         535,8
  Cables : Life Cycle Cost                k€                    22,00         20,11            - - 1,8 k€ (8,2%)
                                                                                                 1,8 k€ (8,2%)
  Total Copper (cable, earthing, trafo)   kg                     769          1060
  Copper intensity                        Tonnes / MW            3,48         4,80




www.leonardo-energy.org                                                                 www.eurocopper.org
Thank you!




                                                 Sergio Ferreira
                          Fernando Nuño
                                                 Energy & Electricity
                          Energy & Electricity
                                                 Project Manager
                          Project Manager
                                                 Area of Energy Efficiency,
                          Area of Renewables
                                                 Motors, Ecodesign
                          fng@eurocopper.org
                                                 saf@eurocopper.org




www.leonardo-energy.org                                                www.eurocopper.org

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The potential of Energy Efficiency through motors and transformers in Europe

  • 1. Copper Contribution to Renewables and Energy Efficiency Fernando Nuño European Copper Institute fng@eurocopper.org ICREPQ March 2010 Granada, Spain
  • 2. The European Copper Institute (ECI) Non profit Non profit Network of Network of Mission Mission organisation organisation Associations Associations Representing the Brussels based Communicate world's mining headquarters with copper's companies and a network of 11 essentiality for the European Copper health, copper industry Development technology and Associations quality of life. www.leonardo-energy.org www.eurocopper.org
  • 3. Energy Efficiency and Renewables vs CO2 abatement cost http://lightbucket.files.wordpress.com/2008/05/carbonabatement800.jpg www.leonardo-energy.org www.eurocopper.org
  • 4. Index Electric Motors Transformers Renewables PV case study www.leonardo-energy.org www.eurocopper.org
  • 6. Electric motors : key figures 65% of EU industrial 65% of EU industrial electricity use electricity use 202 TWh //year savings potential 202 TWh year savings potential by switching to energy efficient motor driven by switching to energy efficient motor driven systems systems http://www.leonardo-energy.org/high-efficiency-motor-systems-0 www.leonardo-energy.org www.eurocopper.org
  • 7. Electric motors : electricity savings potential 202 TWh annual savings potential 202 TWh annual savings potential by switching to energy efficient motor by switching to energy efficient motor driven systems driven systems Total 7% of total Electricity amount of electricity System EU network consumption electricity of EU impact losses 35 nuclear power 130 fossil fuel power 1.5 times the EU’s total plants (1000 MW) plants (350 MW) 2008 wind capacity (142 70% load factor 50% load factor TWh generated in 2008) www.leonardo-energy.org www.eurocopper.org
  • 8. Electric motors : GHG savings potential 202 TWh annual savings potential 202 TWh annual savings potential by switching to energy efficient motor by switching to energy efficient motor driven systems driven systems 100 Million About 20% of the GHG emission Tonnes GHG reduction in EU annually impact between 1990 and CO2 saved 2010 (400 - 500 MT)* Significant reductions in NOx, SO2, heavy metal, and dust emissions *Source : Report of the review of the initial report of the European Community, FCCC/IRR/2007/EC. UNFCCC, 15 February 2008. 2008 GHG inventories 1990-2006 (submissions to UNFCCC) www.leonardo-energy.org www.eurocopper.org
