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Icetek Innovative Icing Sensor From CanREA Electricity Transformation Canada 23

At Electricity Transformation Canada 23, Icetek’s André Bégin-Droulet explains their thermodynamic icing sensor that detects onset and intensity. The technology optimizes turbine operations to reduce downtime and damage while improving grid reliability. Icetek provides expertise and data analysis services alongside the product for maximum value.

Check out IceTek at icetek.ca

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Sign up now for Uptime Tech News, our weekly email update on all things wind technology. This episode is sponsored by Weather Guard Lightning Tech. Learn more about Weather Guard’s StrikeTape Wind Turbine LPS retrofit. Follow the show on FacebookYouTubeTwitterLinkedin and visit Weather Guard on the web. And subscribe to Rosemary Barnes’ YouTube channel here. Have a question we can answer on the show? Email us!

IceTek

Allen Hall: At Electricity Transformation Canada 2023, we’re here to talk ice detection with André Bégin Droulet with Icetek. And icing. Welcome to the program.

André Bégin-Drolet: Thank you, thank you for having me.

Allen Hall: So Icetek is a new ice detection system that I was first introduced to by Borealis Wind. And Daniela said we got this new ice detector and it’s fabulous.

It tells us all these great, wonderful things about ice that we never knew before and I had never heard of it. Which was odd, because we live in a place where there’s a lot of snow and ice. I usually hear about ice detection. It’s a thing that happens. But Icetek is a relatively new company based in Quebec.

André Bégin-Drolet: Yeah, exactly. So it’s we started the company in 2020. So that’s three years from now. But it’s a spin off from a university project. We, I’m a mechanical engineering. Professor Laval University in Quebec City. We developed the sensor throughout the research for the last 15 years. So we did a lot of research, academic research.

It was a tool for us to understand icing on wind turbines. And then I started a partnership with Daniela a research partnership with them to help them be be better. And this is where it it all started, where… After the project, she asked, can we buy those sensor? They were not for sale ’cause it were a research product, at the moment. And then, yeah, this is when the university encouraged us to to go and start a spinoff company for that.

Allen Hall: Because the problem is not just knowing that there’s ice. The problem is trying to know that ice is coming.

That’s the trick. And a lot of the ice detectors that are out there are really binary. That ice is here. Ice is left, but in an operational sense, in a wind turbine, it doesn’t really help you all that much. Leads to a lot of downtime. Yeah,

André Bégin-Drolet: so ice is a very complicated problem. Ice can take different incarnations, freezing rain, blaze ice, rime ice, ore frost different types under different conditions, and we learned that through our 15 years of research that it can take different Incarnation and we designed the sensor so that we could know when it start.

So the really onset of icing when there’s no icing visible, but the conditions are prone to icing. And then what’s the intensity of icing? What’s the amount of liquid work content in the atmosphere when it stops the meteorological icing. ’cause when the meteorological icing is over, you can still have ice on the structure.

Is still, is this still icing? Yes, but it’s called instrumental icing, persistence of icing. So all these different phase of the icing, you need to understand them. And as you mentioned, it’s not a binary.

Allen Hall: No, definitely isn’t. And I know Daniela trying to explain that to me several months ago. And it just went, there was a lot going on there.

So I’m glad we have time to sit down and discuss it. Okay. Let’s just walk through what the sensor is. Because it looks different than any other icing sensor that I’ve ever seen. It’s a, it’s a metallic cylinder. Yeah.

André Bégin-Drolet: We’re using a thermodynamic approach. Okay. We’re having a heated cylinder, that we know the amount of heat that we fed into that cylinder.

We also know the surface temperature of that cylinder, because we have those temperature probes inside the cylinder, but close to the walls. And we also measure the air speed, the air temperature, relative humidity solar radiation. Based on all these parameters, we do modeling, what should be the surface temperature, knowing all those parameters.

And then we compare.

Allen Hall: So it’s more than just detection of ice itself, you’re detecting… Basically, temperature, the amount of heat pulled off the cylindrical sensor, you have a solar sensor. This is really fascinating because when I saw the sensor the first time, I wasn’t sure what was the magic piece here.

But it’s more than just one sensor. In order to do this calculation, you need actually multiple sensors. So you have temperature, true temperature, true air temperature. You have the sun condition, sun out, no sun. And then you have wind speed with the ultrasonic FT sensor. Yeah, which is a really nice sensor.

