February/March 2012

WORLDWWW.WORLD-GEN.COM GENERATION FEBRUARY/MARCH 2012 VOLUME 24 - NUMBER 1 CLASS OF 2012 Our 24th Year PUBLISHER’S LETTER pg. 3

TOBY SEAY, BECHTEL pg. 4

PAUL BROWNING, GE pg. 5

ANDY REDINGER, KEYBANC pg. 6

TIM FRACE, SIEMENS pg. 7

STEVE LEVY, ADVANCED ENERGY pg. 8

ROBERT NICOLO, HITACHI pg. 9

RICK NEEDHAM, GOOGLE pg. 10

SUSAN REILLY, RES pg. 11

DIRK ROUNTREE, PIC pg. 12

PAOLO CASINI, POWER-ONE pg. 13

JEANNE JANKOWSKI, ZURICH pg. 14

JOHN LEFEBVRE, SUNTECH pg. 15

JULIA HAMM, SEPA pg. 16

MARVIN FERTEL, NEI pg. 17

RON KENEDI, LDK SOLAR pg. 17

DAVE DUNNING, FLUOR POWER pg. 18

GERRY CAULEY, NERC pg. 19

MARY FALLIN, OKLAHOMA pg. 20

CHARLES DAUBER, AETI pg. 21

BRIAN HUEY, SPRINT pg. 22 Flex Efﬁ cient Ad Trim: 10.875” x 14.9375” Live: 10.375 x 14.4375 Bleed: 11.125” x 15.1875

FlexEfficient*

It’s not just an adjective. It’s the new standard in power generation.

FlexEffi cient Gas Generation from GE Energy provides the fl exibility and effi ciency you need to respond to the cyclic challenges of today’s grid. FlexEffi cient Gas Generation gives you faster starts, higher start reliability, quicker ramping, and lower turndown. All designed to make your plant more profi table. Flexible solutions for a fl uctuating industry. That’s FlexEffi cient. To fi nd out how you can become FlexEffi cient, go to ge-energy.com/fl exeffi cient.

* FLEXEFFICIENT is a trademark of General Electric Company.

68095_GE_FlexEfficient_0312.indd 1 3/5/12 5:17 PM PUBLISHER’S LETTER

2012 is an election year and a leap year! Campaigning to be elected is not much different from a publication campaigning to be selected. It’s based solely on making comparisons of the candidates and the publications. World-Gen invites comparison of its editorial platform starting with the Class of 2012, our thirteenth Class of the millennium. Toby Seay, president of Bechtel Power’s Communication and Transmission business line, says changes are coming for transmission on page 4. The biggest demand now is for upgrading existing transmission lines. He is looking with interest to potential wind farms along the Atlantic coast as well as off the coast of Britain. Paul Browning, CEO of GE’s Thermal Products said the world’s energy mix has changed over the past decade on page 5. He believes that the greater use of renewable energy, in combination with natural Dick Flanagan gas, is the future of power generation. GE has invested more than $500 million to develop its FlexEfficiency technology. WORLD-GENERATION KeyBanc has 13 projects underway, and is handling eight transactions – primarily in wind and 2 PENN PLAZA solar energy with potential output of 1,119 MW. On page 6, Andy Redinger projects a potential source of SUITE 1500 new financing could be real estate investment trust (REIT) capital. NEW YORK, NY 10121 Siemens Energy has over 7,000 employees in Latin America, nearly 1,000 working in Energy Services, Tim Frace shares on page 7. The strategy of regionalization puts the Energy Service teams in 212.292.5009 all key countries to go one-on-one with their customers and be in a position to offer other Siemens global [email protected] competencies. With more than one million power products installed, Steve Levy of Advanced Energy on page 8 is developing and field-testing technologies focused on lowering the barriers to adopting solar energy on WORLD-GENERATION North American utility grids. 2 PENN PLAZA ■ SUITE 1500 Hitachi Power Systems America signed a licensing agreement for design and supply of fabric filter NEW YORK, NY 10121 ■ (212) 292-5009, http://www.world-gen.com technology developed by Balcke Durr. Robert Nicolo explains Hitachi’s market participation on page 9. Richard T. Flanagan Editor/Publisher Google invested nearly a billion dollars in a renewable energy portfolio of 1.7 gw’s, Rick Needham Tracy Whitman Art Director/Design tells us on page 10. He hopes to inspire other companies and investors to participate in the clean energy Mary F. Kelly Production Director revolution and together explore other possibilities. Gail E. Parentaeu Circulation Director Nancy Rothman Reprints RES Americas has been active in North America since 1997 working on more than 4,800 mega- Carol Griffiths Europe watts of renewable energy projects, Susan Reilly said on page 11. Its 360 employees provide technical Alice C. Hunsberger Ph.D. Middle-East Brooke C. Stoddard Washington expertise in wind and solar, transmission and construction. Martin C. Pilsch Ports, USA PIC’s focus on teamwork ensures that their working environments are as safe as they can be, Dirk CONTRIBUTING EDITORS Rountree said on page 12. PIC’s six complementary service lines can manage an entire project lifecycle by Spencer Abraham Class of 2002 bundling services. Jim Bueche Class of 2004 Lyn Corum Class of 2003 Following acquisitions of Energy Recommerce and Act Solar, Power-One offers a holistic portfolio of Ann T. Donnelly Ph.D. Class of 2000 products and solutions. Paolo Casini sees the main objective is to meet customer needs by providing pan- Tom Kuhn Class of 2005 el-to-grid system solution, on page 13. Jeremiah D. Lambert Class of 2000 Colette Lewiner Class of 2006 Zurich Energy offers more than 70 risk management services and 17 online tools to help mitigate Fred Lyon Class of 2003 losses and reduce both operational and financial risks to meet all the needs of alternative energy produc- Gene Martin Class of 2002 Dennis M. McLaughlin Class of 2002 ers and manufacturers, Jeanne Jankowski, CEO says on page 14. Richard McMahon Class of 2001 John LeFebvre of Suntech believes there is a strong immediate opportunity for solar and natural gas Ed Muller Class of 2000 to work together, particularly as a bridging solution away from coal. On page 15, he anticipates new or Jean Louis Poirier Class of 2000 Daniel A. Potash Class of 2001 steady solar policy support from many states. Elliot Roseman Class of 2001 Solar power is the fastest growing energy resource in the U.S., and its once high price tag is falling Jim Reinsch Class of 2002 Jim Schretter Class of 2002 rapidly, Julia Hamm, president of SEPA, points out on page 16. Electric utilities signed power purchase Richard Weissbrod Ph.D. Class of 2000 agreements for less than 10 cents per kilowatt-hour.

World-Generation Issn# 1539-0039 is published bimonthly, Feb/ Marvin Fertel on page 17 tells of two major imperatives at the Nuclear Energy Institute: to main- Mar, May/Jun, Aug/Sep, Oct/Nov and Dec/Jan except April and July, by The Flanagan Group, Inc. Corporate Offices: Two Penn tain and increase the asset value of 104 operating plants and second to ensure that we maintain and Plaza, Suite 1500, New York, NY 10121. Circulation Office: P.O. Box 9157, Lowell, MA 01853. Subscription Rate: $75.00 per year in grow the capability to build new nuclear plants. the United States, $100.00 in Canada, all other countries $120.00. Single Copies, (pre-paid), $15.00 in the United States, $20.00 in Ron Kenedi of LDK Solar said on page 17 that the cost of electricity is constantly going up – 3% to Canada, $24.00 all other countries. Back issues, if available, $50.00 (U.S. and Canada only). Add $3.85 for shipping and handling. 8% annually, while solar costs are moving downward. The important point is where they merge. Mailed periodicals postage class paid in New York, NY 10121 and additional mailing offices. Volume 24, Number 1, copyright 2012 by It would behoove the industry to pursue a diversified fuel portfolio strategically to ensure we mitigate The Flanagan Group, Inc. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any reliability risk and provide the best technological stability possible, Dave Dunning of Fluor said on page 18. means without written permission of the publisher. NERC is an international, independent, not-for-profit organization, whose mission is to ensure the Postmaster: Send all address changes to: World-Generation reliability of the bulk power system in North America, CEO Gerry Cauley says on page 19. PO Box 9157 OKLAHOMA Governor Mary Fallin unveiled her First Energy Plan on page 20. Her agenda is Lowell, MA 01853 built around the belief that we must continue to improve, not replace, traditional energy sources. Membership held in: BPA Worldwide American Society of Business Publication Editors Charles Dauber sees three key growing energy markets AETI is targeting for products and turnkey National Press Club, Washington, DC solutions in 2012 on page 21. North American shale plays, global energy, and utility-scale solar are markets AETI has served. The energy industry is in a transformational state, Brian Huey says on page 22. Sprint collaborates with companies to embed wireless technology into solutions that automate meters and monitor distribution lines so that utilities can be more efficient.

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 3 CLASS OF 2012

ter use of resources and creating addition- Communications. Both businesses require renewable power, and efforts to counter TOBY SEAY al opportunities for their employees. While large quantities of materials to be pur- physical and cyber threats. Accordingly, Communications may be very busy in one chased and delivered to the right place at Seay sees Bechtel returning to the trans- business cycle installing new technology the right time. “The complexity of the commission business in a big way. He points to on towers and rooftops, a quiet period usu- munications business generally lies in its Bechtel’s depth of experience in working ally follows as new technology is being logistical aspects,” Seay says. “Building a on switchyards and tie lines and its exper- developed. Making Communications and single cell tower is not difficult, but build- tise in managing logistics. “Put these capa- Power part of the same GBU would enable ing a thousand cell towers is a different bilities together with the skill sets we have both organizations to more easily share story. At the same time, we must meet or from Communications and we have a win- resources as activities ebb and flow. exceed a myriad of safety, quality, and engi- ning proposition,” he says. Moreover, synergies could be real- neering standards. Through years of deal- “Permitting is especially difficult ized by each organization drawing on the ing with the complex logistics and dealing when a power line crosses state lines or skills and methods of the other. For exam- with the public, we in Communications had moves from one grid region to another. ple, a typical Bechtel Power project tends built up a skill set that we thought would There is really no government body effec- to put thousands of employees “behind a work well with the Power GBU's civil and tively dealing with this,” Seay comments. single fence” working together, with only a electrical engineering expertise and pro- “But here again, the Communications peo- handful of individuals interacting regularly curement capabilities.” ple can help. They have been dealing with President, Communications & Transmission with the customer, suppliers, or public offi- permitting for decades and can work with Global Business Unit cials. The situation is typically reversed in LINKING WITH POWER’S TRANSMISSION the people, companies, and public bodies Siemens a Communications project—the vast major- BUSINESS that control the permitting process.” CAREER BACKGROUND ity of personnel deal with landlords, ten- The biggest demand now is for ants, zoning commissions, and other public With the Communications and upgrading existing transmission lines rath- Toby Seay is president of Bechtel officials on a daily basis; only a few Transmission business line having been er than building new ones, Seay indicates. Power’s Communications and Transmission employees principally interact among formed within Bechtel Power, Seay has Currently, the Communications and business line and a senior vice president of themselves. Power projects could learn concentrated on marketing and strategy. Transmission organization is working on Bechtel Power Corporation. from Communications’ experience working “We began to see the transmission busi- an $800 million project in Alberta, Canada, Seay’s path to his present position with the public and outside parties, while ness as more of a network business than a upgrading a transmission line. The project began when he was a boy in Denver, Communications stood to benefit from power business. You don’t build a single specification includes the construction of where his father owned a two-way radio Power’s experience with supply, technical tower or a single substation without impact- nine brownfield and three greenfield sub- business. He followed his father into the complexity, and management of large ing the whole network. Transmission is a stations over 150 km of existing right-of- industry, then onto McCaw Commun- internal organizations. distributed model, very much like wireless way and 50 km of new right-of-way. “I ications, and subsequently to McCaw’s Another factor cited by Seay in the communications. And you are working in a believe there are significant amounts of new owner, AT&T Wireless Services. decision to combine Communications with live environment, working on live assets. this kind of work coming along,” says Seay. From the mid-1980s through the 1990s, Power centers on the fact that Power Moreover, a large array of civil and electri- “You take down the old wooden towers and Seay traveled the United States for AT&T already had a business segment focused cal skills is needed, and these are skills put up steel. Some companies have histori- Wireless, building cell towers. He was on transmission— the upgrading and con- that our combined Communications and cally performed this work themselves, but responsible for the company’s multi-billion- struction of high-tension transmission Power workforce possesses.” they are seeing their transmission work dollar GSM (global standard for mobile lines. Like communications, transmission The view of the transmission business grow tenfold and need assistance in scal- communications) construction program. involves a long-distance routing function. as more of a network business also relates ing up. That’s when they come to us for In 2003, Seay moved to Ericsson, the While the transmission work executed by to Bechtel Power’s increasing involvement help. We can assist with our engineering Swedish equipment manufacturer, where, the Power GBU is a relatively small por- with renewable forms of energy such as capabilities, leveraging our supply chain as executive vice president and general tion of its business portfolio—after all, solar and wind. Solar and wind farms will for materials and equipment, and providing manager, he oversaw sales, project man- most of the electric grid in the United need connection to the grid, resulting in the construction resources.” agement, and project development. He States was completed decades ago— additional demand for new or upgraded Seay points to another project in managed Ericsson’s work with Cingular Power’s heavy involvement in constructing transmission lines. Electricity generated by Alberta involving construction of a new Wireless, including the initial development power generation facilities has always solar and wind will be distributed different- 500-km transmission line between and deployment of the first networks in the included constructing both the switching ly than electricity produced by traditional Edmonton and Calgary. Bechtel is per- United States to employ WCDMA/HSDPA stations at the plants as well as the tie lines power generation plants: connections will forming the engineering, assisting with the (wideband code division multiple access/ leading to the grid. To help upgrade its need to be made to transmission networks right-of-way work, and handling the con- high-speed downlink packet access). His work in this sector, it was only logical that in a way that will drive new investment and struction. “We believe we will be in Alberta efforts were instrumental in helping Bechtel seek to bring the skill sets it had upgrades to the existing grid. for some time to come and in other spread Ericsson’s cutting-edge technology developed in the communications market According to Seay, Bechtel has recog- Canadian provinces as well,” he says. throughout the United States. to its transmission business. nized for some time that changes are com- “There seems to be a strong demand for Seay joined Bechtel in 2006 as manag- Seay notes that other similarities ing for transmission. For one thing, the upgrading the infrastructure and adding er of Business Development and Marketing between Transmission and electric grid has been undercapitalized for transmission lines.” for the Communications organization. He Communications point to effective team- decades and will need upgrading. Also, the There is also work for Seay’s later became responsible for global strategy ing. “When my Communications people go increasing interest in renewable power and Communications and Transmission busi- and project award negotiations. In 2008, he to a jobsite, it is typically the office of a the need to retire older plants will lead to ness line in Chile. The project principally became president of Communications, then local landowner, or a farm—to install shifts in demand across regions of the involves constructing transmission lines a standalone major business segment and a equipment on a roof top or a cell tower. United States. “Although transmission has from the coast extending as far as 200 km Bechtel Global Business Unit (GBU) as He or she might visit 20 sites a month. It’s not been a large market for us, many of our to mines in the mountains. He expects a Bechtel Power is today. the same with Transmission; the sites are past customers will have to increase capital good market for this type of transmission farms or rural rights-of-way, and many investments in transmission,” Seay says. work over an extended period, with MOVING COMMUNICATIONS INTO interactions take place in offices face-to- demand expanding into Peru, where mines face with stakeholders. In both cases, THE TRANSMISSION MARKET—NOW AND are also under development. “Wherever BECHTEL’S POWER BUSINESS Bechtel wants to be a good steward of the demand for electricity is growing—in such In 2009 the Communications GBU property in question, and in both cases IN THE FUTURE places as this in South America and in became part of Bechtel’s Power GBU, a there might be site acquisition issues to As previously noted, Bechtel has not Canada with its tar sands—we expect a change that made sense for a number of resolve. Transmission jobs are a lot like been heavily involved in transmission work need for transmission line work.” reasons and that strengthened both organi- cell phone tower jobs in that multiple pub- in this country for several decades. Seay also has an eye on offshore zations. Given the cyclical nature of the lic stakeholders are involved.” However, the market may be picking up wind farms. He notes that Bechtel has Communications business, Seay recog- Finally, Seay notes the similarities in owing to the need for upgrades to accom- expertise in executing such efforts, having nized that Communications and Power the complexity— the logistics—involved in modate growing demand and shifts in performed offshore work for oil and gas could complement each other, making bet- work executed by both Power and demand among regions, tie- in sources of projects. “We believe that offshore electric (continued page 11)

