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Green Hydrogen: Energy
Solutions for Storage /
Demand Energy
Management / Prime
Power & HVAC
An exploration into a decentralized Green Hydrogen infrastructure
and a rapidly emerging Hydrogen-based energy economy.
H2 Development Corp., LLC. © November 2017
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Executive Summary
The continuity of both expansion and evolution within the U.S. electric power market has been
greatly limited do to the electric power market being devoid from a sustainable as well as
durable (renewable) energy storage capacity. A robust and resilient energy infrastructure
requires energy storage capacity to successfully emerge from a centralized model, as well as an
overall inefficient or outdated grid delivery/response infrastructure.
A case use scenario for a successful evolution from the distributed natural gas infrastructure will
provide for a prime example as to provide a precedent for a successfully working model within
this narrative. As such, an application for a new and proprietary Green Hydrogen model for
energy deployment for example, shall elucidate and to describe as well as to support a working
and forward-thinking model (from the natural gas industry) as a basis for this. As a comparison
and as an applied best practice to provide a correlation toward electricity infrastructure, via
energy storage as to provide a progressive and forward-thinking solution, one can readily
observe how Natural Gas has achieved it’s ‘evolution’. Without a viable and robust integrated
energy storage component, the present electrical energy market cannot sustain imminent and
required growth, resiliency, security or even to function properly, without an adequate energy
storage solution.
Commodity (supply-side) variables are associated with energy price instability. Grid reliance or
grid instability (as evidenced in energy volatility) will remain as being problematic, providing for
protracted and chronic interdependence from supply-side variables, which are related to market
commodity factors and/or the availability from feedstock supply as required to generate
electricity.
Enhancements within the Natural Gas energy market / Industry from storage enhancement,
directly provided the Natural Gas industry with abundant flexibility and an increased market
demand as well as delivery as a direct result. This advent for Natural Gas became evident
through addressing its own storage and transport capacity revealed its shortcomings. The
distributed Natural Gas energy model is a basis for Green Hydrogen production through H2
Development Corp., LLC. to build upon this model as a precursor and to present the opportunity
we propose as a viable solution for forming the basis for the sensible energy utility of Green
Hydrogen Gas.
H2 Development Corp., LLC proposes Green Hydrogen as being a direct benefit to meet the
demands for energy storage as well as decentralized energy generation and to embrace an
emergent carbon-free energy resource, as well as to address the much-needed energy storage
solutions conundrum, which is sorely needed for a new modality from grid infrastructure from
which an emergent energy storage market can be embraced.
Green Hydrogen for energy storage and prime power generation is derived from a power to gas
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and gas to power model within this narrative summary. This model provides for a completely
new and emergent energy marketplace opportunity through the inclusion of Renewable Energy
resources, as these are durable fixed as well as carbon-free (commodity-free) energy assets.
Localized energy security and decentralized energy generation, as well as carbon-free energy
generation, each are provided as a basis for sustainable energy best practices when Green
Hydrogen and gas to power & power to gas is considered.
What is Energy Storage?
Providing for energy storage is vastly an economic decision. It is a practical decision which
warrants significantly greater investigation. Without adequate energy storage, an energy driven
industry and consumer driven marketplace must develop and maintain a turn-key energy
delivery network capable for meeting the highest energy peak and then to respond or match for
energy supply & delivery and demand, for providing energy throughout the year and for energy
to be made available (supply, delivery and demand and storage) at any given location and at
any given time at any given instant.
Without adequate energy storage, industry must operate within a "just in time" balancing of an
aging and ‘out-moded’ grid infrastructure framework. Current grid infrastructure is dependent on
variable off-taker’s requirements on the client side from their supply, delivery demand needs.
This Energy delivery requirement also needs to remain capable for robust and agile resiliency
and to withstand enduring localized natural disasters, market commodity volatility in feedstock
supply and extreme weather-related events in times of weather related emergency. A robust
and localized (resilient) energy grid or a decentralized micro-grid infrastructure becomes an
intuitively sensible direction going forward, to accommodate for securitizing and preparation for
accommodating anomalous deleterious events and even to fortify localized grid resiliency
through autonomous energy infrastructures. This as to provide energy continuity from hazard
from otherwise catastrophic or unforeseen events.
Electricity can be stored within gaseous Green Hydrogen, as it is a robust energy carrier. Green
Hydrogen is produced / provided from electrolysis from water and renewable energy assets.
This technology creates “Green Hydrogen” as the power required for the electrolysis
technology, which is derived from local or combined renewable energy assets. These renewable
energy assets power the Electrolyzer, which in turn produces Green Hydrogen on demand and
with zero carbon nor other harmful emissions. This acts initially as an energy storage
technology or a “battery” for renewable energy resources. This is referred to as “Power to Gas”.
Green Hydrogen is a high-density energy carrier. The stored Green Hydrogen can be
compressed to levels of high volumetric energy storage in this way. Green Hydrogen can be
transported to localized energy generation sites through H2 Development Corp., LLC via our
“Mobil Pipeline” from local bulk filling of high volume Hydrogen storage pods.
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The Hydrogen will be converted back into electricity from Hydrogen fueled Boilers from H2
fueled “Dynamic Combustion Chamber” technology micro steam turbine genset or through H2
fueled I.C. engine genset and/or primary Hydrogen Fuel Cells when needed. H2 Development
Corp., LLC employs technology available for providing grid-tied or “grid agnostic” Mw Scale on-
site energy generation from these means.
http://www.lehighvalleylive.com/warren-
county/index.ssf/2018/01/this_local_industrial_park_is.html
The great advantage and value presented for Green Hydrogen generated electricity during a
peak demand scenario, can cover the cost of storing energy through Green Hydrogen power
produced at night or off peak and/or through utilizing spinning reserve from local electricity grid
or through time-delay had from renewable assets. Solar, Wind, Hydro or Geothermal can create
an abundance of economics and bring great value in this way for achieving energy storage as
well as energy generation. Existing PPA (Power Purchase Agreements) as offered to
Renewable Energy investments from utilities are often described as being “throttled” from feed-
in tariffs or monetization being received from compensation made to renewable energy
investors from local utilities.
There is a practical legitimacy for this as being that which is derived from a time-delay energy
production / consumption curve or more popularly portrayed as the “Duck Curve”. This is
because renewable energy is created at times where the grid demand curve is not corelating to
a renewable energy supply generation capability which is advantageous to provide ideal
benefits from a utility which is agreeing to pay for renewable energy to feed into its grid. A very
real problem exists in this case and a “throttled” or diminished PPA is the economic result
(justifiably so).
Green Hydrogen as a renewable energy storage technology can immediately correct for this
“Duck Curve” conundrum. The technology exists currently with H2 Development Corp., LLC. as
to provide immediate deployment and shovel-ready / Mw scale solutions for addressing this
major issue. Both Utility and independent renewable energy investors alike can immediately
recuperate from “throttled” renewable energy assets, which are presently deployed. This
provides a major opportunity for an entirely new investment opportunity and a local energy
strategy to support for renewed, robust renewable energy investments.
Overcoming the “Duck Curve” Time-Delay is a massively beneficial and advantageous
enhancement as provided by Green Hydrogen to grid and/or to direct energy client-side (on-
site) consumers or prosumers, as this could be an example for an enhanced Esco. A new
opportunity for Energy as a subscription service). This model provides energy which is carbon-
free and can provide Supply, Delivery, Demand, and Storage as well as Uninterruptable Power
Supply from potential Grid-Down events such as natural disasters.
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As the United States is currently addressing Energy Policy and seemingly adopting ‘Command
and Control’ posture for bolstering Coal, Natural Gas and Nuclear Energy positions, H2
Development Corp., LLC. offer an alternative view.
The U.S. Energy Grid Infrastructure is currently being evaluated for massive physical delivery,
efficiency and storage enhancement. This will come at a price with significant government as
well as private investment. Subsidies and significant investment are required now, to achieve
these goals. Our proposition for grid scale storage, decentralized energy generation, grid
buffering and over-all resiliency from renewable energy storage is derived from a decentralized
Green Hydrogen model (Mw production scale) and provides for public/private equity and as an
investment opportunity to gain long range revenue streams for new opportunities and
profitability within energy investment and for enhancing an aging and out-moded grid
infrastructure.
Energy production and storage as derived from Green Hydrogen production, a model through
which we are proposing, is vastly more efficacious, profitable and beneficially viable, in our
opinion, than current projected plans being considered from current national-scale energy
project origination being considered (inclusive of Solid State Battery deployment technology).
A decentralized grid project infrastructure / investment throughout the United States from
adopting our Green Hydrogen model (as a best practice for a decentralized energy storage
model) addresses exponentially more areas of energy resiliency and grid security, which the
most ardent and robust of U.S. infrastructure plans could possibly take into consideration for
scope & scale to feasibly accomplish.
As endeavors for efficiency and resiliency for energy Supply and Delivery as well as Demand
and Storage continues to expand, storage plays a critical and multi-functional role. Green
Hydrogen energy storage (decentralized and localized) production facilities are designed to
provide a benefit for a dynamic, real-time energy environment. Factors driving the introduction
of Green Hydrogen infrastructure for energy storage technologies include elimination of harmful
environmental impact, toxic emissions and resolve for many of the challenges with regard to the
increased economic utility of renewable energy resources.
Green Hydrogen provides enhancement for facilitating a decentralized, localized energy security
best practice management protocol, which is not in place anywhere at present, as to provide for
disaster relief and grid security. These issues are all key and core components of current
readiness for U.S. National Energy Policy.
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Green Hydrogen Energy for Energy Storage and Grid Resiliency as
well as Grid Security Is timely and Immensely Beneficial.
Without a scalable and robust / durable, economically viable and shovel – technology ready and
deployment means to store electricity (feasibly), many current grid operations will remain
endemic, anemic, thwarted, hindered, throttled and shall remain otherwise highly problematic for
both the energy industry as well as for the consumer.
High Value / Critical areas of interest:
1) Energy supply volatility
2) Reduced reliability and stability (particularly at peak times)
3) Threatened local economy and local security (if grid-down event)
4) Localized Grid imbalance from unpredictable loading (Duck Curve / Charging of EV
Cars for Ex.)
Clearly advantageous benefits are had from the abundant applications for a grid integrated
Green Hydrogen energy storage and energy generation technology adoption protocol. Each of
these challenges facing the current energy industry can be adequately addressed and resolved
through Hydrogen and Hydrogen related technologies as these are engineered and applied
from within the grid and local energy infrastructure. This will lead to a more robust, resilient and
overall more efficient and secure energy delivery market, which costs less to operate, and which
is more responsive to dynamic market changes, such as to be entirely scalable, as to
accommodate for projected growth. Additionally, there is greater reliability, sustainability and
durability in the event of a disruption.
Green Hydrogen Energy storage and energy production technologies as provided from H2
Development Corp., LLC. provide a wide spectrum of vast capabilities and benefits which will
perform for providing many benefits throughout the current and emergent energy market.
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These benefits can be grouped into three market roles:
1) Energy Management
2) Bridging Power
3) Power smoothing / Quality & Reliability
The purpose for energy storage via Green Hydrogen and Power as well as HVAC generated
from Green Hydrogen is to act as a ‘shock absorber’ to the energy system, the incremental and
immediate beneficial impacts will accumulate and become more pronounced as infrastructure
changes are implemented.
Hydrogen is the most stable, highest energy density of any gaseous energy fuels, which
provides for an enhanced return on investment. Energy is stored in Hydrogen, as a gas which
can be held for weeks months or even years without worry from the hydrogen gas becoming
unusable or unstable or like is the case in stored diesel, requiring fuel stabilizing additives,
which ultimately reduce the fuel’s ability to act as a viable commodity for providing energy.
Of note: Storing Diesel Fuel for long-term storage, it is abundantly known that Diesel Fuel
becomes fouled from the onset of mold. De-fouling and anti-gel forming additives are added to
stored Diesel fuel to overcome this. As this practice needs to be repeated, the Diesel Fuel
eventually becomes too diluted from these additives and must be completely discarded. This is
100% wasteful and most have little or no idea that this is a frequent occurrence within the
maintenance and upkeep of the energy backup systems industry.
Green Hydrogen can used on site within our prime power Mw Scale Dynamic Combustion
Chamber and H2 I.C. Engine Hub gen set or within prime fuel cell applications. These
technologies are required to convert Green Hydrogen as a gas to power. The great benefit of
Green Hydrogen energy storage is simply, it creates a new investment opportunity as a carbon-
free and economically viable clean (entirely Non-Toxic) gas product from an existing or to be
built renewable energy investment asset class.
There is virtually no shelf life to storing Green Hydrogen.
A highly valuable new commodity gas product (Green Hydrogen), which can be distributed,
taxed locally and federally and sold, to create new and higher performing revenue streams from
a carbon-free clean (non-toxic) energy gas product and from which can be distributed to
locations where power generation was once not practical and where remote locations within
regions requiring power were once discounted or discarded or even to parallel existing fixed
Natural Gas grids. This provides for an enhanced, decentralized or ‘grid agnostic’ and
completely new energy investment opportunity.
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Green Hydrogen can be easily valuated for localized energy economy as well as to bolster and
support for local energy security as well as being an abundant, safe and inexhaustible carbon-
free commodity fuel supply and a localized resource for an enhanced energy infrastructure as to
provide for entirely new energy economies.
