1. eStorage First Annual Workshop Arnhem, NL 30, Oct. 2013 Olivier Teller

2. © 2013 eStorage2 Energy challenges for the 21 st century 30 Oct., 2013 2 Geopolitics tensions Global warming Increase in prices Governments want to secure their reserves and achieve energy independence. The EC 20-20-20 package aims to increase the share of renewable energies to 20% in the European energy mix by 2020.

3. © 2013 eStorage3 Grid operators & the constraint of intermittent renewables 30 Oct., 2013 Grid operators Balance the supply & demand of electricity Constantly control grid parameters (voltage, frequency…) to avoid outages. Solar & wind power Intermittent No direct storage solution Impact grid stability Not optimized, often a loss of a free GHG-free power GRID CHALLENGES Faster plant regulation Increase regulation capacity Store renewable power produced when not enough demand

4. © 2013 eStorage4 A reliable large-scale storage solution: Pumped Hydro Storage Plants (PSPs) 30 Oct., 2013

5. © 2013 eStorage5 Improving PSPs: Variable speed technology 30 Oct., 2013 Benefits: Additional flexibility: frequency regulation possible in both modes Increased performance: increased turbine life, higher operation mode Fixed speed Variable speed

6. Our goal is to deploy variable speed PSPs across the EU and to enhance grid management systems to improve renewable energy management. eStorage A EC-funded consortium Energy companies Consulting firms 3 2 1 University

7. © 2013 eStorage7 European PSP installed Fleet 30 Oct., 2013 >30 year old by 2020: Huge opportunity for upgrade

8. © 2013 eStorage8 eStorage Project - Objectives Demonstrate technical & economic feasibility of upgrading an existing PSP to variable speed technology Enhance the functionality of IT systems to develop grid management solutions in line with real time market systems Propose changes to the market and regulatory frameworks and support appropriate business models for flexible energy storage Develop and assess technologies which enables additional capacity for flexible load balancing by upgrading European pumped storage plants

9. © 2013 eStorage9 eStorage focus PSP upgrade to variable speed Smart energy networks and IT tools Storage benefits, regulatory framework & market design Results exploitation Conversion of 75% of the 40 GW of PSPs installed in the EU to variable speed Highlight the value of PSPs to encourage their development Grid management in line with real time markets Unit test at Le Cheylas, France

10. © 2013 eStorage10 eStorage benefits all electricity stakeholders

11. © 2013 eStorage11 Conclusion The integration of renewable power generation requires large investments for further development of the transmission and distribution infrastructure New facilities for production, storage, distribution and consumption must support a higher flexibility of the entire electrical energy system Common and clear market rules and associated incentive schemes have to be developed to enable the necessary investments In the eStorage project the feasibility of a flexible large-scale energy storage in combination with an innovative market approach will be demonstrated

12. © 2013 eStorage12