Distributed Generation, , and Storage - Key Factors in Energy Plans for Data Centers, Campuses and Municipalities IDEA Campus Energy 2018

Dalia El Tawy www.siemens.com Director, Thermal Power Solutions March 2018 Agenda

• Overview of power generation market changes and associated challenges • case studies • Primary and backup power • Cogeneration • • Microgrids & hybrid solutions • Q&A

Page 2 Unrestricted © Siemens 2018. All rights reserved. Agenda

• Overview of power generation market changes and associated challenges • Distributed generation case studies • Primary and backup power • Cogeneration • Energy storage • Microgrids & hybrid solutions • Q&A

Page 3 Unrestricted © Siemens 2018. All rights reserved. Evolving Grid Creates New Opportunities & Challenges

Residential 5 4 Industrial

1 Fossil 3 Generation

2 6

Gas Peaker Power Plants Transmission Distribution Microgrids Large commercial 1 Penetration of Renewables 4 Increase of Grid complexity

2 Change of Energy Mix 5 Fuel Price Fluctuations

3 Saturation of Infrastructure + 6 Deployment of Microgrids

Page 4 Unrestricted © Siemens 2018. All rights reserved. US National Energy Profile

Source: U.S. Department of Energy, Staff Report on Electricity Markets and Reliability, August 2017

Page 5 Unrestricted © Siemens 2018. All rights reserved. Agenda

• Overview of power generation market changes and associated challenges • Distributed generation case studies • Primary and backup power • Cogeneration • Energy storage • Microgrids & hybrid solutions • Q&A

Page 6 Unrestricted © Siemens 2018. All rights reserved. Bayonne Energy Center – Plant Peak power for New York City

Challenge

Complex 10,800 square foot facility with SGT-A65 (Industrial Trent) gas turbine units in simultaneous operation, running up to 12 hours daily, to export over 500MW via under-water cable to the grid for the City of New York.

Solution Full power can be delivered in less than ten minutes from start, enabling on/off cycle flexibility, reducing fuel costs and emissions.

Delivers sufficient power to supply electricity to over 500,000 homes at peak times.

Siemens Scope of Supply 10min 500K (8) SGT-A65 (Industrial Trent) WLE ISI gas turbine units installed – Start from 0 to 512MW Homes supplied with more units currently getting added output and similar cycling reliable electricity at peak 512 MW dual fuel fired electric power plant capability times

Maximum flexibility to adjust to dynamic market needs

Page 7 Unrestricted © Siemens 2018. All rights reserved. Aeroderivative Gas Turbines in Simple Cycle Applications Operation flexibility to match evolving

Operation over 2 day period

Page 8 Unrestricted © Siemens 2018. All rights reserved. Importance of Flexible Generation Critical facilities – reliability & resilience

• Fast cold start (less than 60 seconds) • Fast ramp up and down capability • High cycling capability – no start/stop penalty • No hot lockouts • Fuel flexibility • High power density Data Centers • Modularity – 5 MW blocks • Compact & light weight Hospitals & packaging Medical Centers • Integrated controls Airports

Page 9 Unrestricted © Siemens 2018. All rights reserved. Tate and Lyle – Tennessee Cogeneration Plant CHP solutions in industrial applications – CO2 emissions reduction

Challenge Solution

Implement energy efficient on-site Replaced aging -fired boilers with power solution to ensure safe and CHP system reliable operations

Ensure continuity of plant operations On-site power system (CHP) boosts regardless of the challenges with energy reliability and security while external energy supply making use of the heat

Source: https://www.tateandlyle.com 50MW Reliable power supply offering same electrical and thermal outputs with lower costs and emissions

Page 10 Unrestricted © Siemens 2018. All rights reserved. City of Holland – Cogeneration Plant Municipalities implementing CHP solutions

Challenge Solution

Coal-fired plant no longer met city Two SGT-800 and One SST-400 energy needs provide cost-efficient power

Waste heat from circulating water Underground snowmelt system system provides heat for increased could not meet energy demands snowmelt system demands