Green Hydrogen’s Market Role
By supplying power when and where needed, Green Hydrogen energy storage and Power
Generation will create for a far more opportunistic and responsive market.
Benefits Identified:
1) Reduce the need for additional transmission assets
2) Become a preferred supplier of ancillary services
3) Provide better integration of renewables into the system
4) Support more efficient use of existing assets
5) Improve the reliability of electricity supply
6) Increase the efficiency of existing power plant and transmission facilities
7) Reduce the investment required for new infrastructure and/or physical plant facilities
Green Hydrogen / Decentralized Energy Generation & Energy
Demand Response and Energy Storage As An Opportunity
For A Brand New Energy Market Opportunity
The U.S. electric power industry is stalled. A much-needed transformation is required
immediately. The challenge now is to provide for change from an industry governed by rigid
command and control regulations (once reliant upon Fossil Fuels), to one where the competitive
renewable assets guide overall development for new investment opportunity through a
decentralization structure. So far, the progress to achieve many of these efforts remain pale and
inconsequentially incremental or even to be minimally addressed or to be outright ignored.
Unlike other successful emerging economic technology markets, the energy market has little if
any real storage and little durable investment or appetite for substantiative / causative and
relevant adaptive change.
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Without an economically viable way to store power, the electric power and utility market will
continue to be stymied as well as being exposed to vast inefficiencies as well as to continue to
endure significant insecurities. This is evidenced most recently with U.S. National Disasters
from Hurricanes in both Texas and in Florida (as recent as the Summer of 2017). Several tens
of Billions of dollars are current estimates from losses from 2017 alone from natural disaster
impacts within the United States and Puerto Rico.
Energy storage is poised to play a pivotal role in a progressive and a new and emergent
economic power market. The value of electricity to accommodate for peak and high demand
management alone more than makes up for the cost of storing power produced at night or
through spinning reserve. This is just one metric to economically justify for the advent from
Green Hydrogen.
The electric power market currently has dependency upon these 5 “dimension’s” for providing
enduring efficacy within primary directives:
1) Fuel feedstock / Energy Source
2) Generation
3) Transmission
4) Marketing / Distribution
5) Energy Services
Through supplying power when and where it’s needed, energy storage is on the cusp of
becoming the “Sixth Dimension” of the electric power market. Integrating the existing
segments and creating a more durable and responsive market, Energy Storage through Green
Hydrogen will vastly improve the reliability of electricity supply, increase the efficiency of
existing power physical generation from Renewable and/or Conventional Fossil Fueled power
plant generation and will be capable to buffer centralized energy transmission facilities. This will
reduce the much-needed capital investments required from within these facilities, to accomplish
a Sixth Dimensional evolution and to expand upon opportunities for energy revenues not yet
comprehended.
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The Case for Green Hydrogen and Energy Storage
Without energy storage, industry must develop and maintain an entire delivery network capable
of meeting the highest peak of the year. With energy storage, principles of energy facilities only
need build out what is needed to carry a heavy yet normal load. Energy Storage, therefore
translates into a more efficient utilization of existing capital equipment and provides for a higher
return on investment from future capital equipment improvements, as applied toward energy
infrastructure - through a focused approach for investment. Without sufficient energy storage
capacity within the electric power industry, excessive generation and burdened / inefficient
transmission facilities struggle to meet peak energy demand. Much of the physical energy
generation plant remains underused for much of the year.
On average, power facilities are used only 55% of the time; and transmission systems are only
marginally better at 60%. By establishing “caches of energy” along the energy delivery
infrastructure, storage can balance supply (with demand) on short notice. This occurs instantly,
continuously, efficiently and effortlessly. This allows for a more efficient use of the existing
resources in the physical generation plant, lowering prices and improving the quality of the
overall energy service market.
Energy storage functions as a “shock absorber” for the nation’s electric infrastructure,
enhancing its efficiency, reliability and security. By maintaining a relatively modest amount of
energy reserves in Green Hydrogen (locally), Renewable Energy production and storage
facilities large and small will have a positive impact on the market.
Energy Storage / Challenges
Without a means to store electricity, several conditions will remain endemic to the industry.
Three are of major concern:
Heightened Volatility: Higher prices or regionally unpredictable price volatility or
availability from feedstock, which leads to reduced investments or profits by energy consumers
and manufacturing or service industries within a region.
Reduced Reliability: Lower assurance that high quality power will be continually available
raises the cost of doing business due to the risk of damaged equipment or down-time.
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Threatened Grid Security: Problems in one part of the power grid spread everywhere
within seconds. Fewer energy backup systems mean a greater chance of system disruption
from an unforeseen failure and open the entire system up to a much higher probability of greater
damage from sabotage.
Other problems which stem from a lack from energy storage or resiliency from within the overall
grid include constrained transmission capacity, unrealized existing asset capability, inhibited
growth of renewable energy and a destabilized carrying capacity of the nation’s power grid.
By utilizing Green Hydrogen energy storage technologies, each of these challenges facing the
energy industry can be greatly reduced, leading to a more efficient market that costs less to
operate and which is also more responsive to market changes and more reliable in the event of
disruption.
The implementation of Green Hydrogen energy storage facilities
increases the overall transmission system’s ability to:
Dampen Volatility: By providing power during shortages and retaining power during times of
excess, price and physical availability swing will decrease.
Create Efficient Markets: Storage will increase the utilization of existing assets, prompting
private equity industry to invest and increase the availability and quality of power.
Improved Safeguards: Readily available energy stored throughout the system will prevent
disruptive events from spreading and affecting the entire grid.
An example of a scalable energy hub for a Large-Scale Mw Class
Green Hydrogen Energy Generation Facility
Large-scale / Localized production of Green Hydrogen and energy storage systems will provide
the ability to use renewable energy assets as well as low-cost power during peak demand
periods of the day, reducing the need for high-cost peaking plants to cycle on and off and
lowering the volatility of the wholesale market. Through removing the bottlenecks within the
transmission system, these facilities will also reduce power transmission losses and improve the
quality and reliability of delivered power. Hydrogen Fueled Engine hubs are Superior technology
for micro-grids due to their ability to provide Prime Power / 24 hr. Full duty load cycle
performance and to provide durability for over a long lifespan.
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An example for design as shown, can be equated to a 20 Mw Green
Hydrogen Micro-Grid in terms of surface area required. Containerized
Micro-Grids for Hydrogen generation.
Depicted: Solid State Battery banks for energy storage.
Reducing Electricity Demand Lowers Peak Prices from Peaking Power
Plants (Supply)
Small-scale energy storage systems 1 - 5MW to 30 MW and larger have a tremendous role to
play in the upcoming deregulated electric power market. By one Department of Energy (DOE)
estimate, $150 billion dollars of work is lost or wasted due to poor power quality and reliability at
customer’s sites. Although peak shaving is a significant virtue of consumer- located energy
storage facilities, the real benefit will be in preventing damage or losses to ongoing business
activity and saving far more revenue than the plant or office’s electric bill by reducing downtime
and increasing productivity.
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The Existing Opportunity
Looking no further than to see the immediate connection made from renewable energy to
produce Green Hydrogen gas to actualize a successful use-case (for an energy storage
potential hiding in plain sight of the current energy market). Hydrogen Gas is an efficient, high
density carbon-free inexhaustible / renewable locally produced Non-Toxic energy carrier and an
energy storage solution. Green Hydrogen adds to the much-needed flexibility within the current
energy market or an enhanced and bolstered energy infrastructure.
Federal energy policy plays a pivotal role in transforming the storage market into the one we
know of today. Similar attention to the electric power industry’s use of storage will spawn a
significant renaissance in this industry’s ability to foster flexibility, reliability and security.
Prior to deregulation, the expansion of the Natural Gas storage market was used primarily to
hold down the cost of infrastructure expansion. Natural Gas was shipped to high demand
regions during the summer and stored in underground reservoirs for use during the winter
months. As part of the deregulation of this industry, gas storage was separated from the
“bundle” of services rolled into the transmission cost of gas. This was of course pertaining to the
Natural Gas infrastructure and there are ample association for a direct correlation from a Green
Hydrogen gas infrastructure, to exist in parallel with an existing Natural Gas infrastructure, as
well as for supplying power for the electrical grid or to compete for new and competitive direct
on-site PPA to be offered directly to an energy off-taker clientele.
Green Hydrogen can be integrated to Natural Gas pipelines. The purpose for this is that Green
Hydrogen when added to Natural Gas, provides a significantly higher BTU when the two gases
are combusted as a blended fuel. Another benefit for blending the two gases is that through a
higher BTU from combustion, a cleaner more completed burn is achieved from these means. A
Blend of Green Hydrogen can provide a cleaner Natural gas emission.
Baseload opportunity: Flexible energy production and energy storage facilities options
will provide for new facility development through deregulation, leading to vast opportunities and
services within new or never existing before energy markets. These opportunities are provided
from H2 Development Corp., LLC. These unique opportunities make for efficient and profitable
energy infrastructure investments. We believe that Green Hydrogen for energy storage will grow
to become a crucial “6th
Dimension” in making energy markets more profitable as well as
secure, as well as efficient. Without this 6th
dimension - trading, reliability and tailored services
would all be far more expensive or worse off, these opportunities and enhancements would not
be available at all. As the electricity market restructures, morphs and evolves, it will also need to
rely upon a growing capacity for stored energy to improve its overall efficiency as well as to
foster for its overall growth and will need to address commodity volatility as well as the need for
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enhanced decentralization and localized security.
Green Hydrogen Energy Storage for an Existing and Emergent
Industry
A Green Hydrogen Energy storage for Micro-Grid energy can be deployed now. As the U.S.
addresses the problems of the current energy market, more challenges await as demand for
power continues to grow unabated.
Each year, demand for power increases roughly 2% more in higher GDP years, less in down-
turn GDP years. To meet these requirements, we’ll need to add slightly more than 3% to overall
energy capacity each year (peak demand grows faster than the average demand) we are
recommending installing as much as 10% however, as the life span of our equipment is greater
than 30 years, we should build-out a Hydrogen infrastructure with our future in mind.
Energy transmission capability has not expanded to meet the vastly growing needs of a society
which is becoming more dependent upon electrification. This is causing an increasingly
intractable grid reliance - constraint problem. H2 Development Corp., LLC addresses this by
engineering fully scalable turn-key Hydrogen based energy systems which can be installed in
parallel to the electric grid. This fosters for achieving a decentralized and localized renewable
energy advantage. Energy can be distributed via a “mobile pipeline” (trucks of tube trailers from
our unique H2 refueling delivery pod systems) or can be produced/ generated on-site.
As energy demand continues to increase, our Green Hydrogen production, energy and HVAC
generation and energy storage facilitates for energy production technologies which are
designed to adapt within a dynamic and changing environment. This diversity can play a critical
and multi-functional role in alleviating for any potential constraint. Feedstock of Green Hydrogen
gas, energy storage and energy generation facilities (which also store power for arbitrage), can
dependably maintain the stability and integrity of the local grid system and provide much
needed protection to be in place for a decentralized/ locally integrated grid network, in case of
disruption.
All energy industries will require a storage component to operate efficiently and properly. As we
have seen with the gas industry, energy markets desperately require storage to emerge
successfully from emergent deregulation scenarios. Without energy storage, the market will not
function as efficiently, price spikes and shortages will remain to be endemically problematic.
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Depicted: A Hydrogen Fuel Pod replenishment delivery to an on-site allocation for H2 Fueling.
Energy services which provide the Natural Gas industry the flexibility from which it has become
accustomed to today, only became available through leveraging storage mechanisms and
Infrastructure in adjusting to increased capacity.
Energy storage has an even larger impact on the overall energy and power market. The Energy
and Power industry is three times the size of the gas industry and operates on a much faster
critical and dynamic basis. What happens in the Natural Gas market on a seasonal or monthly
basis, happens daily in the electricity industry.
Because storage was added to manage the Natural Gas system, the industry has installed
fewer miles of pipe to handle the increased load and the capacity factor on the existing system
has risen. A direct analogy for energy storage can be applied for the electricity market by
reducing the amount of new generating and transmission capacity which would
otherwise be required to be built. H2 Development Corp., LLC proposes energy storage
through Green Hydrogen. The increase from the utilization of the existing generating assets and
new H2 fueled, (Mw Scale) Energy generation technologies as a force-factor for increased
energy generation systems, will synergistically lower energy delivery costs as well as bolster
grid reliance and provide for local economy as well as localized energy security.
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Right now, within the Renewable Energy industry, ESCO’s as well as many utilities are
committed through PPA with no option to sell their power product outside of the current
infrastructure of the fixed electric grid. H2 Development Corp., LLC. system’s and related Green
Hydrogen technologies changes this paradigm and operates to include a dynamic storage
component as well.
The chronic supply, delivery, and demand volatility of pricing from commodity markets from
Fossil Fuel feedstocks are diminished appreciably and are resolved for by H2 Development
Corp., LLC capital / local energy projects, as these are technology and deployment-ready to add
to an existing renewable energy asset such as solar, wind, geothermal or Hydro Power sites
and this creates Green Hydrogen from 100% renewable energy.
The current power market suffers from uncertainty through grid
supply congestion.
Market leaders such as General Electric and Siemens have recently shocked the nation from
seemingly free-fall stock pricing. These energy giants have fallen by the wayside. Disruptive
business models are now laid before us for real-time valuation. Do we proceed to align with
Fossil Fuel or do we engage in advancing Renewable Energy assets and investments and to
include Green Hydrogen?