4 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

However, until recently, the most MetCap Energy Investments to build a (ERCOT) region that meets the latest PAUL F. BROWNING flexible gas-fired power plants had poor power plant that will integrate natural gas, Environmental Protection Agency (EPA) fuel efficiency, and the most fuel-efficient solar and wind in one power plant. Greenhouse Gas regulations. plants had poor flexibility. With yester- The world’s first Integrated GE will supply two Frame 7FA Gas day’s technology, as more and more Renewables Combined-Cycle (IRCC) Power Turbine-Generators in a two-on-one com- renewables came on line, power grid oper- Plant, based on our new FlexEfficiency bined-cycle plant to Fluor Corporation. ators were forced to put more and more technology, is planned for Karaman, Turkey GE’s manufacturing work will involve inefficient, gas-fired power plants on line and is expected to begin producing power more than 8,000 employees. The Lower as well, to provide the power on demand in 2016. Colorado River Authority (LCRA), a public that was needed to offset the intermittency The project will include a utility, will own and operate the new of wind and solar. FlexEfficiency 50 power plant — plus 22 540-megawatt facility. megawatts of GE wind turbines and 50 “Our advanced 7FA Gas Turbine megawatts of eSolar concentrated solar technology is more efficient, has fewer ACCORDING TO BROWNING, thermal tower technology, all seamlessly emissions and offers greater operating THINGS HAVE CHANGED. integrated by a GE plant control system flexibility than previous technologies,” with a single push button start. said Paul Browning, president and CEO— “At GE, we realized that we needed This technology is capable of reach- Thermal Products for GE Energy. “It is an President & CEO, gas-fired power plants that combine world ing record fuel efficiency, and will have excellent match for LCRA’s requirements Thermal Products class fuel efficiency with world class flexi- zero-liquid discharge, low emissions and a for a project that will bring numerous GE Energy bility. In other words, the power plant of rapid-response start capability. energy, environmental and economic ben- the future has to function like the jet “This landmark project will set a new efits to the region.” engine of today, providing flexible power, global standard for the efficient integration Browning added, “There are many NATURAL GAS AND RENEWABLES: low emissions and high fuel efficiency in of natural gas and renewable energy. It will opportunities in the U.S. today similar to POWERFUL TEAMMATES one product. So, we borrowed technology enable the Turkish grid to use more wind, the LCRA project to replace older plants, from our Aviation business, combined it solar and natural gas, helping to meet the both gas-fired and coal-fired. With our 7FA There is no doubt that renewable with our proven and industry leading growing demand for cleaner, affordable technology, we are well positioned to help energy will make an increasingly impor- F-class and H-class power generation tech- and reliable power generation.” Browning customers cut CO2 emissions by as much tant contribution to the power grids of the nology, and invested more than $500 mil- said. “And a few months after our as 50 percent.” future. Not only does it produce cleaner lion to develop a power plant with the flex- announcement of this project, GE and Responding to the diverse challenges power, it is becoming more affordable as ibility to take full advantage of natural gas MetCap received approval from the of today’s world—such as integrating ever- technology advancements and economies and renewables, without sacrificing fuel Turkish government to nearly double the growing levels of intermittent renewable of scale provide cost reduction and efficiency,” he said. output of the IRCC plant, from 570 to 1,080 energy into the grid—energy developers improved performance. megawatts – enough clean electricity for are looking to build gas-fired power plants Of course, there is currently a draw- more than 1.2 million Turkish households. that combine high levels of operating flexi- back to renewable energy - intermittency. TECHNOLOGY IMPROVES bility with fuel efficiency. The GE Frame When the sun isn’t shining or the wind “The result is a new technology we MORE TO COME 7FA Gas Turbine offers expanded opera- isn’t blowing, we need other sources of call FlexEfficiency*. And as countries tional flexibility with fast start capability, electrical power to meet grid requirements. around the world approach critical junc- “In addition to the projects in Turkey high ramping rates and extended emis- tures in our conversation about creating and France, we are developing partner- sions-compliant turndown, enabling power NATURAL GAS IS LOGICAL CHOICE our energy future, we believe this is a sig- ships around the world to help us bring plant operators to satisfy both their energy nificant breakthrough.” FlexEfficiency to global customers. production and environmental goals. ” For three reasons, the logical choice FlexEfficiency isn’t just an exciting We have reached an agreement with is natural gas, believes Paul Browning, new concept – it is a reality. In 2011, GE Harbin Electric Co. Ltd. of China to bring president and CEO-Thermal Products for announced the first two “real world” appli- FlexEfficiency technology to China, where ABOUT PAUL BROWNING GE Energy. cations of this new technology. natural gas-powered district heating applica- “First, new discoveries in the U.S. tions will offer a cleaner alternative to coal. Paul Browning is the president & and around the world are increasing the We also have reached an agreement CEO of thermal products for GE Energy, FRANCE DEVELOPS abundance of natural gas and reducing its with Toshiba Corporation to bring overseeing GE’s Heavy Duty Gas Turbine, cost,” said Browning. “Unconventional gas GE and Electricite de France (EDF), FlexEfficiency technology to Japan, where SteamTurbine, Generator and Controls, and is now expected to enable the U.S., the one of the world’s largest utilities, have highly efficient natural gas is critically Gasification product lines. The global world’s largest consumer of natural gas, to announced plans to jointly develop and important. And we see many more oppor- Thermal Products team leads the product be self-sufficient for decades. This really is showcase the first FlexEfficiency 50 power tunities, “Browning said. management function responsible for a game-changer for the U.S., and uncon- plant to be connected to a national grid. “Around the world, nations like design,manufacturing, and installation of ventional gas is being developed in other The announcement is the latest develop- China, Japan, Turkey and France are look- large scale electricity generating equipment. parts of the world as well.” ment in a 40-year strategic relationship ing for solutions that combine economic Prior to his current position, Paul He continues: “Second is the fact that between GE and EDF. progress with environmental sustainability. was most recently with Caterpillar Corp., natural gas power plants are highly flexi- And this is a truly large-scale power The world’s energy mix has changed over as managing director, Caterpillar Motoren, ble. These plants can fire up quickly and plant. The new combined-cycle plant, to be the past decade, and we recognize the based in Kiel, Germany. He was responsi- adjust their output rapidly. That makes nat- located at Bouchain, an existing EDF need for technology that delivers the nec- ble for a global business in Caterpillar’s ural gas an ideal partner for intermittent power plant site in northern France, will essary combination of flexibility and effi- Marine & Petroleum Power division. wind and solar. There may be a time in the produce 510 megawatts of electricity, ciency to meet a wide range of challenges. Previously, Paul was the vice president, future when renewable resources don’t enough for 600,000 French households. As our FlexEfficiency launch demon- Turbomachinery Products in Caterpillar’s need fossil fuel backup, but we’re not The plant is expected to achieve greater strates, we believe that the greater use of Solar Turbines division. Within that divi- there yet. And the problem gets more and than 61 percent efficiency at base load, renewable energy, in combination with sion, he worked in commercial, manufac- more acute as adoption of renewables which will conserve natural gas and natural gas, is the future of power genera- turing, and technical roles. increases. reduce the production of greenhouse tion,” Browning concluded. Paul began his professional career as “Third, it is well known that natural gases. Its operating flexibility will enable GE’s advanced power generation a research engineer for eight years at the gas is a cleaner source of power compared the plant to respond quickly to fluctuations technology has been selected for a project GE Research Center in Niskayuna, NY. to other fossil fuels, such as coal and oil. in grid demand, facilitating greater use of near Marble Falls that will replace an This included a role as a program manag- And in combination with renewable power solar and wind. The EDF power plant will aging, less efficient power plant with a er for GE Power Systems after receiving sources, natural gas looks even better.” integrate natural gas and renewables flexible, higher efficiency combined-cycle his B.S. degree in Metallurgical So, natural gas offers a unique com- through the French electrical grid. power plant. When the plant begins com- Engineering and Materials Science from bination of cost, flexibility and environ- mercial operation in the summer of 2014, Carnegie Mellon University and an M.S. in mental friendliness that makes it the per- TURKEY TEAMS it will be the first combined-cycle plant in Materials Engineering from Renssalaer fect partner for renewable. In Turkey, GE is teaming with the Electric Reliability Council of Texas Polytechnic Institute.

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 5 CLASS OF 2012 stopped it in its tracks in 2009. “This standard 3.0 GW of renewable energy projects.” At look at the concept as an alternative would be particularly helpful to developers in ANDY REDINGER the end of 2011, KeyBanc Capital source of financing for wind power ven- areas of the country where there is limited, if Market’s Utility Power and Renewable tures. Among them is KeyBanc’s Capital any, Renewable Portfolio Standards (RPS),” notes Key Banc’s Andy Redinger. Energy group counts 45 investor-owned Markets North American Utility, Power An RES could complement or supersede utilities in its portfolio that rely on its cap- and Renewable Energy Practice. existing Renewable Portfolio Standards ital construction and private placement (RPS) that provide Renewable Energy financing services. PROCEDURAL BARRIERS Certificates (REC) to qualified generation sources. Nevertheless, in the wind market, lenders typically prefer PPA-backed opportu- WIND POWER PROJECTS But there are a couple of procedural nities. Banks willing to lend to merchant barriers limiting the way a REIT can oper- projects are likely to provide less leverage In the renewable sector of the energy ate in the power generation business. The than they would to a PPA- endeavor. industry, KeyBanc is one of the nation’s IRS private letter rulings still maintain leading providers of financing for wind power generation equipment does not power projects, having funded over 3,000 qualify for REIT capital. Another hurdle is ABOUT ANDREW REDINGER MW of wind development with $1 billion the stipulation that a REIT cannot operate Andrew Redinger, Managing Director since 2007. Currently KeyBanc has 13 any of the assets of the wind power opera- – Group Head, KeyBanc Capital Markets projects underway, and is handling eight tion – a separate entity would have to run (KBCM), joined KeyBanc in 1997. He has Managing Director transactions – primarily in wind and solar and be responsible for all operations and more than 20 years of energy experience, KeyBanc Capital Markets energy with potential output of 1,119 MW. maintenance. providing specialized investment banking “We are also is engaged in advisory work But Redinger and his team are devel- services to some of North America’s larg- KEYBANC’S UTILITY, POWER AND with investors and producers in the bio- oping solutions. Regarding the IRS rules est utility and renewable energy compa- mass and geothermal segment,” notes that restrict REITs from capitalizing power nies. Under his leadership, KBCM has RENEWABLE ENERGY TEAM LOOKS Redinger. But wind and solar represent generation equipment, he has this to say: built a national utility, power and renew- LONG TERM about 98 percent of the Renewable Energy “While this would appear to be a fatal flaw able energy practice, committed over $5 Group’s efforts. for the REIT model as it pertains to wind billion of KBCM’s balance sheet to utility KeyBanc’s Utility, Power and Natural gas, however, has created a assets, there are mechanisms to structure and renewable energy clients. Additionally, Renewable Energy Group approaches new formidable obstacle for the renewables around the issue by including only real he has successfully advised utility and projects and opportunities with the long market, Redinger points out. “The tremen- property assets and not power generation renewable energy companies in raising pri- haul in mind. Andy Redinger, who manages dous reserves of natural gas from shale technology in a REIT.” The structure vate capital, completed numerous acquisi- KeyBanc Capital Markets (KBCM) North that no one expected,” he says, “has Redinger’s team has in mind for dealing tions and divestiture assignments and American Utility, Power and Renewable slowed down the development of renew- with the situation involves dividing the structured and financed over 3.0 GW of Energy Practice, says his team is very able energy.” He describes the situation project into two entities. The power gener- renewable energy projects. Redinger focused on winning over the long-term. further, saying low natural gas prices have ation component would be responsible for received his B.S. degree in economics “We want to develop deep relation- caused a decline in power purchase agree- the nacelle, generator and the blades. The from Purdue University, and earned an ships with our clients, providing them with ment (PPA) pricing and challenged overall REIT component would create a sale-lease- MBA in finance from Loyola University, both our capital and services over time.” traditional equity returns. He suggests the back on the rest of the project. Chicago. Describing his unit’s business model as natural gas bonanza will likely cause the Redinger admits that what form the basic block and tackle gear needed to industry to reshape its strategies in the REITs might ultimately take as a financing ABOUT KEYBANC CAPITAL MARKETS hoist a project from early design to full face of the challenge – especially if the tool for wind energy projects has yet to be productivity, Redinger says the goal is sim- Treasury Department’s cash-grant pro- determined. “It is unlikely that REITs rep- KeyBanc Capital Markets has ple. “We want to add value and be a mean- gram and the Department of Energy’s loan resent a universal solution for all future approximately 440 employees primarily in ingful partner.” guarantee program are not extended. wind projects,” he points out, “however, investment banking and capital markets in they may provide an additional tool that five core areas – Energy, Industrial, KEYBANC FINANCING GROWS PIONEERING NEW INSTRUMENTS can be used to fill up the capital stack.” Consumer, Diversified Industries and Real What can be said about KeyBanc’s Estate. KeyBanc Capital Markets has With those strategic attitudes, Redinger’s team is already out front Renewable Energy Group, however, is that approximately 27 equity research analysts Redinger and his team of 10 financial pros in that pioneering effort to design new it is determined to be a key architect in who currently publish research on over have established KeyBanc as one of the instruments and products to raise capital designing ways to create new sources of 450 companies. The firm has approximate- top U.S.-based banks operating in the to finance future projects1. “One potential capital for renewable energy. ly $27 billion of outstanding credit commit- North American utility power and renew- source of new financing could be real Addendum: EIAA members include ments of which almost $1 billion currently able energy industries. In the last nine estate investment trust (REIT) capital,” Hunt Power, Marubeni Corp., John are directly committed to the independent years, Redinger’s KBCM unit has raised says Redinger, explaining that REITs were Hancock Life Insurance, TIAA-GREF, oil & gas sector. over $82 billion in debt/equity financing created by Congress in 1960 to make OPTrust Private Markets; Some informa- KeyBanc Capital Markets is a trade for clients, and advised utilities engaged large-scale, income producing real estate tion is sourced from the article The Role of name under which corporate and invest- in merger and acquisition deals valued at accessible to all investors. Until recently REITs in Wind Power Finance by Dan ment banking products and services of $3 billion. REIT financing programs were not avail- Brown and Andy Redinger, North KeyCorp and its subsidiaries, KeyBanc This scale of activity has propelled able for investment in energy assets. American Windpower®, May 2011. Capital Markets Inc., Member NYSE/ KBCM to a leadership position among IRS private letter rulings in 2010, FINRA/SIPC, and KeyBank National financial institutions specializing in however, appear to have eased that restric- Association ("KeyBank N.A."), are market- investment banking services to some of tion, and the Federal Energy Regulatory WIND FINANCING IS TRICKY ed. Securities products and services are North America’s largest utility and renew- Commission has approved the concept as Merchant wind power projects have been offered by KeyBanc Capital Markets Inc. slow to develop in the U.S. as financial institu- able energy companies. Relying on his well. By late 2010, several major players in tions generally have been hesitant to provide and its licensed securities representatives, more than 20 years of experience in the energy development, production and the necessary funding leverage. But that who may also be employees of KeyBank energy field, Redinger has overseen the finance formed the Electric Infrastructure could change. Several factors – such as N.A. Banking products and services, are development of KBCM’s utility, power Alliance of America (EIAA) and the Gas expectations for rising electricity prices in offered by KeyBank N.A. and renewable energy practice. Infrastructure Alliance of America (GIAA) the near term, promulgation of stricter car- KeyCorp traces its roots back more bon regulations as well as the possibility of KeyBanc’s Utility Power and Renewable to establish REITs to development invest- carbon legislation and implementation of a than 160 years ago and is headquartered Energy Practice group has committed ment opportunities in the power genera- National Renewable Electricity Standard in Cleveland, Ohio. One of the nation’s over $5 billion to utility and renewable tion industry. By early, 2011 the alliances (RES) – could all work to hasten wind pow- largest bank-based financial services com- energy companies. had raised $2.1 billion to develop and er’s arrival as a mainstream energy source to panies, Key has assets of approximately “We have successfully advised acquire electricity and gas transmission serve spot electricity markets. $89 billion. Key provides deposit, lending, An RES is more likely to emerge as part of numerous utility and renewable energy and distribution assets. the U.S. energy landscape than carbon cash management and investment services companies in raising private capital, While the EIAA is not targeting wind legislation – which never seemed to have to individuals and small businesses in 14 acquisitions and divestiture assignments,” power assets for involvement in REIT regained its momentum after Congress states under the name of KeyBank N.A. Redinger says, “and we’ve financed over financing, other groups are taking a hard