  • 9. Electric motors : economic savings potential 202 TWh annual savings potential 202 TWh annual savings potential by switching to energy efficient motor by switching to energy efficient motor driven systems driven systems € 10 Billion € 50 Billion investment annual Economic saved for new operating impact generation costs saved capacity Lower Life Cycle 6% reduction on Cost — a typical fossil fuel imports reduction of 35% www.leonardo-energy.org www.eurocopper.org
  • 10. Electric motors : barriers to be removed High efficiency motors (Eff1) represent only 12% of the market in the EU. If High efficiency motors (Eff1) represent only 12% of the market in the EU. If energy efficient motor systems have in the large majority of the cases the lowest energy efficient motor systems have in the large majority of the cases the lowest Life Cycle Cost (LCC), why is the adoption rate so slow? Life Cycle Cost (LCC), why is the adoption rate so slow? Split Budgets : purchase Existing stocks : back- department and operating up spares of the same type costs managers need to and efficiency in the make a common approach warehouses, even if LCC is on Life Cycle Cost basis higher Lack of Information : Long Life Cycle : 20 years. A poorly-reasoned education is needed in purchasing decision will terms of definitions and Life have a negative impact Cycle Cost lasting for 20 years. www.leonardo-energy.org www.eurocopper.org
  • 11. How Copper saves CO2 emissions in motors Type 1 Type 2 Type 3 Materials Aluminium Kg 3,5 3,5 4 Increasing 22 kW Copper Copper Kg 8,8 12,9 13,9 Electrical steel Kg 108 108 108 Parameters +1 kg Cu -> - 3 Tons CO2 Increasing Rating Kw 22 22 22 Efficiency Efficiency % 89.5 91.8 92.6 Lifetime Years 20 20 20 Load % 50 50 50 Eco-design analysis Eco-design analysis Annual Hours 4380 4380 4380 operation Environmental balance Manufacturing Utilisation End of Life Primary Energy GJ 1233 940 841 Decreasing CO2 CO2 Tons 56 43 38 Given that one kg of copper takes 3 kg of CO2e emissions in production the environmental payback is more than a factor 1000, while at the end of life, the kg copper can be recycled for the next application. http://www.leonardo-energy.org/webfm_send/359 www.leonardo-energy.org www.eurocopper.org
  • 12. The European Copper Institute : a long tradition in promoting efficient motor systems European Motor European Motor Challenge Challenge Program Program ECI supports this program launched in 2003 Voluntary program of European Commission focused on improving the efficiency of motor driven systems www.leonardo-energy.org www.eurocopper.org
  • 13. The European Copper Institute : removing barriers through education Leonardo Leonardo ENERGY blog ENERGY blog Reports the latest developments in motor efficiency standards, case studies, etc. www.leonardo-energy.org www.eurocopper.org
  • 14. The European Copper Institute : removing barriers through education Policy Seminars Technology Eco-design Briefings on the Web Diffusion www.leonardo-energy.org www.eurocopper.org
  • 15. Removing barriers for motors EDUCATION Lack of Long Life information Cycle Split Existing Budgets stocks www.leonardo-energy.org www.eurocopper.org
  • 16. Index Electric Motors Transformers Renewables Proposals for local actions www.leonardo-energy.org www.eurocopper.org
  • 18. Distribution transformers : key figures 222 TWh EU electricity 222 TWh EU electricity network losses network losses 19 TWh //year savings potential 19 TWh year savings potential by switching to energy efficient distribution by switching to energy efficient distribution transformers transformers http://www.leonardo-energy.org/seedt-highlights-european-distribution-transformers www.leonardo-energy.org www.eurocopper.org
  • 19. Distribution transformers : electricity savings potential 19 TWh annual savings potential 19 TWh annual savings potential by switching to energy efficient by switching to energy efficient distribution transformers distribution transformers 9% of total 0,7% of total Electricity amount of electricity System EU network consumption electricity of EU impact losses 3 nuclear power 13 fossil fuel power 13% of EU’s total 2008 plants (1000 MW) plants (350 MW) wind capacity (142 TWh 70% load factor 50% load factor generated in 2008) www.leonardo-energy.org www.eurocopper.org