While Green Hydrogen Energy storage facilities do not promise to fix all of the industry’s woes,
we can remove some of the uncertainty by providing a new ROI and a new investment
opportunity from private lenders, strategic partnerships and local / regional governments, for a
new carbon-free gas product which is Carbon-Free and provides for an inexhaustible local
energy resource. In this way, we can help energy clients to avoid price increases as a result
from cost increases as related to infrastructure enhancement. This while increasing reliability,
security, and by giving both consumers and investors new choices and opportunities from
Hydrogen. This is precisely what the U.S. Energy policy for deregulation originally set out to
achieve early-on from energy deregulation.
Energy Storage Applications
Stability of operations. This is what the electric power transmission system requires, it's what
energy storage facilities need to provide. Energy comes in the form of megawatt-hours (MWh)
of electrical power which is transported across the grid network to light and power as we’ll as
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heat our homes, run our computers, and power our factories. Stability of the delivery and
demand grid infrastructure is needed in a form of energy called reactive power and is needed
for the stability and proper working of the grid. These must evolve now and to be managed
together without fail, to provide reliable service.
The U.S. transmission system is really a massive (real-time) balancing act. As electrical power
flows from the power plants to the customers, conditions on the grid are always changing as
loads turn on and off, disruptions occur (such as a downed power-line) and wholesale power
moves across the network. In order to counter-balance these changes, utilities ramp power
plants up or down second by second in order to follow the load.
As the congestion on the transmission system increases, utilities are spending significant sums
of investment for stabilizing equipment. Utilities have been upgrading their networks to promote
“net-metering,” the capability of selling power back to the grid.
Although this will benefit customers, the stability of the grid will suffer. Energy storage facilities
are an answer to many of these issues. Hydrogen technologies are designed to provide long-
duration discharges of energy and have fast response times (Co-Equal to Solid State Batteries)
and at night while others focus their discharge capability on a shorter timeframe and higher
power delivery.
Green Hydrogen energy production and storage is advantageous in this way by providing prime
power energy on demand. This is achieved either on-site / locally or within our unique “mobile
gas pipeline” delivery directly to our H2 Fueled Dynamic Combustion Chambers technology,
which also provides for Millions of BTU/Hr in HVAC applications or as I.C. engine/generator’s or
as micro-grid energy hubs.
These assets from H2 Development Corp., LLC. can help to increase the utilization of existing
generation and transmission facilities, improving their efficiency to remove peak spikes and
smooth out the performance of renewable power farm sites.
Hydrogen Storage facilities can also provide for a means to inject bulk energy to curtail peak
demands on the power facilities, and reactive power to maintain a stable and working grid.
Some of the more important roles energy storage could play include:
Hydrogen Gas As A Commodity for Energy Storage: Storing bulk energy
generated at night for use during peak demand periods during the day. This allows for
arbitraging the production price of the two periods and a more uniform load factor for the
generation, transmission, and distribution systems.
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Green Hydrogen Energy Is Capable For Providing Grid Scale or On-
site Durability Contingency Service: Contingency reserve is power capacity
capable of providing power to serve customer demand should a power facility fall off-line.
Spinning reserves are ready instantaneously, with non-spinning and long-term reserves ready in
10 minutes or longer.
Area Control: Prevent unplanned transfer of power between one utility and another.
Frequency Regulation: Maintain a state of frequency equilibrium for the system’s 60Hz
(cycles per second) during regular and irregular grid conditions. Large and rapid changes in the
electrical load of a system can damage the generator and customers’ electrical equipment.
Black-Start: Units with the capability to start-up on their own to energize the transmission
system and assist other facilities to start-up and synchronize to the grid.
System Stability: The ability to maintain all system components on a transmission line in
synchronous operation with each other and have a parallel option in the form of mobile pipeline
gas distribution to prevent a system collapse and or secure power provision in times of
emergency for the population at large.
Voltage Regulation: Maintain a stable voltage between each end of all power lines.
Asset Deferral: Defer the need for additional transmission facilities by supplementing and
existing transmission facilities with new parallel energy delivery mechanisms saving capital that
otherwise goes underutilized for years.
Energy Time Management: Allows customers to peak shave by storing and shifting
energy demand from one time of the day to another. This is primarily used to reduce their time
of use (demand) charges with the additional option for producer to store renewable power made
in the day and sell their renewable power to existing PPA on the same day, only at night peak
rates.
Power Quality: Provides electrical service to the customer without any secondary
oscillations or disruptions to the electricity "waveform" such as swells/sags, spikes, or
harmonics by using know high performance prime power plant with the only exception of being
green fueled.
Power Reliability: Provides bridging power (UPS) for consumers to ‘ride-through’ a power
disruption. Coupled with energy management storage permits for remote power operation and
Engine micro grid hubs.
19
Green Hydrogen’s Multifunctional Capabilities: Practically all energy storage
facilities are expected to perform a number of additional support functions that is after all one of
their greatest strengths. Besides energy and power, the duration of the discharge and the depth
of discharge required for each segment of the value chain help determine which technology's
capability envelope fits with the required capabilities.
Green Hydrogen Energy Storage Meets Multiple Role Requirements
Generation: Energy storage facilities onsite at Wind, Solar, Hydro and Geothermal work by
supplementing generation facilities. Hydrogen Energy Storage by design the largest and most
long life of the energy storage technologies, with their primary focus being to provide energy to
the grid in long duration discharges on a daily or hourly schedule. This role allows for increasing
the value of the off-peak generating capability and increasing the utilization of these assets.
Storage Facilities: Energy storage Facilities can also provide contingency reserves for
periods when the grid has a sudden shortfall of energy either on site or in a parallel location. If
that shortfall is massive and causes a complete failure of the grid, storage facilities can assist in
the re-energizing of the grid with its black-start capability and Gas can be send immediately to
another locations engine hub to boost micro grid security and restarts. These facilities also
provide wide-area support and regulation to the power grid by providing a non-grid distribution
chain to bypass failed transformers in the case of a nature or unnatural emp grid /transformer
power over charge event.
Transmission: Energy storage facilities designed to support transmission and distribution
networks maintain the stability and reliability of the grid. These facilities are more concerned
with the ability to quickly inject stabilizing power not long-term energy into the grid with a short
discharge, but a faster reaction time.
Distribution: Although the advent of Regional Transmission Organizations (RTO) formation
is allowing more widespread movement of power, it does not change basic physics; the grid is
only designed to deliver so much power, from so many nonrenewable or renewable power
production sites no matter how many wholesale PPA delivery contracts that are sold.
Transmission facilities take a long time to be permitted and built. They are always expensive,
and in some cases may not get built at all. With RTO's or without.
Energy Service: Although the desire to reduce the cost of power is very important to large
consumers, the desire to prevent disruptions in their energy service from affecting their
manufacturing processes is even larger. Green Hydrogen is competitive with the best of any
solid-state battery technologies for Mw scale energy storage and with 30 Year operational life
and provide for full load, Full Duty Cycle as prime power.
20
Excess Green Hydrogen produced can be sold and distributed for the transportation market for
desirable ROI and provide for attractive returns to all renewable energy asset’s. Green
Hydrogen has several important advantages other competing technologies. Green Hydrogen
has very high storage energy density (170 kWh/m3) this allows Hydrogen to be used with strong
economic durability through H2 Development Corp., LLC’s portable High-Pressure Vessel
Hydrogen pod storage. Hydrogen is used in Dynamic Combustion Chamber Steam Power
technology and new internal combustion engines rated for generators to produce on-site prime
power. This provides additional flexibility for the storage system, in the form of energy
generation from Green Hydrogen.
Project Preparation and Due Diligence
While a number factors and circumstances may influence the time until full project engagement
or implementation, some key factors H2 Development Corp., LLC shall include:
Reviewing power supplier contract options and peak shaving credit opportunities, Site Civil
Work, Local and/or State permitting requirements, evaluation of acceptable set back and
boundaries for potential project sites, approval requirements from the regional code compliance
officer. In any particular circumstance, there could be other key limiting project factors. With a
basic initial assessment of the project, a preliminary assessment for project timeframe should be
addressed in a timely manner. This will occur upon having initial dialog and from receiving
engineering deposit for forward project engineering.
Key Benefits: Green Hydrogen Energy storage facilities can be used in four primary roles in the
retail energy sector:
1) Reducing energy costs through peak shaving
2) Improving the quality of power
3) Providing increased reliability of service
4) Improving Roi from Production sites
21
Renewable Energy
One of the greatest challenges facing the U.S. is how to make best use of our immense
renewable energy resources. Developing these resources will not only improve the environment
but also increase our energy security and improve the competitiveness of our country’s
renewable energy producers by providing a growing market for their products. However,
renewable energy resources have two problems.
First: Any of the potential power generation sites are located far from load centers. Although
wind energy generation facilities can be constructed in less than one year, new transmission
facilities must be constructed to bring this new power source to market. Since it can take
upwards of 7 years to build these transmission assets, long, lag-time periods can emerge where
wind generation is "constrained-off" the system. For many sites this may preclude them from
delivering power to existing customers, but it opens the door to powering off-grid markets—an
important and growing market. One of the largest proponents and users of these systems is the
Department of Defense for its integration of solar and energy storage systems for use in solar
power, power to gas for remote communication installations such as gas to fuel cells.
Second: The problem is that most of the power that is generated which is accessible to the grid
is generated when there is a low demand for it. By storing the power from renewable sources
from off-peak (and/or from spinning reserve) and releasing it during on-peak, energy storage
can be transformed to high value energy as well as for a high-value commodity Green Hydrogen
gas product. This capability will provide for the further development for renewable energy
resources and thus become far more cost effective by increasing the revenue and durable
economic value for renewables. it may significantly reduce the level of subsidy also, to where it
is equal if not advantageous to the overall environmental value of the renewable energy market.
At this point it is no longer an ‘insignificant’ subsidy but a valuable economic as well as
environmental investment.
Renewable Energy Can Now Compete To Enter Peak Markets With
Introduction of Green Hydrogen To Coincide With Energy Storage
Public Policy
The current regulatory environment has adapted to utilize the capabilities of the new economic
trends and technical developments within the emergent Power to Green Hydrogen Gas energy
market.
22
As energy policy encourages and facilitates new market incentives for energy efficiency,
resiliency, security, decentralization and energy storage, the storage community is well on its
way toward seeking an equal opportunity and a levelized playing field. To foster competition for
finding opportunities to sell low cost power and to provide ancillary services. This also was seen
in the natural gas storage industry, when the federal government took steps to promote the
further use of bulk storage the entire market benefited from its existence in a competitive and
dynamic environment.
Local Municipalities and state governments are currently working to further enhance existing
regulations and incentives through establishing decentralized, Micro-Grids and standardized
transmission services as well as to foster new market designs for the distributed and
decentralized electric power market. Energy companies have curbed development of
competitors by providing unequal access to their energy markets for new entrants, favoring the
energy companies own subsidiary. This is stone walling and thwarts the larger energy “big
picture” for regional growth.
The energy storage Industry and H2 Development Corp., LLC’s ultimate goal is to have the
market incentivized as to evolve into one where free competition for energy services are the
basis for relative strength as well as diversification in order to provide far greater energy market
opportunities.
Depicted: A 900 Kg Hydrogen 40’ Trailer delivers Green Hydrogen to a Refueling station or on-site off
taker client requiring Hydrogen Fuel for On-Site power / HVAC.
23
National Energy Policy
A new and emergent national energy policy, involving Green Hydrogen and energy storage will
demonstrate how hydrogen production facilities can help meet national standards and meet
expansive energy goals.
This energy policy has three guiding principles
1) The policy is a long-term and is providing a comprehensive strategy.
2) The policy will support new and environmentally friendly technologies to increase energy
supply, local energy security and encourage cleaner, more efficient means for energy use.
3) The policy seeks to raise the local economy and provide securitized as well as robust living
standards of the American people. That to do so, our country must fully integrate its energy,
environmental, and economic as well as energy security investments.
The World Urges Actionable Progress To Address Five Specific Goals
From The Paris Accord:
1. Modernize conservation.
2. Modernize the energy infrastructure.
3. Increase renewable energy supply.
4. Accelerate conservation of the environment.
5. Increase our nation’s energy security.
Hydrogen Energy Storage technologies and Hydrogen production facilities are
instrumental in meeting each of these stated goals:
Modernize Conservation: Hydrogen Energy storage will help modernize conservation
practices by optimizing the economic and environmental footprint of fossil and nuclear assets through
reducing cycling costs and/or providing new electricity services for the market.
24
Modernize Infrastructure: Hydrogen Energy production and energy storage as well as
Hydrogen generated Prime Power will help modernize the nation’s electric power infrastructure by
enhancing its efficiency, reliability and security. By operating assets in a more systematic and efficient
role. The private sector will invest to upgrade the energy infrastructure if there is a cogent and clear
pathway forward.
Increase of Energy Supply: Hydrogen Energy storage and Hydrogen Energy
production will increase the productivity for a robust economy in two ways.
First by increasing the efficiency of existing power plants, our existing resources will be
more efficiently utilized.
Second Hydrogen energy storage and Hydrogen Energy production will promote
renewable energy usage, thereby adding renewable energy resources to the green, carbon-free
energy resources which are already existing.
