Innovations in Wind Measurement System Configuration Services for Wind Farm Optimisation by Global Business Media

SPECIAL REPORT

Innovations in Wind Measurement System Configuration Services for Wind Farm Optimization

Bankable Wind Measurement Campaigns Respect IEC 61400-12-1 Ed.2 (03-2017) Realizing the Potential of Wind Energy The Fight Against Variability Developing an Effective Wind Speed Measurement System Moving to the Future: Key Developments in Wind Measurement

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Published by Global Business Media

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

SPECIAL REPORT

Innovations in Wind Measurement System Configuration Services for Wind Farm Optimization

Bankable Wind Measurement Campaigns Respect IEC 61400-12-1 Ed.2 (03-2017)

Contents

Realizing the Potential of Wind Energy The Fight Against Variability Developing an Effective Wind Speed Measurement System Moving to the Future: Key Developments in Wind Measurement

Foreword

Tom Cropper, Editor

Bankable Wind Measurement Campaigns Respect IEC 61400-12-1 Ed.2 (03-2017)

Andreas Jansen, CEO at ProfEC Ventus GmbH Sponsored by

Published by Global Business Media

Published by Global Business Media Global Business Media Limited 62 The Street Ashtead Surrey KT21 1AT United Kingdom Switchboard: +44 (0)1737 850 939 Fax: +44 (0)1737 851 952 Email: info@globalbusinessmedia.org Website: www.globalbusinessmedia.org Publisher Tom Cropper Business Development Director Marie-Anne Brooks Editor Tom Cropper Senior Project Manager Steve Banks Advertising Executives Michael McCarthy Abigail Coombes Production Manager Paul Davies For further information visit: www.globalbusinessmedia.org The opinions and views expressed in the editorial content in this publication are those of the authors alone and do not necessarily represent the views of any organisation with which they may be associated. Material in advertisements and promotional features may be considered to represent the views of the advertisers and promoters. The views and opinions expressed in this publication do not necessarily express the views of the Publishers or the Editor. While every care has been taken in the preparation of this publication, neither the Publishers nor the Editor are responsible for such opinions and views or for any inaccuracies in the articles.

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Facts About Bankability and Certified Wind Measurement Campaigns One Stop Wind Shop Offers Easy Compliance with Bankability Requirements Unique Features of the “One Stop Wind Shop” The Chain of Accredited Services Should not be Interrupted Factors Relating to “Bankability” and “Certified” Wind Measurements and Necessary Equipment Compliance ProfEC Ventus at a Glance Closer, Committed, Competitive Contact

Realizing the Potential of Wind Energy

Tom Cropper, Editor

The Age of Wind Record Breaking Overcoming Obstacles

The Fight Against Variability 11 Jo Roth, Staff Writer

A Booming Sector Measuring Performance Improving Performance

Developing an Effective Wind Speed Measurement System

James Butler, Staff Writer

Investing in Wind Power Going Beyond Developing a New System Using Experts

Moving to the Future: Key Developments in Wind Measurement

Tom Cropper, Editor

Technological Advances The One Stop Shop A High-Tech Future

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INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

Foreword I

T’S THE energy of the future, investment is up,

impact can be, the onus is growing on wind farm

wind power is about to help us meet our green

projects to improve their measurement capacity.

energy goals and ensure a clean source of energy

This is not something every developer is doing. As

into the future. These are just some of the exciting

James Butler discovers, there is a gap in wind power

predictions being made about wind energy. But

measurement capabilities. He looks at the key factors

while the excitement is justified, it avoids some

developers should take into consideration when

challenging obstacles which could derail progress.

designing a system for the future.

Our opening article comes from ProfEC Ventus,

Finally, we’ll see how that future is progressing.

one of the leading providers of wind measurement

We’ll look at advances in technologies and how

systems in the world. They look at what companies

new software is enhancing the industry’s ability

must do to achieve the much sought-after status of

to capture and understand data. We’ll see how

being ‘bankable’.

attitudes are changing and how developers can go

We then look at the wider wind landscape and examine its future. There is, indeed, plenty to be optimistic about, but at the same time, realists point to multiple challenges in the future. Jo Roth then looks at the ongoing fight against wind

above and beyond the bare minimum to provide clear transparency about wind farm optimization. The potential of wind power is enormous, but it’s not yet a done deal. The sector must overcome a host of challenges if it is to become the true future of energy.

variability. Some view this as the single greatest threat facing the progress of wind energy. Variation can lead to sizable drop offs in the return on investments. As backers start to become more aware of how bad the

Tom Cropper Editor

Tom Cropper has produced articles and reports on various aspects of global business over the past 15 years. He has also worked as a copywriter for some of the largest corporations in the world, including ING, KPMG and the World Wildlife Fund.

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INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

Bankable Wind Measurement Campaigns Respect IEC 61400-12-1 Ed.2 (03-2017) Andreas Jansen, CEO at ProfEC Ventus GmbH The value of bankable wind measurement sensors, certified wind measurement systems and accredited expert opinions do yield improved loan and financing conditions.

HE PROCUREMENT of bankable wind measurement sensors, accredited measurement systems, wind measurement masts and the data retrieval, analysis and supervision respectively, data quality management warranting authenticity and integrity during the wind measurement campaign reaching from first conceptual design through to a bankable reporting format is a challenging endeavour with numerous details to be considered and specifications to be respected. Much care needs to be taken to warrant socalled BANKABILITY and to obtain best insights and results of wind measurement campaigns at lowest uncertainty possible.

