1. NaREC Andrew Mill CEO Ocean Energy For New England Conference 6 th October 2008 Sate of the Ocean Power Industry An Industry Perspective

2. Introduction Background credentials –30 years in the energy industry –Built and made operational EMEC –Member of RAB and chair of Marine Renewables Sub-group –CEO of NaREC Review of the UK industry progress –Technology –Political –Financial –Industrial R&D

3. Progress To Date - Wave Earliest technologies date back to mid 70’s in UK 2004 EMEC opens wave test facility Pelamis Wave Power –1st grid connected device 2004 –1 st commercial demonstrator 2008 Near shore or shoreline devices –Limpet connected to grid in 2000 –2004 near shore device tested at EMEC RAB report on progress 2007 2008/9 a number of prototype devices will be open sea tested

4. Progress To Date – Tidal Stream 2008 –MCT install 1.2MW grid connected device Seagen at Strangford Narrows N Ireland –Open Hydro connect to grid at EMEC –EON back Lunar Energy Verdant install in East River Hammerfest Strom – Norway 2006 – EMEC opens tidal test site, Open Hydro connects

5. UK Marine Test Facilities - NaREC 14 devices tested to date Wave test facility at 1/10 th scale Tidal test facility at 1/10 th scale Combined wave and tidal stream test capability Linear generator test rig for grid connection studies

6. UK Marine Test Facilities - NaREC Blade test facility Drive train development test rig Field testing wave & tidal Power offtake system development High voltage lab for grid connection studies

7. UK Marine Test Facilities - EMEC 4 berths, 50m water depth 2km from shore Atlantic waves regime 25kW/m + energy level 20m+ peak wave Wave Tidal 5 Berths, 10-50m water depth Grid connected 3.5m/s flow Sheltered area

8. UK Marine Test Facilities – Wave Hub Open sea demonstration facility for pre commercial arrays 4 berths each suitable for multiple devices 50+m water depth Fully grid connected Atlantic waves regime 25kW/m + energy level Planned opening 2010

9. EMEC Wave Test Site Government Funding Initiatives TSB & BERR Carbon Trust - Marine Energy Challenge & accelerator ETI (Engineering & Technology Institute) Private / Public partnership TRL3 to 6 EPSRC (Engineering & Physical Science Research Council) MRDF (Marine Renewables Deployment Fund) £50M Scotland has a number of further initiatives £150M Committed <£20M spent

10. EMEC Wave Test Site Political Landscape Targets –20% renewables by 2020 Energy is a reserved issue Environmental issues devolved Planning Bill Grid connection Marine Bill ROC (Renewables Obligation Certificates) scheme, 2 ROCs Scotland proposing 5 ROCs SEA process EC Directives –Birds –Habitat Crown Estates Seabed lease initiative

11. Barriers to Progress Grid connection & competition from wind Funding Skills & industrial capacity Environmental lobby Technical challenges Political uncertainty

12. NaREC –Current project examples Aqua Marine Power Ltd (£500k) Grid connected PTO solution Project Management Detail design of power offtake system Procurement Assembly Testing Deployment Evopod – Tidal Device 1/10 th scale open sea testing Control & instrumentation Drive train and load Funding Direct Drive Generator Prototype Mech & Elec design Encapsulation system Wet running design Marinisation Assembly & Build Test and commission Snapper FP7 Linear generator development Program management Partners Upsala University Prototype development >£500K – 3 year programme

13. Marine Test Facilities Why do you want to build one? –Political leadership –R&D –Investment –Other Answer will dictate what type of facility Answer will determine the cost and return

14. NaREC Andrew Mill CEO Ocean Energy For New England Conference 6 th October 2008 Sate of the Ocean Power Industry An Industry Perspective