Protecting The Environment: Hydrogen Energy Storage facilities will reduce the
environmental impact of current power facilities and more efficiently integrate renewable energy
into the utility grid. By operating existing facilities in a more efficient manner, these will produce
zero waste or zero emissions and reduce grid cycling costs.
Security: Hydrogen Energy storage and Hydrogen Energy production facilities enhance the
reliability of the grid. Reservoirs of energy stored at decentralized sites are less vulnerable to
disruption and can be called into operation at a moment’s notice.
Benefits for this include:
1) Reduced volatility
2) Enhanced energy reserve margin
3) Provides the necessary ancillary support services critical to the proper operation for
energy transmission and distribution systems.
25
Hydrogen Energy Storage and Hydrogen Production
Facilities As Turn-Key Built and Operated Projects
Hydrogen Storage technologies offered through H2 Development Corp., LLC. are commercial,
Industrial and Utility grade and are long-standing and durable. All technologies offered are U.S.
Made and are deploy ready at present. Deployment for turn-Key build-out and full-time
operations and management teams are all provided through H2 Development Corp., LLC.
Hydrogen storage systems and Hydrogen Energy production technology projects can be used
for both stationary power and for Hydrogen refueling applications for the automotive industry.
H2 Development Corp, LLC. Green Hydrogen Energy Storage and Hydrogen Energy
Production Technology
Depicted: Mw Class Electrolyzer packaged in 40’ storage container. All our technology is Made
in the USA. Jack Mosel, CEO H2 Development Corp., LLC. pictured
26
Depicted: MW Scale PEM Electrolyzer
Depicted: Mr Raul Martinez, COO H2 Development Corp., LLC. Pictured with Mw Scale
Hydrogen Compressor
27
Prime Power Hydrogen Fuel I.C. engine 750 Kw shown - 24 Hr. Full Duty Cycle rated.
Depicted: 750 Kw Cummins Diesel I.C. Engine ready for Rotary Spherical Valve retrofit to
become an engine to be fueled by Hydrogen. Genset not shown.
Depicted: A Water-Cooled Oil-less Diaphragm H2 Compressor / Mw Scale Unit
28
Depicted: Rodger Moore, CTO H2 Development Corp., LLC. LEED Certified Professional
(Rodger pictured with Electrolyzer MCU control Unit)
29
Depicted: Mw Class Hydrogen Fueled Dynamic Combustion Chamber / Hydrogen Boiler.
produces Millions of Btu/Hr. HVAC & Micro-Turbine Genset For MW Class Electrical Power.
Round-Trip efficiency for H2 fueled DCC energy and HVAC systems are as much as 88%.
Impact on Key Stakeholders
Hydrogen energy storage and Hydrogen energy production as Hydrogen for HVAC applications
are presently a truly advanced leading technology, which is presently (technologically and
feasibly) deployment ready. In terms of its varied application’s and being an integrated
technology as such, Hydrogen will positively impact the entire energy value chain in ways which
will compliment as well as resolve for inefficiency and provide for greater opportunities.
Restrictive or ‘throttled’ PPA’s accomplish nothing to advance an increasing energy demand
clientele, whom which become essentially locked into a stagnated or incumbered energy
market.
As consumers become free to choose their energy provider, a competitive consumer market will
emerge. As energy transformation evolves, Green Hydrogen energy production will provide the
bridge technology to resolve time shifting in supply and demand within energy production and
transmission, hence increasing the power of renewable energy for a greater return on
investment and economic as well as a practical durability.
Estimates range from $25 billion to $400 billion for what low power quality costs the United
States economy. Improving the stability, reliability, security and quality of power. DOE estimated
(in 1993) that energy storage facilities could have a $57.2 billion positive impact from the
widespread use of “High-density hydrogen storage to store power during off-peak periods
and deliver it when loads exceed generating capacity.” The energy storage Industry has
since updated this forecast and found that this figure has grown to $148.8 billion as projected for
over the next fifteen years.
30
Renewable Energy Industry Leaders
As hydrogen energy storage and production and energy generation facilities are deployed, five
groups within the market will receive the greatest impact from the expansion of energy storage
into the market:
Fuel Providers: The hydrogen storage of electricity via gas production on-site brings to the
developer of Hydrogen fuel, the ability to bridge the power generation segment. Fuel costs
represent 60%-80% of the costs at fossil fuel facilities. The capability to lock in a set price for
Hydrogen production and Hydrogen energy generation will provide the developer with a clear
advantage to provide better risk management services to their clients and large revenues for
profit to their Solar, Wind, Hydro and geothermal assets.
Coal or Natural Gas or Nuclear Energy: Owners of coal-fired or Nuclear or Natural
Gas baseload power plants will have the opportunity to operate on a more predicable basis
throughout the day. By generating and storing power at night through utilizing the advantages
for producing On-Site Hydrogen.
The power generation facility will generate more revenue without additional costs, while their
operating and environmental costs decrease through higher productivity and through more
efficient operation and utilization from operations within the facility.
Transmission and Distribution: Optimizing the operation of the transmission and
distribution network are achieved both by streamlining production feed in times and by enabling
a parallel (mobile) pipeline gas grid for green energy logistical operation from local distribution.
This is a major benefit for local infrastructure, to provide local Hydrogen production and local
storage facilities, as well as local distribution. Each mile of a new transmission line can easily
cost as much as $1 million dollars. Greater transmission stability will be provided greater
resiliency and efficiency. Storage facilities provide faster reaction times than generating
facilities.
Energy Services: By storing power on-site as a gas, which can be used to power Mw
Class Hydrogen fueled prime power plants and HVAC, commercial and industrial consumers
will not only significantly lower their energy costs but also ensure a higher level of power quality
and reliability. Poor power quality and reliability causes losses for all types of businesses. A five-
minute power loss at a computer chip manufacturer can cost millions of dollars in lost work. This
aspect of storage has major implications for addressing productivity and energy security for US
manufacturers.
31
Renewable Energy Sources: Not only does hydrogen energy storage transform low
value, unscheduled spinning reserve (wasted) power into high-value energy, which can be
scheduled into the market during peak demand, Hydrogen energy storage also makes behind
the meter electrical systems (Islanded systems) that much more dynamic in creating value.
Through this, a wider variety of generation sources (namely H2 Fueled Dynamic Combustion
Chamber technology, I.C. Engines or Primary Fuel Cells).
As one can easily observe, the benefits of a Hydrogen energy storage within an energy
generation facility is not in replacing an existing component of the electricity value chain, rather
it permits the existing ones to do their job better and greater efficiency. Without energy storage
facilities situated as being integrated with the value chain, additional and unnecessary
expenditures will need to be had which will drive up the cost of power, while also providing a
lower-level of quality and reliability as well as ROI or economy.
Immediate Market Opportunities
As the electric power industry evolves, different business models have developed to take
advantage of the changing economic and energy marketplace. This same transformation is
taking place within the Hydrogen energy storage, production and energy production market.
Since our applications cover the spectrum of this market, no single “business model” will
address all applications.
Four key areas hold great promise for a multifunctional hydrogen
energy storage and Hydrogen energy generation facility to operate.
1) Baseload arbitrage
2) Transmission support / smoothing
3) Energy Delivery Services / UPS
4) Renewable energy storage / Localized Grid Security / PPA
The first two exist in the wholesale front office of the market, the second is within the retail
energy segment, and the fourth can exist in both the wholesale and the retail market, depending
upon the size of the renewable resource being developed.
Since hydrogen storage and Hydrogen energy generation facilities are capable for operating in
a multifunctional role, new facilities are expected to perform greater than any one of these roles
(depending upon whether it is in the wholesale or retail end of the market).
32
When gas turbines entered the market, independent power producers sprang up, growing into
today’s merchant power producers. Green Hydrogen storage and energy generation facilities
work within augmenting / enhancing and not in replacing existing assets. This means existing
energy market participants will benefit greatly to incorporate Hydrogen production as well as
Hydrogen storage into their existing market strategies and to enhance as well as to extend the
capabilities of their existing assets.
Baseload Arbitrage: Arbitraging baseload from nuclear and coal-fired or Natural Gas
generation between off-peak and on-peak hours represents the largest possible revenue-
generating market opportunity for large-scale Hydrogen production and storage facilities. The
amount of revenue generated will be dependent upon a number of factors, but primarily the
difference between day and night prices will be the determining factor. If the storage facility is
owned by the same entity that owns the coal, Nuclear, Natural Gas facility, it’s feedstock will
supply the power. The same firm will reap additional benefits from a higher performing baseload
power generating facility.
Transmission Support: Recent movement by FERC has brought to light what many
have been saying for a long time, transmission issues are starting to take center stage in the
deregulation of the industry. For some regions with chronic transmission constraints, additional
power facilities simply add to the problem. Owners of transmission assets will be interested in
the ability to defer facilities and improve utilization. RTO operators will be interested in Green
Hydrogen production, storage and energy production facilities to provide ancillary services to
maintain the grid’s stability and to support a growing power trading market and to relieve
congestion.
Energy Services: At the customer site, prevention of poor power quality and reliability has
driven many manufacturing and commercial facilities to install protective gear to either minimize
of reduce the impact of outages on the business activity of the facility. Manufacturers of
batteries, flywheels, SMES, and thermal systems have targeted this market for decades with
known performance failures and short life of equipment.
Renewable Energy Storage: One of the most exciting market opportunities resides in
making renewable energy more competitive in the market. Storing the energy and discharging it
under a contract basis can make the electricity far more valuable. Beyond energy sales, with the
assured capability of dispatching power into the market, renewable Green Hydrogen energy
resources could also sell capacity into the market through contingency services and new
distribution models, from which we have out lined extensively within this document.
Present / Future: A number of challenges now face the electric power industry: Volatile
wholesale markets, increasing transmission constraints, and uncertainty on the part of
customers as to what this has all meant. Today, these three issues play a role in the
development of the Green Hydrogen production and energy generation as well as energy
storage scenario’s.
33
Governmental Roles: Prior to deregulation in the electric power industry, utilities had no
incentive to create storage facilities. Green Hydrogen storage facilities replace the need for
more expensive power plants, the expenditure’s for including Hydrogen can be easily rolled into
the utility rate-base. Deregulation has changed all this. In the competitive market, companies
can make money based on their competitive position in the market instead of on a cost of
service plus regime basis. Large-scale Hydrogen production, energy generation and storage
facilities provide great improvements to the reliability and decentralized security of the grid, but
one plant does not make an industry. To allow private sector participants to recoup their
investments and make a return commensurate with their market risk, Green Hydrogen
Production, Energy generation and energy storage technologies must be given an incentive for
an equal footing. H2 Development Corp., LLC. offers a durable model for energy projects that
provides for greater efficiency as well as economy. This which precludes the current model
within the U.S.A. from a ‘dependency’ from government incentives and from subsidy, to become
the prime-mover for any project’s origination and/or for capital finance and feasibility.
We offer profitability and a Joint Venture for key stakeholders to originate in energy projects, for
the benefits had from the production of Green Hydrogen and the distribution of Green Hydrogen
as well as power and HVAC services to varied markets.
When energy policy realizes the advantages for the economic and security benefits as well as
the environmental advantages, all had from a current energy policy (with current incentives
being that which favors Nuclear and Coal as well as Natural Gas), we believe far greater and
more forthcoming applications for Green Hydrogen will be forthcoming.
We wish to maintain however, we can provide economically profitable opportunities at current
and present time. Our initial activities will undoubtedly be a pre-cursor for early-in best
management practices and will be vital for bolstering a Green Hydrogen based energy policy as
well as economy.
Through including Green Hydrogen production, Hydrogen energy generation and Hydrogen
energy storage facilities, private investors and utility planners each will contribute significant de-
facto policy alternatives as such, as to provide a demonstration therefore, to include Green
Hydrogen within energy providers. Current policy makers now provide additional choices for
consumers, which are inclusive of Fuel Cell incentives. Lowering consumer prices through
avoiding high-cost spot power prices is one of the main tenants of Federal and State Energy
Policy focus. Hydrogen Production, Hydrogen Energy Generation and Energy storage facilities
are the single most effective technology to be provided, in addressing major energy generation
and energy security and local economy issues.
34
A Green Hydrogen Production, Energy Generation and Energy
Storage Facility Is a Zero Emission Facility.
Benefits to be had from Green Hydrogen production, Hydrogen energy generation and energy
storage overall is a significant business advantage. This is provided by H2 Development Corp.,
LLC. Our aim is to facilitate the advanced deployment of Green Hydrogen production, Hydrogen
Energy Generation and Hydrogen Energy storage, Hydrogen C&I HVAC, as well as to provide
the infrastructure assistance for helping to build-out and support the Hydrogen gas local
distribution network into a durable investment opportunity for our clientele and for the public.
Turn-Key Green Hydrogen project development and Hydrogen energy systems enhances and
Increases each energy consumer and generator’s economic position. We anticipate our
technology and business approach will expand into varied energy cross-linked energy markets
and across all energy operations and impact all industries involved in energy delivery. Green
Hydrogen will cause an effect for positivity within all Residential, Commercial, Industrial and
Manufacturing as well as transportation markets.
35
Business Sectors Identified For having a direct and Immediate Impact
• Energy Technology Joint Ventures
• Power Generation / Disaster Relief
• Hydrogen Energy Storage
• Sustainability and Industrial Ecology
• Information Technology / Data Hubs UPS Power
• Fuel Cell Gas Distribution and Sale.