  • 20. Distribution transformers : GHG savings potential 19 TWh annual savings potential 19 TWh annual savings potential by switching to energy efficient by switching to energy efficient distribution transformers distribution transformers 10 Million About 2% of the GHG emission Tonnes GHG reduction in EU annually impact between 1990 and CO2 saved 2010 (400 - 500 MT)* Significant reductions in NOx, SO2, heavy metal, and dust emissions *Source : Report of the review of the initial report of the European Community, FCCC/IRR/2007/EC. UNFCCC, 15 February 2008. 2008 GHG inventories 1990-2006 (submissions to UNFCCC) www.leonardo-energy.org www.eurocopper.org
  • 21. Distribution transformers : economic savings potential 19 TWh annual savings potential 19 TWh annual savings potential by switching to energy efficient by switching to energy efficient distribution transformers distribution transformers € 1 Billion € 5 Billion investment annual Economic saved for new operating impact generation costs saved capacity Lower Life Cycle A reduced Cost — IRR from dependency on 10% to 70% fossil fuel imports www.leonardo-energy.org www.eurocopper.org
  • 22. Transformers : barriers to be removed 80% of EU distribution Regulatory Models to integrate Life transformers population Regulatory Models to integrate Life belong to electricity Cycle Cost analysis Cycle Cost analysis distribution companies, whose activity is regulated Life Cycle Cost Analysis Current Regulatory Practice Regulatory Model Proposal The higher efficiency, Discourages investments in Do not remove benefits the higher benefit efficient transformers before a period long enough yr 0 yr 2 yr 4 yr 6 yr 8 yr 0 yr 2 yr 4 yr 6 yr 8 yr 0 yr 2 yr 4 yr 6 yr 8 yr 10 yr 12 yr 14 yr 16 yr 18 yr 20 yr 10 yr 12 yr 14 yr 16 yr 18 yr 20 yr 10 yr 12 yr 14 yr 16 yr 18 yr 20 NPV NPV NPV 2, 3 or more regulatory periods Investment premium is Benefits removed at before benefit removal recovered and generates regulatory review avoid encourages renovation using positive NPV positive NPV efficient equipment Legend: Investment premium (green), energy savings (yellow), net present value (red) 400 kVA C-C’ vs. A-A’; 5% discount rate (real); energy valued at 35 €/MWh Source : Endesa Distribución www.leonardo-energy.org www.eurocopper.org
  • 23. How Copper saves CO2 emissions in transformers AA’ CC’ C-Amorphous Materials Mech steel Kg 850 725 887 Increasing 1.6 MVA Copper Copper Kg 505 725 1225 Electrical steel Kg 1100 1200 1550 Parameters +1 kg Cu -> - 0.5 Ton CO2 Increasing Rating MVA 1.6 1.6 1.6 Efficiency Load Losses kW 17 14 14 No-Load Losses kW 2.6 1.7 0.4 Lifetime Years 30 30 30 Eco-design analysis Eco-design analysis Load % 50 50 50 Annual operation Hours 8760 8760 8760 Environmental balance Manufacturing Utilisation End of Life Primary Energy GJ 19750 15061 11439 Decreasing CO2 CO2 Tons 897 683 522 One kg of copper takes 3 kg of CO2e emissions in production, while at the end of life, the kg copper can be recycled for the next application. http://www.leonardo-energy.org/webfm_send/361 www.leonardo-energy.org www.eurocopper.org
  • 24. The European Copper Institute : a long tradition in promoting efficient distribution transformers Strategies for Development and Strategies for Development and Diffusion of Energy Efficient Diffusion of Energy Efficient Distribution Transformers Distribution Transformers ECI participates in this program. SEEDT builds the business case for development and diffusion of energy efficient distribution transformers. A project within the framework of the Intelligent Energy program of the European Union. For the SEEDT project, ECI works in collaboration with the NTUA (Greece), Wuppertal Institute (Germany), and ENDESA (Spain). www.leonardo-energy.org www.eurocopper.org