6 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

WORLD-GEN: SPEAKING OF YOUR ed communication platform between the Colombia; Jundiai, Brazil; and Guanajuato TIM FRACE different disciplines within Siemens and & Queretaro in Mexico, where we manu- PRESENCE IN LATIN AMERICA, PLEASE the customer. The platform is a procedure- facture power transformers, medium volt- TALK ABOUT YOUR STRATEGY OF driven process that includes mandatory age and low voltage equipment. meetings with preset formats throughout REGIONALIZING SERVICE THERE…… the year, thus facilitating direct communi- WORLD-GEN: HOW AND FROM WHERE ARE Tim Frace: Regionalization is one of cation between sales, field service, pro- the keys to growing our business. Our curement, engineering, marketing, and YOU RECRUITING EMPLOYEES? strategy is simple…be closer to our cus- project management colleagues with the Tim Frace: In the last five years, tomers so we can know their needs and customer. Since the protocol requires for Energy Service has made significant address them quickly and expertly. We full documentation and disclosure of all changes to address Latin America as a now have local managers in all key coun- activities, we can be sure that each open growth region. In 2007, we restructured tries who are empowered with local item is addressed in a timely manner, our Service organization and established resources to respond quickly to customers. which is key to excellent operational per- Latin America as a separate service region. Our local teams live and breathe the mar- formance and customer satisfaction. We made a corporate commitment to kets they serve putting us in a better posi- regionalize resources and our service tion to discern new market trends, WORLD-GEN: WHERE HAVE YOU model looks entirely different today. Not Vice President, Latin America improve our understanding of customers’ only do we have the people in place, but Siemens Energy Service needs and strengthen our capacity to pro- HISTORICALLY BEEN SUCCESSFUL AND we now have the organizational processes vide a level of service that meets or WHAT ARE YOU DOING NOW TO CONTINUE in place to insure a steady pipeline of high- exceeds our customers’ expectations. THAT SUCCESS? ly qualified regional talent to meet our WORLD-GEN: WHAT ARE THE TOP GROWTH I should also mention that by being future needs. The Siemens brand in Latin close to the customer, we are often provided Tim Frace: What we do well is lever- America is well known and highly regard- AREAS IN LATIN AMERICA IN THE a view across the entire spectrum of our age our global competencies to offer our ed. We are able to recruit some of the best NEXT 10 YEARS? customers operations and can bring to bear customers the best solutions that meet and brightest candidates in the region by other Siemens global competencies in areas their unique operational requirements. working closely with universities. Our Tim Frace: The past decade has such as water treatment, building technolo- One of our success stories over the last focus now is in recognizing early career brought macroeconomic stability and gies, industrial automation, and transmis- five years in Latin America has been our potentials and placing them in develop- strong growth in Latin America. That being sion and distribution just to name a few. ability to enter into partnerships with our ment programs to maximize their profes- said, the growth rates vary widely at differ- regional customers through Long Term sional growth. We have hired approximate- ent times across the region due to geopoliti- WORLD-GEN: WHAT LED TO THE DECISION Maintenance Programs (LTP). This began ly 300 people over the last five years in 13 cal and other influences. The challenge as a with our large Independent Power countries across Latin America in a num- service supplier in Latin America is to be TO MOVE THE ENERGY SERVICE LATIN Producers (IPP) and utility power plant ber of disciplines including technical imple- able to adjust your business model to com- AMERICA HEADQUARTERS TO COLOMBIA? customers and the success of these pro- mentation, business development, finance, pensate for market volatility. grams helped open up opportunities with and sales and marketing. In some countries, Energy Service will Tim Frace: The decision to move the our customers in the Oil & Gas and see a healthy growth rate driven by the Latin America regional headquarters to Renewables industries. These long-term WORLD-GEN: DO YOU HAVE A RECENT installation of new Siemens equipment. Bogota was based on a number of factors. relationships with customers allow us to Venezuela, for example, has the largest con- Colombia is geographically at the center of gain comprehensive knowledge of their SUCCESS STORY TO SHARE? firmed oil reserves in the world outside of Latin America, which makes it possible to operational objectives and respond quickly Tim Frace: Since I measure success the Middle East, and the second largest reduce travel time. Colombia also has a sta- and appropriately through our dedicated based on customer satisfaction, a recent proven natural gas reserves in the Western ble political and legal system with a grow- program manager and remote monitoring story to share is in Peru. The customer Hemisphere behind the U.S. making the ing economy and a vibrant business cli- that comes with the program. We have wanted to close the cycle on its simple cycle country a top prospect for sustainable mate. The security situation has improved been extremely successful in implement- gas turbines to improve the overall efficien- growth, especially in the Oil and Gas sector. dramatically over recent years making it a ing these programs with our customers in cy and plant output. This was a technologi- In addition, a significant number of our large safe environment for employees and their Argentina and Peru, as well as with IPPs cal challenge because the three SGT6- gas turbines will be installed to power the families. Bogota has excellent universities and private companies throughout the 5000Fgas turbine units did not have the country’s grid over the next several years. and resources to satisfy our future resource region. One obstacle we have run into is same exhaust energy due to internal flow Brazil is among the three largest needs for qualified personnel. with the large state owned utilities in many path configurations. The solution we came emerging economies in the world, and the countries are generally prohibited by law up with was the first-ever upgrade in Latin discovery of massive, pre-salt oil reserves WORLD-GEN: IT’S ONE THING TO HAVE A from entering into long-term agreements, America that incorporated a new Row 4 is making it an extremely attractive market which are normally for a minimum term of blade design and single piece exhaust for investors in the Oil and Gas sector. PRESENCE, HOW ARE YOU LEARNING MORE six years or longer. Therefore, Siemens (SPEX). The upgrade was installed by a Although power generation in Brazil is ABOUT YOUR CUSTOMERS’ NEEDS? has had to be flexible in adapting our prod- team of regional field service personnel four dominated by hydro power, we are also ucts to meet market needs. days ahead of schedule. Most importantly, seeing an opportunity for our renewables Tim Frace: The customer is at the the unit has demonstrated exemplary per- portfolio as highlighted by the recent center of everything we do. Meeting one- WORLD-GEN: TELL US MORE ABOUT YOUR formance since returning to service with an award to Siemens Energy to deliver 63 on-one with our customers on a regular increase of 15.47 MW to the gas turbine, SWT- 2.3MW wind turbines in Brazil. basis is critical. With this in mind we have PRESENCE IN LATIN AMERICA. HOW MANY exceeding the expected performance levels. In Peru, Chile, and Colombia we have also implemented a series of measures to EMPLOYEES DO YOU HAVE IN THE REGION, This order and its execution is a great seen steady economic growth and stability track our performance against our custom- example that I personally like since it exem- resulting in an increase in international er’s expectations. NUMBER OF MANUFACTURING CENTERS, plifies Siemens strengths not only as a investment, and thus we are optimistic for One tool involves an executive score- AND NUMBER OF SERVICE FACILITIES, ETC.? world wide technology leader, but also in our service growth in these countries. card system we use to measure our part- our regional capabilities. Most importantly, Over the long-term, the richness of nership and alliance commitment with the Tim Frace: Siemens Energy current- it demonstrates that we are focused on serv- natural resources and increasing demand customer. The key performance indicators ly has around 7,000 employees in Latin ing our local customers needs. for power makes Latin America a market are established jointly with the customer, America, including over 900 employees with significant growth potential. It will be so we are focused on those items that are working in Service. In Energy Service, we ABOUT TIM FRACE critically important that countries in the most critical to their business plan. This is have four shop repair centers and eight Tim Frace became head of the region continually optimize the mix of vari- an effective tool as it helps us know the field service centers. These are all strategi- Service Division’s Latin American business ous energy sources while minimizing the activities we do around outage planning, cally located across the region. In addition, in 2011. He is responsible for Service carbon footprint. At Siemens Energy, we health and safety, project execution, and Siemens Energy in Latin America also has Fossil, Oil & Gas and Industrial are in a unique position to support this product performance are adding value to a steam turbine manufacturing facility in Applications Service, Service Renewables growth with specialized and qualified our customers. Brazil and power transmission & distribu- and TurboCare. resources located throughout the region. We also have established a regiment- tion manufacturing facilities in Bogota,

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 7 CLASS OF 2012

tracts are available in single and multi-year ity and costs. The remote PV Tie options SUMMARY STEVE LEVY terms up to 20 years,” Levy pointed out. can deliver up to 40 percent savings in “The innovation, performance, and large-diameter copper cables and overall “We are constantly looking for new reliability of our inverter product line rep- installation costs. ways to apply our extensive knowledge to resent a fundamental shift to LCOE, ensur- The AE PowerStation is factory advance the industry,” Levy said in closing. ing our customers achieve the lowest costs assembled, pre-tested, and suitable for all “Currently through our Solar Electric Grid of producing energy over the entire project climates, with or without an enclosure. The Integration System (SEGIS) stage-three lifecycle.” all-on-one-skid design enables utility-scale contract, funded by the US Department of PV project stakeholders to reduce overall Energy Solar Energy Technologies SITEGUARD WHOLE-SITE O&M project costs resulting from one-time engi- Program and administered by Sandia neering, material, and field labor expendi- National Laboratories, we are developing “Whether a site is 5 MW or 500 MW, tures. Its compact footprint allows standard and field-testing technologies focused on we provide long-term system service sup- freight which saves transportation costs. lowering the barriers to adopting solar port solutions to ensure the PV system oper- Utility-scale Solaron inverters, used in the energy on North American utility grids.” ates at peak efficiency” Levy proclaimed. PowerStation to create 1 to 2MW integrat- With more than one million power “We support more than 500,000 mission-criti- ed skids, are desert-ready for dependable products installed, Advanced Energy offers cal equipment units worldwide.” AE current- performance in the most extreme condi- the expertise to help customers design a Vice President, Advanced Energy ly has over 300 MW’s of PV under operations, without requiring any ancillary cool- stable PV system that will deliver clean tions and maintenance contracts. ing systems and energy losses (100percent power while maximizing efficiencies and

Since 1981, Advanced Energy has Analysis of AE SiteGuard® O&M Findings power at 50°C/122°F). profits, anticipate potential issues, and cre- provided the highest value power conver- 40% ate designs that will prevent these issues sion and energy management solutions 30% ZACHRY SELECTS AE from impacting production. to customers throughout the world and 20% has proven to be a bankable partner for 10% In May of 2011, Advanced ADVANCED ENERGY’S CERTIFICATIONS PV investments. “PV installation owners 0% Energy’s Solaron PV inverters and and developers can count on the high s SafeGuard operations and mainte- AND AWARDS: performance and reliability of our nance service program were selected • ISO 9001 certified since 1994

Solaron® and PV Powered™ inverters, 3rd party damage Damaged modules to power a 150-megawatt project locat- • ISO 14001 Breached equipment Hot/loose connections Inaccessible enclosures as well as our dependable warranties and Poor wire management ed in Arizona. The project was award- • NRTL/C Tracking equipment issues Unsealed enclosures/conduit comprehensive SiteGuard® Operations Under/non-performing string ed by Zachry Industrial. “The project, • UL1741 and Maintenance (O&M) services. We The chart summarizes the breakdown slated to be completed in 2013, will be one • IEEE 1547 and 1547.1 have more than a million power conversion of non-conformance counts identified at of the largest photovoltaic solar installa- • CSA C22.2 No. 107.1-01 products and 500 megawatts of PV invert- SiteGuard-contracted sites over the past one tions in North America with a planned out- • National Electric Code 2008 Edition ers installed,” said Steve Levy, vice presi- to two years. Benchmarking the installa- put capacity that is currently larger than Article 690. dent of sales and marketing for the compa- tions and informing the project team of the any solar PV project installed worldwide,” ny’s solar energy business. “We empower most common site problems and failures Levy explained. CORPORATE COMPLIANCE customers to secure more solar projects can help prevent similar occurrences, pre- The Zachry project will utilize We are committed to protecting the and increase their earnings by enabling vent system downtime, and ultimately lower Advanced Energy’s Solaron 500 High environment affected by our products, and them to offer PV systems owners a lower overall Levelized Cost of Energy (LCOE). Efficiency (HE) PV inverters. The Solaron to complying with applicable laws and reg- levelized cost of energy (LCOE) and AE Solar Energy’s commercial and 500 HE line has achieved a 98percent CEC ulations. In doing this, we will proceed improved peace of mind their PV systems utility-scale inverters feature the PV efficiency rating, a record breaking effi- with appropriate care to ensure we contin- will deliver on long-term productions Powered and Solaron brands with power ciency rating for any inverter in this power ue to meet our quality, reliability, and cost- goals.” ranges from 35 kW to 2 MW. The AE class. “By improving peak energy efficien- competiveness goals. Before construction, AE Solar inverter line up offers exceptional choice cy to 98.7percent and weighted efficiency Energy provides industry-leading applica- of systems architectures, integrated fea- to 98percent, three percentage points ABOUT STEVE LEVY tions engineering and project management tures, and innovative BoS solutions to higher than comparable solar PV invert- Steve Levy is Vice President of expertise. During construction, AE Solar improve uptime and reduce installed and ers, our new Solaron 500 HE inverters can Americas Sales for Advanced Energy Energy offers project management, instal- system lifecycle costs. The company con- generate more value for project develop- Renewables. Mr. Levy has more than 25 lation services, and training. Post- tinues to innovate and develop new inverters, owners, and financiers,” Levy under- years of experience in executive leadership construction, SiteGuard ensures optimal er products, including a 500kW inverter, scored. positions spanning high-tech industry to whole-site performance year after year. shipping in Q1 2012 that will dominate the alternative energy markets. commercial space and a next generation RENEWABLE OPERATIONS CENTER (ROC) Previously, Mr. Levy served in lead- UNLOCKING LCOE 1MW inverter that will provide industry ership roles with companies across the leading LCOE and grid stability, slated to Solaron inverters feature advanced Aerospace and Defense markets, and with Levelized Cost of Energy (LCOE) ship late in 2012. IDS and internal digital controls that allow clean energy companies, most recently, analysis considers costs distributed over PV Powered inverters offer industry operators to stream data to virtually any Satcon. While at Satcon, Mr. Levy man- the project lifetime, providing a highly leading reliability, performance and innova- SCADA system. On-board storage can also aged that company’s Government Division accurate financial picture that system oper- tion, combined into one fully integrated sys- record and archive years of data. Solaron along with designing and implementing ators prefer over older, simpler methods of tem that delivers financial gains at every IDS automatically collects and stores a wide their wholesale distribution program. Prior calculating cost-per-watt. Cost-per-watt cal- turn. With segment leading California range of inverter-specific data for remote to Satcon, Mr. Levy was with Northrop culations ignore mission-critical factors Energy Commission (CEC) efficiency and monitoring and advanced performance Grumman where he managed distributed like reliability, service, power quality, and labor saving features and options like inte- insight. It connects to third party data ser- teams of both Business Development and efficiency. As a result, the true return on grated data monitoring hardware make vices like SunEdison SEEDS®, Draker Engineering in support of Military and investment could be substantially different them the easiest to install and commission Labs Sentalis, and DECK Monitoring, pro- S&L programs from the Midwest to than otherwise anticipated. LCOE calcu- inverters. The CEC is the leading North vides Modbus mapping to utility-mandated Australia. Mr. Levy provided singular focus lates the true cost of energy produced American agency to review, compile and or custom SCADA systems and enables an on the Pacific Rim where NGC was measured in cents per kilowatt hour, con- approve inverters for commercial use. IO interface to plant controllers. “We put deployed under contract. Prior to NGC, sidering performance, system costs, and Solaron inverters are engineered comprehensive information at our custom- Mr. Levy held similar roles with EMC, ongoing O&M. with the goal of reducing BoS costs ers’ fingertips with access to environmental Oracle, Tandem and Storage Technology, “Available worldwide, our services are beyond the inverter. Double effective volt- data, PV fleet performance, and energy out- along with three early phase companies in customized to match customer requirements ages with standard cabling and switchgear put, while performing round-the-clock mon- the Silicon Valley. and cover everything from inverters to PV reduce upfront system expense and cut itoring and performance verification from Mr. Levy holds a degree in modules, electrical systems, tracking sys- line losses. Parallel connections to MV our global Renewables Operation Center,” Management from California State tems, and regular reporting. SiteGuard con- transformers reduce transformer complex- Levy shared. University.