• Technology incubator Fuel Cell Technologies
• Competitive energy / ESCO
• Business development Incubator
• Hydrogen Fuel cells
• Hydrogen Energy storage systems
• Hydrogen Distributed power systems
• Advanced power plant operations Micro Grid
• Clean Gas technologies and Distribution.
• Advanced Hydrogen combustion
• Multi-pollutant emissions control systems
• Next-generation Gas to Power systems
• Wind turbines Power to Gas
Contact:
jmosel@h2developmentcorp.com
(914) 260-5678
www.h2developmentcorp.com

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H2 devco whitepaper 2 30 rev 2018

  • 1. 1 Green Hydrogen: Energy Solutions for Storage / Demand Energy Management / Prime Power & HVAC An exploration into a decentralized Green Hydrogen infrastructure and a rapidly emerging Hydrogen-based energy economy. H2 Development Corp., LLC. © November 2017
  • 2. 2 Executive Summary The continuity of both expansion and evolution within the U.S. electric power market has been greatly limited do to the electric power market being devoid from a sustainable as well as durable (renewable) energy storage capacity. A robust and resilient energy infrastructure requires energy storage capacity to successfully emerge from a centralized model, as well as an overall inefficient or outdated grid delivery/response infrastructure. A case use scenario for a successful evolution from the distributed natural gas infrastructure will provide for a prime example as to provide a precedent for a successfully working model within this narrative. As such, an application for a new and proprietary Green Hydrogen model for energy deployment for example, shall elucidate and to describe as well as to support a working and forward-thinking model (from the natural gas industry) as a basis for this. As a comparison and as an applied best practice to provide a correlation toward electricity infrastructure, via energy storage as to provide a progressive and forward-thinking solution, one can readily observe how Natural Gas has achieved it’s ‘evolution’. Without a viable and robust integrated energy storage component, the present electrical energy market cannot sustain imminent and required growth, resiliency, security or even to function properly, without an adequate energy storage solution. Commodity (supply-side) variables are associated with energy price instability. Grid reliance or grid instability (as evidenced in energy volatility) will remain as being problematic, providing for protracted and chronic interdependence from supply-side variables, which are related to market commodity factors and/or the availability from feedstock supply as required to generate electricity. Enhancements within the Natural Gas energy market / Industry from storage enhancement, directly provided the Natural Gas industry with abundant flexibility and an increased market demand as well as delivery as a direct result. This advent for Natural Gas became evident through addressing its own storage and transport capacity revealed its shortcomings. The distributed Natural Gas energy model is a basis for Green Hydrogen production through H2 Development Corp., LLC. to build upon this model as a precursor and to present the opportunity we propose as a viable solution for forming the basis for the sensible energy utility of Green Hydrogen Gas. H2 Development Corp., LLC proposes Green Hydrogen as being a direct benefit to meet the demands for energy storage as well as decentralized energy generation and to embrace an emergent carbon-free energy resource, as well as to address the much-needed energy storage solutions conundrum, which is sorely needed for a new modality from grid infrastructure from which an emergent energy storage market can be embraced. Green Hydrogen for energy storage and prime power generation is derived from a power to gas
  • 3. 3 and gas to power model within this narrative summary. This model provides for a completely new and emergent energy marketplace opportunity through the inclusion of Renewable Energy resources, as these are durable fixed as well as carbon-free (commodity-free) energy assets. Localized energy security and decentralized energy generation, as well as carbon-free energy generation, each are provided as a basis for sustainable energy best practices when Green Hydrogen and gas to power & power to gas is considered. What is Energy Storage? Providing for energy storage is vastly an economic decision. It is a practical decision which warrants significantly greater investigation. Without adequate energy storage, an energy driven industry and consumer driven marketplace must develop and maintain a turn-key energy delivery network capable for meeting the highest energy peak and then to respond or match for energy supply & delivery and demand, for providing energy throughout the year and for energy to be made available (supply, delivery and demand and storage) at any given location and at any given time at any given instant. Without adequate energy storage, industry must operate within a "just in time" balancing of an aging and ‘out-moded’ grid infrastructure framework. Current grid infrastructure is dependent on variable off-taker’s requirements on the client side from their supply, delivery demand needs. This Energy delivery requirement also needs to remain capable for robust and agile resiliency and to withstand enduring localized natural disasters, market commodity volatility in feedstock supply and extreme weather-related events in times of weather related emergency. A robust and localized (resilient) energy grid or a decentralized micro-grid infrastructure becomes an intuitively sensible direction going forward, to accommodate for securitizing and preparation for accommodating anomalous deleterious events and even to fortify localized grid resiliency through autonomous energy infrastructures. This as to provide energy continuity from hazard from otherwise catastrophic or unforeseen events. Electricity can be stored within gaseous Green Hydrogen, as it is a robust energy carrier. Green Hydrogen is produced / provided from electrolysis from water and renewable energy assets. This technology creates “Green Hydrogen” as the power required for the electrolysis technology, which is derived from local or combined renewable energy assets. These renewable energy assets power the Electrolyzer, which in turn produces Green Hydrogen on demand and with zero carbon nor other harmful emissions. This acts initially as an energy storage technology or a “battery” for renewable energy resources. This is referred to as “Power to Gas”. Green Hydrogen is a high-density energy carrier. The stored Green Hydrogen can be compressed to levels of high volumetric energy storage in this way. Green Hydrogen can be transported to localized energy generation sites through H2 Development Corp., LLC via our “Mobil Pipeline” from local bulk filling of high volume Hydrogen storage pods.
  • 4. 4 The Hydrogen will be converted back into electricity from Hydrogen fueled Boilers from H2 fueled “Dynamic Combustion Chamber” technology micro steam turbine genset or through H2 fueled I.C. engine genset and/or primary Hydrogen Fuel Cells when needed. H2 Development Corp., LLC employs technology available for providing grid-tied or “grid agnostic” Mw Scale on- site energy generation from these means. http://www.lehighvalleylive.com/warren- county/index.ssf/2018/01/this_local_industrial_park_is.html The great advantage and value presented for Green Hydrogen generated electricity during a peak demand scenario, can cover the cost of storing energy through Green Hydrogen power produced at night or off peak and/or through utilizing spinning reserve from local electricity grid or through time-delay had from renewable assets. Solar, Wind, Hydro or Geothermal can create an abundance of economics and bring great value in this way for achieving energy storage as well as energy generation. Existing PPA (Power Purchase Agreements) as offered to Renewable Energy investments from utilities are often described as being “throttled” from feed- in tariffs or monetization being received from compensation made to renewable energy investors from local utilities. There is a practical legitimacy for this as being that which is derived from a time-delay energy production / consumption curve or more popularly portrayed as the “Duck Curve”. This is because renewable energy is created at times where the grid demand curve is not corelating to a renewable energy supply generation capability which is advantageous to provide ideal benefits from a utility which is agreeing to pay for renewable energy to feed into its grid. A very real problem exists in this case and a “throttled” or diminished PPA is the economic result (justifiably so). Green Hydrogen as a renewable energy storage technology can immediately correct for this “Duck Curve” conundrum. The technology exists currently with H2 Development Corp., LLC. as to provide immediate deployment and shovel-ready / Mw scale solutions for addressing this major issue. Both Utility and independent renewable energy investors alike can immediately recuperate from “throttled” renewable energy assets, which are presently deployed. This provides a major opportunity for an entirely new investment opportunity and a local energy strategy to support for renewed, robust renewable energy investments. Overcoming the “Duck Curve” Time-Delay is a massively beneficial and advantageous enhancement as provided by Green Hydrogen to grid and/or to direct energy client-side (on- site) consumers or prosumers, as this could be an example for an enhanced Esco. A new opportunity for Energy as a subscription service). This model provides energy which is carbon- free and can provide Supply, Delivery, Demand, and Storage as well as Uninterruptable Power Supply from potential Grid-Down events such as natural disasters.
  • 5. 5 As the United States is currently addressing Energy Policy and seemingly adopting ‘Command and Control’ posture for bolstering Coal, Natural Gas and Nuclear Energy positions, H2 Development Corp., LLC. offer an alternative view. The U.S. Energy Grid Infrastructure is currently being evaluated for massive physical delivery, efficiency and storage enhancement. This will come at a price with significant government as well as private investment. Subsidies and significant investment are required now, to achieve these goals. Our proposition for grid scale storage, decentralized energy generation, grid buffering and over-all resiliency from renewable energy storage is derived from a decentralized Green Hydrogen model (Mw production scale) and provides for public/private equity and as an investment opportunity to gain long range revenue streams for new opportunities and profitability within energy investment and for enhancing an aging and out-moded grid infrastructure. Energy production and storage as derived from Green Hydrogen production, a model through which we are proposing, is vastly more efficacious, profitable and beneficially viable, in our opinion, than current projected plans being considered from current national-scale energy project origination being considered (inclusive of Solid State Battery deployment technology). A decentralized grid project infrastructure / investment throughout the United States from adopting our Green Hydrogen model (as a best practice for a decentralized energy storage model) addresses exponentially more areas of energy resiliency and grid security, which the most ardent and robust of U.S. infrastructure plans could possibly take into consideration for scope & scale to feasibly accomplish. As endeavors for efficiency and resiliency for energy Supply and Delivery as well as Demand and Storage continues to expand, storage plays a critical and multi-functional role. Green Hydrogen energy storage (decentralized and localized) production facilities are designed to provide a benefit for a dynamic, real-time energy environment. Factors driving the introduction of Green Hydrogen infrastructure for energy storage technologies include elimination of harmful environmental impact, toxic emissions and resolve for many of the challenges with regard to the increased economic utility of renewable energy resources. Green Hydrogen provides enhancement for facilitating a decentralized, localized energy security best practice management protocol, which is not in place anywhere at present, as to provide for disaster relief and grid security. These issues are all key and core components of current readiness for U.S. National Energy Policy.
  • 6. 6 Green Hydrogen Energy for Energy Storage and Grid Resiliency as well as Grid Security Is timely and Immensely Beneficial. Without a scalable and robust / durable, economically viable and shovel – technology ready and deployment means to store electricity (feasibly), many current grid operations will remain endemic, anemic, thwarted, hindered, throttled and shall remain otherwise highly problematic for both the energy industry as well as for the consumer. High Value / Critical areas of interest: 1) Energy supply volatility 2) Reduced reliability and stability (particularly at peak times) 3) Threatened local economy and local security (if grid-down event) 4) Localized Grid imbalance from unpredictable loading (Duck Curve / Charging of EV Cars for Ex.) Clearly advantageous benefits are had from the abundant applications for a grid integrated Green Hydrogen energy storage and energy generation technology adoption protocol. Each of these challenges facing the current energy industry can be adequately addressed and resolved through Hydrogen and Hydrogen related technologies as these are engineered and applied from within the grid and local energy infrastructure. This will lead to a more robust, resilient and overall more efficient and secure energy delivery market, which costs less to operate, and which is more responsive to dynamic market changes, such as to be entirely scalable, as to accommodate for projected growth. Additionally, there is greater reliability, sustainability and durability in the event of a disruption. Green Hydrogen Energy storage and energy production technologies as provided from H2 Development Corp., LLC. provide a wide spectrum of vast capabilities and benefits which will perform for providing many benefits throughout the current and emergent energy market.
  • 7. 7 These benefits can be grouped into three market roles: 1) Energy Management 2) Bridging Power 3) Power smoothing / Quality & Reliability The purpose for energy storage via Green Hydrogen and Power as well as HVAC generated from Green Hydrogen is to act as a ‘shock absorber’ to the energy system, the incremental and immediate beneficial impacts will accumulate and become more pronounced as infrastructure changes are implemented. Hydrogen is the most stable, highest energy density of any gaseous energy fuels, which provides for an enhanced return on investment. Energy is stored in Hydrogen, as a gas which can be held for weeks months or even years without worry from the hydrogen gas becoming unusable or unstable or like is the case in stored diesel, requiring fuel stabilizing additives, which ultimately reduce the fuel’s ability to act as a viable commodity for providing energy. Of note: Storing Diesel Fuel for long-term storage, it is abundantly known that Diesel Fuel becomes fouled from the onset of mold. De-fouling and anti-gel forming additives are added to stored Diesel fuel to overcome this. As this practice needs to be repeated, the Diesel Fuel eventually becomes too diluted from these additives and must be completely discarded. This is 100% wasteful and most have little or no idea that this is a frequent occurrence within the maintenance and upkeep of the energy backup systems industry. Green Hydrogen can used on site within our prime power Mw Scale Dynamic Combustion Chamber and H2 I.C. Engine Hub gen set or within prime fuel cell applications. These technologies are required to convert Green Hydrogen as a gas to power. The great benefit of Green Hydrogen energy storage is simply, it creates a new investment opportunity as a carbon- free and economically viable clean (entirely Non-Toxic) gas product from an existing or to be built renewable energy investment asset class. There is virtually no shelf life to storing Green Hydrogen. A highly valuable new commodity gas product (Green Hydrogen), which can be distributed, taxed locally and federally and sold, to create new and higher performing revenue streams from a carbon-free clean (non-toxic) energy gas product and from which can be distributed to locations where power generation was once not practical and where remote locations within regions requiring power were once discounted or discarded or even to parallel existing fixed Natural Gas grids. This provides for an enhanced, decentralized or ‘grid agnostic’ and completely new energy investment opportunity.
