bizando - hybrid thermodynamic 175kw - opportunity for investment in renewables
DESCRIPTION
Hybrid approach based on Solar concentration and Biological combustionTRANSCRIPT
OPPORTUNITY FOR INVESTMENT IN RENEWABLES HYBRID APPROACH BASED ON SOLAR CONCENTRATION AND BIOLOGICAL COMBUSTION
Agenda § About us
§ The origin and the inspiration
§ The HT system
§ How does it work
§ The regulatory framework
§ HT 175KW – Costs/revenues analysis
§ Cash flow
§ Operational phases
§ Our proposal
About us § Since 2010 Bizando has been active in the renewable energy sector by supporting the
production of energy from sources whose use does not affect natural resources.
§ Bizando has participated actively in the development of large photovoltaic and wind projects in different Italian regions, including Basilicata, Campania, Lazio and Sardinia
§ Bizando operates through a network of commercial and technical partners by offering personalized and comprehensive services: § addressing the requirements of the projects § satisfying the objectives of "value for money" imposed by the client
§ Bizando is able to offer solutions "turnkey" in the field of renewable energy, with particular reference to the mini wind turbines and hybrid thermodynamic systems.
§ Bizando is also active in other areas, such as management consulting in telecommunications, the supply of mass SMS mode 'managed service' and the development of apps for all types of mobile devices
The origin and the inspiration § The system based on concentration for production of
energy has been inspired by the famous mathematician and inventor Archimede Pitagorico, the Syracusan. In the famous battle of Syracuse, the mathematician used burning mirrors to repel the attack of the enemy ships. In essence, sunlight was "concentrated" with mirrors on wooden body of the enemy ships, causing burn and fire hazard, thanks to the high temperatures reached in the impact of projected rays.
§ Concentration plants use essentially the same system. They focus, using special lenses, the solar rays on a tube of glass and steel (collector) of special and exclusive technology
§ The whole thing can be usefully combined with the generation of heat obtained by burning biomass
The HT System § The “HT system” use two primary sources to obtain a continuous production of electricity:
§ The sun (via Concentration plants)
§ The biological combustion realized through a special heat source (natural gas, biogas, biomass)
§ Another result, very useful in different applicative contexts, is the production of thermal energy that, if used, can lead to CAR certification (Certification of High Efficiency).
§ The respect for the environment is guaranteed by the values �of pollution produced, which is almost null.
The HT System (cont.) § The integrated system allows the collection and storage of solar thermal energy and its use, direct and deferred, together with the burning of plant biomass for the production of hybrid electricity with cogeneration of thermal energy through the turbine.
§ The thermal energy thus produced, can be used directly for: § producing energy (which can be re-‐used on site or
delivered to the grid);
§ warming environments and / or sanitary water;
§ cooling environments and / or refrigerators;
How does it work § In the tube flows a liquid (water or oil thermodynamic) which is heated by the concentrated sunlight bringing the liquid to gaseous state (steam)
§ Also a boiler powered by the combustion of biomass is involved for further heating the liquid.
§ The steam turns turbines that generate energy through an alternator. Therefore, the thermal energy is transformed into mechanical energy and this in turn into electricity.
§ With the capture of solar energy, can be estimated a huge reduction in the consumption of energy from biomass burning (up to 40%, depending on the power, the size of the solar field and the place of installation)
The regulatory framework § The SP system is perfectly classified in specific national regulations that are of considerable
interest for the efficiency of the system.
§ The Ministerial Decrees of reference are:
§ Decreto 11/4/2008 del Ministero dello Sviluppo Economico -‐ "Criteri e modalita per incentivare la produzione di energia elettrica da fonte solare mediante cicli termodinamici”: establishes the criteria and procedures for promoting the production of electricity from solar energy using thermodynamic cycles
§ Decreto 6/4/2012 delle FER Elettriche -‐ Art.28: confirms and improves the previous regulation and incentives for the production of electricity from renewable different system including the production of industrial gas / biogas / biomass
§ The incentives for the thermodynamics are fixed for 25 years
§ The incentives for the combustion are valid for 20 years and regulated by feed-‐in tariff
The authorization aspects § Regulatory compliance is one of the assessment criteria in financing transactions, since a picture not completely outlined may result in situations of potential administrative litigation.
§ Article. 12 of Legislative Decree no. N. 387/2003 and national guidelines in DM 10/9/2010 state that single interventions depending on the installed power may be subject to Prior communication, Report of Home Activity (DIA) or Single Authorization (AU).
§ Thermodynamic Solar Plant with a capacity of no more than 999KW can be made with the discipline of the DIA (today PAS, the simplified authorization procedure).