  • 25. The European Copper Institute : removing barriers through education Leonardo Leonardo ENERGY blog ENERGY blog Reports the latest developments in transformer efficiency standards, regulation, and technology. www.leonardo-energy.org www.eurocopper.org
  • 26. Removing barriers by active regulatory actions EU Regulators Group-ERGEG REPORT WEBINAR Treatment of Electricity Insuficient Regulatory Regulatory Incentives for Losses - CONSULTATION Incentives for Investments Energy Efficiency in Networks in Electricity Networks Active contribution to Pointing at the savings Spreading the promote regulatory potential and the regulatory proposals to reform regulatory proposals the professionals REGULATORY REGULATORY MODEL MODEL http://www.leonardo-energy.org/huge-potential-energy-savings-improved-regulatory-models-efficient-investment-and-loss-reduction www.leonardo-energy.org www.eurocopper.org
  • 27. Index Electric Motors Transformers Renewables Proposals for local actions www.leonardo-energy.org www.eurocopper.org
  • 29. Renewables : key figures EU to reach 20% renewables in EU to reach 20% renewables in final energy consumption by 2020 final energy consumption by 2020 40% 2005 2020 35% 30% Electricity : :from 15% to 35% Electricity from 15% to 35% 25% 20% Heating : :from 10% to 25% Heating from 10% to 25% 15% Fuels : :from 1% to 10% Fuels from 1% to 10% 10% 5% 0% Electricity Heating Fuel www.leonardo-energy.org www.eurocopper.org
  • 30. Renewables : key figures EU to reach 20% renewables in EU to reach 20% renewables in final energy consumption by 2020 final energy consumption by 2020 Malta Luxembourg Hungary 2005 Cyprus ch Republic 2020 Belgium ak Republic Netherlands 8.5% 20% ed Kingdom Poland Ireland Bulgaria Italy Greece Germany Spain Lithuania France Romania Slovenia Estonia Denmark Portugal Austria Finland Latvia Sweden 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% www.leonardo-energy.org www.eurocopper.org
  • 31. Support policy as the main driver for renewables www.leonardo-energy.org www.eurocopper.org
  • 32. Support policy as the main driver for renewables Fiscal / Feed In Quota + Tendering Financial Tariff TGC / Bidding Incentives Cost allocation To consumers To Generators To Generators To Generators Cost allocation Administrative Depends on Depends on Administrative YES, complex YES, complex burden the form the form burden Long term Long term Depends on NO, terms can confidence for YES NO confidence for the form easily change investors investors http://www.leonardo-energy.org/webfm_send/2757 www.leonardo-energy.org www.eurocopper.org
  • 33. Support policy as the main driver for renewables Fiscal / Feed In Quota + Tendering Financial Tariff TGC / Bidding Incentives Encourages Encourages YES, possible YES, possible YES, possible YES, possible specific technology specific technology Takes technology Depends on the Takes technology Depends on Depends on Depends on learning into form (Germany learning into the form the form the form account degression tariff) account Suitable for YES, Suitable for NO, as market NO, as market immature RE YES stimulates new immature RE oriented oriented market market tech projects http://www.leonardo-energy.org/webfm_send/2757 www.leonardo-energy.org www.eurocopper.org
  • 34. Barriers to renewables development Legal / Technology / Grid Administrative Research Integration National, Regional and Development of technical Grid infrastructure Local coordination. specifications development Responsibilities definition European Standards Interconnections and share (eco-label, energy-label…) between countries Precise deadlines for Needed more EU Rules for bearing and planning approval Research interaction and sharing the costs of grid Lighter process for smaller cooperation development and projects Improve spreading the reinforcement Administrative charges quickly evolving technology Provide physical access to transparent and cost- of renewables grid related Dispatching priority As indicated in the proposal for Directive by EC : Dealing with variability http://ec.europa.eu/energy/climate_actions/doc/2008_res_directive_en.pdf and forecast ability www.leonardo-energy.org www.eurocopper.org