  • 8. 8 Green Hydrogen can be easily valuated for localized energy economy as well as to bolster and support for local energy security as well as being an abundant, safe and inexhaustible carbon- free commodity fuel supply and a localized resource for an enhanced energy infrastructure as to provide for entirely new energy economies. Green Hydrogen’s Market Role By supplying power when and where needed, Green Hydrogen energy storage and Power Generation will create for a far more opportunistic and responsive market. Benefits Identified: 1) Reduce the need for additional transmission assets 2) Become a preferred supplier of ancillary services 3) Provide better integration of renewables into the system 4) Support more efficient use of existing assets 5) Improve the reliability of electricity supply 6) Increase the efficiency of existing power plant and transmission facilities 7) Reduce the investment required for new infrastructure and/or physical plant facilities Green Hydrogen / Decentralized Energy Generation & Energy Demand Response and Energy Storage As An Opportunity For A Brand New Energy Market Opportunity The U.S. electric power industry is stalled. A much-needed transformation is required immediately. The challenge now is to provide for change from an industry governed by rigid command and control regulations (once reliant upon Fossil Fuels), to one where the competitive renewable assets guide overall development for new investment opportunity through a decentralization structure. So far, the progress to achieve many of these efforts remain pale and inconsequentially incremental or even to be minimally addressed or to be outright ignored. Unlike other successful emerging economic technology markets, the energy market has little if any real storage and little durable investment or appetite for substantiative / causative and relevant adaptive change.
  • 9. 9 Without an economically viable way to store power, the electric power and utility market will continue to be stymied as well as being exposed to vast inefficiencies as well as to continue to endure significant insecurities. This is evidenced most recently with U.S. National Disasters from Hurricanes in both Texas and in Florida (as recent as the Summer of 2017). Several tens of Billions of dollars are current estimates from losses from 2017 alone from natural disaster impacts within the United States and Puerto Rico. Energy storage is poised to play a pivotal role in a progressive and a new and emergent economic power market. The value of electricity to accommodate for peak and high demand management alone more than makes up for the cost of storing power produced at night or through spinning reserve. This is just one metric to economically justify for the advent from Green Hydrogen. The electric power market currently has dependency upon these 5 “dimension’s” for providing enduring efficacy within primary directives: 1) Fuel feedstock / Energy Source 2) Generation 3) Transmission 4) Marketing / Distribution 5) Energy Services Through supplying power when and where it’s needed, energy storage is on the cusp of becoming the “Sixth Dimension” of the electric power market. Integrating the existing segments and creating a more durable and responsive market, Energy Storage through Green Hydrogen will vastly improve the reliability of electricity supply, increase the efficiency of existing power physical generation from Renewable and/or Conventional Fossil Fueled power plant generation and will be capable to buffer centralized energy transmission facilities. This will reduce the much-needed capital investments required from within these facilities, to accomplish a Sixth Dimensional evolution and to expand upon opportunities for energy revenues not yet comprehended.
  • 10. 10 The Case for Green Hydrogen and Energy Storage Without energy storage, industry must develop and maintain an entire delivery network capable of meeting the highest peak of the year. With energy storage, principles of energy facilities only need build out what is needed to carry a heavy yet normal load. Energy Storage, therefore translates into a more efficient utilization of existing capital equipment and provides for a higher return on investment from future capital equipment improvements, as applied toward energy infrastructure - through a focused approach for investment. Without sufficient energy storage capacity within the electric power industry, excessive generation and burdened / inefficient transmission facilities struggle to meet peak energy demand. Much of the physical energy generation plant remains underused for much of the year. On average, power facilities are used only 55% of the time; and transmission systems are only marginally better at 60%. By establishing “caches of energy” along the energy delivery infrastructure, storage can balance supply (with demand) on short notice. This occurs instantly, continuously, efficiently and effortlessly. This allows for a more efficient use of the existing resources in the physical generation plant, lowering prices and improving the quality of the overall energy service market. Energy storage functions as a “shock absorber” for the nation’s electric infrastructure, enhancing its efficiency, reliability and security. By maintaining a relatively modest amount of energy reserves in Green Hydrogen (locally), Renewable Energy production and storage facilities large and small will have a positive impact on the market. Energy Storage / Challenges Without a means to store electricity, several conditions will remain endemic to the industry. Three are of major concern: Heightened Volatility: Higher prices or regionally unpredictable price volatility or availability from feedstock, which leads to reduced investments or profits by energy consumers and manufacturing or service industries within a region. Reduced Reliability: Lower assurance that high quality power will be continually available raises the cost of doing business due to the risk of damaged equipment or down-time.
  • 11. 11 Threatened Grid Security: Problems in one part of the power grid spread everywhere within seconds. Fewer energy backup systems mean a greater chance of system disruption from an unforeseen failure and open the entire system up to a much higher probability of greater damage from sabotage. Other problems which stem from a lack from energy storage or resiliency from within the overall grid include constrained transmission capacity, unrealized existing asset capability, inhibited growth of renewable energy and a destabilized carrying capacity of the nation’s power grid. By utilizing Green Hydrogen energy storage technologies, each of these challenges facing the energy industry can be greatly reduced, leading to a more efficient market that costs less to operate and which is also more responsive to market changes and more reliable in the event of disruption. The implementation of Green Hydrogen energy storage facilities increases the overall transmission system’s ability to: Dampen Volatility: By providing power during shortages and retaining power during times of excess, price and physical availability swing will decrease. Create Efficient Markets: Storage will increase the utilization of existing assets, prompting private equity industry to invest and increase the availability and quality of power. Improved Safeguards: Readily available energy stored throughout the system will prevent disruptive events from spreading and affecting the entire grid. An example of a scalable energy hub for a Large-Scale Mw Class Green Hydrogen Energy Generation Facility Large-scale / Localized production of Green Hydrogen and energy storage systems will provide the ability to use renewable energy assets as well as low-cost power during peak demand periods of the day, reducing the need for high-cost peaking plants to cycle on and off and lowering the volatility of the wholesale market. Through removing the bottlenecks within the transmission system, these facilities will also reduce power transmission losses and improve the quality and reliability of delivered power. Hydrogen Fueled Engine hubs are Superior technology for micro-grids due to their ability to provide Prime Power / 24 hr. Full duty load cycle performance and to provide durability for over a long lifespan.
  • 12. 12 An example for design as shown, can be equated to a 20 Mw Green Hydrogen Micro-Grid in terms of surface area required. Containerized Micro-Grids for Hydrogen generation. Depicted: Solid State Battery banks for energy storage. Reducing Electricity Demand Lowers Peak Prices from Peaking Power Plants (Supply) Small-scale energy storage systems 1 - 5MW to 30 MW and larger have a tremendous role to play in the upcoming deregulated electric power market. By one Department of Energy (DOE) estimate, $150 billion dollars of work is lost or wasted due to poor power quality and reliability at customer’s sites. Although peak shaving is a significant virtue of consumer- located energy storage facilities, the real benefit will be in preventing damage or losses to ongoing business activity and saving far more revenue than the plant or office’s electric bill by reducing downtime and increasing productivity.
  • 13. 13 The Existing Opportunity Looking no further than to see the immediate connection made from renewable energy to produce Green Hydrogen gas to actualize a successful use-case (for an energy storage potential hiding in plain sight of the current energy market). Hydrogen Gas is an efficient, high density carbon-free inexhaustible / renewable locally produced Non-Toxic energy carrier and an energy storage solution. Green Hydrogen adds to the much-needed flexibility within the current energy market or an enhanced and bolstered energy infrastructure. Federal energy policy plays a pivotal role in transforming the storage market into the one we know of today. Similar attention to the electric power industry’s use of storage will spawn a significant renaissance in this industry’s ability to foster flexibility, reliability and security. Prior to deregulation, the expansion of the Natural Gas storage market was used primarily to hold down the cost of infrastructure expansion. Natural Gas was shipped to high demand regions during the summer and stored in underground reservoirs for use during the winter months. As part of the deregulation of this industry, gas storage was separated from the “bundle” of services rolled into the transmission cost of gas. This was of course pertaining to the Natural Gas infrastructure and there are ample association for a direct correlation from a Green Hydrogen gas infrastructure, to exist in parallel with an existing Natural Gas infrastructure, as well as for supplying power for the electrical grid or to compete for new and competitive direct on-site PPA to be offered directly to an energy off-taker clientele. Green Hydrogen can be integrated to Natural Gas pipelines. The purpose for this is that Green Hydrogen when added to Natural Gas, provides a significantly higher BTU when the two gases are combusted as a blended fuel. Another benefit for blending the two gases is that through a higher BTU from combustion, a cleaner more completed burn is achieved from these means. A Blend of Green Hydrogen can provide a cleaner Natural gas emission. Baseload opportunity: Flexible energy production and energy storage facilities options will provide for new facility development through deregulation, leading to vast opportunities and services within new or never existing before energy markets. These opportunities are provided from H2 Development Corp., LLC. These unique opportunities make for efficient and profitable energy infrastructure investments. We believe that Green Hydrogen for energy storage will grow to become a crucial “6th Dimension” in making energy markets more profitable as well as secure, as well as efficient. Without this 6th dimension - trading, reliability and tailored services would all be far more expensive or worse off, these opportunities and enhancements would not be available at all. As the electricity market restructures, morphs and evolves, it will also need to rely upon a growing capacity for stored energy to improve its overall efficiency as well as to foster for its overall growth and will need to address commodity volatility as well as the need for
  • 14. 14 enhanced decentralization and localized security. Green Hydrogen Energy Storage for an Existing and Emergent Industry A Green Hydrogen Energy storage for Micro-Grid energy can be deployed now. As the U.S. addresses the problems of the current energy market, more challenges await as demand for power continues to grow unabated. Each year, demand for power increases roughly 2% more in higher GDP years, less in down- turn GDP years. To meet these requirements, we’ll need to add slightly more than 3% to overall energy capacity each year (peak demand grows faster than the average demand) we are recommending installing as much as 10% however, as the life span of our equipment is greater than 30 years, we should build-out a Hydrogen infrastructure with our future in mind. Energy transmission capability has not expanded to meet the vastly growing needs of a society which is becoming more dependent upon electrification. This is causing an increasingly intractable grid reliance - constraint problem. H2 Development Corp., LLC addresses this by engineering fully scalable turn-key Hydrogen based energy systems which can be installed in parallel to the electric grid. This fosters for achieving a decentralized and localized renewable energy advantage. Energy can be distributed via a “mobile pipeline” (trucks of tube trailers from our unique H2 refueling delivery pod systems) or can be produced/ generated on-site. As energy demand continues to increase, our Green Hydrogen production, energy and HVAC generation and energy storage facilitates for energy production technologies which are designed to adapt within a dynamic and changing environment. This diversity can play a critical and multi-functional role in alleviating for any potential constraint. Feedstock of Green Hydrogen gas, energy storage and energy generation facilities (which also store power for arbitrage), can dependably maintain the stability and integrity of the local grid system and provide much needed protection to be in place for a decentralized/ locally integrated grid network, in case of disruption. All energy industries will require a storage component to operate efficiently and properly. As we have seen with the gas industry, energy markets desperately require storage to emerge successfully from emergent deregulation scenarios. Without energy storage, the market will not function as efficiently, price spikes and shortages will remain to be endemically problematic.
  • 15. 15 Depicted: A Hydrogen Fuel Pod replenishment delivery to an on-site allocation for H2 Fueling. Energy services which provide the Natural Gas industry the flexibility from which it has become accustomed to today, only became available through leveraging storage mechanisms and Infrastructure in adjusting to increased capacity. Energy storage has an even larger impact on the overall energy and power market. The Energy and Power industry is three times the size of the gas industry and operates on a much faster critical and dynamic basis. What happens in the Natural Gas market on a seasonal or monthly basis, happens daily in the electricity industry. Because storage was added to manage the Natural Gas system, the industry has installed fewer miles of pipe to handle the increased load and the capacity factor on the existing system has risen. A direct analogy for energy storage can be applied for the electricity market by reducing the amount of new generating and transmission capacity which would otherwise be required to be built. H2 Development Corp., LLC proposes energy storage through Green Hydrogen. The increase from the utilization of the existing generating assets and new H2 fueled, (Mw Scale) Energy generation technologies as a force-factor for increased energy generation systems, will synergistically lower energy delivery costs as well as bolster grid reliance and provide for local economy as well as localized energy security.