8 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

WORLD-GEN: DO UNITS WITH ELECTRO- and SCR. Other units with aging or under- 590 MW Wet FGD systems ROBERT NICOLO sized ESPs that cannot afford the outage Ameren Duck Creek 465 MW Wet FGD STATIC PRECIPITATORS (ESPS) ALSO time for upgrades are considering the fab- Ameren Sioux 2 X 535 MW Wet FGD NEED TO INSTALL FABRIC FILTERS? ric filter as a lower cost solution due to the Seminole Electric 2 X 750 MW SCR ability to install them independently with a Duke Cliffside Unit 6 900 MW SCR Robert Nicolo: That depends on short outage for tie in. Additionally, units PSE&G Hudson 600 MW SCR several factors, including the fuels that are without FGD can gain the benefits of add- East Kentucky 250 MW SCR being used and the current configurations ing Triple Action Catalyst (TRAC® ) or LG&E Trimble County #2 750 MW SCR of the unit. Many ESPs were originally sorbents to meet the mercury and HCL Multiple Utilities including Southern Co. undersized, and in some instances are in emissions with the fabric filter. and AEP Catalyst supply fleet contracts poor condition due to utilization of higher sulfur coals, resulting in corrosion issues. WORLD-GEN: PLEASE SHARE FGD AND ABOUT ROBERT NICOLO However, some utilities that are fortunate enough to have sufficiently sized ESPs that SCR SYSTEMS HITACHI HAS INSTALLED. Mr. Nicolo has 30 years of power and are in good condition may be able to Robert Nicolo: Minnesota Power air pollution control experience on a wide upgrade them to achieve the new PM lim- Boswell Unit 3 350 MW FGD, and SCR variety of fossil generation projects world- its, provided they have an existing FGD Ameren Coffeen – 1 X 360 MW and 1 X (continued on page 11) Director AQCS Hitachi Power Systems America

WORLD-GEN: HOW IS HITACHI POWER SYSTEMS AMERICA HELPING UTILITIES Power Generation Products COMPLY WITH EPA’S MERCURY AND AIR ------Environmental Control Solutions TOXICS STANDARDS? ------After Market Services ------Robert Nicolo: Hitachi has recognized the need to expand our air quality product line to assist our customers in achieving compliance with the recent final- ization of the EPA MATS regulations. We now have a complete suite of technologies that will enable utilities to confidently comply with meeting the mercury, HCL and particulate matter limits set forth for existing units. We have licensed a superior fabric filter technology that has a proven track record, and coupled with our award winning SCR and catalyst technologies, HPSA can now give our customers certainty of outcome for their compliance needs. WORLD-GEN: EXPLAIN HOW THIS TECH- NOLOGY WORKS. Robert Nicolo: The fabric filter is a key component in the ability to comply with the Mercury and Air Toxics Standards (MATS). With the fabric filter’s Looking for solutions to reduce mercury, ability to control particulate matter, coupled with the mercury oxidation capabili- particulate matter, SO2 and SO3 emissions? ties of our patented TRAC® catalyst and the addition of sorbents for HCL capture, this arrangement can result in a multi-pol- lutant approach that can meet the new With over 30 years experience and many successful projects around the world, Hitachi is MATS emission requirement. Our TRAC® an industry leader in Air Quality Control Systems. Hitachi’s proven technologies include catalyst will reduce, and may eliminate, the Fabric Filter*, SCR Systems and Catalyst, and Wet Flue Gas Desulfurization. need to inject costly carbons by oxidizing mercury for collection in the fabric filter. Hitachi Air Quality Control Systems will signicantly reduce emissions to comply with the recent U-MACT regulations and minimize capital investment and operating costs while WORLD-GEN: WILL FABRIC FILTERS BE IN increasing reliability and turndown. HIGH DEMAND OVER THE NEXT FEW YEARS? Ask Hitachi about its total environmental solutions.

Robert Nicolo: Yes, we believe that * License from Balcke Durr.. , an SPX Company the fabric filter technology will play a key role in the ability to meet the requirements of MATS. We have already seen a large HITACHI POWER SYSTEMS AMERICA, LTD. demand for fabric filters from some of the 645 Martinsville Road, Basking Ridge, NJ 07920 [email protected] Tel: 908-605-2800 largest utility fleets in the U.S. This is a www.hitachipowersystems.us viable, proven and cost effective method to meet MATS.

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 9 CLASS OF 2012

Google invested $280 million in a SolarCity The power will be delivered to Southern This willingness to be ahead of the RICK NEEDHAM fund to help provide innovative financing California Edison under long term industry and invest in large scale for residential solar projects. agreements. The Alta projects also employ innovative projects is core to our success SolarCity, a full service solar systems an innovative financial structure called a as a company.” provider, can offer up to 8,000 additional leveraged lease. We are looking forward to a clean customers the option to go solar through a Under the leveraged lease, Google energy future. Based on our work to green solar lease or power purchase agreements. and Citi are purchasing the Alta IV project our operations and the investments we’ve Investors like Google purchase the and will lease it back to Terra-Gen who will made, we also know that clean energy can system up front and, in return, receive a manage and operate the wind projects be good business. portion of lease payments from the home- under long-term agreements. We hope to inspire other companies owner along with SolarCity. and investors to participate in the clean SolarCity has completed or is cur- SHEPHERDS FLAT WIND FARM energy revolution and together explore rently building out more than 15,000 resi- what’s possible.” dential solar systems, the most of any com- Google invested approximately $100 Google’s data center team has been pany in the US. million in the Shepherds Flat Wind Farm working on a project to bring its facilities currently under construction near to even higher standards for environmen- BRIGHTSOURCE Arlington, OR and when completed in 2012 tal management and workforce safety. Director, Green Business Operations will produce 845 MW’s of energy. The elec- All US owned and operated data cen- Google “In 2008, we invested $10 million in tricity produced at Shepherds Flat will be ters have received ISO 14001 and OHSAS startup company Brightsource via Google. sold under long term agreements to 18001 certification. Google is investing in a clean energy org. We subsequently invested another Southern California Edison. Google’s the first major Internet ser- future with a nearly billion dollar renew- $168 million into their first utility-scale The developer is Caithness Energy vices company to gain external certifica- able energy portfolio of 1.7 GW’s. “A clean solar project called Ivanpah, in California’s and GE which is an early investor in tion for those high standards in its five US energy future means running our build- Mojave Desert,” Needham noted. Shepherds Flat as well as the turbine man- data centers. ings as efficiently as possible, piloting new Ivanpah will produce 392 MW’s of ufacturer and operations and maintenance Today, most of Google’s data centers clean energy technologies and committing solar power once it is up and running in supplier. The co-investors are Sumitomo have emergency backup generators on to long-term power purchase agreements 2013, and is expected to supply both Corporation of America, a subsidiary of hand to keep things up and running in that actually green today’s energy grid,” Pacific Gas and Electric and Southern Sumitomo Corporation and Tyr Energy, a case of a power outage. To reduce the Rick Needham, Director, Green Business California Edison with energy equivalent subsidiary of ITOCHU. environmental impact of these generators, Operations said. Several of the projects to that used in 140,000 homes. Google minimized the amount of run time deploy newer technologies at large scale The Ivanpah Power Tower will be GOOGLE IN GERMANY and need for maintenance, and worked for the first time, dramatically impacting approximately 450 feet tall and will use with the oil and generator manufacturers their ability to grow, get financed, and 173,000 heliostats, each with two mirrors. In 2011, Google made its first inter- to extend the lifetime between oil changes. drive down costs.” The project is being constructed by national investment of €3.5 million This has reduced oil consumption by 67 Bechtel. Construction began in October (approximately $5 million) for a 49 per- percent. PV IN CALIFORNIA 2010 and is projected to finish in 2013. cent equity stake in the project in a The Ivanpah project will also be recently completed solar facility in ABOUT RICK NEEDHAM Google invested $94 million in a port- financed by NRG with loan guarantees pro- Brandenburg, Germany. More than 70 folio of four solar photovoltaic projects total- vided by the US Department of Energy. percent of the solar modules used in the Rick Needham is Director of the ing 88 MW, being built by Recurrent project were produced by German manu- Energy & Sustainability team at Google, Energy near Sacramento. PEACE GARDEN WIND FARMS facturers. where he has worked since 2008. This The company invested alongside KKR team has spearheaded a variety of projects and Recurrent. “We’re excited to be joining Google’s first investment in a utility- AWC OFFSHORE including investing in large scale renew- global investment firm KKR on their first scale renewable energy project was $38.8 able energy projects. renewable energy investment in the US,” million in two wind farms in North Dakota Google invested a 41.7 percent Rick currently sits on the board of Needham shared. that generate 169.5 MW’s of power. equity stake in the Atlantic Wind the Atlantic Wind Connection (AWC), a The energy produced by these proj- The projects were built by NextEra Connection. AWC will build a project company developing an offshore ects is already contracted for 20 years with Energy Resources which uses advanced superhighway transmission infrastructure transmission backbone off the Mid Atlantic the Sacramento Municipal Utility District wind turbine technology and monitoring to stretch 350 miles along the coast from coast to enable 7,000MW of offshore wind. (SMUD), the first projects to be built under and control systems to provide one of the New Jersey to Virginia to connect up to Prior to joining Google, Rick was a their feed-in tariff program (FIT). lowest cost sources of renewable energy in 7,000 MW’s of offshore wind power. business development executive and existence today. “We were excited to make The AWC project is led by Trans- Project Manager at DEKA Research & HOMEOWNER FINANCING this investment because it marked both Elect and is financed by Google, Good Development Corp. the first production tax credit deal done Energies and Marubeni. “We are investing While at DEKA he led the business Google invested $75 million to create since the financial crisis of 2008 and also 37.5% of the equity in this initial development efforts around clean energy an initial fund with Clean Power Finance the first entry of a non-energy corporate development stage, with the goal of and managed several technology develop- that will help up to 3,000 homeowners go investor into tax equity financing, a form of obtaining all the necessary approvals to ment projects in clean energy, medical solar. Purchasing a solar system is a major financing that was tightly constrained since finance and begin constructing the line. products, and robotics including the devel- home improvement, but the upfront cost 2008 and was thereby preventing good Although the development stage requires opment of an advanced upper prosthetic has historically been one of the biggest projects from getting built,” Needham only a small part of the total estimated arm currently in trials with the Veterans barriers for homeowners. “That’s where claimed. project budget, it represents a critical Administration and featured on 60 Clean Power Finance comes in. They’ve stage for the project,” Needham said. “The Minutes. developed an open platform that connects ALTA WIND ENERGY CENTER mid-Atlantic region is ideally suited for Prior to DEKA, Rick worked at Bain installers with investors (like Google) to offshore wind. It offers more than 60,000 & Company, a global business consulting provide financing to homeowners,” Google invested a total of $157 MW’s of offshore wind potential in firm, and served for eight years as a nucle- Needham explained. million in two projects totaling 270 MW’s relatively shallow waters that extend miles ar submarine officer in the U.S. Navy. Solar installers sign up with Clean at the Alta Wind Energy, a wind installation out to sea. Rick holds a BS in Aerospace Power Finance to build the system, the center being built by Terra-Gen Power in We believe in investing in projects Engineering from the US Naval Academy, investor owns it (in this case, Google) and several phases to generate a combined that make good business sense and further an MS in Aeronautics and Astronautics homeowners pay a monthly payment for 1,550 MW’s of power. the development of renewable energy. from MIT where he attended as a Draper the system, at a price that’s often less than The project will also use some of the We’re willing to take calculated risks on Fellow, and an MBA from the Harvard paying for energy from the grid. first transmission lines of Tehachapi early stage ideas and projects that can Business School. Google installed a 1.6 MW’s rooftop Renewable Transmission being developed have dramatic impacts while offering solar installation at the Googleplex in 2007. specifically to transport renewable energy. attractive returns.

10 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

WIND ENERGY country working on various projects. RES SUSAN REILLY Americas’ project management has a prov- ROBERT NICOLO RES Americas has been active in en track record of bringing large projects CONTINUED FROM PAGE 9 North America since 1997 and during this to completion on time with no cost over- time has either developed and/or con- runs. wide. He is responsible for all of the air structed more than 4,800 megawatts of quality control products for Hitachi Power renewable energy projects, which repre- RES EARTH AND CABLE Systems America, including CO2 capture sents approximately 10% of the operating technologies and projects using all types of wind farms in the U.S. RES Americas is a In 2010, RES Americas enhanced its flue gas treatment systems including desul- leader in the renewable energy industry, internal construction capabilities with the furization (FGD) and selective catalytic with in-house expertise ranging from creation of RES Earth and Cable, through reduction (SCR) systems. Previously, he resource analysis, development, site the acquisition of a contractor specializing was Bechtel’s Air Quality Control Systems design, procurement, engineering, and in construction techniques associated with Manager and the technical specialist construction, through to operations. The the construction of wind energy and utili- responsible for their air quality control sys- company builds wind projects it has self- ties projects. tems employed on their projects. He developed, as well as projects developed by RES Earth and Cable owns and oper- worked for Combustion Engineering and other companies. ates the heavy equipment and specialized Noell Inc, in design, startup and servicing President machinery used to build roads, install of numerous AQCS applications worldwide. Renewable Energy Systems SOLAR ENERGY underground cabling and cranepads, and to perform foundation excavation and backfill- ABOUT HITACHI POWER SYSTEMS RES Americas is also involved in ing. Owning this fleet of equipment gives solar energy projects and has recently the company direct control over the pro- AMERICA Susan Reilly is President and CEO of completed one of the largest solar PV cesses in the field, which in turn improves Hitachi Power Systems America, Ltd., Renewable Energy Systems Americas Inc. plants in the U.S., the 30 megawatt its already impressive safety record, refines is a leading supplier of equipment and ser- (RES Americas) and RES Canada. An ener- Webberville Solar facility near Austin, and further develops its long standing his- vices for the Power Generation Market gy industry veteran, Susan is an econom- Texas. This project will provide enough tory of high quality, and allows it to offer including Fossil, Nuclear, and Hydro facili- ics graduate and qualified as a Chartered clean energy to power 5,000 homes. lower cost projects to its clients. ties. Products include advanced Pulverized Accountant in the UK. Coal Boilers, HRSG’s, Steam, Gas and Her career began in corporate invest- IN-HOUSE TECHNICAL CAPABILITY CONSTRUCTION SERVICES Hydro Turbines and Generators, ment, banking, and venture capital. Susan Substation Equipment and Air Quality joined the energy industry in 1995, initially One of RES Americas’ greatest The experienced team of field per- Control Systems for new plants and retrofit in a strategy role for the UK energy utility strengths is its technical expertise. The sonnel brings knowledge of all types of applications. As a Single-Point Supplier, we Scottish Power, shortly after the company company has all the required skills in- conditions and the ability to be successful offer total solution services including oper- was privatized. The company was heavily house to streamline the development pro- in the most difficult of project scenarios. ation and plant assessments, engineering weighted in coal and nuclear, and her ini- cess and create value while addressing sit- RES Earth and Cable provides construc- studies, performance optimization, emis- tial focus was to diversify into other fuels ing issues and constructability. tion services to third-party clients as well sions improvement, equipment replace- like gas and wind. Scottish Power’s wind The wind and solar data analysis as performing work on RES Americas proj- ment and upgrades, spare parts and coal to business became the largest wind busi- activities include installing meteorological ects, and increases the competitiveness of gas conversions. ness in the UK, was ultimately acquired by towers, calibrating anemometers and main- RES Americas’ Balance of Plant (BOP) pro- Iberdrola of Spain, and now forms part of taining quality control of the data collected posals. Iberdrola Renovables, the largest global including long-term climate estimates. This supports RES Americas’ mission wind company. Susan joined RES in 2010 of contributing to a sustainable energy to continue focusing on renewable energy TRANSMISSION future through the development and con- investment. struction of utility-scale renewable energy TOBY SEAY RES Americas develops and con- projects that are sensitive to both the envi- CONTINUED FROM PAGE 4 ABOUT RES AMERICAS structs transmission lines for its renewable ronment and the communities in which it generation is going to become more projects as well as for other parties includ- serves. RES Earth and Cable has con- sophisticated,” he says. “Rather than run- RES Americas is part of the RES ing utilities. It has constructed or has structed more than 2,700 megawatts of ning individual tie lines from wind farms Group of companies, a wholly-owned sub- under construction more than 500 miles of renewable energy projects. off shore, we expect several wind farms sidiary of RES Limited (RES) of the United transmission lines. These include both sin- will capitalize on the efficiency of creating Kingdom. RES Group employs over 1,000 gle-circuit and double-circuit lines up to RES CANADA a network of substations off the coast with people worldwide dedicated to the devel- 345kV. a single tie line running to a major substa- opment, construction and operation of The range of transmission services Renewable Energy Systems Canada tion on shore that ties to the grid.” Seay is renewable energy projects. RES Americas offers spans cost analysis, Inc. (RES Canada) is also part of the RES looking with interest to potential wind RES Group was founded in 1982 and permitting, design drawings, VAR support, Group of companies. RES Canada has been farms along the Atlantic coast as well as off is affiliated with the Sir Robert McAlpine harmonic study and mitigation, and ulti- active in Canada since 2003 and its head the coast of Britain. He believes that in Group, a family-owned civil engineering mately, construction. office is located in Montreal, Quebec with four or five years, Bechtel will be involved and construction company in business for The company specializes in the devel- project offices in Ontario. in offshore wind and transmission projects more than 140 years with over 1,700 opment, permitting, engineering, materials RES Canada constructs wind and worldwide. employees. procurement and construction of transmis- solar energy projects, serving as a third “Accordingly, we are building up our RES Group’s head office is located in sion lines and substations. Its internal party construction partner for over 60% of capacity and scaling up responsibly,” Seay London, England. Internationally, RES development and permitting groups have its portfolio. RES Canada offers its clients says. “We believe the market will continue Group has offices in England, Scotland, extensive experience in bringing projects and partners fully integrated expertise in to develop for us both in the United States France, Scandinavia, Turkey, South Africa, to construction and assisting with compli- all aspects of project development, wind and abroad over the next 24 months as Australia, the U.S., and Canada. RES ance through the construction phase. resource measurement and analysis, per- people come to understand what Bechtel Group’s wind energy experience has been The in-house engineering team, in mitting, financial modeling, turbine selec- has to offer in the transmission business. gained through its involvement in over 108 combination with the extensive national tion, electrical design, civil engineering, Our capacity continues to increase as more successful wind farm projects totaling and international network of suppliers, finance, construction, operations and main- companies look to the next level—either almost 6,000 megawatts on four conti- contractors and subcontractors, and engi- tenance. by building up their internal capability or nents. neering consultants, gives RES Americas In 2011, RES Canada completed two engaging an EPC contractor like Bechtel. RES Americas is headquartered in the ability to provide its clients with “one- significant wind farms in Ontario for As companies face an increasing need for Broomfield, Colorado with regional offices stop-shop” service, as well as construction- Enbridge. These projects, which total near- EPC services, they come to recognize the in Austin, Texas; Portland, Oregon; and only services. ly 200 megawatts, will generate energy suf- value of the kind of capabilities Bechtel Minneapolis, Minnesota and has approxi- The construction teams are highly ficient to power 66,000 homes. offers.” mately 360 employees. experienced and located throughout the