  • 35. Special accent by the European Commission: INFORMATION AND TRAINING Information on Information on CERTIFICATION Guidance for BENEFITS, COSTS SUPPORT schemes PLANNERS and and ENERGY MEASURES ARCHITECTS EFFICIENCY To be made Of equipment and For installers of small- Objective : consider available to the systems for the scale RE: the use of RE and broad public use of electricity, Biomass boilers district heating & (consumers, heating and and stoves cooling when builders, installers, cooling from Solar Photovoltaic planning, designing, architects…) renewable and Thermal building and sources systems renovating industrial or residential areas Heat pumps As indicated in the proposal for Directive by EC : http://ec.europa.eu/energy/climate_actions/doc/2008_res_directive_en.pdf www.leonardo-energy.org www.eurocopper.org
  • 36. The European Copper Institute : removing barriers for renewables Leonardo Leonardo ENERGY blog ENERGY blog Technology introduction, project assessment, engineering practice, support mechanisms, addressing barriers, case studies, how to manuals for small scale… www.leonardo-energy.org www.eurocopper.org
  • 37. Removing barriers for renewables: Leonardo Energy PARTNERSHIP Program Partnership with RETSCreen Partnership with European Partnership with ESTELA / Addressing LEGAL issues and RENEWABLE ENERGY PROTERMOSOLAR PROJECT assessment RESEARCH Centres Agency European Solar Thermal Electricity Association L e g a l A s p e c t s o f C le a n E n e r g y P r o j e c t s C le a n E n e r g y P r o je c t A n a ly s is C o u r s e B io m a s s F ir e d P o w e r P l a n t, U S A Supporting and spreading 43 P h o to C r e d it : A n d r e w C a r lin , T r a c y O p e r a t o r s / N R E L P I X Clean Energy Project PROMINENT RESEARCH GROUPS Spreading the technology, Analysis Tools from all over Europe in congress contributions, Intensive WEBINAR strengthening and rationalizing relevance of CSP as a PROGRAM European Research dispatchable technology LEGAL / / TECHNOLOGY / / GRID LEGAL TECHNOLOGY GRID ADMINISTRATIVE RESEARCH INTEGRATION ADMINISTRATIVE RESEARCH INTEGRATION Other relevant partners for renewables : REEEP / Reegle, Green Power Labs, CSP Today, Deuman Climate Change Consulting… www.leonardo-energy.org www.eurocopper.org
  • 38. Removing barriers for renewables IN-DEPTH ANALYSIS WEBINAR PROGRAM TECHNOLOGY INTRODUCTION Grid Integration, Support Generation of a wide and Concentrating Photovoltaics Mechanisms INTERACTIVE COMMUNITY of Concentrated Solar Power PROFESSIONALS Documentaries, Webinars, Partnership with ISFOC, Weekly : Renewables, Clean Estela Solar, 1400+ Development Mechanism… professionals community LEGAL / / GRID TECHNOLOGY / / LEGAL GRID TECHNOLOGY ADMINISTRATIVE INTEGRATION RESEARCH ADMINISTRATIVE INTEGRATION RESEARCH www.leonardo-energy.org www.eurocopper.org
  • 39. Concrete contribution to European Commission objectives on INFORMATION and TRAINING Briefing WEBINARS and Partnership with REEGLE SMALL SCALE RENEWABLES WEBCASTS introducing the How To Manuals EU Directive and Support Measures 100% 90% Indicative Trajectory 80% 2020 Target 70% 65% 65% 60% 50% 45% 45% 40% 35% 35% 30% 25% 25% 20% 10% 0% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Valuable resource center for project developers Renewables and Energy Photovoltaics, Wind, Heat Efficiency dedicated SEARCH Pumps ENGINE Information on CERTIFICATION Guidance for Information on BENEFITS, COSTS and schemes PLANNERS and SUPPORT MEASURES ENERGY EFFICIENCY ARCHITECTS www.leonardo-energy.org www.eurocopper.org
  • 40. Copper presence in renewables Copper as a fundamental component Copper as a fundamental component of Balance Of Plant / /System of Balance Of Plant System for Distributed Generation for Distributed Generation 2-3 Tonnes Cu / MW 4 Tonnes Cu / MW www.leonardo-energy.org www.eurocopper.org