Okay, so that’s high quality stuff. But then inside of this cylinder, this metal cylinder, there’s circuitry. There’s a

André Bégin-Drolet: brain inside. There’s a brain inside something that would not have been possible to do 20 years ago through the democratization of electronics and microchip and everything. So we do live calculation inside the sensor using all these parameters and we…

And inside the sensor, we model, so we do live modeling of the surface temperature of of these cylinder. And why we use cylinder is because they’re easy to model. Yeah, we went for that.

Allen Hall: It’s a basic model. It’s an aerodynamic model.

André Bégin-Drolet: It’s an aerodynamic, thermodynamic.

Allen Hall: Exactly. And it’s simple to do sort of CFD, thermodynamic model.

Okay so now you have. One, two, three, four different sensors. You have a brain inside of it. And in that brain is a bunch of software, I assume? And that software is taking all those parameters and trying to figure out, Okay, ice is about to come, ice is over. Did you have to create those models yourself?

Did you go to a wind tunnel to do that? How did that all get done?

André Bégin-Drolet: It was developed through academic research. We had access to all these wind tunnels, infrastructures, and everything. We come with a background of 15 years of academic research. Where we did all this stuff. We went through a cold climate chamber to simulate the icing. We used all this knowledge, this academic knowledge. To come up with this nice product.

Allen Hall: So where was the icing wind tunnel at? Is that in Canada?

André Bégin-Drolet: It’s in Canada. It’s in Quebec City. So it’s a refrigerated wind tunnel that was built in the 60s. It’s a closed loop wind tunnel. It goes over two floors.

And it’s all wood. But we retrofitted the icing in there. We had to dry the tunnel after each run, but it was a very unique

Allen Hall: Yeah, because you usually don’t put water in these wind tunnels. That’s a forbidden thing to do. So you had to, must have twisted some arms there, convinced some people to let you get their fabulous wind tunnel wet.

André Bégin-Drolet: Yes, but we dried it. It was built in house. We know how to rebuild it. Yeah. We had that leverage and that’s what’s fun in the mechanical engineering department. What? We do things and we can place things.

Allen Hall: Sure, sure. Why was that tunnel there originally?

André Bégin-Drolet: It’s been there for a while.

It’s been there for a while. It’s, it was not refrigerated at the time. Yeah. This unit was added in the early or late 1990s. Okay. And then they built on that. Okay. Two different, experiment. It’s used for teaching as well.

Allen Hall: Okay. Making parkas and hats and all the Canadian gear, gloves.

Is that how they check all that equipment?

Joel Saxum: Canada goose checks.

André Bégin-Drolet: Exactly.

Allen Hall: It’s a good promotional tool for Canada. Okay, so you have all these resources at your fingertips. You’re, you’ve created this basic instrument. You’re now taking it to a wind tunnel. You’re validating it, you’re coming with curves or empiric.

Are you doing empirical measurements?

André Bégin-Drolet: We do a lot of empirical curve. Okay. In the wind tunnel. Alright. But then the real test was when it was on a turbine. ’cause when you’re on a turbine, you’re behind the rotor. There’s a lot of, there’s some weight, there’s turbine density mess, and it’s messy. The wind flow is messy. And we redid some institute calibration or, empirical curves on site and we also added cameras there so we had a side view of the sensor so we could measure the ice accumulation on the structure and then correlate our model and fine tune our model for and we have a different calibration for each turbine type.

Oh really? Yeah, because it depends on where it is located On the nacelle?

Allen Hall: On the nacelle, yeah. Okay, so I wanted to get into that because it relies so much on the airflow and the parameters around the airflow. How sensitive is that if you have to, so you’re taking a base model out to, let’s say a GE 3X, the magic turbine is in Canada at the moment.

So you’re installing it on the turbine, on the nacelle. You have a calibrate, it’s already calibrated itself. It’s close, right? It’s close. Yeah. It’s already calibrated. Yeah. You just go through an adjustment phase to understand are you understanding the local environment, or is it more specific to the aerodynamics around the, that nacelle and turbine?

André Bégin-Drolet: It’s specific to the flow that will go around these inter cylinder, because this is the piece that we’re investigating, those two probes. And we have two for redundancy. We know that ice will fall from the blades and will damage, and might damage the instrument. And so..

