1. Get Connected to HVDC
6 November 2018

2. Cigdem Demirel HVDC Product Management Leader
Grid Solutions

3. EC Grid Solutions VISION & STRATEGY
OUR VISION
OUR STRATEGY
Grow the business
Be our customers’ 1st choice
Take cost out of our products
Be the premier digital company in our industry
Strengthen supply chain and improve quality
Deliver double-digit operating profit … >10%
Master project execution
Simplify our business and structure

4. EC Grid Solutions HVDC Strategy
OPTIMIZE TODAY
EPC Excellence
Series 6 Controls
Reference Solution and Cost Out – “Blueprint”
Capacity Growth
CREATE TOMORROW
Technology Differentiation
Business-Model Differentiation
Optimized Off-shore Wind Connection
Solution as a Service
Digital Solution

5. A more complex global utility environment with new challenges
Increasing demand for electricity
Ensuring security of supply
Reducing carbon footprint
Growing offshore wind
Integrating remote renewables
Less predictable embedded generation
Utilities are looking for cost effective AC and DC solutions to improve the quality, stability and reliability of the grid
© 2017 General Electric Company - All rights reserved

6. Why HVDC? Move more Power, further Interconnect Grids
Integrate Renewables
Improve Quality and Stability, Maximise Network Performance
Enable the bulk transport of electricity over long distances
Enable the exchange of energy between two unsynchronized AC systems
Connects renewable generation such as offshore wind farms
Provides real and reactive power with less losses than AC solutions
Developing nations
Global
Mainly EU
Global
Primarily developing nations with energy reserves many kilometers from population centres e.g. China, Brazil, India
Connected AC networks can leverage lower generation costs and reduce the risk of cascading outages
Predominately EU market demand to improve energy management and reduce carbon footprint
Highly controllable HVDC systems can improve the stability and performance of the connected AC networks

7. HVDC Technology

8. 2 different technologies
Line-Commutated Converters (LCC)
Voltage Source Converter (VSC)
MOVE MORE POWER, FURTHER
INTEGRATE RENEWABLES
© 2017 General Electric Company - All rights reserved

9. LCC technology for bulk transfer of power
Line-Commutated Converters (LCC)
Mature cost effective HVDC technology based on thyristor power semiconductors
Enables the bulk transfer of power of up to 8 GW with low losses and inherent DC fault protection
Very limited control of the excess of energy produced
Require AC filters to smoothen the flow of electricity

10. VSC technology for renewables integration
Voltage Source Converter (VSC)
Newer technology based on power transistors
Reduced footprint compared to LCC technology
Better control systems
Lower electrical losses and less radio interference compared to LCC technology

11. A proven technology supporting projects all over the world
North America
Europe
Clean Line (US) - Develop America’s largest clean energy infrastructure project
Lower Churchill (Canada) - Connect a new hydro generation source
McNeill (Canada) – performing continuously and entirely unmanned since 1989
France-Italy – Build Europe’s energy grid
DolWin3 (Germany) – Connect Offshore wind energy to the grid
SWL (Sweden) – Our first VSC technology project In the world
Asia and India
Champa 1 (India) – Our first 800 kV HVDC project
Kepco (Korea) – digitalization of HVDC technology
Buk Dangjin (Korea) – 2nd Turnkey HVDC project in South Korea
South America
Rio Madeira (Brazil) - The longest DC Interconnection in the world
Melo (Brazil-Uruguay) – trading clean energy between countries
$15B market by 2026 (Future Market Insights)

12. Our HVDC journey From small player in a niche market to HVDC Digital Industrial Leader
2009
2014
2015
2017
$4.5B market
$5-7B market next 3 years
Aggressive ABB and Siemens
Challenging Chinese players
Growing but lumpy market
Only 2 Point-to-point players
~ $3B market
2016 low year,
moved to 17
Market: +21% CAGR
3rd player to ensure competition
IFA 2000 France-UK/ Melo Brazil-Uruguay/Rio Brazil Jeju Korea/SWL Sweden/Champa1 India/DolWin3 Germany
BukDangjin Korea/Champa2 India/LCP Canada
FIL France-Italy
Focusing on Swedish project and Control Software
Transforming into Digital Industrial Leader
We are Back-to-back Player
Re-entering Market
Leveraging GE
© 2017 General Electric Company - All rights reserved

13. Differentiating through digital solutions
Customer problem statement
Loss of revenue and negative impact on reputation due to unplanned system outages Cost of unavailability up to $500K/day on HVDC
High CAPEX re-investment: Asset use not at optimum level
High OPEX: Lack of knowledge to operate and maintain HVDC /FACTS stations O&M running costs up to 2% of the initial contract price on a yearly basis, i.e. up to 50% over total life cycle
Differentiated solution
99% availability for 5 years
- 50% unplanned outages
Losses of <0.8% for VSC
© 2017 General Electric Company - All rights reserved

14. Want to know more? Download the app HVDC explorer, improve power quality and maximize grid performance

15. And get connected with our HVDC resources
Visit our website
Download our brochure
Get to know about our projects
DolWin3 | France-Italy

16. Concluding remarks Growth lever for GE: $4 to 6B annually
Ambitious 2017 Op plan… Closure of existing projects
3 global turnkey OEM’s (GE, ABB, Siemens)… Chinese players challenging
Differentiating with our Digital Solutions
© 2016 General Electric Company - All rights reserved

17. Q&A