  • 41. Index Electric Motors Transformers Renewables PV case study www.leonardo-energy.org www.eurocopper.org
  • 42. Optimization of PV balance of plant : cables and transformer Fix structure Optimal slope Optimal slope Location : :South Location South Fix structure South oriented South oriented Spain Spain Slope 33º Latitude 37,38º www.leonardo-energy.org www.eurocopper.org
  • 43. Technical – Economic Model Economic / / Economic Inputs Inputs Computing Computing Financial Financial Results Results METEO PV BEHAVIOUR FINANCIAL Solar Radiation Modules Temp NPV of entire Ambient Hourly current, power plant Temperature voltage, power Wind speed CABLE SIZING CABLE BEHAVIOUR PV MODULES Minimizing the Cables Temp Total Cost of Performance Hourly current, Cables Sensitivity to power loss radiation and temperature BOP DESIGN BOP BEHAVIOUR Optimal Trafo Trafo Class and PLANT LAYOUT operation mode Earthing Length of cables www.leonardo-energy.org www.eurocopper.org
  • 44. Inputs – PV modules and Plant layout PV modules PV modules Plant layout Plant layout 88Sub-Fields 88Arrays per Arrays per Sub-Fields Sub-Field Sub-Field 4m 20Wmod Array 1 Array 2 Array 3 Array 4 SF1 SF2 SF1 d JB1 JB2 Array 5 Array 6 Array 7 Array 8 a RADIATION CURVES 230 W nominal power TEMPERATURE CURVES 130 W nominal power SF3 SF4 Radiation (W/m2) Current (A) Voltage (V) Power (W) Module T (ºC) Current (A) Voltage (V) Power (W) JB1 0 0,0 25,0 0,0 25 7,9 29,0 230,0 200 1,7 26,0 45,0 40 8,2 27,0 221,4 JB3 JB4 400 3,1 27,0 85,0 55 8,6 25,0 215,0 600 4,6 28,0 130,0 70 8,9 23,0 204,7 800 1000 6,3 7,9 28,5 29,0 180,0 230,0 14% - Voltage= V0 * (1- Vf * (Tmodule - 25)) Voltage= A*Rad^2+B*Rad+C A -2,00E-06 Current= I0 * (1+ If * (Tmodule-25)) Vf -0,46% If 0,27% SF5 SF6 B 0,0061 Power = P0 *(1 - Pf * (Tmodule - 25)) Pf -0,24% C 24,946 Current = D*Rad + E JB5 JB6 D 0,0078 E 0,0397 35,0 250,0 30,0 Radiation Curves SF7 SF8 200,0 25,0 2 y = -2E-06x + 0,0061x + 24,946 JB7 JB8 R2 = 0,9974 150,0 20,0 V, A 15,0 100,0 Cable Field + 10,0 Lmod 1,64 m 50,0 Wmod 0,99 m 1,6236 m2 5,0 y = 0,0078x + 0,0397 2 R = 0,9993 Lcable 1m 0,0 0,0 Scable 4 mm2 Cable module 0 200 400 600 800 1000 W/m2 Max Peak Power Voltage 29,5 V Max Peak Power Current 7,79 A Max Peak Power 230 W Tmodule = Tair + 45*Rad/1000 * [1 - 10%*(Wind_speed - 1)] Current (A) Voltage (V) Power (W) Rad (W/m2) Polinómica (Voltage (V)) Lineal (Current (A)) Wind_speed (m/s) 4314 www.leonardo-energy.org www.eurocopper.org
  • 45. Inputs - Investment 3 €/W 3 €/W Administrative tasks (grid €/W connection, municipal permits…) Project and site management PV modules Inverter Support Structure Security systems Work force (days) www.leonardo-energy.org www.eurocopper.org
  • 46. Inputs – Business model along 25 years Years 0 1 2 3 … 25 Annual generation MWh 373 370 367 … 308 Feed In Tariff €/MWh 280 284 288 … 400 Gross Income k€ 104 105 106 … 123 Operation costs k€ -8 -8 -8 … -10 EBITDA k€ 96 97 97 … 113 Plant Amortization years 1 1 1 … 0 Plant Amortization k€ -58 -58 -58 … 0 EBIT k€ 38 39 39 … 113 Loan Interests k€ -24 -23 -21 … 0 EBT k€ 14 16 18 … 113 Taxes k€ -4 -5 -5 … -34 Net Income k€ 10 11 13 … 79 Cash Flow (Net Income + Amortization) k€ 68 69 71 … 79 Equity k€ -209 … Loan amortization k€ -31 -32 -34 … 0 Project Cash Flow k€ -209 37 37 37 … 79 Cumulated Project Cashflow k€ -209 -172 -135 -98 … 1221 www.leonardo-energy.org www.eurocopper.org
  • 47. Outputs: maximizing NPV Nominal Power 220,8 kWpeak Investment 694 k€ Modules - cable 4 mm2 Arrays - cable 6 mm2 Field - Cable 70 mm2 Voltage drop 1,2% IRR 19,46% NPV 536,1 k€ Cables : Life Cycle Cost 18,81 k€ Trafo : Total Cost of Ownership 22,6 k€ Trafo Rated Power 240 kVA Trafo Type Amorphous Trafo Operation Connected at night Total Copper (cable, earthing, trafo) 898 kg Copper intensity 4,07 Tonnes / MW www.leonardo-energy.org www.eurocopper.org