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 11 CLASS OF 2012

empowered to make changes and is missioning, operations and maintenance, when approaching safety. DIRK ROUNTREE accountable for their actions.” and technical project support. “PIC’s people are our greatest asset. PIC was founded in 1988 as a con- Though its capabilities have grown, For over 20 years, PIC’s commitment to tract staffing and consulting firm. It quick- PIC’s commitment to its customers and its achieving zero injuries, zero incidents and ly gained the reputation as a reliable employees has remained the same – to be zero harm to the environment has yielded source for highly-skilled professionals in The Best Of The Best®. “The Best Of The some of the safest and healthiest working the power and petrochemical industries. Best® has become more than just a slogan conditions in the industry,” adds Rountree. Today, PIC focuses on the unique needs of at PIC; it’s part of our culture,” says As shown by the various safety excel- power generation facilities worldwide, with Rountree. The first of 10 founding princi- lence awards it continues to receive, PIC a service portfolio that spans the entire ples, this trademarked statement means has long been recognized as a safety lead- project lifecycle. PIC’s services include that all employees must strive to constantly er. Here are just a few of the accolades PIC installation, full scope turbine and boiler evaluate their actions and always look for a has recently been presented with: outage, integrated plant start-up and com- better way. This is especially important (continued on page 14)

Executive VP & General Counsel PIC Group, Inc.

Dirk Rountree is Executive Vice President and General Counsel of PIC Group, a global power generation service provider. In this position, Rountree leads the company’s Legal & Compliance, Human Resources, Risk Management & Insurance, Safety, and Quality depart- ments. Rountree has over 25 years of legal and business operations experience work- Founded in 1988 ing in top corporations and law firms, including over 10 years of wide-ranging Years experience power generation experience at PIC. 24 ® “I definitely wear many hats at PIC,” “The Best Of The Best ” laughs Rountree, “but I enjoy every minute of it. We are in a growing, dynamic indus- Ready to manage try and every day brings a fresh set of challenges. Thanks to the great people I work youR next with and their outstanding capabilities, PIC poweR pRoject. has carved out its own successful place in the field of power generation. I see my main job as keeping everyone that works Founded in 1988, PIC has been a leader in the with us safe, so we can continue to provide power generation industry for over 20 years. the level of service for which we have We are experts at managing multi-faceted become known. I truly believe that PIC is projects including start-up and commissioning, the best company to work for in the power operations and maintenance, installation, turbine industry, and that's my legal opinion.” outages, mechanical services and technical Prior to joining PIC, Rountree was services. Combine these capabilities with our Managing Attorney at GE Contractual responsive approach and global resources, and Services, a division of GE Energy. There, it’s easy to see why those who know choose PIC. he served as lead counsel for domestic and international power generation proj- www.picworld.com ects ranging in value from $50 million to over $2 billion. Rountree holds a Bachelor of Science degree in Risk Management & Insurance from Florida State University and received his Juris Doctorate from the University of Tennessee, where he was Executive Editor of the Tennessee Law Review. FOCUS ON SAFETY

As the officer in charge of PIC’s Safety department, Rountree explains how PIC has taken a non-traditional approach to its safety programs. “Safety is a popular topic in the power generation industry. The traditional approach relies on only a few individuals to carry the full weight of their organization’s safety programs. At PIC, we don’t appoint that responsibility to just one or two people. Safe work habits are integrated into the daily lives of all employees – from the field to top management. Everyone is

12 PIC 16440 WG_7x10_4C.indd 1 WORLD-GENERATION FEBRUARY/MARCH2/1/12 2012 4:00 V.24 PM #1 CLASS OF 2012

architecture supports over 10 million plant multi-vendor balance-of-system equipment new AURORA MICRO-0.3 micro-inverter PAOLO CASINI operations transactions per day. including inverters, string combiners, as well as its DC/DC power optimizer and The hardware component of AURORA meters and environmental systems. the AURORA ULTRA-1400, the largest Vision offers equipment designed to capture Moreover, the system delivers accurate and inverter currently available with an output and transfer data and environmental infor- reliable data in a high-frequency. of up to 1.4 MW’s during 2011. mation. A key product is the AURORA Power-One’s AURORA Vision newest Universal System, a high-performance data accessories include AURORA Smart ALTERNATIVE TO STRING INVERTERS management platform which is installed at Combiners for 8, 12 and 16 strings and the PV plant. The system is available for AURORA Environmental Units which mea- With the AURORA MICRO-0.3 both residential and industrial installations sure temperature, irradiance, wind speed inverter, Power-One introduced an and also offers revenue-grade metering and and other environmental conditions. alternative to the traditional string smart grid integration. AURORA Universal In addition to presenting the new inverters. The AURORA OPTI-0.3 power interoperates with AURORA Vision and AURORA Vision, Power-One launched the (continued on page 18)

Vice President, Renewable Energy Solutions Power-One, Inc.

Power-One is a leading provider of renewable energy and energy-efficient power conversion and power management solutions and is the world’s second largest designer and manufacturer of photovoltaic inverters. Its renewable energy products enable the industry’s highest yielding conversion of power from solar arrays for use by utilities, commercial enterprises and homes. Power-One has a 40 year history as the leader in high efficiency and high density power supply products for a variety of industries including Renewable Energy, Servers Storage & Networking, Industrial and Network Power Systems. The company is headquartered in Camarillo, CA and has global sales offices, manufacturing, and R&D operations in Asia, Europe, and the Americas. Power-One is traded on NASDAQ under the ticker symbol PWER. Following the 2011 acquisitions of Energy Recommerce and Act Solar, two leading providers of lifecycle management software for renewable energy assets, Power-One now offers a holistic portfolio of products, services and solutions. Conference & Exhibition PANEL TO GRID SOLUTIONS iNTEGRaTiNG ThE 12 – 14 June 2012 KoelnMesse, Cologne, Germany “Our main objective is to meet our PowEr SECTor customer needs by providing a complete Now in its 20th year, POWER-GEN Europe, co-located with Renewable Energy World Europe, offers the largest panel-to-grid system solution”, said Paolo and most comprehensive conference and exhibition for the European electricity and power technology sector. Casini, Vice President, Product Marketing at Power-One. “We are excited to present Information exchange Sales and Sponsorship the new AURORA Vision services that pro- POWER-GEN Europe and Renewable Energy World Europe is a place for the cross-pollination of ideas Bridgett Morgan vide greater system control and yield for and best practice among the world’s leading power industry professionals from each end of the power T: +1 (918) 831-9130 our customers. The AURORA Vision prod- generation spectrum. E: [email protected] ucts and services are designed to maxi- Flexible solutions mize uptime, increase the return on invest- Technology development is being geared toward providing flexible solutions that enable integration of variable renewables and conventional power and these solutions are now being brought to market ment and thereby give operators the neces- Seeing the big picture sary peace of mind.” The AURORA Vision POWER-GEN Europe and Renewable Energy World Europe are events where power industry professionals portfolio consists of three components - can appreciate the big picture and truly engage with the direction that the industry is heading. software, hardware and accessories. No other conference and exhibition brings together these now essential partners in the harmonization Power-One’s AURORA Vision of Europe’s energy future. software features a full range of functionalities to maximize system energy For more information visit: output while minimizing costs, including www.powergeneurope.com system fault management, diagnostics, asset tracking, performance index, and www.renewableenergyworld-europe.com alerting services. It provides highly Owned and Produced by: Presented by: Supported by: Co-located with interactive and real-time access to key performance data and operations metrics giving plant managers the information needed to optimize operational decisions. The field-tested, scalable and secure

0083_PGE ad_7x10.indd 1 01/11/2011 15:17 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 13 CLASS OF 2012

tions. More than $200 billion was invested communication of strategic risks such as Production, Onshore Property, Domestic, JEANNE JANKOWSKI on wind, solar and biofuels in 2010, and we supply chain breakdown, loss of custom- Excess and IPZ Casualty, with a key focus see this spending continue to grow expo- ers, damage to brand equity, low employee on Oil and Gas, Mining, Power Generation nentially as the world demands more non- morale, and failure to meet legal and regu- and Alternative Energy. Jankowski joined fossil fuel sources. latory requirements. They closely monitor Zurich in 2004 and most recently served as Companies operating in the alterna- specific loss trends, emerging risk issues, head of Energy, Property for GCiNA. Prior tive energy industry face unique risk issues. and best practices used across the indus- to joining Zurich, she held a number of For example, moving critical equipment and try. Through Zurich’s global network of executive leadership roles with American materials from alternative energy manufac- risk engineers, we can leverage cross- International Group and Travelers turers to remote sites requires ocean and industry experience that will help a compa- Insurance. Jankowski holds a bachelor's inland marine transit solutions that can navi- ny better analyze losses, evaluate expo- degree from St. Mary's College, Notre gate fast-moving risks and the changing sures, assess controls, identify gaps and Dame, Ind. She also studied abroad with regulatory and security environment. develop customized solutions. New York University's program in Madrid, The erection of a wind farm or solar At every point along the production, Spain and completed the Management for energy panels requires a holistic construc- manufacturing or distribution process, Executives program at Rice University in tion risk management program from an Zurich Energy Risk Engineers provide spe- Houston, Texas. experienced insurer. Federal laws in the cialized insights to address your most com- Head of Global Energy U.S., such as investment tax credits and plex risk management challenges. Each Zurich carbon credits can affect how a company year, Zurich completes more than 1,000 operates. To meet all the needs of alterna- risk assessment and consulting projects WORLD-GEN: WHAT WILL THE ENERGY tive energy producers and manufacturers, annually by energy specialists who average DIRK ROUNTREE Zurich Energy offers more than 70 risk more than 20 years of industry experience. CONTINUED FROM PAGE 12 INDUSTRY OF THE FUTURE LOOK LIKE? management services and 17 online tools Jeanne Jankowski: We are on the to help mitigate losses and reduce both WORLD-GEN: ZURICH RECENTLY TRANS- • Occupational Excellence Achievement cusp of an exciting and revolutionary ener- operational and financial risks. Award (from the National Safety Council) gy future. Steadily increasing global FERRED ITS ENERGY CASUALTY BUSINESS • Georgia Department of Labor Award of demand is driving innovation, including WORLD-GEN: WHAT SETS ZURICH APART TO ITS GLOBAL COOPERATE ENERGY UNIT. Excellence new technologies for more efficient pro- • Kentucky Governor’s Safety and Health duction of conventional oil and gas energy AS AN ENERGY INSURANCE PROVIDER? WHY WAS THIS MOVE MADE? Award resources as well as exciting, new alterna- Jeanne Jankowski: Energy compa- Jeanne Jankowski: Zurich’s aim is • Barrick’s Award of Merit for Zero Lost tive renewable energy possibilities. In the nies operate in an intensely complex and to create a unified face to the market that Time Accidents U.S., there has been a resurgence of oil competitive environment where the brings our customers Energy industry “We could not have won any of these and gas production. Clearly, a major demand for increasingly better products, knowledge, experience and expertise. This awards without the dedicated efforts of all reshuffling of the global energy market- services and prices requires almost flaw- move ensures better coordination across of our employees, both in the field and in place is underway, with profound implica- less performance. To support energy com- the globe for what is a predominantly glob- our offices. My goal is to continue this pat- tions for our economic future. panies in meeting their business objec- al customer segment. My responsibilities tern of excellence by maintaining our con- tives, Zurich Energy has developed a include oversight of Exploration & centration on safety as we move forward.” WORLD-GEN: WHAT ARE SOME OF THOSE robust combination of people, products Production, Onshore Property, Domestic, and services: Excess and the International Program BENEFITS OF TEAMWORK IMPLICATIONS? We have 28 Energy Casualty under- from Zurich Casualty, with a key focus on Jeanne Jankowski: The changing writers with deep industry experience Oil and Gas, Mining, Power Generation According to Rountree, PIC’s focus energy outlook also means an inevitable located across seven regional offices in the and Alternative Energy. on teamwork ensures that their working expansion of risk. The business has always United States. Globally, Zurich has more World-Gen: Can you tell us a little bit environments are as safe as they can be, faced a variety of inherent risks, but these than 65 Energy operators to address the more about how the International Program but that is not the only arena in which PIC are changing as new technologies lead property and casualty needs of companies from Zurich works? It’s fairly new. Why did employees are skilled at working together. exploration and production farther out to worldwide and more than 1,000 risk engi- Zurich create it? “By coordinating their efforts, our six sea and into deeper waters. New recovery neers, with 64 of them dedicated to the Jeanne Jankowski: In a world of mul- complementary service lines can manage techniques are breathing new life into Energy industry. tinational, high-risk energy operations, the an entire project lifecycle or provide expert mature oil fields and enabling the extrac- In terms of products, Zurich offers International Program from Zurich (IPZ) services at any point along the way,” says tion of supplies from previously inaccessi- robust primary casualty solutions that offers a solution to the challenges created Rountree. ble shale deposits. And new alternative include core coverages for General by global programs. While Zurich Global Bundling services has become an energy technologies are coming online, Liability, Worker’s Comp, Auto and a vigor- Energy has successfully managed interna- increasingly popular trend in many indus- promising more environmentally friendly, ous set of pollution liability endorsements tional accounts for many years, the intro- tries. Instead of dealing with multiple com- low-carbon sources of power. and contractors pollution liability. In addi- duction of IPZ has been a boon for us. panies, customers find one to fit all of their However, in addition to the traditional tion, we offer strong excess casualty solu- Managing risks associated with glob- needs. In the power generation industry, risks faced by the industry, from property tions. Finally, we offer custom risk control al energy operations can be demanding. PIC was one of the first to offer this type of damage and worker health and safety to programs that address the risk control Risk managers need to account for market service. environmental liability, new production needs of the most complex energy custom- conditions and varying insurance regula- “PIC’s service lines grew organically techniques and renewable technologies are ers and pull from state-of-the art risk con- tions in each country where there are in response to our clients’ needs. Our staff expanding the range of risks faced by the trol services to drive down loss cost and exposures. These challenges can be over- has amassed years of collective experience industry. Managing these risks effectively enhance results. whelming without the assistance of an in the commissioning, start-up, operation, begins with a clearer understanding of what Finally, because the energy field is experienced insurance carrier who has maintenance and repair of power plants they are and how they can be addressed. truly a global business, having a business local knowledge in the countries where the and other industrial facilities. relationship with an insurance company customer has operations. This allows PIC to draw upon inter- WORLD-GEN: IS THERE A HIGH DEMAND that has a global reach like Zurich is an Zurich’s success with IPZ can be nal and external resources to design and important strategic advantage. attributed to several factors: its ease of deliver optimum solutions. FOR RENEWABLE ALTERNATIVE ENERGY administration, streamlined efficiencies The key advantage to our customers POSSIBILITIES TODAY OR DO YOU FORESEE WORLD-GEN: WHAT SORT OF SERVICES and Zurich’s global experience. is the ability to work with one, trusted partner. THAT MORE DEMAND WILL COME IN THE DO THE RISK ENGINEERS PROVIDE? ABOUT JEANNE JANKOWSKI This saves time and money – both of FUTURE AND WHAT ARE THE IMPLICATIONS? Jeanne Jankowski: Zurich Energy which are always appreciated.” Risk Engineers understand the challenges Jeanne Jankowski is head of Energy Jeanne Jankowski: The simple of today’s world by providing real and valu- for Global Corporate in North America. answer about demand is yes to both ques- able insights into the management and She is responsible for Exploration &