Facts About Bankability and Certified Wind Measurement Campaigns Due to the current absence of a sole, international standard exclusively focussing on wind measurements limited to energy yield, in reality, the best practices for wind resource assessments are those standards accepted by banks that adhere to some or all of the following requirements: l IEC 61400-12-1; Wind turbines – Part 12-1: Power performance measurements of electricity producing wind turbines, December 2005 l IEC 61400-12-1 Ed.2; Wind turbines – Part 12-1: Power performance measurements of electricity producing wind turbines; March 2017 l IEC 61400-12-2: Wind turbines - Part 12-2: Power performance of electricity producing wind turbines based on nacelle anemometry, March 2013 l FGW Technical Guideline for Wind Turbines, Part 6 Rev. 9: Determination of Wind Potential and Energy Production, September 2014

BANKABLE WIND RESOURCE MEASUREMENTS FACILITATE PROJECT IMPLEMENTATION ON FAVOURABLE LOAN CONDITIONS.

EASNET Power Performance Measurement M Procedure Version 5, December 2009 l MEASNET Evaluation of Site-Specific Wind Conditions Version 1, November 2009 l MEASNET Cup Anemometer Calibration Procedure Version 2, October 2009 Each of these standards intrinsically contains relevant and important information to be complied with in order to warrant that a wind measurement campaign is fully bankable and in accordance with best practices, reflected by adherence to the most recent standards that are accepted by banks. This is well understood by banks’ engineers and accredited measurement institutes such as ProfEC Ventus GmbH. However, often project developers, banks or investors are not always fully aware of all the details that must be taken into account in order to reach a such high quality level of a wind measurement campaign that is acceptable to virtually any bank, and hence in order to warrant obtaining “BANKABILITY”. l

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INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

CALIBRATED SENSORS AND ACCREDITED MEASUREMENT SYSTEMS REDUCE UNCERTAINTIES

The quality level reflected by the term BANKABILITY is not yet defined by a single, exclusive standard. BANKABILITY requires compliance with several standards, each of them with relevance to some important aspects addressing the utmost quality level of wind measurement campaigns to be achieved. Banks, as well as venture capital providers or funds that specialise in wind project financing, by default, demand maximum compliance by any wind measurement campaign with these standards in order to reduce any risks and uncertainties attached to the measurement results, relying on a best practices. That leads to acceptance among capital providers and hence termed “BANKABILITY”. Moreover, considering best sensors, procedures and accredited documentation and reporting for any wind measurement campaign yields more precise and more certain results, meaning higher likelihood of reduced reservations, and hence a narrower distribution of P70, P90 and P95 values around the P50 expectation value. This is of benefit to all. In the case of a classical project financing, the capital providers will offer better loan and financing conditions expressed by lower interest rates, less equity capital, less contingencies and less guarantees demanded to hedge the capital offered as part of the overall project financing strategy.

One Stop Wind Shop Offers Easy Compliance with Bankability Requirements Anticipating the need to warrant bankability starting with the sensor selection, ProfEC Ventus recently launched “ONE STOP WIND SHOP” (https://shop.profec-ventus.com/) for 4 | WWW.MULTIPLATFORMPUBLISHING.CO.UK

certified wind measurement systems, wind measurement towers and diverse accredited expert opinion services. At ONE STOP WIND SHOP customers can find a large selection of proven, calibrated and measurement technology tools, accepted by banks at – https://shop.profec-ventus.com/ The objective is the optimisation of professional procurement for high-quality, bankable wind measurement equipment as well as details of complete, accredited wind measurement campaigns, to facilitate the choice of products. In addition to individual, bankable sensors, the offer ranges from fully calibrated, certified and bankable wind measurement systems, with or without wind measurement towers, to the complete, accredited setup and data management support of entire wind measuring campaigns, using measurement masts, SoDAR or LiDAR technologies. It includes, also, details of worldwide assembly and installation services, an accredited calibration service and various, accredited expert services, which are presented at a glance: anytime and everywhere. If necessary, ProfEC Ventus also provides intensive advice and assistance for the appropriate selection of measurement technology and services. ProfEC Ventus, as ISO/IEC 17025 Measurement Institute, acts as accredited Testing Laboratory as well as accredited MEASNET Calibration Laboratory with its main focus on bankable energy yield assessments and long-term prognoses, wind maps (meso- and micro scale), wind forecasts and CFD–calculations. ProfEC Ventus’ objective, as accredited, independent

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

Wind Energy Consulting Experts, is to increase the success of projects, to assess, identify and minimize any associated risks that our clients are facing and to qualify and quantify remaining uncertainties at bankable level, as well as to determine accurately any potential energy losses involved. This expertise has been proven in more than 40 countries worldwide.

Unique Features of the “One Stop Wind Shop” ONE STOP WIND SHOP is the only one of its kind, which is operated by an accredited Measuring Institute and Test Laboratory with its own, accredited (MEASNET) Calibration Laboratory. The ONE STOP WIND SHOP provides the client with a convenient and efficient ordering process and an actual cost. “The customer can immediately and at any time check our huge range of sensors with or without a cable and connector-plug, with or without calibration, and he can compare all the features of different sensors in order to find the must suitable sensor for his measurement system and his measurement campaign. And the client also can order any sensor or complete measurement systems right away”, says Mathias Hölzer, CEO at ProfEC Ventus GmbH. This reduces time and administrative effort as well as delivery time. “As an accredited Testing Laboratory and Calibration Laboratory, we offer wind measurement systems with an individual CERTIFICATE OF BANKABILITY, which verifies adherence to relevant standards and norms and thus is accepted by almost all banks worldwide,” says Managing Director Mathias Hölzer. In order to entirely comply

