Presentation Title (On One Or Two Lines)

Energy Business Technology Strategy

Yukihiko Kazao Executive Officer and Corporate Senior Vice President Energy Systems & Solutions Company Chief Technology Executive Toshiba Corporation

October 18, 2016

© 2016 Toshiba Corporation Energy Business Technology Strategy Pursue clean energy and the related management system グリーンエネルギーの追求とそのマネジメントシステムでand aim to realize sustainable energy for society 持続可能なエネルギー社会の実現を目指す Variable power sources

Generate

Low carbon Nuclear Hydro- Geothermal Solar Hydrogen thermal power power power power Wind power

Transmit Store ・Hydropower ・variable speed Rechargeable batteries Hydrogen water pumps Transformers

Short-term Long-term storage storage Transmission Substations Storage and distribution systems Smart use

Factories Transport Homes Buildings

I. Green energy ・ That pursues the world‘s highest level of safety in nuclear power ・ That aims for zero emissions by introducing high efficiency systems and carbon capture technologies in thermal power ・ That contributes to the stabilization of the power system with hydropower

II. Energy management ・ Use next-generation technologies to pursue optimal control of the supply and demand balance Ⅲ. Cutting-edge technologies ・ Lead the world in cutting-edge technologies

High capacity BWR: ABWR Innovative PWR: AP1000™

・ Dynamic + static safety system (optional) ・ Static (Passive) safety system ・ Large output (1.35 - 1.65 million kWe) ・ Medium output (1.1 million kWe) ・ Extensive operating experience ・ Under construction (four units in service) (Eight units, in the United States and China) ・ Short construction period track record (37 months) ・ Simplified system to reduce maintenance requirements

○ Rigorous measures against severe accidents ○ Measures to withstand aircraft strikes, ensure security and protect against cyber-terrorism ○ Application of the latest construction technologies: ™ modular construction, 6DCAD and others Photo © Georgia Power Company. All rights reserved. Installation of l large module

・ Employs a Static (Passive) safety system - Gravity-driven water injection cooling - Core cooling by natural circulation ・ Adoption of large steam generator realizes 2-loop primary system reactor ・ Adoption of seal-less RCP※2 ・ Application of state-of-the-art technologies - Full digital instrumentation and control system

- High performance turbine Steam generator ・ Adoption of modular construction

Central control room Pressurizer

Sanmen site, China, 2015 Vogtle site, USA, 2016 Pressure Photo © Sanmen Nuclear Power Company Ltd. All rights reserved. Photo © Georgia Power Company. All rights reserved. container AP1000TM construction underway Reactor coolant pump High performance turbines

Completed transfer of manufacturing Steam generator technology to WEC Control rod drive mechanism (CRDM) Adopted in the AP1000 TM in the United States Pressurizer

Reactor Turbines and generators coolant pump Pressure container

Pressure container

Condenser & Heat exchanger Reactor internal Core barrel structure Guide tubes

ＡＰ1000ＴＭ Earthquake resistant options (currently under review by NRC)

WEC 31%

PWR VVER BWR Britain AGR Fuel share for light-water reactors (2011 - 2013 average)

Accident-resistant fuel – SiC* reactor core material

Suppression of hydrogen [kg] generation in the event Channel Box of severe accident (SiCf-SiC)

Maintenance over the life of the nuclear power plant from construction  operation  reactor decommissioning

Manufacturing Reactor Design Construction and procurement Operation decommissioning

Nuclear reactor Laser peening internal structure Digital I&C Preventative Monitoring maintenance

Inspections Mainten-ance Upgrade s Construction work Photo © South Carolina Gas and Electric Company. All rights reserved. Plant design High Underwater Generator efficiency inspection maintenance turbines

Data Data server server

IoT/ICT Data sharing IoT/ICT

Design & Manufacturing data Accumulate operation & maintenance data

①Developing technologies for stabilization of site condition and reactor decommissioning Contaminated water Remote decontamination Robots for high treatment technology technology for buildings dose areas Spent fuel removal

Multi-nuclide High altitude dry-ice blasting Robot for examination Fuel handling system removal equipment decontamination equipment* containment vessel interior* ② Extensive experience in developing basic technologies and planning management, in Japan and overseas

Simulation-based planning Removal of unwanted substances System decontamination (Zorita, Spain ) technology (T-OZONTM) Disassembly Equipment removal Building demolition Plan preparation Waste treatment, waste disposal (cutting technology, decontamination technology, inspection technology) *: Developed with FY2013 supplementary budget “Reactor decommissioning and contaminated water countermeasure project cost grant (IRID／Toshiba) © 2016 Toshiba Corporation 9 Future nuclear fuel cycle Concept of nuclear reactor and fuel cycle system to reduce environmental impact