14 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

solar products to China by hundreds of mil- JOHN LEFEBVRE lions of dollars. Trade wars are job killers, and Suntech is opposed to trade barriers at any point in the global solar ecosystem. The specter of rising solar electricity prices comes at inopportune time for the industry, as short-term dips in both electricity demand and natural gas prices could lure policymakers into a false sense of energy security. Although some believe that new natural gas extraction technologies could undermine solar’s value proposition, I disagree. Global electricity demand is projected to triple in the 21st century, and even if we did just uncover another “100 years” of gas supply in the U.S., we cannot satisfy new demand with fossils President, Suntech America alone in this century or the next. I believe there is a strong immediate opportunity for solar and natural gas to work together, par- STATE OF THE U.S. SOLAR INDUSTRY ticularly as a bridging solution away from The United States solar industry coal. But without cost effective renewables, experienced significant growth in 2011, we are still confronted with the same long- and is now in the running with China, Italy, term energy and environmental challenges. and Germany to be one of the top three solar markets globally in 2012. As anticipat- STATE SOLAR POLICIES ed, US market demand was particularly There are many states that under- strong in Q4 2011, driven largely by the stand the costs of pushing this problem to expiry of the US Treasury’s 1603 cash future generations. This year, we anticipate grant program on December 31, 2011. new or steady solar policy support from Project developers were eager to secure many states, including California, New module supply and get to work before the Jersey, Arizona, Colorado, Illinois, Rhode New Year. That brings us to 2012, which Island, Ohio, and New York, and we’re could see approximately 2.5GW of new working with a number of great down- solar installations. As encouraging as 2011 stream partners in those regions. Texas was for solar in the US, continued success remains a wild card, and if policy makers in 2012 will not be without challenges. decide to recognize and embrace solar’s new value proposition, then solar, too, will AWAITING TRADE DECISIONS be bigger in Texas. With a few common- Most importantly, the market awaits a sense policies over the next two years, par- decision from the US Department of ticularly focused at tackling the state’s Commerce and the U.S. International Trade peak power shortages and water concerns, Commission to determine whether or not it Texas could quickly become one of the will impose duties on imports of solar cells world’s largest solar markets. And we’ll and modules from China. Suntech has fully continue to help defend the federal ITC, cooperated with the DOC and ITC process, push for another 1603 extension, and pro- and as a global company listed on the tect solar policy priorities in other states. NYSE, we remain confident in our position We remain confident that competitive and will continue to substantiate our strict solar markets, if unimpeded, will make adherence to fair international trade practic- solar electricity competitive against most es. Whatever decision is reached, we will traditional forms of electricity generation. fully leverage our global supply chains and Nobody said the transition to a more sus- do everything in our power to ensure busi- tainable global energy economy would be ness as usual for our customers. easy, or that we wouldn’t encounter resis- What’s clear, however, is that this spi- tance. But we remain confident about raling solar trade war is already having a solar’s growth in 2012 and beyond. negative impact on the U.S. solar industry. This major distraction is a jobs program for ABOUT JOHN LEFEBVRE lawyers and lobbyists. The industry must John Lefebvre became President of refocus on our most important goal: to Suntech America in September 2011. Mr. make solar affordable for the mass market. Lefebvre previously served as Vice After decades of incremental innovation President of Sales and Business Develop- throughout the global supply chain, solar is ment at SolarCity, a full-service solar pro- starting to compete against many tradition- vider for homeowners, businesses and gov- al power generation assets. This should be ernment organizations in the U.S. Mr. a time of celebration and rapid growth. Lefebvre began his career in the aerospace division of GE before transitioning to the PRESSURE ON SOLAR COST semiconductor equipment industry. At Unfortunately, the imposition of trade Lam Research and Mattson Technology, barriers would act like a tax and raise the Mr. Lefebvre held senior management and price of solar electricity for American con- product development positions working sumers, reducing demand for solar and across Asia, Europe, and the U.S. Mr. limiting job growth. It’s important to Lefebvre received an M.B.A. from the remember that the U.S. is a net exporter of University of British Columbia.

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 15 CLASS OF 2012

purchase agreements for less than 10 cents tious. In states with strong policies encour- While lower costs and policies have JULIA HAMM per kilowatt-hour in some areas – an amaz- aging solar development, the impact of driven the fast expansion of solar in the ing number for an industry that was greater unplanned and randomly placed distribut- U.S., utilities are implementing creative than 20 cents per KWH a few years ago. ed generation connecting to utility lines is business models to sustain, and improve a major concern for engineers and opera- upon, the recent growth. COMPLEX RULES tions staff. Another big challenge is possi- Julia Hamm is the president and ble revenue erosion and equitable cost CEO of the Solar Electric Power The rapid growth of solar brings with recovery in the face of more net metering- Association (SEPA). Prior to leading it a host of challenging issues for the utility based solar – all challenges never thought SEPA, she was a senior associate at ICF business. The rules and procedures gov- of 20 years ago. International. She holds a Bachelor of erning everything from solar incentive pro- The good news is that the utilities Science in Business Management from grams, net metering and interconnection and the solar industry are meeting and Cornell University. are often complex and sometimes conten- dealing successfully with these challenges.

President Solar Electric Power Association

This year marks the 20th anniversary September 10 –13, 2012 of the Solar Electric Power Association – Orange County Convention Center 20 years of helping utilities engage with solar. To say a whole lot has changed in Orlando, Florida the growth of solar in those 20 years would www.solarpowerinternational.com be an understatement. In the early 1980s, a major market for solar photovoltaic (PV) cells was still calcu- lators and watches. By 2000, the installed solar PV generation capacity in the U.S. totaled less than 50 MW, and was comprised mostly of customer-owned rooftop systems. Despite a Department of Energy demonstration program managed by SEPA that added 7 MW of utility-connected PV, it was still a time of slow growth with some- what adversarial relations between utilities and the solar industry. By the mid 2000s, the solar market began to grow aggressively due to a combination of state government mandates, federal tax policy and the entrepreneurial spir- it of the solar industry. Third party developers brought new scale and activity to the commercial market by offering no-cost solar to large customers, essentially selling “solar kilowatt- hours” on performance contracts instead of “solar kilowatts.” UTILITIES DO SOLAR PPA’S

By 2010, utilities had become major buyers of solar energy through power pur- Mark Your chase agreements (PPAs) to meet state renewable portfolio requirements. Utility- owned solar grew by 300 percent between Calendars! 2009 and 2010 with announced plans to Solar Power International moves to Orlando, Florida build more than 800 MW of solar in the this year. Save the dates of September 10–13 and next few years. plan to be at the Orange County Convention Center Utility-owned solar was not alone in where you will plug in to the new technologies, its growth. Overall grid-connected solar personal connections and professional insights grew by more than 100 percent in each of to help you grow your energy business. It all the past two years – and in the middle of a begins at SPI ’12! recession, no less. This year, also marks the first time that more than 1GW of solar will be added in a 12-month period, bringing the cumulative total of solar in the U.S. to nearly 4 GW. Presented by: Solar power is the fastest growing energy resource in the U.S., and its once high price tag is falling rapidly, with a 25 percent drop in the installed cost of larger PV projects in just the past 18 months. This year, electric utilities have signed power

16 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

nificant expansion of the second layer – gives LDK control of the cost and quality MARVIN FERTEL our capability to cope with and mitigate the RON KENEDI of each step of its manufacturing process. consequences of extreme external events Kenedi said that LDK SolarTech is that may exceed a plant’s design basis in already serving customers in residential, ways that cannot be predicted. commercial and utility-scale markets And here are more encouraging through its sales to integrators and distrib- signs for the industry’s future. utors. One integrator, Advanced Solar Last December, NRC certified the Products, installed LDK SolarTech’s first, AP1000 design. That clears the way for and currently largest, US-based system of issuance of the construction/operating 60,000 modules generating 14 MW at the licenses for the Vogtle 3 and 4 and McGraw-Hill campus in East Windsor, Summer 2 and 3 projects in Georgia and New Jersey. The $60 million to develop South Carolina and the start of safety-relat- and install the system came from NJR ed construction. Clean Energy Ventures, a subsidiary of In addition to the AP1000 design cer- New Jersey Resources. Construction on tification and the licenses for Vogtle and the project began in July and is expected Summer, other designs and license applica- to be fully operational by this spring. President & CEO tions are making their way through the President Nuclear Energy Institute NRC process. The 10 other COLS being LDK SolarTech USA LDK DISTRIBUTES reviewed at NRC represent 16 reactors. LDKSolarTech’s primary, although At NEI and across the nuclear energy “Solar will continue to grow in the not exclusive, distributor is Focused industry, we have two major imperatives. LONG-TERM FUNDAMENTALS U.S. and we are going to have more and Energy, located in Santa Fe, New Mexico. Our first imperative: To maintain and more electricity supplied by solar sys- Kenedi said some customers have increase the asset value of our 104 operat- HAVEN’T CHANGED tems,” said Ron Kenedi. He has reason to come with him from Kyocera and Sharp. ing plants – which means operating them First, our nation is on course to shut be optimistic, having worked in the solar “They know any company I am with is at world-class levels of safety and reliability down between 10 and 20 percent of our industry and helped grow it for more than honorable,” he said, but it takes time to – and to create new earnings potential by coal-fired generating capacity in the next 30 years. reengage. Each of the companies has its building new nuclear capacity when busi- several years. Throughout his career, Kenedi has own strengths, “and once we explain the ness conditions support new construction. Second, we really don’t expect natu- served as an industry spokesperson. He is strength of our company and they meet Our second imperative is to ensure ral gas prices to stay at two dollars per mil- a former board member of the Solar our executives ... and [we demonstrate] that we maintain and grow the capability to lion BTU for the next 40 to 60 years, the Alliance and the Solar Energy Industry that we are making constant improve- build new nuclear power plants in the lifetime of a new nuclear power plant. Association and is a current board mem- ments” to the quality of our products they future, and that we maintain U.S. leader- Third, even at one percent annual ber of Westinghouse Solar. become quite comfortable with us, he said. ship in this technology. Since we won’t growth in electricity demand – below his- Kenedi began in 1980 selling solar Noting that LDK SolarTech had been build large numbers of new nuclear plants torical trends – EIA forecasts a need for 220 kits to retail and wholesale customers in business just seven months when this in America in the near-term, that means we gigawatts of new electric capacity by 2035. through a mail-order catalog, the first in the conversation took place, Kenedi explained must capture a significant share of a grow- Fourth, there is value in fuel and US photovoltaic industry. He also estab- that sales cycles are long: the company ing world market. technology diversity. lished a wholesale network of resellers and has quoted many jobs that will eventually In the OECD nations, we will not see started a training program designed to edu- turn into actual sales. It is too early to talk SUSTAINED SAFETY RECORD large-scale construction programs like the cate resellers and end-users. He sold this about the company’s market share given For 10-plus years, the U.S. fleet has 70s and 80s. Developed, highly electrified business to Photocomm which eventually that it has been active for just five months operated at sustained high levels of reli- economies simply do not require that kind was acquired by Coors Corp. in 1996, then and the numbers for 2011 are not yet in. ability and safety. Last year was no excep- of rapid expansion. Developing economies Kyocera in 1999. For the short time he was Kenedi is optimistic – “We’ve sold a lot of tion. Capacity factors year over year range like China and India are another matter, at Kyocera Solar Inc. his responsibilities product and customers see us as a top-tier from the high-80s to the low-90s. We esti- and nuclear construction in the non-OECD included sales, marketing logistics and provider,” he said. mate last year’s average capacity factor nations is booming. engineering where sales leaped to $55 mil- was a shade under 89 percent. Output was U.S industry is well-positioned. lion and Kyocera Solar moved to the num- COMPLEX MARKET AHEAD down slightly from 2010 – hardly surpris- American companies have among the most ber two market position in the US. Looking to the future, Kenedi said ing since we had 11 more refueling outag- advanced and innovative technologies and In 2000 Kenedi joined Japanese manu- the market is complex. It has lived es in 2011 than the year before. designs – whether the advanced passive- facturer Sharp Electronics to create its US through a 45% growth rate, and the The industry also continues to invest safety designs for large reactors or the solar operation and by 2004, as vice presi- demand side is strong. A lot of customers in the long-term safety and reliability of small modular reactors now being devel- dent of Sharp SESG, achieved the number want solar systems, from refrigerated our reactors. The license renewal process oped, which may be particularly appropri- one position in the US solar market. He warehouses with large roofs to utilities continues to move smoothly. ate for developing economies. Foreign gov- departed Sharp in 2011 and started his own who want to produce green power. Some power uprates have been ernments and companies recognize this. consulting company, but LDK Solar’s invita- The cash grant program has ended, deferred until market conditions improve. U.S. companies and government tion to start up and build its US subsidiary and the debate at the national level contin- agencies can also offer training to achieve drew him back to the corporate world. ues on tax credits. Kenedi stays out of the PLANT INVESTMENT operational excellence. debate, but noted that every energy source We don’t have 2011 data yet, but the LDK SOLARTECH BEGINS in the US. is incentivized at some level. industry invested $7 billion in capital in the ABOUT MARVIN FERTEL Sunnyvale, California-based LDK “There is no mystery why people are pay- plants in 2010. On a per gigawatt basis, that’s Marv Fertel is President and CEO of SolarTech USA began operating on July 1, ing $12.00/gallon for gas in the UK, while the highest in the world, and approximately the Nuclear Energy Institute. 2011, its mission to grow LDK Solar’s mar- we are paying under $4.00,” he said. Many twice France, for example. Seventy percent He has worked in executive positions ket share in North and South America. It of the incentives that nuclear, coal and nat- of our capex was to replace steam genera- with Ebasco, Management Analysis immediately began shipping modules to ural gas industries get hold consumer pric- tors, vessel heads and other aging equip- Company, and Tenera. In 1990, he joined customers and its warehouses in Southern es down, he added. ment, and for power uprates Remember that the US Council for Energy Awareness as VP California. Solar is quickly approaching grid par- we placed 104 plants in service in a relatively of Technical Programs. With the formation The parent company, LDK Solar, ity with conventionally produced electrici- short period of time, so we will experience of NEI in 1994, he became VP of Nuclear headquartered in Xinyu City, Jiangxi ty, Kenedi said, but it will take a little more these periodic peaks in capex. Economics and Fuel Supply. Province,China, started up in 2005 and time. “Solar system costs have gone down The U.S. approach to reactor safety is In 2003, he was named Senior VP and built the largest silicon refining plant in 35% to 40% while demand has risen.” But based on multiple levels of safety. Chief Nuclear Officer. Mr. Fertel holds a BS that country. It has expanded its product the price drop cannot continue at this tra- Think in terms of three layers of safety: degree in civil engineering from North- lines to cells and modules and is now one jectory,” he said and predicted the present protection, mitigation and emergency eastern University in Boston, and an MS in of the top vertically integrated manufactur- trend will flatten. response. civil engineering from the Polytechnic ers of photovoltaic products in the world. The FLEX strategy represents a sig- Institute of Technology in New York. Kenedi said that this vertical integration