with the requirements of the upcoming IEC Site Assessment standard (IEC 61400-15) likely being published in 2020, only wind measurement stations and wind measurement campaigns which previously have been assessed and evaluated by an accredited Testing Laboratory can be used as bases for wind resource assessments and energy yield prognoses. In turn, these expert opinion reports are the prerequisite for banks and investors to finance a wind farm project, especially in Germany. “Measuring systems from ONE STOP WIND SHOP meet all the requirements of banks and investors around the world and are certified to comply with relevant and most recent standards of FGW, IEC and MEASNET” Hölzer adds. In addition, ProfEC Ventus offers wind measurement masts in the ONE STOP WIND SHOP in compliance with various building code regulations and static requirements. “We supply our customers worldwide with wind measurement towers that meet the prevailing national or local structural requirements, avoiding any problems during appraisal of the building permit or during the operating period”, says Hölzer. At the same time, clients at the ONE STOP WIND SHOP can also access and investigate numerous accredited consulting services. “Here we offer more detailed consultation and advice during the quotation phase, in order to assess precisely, in the first instance, the individual requirements and existing information, based on which we then can provide a tailor-made, cost-efficient offer to our client, meeting his needs and, in most cases exceeding his expectations”, says Andreas Jansen, CEO at ProfEC Ventus GmbH.

CERTIFICATES OF BANKABILITY MATTER FOR INVESTORS AND CAPITAL PROVIDERS, CONSOLIDATING THE TERMS OF CAPITAL SERVICES FOR EFFICIENT FINANCING OF ASSETS

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INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

If carrying out a wind measurement campaign with subsequent wind resource assessment and energy yield forecasting of a wind farm is planned, the accredited processes must go hand in hand

WARRANTING AN UNINTERRUPTED SEQUENCE OF ACCREDITED SERVICES YIELDS A MOST TIME AND COST EFFICIENT PROJECT DEVELOPMENT PROCESS AT THE HIGHEST LEVEL OF CONFIDENCE AND PROSPECT OF SUCCESS

The Chain of Accredited Services Should not be Interrupted If carrying out a wind measurement campaign with subsequent wind resource assessment and energy yield forecasting of a wind farm is planned, the accredited processes must go hand in hand. For example: the accredited installation reports for wind measurement technology from ProfEC Ventus, acting as Measurement Institute, often include more than 120 pages, in order to address and consider all questions and points regarding compliance with relevant national and international standards and guidelines in a most comprehensive and precise manner. “If the chain of the accredited works executed by accredited Testing Laboratories and Measurement Institutes breaks within the overall process of an expert opinion assessment then, in the worst case, work steps have to be repeated,” warns Jansen, CEO at ProfEC Ventus. “This can involve substantial costs, e.g. for new site visits, data validation and verification with respect to data integrity and authenticity, a new or extended measurement campaign etc. and therefore slows down the process of generating expert opinions reports that the investors want to evaluate before taking an investment decision. Such requirement are obsolete on the basis of our installation reports and individual “Certificate of Bankability” highlighting the compliance with all relevant standards, norms and guidelines, since every accredited Testing Laboratory in the world can blindly rely on our accredited appraisals, certificates and (installation) reports”, adds Jansen.

Factors Relating to “Bankability” and “Certified” Wind Measurements and Necessary Equipment Compliance ProfEC Ventus warrants bankability by the issuance of a Certificate of Bankability. In the first instance BANKABILITY, in qualitative terms, can be derived from the likeliness that 6 | WWW.MULTIPLATFORMPUBLISHING.CO.UK

capital providers accept the quality of an expert opinion, based on which project appraisal can be granted. Subsequently, in quantitative terms, BANKABILITY can be expressed by the attractiveness of the loan and financing conditions offered. Wind measurements constitute one of the key factors in deciding whether a wind farm will be built or not. By calibrating sensors for wind measurements, the risks for investors can be reduced considerably, as they deliver reproducible results, and any uncertainties of measuring instruments are accurately assessed and reported. As the second company in the world, ProfEC Ventus GmbH is accredited by the German Accreditation Body (DAkkS) for calibration of wind vanes, and by that is also recognized in context of the international organisation for accreditation bodies: ilac-MRA. To date, ProfEC Ventus is still considered as the first and only accredited Calibration Laboratory working in accordance with the lately published standard of the International Electrical Commission: IEC 61400-12-1 Ed.2 (03-2017). ilac-MRA accredited Measurement Institutes and Laboratories in accordance to IEC 17025 are obliged to comply with to a maximum extent with the following norms and standards that are well accepted among capital service providers. ProfEC Ventus, as an accredited Measurement Institute in accordance with ilacMRA rules, complies as a Testing Laboratory and Calibration Laboratory with all these standards under ISO 17025. A measurement system from such accredited institutes can be certified as “being bankable”, based upon the accreditations and trustworthiness gained. Therefore in the case of ProfEC Ventus, based on our ilac-MRA accreditations and MEASNET membership: any measurement system that leaves the Laboratory is tested, calibrated and forms as such an accredited product itself, which is bankable in terms of IEC, MEASNET and FGW. This compliance ProfEC Ventus certifies by an accredited Certificate of Bankability, which has global validity and is accepted by virtually all banks, investors and turbine manufacturers all over the world, based on underlying norms and standards. In addition to the procurement of measurement sensors and systems, the measurement campaign, data supervision and evaluation can be described as a bankable, accredited service in order to warrant authenticity and integrity of the measurement and its results. ProfEC Ventus

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

also hooks up here: data loggers come with a customer friendly data management and analysis service V.Mac (Virtual Measurement Access), offering quick data analyses, real time data access, resource evaluations and data sharing by individual user rights that our clients can assign to the stakeholders to whom they grant a sub-account. V.Mac (Internet browser based or mobile App based) is flexible and can incorporate any data a client wants to incorporate, as well as from measurements not performed by us. Moreover, V.Mac warrants data authenticity and integrity that complies with relevant requirements from banks and investors. V.Mac services are free and save our clients from hiring an external, additional data management service costing several thousand US Dollars per year per measurement station, if compared to business offers from competitors.

