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© Bluerise BV
SWAC TECHNICAL OVERVIEW
Technical Principles of SWAC | Energy Saving Potential | Market Potential
Remi Blokker, CEO Bluerise, Delft, Netherlands
Diego Acevedo, VP BusDev Bluerise, Aruba
© Bluerise BV
Agenda
Introduction – Diego Acevedo
Technical Principles of SWAC – Remi Blokker
Energy Saving Potential – Diego Acevedo
Market Potential – Remi Blokker
Q & A
© Bluerise BV
Oceans: largest solar collector and energy storage
Ocean Thermal Energy: highest potential when comparing all ocean energy technologies
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV© Bluerise BV
Technical principles of SWAC
Water is pumped up through a
large diameter pipe from the
deep ocean to a cooling station
Heat (cold actually) is transferred
in the cooling station to a
distribution network consisting of
insulated pipes
Each customer is connected to
the network
A customer substation is used to
transfer the cold to the
customer’s site
© Bluerise BV© Bluerise BV
Cold water pipe
Pipeline is made of high density poly-
ethylene (HDPE)
Pipe will be towed to holding area
from manufacturing location
Pipe will be assembled at holding
area and towed to site
Pipeline will be lowered to seafloor,
typically using a so-called S-lay
Pipeline will be subsurface along the
shoreline (trenched or tunneled)
Pipeline has a lifetime of +30 years
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV© Bluerise BV
Pump station
Shore landing can be dredged, drilled
or tunneled.
Either a dry or wet pit/reservoir can
be used, requiring either submerged
pumps or a subsurface pump station
inside a compact concrete pit
Seawater pumps are used in a
redundant manner and require little
energy. Optionally, this energy could
be supplied by an OTEC generator in
tandem with the SWAC
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV© Bluerise BV
Cooling station
The cooling station is equipped with a
series of heat exchangers, which are
used to chill a fresh water loop. Salt
water is never in contact with customer
installations.
Cooling station should be situated at a
height close to sealevel, to minimize
pumping power
Cooling station will house backup
chillers to ensure peak capacity and
high uptime and provide redundancy
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV
© Bluerise BV© Bluerise BV
Distribution network
The distribution network consists of a
series of feed and return lines,
consisting of insulated pipes, in
various diameters
It is important to correctly balance
the system in terms of efficiency and
cost. Using too small diameters will
result in higher pumping costs, too
large diameter will result in a higher
investment
© Bluerise BV
© Bluerise BV
© Bluerise BV
Curaçao Airport projected SWAC Network
© Bluerise BV© Bluerise BV
Customer substation
The customer substation, also known as
energy transfer station, is where the cooling
is supplied to the customer through a heat
exchanger
The substation contains all the required
control and sensors to ensure correct
pressure, temperature and flow speeds of
the supply and return system
Metering of the customer’s energy usage is
also performed in the substation
The substation saves space and frees the
customer of maintenance
© Bluerise BV
© Bluerise BV
© Bluerise BV
Automation
The cooling plant, pump station and
distribution system are typically
controlled by a SCADA system
Plant can be operated remotely. Most
functions of e.g. the Amsterdam
district cooling networks can be
accessed by operator using
smartphone
Integrated metering and billing
Sub-metering of individual users
possible
© Bluerise BV
© Bluerise BV
Energy usage of air-conditioning
The energy usage of a chiller/cooling system is
expressed as COP, Coefficient of Performance.
COP indicates the amount of units of cooling
one unit of electricity can provide.
Typical compressor based chillers in the
Caribbean obtain COPs of between 3 and 4
The warm, humid air limits these chillers to
obtain higher efficiency, e.g. evaporative
cooling does not add much to the efficiency
because of the high dew point temperature
Cooling to relatively warm water, e.g. surface
seawater or a well, can increase COP to a little
over 4
© Bluerise BV
Energy usage of SWAC
The energy usage of SWAC is primarily going to at
one side the seawater pumps to transport the deep
seawater and on the other side to the distribution
pumps to distribute the cold fresh water to the
customers
Depending on the temperature of the deep seawater
and also on the capacity of the deep seawater pipe,
some additional cooling might be required using
confentional chillers, also requiring energy
The COP of a well performing SWAC system can
easily achieve above 30, meaning that 10 times more
cooling is provided per energy unit than for a chiller
with a COP of 3. This is why SWAC can save up to
90% of the energy required.