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 17 CLASS OF 2012

gies as well as recognize the increased modular reactor (SMR) technology will DAVE DUNNING need for renewable and nuclear fuel sourc- allow prospective owners the flexibility to PAOLO CASINI es that do not contain carbon.” evaluate the nuclear play on a smaller foot- CONTINUED FROM PAGE 13 To ensure long-term grid stability print with its accompanying lower capital while moving toward cleaner fuel sources, expenditure benefits. In late 2011, Fluor optimizer, can be deployed on selected a diversified approach to fuel is a must to made a strategic investment in NuScale modules to minimize the effects of shading, handle transients that are inherent with Power and its passively-safe technology increasing the energy output of a string. renewable fuel sources. To promote this designed in 45 MW modules that can be “We offer something new to Power- diversity, various forms of incentives have bundled up to 12 modules. This technology One customers with these two products,” been instituted through government to should represent a global solution to cus- said Paolo Casini. “Both micro-inverters support industries such as solar, wind, bio- tomers in the regulated, unregulated and and power optimizers were designed to mass and nuclear. These incentives— government sectors. help our customers make the most out of whether in the form of mid-level tariffs, installations which have to cope with diffi- cash grants or investment tax credits— all COAL-FIRED PLANTS CONTINUE TO BE cult conditions like partial or temporary support the capital expenditures necessary shading or significant panel mismatching.” to drive these projects forward. LARGEST POWER FUEL SOURCE Power-One introduced AURORA However, as owners look a bit deeper In the U.S., about 40 percent of the ULTRA-1400 central inverter with an out- President into the best alternatives for new megawatt daily baseload capacity is represented by put power of up to 1.4 MW’s, designed for Fluor Power production, it is difficult to ignore current coal-fueled facilities. However, unless or large commercial and utility-grade installa- natural gas pricing. This evaluation is until the U.S. passes legislation to put a tions. Industry-leading power conversion Power generation owners that strive always more about the future price of fuel price on carbon dioxide in the U.S. mar- efficiencies of up to 98.7 percent combined to make well informed decisions regarding when making such decisions than about ket, owners will struggle to actively pur- with an extra wide input voltage range and capital and operating expenditures contin- the present price to ensure some predict- sue and build new coal-fired capacity. But multiple MPPT channels optimize energy ue to be handicapped by uncertainty. ability over a life-cycle basis. Gas fuels will markets such as China, portions of harvesting across a wide array of operating Today’s global power market is not operat- also be an optimal economic consideration Southeast Asia, India, Turkey, Africa and conditions. The rugged outdoor IP65 ing under normal historic circumstances where owners elect to retire existing facili- others continue to invest heavily in solid- enclosure with passive liquid cooling is whether viewed through the lens of legisla- ties that are aged and inefficient. Plant fueled facilities. suitable for desert and other harsh envi- tive certainty, the downturn in demand, or retirements will likely be part of the evalu- “Coal can provide a clean energy ronments. Since its modular structure is the recent impacts of the global nuclear ation process that will take place as compli- response when supercritical and ultra- made of front accessible and extractible market. Owners must, nevertheless, make ance laws drive tighter standards for the supercritical technologies are proposed subassemblies, installation and mainte- decisions in the interest of their ratepayers future performance of existing fleets. together with back-end air quality control nance procedures are simplified. The new and consumers that are based on deliver- One example of this type of replace- systems,” said Fluor’s Dunning. “The scale product is compliant to IEEE 1547, BDEW ing projects with reasonable certainty. ment in the U.S. market is at the Lower of these units, when coupled with the long- (German Federal Association for Energy This certainty, at least in part, comes Colorado River Authority’s (LCRA) term reliability of coal’s price point make and Water) and FERC 661 (Federal Energy through the confidence an owner can have Ferguson Replacement Project in Texas. these units a great value for baseload Regulatory Commission). regarding a project’s price and schedule. The Fluor-led EPC project includes a new capacity needs.” “Our modular central inverter, “This is one of the strengths of the engi- 540 MW combined cycle facility that Fluor’ Econamine FG Plus, a patent- designed for large commercial and utility neering, procurement, construction (EPC) replaces an existing 37-year-old gas-fired ed, amine-based carbon dioxide capture applications, increases uptime and energy approach offered through a proven open- unit that is much less efficient. technology, has been licensed for nearly 30 harvesting through a reduction in downtime book contracting basis,” said Dave Another example of fuel diversity, applications over the past 20 years in the caused by the failure at the inverter level or Dunning, president of Fluor Corporation’s Dunning said, is participation in the renew- refining and power marketplace. It is cur- the photovoltaic field as well as a significant Power Group. “Working with owners to ables market. Fluor recently completed con- rently being employed on a slip stream of a reduction of the cost of BOS,” said Paolo properly define the project scope allows us struction of Iberdrola Renewables’ Copper coal-fired power plant in Germany to cap- Casini. “This eliminates plant shutdown, to deliver competitive pricing and schedule Crossing solar photovoltaic (PV) facility in ture carbon dioxide. reduces repair time and consequently offers to the projects we perform.” Arizona and is the EPC and operations and With the global economic downturn financial benefits in terms of production.” The industry has not addressed new maintenance (O&M) contractor for LS of 2008 came a reduction in electricity baseload capacity needs of the market in Power’s 125 megawatt Arlington Valley demand and a focus on the conservation of ABOUT PAOLO CASINI quite a while nor has it adequately Solar Energy II PV facility, also in Arizona. electric power in many markets. The U.S. Paolo Casini has been Global Vice addressed project retirements to effective- Outside the U.S., Fluor “continues to market has weathered a three-year period President of Product Marketing and ly upgrade the reliability and efficiency of see opportunities in the solar market space where little new capacity has been brought Business Development Management at the grid system. Most of the economic and in areas within western Europe, the Middle online. Emerging nations are presenting Power-One Renewable Energy Solutions technological comparisons that owners East, India and South Africa,” Dunning said. increased needs for generation to electrify since April 2010. He is responsible for the evaluate today weigh everything against Dunning said Fluor’s experience and areas that have seen a shortage of power business development, sales and marketing natural gas. With gas trading well below its strong balance sheet assists owners to for some time. To address these needs and strategy of Power-One’s inverter products $3mm/Btu, few fuels can compete eco- provide certainty needed to finance renew- comply with the assumption that a diversi- as well as the business strategy develop- nomically unless they are subsidized in able projects, while helping to mitigate fied fuel portfolio is warranted to achieve a ment for the Renewable Energy Division. some fashion. To date, there has not been owner risk. clean energy future while continuing to Paolo Casini joined Power-One in an anticipated “dash-to-gas” that may oth- focus on grid stability, all of the aforemen- 1993 as a Electronic Design Engineer. erwise have been expected. In the U.S., WHAT ABOUT NUCLEAR? tioned technologies need to play a vital Since then, he has held various positions environmental regulation compliance role for a clean energy future. and spent three years in the US as Project delays for aged fossil-fueled units have Fluor firmly believes that new nucle- Dave Dunning serves as president of Coordinator. After joining the International pushed decisions around new capacity fur- ar power units will continue to be a focus Fluor's Power Group and has global Sales and Marketing Department, he was ther into the future. in the global market over the long term to responsible for the company's engineering, promoted to Marketing Director of the achieve a clean energy future. “It is a base- procurement, construction, and operations Renewable Energy Division in 2006. FUEL DIVERSITY KEY FOR CLEAN ENERGY load power generation fuel with no carbon and maintenance business in the fossil- Paolo Casini started his professional emissions,” Dunning said. “One of the real- fueled, plant betterment, nuclear genera- career in the R&D department at Olivetti FUTURE AND GRID STABILITY ities of this market segment is the age fac- tion and renewables industries. in 1992, where he designed switching “It would behoove the industry great- tor of existing units. Many have had Dunning previously served in execu- mode power supplies. ly to pursue a diversified fuel portfolio stra- license extensions, and the inevitable pros- tive sales and marketing roles at Fluor. One year prior to that, Paolo Casini tegically to ensure we mitigate reliability pect of retiring units will leave a large need He earned his B.S. degree from East graduated in electronic engineering at the risk and provide the best technological sta- for new replacement capacity in the 2025 Stroudsburg University in Pennsylvania. Università di Pisa in Pisa, Italy. The topic of bility possible,” Dunning said. “This diver- to 2030 timeframe,” he said. Outside of the his graduation thesis was on “semi-reso- sified approach would tap into plentiful U.S., Fluor continues to see robust nuclear nant power converters for small power supplies of fossil fuels retrofitted with opportunities for large-scale units. application”. existing proven carbon capture technolo- In addition, the emergence of small

18 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

solid foundation upon which to build the WORLD-GEN: HOW MANY MEMBERS DOES Strategic Plan, NERC and the Regional GERRY CAULEY new NERC. These included its governance Entities develop a set of common assump- by an independent board of trustees, an NERC HAVE AND WHAT’S THE FEE TO tions that are used to guide resource pro- open and balanced standards development JOIN? jections over the planning period for each process, an effective program of monitor- entity and the ERO overall, recognizing ing and enforcing compliance with stan- Gerry Cauley: More than 500 and there are often unique factors that drive dif- dards, technical excellence, an established membership is free. ferences in each organization’s final deter- ability to oversee regional reliability pro- mination of its resource needs and budget. grams, and a philosophy of including WORLD-GEN: WHAT IS THE DIFFERENCE The specific resource needs and budget of stakeholders in regular operations and NERC and each Regional Entity will contin- decision-making. BETWEEN A NERC MEMBER AND A NERC ue to be publicly posted for review and In its application to FERC to be STAKEHOLDER? approved in open session by NERC’s named the “electricity reliability organiza- Finance and Audit Committee as part of the tion”, NERC defined its proposed struc- Gerry Cauley: NERC members are annual business plan and budget process. ture, governance and operational proce- individuals and entities that chose to join This document represents the first dures. NERC also defined the respective NERC so they can participate in NERC draft of the common business planning authorities and responsibilities of NERC, planning and operations through commit- assumptions. Efforts have been made to President, the regional entities and the bulk power tees, voting privileges and the Member focus on assumptions affecting resource North American Electric Reliability Corp. system owners, operators and users within Representatives Committee. requirements versus specific program area the jurisdiction of NERC for reliability pur- “Stakeholders” refers to any party that has goals, objectives and actions. It will be NERC is an international, indepen- poses. The application also included a “stake” in what NERC does. Stakeholders revised taking into account the provisions dent, not-for-profit organization, whose NERC’s bylaws, rules of procedure, region- include members, governments, all bulk of the final Strategic Plan, comments from mission is to ensure the reliability of the al delegation agreements, and a transition power system participants, employees, and stakeholders and the ongoing work by bulk power system in North America. plan. end-use electricity customers. NERC and Regional Entity leadership NERC was founded in 1968 by representa- regarding specific goals, objectives and tives of the electric utility industry, for the WORLD-GEN: HOW MANY STAFF DOES deliverables over the planning period. purpose of developing and promoting vol- WORLD-GEN: WHAT ARE THE REGIONAL Updates to the Strategic Plan, as well as untary compliance with rules and proto- ENTITIES? NERC HAVE AND WHAT ARE THEIR associated goals and objectives, will be cols for the reliable operation of the bulk FUNCTIONS? posted and made available on NERC’s web- power electric transmission systems of Gerry Cauley: NERC works closely site, as well as through the presentation North America. with eight regional reliability organiza- Gerry Cauley: By involving bulk and review of the various drafts of NERC NERC provides electricity to 334 mil- tions, whose members come from all seg- power industry experts in its operations and the Regional Entity 2013 Business lion people with a total electricity demand ments of the electric industry: investor- and planning, NERC is able to operate with Plans and Budgets. of 830 gigawatts, has 211,000 miles of high- owned utilities; federal power agencies; a streamlined staff around 150. Staff mem- voltage transmission line, and represents rural electric cooperatives; state, municipal bers are responsible for the coordination WORLD-GEN: HOW IS NERC FUNDED? more than $1 trillion (US) worth of assets. and provincial utilities; independent power and planning of all NERC functions, and producers; power marketers; and end-use for support functions including Legal, Gerry Cauley: Previously, the WORLD-GEN: WHAT IS NERC'S ROLE customers. The Regional Entities have del- Human Resources, Communications and Regional Entities funded NERC operations. egated authorities and responsibilities, as Administration. Today, the U.S. government and Canadian IN THE INDUSTRY? approved by FERC, to enforce NERC and provincial governments have directed Gerry Cauley: NERC’s mission is to regional reliability standards, and perform WORLD-GEN: WHO RUNS NERC? NERC to allocate costs to those who bene- improve the reliability and security of the other standards-related functions assigned fit from a reliable bulk power system: the bulk power system in the United States, by NERC. Gerry Cauley: NERC is governed end users. NERC allocates its operating Canada and part of Mexico. The Regional Entities have non-statu- by a Board of Trustees comprised of 10 costs and those of the Regional Entities to NERC develops and enforces tory roles, which include working with independent Trustees and the president of “load-serving entities” those owners, oper- Reliability Standards; monitors the bulk their own members to forecast electricity NERC. Trustees have expertise in electric ators and users of the bulk power system power system; assesses adequacy annually demand, coordinate operations, share operations and reliability; legal, market, responsible for delivering electricity to via a 10-year forecast and winter and sum- information, and plan for emergencies, in financial and regulatory matters; and famil- retail customers -- based on how much net mer forecasts; audits owners, operators, their respective regions of North America. iarity with regional system operation energy they need to meet their users’ ener- and users for preparedness; and educates issues; and they reflect geographic diversi- gy requirements. Funds are then collected and trains industry personnel. ty. Trustees are independent of the indus- from these load-serving entities. WORLD-GEN: WHO ARE THE MEMBERS OF try and must commit to serve the public WORLD-GEN: HAS NERC'S ROLE CHANGED NERC? interest and represent the reliability con- ABOUT GERRY CAULEY: cerns of the entire North American elec- OVER THE YEARS? Gerry Cauley: Before, eight tric system. Trustees are elected by the Gerry W. Cauley was named Gerry Cauley: Historically, NERC Regional Entities were the sole members Member Representatives Committee and President and Chief Executive Officer of connected the various industry partici- and owners of NERC. Today, membership serve for a term of three years. the North American Electric Reliability pants through a voluntary council. That is open to all entities with an interest in the Corporation (NERC) in November 2009 changed with the passage of the U.S. reliability of the bulk power system. WORLD-GEN: CAN YOU PROVIDE AN and assumed the role in January 2010. Energy Policy Act of 2005, which called for Mr. Cauley is responsible for over- the creation of an international “electricity EXAMPLE OF A SHARED BUSINESS PLAN? seeing NERC’s mission to ensure the reli- reliability organization”. “EPAct” marked a WORLD-GEN: WHAT ROLE DO MEMBERS Gerry Cauley: Commencing in ability of the North American bulk power fundamental shift in electricity regulation PLAY? December 2011, NERC and the eight system. As President and CEO, Mr. Cauley in the U.S. NERC is itself now an industry Regional Entities have been collaborating leads programs affecting over 1900 bulk participant with a much larger role in Gerry Cauley: NERC members con- in the development of a common set of power system owners, operators, and improving and maintaining reliability, tribute their expertise with bulk power sys- business planning goals, objectives and users, including standards and training, including the ability to enforce compliance tem planning and operations in many ways, assumptions for the 2013-2015 period. At critical infrastructure, risk analysis, compli- with mandatory Reliability Standards. including participation in various NERC the February 2012 meetings of the NERC ance monitoring, enforcement, situation committees. (Non-members can also sit on Member Representatives Committee and awareness, reliability assessment, and gov- WORLD-GEN: WHAT IS NERC DOING TO NERC committees.) Through the Member Board of Trustees, NERC’s President and ernment relations. Mr. Cauley also over- Representatives Committee (MRC), NERC Chief Executive Officer presented a draft sees the operation of eight regional entities ASSUME ITS NEW ROLE? members elect the NERC Board and can Strategic Plan which was jointly developed engaged in implementation of delegated Gerry Cauley: Many aspects of amend NERC bylaws. The MRC also pro- by NERC and the Regional Entities. responsibilities. NERC’s traditional operations provided a vides policy input to the Board. As part of the implementation of the

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 19 CLASS OF 2012

foreign direct investment, Oklahoma has UNEMPLOYMENT ation of a governor’s closing fund to attract MARY FALLIN made the case that it is ready and open for businesses to the state, a one stop shop for business. Major business announcements Oklahoma’s unemployment rate for business licensing and permits. during 2011 brought companies from all November 2011 was 6.1%. 0.8 percentage Governor Fallin supports the con- over the world, including global brands points less than the same time in 2010. struction of the Keystone XL Pipeline. The like Boeing and Siemens. Six foreign direct Oklahoma’s average unemployment rate pipeline represents an investment that could investment announcements were made for 2011 was 5.9% with the 6th lowest aver- result in $1.2 billion in increased business and expected to employ more than 450 age unemployment rate. activity in Oklahoma. with revenues totaling nearly $30 million. Governor Fallin’s focus on job Her support of safe hydraulic fractur- Twelve new business announcements of growth led to legislative victories signifi- ing is unwavering. Fracking is an essential nearly 1,100 jobs were made in 2011. cantly improving Oklahoma’s business cli- process to the future of Oklahoma’s energy Forty-eight Oklahoma businesses mate. These victories included landmark industry. announced expansions of more than 6,600 lawsuit reform legislation, comprehensive jobs during the past year. workers’ compensation reform, the cre-