Provide “bundle buy” solutions to Complex development process facilitate supply process

145MW ~50% New power The CO2 emissions generated via CHP reduction rate from Siemens Scope of Supply (2) SGT-800 GTs, (1) SST-400 ST, 2 major LTP, T3000 DCS, 3- plant existing supplier GSU, 1-UAT, , and MCC

Leveraging portfolio breadth to facilitate project development goals

Page 11 Unrestricted © Siemens 2018. All rights reserved. Hybrid Energy Solutions in Campuses Integrating cogeneration, renewables, & storage

• Micro-grid management • Cogeneration plant • Solar PV • Energy storage • EV charging

Page 12 Unrestricted © Siemens 2018. All rights reserved. Hybrid energy solutions in industrial facilities SIESTART™ - integrating gas turbines & energy storage

Page 13 Unrestricted © Siemens 2018. All rights reserved. Integrating Energy Storage in Existing & New Power Plants Optimized operation- new opportunities for flexible generation

Optimized Operation and Flexible Generation

Page 14 Unrestricted © Siemens 2018. All rights reserved. Hybrid Power Plant Integrating Several Technologies Isabela Island microgrid

Page 15 Unrestricted © Siemens 2018. All rights reserved. Hybrid Power Plant Integrating Several Technologies Blue Lake Rancheria deploys low-carbon microgrid

Challenge Solution Diverse renewable energy sources - .5MW solar PV, 950 kWh battery storage syst., a Siemens SP MGMS software for managing biomass fuel cell and diesel generators need numerous energy sources and balancing to be optimally managed and controlled to with energy loads achieve energy efficiency, cost savings and emission reduction goals

Operations need to be automated to allow Microgrid defined sequence of operations limited staff to manage the system in event programmed to coordinate with the local of a grid outage to ensure energy security utility for the on-site emergency shelter

7 days Duration of available on-site power independent from the utility

Page 16 Unrestricted © Siemens 2018. All rights reserved. Agenda

• Overview of power generation market changes and associated challenges • Distributed generation case studies • Primary and backup power • Cogeneration • Energy storage • Microgrids & hybrid solutions • Q&A

Page 17 Unrestricted © Siemens 2018. All rights reserved. Questions?

Dalia El Tawy Director, Thermal Power Solutions Distributed Energy Systems Siemens Energy Orlando, Florida, USA

Phone: (407) 920-6179 E-mail: [email protected]

Page 18 Unrestricted © Siemens 2018. All rights reserved. Back-up Slides

Page 19 Unrestricted © Siemens 2018. All rights reserved. U.S. regional energy profiles

Source: U.S. Department of Energy, Page 20 Staff Report on Electricity Markets and Reliability, August 2017 Unrestricted © Siemens 2018. All rights reserved. U.S. regional energy profiles

Source: U.S. Department of Energy, Page 21 Staff Report on Electricity Markets and Reliability, August 2017 Unrestricted © Siemens 2018. All rights reserved. Main challenges in the grid

Higher utilization of Stability of the grid and Higher flexibility and renewables and less secure supply of power shorter reaction times rotational inertia from requirements to the producers conventional power generation units

Page 22 Unrestricted © Siemens 2018. All rights reserved. Grid challenges driving critical needs for power plants

Ensure grid stability

Conventional power plants (heavy duty as well as industrial scale) need:

• Accelerated load ramping for fast compensation of unbalances in the grid • Spinning reserve as additional power reserve to stabilize the grid • Islanding and off-grid services (especially for industrial power plants) • Black start capability in the case of a grid failure

Page 23 Unrestricted © Siemens 2018. All rights reserved. Modular power supply: The Battery Energy Storage System SIESTORAGE

Page 24 Unrestricted © Siemens 2018. All rights reserved. SIESTART™ – The performance of conventional power plants combined with instant & reliable Battery Energy Storage Systems

Page 25 Unrestricted © Siemens 2018. All rights reserved.