ProfEC Ventus at a Glance ProfEC Ventusâ&#x20AC;&#x2122; procedures and techniques comply with relevant and recent international industry standards for wind energy. Its accreditation as a Testing and Calibration Laboratory, in accordance with ISO/IEC 17025, assures accepted bankability of the services offered. Work and expert opinions are performed in compliance with relevant norms as: l IEC 61400-12-1 Ed.1:2005 l IEC 61400-12-1 Ed.2:2017 l IEC 61400-12-2 l IEC 61400-1 l IEC 61400-2 l FGW TR6 Rev.9 l FGW TR2 Rev.16 l MEASNET Power Performance Measurement Procedure V.5 l MEASNET Evaluation of Site-Specific Wind Conditions V.1

EASNET Cup Anemometer Calibration M Procedure â&#x20AC;&#x201C; Version 2

ProfEC Ventus is accredited following ISO/IEC 17025 for following services: - Anemometer and Wind Vane Calibration -M easurement of Wind Turbine Power Performance -W ind Resource and Energy Yield Assessment of Wind Turbines incl. Assessment of Losses - I nstallation and Evaluation of Wind Measurements - Site Classification of Wind Turbines With its top-class services, ProfEC Ventus serves the entire needs and satisfies the expectations of project developers, banks and investors, governments, wind turbine manufacturers as well as international organizations worldwide.

Closer, Committed, Competitive ProfEC Ventus resets the pre-set, providing quality at its best, participating in national and international expert groups for wind energy standard development ProfEC Ventus is engaged in several national and internationally expert bodies focussing on streamlining quality of work, service and results within the global wind energy market. Development of standards, norms and guidelines yield harmonized results, necessary for global wind energy stakeholders such as banks, investors, wind turbine manufacturers, project developers, O&M companies etc. ProfEC Ventus not only applies such standards, but also contributes during the development and acceptance of such, by injecting valuable knowledge and experience into the working groups and boards developing and approving said standards. The committees with whom ProfEC Ventus is involved include:

PROFEC VENTUS OFFERS SENSOR EXCHANGE AND MAINTENANCE FOR ALL PROJECT PHASES

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INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

By calibrating sensors for wind measurements, the risks for investors can be reduced considerably, as they deliver reproducible results, and any uncertainties of measuring instruments are accurately assessed and reported CLOSER, COMMITTED, COMPETITIVE: PROFEC VENTUS RESETS THE PRE-SET, PROVIDING QUALITY AT ITS BEST, PARTICIPATING IN NATIONAL AND INTERNATIONAL EXPERT GROUPS FOR WIND ENERGY STANDARD DEVELOPMENT

NATIONAL COMMITTEE WORK: BWE – German Wind Energy Association • Expert Advisory Board • Experts’ Forum FGW – Federation of German Wind Power and other Renewable Energies: • Technical Committee – Power Curves • Technical Committee – Wind Potential INTERNATIONAL COMMITTEE WORK: IEC – International Electro-Technical Commission • IEC 61400-12-1 (Power Curve) • IEC 61400-15 (Site Assessment)

EVERY ENGINEER IS THE ARCHITECT OF HIS PROJECT. PROFEC VENTUS PROVIDES PROFESSIONAL PROJECT

MEASNET – International Measuring Network of Wind Energy Institutes • Working Group Anemometer Calibration • Working Group Wind Vane Calibration

APPRAISALS FOR ANY PHASE

ProfEC Ventus is engaged Contact ProfEC Ventus GmbH Im Ofenerfeld 23 26127 Oldenburg Germany Tel: +49 4421 209089 0 Fax: +49 4421 209089 9 E-mail: info@profec-ventus.com url: www.profec-ventus.com https://shop.profec-ventus.com

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in several national and internationally expert bodies focussing on streamlining quality of work, service and results within the global wind energy market

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

Realizing the Potential of Wind Energy Tom Cropper, Editor Wind power is on the rise, but it still faces many challenges. Wind measurement will be crucial to help it realize its potential.

HE MARKET for wind energy – both on and offshore – is growing, but as it does so, attitudes need to change. Success depends on measuring a range of key indicators and few are more important than the wind. However, the industry’s understanding of wind measurements is not as good as it could be, and there are no accepted principals for measuring wind specifically for the generation of electricity. The industry needs new approaches and it must find ways to achieve real bankable gains. Bankability is vital. Wind is still an emerging market. Government support has been crucial in facilitating the growth already witnessed, but margins are still tight, and that support is by no means locked in. Long term survivability depends on the industry’s ability to demonstrate value. First, though, let’s step back and take a look at how the market is developing and the opportunities this creates.