  • 48. Outputs: minimizing Life Cycle Cost of Cables Nominal Power 220,8 kWpeak Investment 694 k€ Modules - cable 4 mm2 Arrays - cable 6 mm2 Field - Cable 70 mm2 Voltage drop 1,2% IRR 19,46% NPV 536,1 k€ Cables : Life Cycle Cost 18,81 k€ Trafo : Total Cost of Ownership 22,6 k€ Trafo Rated Power 240 kVA Trafo Type Amorphous Trafo Operation Connected at night Total Copper (cable, earthing, trafo) 898 kg Copper intensity 4,07 Tonnes / MW www.leonardo-energy.org www.eurocopper.org
  • 49. Outputs: minimizing other BOP (Trafo TCO) Nominal Power 220,8 kWpeak Investment 694 k€ Modules - cable 4 mm2 Arrays - cable 6 mm2 Field - Cable 70 mm2 Voltage drop 1,2% IRR 19,46% NPV 536,1 k€ Cables : Life Cycle Cost 18,81 k€ Trafo : Total Cost of Ownership 22,6 k€ Trafo Rated Power 240 kVA Trafo Type Amorphous Trafo Operation Connected at night Total Copper (cable, earthing, trafo) 898 kg Copper intensity 4,07 Tonnes / MW www.leonardo-energy.org www.eurocopper.org
  • 50. Impact of economic cable sizing PV module cable PV module cable Array Cable Array Cable Field Cable Field Cable - SF1 SF2 Array 1 Array 2 Array 3 Array 4 JB1 JB2 SF3 SF4 Array 5 Array 6 Array 7 Array 8 JB3 JB4 + JB1 SF5 SF6 5Wmod Cable module JB5 JB6 SF7 SF8 JB7 JB8 Cable Field www.leonardo-energy.org www.eurocopper.org
  • 51. Design codes Maximum Maximum Maximum Maximum Allowed Voltage Allowed Voltage Allowed Current Allowed Current Drop Drop Cable Cable position position Maximum Voltage Drop between PV generator and Cable grid connection : 1,5% Cable type type Total Voltage Drop : modules + arrays + field L .I ΔV = γ .S Cable Maximum Cable Maximum Diameter Current Diameter Current Standard UNE 20460-5-523 (2004) Low Voltage Code - REBT (2002) - ITC-BT 40 (Low Voltage Generators) www.leonardo-energy.org www.eurocopper.org
  • 52. Design codes Maximum Maximum Maximum Maximum Allowed Voltage Allowed Voltage Allowed Current Allowed Current Drop Drop MODULES MODULES Maximum current 7,79 A Maximum current 7,79 A Cable Section 4,00 mm2 Correction factor for LV generators 25% Lenght 30 m Correction factor for Temperature 0,9 Voltage Drop 1,25 V Correction factor for direct exposure to sunrays 1 Corrected current 10,82 A ARRAYS Table1 (air tray) - XLPE2 & "F" configuration 1,5 mm2 Maximum current 7,79 A Cable Section 6,00 mm2 ARRAYS Lenght 47 m Maximum current 7,79 A Voltage Drop 1,31 V Correction factor for LV generators 25% Correction factor for Temperature 0,9 FIELD Correction factor for direct exposure to sunrays 0,9 Maximum current 62,32 A Corrected current 12,02 A Cable Section 50,00 mm2 Table1 (air tray) - XLPE2 & "F" configuration 1,5 mm2 Lenght 138 m Voltage Drop 3,66 V FIELD Maximum current 62,32 A Correction factor for LV generators 25% System Voltage 443 V Corrected current 77,90 A Total Voltage Drop 6,2 V Table 2 (underground) XLPE2 16 mm2 Relative Voltage Drop 1,4% < 1,5 % www.leonardo-energy.org www.eurocopper.org
  • 53. Design codes – Results Section Current Voltage Drop (mm2) Modules 1.5 4 Arrays 1.5 6 Field 16 50 Nominal Power kWpeak 220,8 Investment k€ 694 Modules - cable mm2 4 Arrays - cable mm2 6 Field - Cable mm2 50 Voltage drop 1,4% NPV k€ 535,4 Cables : Life Cycle Cost k€ 22,00 Total Copper (cable, earthing, trafo) kg 769 Copper intensity Tonnes / MW 3,48 www.leonardo-energy.org www.eurocopper.org
  • 54. Going beyond design codes: economic sizing Investment 7796 € 11500 €€ +3704 €€ (+48%) Investment 7796 € 11500 +3704 (+48%) Section Economic Current Voltage Drop (mm2) Sizing Modules 1.5 4 10 Arrays 1.5 6 10 Field 16 50 70 Nominal Power kWpeak 220,8 220,8 Investment k€ 694 697 Modules - cable mm2 4 10 Arrays - cable mm2 6 10 Field - Cable mm2 50 70 Voltage drop 1,4% 0,9% ++ 0,4 k€ (0,08%) 0,4 k€ (0,08%) NPV k€ 535,4 535,8 Cables : Life Cycle Cost k€ 22,00 20,11 - - 1,8 k€ (8,2%) 1,8 k€ (8,2%) Total Copper (cable, earthing, trafo) kg 769 1060 Copper intensity Tonnes / MW 3,48 4,80 www.leonardo-energy.org www.eurocopper.org
  • 55. Thank you! Sergio Ferreira Fernando Nuño Energy & Electricity Energy & Electricity Project Manager Project Manager Area of Energy Efficiency, Area of Renewables Motors, Ecodesign fng@eurocopper.org saf@eurocopper.org www.leonardo-energy.org www.eurocopper.org