First Solar, Inc. · NASDAQ:FSLR
First Solar — Investor Presentation (July 2018)
13 slides from First Solar's investor presentation, July 2018
Slide 1: Grid Flexible Solar
GRID FLEXIBLE SOLAR Unleashing the Full Potential of Utility-Scale Solar Generation ——— First Solar. LEADING THE WORLD’S SUSTAINABLE ENERGY FUTURE
Slide 2: Utility-Scale Solar & the Evolving Grid
UTILITY-SCALE SOLAR & THE EVOLVING GRID As a least-cost new resource, more solar is added to the power grid every day As solar penetration increases, grid operators face new challenges in dispatching the system Today, grid operators often rely on fossil-fueled generators to match energy production a
Slide 3: Utility-Scale Solar: Cost-Competitive Technology
UTILITY-SCALE SOLAR: COST-COMPETITIVE TECHNOLOGY 19 July 2018 © Copyright First Solar, Inc. Lazard’s Levelized Cost of Energy Analysis, Version 11.0. https://www.lazard.com/perspective/levelized-cost-of-energy-2017/ 3
Slide 4: Curtailment Is a Low Load Phenomenon: CAISO High Penetration Example
CURTAILMENT IS A LOW LOAD PHENOMENON: CAISO HIGH PENETRATION EXAMPLE HIGH LOAD DAY LOW LOAD DAY Production By Resource Type Production By Resource Type Summer Day Low Load Day Add 10GW New Grid Solar Add 10GW New Grid Solar 50 50 Minimum Must Behind-the- Behind-the- Run Generation Meter Solar 40 Met
Slide 5: Characteristics Driving Grid Evolution
CHARACTERISTICS DRIVING GRID EVOLUTION Grid 1.0 Grid 2.0 Grid 3.0 Grid Characteristics: Grid Characteristics: Grid Characteristics: Utility-scale solar is part of mid- Grid operators see evening ramp Utility-scale solar represents day load, offsetting peak or near- concerns and need for more s
Slide 6: Utility-Scale Solar Provides Grid Flexibility
UTILITY-SCALE SOLAR PROVIDES GRID FLEXIBILITY 19 July 2018 © Copyright First Solar, Inc. 6
Slide 7: Controllable & Dispatchable PV Capabilities Exist Today
CONTROLLABLE & DISPATCHABLE PV CAPABILITIES EXIST TODAY Dispatchable PV Plant • CAISO, NREL and First Solar pioneering demonstration of advanced reliability services • Solar can provide NERC-identified essential services to reliably integrate higher levels of renewable resources, including: — Freque
Slide 8: Grid Services in Action: Frequency Regulation
GRID SERVICES IN ACTION: FREQUENCY REGULATION MORNING Available MW Min allowed MW Commanded MW Measured MW 230 220 Available MW 210 Commanded MW POWER (MW) 30MW Headroom 200 Measured MW 190 Minimum 180 Allowed MW 170 0 200 400 600 800 1000 1200 1400 RELATIVE TIME (sec) MIDDAY • 30MW headroom 285 Ava
Slide 9: PV Plants Outperform Conventional Resources in Frequency Regulation
PV PLANTS OUTPERFORM CONVENTIONAL RESOURCES IN FREQUENCY REGULATION 100% Regulation accuracy by PV Plant is 90% about 24-30% points better than 87-93% fast gas turbines 80% 70% 63% 60% 50% 40% 40% 30% 20% 19 July 2018 © Copyright First Solar, Inc. 10% 0% Steam Pump Hydro Combined Limited Gas Solar P
Slide 10: Case Study: Hawaiian Electric Leading the Way in PPA Reform
CASE STUDY: Hawaiian Electric Leading the Way in PPA Reform ISSUE • High penetration of behind-the-meter solar, coupled with an old oil-fired fleet has lead to significant curtailment issues (upwards of 20%) • Developers have desired “take-or-pay” contracts to mitigate their curtailment risk; howeve
Slide 11: Summary
SUMMARY As solar penetration increases, the energy industry needs to proactively address its impact on grid operation to maintain delivery of safe, reliable and affordable energy Large-scale solar power plants are capable of addressing these constraints and increasing flexibility on the grid in a co
Slide 12: Next Steps
NEXT STEPS In order to leverage the full benefits of PV, First Solar recommends the following: • Convene a workshop including grid operators, utilities, generation owners, and industry leaders to examine how best to leverage PV capabilities • Ensure that any planning, market, or procurement mechanis
Slide 13: anata
anata First Solar. LEADING THE WORLD’S SUSTAINABLE ENERGY FUTURE