The Age of Wind The world has an energy problem. To meet international agreements on energy emissions, it must find greener and renewable sources. However, traditional resources such as coal, oil and gas are still the cheapest source of production. That might not be the case for long as wind power is progressively closing the gap. When David Cameron came into power, he made a high-profile pledge to lead the ‘greenest government ever’. His promise been ridiculed by many, but one policy which has yielded benefits was the Coalition’s farsighted support of wind power. Thanks to its support, the price of wind power has plunged. Recently it was able to claim that it was cheaper than nuclear power1. In just two years, the price of offshore wind energy has dropped by half, putting it in a position to compete with fossil fuels. A report from Blomberg New Energy Finance, believes wind energy will be less expensive than coal by

20402. It’s a very different prognosis than the rather uncertain predictions set out by traditional energy giants such as Exxon.

Record Breaking Growth sees wind power taking on an increasingly important role in overall energy production. In July 2017 it was announced that Scotland had set new records in renewables production. It produced more than enough power to satisfy its entire energy requirements (118%) over a six-month period3. The energy companies have seen which way the wind is blowing, and are adapting their business models accordingly. Shell has created an offshore wind division to invest in offshore power4. Others, such as BP, are also increasing their investment into renewables, but none has embraced change as much as Dong Energy. Once a traditional oil and gas company, they have restructured their strategy to conentrate on renewables. They are now 85% focused on offshore wind and are shedding their interests in coal, oil and gas. By 2023, they say, they expect to be carbon neutral5. The results are already coming in. Their switch to wind energy has helped Dong realize a three-fold increase in profits. In September they reported a 200% boom in pre-tax profits compared to the same period last year6. Dong’s success highlights an important point in wind’s evolution. Today it is seen not just as an investment in the future, or to showcase green credentials. It can be an important factor in the success of an entire business. Wind is growing, and oil is in decline. Despite a recent surge in prices thanks to volatility in Saudi Arabia, oil and gas companies are having to achieve profitability in an environment in which prices are often less than half the level they were in 2014. Although technology can extend the life of existing oil fields and find new sources, the prospects are finite. Wind power, meanwhile, is renewable and there is potential to continue to increase yields. Advances in technology are allowing companies WWW.MULTIPLATFORMPUBLISHING.CO.UK | 9

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

Bankability is vital. Wind is still an emerging market. Government support has been crucial in facilitating the growth already witnessed, but margins are still tight, and that support is by no means locked in

to push out further from the shore where winds are stronger. This is generating sizeable increases in energy production and improving the cost versus reward calculation.

Overcoming Obstacles To attract more investment, wind power has to become more commercially viable. For all the good news stories, it is still dependent on government support which, in a time of austerity, is far from guaranteed. A change of government or a shift in emphasis could alter the picture entirely. Growth can also mask some of the same challenges the industry has been facing ever since it started. One of the biggest issues is resource variability. Energy production and profitability increase exponentially with the strength of the wind. When the wind drops, it can have a devastating impact on performance. The variability of the wind and resource underperformance create an enormous headache for the industry and represent its biggest threat going forward.

Demonstrating consistent performance and delivering reliable wind measurements will be a crucial part of attracting private capital into the sector. A lack of data puts backers in a difficult position. On the one hand they can see the benefit of getting in on the wind energy boom but, on the other, projects can still represent too high a risk. A lack of data means many developers are shooting in the dark â&#x20AC;&#x201C; being asked to invest sizeable sums without having a clear picture of the risk. This will be enough to hold back many investors and, with few key measurement standards, itâ&#x20AC;&#x2122;s not easy to deliver industry-wide consistency. Those providers who can achieve reliable and accurate wind measurement, which are compliant with the demands of the banks, will find themselves at a considerable advantage in the marketplace. Wind, therefore, represents a fantastic opportunity for people, planet and profit. It will be central to Government aims to ensure sustainability and it will create new investment opportunities from the private sector. However, for that to happen it must provide greater reliability and accuracy in wind measurements.

Their switch to wind energy has helped Dong realize a three-fold increase in profits. In September they reported a 200% boom in pre-tax profits compared to the same period last year

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INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

The Fight Against Variability Jo Roth, Staff Writer Why wind variability is the greatest threat to the future success of offshore wind.

HAT’S THE one thing investors hate? Uncertainty. Unfortunately for them, there’s plenty of that when it comes to wind power. To unlock more private investment in the future, wind power companies will need to address those concerns and provide the reliability potential investors crave.

A Booming Sector Wind power is booming. Everywhere you look, the industry is bustling with confidence. This is a sector which genuinely believes it has the power to change the world for the better by providing an affordable renewable and clean source of energy. Beneath the surface, though, this surge is more fragile than many people would like to think. Profitability still relies significantly on generous government subsidies and, from a purely financial point of view, investments represent a significant risk. Wind power will face a host of challenges over the next few years, not least of which is the issue of wind variability. The inevitable drawback of renewable energies such as wind and solar is that their effectiveness can depend so greatly on the elements. The strength of winds can have an enormous impact on the success of an offshore project. Strong winds, rough seas and storms can present a threat to the integrity of an operation, while loss of winds will obviously impact productivity. Just how badly is something that many investors and would-be developers do not fully comprehend. According to a report from insurance company GCube, a 20% drop in wind resource over a sixmonth period could lead to a revenue reduction of 40% to 50%7. Inadequate measurement techniques, which can state an optimistic case, could see investors missing their break-even points by quite wide margins. Imagine, for a moment, that an investor has based expected returns on a certain level of production from an offshore wind farm. A prolonged period of calm weather could throw projections off wildly. An underperforming wind project could lead to a serious financial loss – which, in turn, can reduce confidence of those planning to invest in the industry as a whole. GCube’s report estimated that weather risks led to a $56bn deficiency in unrealised assets8. It emphasises the long-term impact of wind speed

variability on revenue. The report concluded that resource variance had “now surpassed mechanical breakdown and component damage as the major obstacle to achieving bankable wind energy projects.” The problem is holding back the spread of the global industry. Wind power has tremendous potential around the world. Even so, the problem of resource variation makes it difficult to assess, with any degree of certainty, the profitability of some offshore wind projects.