Allen Hall: If they don’t, if they install Borealis, it won’t damage it.

That’s why you install Borealis, so you don’t damage your icing instrument.

André Bégin-Drolet: And I’m fortunate enough to have a lot of very intelligent people surrounding me. Yeah. And we, with the instrument and with the brain that’s inside the instrument, we’re about to do automatic calibration. So we set it up there and it knows it has its own algorithm that will day after day.

Fine tune the model and we know when there’s no icing. So this is when we tune the…

Allen Hall: So it gets better with time. Kind of like Joel, better with time.

Joel Saxum: The outputs from the system, right? He said this dumb this down to someone that’s a like me and it’s gonna be on a site. What is it going to tell me and what actions do I take from it?

André Bégin-Drolet: So the first thing is going to tell you it’s the onset of icing. Yeah, so At that time, the conditions are prone for icing.

You should take some actions.

Joel Saxum: It’s a cloud based, I’m going to get an email, or I’m going to be able to check in?

André Bégin-Drolet: It’s we are, we’re very flexible. Okay. At the moment we, on some system, we’re integrating into the scada. We have also modem cellular communication feeds data through the cloud, and then it can text, it can email depends on the customer.

Everybody has something different. With the Borealis system, we’re Hardwire to their system directly and we will trigger when to start and stop the IPS.

Allen Hall: So does your system work in conjunction with some other systems that may be on the turbine already?

André Bégin-Drolet: Yeah, we’ve, we’ve, worked with the turbine operators a lot.

And they work with turbine manufacturers. So we had an agreement to trigger other IPS systems as well. Just to optimize the operation of those systems. So this is a direct value for the customer as they’re seeing the use right away of the sensor and they’re optimizing their operations.

Joel Saxum: So one thing I want to talk about again, I’m putting my operator hat on is we’ll offer.

We were talking about this a little bit. Of course, you guys are in Quebec and Canada. Almost everything is a fixed PPA price. So the markets are going to stay stable. But there is places in the world say like down in Texas where it’s an unregulated power markets. The power prices that are purchasing prices in the market can go up and down and up and down.

And we know that we saw, what, 9, 000 a megawatt hour? Yeah. Oh yeah. During the ice storm down there. So if you had assets that were able to produce during that, you could have really banked some capital away. You could have made some money. A lot of revenue there. So how can you guys help other people, when you’re not necessarily triggering an IPS system or triggering a heating system to turn on?

What are the other advantages for some people? ,

André Bégin-Drolet: Since we detect the onset of icing, it can give you an indication to stop bidding on the market. Yeah. You will produce at that time, but you know that in three hours from now if ice continues at the rate it’s going now. It’s not a binary.

We give it intensity value so we can Forecast what’s going to happen in three hours so you can stop bidding on the market. So you can stop because you will start stop producing so you will not be able to Come up with those bids.

Allen Hall: Which is a requirement at ERCOT, right? So the regulation that’s happening at ERCOT right now is saying you have to give us some warning.

We can’t just have you flipping off in 15 minutes. You’ve got to give us some advanced warning whether you’re going to be on or off.

Joel Saxum: Yeah, because it causes, the problem it causes down there is cascading browning. Where things all of a sudden this plant goes down, this plant goes down, then you all of a sudden have an unstable grid and then this one will go down.

So being able to notify the grid operator…

Allen Hall: Right

André Bégin-Drolet: It’s a, it’s a major advantage for the grid operator, but so far it’s been very difficult to get to them. We’ve been working a lot with the operators that have the problems, but then as soon as you get larger, you have to. It’s the larger organizations that have different issues.

Allen Hall: I think they’re all trying to understand the issue and they don’t realize the capability you’re bringing to the marketplace right now. Because it’s so different than what you would normally see.

Joel Saxum: Yeah, one of the other advantages we talked about with an operator is the ability to know when to shut your turbines down to avoid… Structural structural damage to your blades, or that damage or fatigue that will build up over time. When you run in ice, I’ve personally seen the same turbines in southern latitudes that are installed in northern latitudes, and the ones in northern latitudes having much more damage internally than the ones in the southern latitudes. And that is directly equated to running them with a bunch of ice. The advantage there is… That knowing when the ice is coming, because you’re going to accumulate less ice when you’re not spinning.