Development of “High-moderation type LWRs” Participating in development （The generation amount of of ASTRID (French FR) Trans-Uranium elements are reduced) (Development of “FR” which burns Trans-Uranium elements) ＜Light water ＜Fast reactor reactor cycle＞ cycle＞

Spent nuclear Spent nuclear fuel fuel LWR Reprocessing FR

Development for future MOX fuel Fast nuclear reactor Fuel ・Reprocessing technology （ Uranium ・ Plutonium ）（Uranium ・Trans-Uranium elements）・ Technology for particle accelerator

To be used as fuel High‐level radioactive waste ・Separation and reprocessing or resource （Geological disposal facility）・Nuclear transmutation Fission products Low‐level radioactive waste Vitrified radioactive waste We actively participate in national projects to reduce high-level radioactive waste LWR : Light Water Reactor FR : Fast Reactor © 2016 Toshiba Corporation 10 Advancing Toward a Society Supported by Sustainable Energy

II. Energy management ・ Use next-generation technologies to pursue optimal control of the supply and demand balance Ⅲ. Cutting-edge technologies ・ Lead the world in cutting-edge technologies

(Main steam temperature／Re-heat temperature) Coal

Sub Critical 538~566/566℃Class (Sub-C) 566/593℃ Class Super Critical (SC) Ultra Super 600/600~630℃ Class Critical Ultra Super ７００℃ Class (USC) Critical Advanced Ultra First generation performance enhancement technologies (USC) Super Critical ●Transonic air foil (A-USC) ●3-D design method Second generation performance introduced enhancement technologies Most recent performance Natural enhancement technologies Gas fire ●Continuously coupled Blade gas ●3D optimized blade ●Large capacity indirect power hydrogen-cooled generator ●48 inch long foil

1100℃ class

emissions (g/kWh) emissions

2 Gas turbine 1300℃ class 1500℃ class CO ●Combined cycle Gas turbine 1600℃ class Gas turbine

CCS added 年度 Super critical CO2 cycle

Coal-fired thermal power USC maximum efficiency: about 42% (transmission end HHV) Main steam pressure: 25Mpa Main steam temperature / reheat steam temperature: 600/600℃

A-USC efficiency: a further 10% improvement Main steam pressure: 35Mpa Main steam temperature / reheat steam temperature: 700/720/720℃ Realize extremely high efficiency through a combination of gas and steam (combined cycle)

Gas-fired thermal power Maximum efficiency: about 62% (generation end LHV) 1600℃ gas turbine + latest steam turbine cycle

Even higher efficiency with cycle improvements

Capturing CO2 from all emission sources

Technology features

・ Capture CO2 at high purity

・ Flexible design :amount of CO2 captured; can be integrated into operating plants ・ Track record in coal-fired power plants—10,264 operating hours (October 10, 2016) Case Studies

Mikawa※1 pilot plant Saga CCU plant Mikawa Ministry of the From September 2009 From September 2016 Environment PJ demo plant Captures 10t / day from coal- Captures and utilizes 10t / day 2020 (scheduled) fired thermal power flue gas by cleaning factory flue gas Will capture over 500t / day from coal-fired thermal power flue gas ※1 Mikawa：Incorporated company Sigma power Ariake Mikawa power plant © 2016 Toshiba Corporation 14 Supercritical CO2 Cycle Power Generation

Capture 100% of CO2 without energy consumption by carbon capture system

Supercritical CO2 circulation cycle Efficiency compared with combined cycle

80 CO2 capture

energy 60 Air Oxygen(O2) Fuel(CH4) 40 Oxygen 20 production

Combustor efficiency (%) equipment Power generating Power generating 0 Combined cycle Super critical CO cycle a b 2 + CO2 capture equipment (CO2 100% capture) (CO2 90% capture) CO2 ＋steam CO turbine 2 Size comparison with conventional turbine generator

Regenerative 250MW class heat Temperature CO turbine Approx 1/3 exchanger separator 2 Cooler device

High Water CO2 pressure CO2 250MW class Steam turbine Storage, enhanced oil recovery CO2 Pump

II. Energy management ・ Use next-generation technologies to pursue optimal control of the supply and demand balance Ⅲ. Cutting-edge technologies ・ Lead the world in cutting-edge technologies