Measuring Performance Many of those issues can be addressed by the introduction of more effective wind speed measurement techniques. To be effective, wind speeds will need to be comprehensively measured with a tailor-made system specifically designed for each location and over a long period of time, to draw up a picture of average windspeeds, strength and consistency. Only then can investors have an accurate view of how much yield they might expect to obtain from their investment. Unfortunately, many developers and investors haven’t woken up to the benefits of truly extensive measurement. The result is poor investment performance and eroding of faith in the financial viability of the sector. There have been a number of attempts to draw up best practice guidelines for wind power configuration. Manufacturers of the latest measurement devices work hard to ensure their products are compliant across the board. However, there is still no universally agreed criteria for what should be counted as bankable and verified data. Furthermore, meeting minimum expectations is not necessarily enough. A new generation of products is evolving which goes much further than agreed minimums. They use a range of different technologies including masts, light operated devices (LIDAR) and sound operated devices (SONAR.) There is a full description of what these technologies offer elsewhere in this report. In short, using multiple measurement technologies can add an additional layer of measurement, further enhancing the reliability of produced results. WWW.MULTIPLATFORMPUBLISHING.CO.UK | 11

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

The inevitable drawback of renewable energies such as wind and solar is that their effectiveness can depend so greatly on the elements

Improving Performance Using the very best sensors can also improve the accuracy and value of the data, while consultation from experts will ensure measurement strategies are configured in the optimal way. For example, incorrect placement of sensors could impair wind speed measurement â&#x20AC;&#x201C; if they are placed too close to a mast it can affect the flow of wind and give false results. Improved measurements may also give developers some unexpectedly good news. A report into wind variability off the coast of the UK using new methods found that the variability index was significantly lower than at first thought. Previous studies of inter annual variation (IAV) had been taken from positions based on the shore. These had produced a wind variability index of 6%. However, a report for Crown Estates concluded that a new approach was needed. It

produced a revised index of between four and five percent, significantly improving the UKâ&#x20AC;&#x2122;s offshore outlook9. The return on investment comes in better data, better decision-making and, ultimately, a higher potential to improve production. By presenting prospective investors with superior information, developers can also hope to secure more favorable financing terms such as lower interest rates. It creates a more favorable financing climate, one in which investment is easier to access and more affordable. The excitement around the offshore sector is perfectly justified. However, it does face a number of challenges of which wind variability is just one. Improved technologies in wind speed measurements can do much to increase certainty around investments, reassure potential investors and spark greater capital flows.

The return on investment comes in better data, better decision-making and, ultimately, a higher potential to improve production

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INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

Developing an Effective Wind Speed Measurement System James Butler, Staff Writer How offshore wind producers can go about achieving a comprehensive wind speed configuration system.

IND POWER is the energy of the future. Renewable and increasingly affordable, energy giants around the world are making the move. Even so, investment remains relatively high-risk thanks to the inherent uncertainty surrounding wind conditions. Because yields vary so greatly depending on conditions, the accuracy of wind measurements and consistency of conditions will have a major impact on the returns investors are likely to see.

Investing in Wind Power Around the country, schemes are cropping up offering savers the chance to realize substantially higher yields than they might expect to do with a cash ISA. Promoters say this is a safe and lucrative way for people to make their money work for them. One such scheme, for example, on the website ‘Renewable Bonds’ promises an 8-12% return on investment. Only in the small print do you see the kicker: “Capital may be at risk10.” There are risks, of course. Variation in conditions can impact returns and much of the value still comes from government subsidies. As these are cut, investment becomes much less viable. At the beginning of 2017, a report from the Green Alliance warned that investment in wind farms could fall by 95% as a result of government savings11. Already 2016 had seen £1.1bn worth of cut backs, with more expected. Austerity, a need to realize savings and a feeling that wind power’s recent success may reduce the need for government support, all make the likelihood of a reduction in subsidies higher in the future. This means projects will have to do more to demonstrate their viability to investors. The industry has been working hard to develop a series of best practice guidelines for projects to follow. Organizations involved include the International Electrotechnical Committee (IEC), the International Energy Agency (IEA) and the International Network for Harmonised and Recognised Wind Energy Measurements

(MEASNET). Developers of wind measurement systems strive to have their products certified to such standards to provide reassurance to financiers.

Going Beyond However, those which can demonstrate a capacity to go beyond best practice and offer superior performance will be at a strategic advantage against the competition. Leading companies are working with investors and understanding what breadth of measurement data they are looking to see. They are finding that investors view wind energy as a good investment to inject a level of social responsibility into their portfolio. It is an investment which can also generate a positive social impact. To unlock the full growth potential, the industry will need to show positive returns. In some ways, their own success is causing problems. A study from the University of Kansas found that, as wind farms expand, the return on investment can diminish. The researchers set out to see what impact a forest of wind turbines could have on the wind power itself. When only a few wind turbines are added, found the report, each new wind turbine produces the expected increase in yield. However, that increase could diminish as more and more wind turbines are added, causing disruption to the atmospheric conditions12. Investors crave one thing more than anything else: certainty. They want to be able to assess what the likely return on investment will be. Understanding average wind speeds will do little if there is a wide variation in conditions. What they need is consistent and predictable wind performance.

