Input for Californian hydrogen station deployment efforts

Transcription

1 Input for Californian hydrogen station deployment efforts CaFCP Public Forum, Santa Monica April 19, 2016 Mikael Sloth, Business Development Manager, H2 Logic Page 1

2 About NEL & H2 Logic Ownership: H2 Logic A/S is part of NEL ASA listed on the Oslo Stock Exchange. Financials: $200 million Market Cap $30 million in cash equivalents at hand (end 2015). Business areas: Electrolysers for hydrogen production and H2Station for vehicle fueling. NEL Fuel operation of station networks with strategic customers. Experienced: 100 years of combined hydrogen experience since employees. Track record: 25 hydrogen fueling solutions delivered in 7 countries across Europe. 500 production solutions delivered in 50 countries worldwide. NEL ASA Oslo Stock Exchange 100% NEL Hydrogen AS Electrolysers H2 Logic A/S Fueling stations NEL Fuel AS 100% 100% Station operation Uno X Hydrogen AS 49% Danish Hydrogen Fuel A/S Copenhagen Hydrogen Network A/S 50% 10% Page 2

3 Aspects to address for hydrogen station deployment This presentation focuses on hydrogen station CAPEX, Utilization & Public stakeholder involvement Relevance of OPEX (cost of H2 & power) likely addressed by other presentations at this CaFCP event. CAPEX* Fueling capacity Manufacturing capacity Effective installation OPEX** Cost of H2 Cost of power Utilization Successful FCEV deployment: Competitive vehicle price Competitive pump price Dense network (# stations) Public stakeholder involvement Market support mechanisms (vehicles + infrastructure) Supporting regulation (vehicles + infrastructure) * CAPEX: Capital Expenditure ** OPEX: Operational Expenditure Page 3

4 Increased fueling capacity CAPEX reduction H2Station CAR-200 vs. CAR times greater capacity per m 2 1/3 footprint Triple capacity 10m 2 30m 2 CAR-200 CAR kg / 3 hours 30k g Example: New H2Station CAR 200 vs. former CAR 100 Tripling of rush hourcapacity up to 100kg/3 hours & 200kg/day on one fueling hose. Similar to load at conventional gas stations easy scaling by adding fueling hoses. Increasing fueling capacity contributes to reducing CAPEX per kg/day capacity. Obstacle: Ensure that capacity will be utilized fast enough for acceptable ROI*. All FCEVs in California today can (theoretically) be served by only one fueling hose (100% utilized) * ROI: Return on Investment with interests Page 4

5 Increased manufacturing capacity CAPEX reduction CAR-200 manufactured at the world s largest factory Capacity for 300 stations/year sufficient for fueling new FCEVs annually* Increasing manufacturing capacity contributes to reducing CAPEX per kg/day capacity. Obstacle: Secure a business case for high volume station deployment which utilizes manufacturing capacity. *When facility fully expanded Page 5

6 Effective installation CAPEX reduction Denmark installation process: 6-20 weeks Pre dialogue 1 2 weeks Permits 2 15 weeks Civil works FAT* 2 weeks <2 days Installation 2 3 days SAT** 1 hour Effective installation reduces CAPEX and time to start of operation and ROI. Obstacles: Established & lean authority approval processes = fast permitting Product assembled & tested at factory = fast installation CAR 200: Shipped in a box packaged as you like * FAT: Factory Acceptance Test ** SAT: Site Acceptance Test Page 6

7 Utilization to cover CAPEX + OPEX + ROI Do you prefer more bandwidth than you need in few areas (few large cell towers or sufficient coverage anywhere to make a call? (many small cell towers) Customers likely to want high coverage (many stations) = more & smaller stations and higher CAPEX (initially). Reaching profitable utilization levels will take time = market support mechanisms relevant to address the gap. Station capacity utilization XX% Utilization/profit short fall To be covered by market support mechanisms Level for profitable Station Indicative figure only! Investment payback target Year Page 7

8 The history of supporting renewables Denmark Gradual change from CAPEX to OPEX support creating the business case. Has successfully commercialized wind power next is biomass & hydrogen. Wind Biomass H RESULT CAPEX support kwh subsidy gradually reduced 39% share Competitive Hydrogen CAPEX support + kwh subsidy gradually reduced R&D support 2008 CAPEX support 20XX Fuel (kg) subsidy TARGET 100% share Wind + biomass TARGET 50% share Competitive Wind is today the cheapest power source in Denmark Natural gas to be replaced by biomass onwards 2035 Fossil fuels for vehicles to be phased out onwards 2050 Page 8

9 Proposed support mechanisms for hydrogen stations A gradual transformation from demonstration to deployment and later commerc Public support effectiveness increased through scale and change from CAPEX t NOW SHORT TERM MEDIUM TERM Demonstration Initial network Deployment Backbone network Grow utilization Expand network LONG TERM Commercial Grow capacity Year Public solicitation process Tens of stations per call Few stations per awardee Few years operation period Public procurement process Hundreds of stations per call Many stations per awardee Many years operation period Public support mechanism Funding per kg dispensed For any station operator Gradually phased out No public support Capacity is increased based on demand & commercial terms Partly public CAPEX funding Match funding requirement Few years OPEX funding Public service procurement of building & operating networks of stations for many years Legally established support mechanism (lean support process) Insufficient operation performance may not reduce public funding (demonstration risk). Unsatisfactory operation performance should reduce public payment (incentive to perform) Support could be subject to performance criteria e.g. renewable content Content & figures only Indicative! Page 9

10 Questions? Page 10