  • 16. 16 Right now, within the Renewable Energy industry, ESCO’s as well as many utilities are committed through PPA with no option to sell their power product outside of the current infrastructure of the fixed electric grid. H2 Development Corp., LLC. system’s and related Green Hydrogen technologies changes this paradigm and operates to include a dynamic storage component as well. The chronic supply, delivery, and demand volatility of pricing from commodity markets from Fossil Fuel feedstocks are diminished appreciably and are resolved for by H2 Development Corp., LLC capital / local energy projects, as these are technology and deployment-ready to add to an existing renewable energy asset such as solar, wind, geothermal or Hydro Power sites and this creates Green Hydrogen from 100% renewable energy. The current power market suffers from uncertainty through grid supply congestion. Market leaders such as General Electric and Siemens have recently shocked the nation from seemingly free-fall stock pricing. These energy giants have fallen by the wayside. Disruptive business models are now laid before us for real-time valuation. Do we proceed to align with Fossil Fuel or do we engage in advancing Renewable Energy assets and investments and to include Green Hydrogen? While Green Hydrogen Energy storage facilities do not promise to fix all of the industry’s woes, we can remove some of the uncertainty by providing a new ROI and a new investment opportunity from private lenders, strategic partnerships and local / regional governments, for a new carbon-free gas product which is Carbon-Free and provides for an inexhaustible local energy resource. In this way, we can help energy clients to avoid price increases as a result from cost increases as related to infrastructure enhancement. This while increasing reliability, security, and by giving both consumers and investors new choices and opportunities from Hydrogen. This is precisely what the U.S. Energy policy for deregulation originally set out to achieve early-on from energy deregulation. Energy Storage Applications Stability of operations. This is what the electric power transmission system requires, it's what energy storage facilities need to provide. Energy comes in the form of megawatt-hours (MWh) of electrical power which is transported across the grid network to light and power as we’ll as
  • 17. 17 heat our homes, run our computers, and power our factories. Stability of the delivery and demand grid infrastructure is needed in a form of energy called reactive power and is needed for the stability and proper working of the grid. These must evolve now and to be managed together without fail, to provide reliable service. The U.S. transmission system is really a massive (real-time) balancing act. As electrical power flows from the power plants to the customers, conditions on the grid are always changing as loads turn on and off, disruptions occur (such as a downed power-line) and wholesale power moves across the network. In order to counter-balance these changes, utilities ramp power plants up or down second by second in order to follow the load. As the congestion on the transmission system increases, utilities are spending significant sums of investment for stabilizing equipment. Utilities have been upgrading their networks to promote “net-metering,” the capability of selling power back to the grid. Although this will benefit customers, the stability of the grid will suffer. Energy storage facilities are an answer to many of these issues. Hydrogen technologies are designed to provide long- duration discharges of energy and have fast response times (Co-Equal to Solid State Batteries) and at night while others focus their discharge capability on a shorter timeframe and higher power delivery. Green Hydrogen energy production and storage is advantageous in this way by providing prime power energy on demand. This is achieved either on-site / locally or within our unique “mobile gas pipeline” delivery directly to our H2 Fueled Dynamic Combustion Chambers technology, which also provides for Millions of BTU/Hr in HVAC applications or as I.C. engine/generator’s or as micro-grid energy hubs. These assets from H2 Development Corp., LLC. can help to increase the utilization of existing generation and transmission facilities, improving their efficiency to remove peak spikes and smooth out the performance of renewable power farm sites. Hydrogen Storage facilities can also provide for a means to inject bulk energy to curtail peak demands on the power facilities, and reactive power to maintain a stable and working grid. Some of the more important roles energy storage could play include: Hydrogen Gas As A Commodity for Energy Storage: Storing bulk energy generated at night for use during peak demand periods during the day. This allows for arbitraging the production price of the two periods and a more uniform load factor for the generation, transmission, and distribution systems.
  • 18. 18 Green Hydrogen Energy Is Capable For Providing Grid Scale or On- site Durability Contingency Service: Contingency reserve is power capacity capable of providing power to serve customer demand should a power facility fall off-line. Spinning reserves are ready instantaneously, with non-spinning and long-term reserves ready in 10 minutes or longer. Area Control: Prevent unplanned transfer of power between one utility and another. Frequency Regulation: Maintain a state of frequency equilibrium for the system’s 60Hz (cycles per second) during regular and irregular grid conditions. Large and rapid changes in the electrical load of a system can damage the generator and customers’ electrical equipment. Black-Start: Units with the capability to start-up on their own to energize the transmission system and assist other facilities to start-up and synchronize to the grid. System Stability: The ability to maintain all system components on a transmission line in synchronous operation with each other and have a parallel option in the form of mobile pipeline gas distribution to prevent a system collapse and or secure power provision in times of emergency for the population at large. Voltage Regulation: Maintain a stable voltage between each end of all power lines. Asset Deferral: Defer the need for additional transmission facilities by supplementing and existing transmission facilities with new parallel energy delivery mechanisms saving capital that otherwise goes underutilized for years. Energy Time Management: Allows customers to peak shave by storing and shifting energy demand from one time of the day to another. This is primarily used to reduce their time of use (demand) charges with the additional option for producer to store renewable power made in the day and sell their renewable power to existing PPA on the same day, only at night peak rates. Power Quality: Provides electrical service to the customer without any secondary oscillations or disruptions to the electricity "waveform" such as swells/sags, spikes, or harmonics by using know high performance prime power plant with the only exception of being green fueled. Power Reliability: Provides bridging power (UPS) for consumers to ‘ride-through’ a power disruption. Coupled with energy management storage permits for remote power operation and Engine micro grid hubs.
  • 19. 19 Green Hydrogen’s Multifunctional Capabilities: Practically all energy storage facilities are expected to perform a number of additional support functions that is after all one of their greatest strengths. Besides energy and power, the duration of the discharge and the depth of discharge required for each segment of the value chain help determine which technology's capability envelope fits with the required capabilities. Green Hydrogen Energy Storage Meets Multiple Role Requirements Generation: Energy storage facilities onsite at Wind, Solar, Hydro and Geothermal work by supplementing generation facilities. Hydrogen Energy Storage by design the largest and most long life of the energy storage technologies, with their primary focus being to provide energy to the grid in long duration discharges on a daily or hourly schedule. This role allows for increasing the value of the off-peak generating capability and increasing the utilization of these assets. Storage Facilities: Energy storage Facilities can also provide contingency reserves for periods when the grid has a sudden shortfall of energy either on site or in a parallel location. If that shortfall is massive and causes a complete failure of the grid, storage facilities can assist in the re-energizing of the grid with its black-start capability and Gas can be send immediately to another locations engine hub to boost micro grid security and restarts. These facilities also provide wide-area support and regulation to the power grid by providing a non-grid distribution chain to bypass failed transformers in the case of a nature or unnatural emp grid /transformer power over charge event. Transmission: Energy storage facilities designed to support transmission and distribution networks maintain the stability and reliability of the grid. These facilities are more concerned with the ability to quickly inject stabilizing power not long-term energy into the grid with a short discharge, but a faster reaction time. Distribution: Although the advent of Regional Transmission Organizations (RTO) formation is allowing more widespread movement of power, it does not change basic physics; the grid is only designed to deliver so much power, from so many nonrenewable or renewable power production sites no matter how many wholesale PPA delivery contracts that are sold. Transmission facilities take a long time to be permitted and built. They are always expensive, and in some cases may not get built at all. With RTO's or without. Energy Service: Although the desire to reduce the cost of power is very important to large consumers, the desire to prevent disruptions in their energy service from affecting their manufacturing processes is even larger. Green Hydrogen is competitive with the best of any solid-state battery technologies for Mw scale energy storage and with 30 Year operational life and provide for full load, Full Duty Cycle as prime power.
  • 20. 20 Excess Green Hydrogen produced can be sold and distributed for the transportation market for desirable ROI and provide for attractive returns to all renewable energy asset’s. Green Hydrogen has several important advantages other competing technologies. Green Hydrogen has very high storage energy density (170 kWh/m3) this allows Hydrogen to be used with strong economic durability through H2 Development Corp., LLC’s portable High-Pressure Vessel Hydrogen pod storage. Hydrogen is used in Dynamic Combustion Chamber Steam Power technology and new internal combustion engines rated for generators to produce on-site prime power. This provides additional flexibility for the storage system, in the form of energy generation from Green Hydrogen. Project Preparation and Due Diligence While a number factors and circumstances may influence the time until full project engagement or implementation, some key factors H2 Development Corp., LLC shall include: Reviewing power supplier contract options and peak shaving credit opportunities, Site Civil Work, Local and/or State permitting requirements, evaluation of acceptable set back and boundaries for potential project sites, approval requirements from the regional code compliance officer. In any particular circumstance, there could be other key limiting project factors. With a basic initial assessment of the project, a preliminary assessment for project timeframe should be addressed in a timely manner. This will occur upon having initial dialog and from receiving engineering deposit for forward project engineering. Key Benefits: Green Hydrogen Energy storage facilities can be used in four primary roles in the retail energy sector: 1) Reducing energy costs through peak shaving 2) Improving the quality of power 3) Providing increased reliability of service 4) Improving Roi from Production sites
  • 21. 21 Renewable Energy One of the greatest challenges facing the U.S. is how to make best use of our immense renewable energy resources. Developing these resources will not only improve the environment but also increase our energy security and improve the competitiveness of our country’s renewable energy producers by providing a growing market for their products. However, renewable energy resources have two problems. First: Any of the potential power generation sites are located far from load centers. Although wind energy generation facilities can be constructed in less than one year, new transmission facilities must be constructed to bring this new power source to market. Since it can take upwards of 7 years to build these transmission assets, long, lag-time periods can emerge where wind generation is "constrained-off" the system. For many sites this may preclude them from delivering power to existing customers, but it opens the door to powering off-grid markets—an important and growing market. One of the largest proponents and users of these systems is the Department of Defense for its integration of solar and energy storage systems for use in solar power, power to gas for remote communication installations such as gas to fuel cells. Second: The problem is that most of the power that is generated which is accessible to the grid is generated when there is a low demand for it. By storing the power from renewable sources from off-peak (and/or from spinning reserve) and releasing it during on-peak, energy storage can be transformed to high value energy as well as for a high-value commodity Green Hydrogen gas product. This capability will provide for the further development for renewable energy resources and thus become far more cost effective by increasing the revenue and durable economic value for renewables. it may significantly reduce the level of subsidy also, to where it is equal if not advantageous to the overall environmental value of the renewable energy market. At this point it is no longer an ‘insignificant’ subsidy but a valuable economic as well as environmental investment. Renewable Energy Can Now Compete To Enter Peak Markets With Introduction of Green Hydrogen To Coincide With Energy Storage Public Policy The current regulatory environment has adapted to utilize the capabilities of the new economic trends and technical developments within the emergent Power to Green Hydrogen Gas energy market.
  • 22. 22 As energy policy encourages and facilitates new market incentives for energy efficiency, resiliency, security, decentralization and energy storage, the storage community is well on its way toward seeking an equal opportunity and a levelized playing field. To foster competition for finding opportunities to sell low cost power and to provide ancillary services. This also was seen in the natural gas storage industry, when the federal government took steps to promote the further use of bulk storage the entire market benefited from its existence in a competitive and dynamic environment. Local Municipalities and state governments are currently working to further enhance existing regulations and incentives through establishing decentralized, Micro-Grids and standardized transmission services as well as to foster new market designs for the distributed and decentralized electric power market. Energy companies have curbed development of competitors by providing unequal access to their energy markets for new entrants, favoring the energy companies own subsidiary. This is stone walling and thwarts the larger energy “big picture” for regional growth. The energy storage Industry and H2 Development Corp., LLC’s ultimate goal is to have the market incentivized as to evolve into one where free competition for energy services are the basis for relative strength as well as diversification in order to provide far greater energy market opportunities. Depicted: A 900 Kg Hydrogen 40’ Trailer delivers Green Hydrogen to a Refueling station or on-site off taker client requiring Hydrogen Fuel for On-Site power / HVAC.
  • 23. 23 National Energy Policy A new and emergent national energy policy, involving Green Hydrogen and energy storage will demonstrate how hydrogen production facilities can help meet national standards and meet expansive energy goals. This energy policy has three guiding principles 1) The policy is a long-term and is providing a comprehensive strategy. 2) The policy will support new and environmentally friendly technologies to increase energy supply, local energy security and encourage cleaner, more efficient means for energy use. 3) The policy seeks to raise the local economy and provide securitized as well as robust living standards of the American people. That to do so, our country must fully integrate its energy, environmental, and economic as well as energy security investments. The World Urges Actionable Progress To Address Five Specific Goals From The Paris Accord: 1. Modernize conservation. 2. Modernize the energy infrastructure. 3. Increase renewable energy supply. 4. Accelerate conservation of the environment. 5. Increase our nation’s energy security. Hydrogen Energy Storage technologies and Hydrogen production facilities are instrumental in meeting each of these stated goals: Modernize Conservation: Hydrogen Energy storage will help modernize conservation practices by optimizing the economic and environmental footprint of fossil and nuclear assets through reducing cycling costs and/or providing new electricity services for the market.
  • 24. 24 Modernize Infrastructure: Hydrogen Energy production and energy storage as well as Hydrogen generated Prime Power will help modernize the nation’s electric power infrastructure by enhancing its efficiency, reliability and security. By operating assets in a more systematic and efficient role. The private sector will invest to upgrade the energy infrastructure if there is a cogent and clear pathway forward. Increase of Energy Supply: Hydrogen Energy storage and Hydrogen Energy production will increase the productivity for a robust economy in two ways. First by increasing the efficiency of existing power plants, our existing resources will be more efficiently utilized. Second Hydrogen energy storage and Hydrogen Energy production will promote renewable energy usage, thereby adding renewable energy resources to the green, carbon-free energy resources which are already existing. Protecting The Environment: Hydrogen Energy Storage facilities will reduce the environmental impact of current power facilities and more efficiently integrate renewable energy into the utility grid. By operating existing facilities in a more efficient manner, these will produce zero waste or zero emissions and reduce grid cycling costs. Security: Hydrogen Energy storage and Hydrogen Energy production facilities enhance the reliability of the grid. Reservoirs of energy stored at decentralized sites are less vulnerable to disruption and can be called into operation at a moment’s notice. Benefits for this include: 1) Reduced volatility 2) Enhanced energy reserve margin 3) Provides the necessary ancillary support services critical to the proper operation for energy transmission and distribution systems.
