Clarke Energy Zero Carbon

ClarkeThe Changing Energy Energy Mix: Decarbonise your Energy & Save Money Now

Adam Wray- Agenda Summerson – Setting the Project & Market Scene: Energy, Development COVID & Net Clarke Energy Zero Carbon

George Fowkes – The Energy Manager’s Director Role? BasePower Limited – The CHP Energy Centre Michael Smeeth – Decarbonisation Global Resiliency & The Future for Leader Gas Engines INNIO – Q&A Session

Confidential Information Herein – Intended Recipients Only PollClarke Question Energy 1 2

Do you believe that Strongly Agree Combined Heat & Power, can form part Agree of your Neutral decarbonisation strategy? Disagree

Strongly Disagree PollClarke Question Energy 2 3

Are energy costs as Extremely Important important to your business as More Important sustainability metrics? About the Same

Less Important

Not Important The Changing Energy Mix

Food & Drink Federation Webinar George Fowkes 4th November 2020

CCAs extended 2Y

Finance Technical Can navigate the Already know many money rules opportunities Has access to Can manage tech commercial and suppliers resource Insufficient time to Don’t need much write good technical knowledge business cases

Submeter Early Projects Low cost, high gain Low tech risk of expertise Known paybacks Heat and power Can be financed Campaigns or Gain trust in the permanent process Quick payback from LEDs, VSDs, PV turning stuff off

Adam Wray- Agenda Summerson – Drivers for CHP CEng MIMechE – The Energy MCIBSE Dilemma MEng(Hons) – Designing the Solution Project & Market – Beyond the Development Energy Centre Manager – Example Schemes

Confidential Information Herein – Intended Recipients Only Traditional Drivers for CHP 11

Economics

Remote

Commercial and Industrial Utility Community

Campus Data Centres Institutional

Military

Resilience Emissions Reduction

Confidential Information Herein – Intended Recipients Only The Energy Dilemma 12

Confidential Information Herein – Intended Recipients Only Spark Gap / Spark Spread 13

Electricity Price Savings Variation Electricity Cost Maintenance Cost

Boiler Efficiency Heating Cost Gas Price CHP Fuel Variation Variation Cost

Confidential Information Herein – Intended Recipients Only Carbon Savings 14

Electricity Electricity Savings Carbon Factor ‘Emission’

Gas Carbon Gas Price Gas CHP Fuel Factor Variation ‘Emission’ Cost

Confidential Information Herein – Intended Recipients Only Detailed Feasibility Analysis 15

Confidential Information Herein – Intended Recipients Only Feasibility Analysis 16

Greater Savings Oversized?

Greater Sensitive Analysis Running Time Safe Option

Jan Dec Confidential Information Herein – Intended Recipients Only CHP – The Core of the Energy Centre 17

Confidential Information Herein – Intended Recipients Only Maximising Equipment Availability 18

– In-country commissioning support – Maintenance agreements supported by field-service engineers – Site-based operation and maintenance – Manufacturer certified trainers – Remote monitoring and diagnostics capability – In-country manufacturer approved spare parts inventory • £10m in the UK • £30m across the group

Confidential Information Herein – Intended Recipients Only Local, Equipped, Field-Service Engineers 19

100 Field-service engineers split into 12 geographical regions Further support from: • Workshop & Overhaul Teams • Warehouse & Parts Team • Cylinder Head Refurbishment • Apprentices • Commissioning & Support

Confidential Information Herein – Intended Recipients Only Online Monitoring 20

– myPlant provides online asset visibility – Data / parameter trending – Service reporting – Remote access to engine control system – Data enables us to predict potential issues using analytical software – making our service teams more efficient in prioritising work loads

Confidential Information Herein – Intended Recipients Only Beyond the Energy Centre 21

Confidential Information Herein – Intended Recipients Only Groupe Lactalis 22

Natural gas fuelled, second largest dairy company worldwide

Combined heat and power (Electricity, hot water and steam)

Stranraer, Scotland

2MWe 1 x Containerised JMS612

Confidential Information Herein – Intended Recipients Only Cranswick PLC 23

Natural gas fuelled power generation

Combined heat and power (Electricity, hot water and steam)

Preston, England

2MWe 1 x Containerised JMS612

Confidential Information Herein – Intended Recipients Only Cook-Chill Food Manufacturer 24

Natural gas fuelled power plant

Combined cooling, heating and power (Electricity, chilled water, hot water and steam)

2.7MWe 1 x Containerised JMS616

Confidential Information Herein – Intended Recipients Only Girvan Distillery 25

Biogas Combined Heat & Power

Girvan Scotland

4 x J420 and 1 x J620 with hot water and steam

8.7MWe

Confidential Information Herein – Intended Recipients Only ClarkePowering Energy Resilient Manufacturing

Michael Smeeth Agenda – Innio Global Resiliency – Gas Engine Leader Innovation – Natural Gas Fuelled CHP – The Future?

Confidential Information Herein – Intended Recipients Only INNIO at a glance INNIO’s technology gives businesses and communities around the world the ability to generate reliable and efficient power at or near the point of use.

64 GW over Reciprocating engines = to 64 GW ~124 Mio. 100 countries 0.2 MW 10 MW in Europe High efficiency & fuel flexibility delivered globally = 3x Germany

Natural gas Oilfield power wide 60 world Channel Partners CHP Special gas applications

delivered assets under Jenbacher & Waukesha engines >48,000 ~14,000 management (AuM) focused on power generation, gas compression and services

90+ years Fast start capability Overall efficiency of Durability Fuel flexibility Life cycle services Advantages 90% or more experience

All rights reserved November 20 27 Confidential Information Herein – Intended Recipients Only INNIO provides customers of all types the ability to generate reliable, sustainable power whenever and wherever it is Greenhouse IPP & Utilities Oil & Gas needed.