SP 175KW– Costs/revenues analysis GENERAL DESCRIPTION
§ Installed electric power 175KW: § Solar Power
§ Biomass combustion (Sanse, or pomace)
§ Data of annual energy production: § Solar Thermodynamics Kwh/year 588.000
§ Biomass Combustion Kwh/year 882.000
§ Total Kwh/year 1.470.000
§ Energy selling price*: § Solar-‐Thermodynamic 0,36€/KWh
§ Biomass 0,28€/KWh
* Please note, for conservative estimates we have not taken into account the remuneration related to CAR
SP 175KW – Costs/revenues analysis INVESTMENT’S VALUE (first estimation)
§ Costs of the Plant: § Land acquisition § Engineering & Permitting § Construction/Civil works § Connection & Network works § 175KW plant Total turnkey ~ 1,5 ML€
§ Annual operating costs: § Operations and maintenance § Purchase of biomass Total 180K€ / year
SP 175KW– Costs/revenues analysis REVENUES
§ Values ��of annual sale :
§ Sale of Solar Energy 0.36€ / kwh 0,36 X 588.000Kwh = 211.680€
§ Sale of Biomass Energy 0.28€ / kwh 0,28 X 882.000Kwh = 246.960€
§ Sale of Energy (no incentive) 0.083€ / kwh 0,083 X 588.000Kwh = 48.804€
Annual Revenues: ~507.440 €
SP 175KW– Costs/revenues analysis FINANCIAL PARAMETERS
§ INITIAL INVESTMENT: ~ 1,5 ML €
§ ANNUAL GROSS MARGIN: > 300 K €
§ PAYBACK PERIOD: ~ 5 years
§ INTERNAL RATE OF RETURN: ~ 20%
§ CASH FLOW: see next two charts*
* Please note, for all the calculation a 2% inflation has been considered year by year
Preliminary Cash Flow estimation (years 0-‐15) Year Investment Sales Solar -
Thermodynamic Sales
Biomass Total Sales Total Costs Gross Margin Cumulative balance
0 -‐1.500.000,00 € -‐1.500.000,00 € 1 € 260.484 € 246.960 € 507.444 € 180.000 € 327.444 -‐€ 1.172.556 2 € 260.484 € 246.960 € 507.444 € 183.600 € 323.844 -‐€ 848.712 3 € 260.484 € 246.960 € 507.444 € 187.272 € 320.172 -‐€ 528.540 4 € 260.484 € 246.960 € 507.444 € 191.017 € 316.427 -‐€ 212.113 5 € 260.484 € 246.960 € 507.444 € 194.838 € 312.606 € 100.493 6 € 260.484 € 246.960 € 507.444 € 198.735 € 308.709 € 409.202 7 € 260.484 € 246.960 € 507.444 € 202.709 € 304.735 € 713.937 8 € 260.484 € 246.960 € 507.444 € 206.763 € 300.681 € 1.014.618 9 € 260.484 € 246.960 € 507.444 € 210.899 € 296.545 € 1.311.163 10 € 260.484 € 246.960 € 507.444 € 215.117 € 292.327 € 1.603.490 11 € 260.484 € 246.960 € 507.444 € 219.419 € 288.025 € 1.891.515 12 € 260.484 € 246.960 € 507.444 € 223.807 € 283.637 € 2.175.152 13 € 260.484 € 246.960 € 507.444 € 228.284 € 279.160 € 2.454.312 14 € 260.484 € 246.960 € 507.444 € 232.849 € 274.595 € 2.728.907 15 € 260.484 € 246.960 € 507.444 € 237.506 € 269.938 € 2.998.845
Preliminary Cash Flow estimation (years 16-‐25)
Please note, the values are very conservative: • Sold thermodynamic energy doesn’t take in account the annual increase of the selling price • Sold biomass energy after the feed-‐in-‐tariff period is not reported
Year Investment Sales Solar - Thermodynamic
Sales Biomass Total Sales Total Costs Gross Margin Cumulative
balance 16 € 260.484 € 246.960 € 507.444 € 242.256 € 265.188 € 3.264.033 17 € 260.484 € 246.960 € 507.444 € 247.101 € 260.343 € 3.524.375 18 € 260.484 € 246.960 € 507.444 € 252.043 € 255.401 € 3.779.776 19 € 260.484 € 246.960 € 507.444 € 257.084 € 250.360 € 4.030.135 20 € 260.484 € 246.960 € 507.444 € 262.226 € 245.218 € 4.275.353 21 € 260.484 € 260.484 € 167.471 € 93.013 € 4.368.367 22 € 260.484 € 260.484 € 170.820 € 89.664 € 4.458.031 23 € 260.484 € 260.484 € 174.236 € 86.248 € 4.544.279 24 € 260.484 € 260.484 € 177.721 € 82.763 € 4.627.042 25 € 260.484 € 260.484 € 181.275 € 79.209 € 4.706.250
Operational phases
Site Pre-‐Design STMG Construct Test GSE
• Finding suitable area for the industrial initiative • Site report • Acquisition of the area and contracting
• Preliminary design • Business Plan
• Managing the request of connection to the Grid Network • Permitting
• Starting Site Work • Supply Management • Construction
• Testing of the system and of the plant
• Management of the practice with GSE
Operations &
Maintenance
Our proposal § Bizando offers a program development framework focused in Sicily (Italy), which includes:
§ Systematic search for suitable sites to be allocated with the installation of 1MW plant
§ Support to all administrative practices for the acquisition of sites and obtaining all necessary approvals.
§ Design and construction (turnkey plant)
§ Management and operation of the plant for the entire period of its useful life
Findings The project proposed by Bizando is characterized by a number of factors extremely positive:
§ Turnkey approach, by the acquisition of sites to the plant in operation.
§ Authorization process very streamlined.
§ Rates of return on investment of high interest (about 20%)
§ Ability to modulate the investment coherently with the needs of the investor.
Contacts [email protected]
This document is only a general overview of the subject treated in it. In no way is meant complete, especially without adequate technical explanation and necessary deepening.