Leaving the Valley of Death

Transcription

1 Leaving the Valley of Death Jan-Willem Tolkamp Manager Benelux Ceramic Fuel Cells BV 1

2 Agenda 1. Market Vision 2. The Marketing Challenge 3. Leaving the Valley of death 2

3 How it works Power Gas 2,5 kw 1,5 kw Heat 0,6 kw Distributed power 60% efficiency Waste heat for hot water production 200 ltr/day 3

4 Example for installation: Haren Netherlands Hot Water buffertank 200 Ltr storage Boiler (HR-CV) Hot water for space heating BlueGEN Fuel Cell Power production 60% Hot Water device up to 30% Performance so far: hrs of operation kwh produced 13,4 Tons avoided CO2 4

5 Example for installation: Haren Netherlands movie> 5

6 BlueGEN THE MARKET VISION 6

7 Market vision: Flexible and decentralized production Current Situation: Centralized power production Future situation: Decentralized flexible power production 7

8 Market Vision: Highly efficient and flexible But changing an entire industry Is that possible?

9 Historical challenge IT industry Big, Centralized, Isolated Small, Distributed, Connected I think there is a world market for about five computers Thomas Watson (Chairman of IBM), 1943

10 Historical challenge energy industry Big, Centralized, Isolated Small, Distributed, Connected Nuclear power is the only reliable source of low emission baseload power now available Former Prime Minister John Howard, Australia 23 August 2007

11 BlueGEN in the context of the German Energiewende Highest electrical efficiencies (comparable to modern CCGTplants) Flexible application, local balancing of fluctuating renewable power sources Restructuring of fossil power sources Expansion of Renewables virtual power plants Renewable through the use of bio-methane or synthetic gas Grid expansion Distributed operation to reduce and stabilise grid load Combined heat and power significantly higher efficiencies Increase in energy efficieny 11

12 Support for our vision in Germany: Innovation award of the German gas industry 2012 GreenTec Award 2013 Virtual power plants are important milestones for a succesful energy transition Peter Altmaier, Federal minister for the environment, in Aachen Visit of Hannelore Kraft, Prime minister of the state of North-Rhine Westphalia 12

13 BlueGEN THE MARKETING CHALLENGE 13

14 BlueGen for Two Different Markets Heating Market Micro Generation Technologies Manufactors Drivers for customers boiler, solar, heatpump, wood pellets, ice-chp, Stirling, low efficient fuel cells Viessmann, Vaillant, BDR Thermea, Bosch Need for replacement, price of system, low energy cost, independence from energy price, sustainable Photovoltaik, high efficient fuel cells Aleo, Hanwha, Manz, Schott, LDK, Suntech power, First solar, Panasonic Green Investment, Payback, opportunity Sales channels Traditional installers (~45.000) Utilities, Esco, Newcomer, installers Market Volume ~ p.a. ~ Pricing strategy Premium Price (system comparison is intransparent) Lower Price (has to guarantee a pay back) 14

15 PV-Leistung in Deutschland in /kwp Heating market stagnates whilst residential electricity generation is growing Heating market Germany PV example: electricity market Germany Established heating technologies are increasingly replaced by green/high-efficient applications No growth in the heating market in terms of additional heat demand (~600,000 units p.a.) Market for residential electricity generation is growing In addition to PV, supporting systems such as batteries are coming into the market Recent growth of PV was driven by reduction of system prices allowing for IRRs of 6% and above CFC s fuel cell technology will be a key player in the residential/distributed electricity market 15

16 BlueGEN Fishing in the blue ocean Heating Market Micro Generation Source: Boston Harvard business School 16

17 BlueGEN Fishing the blue ocean Heating Market Micro Generation Source: Boston Harvard business School 17

18 Started with Marketing Target market: Small enterprises Positioning: Reduction of electricity costs, independence, CO 2 savings Communication: direct mailing, press Saleschannels: utilities, installers, direct- sales 18

19 Activities are focused on NRW Funding for SME Up to 45-65% of costs up to Euro/unit IRR for customer >5% But; Hessen and Saxen followed! 19

20 Additional support by regional alliances Alliander-10/10/10-support 10 years funding 10 years full-service 10 ct/kwh feed in tariff (max. EUR 5.000) + initial support Category Your consumption in kwh** Alliander funding* XS 0 8, ct/kwh + 4,000 once S 8,700 9, ct/kwh + 3,000 once M 9,800 10, ct/kwh + 2,000 once L 10,900 11, ct/kwh + 1,000 once XL > 12, ct/kwh *Payment of one-time initial support on the day of commissioning of the fuel cell system **Consumption of the most recent bill extrapolated to one calendaric year; customers whose data contains less then six month will only be funded in category XL 20

21 Calculation for small business/large private house Power demand: Power supplied by BlueGEN: ~ kwh (Kategorie XS) ~ kwh Costs for gas & service 2.100,- Savings for electricity and heat 2.220,- Alliander feed in tariff 565,- Public funding (CHP-law) 860,- Total annual savings: 1.545,- IRR: >6% Assumptions: Ø price of electricity: 25 ct/kwh, Ø price of gas: 5,5 ct/kwh, Ø price of heat: 7,1 ct/kwh; all values are excluding taxes and impact on interest 21

22 Fuel Cells meet customers demand 270 prospective buyers joining BlueGEN roadshow 22

23 BlueGEN LEAVING THE VALLEY OF DEATH 23

24 No recipe for leaving the Valley of Death... Do your homework Ready for market > 3 million hours of operation 99% up-time 10 year full service and warranty contracts Marketing leads Technology Create value for customers Fair IRR CO2 savings / green investment Independence Enter Markets, take risks Esco models, co-invest, bio-gas, power to gas, Virtual Power Plants, keep developing, just do it!

25 Thank you for your attention 25

26 BlueGEN advantages High electrical efficiency allows for power-led operation throughout the year Modulation of power output, high part load efficieny Coverage of daily hot water demand of an average household Add-On solution, integration through hot water tank Remote control and maintenance via Internet Possible to operate multiple BlueGEN units as a single virtual power plant 26