  • 25. 25 Hydrogen Energy Storage and Hydrogen Production Facilities As Turn-Key Built and Operated Projects Hydrogen Storage technologies offered through H2 Development Corp., LLC. are commercial, Industrial and Utility grade and are long-standing and durable. All technologies offered are U.S. Made and are deploy ready at present. Deployment for turn-Key build-out and full-time operations and management teams are all provided through H2 Development Corp., LLC. Hydrogen storage systems and Hydrogen Energy production technology projects can be used for both stationary power and for Hydrogen refueling applications for the automotive industry. H2 Development Corp, LLC. Green Hydrogen Energy Storage and Hydrogen Energy Production Technology Depicted: Mw Class Electrolyzer packaged in 40’ storage container. All our technology is Made in the USA. Jack Mosel, CEO H2 Development Corp., LLC. pictured
  • 26. 26 Depicted: MW Scale PEM Electrolyzer Depicted: Mr Raul Martinez, COO H2 Development Corp., LLC. Pictured with Mw Scale Hydrogen Compressor
  • 27. 27 Prime Power Hydrogen Fuel I.C. engine 750 Kw shown - 24 Hr. Full Duty Cycle rated. Depicted: 750 Kw Cummins Diesel I.C. Engine ready for Rotary Spherical Valve retrofit to become an engine to be fueled by Hydrogen. Genset not shown. Depicted: A Water-Cooled Oil-less Diaphragm H2 Compressor / Mw Scale Unit
  • 28. 28 Depicted: Rodger Moore, CTO H2 Development Corp., LLC. LEED Certified Professional (Rodger pictured with Electrolyzer MCU control Unit)
  • 29. 29 Depicted: Mw Class Hydrogen Fueled Dynamic Combustion Chamber / Hydrogen Boiler. produces Millions of Btu/Hr. HVAC & Micro-Turbine Genset For MW Class Electrical Power. Round-Trip efficiency for H2 fueled DCC energy and HVAC systems are as much as 88%. Impact on Key Stakeholders Hydrogen energy storage and Hydrogen energy production as Hydrogen for HVAC applications are presently a truly advanced leading technology, which is presently (technologically and feasibly) deployment ready. In terms of its varied application’s and being an integrated technology as such, Hydrogen will positively impact the entire energy value chain in ways which will compliment as well as resolve for inefficiency and provide for greater opportunities. Restrictive or ‘throttled’ PPA’s accomplish nothing to advance an increasing energy demand clientele, whom which become essentially locked into a stagnated or incumbered energy market. As consumers become free to choose their energy provider, a competitive consumer market will emerge. As energy transformation evolves, Green Hydrogen energy production will provide the bridge technology to resolve time shifting in supply and demand within energy production and transmission, hence increasing the power of renewable energy for a greater return on investment and economic as well as a practical durability. Estimates range from $25 billion to $400 billion for what low power quality costs the United States economy. Improving the stability, reliability, security and quality of power. DOE estimated (in 1993) that energy storage facilities could have a $57.2 billion positive impact from the widespread use of “High-density hydrogen storage to store power during off-peak periods and deliver it when loads exceed generating capacity.” The energy storage Industry has since updated this forecast and found that this figure has grown to $148.8 billion as projected for over the next fifteen years.
  • 30. 30 Renewable Energy Industry Leaders As hydrogen energy storage and production and energy generation facilities are deployed, five groups within the market will receive the greatest impact from the expansion of energy storage into the market: Fuel Providers: The hydrogen storage of electricity via gas production on-site brings to the developer of Hydrogen fuel, the ability to bridge the power generation segment. Fuel costs represent 60%-80% of the costs at fossil fuel facilities. The capability to lock in a set price for Hydrogen production and Hydrogen energy generation will provide the developer with a clear advantage to provide better risk management services to their clients and large revenues for profit to their Solar, Wind, Hydro and geothermal assets. Coal or Natural Gas or Nuclear Energy: Owners of coal-fired or Nuclear or Natural Gas baseload power plants will have the opportunity to operate on a more predicable basis throughout the day. By generating and storing power at night through utilizing the advantages for producing On-Site Hydrogen. The power generation facility will generate more revenue without additional costs, while their operating and environmental costs decrease through higher productivity and through more efficient operation and utilization from operations within the facility. Transmission and Distribution: Optimizing the operation of the transmission and distribution network are achieved both by streamlining production feed in times and by enabling a parallel (mobile) pipeline gas grid for green energy logistical operation from local distribution. This is a major benefit for local infrastructure, to provide local Hydrogen production and local storage facilities, as well as local distribution. Each mile of a new transmission line can easily cost as much as $1 million dollars. Greater transmission stability will be provided greater resiliency and efficiency. Storage facilities provide faster reaction times than generating facilities. Energy Services: By storing power on-site as a gas, which can be used to power Mw Class Hydrogen fueled prime power plants and HVAC, commercial and industrial consumers will not only significantly lower their energy costs but also ensure a higher level of power quality and reliability. Poor power quality and reliability causes losses for all types of businesses. A five- minute power loss at a computer chip manufacturer can cost millions of dollars in lost work. This aspect of storage has major implications for addressing productivity and energy security for US manufacturers.
  • 31. 31 Renewable Energy Sources: Not only does hydrogen energy storage transform low value, unscheduled spinning reserve (wasted) power into high-value energy, which can be scheduled into the market during peak demand, Hydrogen energy storage also makes behind the meter electrical systems (Islanded systems) that much more dynamic in creating value. Through this, a wider variety of generation sources (namely H2 Fueled Dynamic Combustion Chamber technology, I.C. Engines or Primary Fuel Cells). As one can easily observe, the benefits of a Hydrogen energy storage within an energy generation facility is not in replacing an existing component of the electricity value chain, rather it permits the existing ones to do their job better and greater efficiency. Without energy storage facilities situated as being integrated with the value chain, additional and unnecessary expenditures will need to be had which will drive up the cost of power, while also providing a lower-level of quality and reliability as well as ROI or economy. Immediate Market Opportunities As the electric power industry evolves, different business models have developed to take advantage of the changing economic and energy marketplace. This same transformation is taking place within the Hydrogen energy storage, production and energy production market. Since our applications cover the spectrum of this market, no single “business model” will address all applications. Four key areas hold great promise for a multifunctional hydrogen energy storage and Hydrogen energy generation facility to operate. 1) Baseload arbitrage 2) Transmission support / smoothing 3) Energy Delivery Services / UPS 4) Renewable energy storage / Localized Grid Security / PPA The first two exist in the wholesale front office of the market, the second is within the retail energy segment, and the fourth can exist in both the wholesale and the retail market, depending upon the size of the renewable resource being developed. Since hydrogen storage and Hydrogen energy generation facilities are capable for operating in a multifunctional role, new facilities are expected to perform greater than any one of these roles (depending upon whether it is in the wholesale or retail end of the market).
  • 32. 32 When gas turbines entered the market, independent power producers sprang up, growing into today’s merchant power producers. Green Hydrogen storage and energy generation facilities work within augmenting / enhancing and not in replacing existing assets. This means existing energy market participants will benefit greatly to incorporate Hydrogen production as well as Hydrogen storage into their existing market strategies and to enhance as well as to extend the capabilities of their existing assets. Baseload Arbitrage: Arbitraging baseload from nuclear and coal-fired or Natural Gas generation between off-peak and on-peak hours represents the largest possible revenue- generating market opportunity for large-scale Hydrogen production and storage facilities. The amount of revenue generated will be dependent upon a number of factors, but primarily the difference between day and night prices will be the determining factor. If the storage facility is owned by the same entity that owns the coal, Nuclear, Natural Gas facility, it’s feedstock will supply the power. The same firm will reap additional benefits from a higher performing baseload power generating facility. Transmission Support: Recent movement by FERC has brought to light what many have been saying for a long time, transmission issues are starting to take center stage in the deregulation of the industry. For some regions with chronic transmission constraints, additional power facilities simply add to the problem. Owners of transmission assets will be interested in the ability to defer facilities and improve utilization. RTO operators will be interested in Green Hydrogen production, storage and energy production facilities to provide ancillary services to maintain the grid’s stability and to support a growing power trading market and to relieve congestion. Energy Services: At the customer site, prevention of poor power quality and reliability has driven many manufacturing and commercial facilities to install protective gear to either minimize of reduce the impact of outages on the business activity of the facility. Manufacturers of batteries, flywheels, SMES, and thermal systems have targeted this market for decades with known performance failures and short life of equipment. Renewable Energy Storage: One of the most exciting market opportunities resides in making renewable energy more competitive in the market. Storing the energy and discharging it under a contract basis can make the electricity far more valuable. Beyond energy sales, with the assured capability of dispatching power into the market, renewable Green Hydrogen energy resources could also sell capacity into the market through contingency services and new distribution models, from which we have out lined extensively within this document. Present / Future: A number of challenges now face the electric power industry: Volatile wholesale markets, increasing transmission constraints, and uncertainty on the part of customers as to what this has all meant. Today, these three issues play a role in the development of the Green Hydrogen production and energy generation as well as energy storage scenario’s.
  • 33. 33 Governmental Roles: Prior to deregulation in the electric power industry, utilities had no incentive to create storage facilities. Green Hydrogen storage facilities replace the need for more expensive power plants, the expenditure’s for including Hydrogen can be easily rolled into the utility rate-base. Deregulation has changed all this. In the competitive market, companies can make money based on their competitive position in the market instead of on a cost of service plus regime basis. Large-scale Hydrogen production, energy generation and storage facilities provide great improvements to the reliability and decentralized security of the grid, but one plant does not make an industry. To allow private sector participants to recoup their investments and make a return commensurate with their market risk, Green Hydrogen Production, Energy generation and energy storage technologies must be given an incentive for an equal footing. H2 Development Corp., LLC. offers a durable model for energy projects that provides for greater efficiency as well as economy. This which precludes the current model within the U.S.A. from a ‘dependency’ from government incentives and from subsidy, to become the prime-mover for any project’s origination and/or for capital finance and feasibility. We offer profitability and a Joint Venture for key stakeholders to originate in energy projects, for the benefits had from the production of Green Hydrogen and the distribution of Green Hydrogen as well as power and HVAC services to varied markets. When energy policy realizes the advantages for the economic and security benefits as well as the environmental advantages, all had from a current energy policy (with current incentives being that which favors Nuclear and Coal as well as Natural Gas), we believe far greater and more forthcoming applications for Green Hydrogen will be forthcoming. We wish to maintain however, we can provide economically profitable opportunities at current and present time. Our initial activities will undoubtedly be a pre-cursor for early-in best management practices and will be vital for bolstering a Green Hydrogen based energy policy as well as economy. Through including Green Hydrogen production, Hydrogen energy generation and Hydrogen energy storage facilities, private investors and utility planners each will contribute significant de- facto policy alternatives as such, as to provide a demonstration therefore, to include Green Hydrogen within energy providers. Current policy makers now provide additional choices for consumers, which are inclusive of Fuel Cell incentives. Lowering consumer prices through avoiding high-cost spot power prices is one of the main tenants of Federal and State Energy Policy focus. Hydrogen Production, Hydrogen Energy Generation and Energy storage facilities are the single most effective technology to be provided, in addressing major energy generation and energy security and local economy issues.
  • 34. 34 A Green Hydrogen Production, Energy Generation and Energy Storage Facility Is a Zero Emission Facility. Benefits to be had from Green Hydrogen production, Hydrogen energy generation and energy storage overall is a significant business advantage. This is provided by H2 Development Corp., LLC. Our aim is to facilitate the advanced deployment of Green Hydrogen production, Hydrogen Energy Generation and Hydrogen Energy storage, Hydrogen C&I HVAC, as well as to provide the infrastructure assistance for helping to build-out and support the Hydrogen gas local distribution network into a durable investment opportunity for our clientele and for the public. Turn-Key Green Hydrogen project development and Hydrogen energy systems enhances and Increases each energy consumer and generator’s economic position. We anticipate our technology and business approach will expand into varied energy cross-linked energy markets and across all energy operations and impact all industries involved in energy delivery. Green Hydrogen will cause an effect for positivity within all Residential, Commercial, Industrial and Manufacturing as well as transportation markets.
  • 35. 35 Business Sectors Identified For having a direct and Immediate Impact • Energy Technology Joint Ventures • Power Generation / Disaster Relief • Hydrogen Energy Storage • Sustainability and Industrial Ecology • Information Technology / Data Hubs UPS Power • Fuel Cell Gas Distribution and Sale. • Technology incubator Fuel Cell Technologies • Competitive energy / ESCO • Business development Incubator • Hydrogen Fuel cells • Hydrogen Energy storage systems • Hydrogen Distributed power systems • Advanced power plant operations Micro Grid • Clean Gas technologies and Distribution. • Advanced Hydrogen combustion • Multi-pollutant emissions control systems • Next-generation Gas to Power systems • Wind turbines Power to Gas Contact: jmosel@h2developmentcorp.com (914) 260-5678 www.h2developmentcorp.com