Developing a New System The biggest barrier that new systems face is a lack of solid and viable information proving their ability to deliver accurate wind measurement data up to the standards and requirements of banks and investors. The only way to do this is WWW.MULTIPLATFORMPUBLISHING.CO.UK | 13

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

Each location will be different, so using both internal and external experts will be greatly beneficial in delivering high quality measurement

with exhaustive testing delivering sustained and quantifiable results. To prove this, developers need not only to refine the technology they are creating, but to understand the key metrics banks and potential investors will be focusing on. To achieve this, they must work with banks and investors to understand what data sets they are looking for. When analyzing new products, buyers should look at the vendor, assess their performance, experience and track record. They should also examine the verification process of vendors’ wind measurement technologies – what level of accuracy can they provide, and can they demonstrate bankability compliance? A number of factors can impact performance. A Study from Wind Energy The Facts states13 that, unless there is an adequate separation between the mast and anemometer, the results will not show the true windspeed. Instead, they will show a false reading affected by the presence of the mast itself. Anemometers also need to be calibrated for use at each site. Locations can differ significantly, which is why equipment needs to be specifically tailored to each location. Devices which have not received adequate calibration can show major deviance. The number of masts used for a site will also be important. The Wind Energy The Facts best practice report suggests two masts should be used for a small to medium-sized wind farm in relatively simple terrain. Larger and more complex sites will benefit from a greater quantity of masts.

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Using Experts Each location will be different, so using both internal and external experts will be greatly beneficial in delivering high quality measurement. This is one area where the provider will play an important part. They can offer the benefit of their experience and expertise to advise on the most effective approach. They can offer ongoing support over and above the initial purchase of the system. Ultimately, it’s a mutually beneficial arrangement. Smart providers are those who realize that their success is tied into the success of their clients. The more comprehensive a system is, the better value the data will be. A range of measurement devices from masts to sonic and light-based sensors can help to add greater depth and reliability to the final measurements. It can be a complex system and, even if an investor understands the value of wind measurements, they often don’t understand the complexity of the procedures required to produce accurate and reliable data. As such, that complexity can become a selling point in itself. If buyers or investors can see the effort and investment that goes into wind measurement, they will feel more comfortable in the reliability of the data. The landscape is evolving rapidly. New technology is improving the quality of sensors and the sharabilty of the data produced. The challenge for project designers will be two-fold: developing a comprehensive and viable measurement system and demonstrating value to investors.

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

Moving to the Future: Key Developments in Wind Measurement Tom Cropper, Editor Wind power has a bright future if it can harness its potential. Advances in wind measurement technology are helping it overcome its challenges.

HE TR ADITIONAL approaches to measuring wind speed are being gradually overhauled. In their place come new technologies, new approaches and a fresh awareness of how valuable data can be. The future belongs to information. How effectively companies gather and analyze that data will be crucial in determining their success.

Technological Advances The technology of measurement equipment is advancing and as it does so it is enabling developers to achieve new levels of accuracy and reliability. Having the latest equipment in place not only improves the reliability of data, but it also increases the confidence of investors. Key advances over the past few years include: 1. Remote sensors on wind farms. These are not currently widespread, but the technology is growing. Developers are producing sensors which are lightweight but capable of withstanding the difficult environments to be found offshore. They are gathering data and delivering them to a central operating system where they can be analyzed remotely. These are ground-based sensors which can measure wind speed at a range of heights without the need for a mast. 2. SODAR: SODAR emits and receives sound and uses this to assess wind speeds. They have been used for some years, normally in combination with conventional options. Their use will be to provide an additional layer of information to help create a fuller and more accurate picture of wind conditions. 3. LIDAR: As with SODAR, they use the Doppler principle in which the change of frequency is measured for an observer who is moving relative to the source, but instead of sound they emit light. This is a much newer technology and it is still in the process of developing information about its performance. A number of papers suggest it can have accurate results in simple

environments. The main benefit is that it dors not require a mast and can potentially provide highly accurate data. However, this is a technology which is still proving its value and the purchase price can be expensive.

The One Stop Shop Technological advances in key areas do much to improve measuring capacity, but it still needs to be put into one place. The buying process can be complex and time consuming, which is why leading providers of measurement equipment are working to reduce the barriers preventing would-be clients from making a purchase. A key advance is the one stop shop – a new idea being pioneered by ProfEC Ventus. Their online wind farm shop14, they say, is the only one of its kind. It is designed to offer a quick and convenient location to buy certified and bankable equipment from sensors to complete wind measurement systems which can include masts, SODAR and LIDAR systems. All products comply with FGW Technical Directive 6 which is used as a guide for banks and investors when planning finance for a wind farm project. They produce the very latest technologies such as top-quality sensors and data analysis systems to optimize data capture and analytics. “Measuring systems from our One-Stop Wind Shop meet all the requirements of banks and investors around the world and are certified to comply with relevant and most recent standards of FGW, IEC, and MEASNET,” said Andreas Jansen, Managing Director of ProfEC Ventus15. The benefit this offers is convenience, an assurance of quality, and access to expert consultation services. Each of the products is designed to conform to the latest standards and guidelines to optimize bankability of the overall system. They combine this with an enhanced consultation service which enables buyers to draw from the very latest expertise. WWW.MULTIPLATFORMPUBLISHING.CO.UK | 15