Governor, State of Oklahoma

World-Gen was invited to attend the 2011 Governor’s Energy Conference where Governor Mary Fallin unveiled the Oklahoma First Energy Plan. Her agenda is built around the belief that we must continue to improve, not Access New deA s replace, traditional energy sources like oil and natural gas, and that effective energy policy does not rely on federal subsidies or mandates, but instead allows the private & Pr veN strAtegies sector to grow and flourish. Governor Fallin is the first woman to be elected Governor of Oklahoma. She served two terms in the Oklahoma House before becoming the first woman and first for imProviNg Your Republican to be elected Lieutenant Governor of Oklahoma in 1994. In 2006, she was elected to the US Congress. With 41,600 new jobs created last PlA t oPerA ioNs year, Oklahoma had the 3rd fastest job growth among states, the 6th lowest average unemployment rate and ranks 7th in recovery from the latest recession. 9 ConferenCe trACks | 50+ ConferenC e sessions | over 250 speAkers | 500+ e xhiBits Economic incentives like the Quality Jobs Program, helped bring more than 4,800 new jobs to the state. Innovative ideas th emerged to further fuel the Oklahoma 14 aNNUal Learn about the latest strategies for operating economy like the Governor’s Energy Plan ✔ your plant at maximum efficiency. and the Governor’s Economic Hear about the newest environmental regulations, Development Task Force. those on the horizon and how power plant operators ✔ are planning to successfully adapt. MANUFACTURING See the largest display of products and solutions ✔ for the rapidly growing Gas Power marketplace. Oklahoma’s 8.4% manufacturing job growth in 2011 ranks 1st among US states. LiSten to Coal Power experts review how they By the end of 2011, Oklahoma gained back ✔ are adjusting to challenges & opportunities at 50% of the manufacturing jobs lost during May 15-17, 2012 coal fired plants both in the US and Abroad. the latest recession, ranking the state 3rd BAltimore, mD Find out how turbulent fuel prices will affect in the industry’s nationwide recovery. ✔ your plant operations. Since its inception by the Oklahoma legis- Baltimore Convention Center lature in 1993, the Oklahoma Quality Jobs . . . And More! Program has issued more than 612 contracts to locating, expanding and start-up INSTITUTE businesses and has helped bring thousands of jobs to Oklahoma. Quality Jobs Co-loCated with: allows qualifying establishments creating new quality jobs to receive an incentive to locate or expand in Oklahoma. Administered by the Oklahoma Dept. of Commerce, the program provides quarter- ly cash payments of up to 5 % of new tax- Register with VIP Code WGEN12 for the able payroll directly to a qualifying compa- best rates at www.electricpowerexpo.com ny for up to 10 years. From existing business expansions to

20 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

GLOBAL ENERGY drillships, and offshore production plat- the best way for renewable energy applica- CHARLES DAUBER forms that use the type of power systems tions, such as solar power, to achieve what One of our corporate missions is to AETI makes in our other global markets. It the industry calls “grid parity” with tradi- help global energy companies meet their turns out many of our U.S. customers were tional power generation is when utility energy demands locally. We have a joint looking for trusted supplier in Brazil, so companies enter the large project scale venture operation in China with BOMCO, we are duplicating our successful U.S. solar power generation business. a division of China National Petroleum operations in Brazil and using local content Those businesses know how to truly Company, which makes the power systems and in-country relationships to take advan- get up-front costs and operating costs for 90 percent of China’s land drilling rigs. tage of the giant market opportunity there. down from their power generating assets. AETI has a new operation in Brazil focused on the pre-salt plays where Petrobras is UTILITY-SCALE SOLAR estimated to spend over $200 billion in the AETI has been in the utility-scale (continued page 22) next several years on offshore drilling, power generation market years. We believe

President & CEO American Electric Technologies, Inc. (AETI) AMERICAN ELECTRIC TECHNOLOGIES, INC.

American Electric Technologies, Inc. is a leading global provider of power delivery solutions to the traditional and renewable energy industries. The company has delivered high-performance electrical products, construction and services to the oil and gas and power generation markets for more than 65 years. AETI’s power delivery solutions FIELD include ISIS™, the solar industry’s first 1 RE MW 1000 Volt UL 1741-tested solar invert- PORT er system, 40KV wind farm switchgear, Topic Projec t Delivery M&I® power distribution and generator Location control switchgear, AC and DC variable China speed drives, power control rooms, and power management systems. AETI’s equipment is certified by the highest domestic and international regulatory standards. The company also provides project management, electrical construction services, W e are bu and substation electrical services and turn- reac ilding th key packages for our customers. tor ﬂee e EPR™ On Oc t. T tober 23 og suc , the Ta eth cessful ishan 1 er. WORLD-GEN: WHERE IS AETI PLACING v dome lif EPR™ enture ting. Th reactor betwee is reacto reached (CGN n Chin r is curr a majo ITS STRATEGIC FOCUS IN 2012? PC) and a Guan ently bu r milesto for Électric gdong ilt in Ch ne with Nuclea ité de F Nuclea ina by T the r Island rance (E r Pow NPJVC Charles Dauber: There are three key required , Engin DF) for er Hold , a joint sever eering which ing Co inclu al mon and Pro AREVA rporati growing energy markets AETI is targeting ding an ths of cureme is leadin on wa 8.3-me prepara nt. The g the su ll for up ter wide tory wo erectio pply for our products and turnkey solutions in coming heavy rk insi n of the crane. heavy c equipm de the dome ompon ent hatc reactor 2012: ent insta h creat buildin llation a ed throu g, W s well as gh the ith four installa inner EPR™ p tion of t experie rojects he pola nce in under c r NORTH AMERICAN SHALE PLAYS thou the deli onstruc sand le very of l tion in T ssons l arge-sc the wor his bo earned ale nuc ld, ARE ok of kn capture lear pro VA has EDF’ owledg d from jects, in unrivalle AETI’s strong history in creating s teams e as w Olkiluot cluding d Fl are no ell as th o 3 and more th amanvil w being e retur Flaman an a power systems for drilling rigs perfectly le 3 and fully le n on ex ville 3 p Taisha veraged perienc rojects n, and w on on e of AR . positions us in the shale gas and oil explora- Find ill be in going p EVA’s a out ho corpora rojects, nd t w utilitie ted in a especia tion market. As a result, our company has hanks t s are be ll future lly on o AREV nefiting EPR™ supply A’s lev from se projects realized increased market share for power chain eraged ries effe . and pro project ct for th ven abil expert eir new drilling systems and currently serves many ity to bu ise, full build p ild. y opera rojects tional w of the top drilling contractors in North orldwide America. We see many more opportunities in the future for additional growth in this area. We are also re-doubling our focus on Find out why: the pipeline market, specifically pipeline www.a reva.co compression stations. Once the shale gas m/field report or oil has been located, it needs to be con- verted to electricity, locally, or transported to where it can be utilized. Thus, our power systems are used to power the turbines that compress the gas for transportation down the pipeline to the next station approximately 100 miles away.

WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 21 CLASS OF 2012

PUBLIC AND PRIVATE NETWORKS tified hundreds of M2M solutions and has BRIAN HUEY millions of devices running on its network CHARLES DAUBER A debate has been raging for years today.” With more than a dozen years of CONTINUED FROM PAGE 21 over whether utilities should continue to experience with M2M, Sprint has been at invest in privately owned wireless net- the forefront of this wireless industry revo- WORLD-GEN: HOW IS AETI GROWING ITS works or work with a public carrier for lution, teaming with and supporting a large their smart grid communications needs. and diverse portfolio of innovative compa- PRESENCE IN BRAZIL? The industry is beginning to recognize the nies to create smarter wireless solutions Charles Dauber: AETI has had busi- advantages of public wireless networks that change the way people work and live. ness relationships in Brazil for years. In and how to incorporate them into their In 2010 Sprint opened the Sprint M2M 2009, we established a joint venture with communications mix. Utilities are working Collaboration Center in Burlingame, Calif., Five Star Services of Macae to form AETI with Sprint to better understand how they a hands-on, interactive lab where ideas Brazil. The business launched in 2010 and can use the latest network technology and knowledge and technology unite to pro- we established not only our manufacturing, benefit from Sprint’s Network Vision duce wirelessly enabled M2M concepts construction and services groups, but have deployment. By working with Sprint, utili- and products. Last year Sprint also intro- also successfully delivered projects for ties reduce the risks of operating a private duced the Sprint Command Center, a Web- multiple large multinational drilling con- network, such as network obsolescence based portal that allows businesses with tractors operating in Brazil, most of whom Business Development and Strategy– and stranded asset deployment. Sprint and Sprint wireless-connected products the we have existing relationships with back in Smart Grid and Utilities Qualcomm hosted a webinar on the role of ability to manage, activate and de-activate the U.S. or in other international markets. SPRINT Public Cellular in meeting a Utility’s each device. We expect to continue our growth strategy Electric and water utilities are chang- Communication needs. “Sprint and wire- in Brazil and are complementing the coun- ing the way they operate, investing in auto- less companies can compete effectively ABOUT SPRINT try’s labor force by relocating U.S. experts mation and wireless communications to with private network options by leveraging for both the short-term and permanent make their distribution and management the established wireless network, entering Sprint Nextel served more than 55 timeframes. We are excited to bring our systems smarter. Sprint is playing a key into technology commitment agreements million customers at the end of 2011 and is years of drilling and offshore experience to role by providing the wireless infrastruc- and utilizing the declining costs of cellular widely recognized for developing, engi- Brazil which will help enable their oil and ture and collaborating with innovative com- in utility centric devices”, said Huey. The neering and deploying innovative technolo- gas market to meet its full potential safely panies that specialize in enhancing reliabil- Nationwide Sprint Network and Sprint 3G gies, including the first wireless 4G service and cost-effectively. ity, optimizing service delivery and improv- network use inherently secure CDMA from a national carrier in the United ing efficiency. technology. Sprint offers scalable and flexi- States; offering industry-leading mobile WORLD-GEN: LOOKING FORWARD, WHERE “The energy industry is in a transfor- ble network solutions for utilities and appli- data services, leading prepaid brands mational state,” said Brian Huey, Smart cation developers in support of Advanced including Virgin Mobile USA, Boost DO YOU SEE AETI IN 10 YEARS? WHAT DO Grid and Utilities business development Meter Reading, Distribution Automation, Mobile, and Assurance Wireless; instant YOU WANT FOR THE COMPANY’S FUTURE? and strategy manager, Sprint. “There is SCADA (supervisory control and data national and international push-to-talk unprecedented convergence of new com- acquisition) and Demand Response. capabilities; and a global Tier 1 Internet Charles Dauber: We believe that the munications technologies to enable key backbone. Newsweek ranked Sprint No. 3 global demand for energy will continue to enterprise applications, the need for great- SPRINT’S SUSTAINABILITY PROGRAM in its 2011 Green Rankings, listing it as one grow, and that no single energy source will er operational excellence, focus on cost of the nation’s greenest companies, the be able to satisfy the energy demands for containment, as well as meeting ever- The announcement today aligns with highest of any telecommunications compa- transportation and power generation. Our increasing regulatory demands. Although Sprint’s larger sustainability efforts to ny. sole focus on what we call “Empowering the traditional model of a vertically inte- reduce its carbon footprint, use renewable Energy” drives our continued focus on grated utility still exists, utility executives energy, create less waste, and sell greener ABOUT BRIAN HUEY enabling safe, reliable energy via our inno- must partner with third party application mobile devices. Sprint Buyback gives vative power delivery solutions. We expect and service providers, diversification of Sprint customers an instant credit of up to Brian manages partnerships and eco- to continue our significant domestic energy supply (base, peak, and renew- $275 to return their old or unused mobile system development in the Smart Grid and growth opportunities and will accelerate able), enabling the consumer in making devices so that Sprint can responsibly electric utilities. He’s a recognized speaker that growth with additional international smart energy decisions, and the eminent reuse or recycle them. The program was in the wireless enablement of Smart Grid energy solutions and market support. In challenges of supporting electric vehicle recently named the best buyback program and Energy Management, the industry our lifetime there are few markets more transportation in the future. Whether pub- in the industry by Compass Intelligence. implications and growth opportunities. His exciting than the energy market and we lic or private, utility priorities will likely Sprint’s industry-leading role in cor- partnerships deliver wireless enablement consider AETI blessed to be in such as remain the same … safety, operational porate responsibility and environmental of AMI, Demand Response, Distribution strong position for this critical industry. excellence and superior customer service, sustainability continues to receive recogni- Automation, energy management applica- regulatory compliance, however, new tion. For the third year in a row, Sprint tions, micro grid generation and EV ABOUT CHARLES DAUBER: enabling technologies for the connected ranked highest among all U.S. telecom Charging. He continues to advance grid Charles Dauber is AETI’s President worker and digital utility-of-the-future will companies on Newsweek’s 2011 Rankings intelligence by building connectivity into and Chief Executive Officer. He joined the be ever present. Lastly, wireless companies of America’s Greenest Companies at No. 3, substation components, in-premise energy executive team of the Houston, TX-based and electric utilities, share a symbiotic up from No. 6 in 2010. Sprint was also controls and is planning for the impact of company in April 2007 and was named relationship, which in turn, drives greater ranked highest among the wireless carrier EV charging on the grid. Brian brings a president and chief executive officer in collaboration and partnership.” industry on the 2011 Dow Jones unique perspective of applying, pulling October 2009. Sprint collaborates with companies to Sustainability Index North America. The knowledge from the telecom industry and Prior to joining AETI, he served as embed wireless technology into solutions DJSI North America is based on a rigorous to discern the opportunities and challeng- the president and CEO of Nevis Networks, that automate meters and monitor distribu- analysis of corporate, economic, environ- es in Smart Grid. With 16 years of experi- a venture capital-backed start-up company tion lines so that utilities can be more effi- mental and social performance. The index ence in telecommunications spanning wire- in Silicon Valley and held multiple execu- cient. In January, Sprint announced agree- tracks the performance of the top 20 per- less and wireline services, Brian has held tive roles at Blue Coat Systems including ments with Itron, Inc; Lanner Electronics, cent of the 600 biggest North American various roles encompassing strategic plan- vice president of marketing and product Inc.; Power Insight and Silver Spring companies in the Dow Jones Global Total ning, product development, ecommerce, management. Dauber previously was the Networks where these companies will Stock Market Index that lead the field in sales and engineering. He is recognized as CEO of a broadband services start-up and offer Sprint wireless network connectivity terms of sustainability. an individual who can bridge complex top- served in management roles with Copper in support of their automated products and ics and challenges with real-world business Mountain Networks and Teradyne in the services. In September 2011, Sprint SPRINT EMERGING SOLUTIONS GROUP models. He holds an accredited Executive U.S. and in Asia Pacific, where he lived for announced agreements with SmartLabs MBA from the University of Missouri, several years. He earned a bachelor of and Proliphix to make energy management “Sprint has a dedicated team to work Kansas City and a BSEE from the business administration with concentra- systems available to businesses and con- with utilities to develop smart grid solu- University of Nevada, Las Vegas. tions in electrical engineering and market- sumers. tions,” said Huey. “To date, Sprint has cer- ing from The University of Texas at Austin.

22 WORLD-GENERATION FEBRUARY/MARCH 2012 V.24 #1 CLASS OF 2012

Here you go. All you expect from PV Powered now comes from Advanced Energy.

Introducing the AE 500, the latest innovation from Advanced Energy. This 500 kW inverter gives you industry-leading reliability, performance, and technology – combined into one fully-integrated system that delivers ﬁ nancial gains at every turn.

We’re not just another solar energy company. We’re empowering the industry. advanced-energy.com/AE500 BECHTEL

BECAUSE EXPERIENCE MATTERS Since Bechtel’s founding in 1898 we’ve measured success against our ability to repeat- edly exceed customers’ expectations and deliver innovative solutions for unique challenges. With over 65 years of experience in the power industry, we are continuing to help customers provide power for the 21st century.

We have an unrivaled standard for performance in the industry, having developed a diversi- ed portfolio across six continents. When it comes to power projects, no one offers greater teamwork, experience, service, or dependability than Bechtel.

BECHTEL Frederick, Maryland USA San Francisco Houston London Brisbane www.bechtel.com Mobile Access QR-Code