Emerging Business Trends

Transcription

1 Business Trends Emerging Business Trends Coming to a building near you... Leighton Wolffe NorthBridge Energy Partners LLC Tuesday, May 19, 2015

2 Evolution of Business Models Coming to a building near you: Meta Trends Technology Trends Market Trends Customer Trends

3 Evolution of Business Models Coming to a building near you: Meta trends Global Issues - Climate Geopolitical Issues - Wars Carbon Reduction Trade Agreements Regulatory Agencies (EPA) Cybersecurity

4 Evolution of Business Models Coming to a building near you: Technology Trends Data Management and Analytics Advancements in IT/Internet communications Advancements in Energy Technologies Evolving Renewable Energy Resources Solar - PV and Thermal Storage / Batteries / Fuel Cells Microgrid & Distributed Generation

5 Buildings with Solar, Battery and Utility Interconnect

6 Solar and Storage is Growing

7 Solar PV Market is Growing

8 Storage Technologies and Costs Inflection Points

9 Evolution of Business Models Coming to a building near you: Market Trends Legislative and Energy Policy Acts Evolving Retail Energy Markets Dynamic Electricity Pricing Demand Management Programs 2.0 REC s and Renewable Incentives Closure of Coal/Nuke Power Plants Rising Power Costs (60 GW coal plant retirements; $10 billion shortfall in annual grid investment)

10 Evolution of Business Models Coming to a building near you: Clean Distributed Energy Grid Integration Act (S.1201) and the Heat Efficiency through Applied Technology (HEAT) Act (S.1202) The Clean Distributed Energy Grid Integration Act directs the Secretary of Energy to develop an effort focused on advancing the integration of clean distributed energy into electric grids The bill would advance combined heat and power (CHP), renewables, energy storage, fuel cells and waste heat to power (WHP) technologies. The HEAT Act would address regulatory barriers to encourage the deployment of CHP and WHP. The HEAT Act would provide assistance to states in considering the adoption of (1) updated interconnection procedures and tariff schedules; (2) model standards for supplemental, backup, and standby power fees for CHP and WHP systems; and (3) the most recent EPA guidance on output based emission standards

11 Major US ISO s

12 New England ISO Capacity Values

13 Evolution of Energy Models Efficiency Only Demand Reduction Load Efficiency Load Shedding 12AM Noon 12PM 12AM Noon 12PM - Easy to Implement - M&V = Actual to Baseline - Primary ESCO 1.0 Offering - Basic Load Shedding -M&V = Settlement Rules - Primary DR Offering

14 Evolution of Energy Models Demand Shifting Demand Management Load Shifting Load Shaping Dynamic Pricing $ 12AM Noon 12PM 12AM Noon 12PM - Monitoring and Control - M&V = Cost Avoidance - Utility & Aggregator Market - Advanced Controls - M&V = Revenue/Offsets - Real Time Retail Markets

15 Evolution of Business Models Coming to a building near you: Customer Trends Rapid Acceptance and Mainstreaming of Renewables Integrated Financing and Leasing - ESCO 3.0 Sustainability Commitments and Mandates Reporting and Validation Requirements Energy Sourcing Strategies/Options/ROI s Mix of utility, renewable, storage, distributed energy resources

16 Evolution of Business Models Coming to a building near you: What is coming:... Mix of renewables and behind the meter technologies and applications Multiple reporting and analytic requirements Integration between renewable energy resources and existing building systems and electrical infrastructure

17 Evolution of Business Models Positioning your business: Looking ahead... Knowledge is Power Energy Policy Acts Technology R&D OEM - strategies and investments Regional and local energy market structures Customers centric buying concerns what are they? What do you know about your customer s PPA?