© Bluerise BV
Cost reduction potential
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Electricity Rate - Jamaica (USD/kwh)
© Bluerise BV
LCOC =
CAPEX +
OPEXt
(1+WACC)tt=1
n
å
Cooling_deliveredt
(1+WACC)tt=1
n
å
Cost of cooling is based on the balance
between system dimension (driving CAPEX) and
current and future demand
Design for expansion -> potential for decrease
in cooling cost in time
Simplified levelized cost of cooling formula:
Cost of Cooling
© Bluerise BV
Cost of Cooling comparison
Medium-sized project
© Bluerise BV
CO2 Savings Potential
Source Estimated GHG Emissions
Diesel - HFO ~0.6 kg-CO2 /kwh
Coal ~0.8 kg-CO2 /kwh
Example a district cooling system of approximately 12,000 peak tons of
A/C capacity on an island with Diesel or HFO based power grid would
save over 100,000 tons of CO2 emissions per year
© Bluerise BV
Key benefits
Customer Benefits
Energy reduction – 80-90% savings on cooling power
Reduced cooling costs
Elimination of price volatility – long term contracts
Environmentally benign
Less maintenance
Plug-and-play
Lower costs
District Benefits
Enabler for growth and overall economic development
Lower costs of cooling can attract other industries/activities
Reduce A/C peaks for utility
© Bluerise BV
Market Potential
Energy for Heating –
stabilizing
• Energy savings – insulation
• Climate Change
Energy for Cooling – growing
• Increasing prosperity
• Climate Change
M. Isaac and D. P. van Vuuren, 2009
© Bluerise BV
© Bluerise BV
Context - Caribbean
“This region has some of the
highest energy costs in the
world.
Caribbean countries are
particularly vulnerable to the
effects of climate change and
we have to act now.”,
US President Obama, CARICOM
summit, April 2015
© Bluerise BV
Almost all Caribbean countries have good access for SWAC & OTEC
*NB, eastern side shown, western side also has good access
Context - Caribbean
© Bluerise BV© Bluerise BV
Techno-economic Potential
Online OTEC resource assessment
tool:
my.oceanpotential.com
Global datasets provide great
insights in the potentially available
resource for any given location
© Bluerise BV
Fossil fuels
• Most Caribbean countries do not have fossil resources and need to import
• Serious energy security risks
• LNG & CNG do not change this
• Fossil fuels emit large amounts of greenhouse gas
• Low-carbon fossil a false hope?
Nuclear – not sustainable, and requires scale that is probably prohibitive for Caribbean
Renewables – only real option for sustainable, energy-secure, future
• Hydro – mature, very dependent on local conditions
• Wind – mature, intermittent
• Solar – mature, intermittent
• SWAC, mature, baseload
• OTEC, near-commercial, baseload
• Geothermal – semi-mature, baseload, very dependent on local conditions,
considerable risk with drilling
• Biomass – mature, but arguably non-sustainable, large land usage, competing with
food
Renewable Energy Options in Caribbean
© Bluerise BV© Bluerise BV
Island renewable energy mix example
Aruba case
© Bluerise BV
one week
Power(MW)
© Bluerise BV
Island renewable energy mix example
Energy mix with intermittent renewables
© Bluerise BV
one week
Power(MW)
© Bluerise BV
Island renewable energy mix example
Energy mix with intermittent and baseload renewables
© Bluerise BV
Learning Curve
Wind and solar price decrease in time
© Bluerise BV© Bluerise BV
Techno-economic Feasibility
Rough Indicators:
Deep sea within ~10km from coastline
The closer the better
Concentrated cooling loads within 10km from coast > 3000 tons of A/C
The larger the better
Ideally large buildings with centralized A/C units (e.g. Chillers)
Potential customers:
Hotels + Resorts, Airports, Data Centers, Commercial centers, Big
Box stores, Housing complexes, Industry
© Bluerise BV
Project Enablers
Parallels to Solar/Wind energy financing, with the difference of having a
multitude of customers, instead of one PPA contract
Infrastructure utility type of investment = Need for long term contracts
Take or pay contracts possible, need for credit worthy local entity
BOOT concessionary contracting, shift development and construction
risk to private sector while optimizing long term energy pricing
Systems can be dimensioned to current need but more cost efficient to size for
future demand. Demand growth risk
Innovation can benefit from grants for EIA, capacity development, de-risking in
terms of site, permitting, regulatory framework, lower cost of capital
translating into lower cost of cooling to the end-users.
© Bluerise BV
Other Market Opportunities
Virtually free of pathogen
deep seawater is ideal for
keeping brood-stock and
the growing of high value
fish.
Seawater cooled
greenhouses allow to grow
crops that normally only
grow in more temperate
climates
© Bluerise BV
Other Market Opportunities
The cold water found in the deep ocean is a key enabler for a broad
range of sustainable applications.