André Bégin-Drolet: Yeah, exactly. So when the turbine is spinning, it accumulates a lot of of ice. So the idea behind the early stopping of those turbines is to stop producing early on, so it will accumulate less ice, and then…

Once the event is over, as we can also tell when the event is over, then you can restart the turbine more rapidly than if they had run through the event. Some of the research has shown that there’s gain using this strategy.

Joel Saxum: Yeah, because sometimes you see turbines that have run in during an icing event and they have just massive amounts of ice on them.

Then they finally shut ’em down. ’cause the vibration alarms are going off and all that stuff. And then that ice sits on those turbines. It might be a week. Oh yeah. And it sits on there. Now, if you had shut it down early, you wouldn’t have accumulated all that ice and you’d be able to turn it back on.

André Bégin-Drolet: Exactly. And then you, while the other turbines are down like seven days, if you were able to restart your turbines. So one day and it, that’s, that means six day of product production. Yeah. For one day of preemptive stoppage at the beginning. So

Joel Saxum: It’s a, it’s a. I would say it’s a gamble, but it’s a good gamble.

Allen Hall: That’s a good bet. No, that’s a good bet. Yeah. Especially some of these marketplaces. So the Icetekh brand name is just hitting the markets from Borealis side. You guys, obviously, ATC Canada. You’re out here promoting the product, which is good. There’s a definite marketplace.

Canada. U. S. Nordic countries. Nordic countries. Sweden. Norway. Finland. Yep. Germany. Pick them. Have you seen acceptance of the products over in Europe yet? Because it seems like an obvious fit there.

André Bégin-Drolet: Yeah, we’ve started to have discussion. Obviously for us, it’s more difficult to sell over there than to sell locally.

We started exporting to the U. S., which was our objective for our year two. Yeah. It’s a big success for us. We’ve been through the whole process of exporting to the U. S. And then we want to go to the European market. And one big milestone that we’re looking at is… It’s working with the OEM, so being integrated in their supply chain becoming a sensor installed or at least offered as an option for the customer.

And I strongly believe that this sensor can help the OEMs have better products.

Joel Saxum: That’s fantastic. So how many units do you have out in the field right now?

André Bégin-Drolet: We have a little bit over 30 units in in the field we’re in Nova Scotia, New Brunswick, Quebec, Ontario, Manitoba, Saskatchewan we’re in Texas, Pennsylvania uh, Illinois Minnesota, and so on.

Joel Saxum: So for listeners that are thinking about this as new technology, Icetek’s been around, you guys, there’s 15 years of research been into the product, and now it’s proven, it’s out in the field, it’s working, and people are benefiting.

André Bégin-Drolet: With the we’re not just selling a product was also providing our expertise and our services. So usually what our sales cycle is pretty long. But we also after the product is installed we provide services for the data analysis and sometimes it works the backwards. So we will start analyzing data from the turbine and after that we will recommend to install it and I sensors. So this service or this data analysis will lead To hardware.

Allen Hall: Yeah, I was wondering about that aspect. We know that sales cycle. Oh, yeah, intimately.

Joel Saxum: We live that same cycle. StrikeTape and lightning. We’re in the exact same thing. Analysis, consulting, and then put the strike tape on.

Allen Hall: Yeah, then we sell a thousand, right? So it, but it takes, it’s the gestation time is, tends to be long in wind.

But in your case, because you have this really cool instrument and it’s providing data back to you smart people. Does that then create a little bit of a development like, oh, we learned in Pennsylvania that this kind of icing happens in this sort of situation that we didn’t know.

André Bégin-Drolet: There’s no big surprise.

I think it’s always different for every site and for every event and everything, but we with Daniela from Borealis she had access from the ice map from all over the world. So the these different ice maps and what we took is we took the database from all the wind sites all over the world and merge these two database together.

So now we know where ice is and on what turbine it’s a wind customer contact us. We already know that they’re experiencing the problem because we’ve correlated the database from the wind turbine site to the icing maps.

Joel Saxum: And and here’s a, this is a side note I’m thinking, but if I was looking at being a wind developer and I was sighting in the northern latitudes, you guys might be someone I’d call, regardless of the instrumentation, just for, as a process of going through my, my, my sighting reviews and things like that. What are the damages we may be looking at or what are the hazards we may be looking at with icing? Based on your knowledge.