Toshiba sets new world record for pump turbines

●TOSHIBA, ●OTHERS

Source: Toshiba Hydro-electric Generation History and Technology (2014) © 2016 Toshiba Corporation 17 Variable Speed Pumped Storage Power Generation System Approximately double the output adjustment capability of constant speed equipment

Transformer

Frequency Conversion device

Generator motor

Main transformer

Pumping operation Pump turbine ●Pumping operation with surplus electric power Variable speed

machine

Power(MW)

Time (t) Power-generating operation Graph of power generation volumes (Example) ● Power-generation operation during insufficient power supply

II. Energy management ・ Use next-generation technologies to pursue optimal control of the supply and demand balance Ⅲ. Cutting-edge technologies ・ Lead the world in cutting-edge technologies

Optimal control of supply and demand balance through utilization of pumped storage, storage batteries and hydrogen

Hydrogen power storage / water pump generation (long-term: hours ~ days) Discharge Improve Proper use of supply demand Hydrogen, pumped storage quantity and Storage forecasts & rechargeable batteries quality Large scale rechargeable batteries Discharge (short term: seconds ~ minutes) Discharge Discharge Storage Storage Hydrogen Hydrogen & water pumps & water pumps Power demand Large-scale rechargeable Storage batteries Power direction Smoothing Central station Renewable energy EMS Demand Supply Renewable energy capacity Thermal and hydropower Frequency Nuclear power Smoothing of power demand

Planned operation of power generation that takes demand * Central station: Central power feed control center forecasts and fuel costs into consideration

Take full advantage of smart grid development simulator to pursue solutions Smart grid research facilities Application example: Control study (started operation in 2012) utilizing the features of SCiB™

• Research and development facility Objectives that provides coordination from power Over 40,000 ・ Reduce power supply and demand charge- systems through to customers discharge gap, stabilize system frequency cycles • Utilized for technology development, ・ Demand response, ancillary services, product testing, and validation of realization of virtual power plant ±3% error effects of equipment introduction SOC* Fast response estimate within 0.25sec Evaluation results example Features of SCiB™ power Supply and demand planning and storage system distributed rechargeable battery control

SOC※

Smart grid development simulator

Real time simulation that allows ① Possible to use SCiB™ characteristics to estimate life span system conditions to be set freely ② Estimate supply and demand gap to within 3% with battery group charging and discharging

Yokohama City, TEPCO EP※ & Toshiba have entered into an agreement

Business Install rechargeable batteries in elementary and junior high schools Activity within the city (18 schools planned) (Period: 6/5/2016 ~ 31/3/2018)

Normal times: Carry out high-speed recharging and Energy utilize for demand response, etc. management Economical ※ TEPCO EP (rechargeable usage battery bank controls)

Develop Basic agreement signed System BCP usage : Emergencies: on July 6, 2016 Utilize as BCP power source, etc. Toshiba Rechargeable batteries Yokohama City (regional disaster prevention center) Future development （BCP；Business Continuity Plan）

Construction and deployment of Virtual power plant

Regard saved power "smart resilience and energy services" Energy management as “power generation” (rechargeable battery Thermal power with consideration for electricity liberalization bank control) plant

① Improvement of disaster prevention features that take Non-peakPower network environmental friendliness into consideration times ② Establish both effective utilization of renewable energy and power stabilization ③ Establish a new energy service provider business that makes use of storage battery equipment Disaster prevention features, environmental friendliness (energy conservation, & renewable energy expansion), economic efficiency (new services) improvements ※ TEPCO EP :Tokyo Electric Power energy partner Co., Inc. © 2016 Toshiba Corporation 22 Toshiba’s Hydrogen Utilization Technology Use Hydrogen EMS to maximize utilization of renewable energy System overview of Hydrogen Energy Research And Development Center Hydrogen EMS Air Hydrogen Energy Research hydrogen and Development Center EMS Electricity fuel cell DC power supply system hydrogen Water Hot-water PEM*1 hydrogen hydrogen generation equipment

Oxygen Hydrogen storage tank Hydrogen EMS hydrogen generation Solar power quantity (right axis) generation Total demand SOEC*2 hydrogen generation equipment (Under development) Oxygen storage tank

● Utilize renewable energy output that can be used to meet load demand, and use surplus power for generation and storage of hydrogen ● Utilize stored hydrogen in fuel cell power generation to compensate for power shortfalls from renewable energy ● Realize energy management over a long period of time by linking with weather data and accumulating know-how *1 PEM: Proton Exchange Membrane *2 SOEC: Solid Oxide Electrolyte Cell © 2016 Toshiba Corporation 23

Hydrogen Production: High-efficiency Water Electrolysis Technology

SOEC* achieves a 30% cut in input power during hydrogen production

※1

※2 PEM Operation

temperature High Catalyst : Nickel purity Operation Room temperature Temperature ~８０℃ SOEC cell stack Catalyst : Platinum construction

Alkali type High

efficiency The purity of hydrogen[%] of purity The

The amount of SOEC 3 hydrogen productions [Nm /kWh] appearance ●Since the SOEC operates at 600~800℃ high temperature and thermal energy can also be utilized for water electrolysis besides electric power, a more efficient hydrogen production system is realizable.