© Bluerise BV
Thank you
Q&A

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Sea Water Air Conditioning Technical Overview

  • 1. © Bluerise BV SWAC TECHNICAL OVERVIEW Technical Principles of SWAC | Energy Saving Potential | Market Potential Remi Blokker, CEO Bluerise, Delft, Netherlands Diego Acevedo, VP BusDev Bluerise, Aruba
  • 2. © Bluerise BV Agenda Introduction – Diego Acevedo Technical Principles of SWAC – Remi Blokker Energy Saving Potential – Diego Acevedo Market Potential – Remi Blokker Q & A
  • 3. © Bluerise BV Oceans: largest solar collector and energy storage Ocean Thermal Energy: highest potential when comparing all ocean energy technologies
  • 13. © Bluerise BV© Bluerise BV Technical principles of SWAC Water is pumped up through a large diameter pipe from the deep ocean to a cooling station Heat (cold actually) is transferred in the cooling station to a distribution network consisting of insulated pipes Each customer is connected to the network A customer substation is used to transfer the cold to the customer’s site
  • 14. © Bluerise BV© Bluerise BV Cold water pipe Pipeline is made of high density poly- ethylene (HDPE) Pipe will be towed to holding area from manufacturing location Pipe will be assembled at holding area and towed to site Pipeline will be lowered to seafloor, typically using a so-called S-lay Pipeline will be subsurface along the shoreline (trenched or tunneled) Pipeline has a lifetime of +30 years
  • 26. © Bluerise BV© Bluerise BV Pump station Shore landing can be dredged, drilled or tunneled. Either a dry or wet pit/reservoir can be used, requiring either submerged pumps or a subsurface pump station inside a compact concrete pit Seawater pumps are used in a redundant manner and require little energy. Optionally, this energy could be supplied by an OTEC generator in tandem with the SWAC
  • 32. © Bluerise BV© Bluerise BV Cooling station The cooling station is equipped with a series of heat exchangers, which are used to chill a fresh water loop. Salt water is never in contact with customer installations. Cooling station should be situated at a height close to sealevel, to minimize pumping power Cooling station will house backup chillers to ensure peak capacity and high uptime and provide redundancy
  • 37. © Bluerise BV© Bluerise BV Distribution network The distribution network consists of a series of feed and return lines, consisting of insulated pipes, in various diameters It is important to correctly balance the system in terms of efficiency and cost. Using too small diameters will result in higher pumping costs, too large diameter will result in a higher investment
  • 40. © Bluerise BV Curaçao Airport projected SWAC Network
  • 41. © Bluerise BV© Bluerise BV Customer substation The customer substation, also known as energy transfer station, is where the cooling is supplied to the customer through a heat exchanger The substation contains all the required control and sensors to ensure correct pressure, temperature and flow speeds of the supply and return system Metering of the customer’s energy usage is also performed in the substation The substation saves space and frees the customer of maintenance
  • 44. © Bluerise BV Automation The cooling plant, pump station and distribution system are typically controlled by a SCADA system Plant can be operated remotely. Most functions of e.g. the Amsterdam district cooling networks can be accessed by operator using smartphone Integrated metering and billing Sub-metering of individual users possible
  • 46. © Bluerise BV Energy usage of air-conditioning The energy usage of a chiller/cooling system is expressed as COP, Coefficient of Performance. COP indicates the amount of units of cooling one unit of electricity can provide. Typical compressor based chillers in the Caribbean obtain COPs of between 3 and 4 The warm, humid air limits these chillers to obtain higher efficiency, e.g. evaporative cooling does not add much to the efficiency because of the high dew point temperature Cooling to relatively warm water, e.g. surface seawater or a well, can increase COP to a little over 4
  • 47. © Bluerise BV Energy usage of SWAC The energy usage of SWAC is primarily going to at one side the seawater pumps to transport the deep seawater and on the other side to the distribution pumps to distribute the cold fresh water to the customers Depending on the temperature of the deep seawater and also on the capacity of the deep seawater pipe, some additional cooling might be required using confentional chillers, also requiring energy The COP of a well performing SWAC system can easily achieve above 30, meaning that 10 times more cooling is provided per energy unit than for a chiller with a COP of 3. This is why SWAC can save up to 90% of the energy required.