André Bégin-Drolet: And the losses yeah, and state losses as turbines are getting bigger. The IPS are getting more mature with Borealis and the OEMs have also their system. They’re getting better. So the losses are going down, but there’s still losses caused by, by, by icing. You have to anticipate them. They’re going to be there.

Joel Saxum: It’s, and it’s something that developers know before they try to take a final investment decision on a wind farm.

Allen Hall: It’s. Such a weird marketplace, because you talk about operators that installed a farm five, ten years ago, and anticipated ice loss, versus what actually happened?

Widely different. Yeah, they were told a nice song and dance story about, Oh, a percent or two. This is the Rosemary story. So Rosemary’s giving me some insight on this, having been an icing person. They usually say, oh, it’s a percent or two, and you get five percent is the pain point, like five percent downtime, but put a…

a de icing system in, but I think the PPA prices in some of those places in Quebec, a percent or two makes a big deal.

Joel Saxum: Yeah, and with talking with Daniela earlier, there’s some laws coming possibly down the pipeline in Quebec as well that will focus around maintaining uptime wind assets based on ice.

Allen Hall: As wind has become a couple percentage point of the energy grid to, in Iowa, 60%, 70 percent electricity is generated from wind. Icing is now a bigger deal because if you cut off 70 percent of electricity in Iowa, there’s a lot of Iowans that are gonna be cold.

Joel Saxum: Yeah, a lot of people gonna ride around their tractor for heat for a while.

Allen Hall: Absolutely. They’re gonna fire up that wood furnace. Yeah on the pellet stove.

André Bégin-Drolet: And we’re based out of Quebec So we focus a lot on that market and there’s a lot of icing and at the moment It’s only 3 percent 4 percent of wind penetration in the network. Yeah, but as this number Will increase and will grow it should become Big issue on how to deal with icing and losing these big wind farts one after the other and balancing the grid.

Allen Hall: The cascading, as Joel pointed out, the cascading effect is probably the biggest risk to the energy grid because they start disconnecting and then they kick off some solar and it, and as we found out in Texas, you don’t even understand how it’s happening. You just know that it’s happening and you don’t want it to happen anymore.

Joel Saxum: Yeah, here’s a, and here’s a question for you as well. Could your system, this IceTek instrumentation, help out servers knowing when they’re going to need it?

André Bégin-Drolet: It’s a good question. You know that icing occurs in winter months. There’s less sun also during these periods. I don’t know, it’s a complicated question.

Obviously, this provides data. It’s what you do with the data.

Joel Saxum: Yeah, I’m thinking more along the, like the unregulated market, the same idea of when you’re going to be able to bid and when not to.

Allen Hall: Oh, that’s because it’s a trading market. Yes. You need to know when to bid. PPA, yeah.

Wow. Okay. Andre, how do people find Icetek to learn about the technology? How do they get a hold of you? How do they learn about all those cool things you’ve built?

André Bégin-Drolet: We have a webpage, icetek.Ca. Okay, it’s I C E T E K. I C E T E K. Dot C A. Okay. We also have a LinkedIn page where we try to update some material. We just posted a time lapse of an icing event just to show people or educate people on the icing type that’s occurring.

And try to be present on social media as well. Give us a call and drop us a line.

Allen Hall: Yeah. Okay check out Icetek’s webpage. Andre, thanks for being here. Thanks for taking some time to explain the technology. It looks really… Congratulations.

André Bégin-Drolet: Thank you. Thanks for having me.

Icetek Innovative Icing Sensor From CanREA Electricity Transformation Canada 23

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Rosemary reports back on her visit to multiple Chinese renewable energy companies, Vineyard Wind activates a $69.50/MWh PPA with Massachusetts utilities, and Bronze Age jewelry halts a German wind project.

Sign up now for Uptime Tech News, our weekly newsletter on all things wind technology. This episode is sponsored by Weather Guard Lightning Tech. Learn more about Weather Guard’s StrikeTape Wind Turbine LPS retrofit. Follow the show on YouTube, Linkedin and visit Weather Guard on the web. And subscribe to Rosemary’s “Engineering with Rosie” YouTube channel here. Have a question we can answer on the show? Email us!

[00:00:00] The Uptime Wind Energy Podcast brought to you by Strike Tape protecting thousands of wind turbines from lightning damage worldwide. Visit strike tape.com and now your hosts.