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

The buying process can be complex and time consuming, which is why leading providers of measurement equipment are working to reduce the barriers preventing would-be clients from making a purchase “We offer a more detailed consultation and advice already during the quotation phase,” said Mathias Hölzer, Managing Director and Technical Director of the Testing and Calibration Laboratory. “In order to first of all precisely assess the individual requirements and database existing, based on which we then can provide a tailormade, cost-efficient offer to our client, meeting his needs and, in most cases, exceeding his expectations.” Complete systems such as these collect accurate data to meet the latest demands of investors and clients. As they become more aware of the risks they face, they are becoming much more stringent in their risk assessment requirements. Developers of wind farm projects are being compelled to improve dramatically their presentation of data. Key to this will be analytics systems. Technology increases the quantity and quality of data being captured, but that is of little use unless that information can be analyzed, assessed and acted upon. Advances in computer analytics software improve the accessibility and share-ability of this information. ProfEC Ventus, for example, use cutting-edge software called V-Mac to improve the information gathering process, allowing clients access to real time monitoring of their masts via the internet. Customers can download data, invite stakeholders, limit access for certain participants and share data and reports and identify trends. The use of digital and online technology allows them to quickly share information between many different people in various locations. Specifically designed secure systems provide comprehensive access to data for multiple stakeholders, while enhanced analytics and reporting can yield greater insights which can improve decision making.

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A High-Tech Future Moving forward into the future, artificial intelligence programs will be able to automate many processes and analyze multiple sets of information to develop insights which would be difficult for human operators. This is an area of rapid development in which many of the key advances are still a few years away. Though unproven, AI and big data technology could have a profound impact on measurement and configuration. Among the possible applications could be a greater understanding of optimal wind farm layout. Offshore farms are scaling up in size and ambition. The Hornsea Project 2 development off the coast of Yorkshire, for example, promises to be the largest wind farm in the world once completed with 300 vast wind turbines producing enough energy to power 1.6 million homes in the East of England. Projects of this size, however, have a problem in that their sheer scale can impact efficiency. Projects located further offshore aim to benefit from the higher than average winds they might expect to find in the exposed areas of the open sea. However, the construction of multiple turbines in one area can impact the wind and reduce the yield of additional wind turbines. The move is towards smart turbine layout where the latest technology is harnessed to design turbines and plan layouts which minimize wind turbulence, and so optimize produced electricity. According to research from the US Department of Energy, insights into flow physics could reduce energy loss by 20%16. There are a host of factors which could impact the performance of wind farms. The challenge for developers is to produce new techniques and technologies which can measure wind and enhance their understanding of the factors at play. Wind power stands at a crossroads. It’s growing rapidly, and attracting more investment; projects are becoming more ambitious – but at the same time investors will need to see more detail to reduce their risks.

INNOVATIONS IN WIND MEASUREMENT SYSTEM CONFIGURATION SERVICES FOR WIND FARM OPTIMIZATION

References: 1

Wind Power is Now Cheaper Than Nuclear: https://www.theguardian.com/commentisfree/2017/sep/26/offshore-wind-power-energy-price-climate-change

Wind will be less expensive than coal by 2040: https://www.ft.com/content/20155f94-51e7-11e7-bfb8-997009366969

Scotland Sets Renewable Energy Records: http://www.independent.co.uk/environment/scotland-renewable-wind-energy-power-electricity-three-million-homes-118-per-cent-of-households-a7855846.html

Shell Creates Green Division to Invest in Wind Power: https://www.theguardian.com/business/2016/may/15/shell-creates-green-energy-division-to-invest-in-wind-power

Wind Power is now Cheaper than Nuclear: https://www.theguardian.com/commentisfree/2017/sep/26/offshore-wind-power-energy-price-climate-change

6 Dongâ&#x20AC;&#x2122;s Oil Exit Pays off as Wind Turbines Start Spinning: http://www.telegraph.co.uk/business/2017/08/10/dong-energys-oil-exit-pays-offshore-turbines-begin-spinning/ 7

Gone with the Wind: https://docs.wind-watch.org/Gone-with-the-Wind.pdf

Weather Risks Account for $56bn in Unrealised Assets: http://www.gcube-insurance.com/press/weather-risk-accounts-56-billion-untapped-wind-asset-values-worldwide/

9 New Report Reveals Better Outlook for UK Offshore Variability: https://www.thecrownestate.co.uk/news-and-media/news/2017/new-report-reveals-better-outlook-for-uk-wind-speed-variability/ 10

Renewable Bonds: http://www.renewable-bonds.com/?gclid=CjwKCAiArrrQBRBbEiwAH_6sNI9_SX-Yd6QbvYG3CoCz2gpo-lRdoQuuCkSM114HvuRdiZYsqLQ-4xoC3R0QAvD_BwE

Renewable Energy Investment in the UK will fall by 95%: https://www.theguardian.com/environment/2017/jan/04/renewables-investment-uk-fall-95-percent-three-years-study-subsidy-cuts-emissions-targets

Wind Farms Offer Diminishing Returns as the Grow: https://wattsupwiththat.com/2015/08/31/study-wind-farms-offer-diminishing-returns-as-they-grow-more-widespread/

Wind Energy The Facts Best Proactive for Accurate Wind Speed Measurements: https://www.wind-energy-the-facts.org/best-practice-for-accurate-wind-speed-measurements.html

ProfEC Ventus Launches Online Portal: https://www.greenenergynews.co.uk/online-portal-launched-wind-measurement-systems/

ProfEC Ventus Launches online one stop shop: http://www.windpowerengineering.com/construction/profec-ventus-launches-online-one-stop-wind-shop-sensors-measurement-systems/

Impact of Wind Flow on Wind Farms: http://www.windpowerengineering.com/design/nrel-program-investigates-the-impact-of-wind-flow-on-wind-farms/

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