CARIBBEAN LARGEST PV-DIESEL HYBRID

AND ENERGY
Kickoff STORAGE
Projekt Cobija, BO SYSTEM
ST EUSTATIUS (PHASE I)

Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016

 Agenda

I. The Challenge and Options

II. The Preparation and decision

III. Execution

IV. Monitoring and Performance

V. The future

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 I. The Challenge and Options

STUCO perspective
> Electric Power supply in St. Eustatius (Statia) is provided by
STUCO, owned 100% by the Government of Statia and
independently managed by a Managing Director under
supervision of a Board of Commissioners
> Up to 2015, 100% depending on fossil fuel. (5.3 MVA diesel
gensets capacity)
> More than 75% STUCO income was going for operational cost
> 2015 Statias grid key facts:
1.6MW average demand
2.3MW peak demand
13.6GWh Energy demand
3.6M diesel liters consum.

Something needed to be done. Government?

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 I. The Challenge and Options

Dutch government Starting position

> The Netherlands Antilles split up
in 2010
> Up to 2010 St Maarten subsidized
electricity on St. Eustatius and
Saba
> St. Eustatius and Saba split from
the much larger St. Maarten
electricity company
> Without subsidy, electricity prices
would rise unacceptably on St.
Eustatius and Saba.
> Dutch government promised
support:
Financially healthy electricity
companies on St. Eustatius and
Saba
Consumer rates not higher than
Thisbefore
meant split
diesel costs shall decrease.
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 I. The Challenge and Options

Dutch government Vision

> Task: Decrease
operational costs for power Electricit
production derived from y
high diesel costs Cost

> Standing policy: No subsidy

for fossil fuel

> Solution: Subsidy for Today Time

Source: SMA Solar Technology
investment in durable clean
energy (no CO2 emissions)

> Durable options initially

approached were wind and
solar

But, is it a business case?

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 I. The Challenge and Options

Dutch Government, Driver for change

> The drivers for the Dutch government are political/social:
new organisation of the Kingdom and electricity rates for
Dutch citizens in St. Eustatius and Saba
> Still, there is a business case
At 2014 oil prices, the solar farm and battery system earns it self
back in approx. 6 years
At 2016 oil prices, the system earns it self back in approx. 11
years, while warranty on performance is much longer for most
parts of the solar farm
At 2018 oil prices, ? We dont know. But we are safe if oil
prices rise
> In other words:
Use low oil costs to finance durable investments NOW
Think who will be smiling last when oil price go up

How to decide better durable clean energy to decrease operational costs in

Statia ?
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 Agenda

I. The Challenge and Options

II. The Preparation and decision

III. Execution

IV. Monitoring and Performance

V. The future

7
Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 II. The Preparation and decision
Preparing tender for solar project
> After considering wind at first, solar was chosen due to the
following reasons:
> Wind:
High risk for hurricane as
located Hurricane belt
Assessment and project
execution larger in general
compared to solar
Market research showed few
cases or difficulty to control at
high penetration
Grid connection
costly/distance and transport
to site poses
RFP?
Eng. Fred Cuvalay
> Solar:
Costs going down more
drastically in the last years
Modular expansion possible,
possibility to add more PV and
Energy Storage per phases
Grid connection of PV array
location less costly/closer to
existing grid
Low maintenance as
compared to running diesel
engines
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CREF. Miami, USA Oct. 2016
 II. The Preparation and decision

Preparing RFP for solar project

> Feasibility study engaged May 2014
Size of the park 2 MWp Solar Park with minimum energy yield
3.2GWh first year
Solar penetration larger than 50%, therefore Energy Storage to
provide grid stability and load shifting needed
Technical capability of the industry to deliver
Financial justification
> RFP final March 2015
Consultants: Oxperts
Requirements, net energy supply to the grid
Minimum requirements for panels, batteries and inverters
Delivery time
Completeness of proposal

Decision? Who?
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 II. The Preparation and decision

Selecting the right proposal

> Criteria for selecting best proposal
Compliance with the tender procedure; functional and technical
requirements
Investment cost ($/kWh output)