Grid firming Steel

Agriculture & Food Renewable Commercial & Industrial Processing Energy Waste-to-Power Buildings 28

Decarbonization Decentralization Digitalization & Big Data

• High electrical efficiency • Power generation at the point of use • myPlant* … engine monitoring • >90% fuel utilization with CHP • Alternative to grid • Data analytics • Pioneer with renewable fuels (biogas, etc.) • Balancing volatility of RES • Condition based maintenance • Hydrogen as future carbon free fuel • Flexible operation • Outage management up to 60%(v) today • Hybrid with Solar PV • Fleet management 100% until 2021 • Microgrids • Reliability, availability, performance

Jenbacher products as an integral asset and pioneer for the Energiewende

Introduction of J920 FleXtra gas engine Introduction of the J620, the world‘s entering the large gas engine space and demonstrating highest electrical smallest 20-cylinder gas engine in the 3 efficiency in its class MW power range

World’s 1st 24-cylinder 1st Jenbacher* 4 MW engine, the J624 LEANOX* gas engine

World’s 1st 2-stage 1st Jenbacher* 1st Jenbacher* Jenbacher* gas engine gas engine cogeneration module

1930s 1957 1967 1979 1985 1997 2001 2007 2010 2013 2014 2015 2019

st 1 Waukesha* Production of the 1st Waukesha* Release of Waukesha* Launch of gas engine VHP* series Engine System Manager (ESM*) 616 stationary Launch of Waukesha* of engines for the gas VHP Series Five control system for rugged field applications diesel engine compression segment

Introduction of venerable VGF* gas engines for high- Introduction of the speed screw compressors 275GL* engine, offering high horsepower for compressor 50.1% el. efficiency milestone on stations INNIO‘s type 9 engine platform in a test environment

* Indicates a trademark

Jenbacher J920 FleXtra Jenbacher Type 6

• V20 cylinder; 1,000/900 rpm (50/60 Hz) • V12, V16, V20 cylinder; 1,500 rpm (50/60 Hz) • Electrical output: 10.4 MWe (50 Hz), • V24 2-stage turbocharged 9.3 MWe (60 Hz) • Electrical output: 1.8 – 4.5 MWe (50 Hz) • Electrical/total efficiency: • Electrical efficiency: up to 47% 49.1/>90% (50 Hz), 49.9/>90% (60 Hz) • Fast start version: 45-sec (J620) • Fast start: 2-minute startup capability • Delivered engines: ~5,500 • Delivered engines: ~40 • Launch date: 1989 (J624 in 2007) • Launch date: 2013

Jenbacher Type 4 Jenbacher Type 3 Jenbacher Type 2

• V12, V16 and V20 cylinder: • V12, V16 ,V20 cylinder; • L8 cylinder; 1,500/1,800 rpm (50/60 Hz) 1,500/1,800 rpm (50/60 Hz) 1,500/1,800 rpm (50/60 Hz) • Electrical output: • Electrical output: • Electrical output: 0.8 – 1.5 MWe (50 Hz) 0.5 - 1 MWe (50 Hz) 250 - 330 kWe (50 Hz) • Electrical efficiency: • Electrical efficiency: • Electrical efficiency: 39% up to 44% up to 41% • Delivered engines: ~1,200 • Delivered engines: ~4,900 • Delivered engines: ~10,100 • Launch date: 1976 • Launch date: 2002 • Launch date: 1988 5 platforms w/ 12 products from ~300kWe up to 10MWe

Coca-Cola Hellenic Bottling plants throughout Europe use INNIO’s Jenbacher* CHP engines, reducing operational costs and eliminating up to 40% of their annual emissions. For instance, in Coca-Cola Hellenic’s Romania bottling facility two J620 engines are supplying a total of 6 MW.

* Indicates a trademark

J420 Pel_nom = 1,415 kWe (Bmep19bar) Base gase: domestic NG MN~100! Delivery 2008

Controlled hydrogen blending NG / H2 (0 - ~40Vol%)

A B C

H2 in natural gas pipeline H2 local adm ixing Pure H2

NG / H engine Low H2 blending Medium H2 blending Special gas engine 2 H2 engine operational optim ized dual gas engine 100%v Optim ized for NG broadband product hydrogen engine (H2) 1) 1) 1 1) up to ~601%v H 1) NG / H2 <5%v H2 15- 25 %v H2 2 100%v H2

• H2 or H2- blending to NG changes gas attributes significantly for internal com bustion engines (ICE) and need to be addressed

• Controlled blending of H2 to pipeline gas in certain lim its im proves com bustion but reduces knocking resistance of gas m ixture (MN)

• Uncontrolled blending of H2 to pipeline gas is a challenge to existing & new engines • Broad band product vs optim ized product • Em ission com pliance • C a c / c ca a a ( c , ba a c , )

• Existing engines can be converted for H2 blending or 100% H2 details to be checked case by case • Engine type & version • Rate of change (RoC) • Ba a a (M a b MN), a b a ,

• Safety concept of engine and site m ust be checked according local requirem ents

• Current intentions of gas industry to enlarge the WI range is an additional hurdle

Confidential Information Herein – Intended Recipients Only Integrated / Hybridised Power System 40

Confidential Information Herein – Intended Recipients Only PollClarke Question Energy 3 41

Do you believe that Strongly Agree Combined Heat & Power, should be Agree utilised as an enabling Neutral technology on the path to net zero? Disagree

Strongly Disagree PollClarke Question Energy 4 42

Would you consider Absolutely reducing energy costs, through Potentially deployment of CHP? Indifferent

Doubtful

Highly Unlikely Questions & Answers Session 43

Confidential Information Herein – Intended Recipients Only