Hydrogen-based Autonomous World’s Largest Hydrogen Energy System （Fund by Japan’s New Energy and Industrial Energy Supply System Technology Development Organization (NEDO).） TM H2One ●The system will be deployed in Fukushima prefecture, in Tohoku. ●Business feasibility will be examined over the next year and a report produced by September 2017.

Tohoku Electric Power Co., Inc.

SCADA / EMS Kawasaki Marien Huis Ten Bosch Henn na Hotel Toshiba Corporation

Hydrogen energy management system Yokohama Port Authority ＪＲ East Railway St. Iwatani Corporation Liquid hydrogen demand and supply forecasting Business Facilities Model system

* A joint proposal by Toshiba Corporation, Tohoku Electric Power Co., Inc. and Iwatani Corporation on the development of technologies for hydrogen energy systems was selected for funding by Japan’s New © 2016 Toshiba Corporation 25 Energy and Industrial Technology Development Organization (NEDO) on 29 Sep, 2016. Advancing Toward a Society Supported by Sustainable Energy

II. Energy management ・ Use next-generation technologies to pursue optimal control of the supply and demand balance Ⅲ. Cutting-edge technologies ・ Lead the world in cutting-edge technologies

© 2016 Toshiba Corporation 26 Toshiba's Contributions to Advanced Technologies (1/2) Application of accelerator and superconducting technologies in the medical field 1985 1990 1995 2000 2005 2010 2015 2020 ～2030 NTT Atsugi SAGA 1G RIKEN KEK ITER synchrotron SPring-8 B-factory LightSource Aichi International Thermonuclear Experimental Reactor Australian synchrotron Fusion DEMO Reactor SORTEC Synchrotron KAGRA ILC※2 synchrotron NSRC(Thai) synchrotron Riken RIBF BigRIPS SAMURAI NIRS HIMAC CERN/KEK National Institute of Radiological Sciences irradiation system & rotating gantry Accelerator and heavy ion LHC※1 Kanagawa Prefectural superconducting synchrotron KEK/JAEA J-PARC Cancer Center technologies in YAMAGATA-Univ. medical care ※1 Large Hadron Collider ※2International Linear Collider HIMAC 1993~ SPring-8 1997~ 8GeV Aichi Synchrotron 8GeV booster synchrotron storage ring 2013~ Radiation Center

Booster synchrotron Beam transport system

1GeV linear accelerator linear accelerator storage ring

High frequency acceleration cavity National Institutes for Quantum and Radiological Sciences and Technology Institute of Physical and Chemical Research

Toshiba’s technology was applied to Nobel Prize in Supplying cryostats for the Gravitational Wave Telescope(KAGRA) the ATLAS detector at the LHC ※1 Physics 2013 Peter W. Higgs Cryostats to cool and keep The magnets generate magnetic fields, essential  the mirrors at -253 degrees. for the particle identification.  The magnets focuses proton beams into a cryostat single point for effective collisions.

KAGRA

Superconducting Superconducting quadrupole ATLAS detector Central Solenoid magnet (C)CERN/KEK ※1 Large Hadron Collider (C)ICRR/KEK

Energy of the futureITER – トロイダル磁場コイルnuclear fission

ITER（International Thermonuclear Experimental Reactor）

Remote maintenance system Toroidal Field (TF)Coil Credit(C)ITER Organization, http://www.iter.org/

In nuclear power, we are committed to site stabilization at Fukushima Daiichi, and through synergies with WEC, we pursue the world’s highest levels of safety.

We aim to achieve “green energy.“ In thermal power, still the main source of electricity, we are pursuing further efficiency improvements and deploying carbon capture technologies to realize zero emissions. We are also promoting renewable energy sources: hydro, geothermal, solar and wind power.

Through energy storage technologies that take advantage of the characteristics of pumped storage power generation, rechargeable batteries, hydrogen production and other systems, and by promoting advanced energy management technologies and high-efficiency power distribution systems, we will continue to contribute to increased adoption of renewable energy and stabilization of the power system.