  • 48. © Bluerise BV Cost reduction potential - 0.05 0.10 0.15 0.20 0.25 0.30 0.35 Jan-08 Apr-08 Jul-08 Oct-08 Jan-09 Apr-09 Jul-09 Oct-09 Jan-10 Apr-10 Jul-10 Oct-10 Jan-11 Apr-11 Jul-11 Oct-11 Jan-12 Apr-12 Jul-12 Oct-12 Jan-13 Apr-13 Jul-13 Oct-13 Jan-14 Apr-14 Jul-14 Oct-14 Jan-15 Apr-15 Jul-15 Oct-15 Jan-16 Apr-16 Jul-16 Oct-16 Jan-17 Electricity Rate - Jamaica (USD/kwh)
  • 49. © Bluerise BV LCOC = CAPEX + OPEXt (1+WACC)tt=1 n å Cooling_deliveredt (1+WACC)tt=1 n å Cost of cooling is based on the balance between system dimension (driving CAPEX) and current and future demand Design for expansion -> potential for decrease in cooling cost in time Simplified levelized cost of cooling formula: Cost of Cooling
  • 50. © Bluerise BV Cost of Cooling comparison Medium-sized project
  • 51. © Bluerise BV CO2 Savings Potential Source Estimated GHG Emissions Diesel - HFO ~0.6 kg-CO2 /kwh Coal ~0.8 kg-CO2 /kwh Example a district cooling system of approximately 12,000 peak tons of A/C capacity on an island with Diesel or HFO based power grid would save over 100,000 tons of CO2 emissions per year
  • 52. © Bluerise BV Key benefits Customer Benefits Energy reduction – 80-90% savings on cooling power Reduced cooling costs Elimination of price volatility – long term contracts Environmentally benign Less maintenance Plug-and-play Lower costs District Benefits Enabler for growth and overall economic development Lower costs of cooling can attract other industries/activities Reduce A/C peaks for utility
  • 53. © Bluerise BV Market Potential Energy for Heating – stabilizing • Energy savings – insulation • Climate Change Energy for Cooling – growing • Increasing prosperity • Climate Change M. Isaac and D. P. van Vuuren, 2009
  • 55. © Bluerise BV Context - Caribbean “This region has some of the highest energy costs in the world. Caribbean countries are particularly vulnerable to the effects of climate change and we have to act now.”, US President Obama, CARICOM summit, April 2015
  • 56. © Bluerise BV Almost all Caribbean countries have good access for SWAC & OTEC *NB, eastern side shown, western side also has good access Context - Caribbean
  • 57. © Bluerise BV© Bluerise BV Techno-economic Potential Online OTEC resource assessment tool: my.oceanpotential.com Global datasets provide great insights in the potentially available resource for any given location
  • 58. © Bluerise BV Fossil fuels • Most Caribbean countries do not have fossil resources and need to import • Serious energy security risks • LNG & CNG do not change this • Fossil fuels emit large amounts of greenhouse gas • Low-carbon fossil a false hope? Nuclear – not sustainable, and requires scale that is probably prohibitive for Caribbean Renewables – only real option for sustainable, energy-secure, future • Hydro – mature, very dependent on local conditions • Wind – mature, intermittent • Solar – mature, intermittent • SWAC, mature, baseload • OTEC, near-commercial, baseload • Geothermal – semi-mature, baseload, very dependent on local conditions, considerable risk with drilling • Biomass – mature, but arguably non-sustainable, large land usage, competing with food Renewable Energy Options in Caribbean
  • 59. © Bluerise BV© Bluerise BV Island renewable energy mix example Aruba case
  • 60. © Bluerise BV one week Power(MW) © Bluerise BV Island renewable energy mix example Energy mix with intermittent renewables
  • 61. © Bluerise BV one week Power(MW) © Bluerise BV Island renewable energy mix example Energy mix with intermittent and baseload renewables
  • 62. © Bluerise BV Learning Curve Wind and solar price decrease in time
  • 63. © Bluerise BV© Bluerise BV Techno-economic Feasibility Rough Indicators: Deep sea within ~10km from coastline The closer the better Concentrated cooling loads within 10km from coast > 3000 tons of A/C The larger the better Ideally large buildings with centralized A/C units (e.g. Chillers) Potential customers: Hotels + Resorts, Airports, Data Centers, Commercial centers, Big Box stores, Housing complexes, Industry
  • 64. © Bluerise BV Project Enablers Parallels to Solar/Wind energy financing, with the difference of having a multitude of customers, instead of one PPA contract Infrastructure utility type of investment = Need for long term contracts Take or pay contracts possible, need for credit worthy local entity BOOT concessionary contracting, shift development and construction risk to private sector while optimizing long term energy pricing Systems can be dimensioned to current need but more cost efficient to size for future demand. Demand growth risk Innovation can benefit from grants for EIA, capacity development, de-risking in terms of site, permitting, regulatory framework, lower cost of capital translating into lower cost of cooling to the end-users.
  • 65. © Bluerise BV Other Market Opportunities Virtually free of pathogen deep seawater is ideal for keeping brood-stock and the growing of high value fish. Seawater cooled greenhouses allow to grow crops that normally only grow in more temperate climates
  • 66. © Bluerise BV Other Market Opportunities The cold water found in the deep ocean is a key enabler for a broad range of sustainable applications.