Innovation for the energy system of tomorrow Ralf Christian, CEO Energy Management Division Ingenuity Days Madrid September 27 nd 2016
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1 Innovation for the energy system of tomorrow Ralf Christian, CEO Energy Management Division Ingenuity Days Madrid September 27 nd 2016 Restricted Siemens AG 2016 siemens.com
2 Increasing electrification of consumption and rising percentage of renewables Only ~20 percent of the final energy consumed is electric power 1) Total primary energy demand will increase by 25% until Heat 51% Fuels 29% Huge potential for further electrification 6.5 Renewables and distributed power generation grow above average Electric power 20% e-mobility, e-highways electrical heating/cooling, heat pumps etc Global power generation capacity in terawatts (TW) 1) Example Germany Source: German Working Group on Energy Balances (AEGB): Energy balance evaluation tables of the Federal Republic of Germany; valid 2012 Page 2
3 Three core topics will be essential for the future energy system Connecting Grids Efficient power transmission Interconnection of national transmission grids and integration of renewables Agility in Energy Totally Integrated Power Critical power supply for industrial plants, infrastructure and buildings reliable, safe and efficient Sinalytics Maximize intelligence of energy networks to cope with increasing complexity Page 3
4 Energy system increasingly distributed and driven by Prosumer Crucial for an integrated energy system Intelligent energy management Communication Cyber-security And data-analytics Digital grid Grid control, Grid applications, Prosumer applications Transmission HVDC, HVAC, grid connection Distribution Primary/Secondary Prosumer Critical Power, Distributed Energy Systems, Building and construction electrification Page 4
5 Connecting Grids Future European grid needs new HVDC links Gran Canaria- Fuerteventura MW Greenwire 1000 MW Moyle 2x250 MW Western Link 2200 MW BritNed 1000 MW Inelfe West 2 x 1000 MW IFA MW Eleclink 1000 MW COMETA 400 MW COMETA II 500 MW Caithness 1000 MW NSN 1400 MW VikingLink 1400 MW NEMO 1000 MW Pyrenees I/II 2 x 1000 MW INELFE 2 x 1000 MW Cobra 700 MW Alegro 1000 MW Ultranet 2 x 1000 MW NordLink 1400 MW Piemonte-Savoie 2 x 600 MW Sacoi-3, 400 MW South Westlink 1400 MW Storebaelt 600 MW EstLink MW Corridor C Corridor D, 2000 MW EstLink 2 670MW Key HVDC projects Siemens participation Planned or thirdparty projects Reinforcing national grids Replace aging assets Renewable back-feed and increased electrification Interconnect national grids EU & Global Connect large renewables and ensure efficient transport Increasing distance from load Page 5
6 Cometa transmission link between mainland Spain and Mallorca: One of the most pioneering and innovative interconnection projects Connect Iberian Peninsula and Mallorca Meet the island s growing power demand with renewables-based power from the mainland Increase grid stability and security Decrease of CO 2 emissions 250 kv cable on the seabed 400 MV power transmission 1.2 million tons/year CO 2 reductions Page 6
7 Inelfe transmission link between France and Spain: A step toward a European energy market Increase exchange capacity Integrate renewable generation without endangering grid stability Strengthen security of supply Ensure environmental protection and high public acceptance due to underground DC cables instead of overhead line 2 x 1,000 MW power transmission In 150 ms power reversal possible HVDC Plus technology with black start capability Restricted Siemens AG 2016 Page 7
8 Innovative technology for the transmission business Eco-friendly solutions e.g. 8VN1 blue GIS #1 Control center technology Adaptive protection Clean-air technology CO2-neutral footprint Proven vacuum-switching technology Grid monitoring and control Network analysis and optimization Easy integration of IT systems Automatically adapted settings Enhanced capacity of the transmission system without building new lines Page 8
9 Agility in Energy Crucial for an integrated energy system Intelligent energy management Communication Cyber-security And data-analytics Digital grid Grid control, Grid applications, Prosumer applications Transmission HVDC, HVAC, grid connection Distribution Primary/Secondary Prosumer Critical Power, Distributed Energy Systems, Building and construction electrification Page 9
10 Agility in Energy Two major trends are driving each other Local Resilience Storage Energy Efficiency e-mobility Microgrid Renewables and Conventional Peer-2-Peer Energy Distributed Energy Systems Digitalization Analytics Distribution Platforms Transactive Energy Distributed, Closed-Loop Control Customer Engagement New Business Models Cyber Security Page 10
11 Smart innovations for a more flexible and reliable energy system Planning & Simulation (Digital twin) Operations & Control Applications & Analytics Remote Software Applications PSS #1 Spectrum Power #1 EnergyIP #1 in MDM Grid automation and software applications Interoperability via open standards / Cyber Security Digital Substation Microgrids Stationary Energy Storage Automating Balancing SICAM 1) #1 SICAM #1 SIESTORAGE MDM: Meter Data Management 1) SIPROTEC also included Page 11
12 Viesgo project, Spain: First standardized solution of its kind for the Spanish electricity sector Intelligent management of data derived from consumption Optimize use of smart meter data for personalized offers Technological base for future business applications, such as smart home, energy efficiency etc. Analysis of 700,000 customer information New capabilities for customized offers Energy IP software Page 12
13 InovCity Évora, Portugal: Energy storage pilot project with EDP Improves grid stability and safeguards power supply Pilot project to further promote the creation of local competencies in the area of energy storage and micro-grids 472 kw/ 360 kwh SIESTORAGE system Main applications Energy backup, voltage regulation, peak shaving Turnkey solution Page 13
14 Energy storage applications and sector couplings Application cases by location of storage Central Large Utilities Distributed Small utilities, municipalities, industry prosumer Pumped storage H2/Chemicals Battery Thermal Electricity Electricity H 2 / H 2 Fuel Methane for car Electricity Heat (gas grid) Grid balancing and stability Power to gas Power-to-chemicals Grid stability, self-supply, electro-mobility Power-to-heat Page 14
15 Innovative technology for the distribution business E-car charger Microgrid management Self-healing grid Monitoring and control of usage in real-time Interaction with utility programs like demand response Increased grid reliability & efficiency Balancing generation and consumption Operation in on and off grid mode Protection from outages Automatic fault localization, isolation and restoration Secure operation and high grid stability Significant workload reduction Page 15
16 Siemens Market Leader in Energy Excerpt of the Divisional setup of Siemens AG Managing Board Joe Kaeser President and Chief Executive Officer (CEO) Financial Services Healthineers Process Industries and Drives Klaus Helmrich Member of the Managing Board #1 in Offshore Wind Power #2 in Fossil Power Generation #1 in Power Transmission #2 in Power Distribution Ralf Christian CEO Willi Meixner CEO Markus Tacke CEO Energy Management Power and Gas 1) Wind Power and Renewables 1) Building Technologies Mobility Digital Factory 1) Power Generation Services is part of PG and WP Page 16
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