© ABB SG_Presentation_rev9b.ppt | 1 © ABB SG_Presentation_rev9b.ppt | 1 Smart Grid – The evolution of the future grid Karl Elfstadius, ABB Smart Grid

Smart Grid enables a change to a sustainable energy system New political targets, with main focus on Reduction of CO2 emission Energy efficiency Renewable power generation Reliability and security

Consumption Source: SvK Production Wind and Solar requires more balance power Integration of renewable energy sources Challenge: Availability of emission free balance power

Smart Grid enables balance by increased transmission capacity and integrated active consumers Source: SvK Sweden Planning targets for Sweden Wind 30 TWh, MW Compare with Hydro MW Nuclear9 000 MW How to balance intermittent MW wind? + Import / - Export Hydro Wind District heating Nuclear Electrical demand

Load Time Smart Grid enables peak load shaving by active consumers  Use more efficient production units  Use less costly production units  Use units with less emission  Improved utilization of the grid capacity  More available balance power  New rules for the electricity market  Modified network regulation Benefits for network operator and energy supplier Develop business models that transfers part of the profit to the consumers

Smart Grid components HVDC Light – new technology for DC-connections East West Interconnector  500MW  kV cabel (sea & land)  Customer: Eirgrid, in service 2012  Supports wind power in Ireland BorWin 1  400MW  kV, 200 km cabel (sea & land)  Contributes to reduction of CO 2 emissions with about 1.5 millioner ton/year  Supports wind power in Germany

Smart Grid components: Bulk energy storage Energy storage  Voltage control  Increased stability  Used during peak load situations and as emergency reserve during power outages. Product concept  Li-on battery cells  5-50 MW, 5 min to 60 min  Modular concept

Smart Grid components: Integrated Active House and Electric Vehicle Benefits  Active ‘prosumer’ benefits from most favorable spot price  Peak load shaving by local production, storage and time shift of consumption  Overall reduction of energy consumption by increased consumer awareness Home Energy Management System

Smart Grid components: Charging infrastructure Electric Vehicles Benefits  CO2 reduction  Allows for the possibility to dispose energy when excess production is available.  Peak load shaving Chargin g method DescriptionInstallation Slow charging  Individual poles at home or parking lots  Charging time ~6 hours  ~2kW,, AC converters Fast charging  Special charging stations or with equipment at home  Charging time ~1 hour  ~20kW, AC converters Ultra- fast charging  Concept for special charging stations  Charging time ~6 min  >300kW, DC converters Billing system

R&D sites for Smart Grid From research to business  Research & Development: #New technology solutions #New business models #New market rules #New role of the customers and customer behaviors  Innovation: Transfer learning's into market rules and commercial applications  Education: Site for training and demonstration

Stockholm Royal Seaport – A world class sustainable city, with a Smart Grid as the enabler Objectives  Year 2030 fossil free  Year 2020 CO2-emissions below 1,5 ton per person  Adapted to future climate changes Focus areas  Effective energy end-usage  Environmental effective transports  Local re-cycling  Life style

Smart homes/Buildings and Demand Response  Reduced peak load and increased energy efficiency by demand side participation and home/building automation Distributed Energy Systems  Integration of production for local generation PV and Wind in Home/Building Automation Solution Integration and Use of electric vehicles  Integration of PHEV Charging Infrastructure Energy Storage for Network Support and DES  Increased stability and power quality Harbor Control Solution  Reduced CO2 emission based High voltage shore connection Smart Primary Substations  Increased efficiency and reliability with higher automation level Smart Grid Lab (part of Royal Seaport Innovation)  Research, development, simulation and implementation of smart grid application Development and demonstration of a large scale Smart Grid in Stockholm Royal Seaport

© ABB Group August 8, 2015 | Slide 13 Smart Grid research in Stockholm Royal Seaport

Smart Grid is the Enabler for…  Transformation to a sustainable energy system Reduced CO2 Increased energy efficiency Renewable energy Reliability and security  Continue development of a consumer driven electricity market  Increased capacity in existing infrastructure, which has a favourable impact on price development  A robust energy system with a large share of distributed renewable production  Create opportunities within the power industry that attracts young talents to support the generation shift within the power industry