Experience of the bidder

Design and landscaping

Proposal quality and soundness

> Consortium awarded Sunshine Real State NV / EcoEnergy
NV / SMA Sunbelt GmbH
Consortium with local and international experience. More than 80
hybrid projects worldwide (SMA Fuel Save Controller) and Energy
Storage Solution
Proven components and support from manufacturers SMA /
Schletter / Suntech.
How to move forward to Execution
Comprehensive proposal, clear sizing and yield projection 10
Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 Agenda

I. The Challenge and Options

II. The Preparation and decision

III. Execution

IV. Monitoring and Performance

V. The future

11
Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 III. Execution

Steps coordination
> EPC contract mid July 2015
> Payments must take place
per schedule
> Support coordination of
receipt of materials
> Support Immigration
process for specialist
workforce
> Support for electricity and
internet during construction
> Logistical support for
reference to local services
> Construction began in
October 2015,
commissioned March 2016

Final System to be procured

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 III. Execution

Final System procured

The island of St. Eustatius, located in

the caribbean is fully powered by diesel
generator. By integrating 1,9 MWp of
PV power and 1 MW of batteries with
SMAs fuel save controller, the island is
able to reduce its fossile fuel
consumption by almost 30%. Currently
PV+battery penetration as high as 88%
has been observed
An expansion of the existing system is
already planed and shall be installed in
2017.

Project Plant information SMA System Technology

Location: St. Eustatius, Installed PV power: 1,9 MWp SMA Fuel Save Solution incorporates
NL Antilles Installed battery power: 1 MW/580 the
Commissioning: March 2016 kWh SMA Fuel Save Controller
Annual yield: 3,2 GWh 72 SMA Sunny TriPower 25000-TL-30
Diesel generator rating: 4 MVA 1 SMA Sunny Central Storage SCS
Annual Savings expected:1,900,000 1000

SMA system solutions for hybrid applications

Source: SMA project example
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 III. Execution

Some challenges
> Logistics and planning

> Logistics and heavy

equipment

> Purchasing Local materials

> Accommodation

> Work permits for EPC

> Long communication line

from PV array to SMA FSC at
Gensets Powerhouse

System performance up to now?

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 Agenda

I. The Challenge and Options

II. The Preparation and decision

III. Execution

IV. Monitoring and Performance

V. The future

15
Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 IV. Monitoring and Performance
Monitoring with SMA Fuel Save
Controller

Battery Monitoring?
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 IV. Monitoring and Performance
Monitoring with SMA Fuel Save
Controller

KPIs?
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 IV. Monitoring and Performance

KPIs up to August

How it looks, a typical day performance?

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 IV. Monitoring and Performance

Shiny day
> Beautiful but rare!

Typical day?
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 IV. Monitoring and Performance

Typical day
> Battery at work!

Energy Shifting:
discharge at end of day

Battery compenssates PV
fluctuation When PV at Max PV, gensets o to
min. nominal genset load

What about the future?

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 IV. Monitoring and Performance
Frequency stability. Battery delivers or absorbs
power.

Though solar power with large penetration fluctuates, the grid frequency is
stable
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 Agenda

I. The Challenge and Options

II. The Preparation and decision

III. Execution

IV. Monitoring and Performance

V. The future

22
Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 V. The Future

Phase II (OVERVIEW)

> Additional
2.25 MWp PV Grid Forming SMA PV Inverter
5.1 MWh Battery Storage
Expected Renewable system share 40-46%
> Expected Diesel off-mode time (Black reflects 0 kW gensets
load work)

Area required? Impact?

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 V. The Future
Solar and agriculture coexistence on
same area

Bright and fossil fuel independent future for Statia!

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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016
 Fred Cuvalay
cuvalay.fred@stucoeux.com
Tel: +599 318 1393

Jesus A. Martinez-Cantu
Jesus.Martinez@sma-america
.com

Tel: +1 916Eelco Baak

316 7234
eelco@ecoenergycuracao.net
Tel +5999 684 5452
Thank you for your
attention!
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Eng. Fred Cuvalay CREF. Miami, USA Oct. 2016