Allen Hall 2025: Welcome to the Uptime Wind Energy Podcast. I’m your host, Allen Hall. I’m here with Yolanda Padron in Austin, Texas, who is back from the massive wedding event. Everybody’s super happy about that, and Rosemary Barnes had her own adventures. She just got back from China and Rosemary. You visited a a lot of different places inside of China.

Saw some cool factories. What all happened?

Rosemary Barnes: Yeah, it was really cool. I went over for an influencer event. So if you are maybe, you know, in the middle of your career, not, not particularly attractive or anything you might have thought influencer was ruled out for you as a career. No one, no one needs engineering influencers in their [00:01:00] forties.

It’s incorrect. It turns out that’s, that’s where, that’s where I, I found myself. It was pretty cool. I, I did get the red carpet rolled out for me. Many gifts. I had to buy a second bag to bring home the gifts, and when I say I had to buy a second bag, I had to mention. Oh, I have so many gifts, I’m gonna need another bag.

And then there was a new bag presented to me about half an hour later. But, so yeah, what did I do? I got to, um, as I was over there for a Sun Grow event. Huge, huge event. They, um, it’s for, it’s for their staff a lot, but it’s also, they also bring over partners. They also bring over international experts to talk about topics that are relevant to them.

Yeah. They gave everybody factory tours in, um, yeah, in, in shifts. Um, I got to see a module assembly factory, so where they take cells, which are like, I don’t know, the size of a small cereal box, um, and assemble them into a whole module. Then the warehouse, warehouse was [00:02:00] gigantic. It, um, was, yeah, 1.8 gigawatt hours worth of cells that couldn’t hold in that one building.

They’re totally obsessed with fire safety there in everything related to batterie, like in the design of the product, but also in, in the warehouse. And they do, yeah, fire drills all the, all the time. Some of them quite big and impressive. Um, I saw inverter manufacturing facility that was really cool.

Heaps of robots. Sw incredibly fast. Saw a test facility.

Allen Hall 2025: So was most of the manufacturing, robotics, or humans?

Rosemary Barnes: Yeah. So at the factory it was like anything that needed to be done really fast or with really good quality was done by robots. So they had, um, you know, pick and place machines putting in. Um, you know, components in the circuit board, like just insane, insane rate.

I’m sure it’s quite, quite normal, but, um, just very fast. Everything lined up in a row. Most of their quality control is done by robots. Um, so it does well it’s done by ai, I should say. [00:03:00] Taking photos of, of things and then, um, AI’s interpreting that. Repairs, I think were done by humans. There were humans doing, um, like custom components as well.

Like not every product is exactly the same. So the custom stuff was done by humans.

Allen H: So that’s the Sun Grove facility, right? You, but you went to a couple of different places within China?

Rosemary Barnes: Yeah, I went to another, a factory, a solar panel, a factory, um, from Longie. That was really cool too. I got to see a bit more probably of the, um, interesting, interesting stuff there, like, uh, a bit more.

Um, yeah, I don’t, I dunno, processes that aren’t, aren’t so obvious. Not just assembly, but um, you know, like printing on, um, bus bars and, you know, all of the different connections and yeah, it was a bit, a bit more to it in what I saw. Um, so that was, but it, it’s the same, you know, as humans are only involved when it’s a little bit out of the.

Norm or, um, where they’re doing repairs, actual actually re [00:04:00]repairing. You know, the robots or the AI is identifying which components don’t meet the standard and then they’ll go somewhere where a human will come and, um, fix them.

Allen H: Being the engineer there. Did you notice where the robots are made? Was everything made in China that was inside the factory or were they bringing in outside?

Technology.

Rosemary Barnes: I didn’t think to look for that, but I would assume that it was Chinese made, also

Allen H: all built in country

Rosemary Barnes: 20 years ago that wouldn’t have been the case, but I think that China has had a long, a long time to, to learn that. Again, it’s not like, it’s not, it’s not rocket science. These are, these are pick and place machines, you know, like I remember working on a project very early in my career, so.

Literally 20 years ago, um, I was working with pick and place machines. It’s the same, it’s the same thing. Um, some of them are bigger ’cause they’re, you know, hauling whole, um, battery packs around. It’s just the, um, the way that it’s set up, but then also the scale that they can achieve. You just, you can’t make things that cheap if you don’t have the [00:05:00] scale to utilize everything.

A hundred percent. Like I said, wind turbine towers is a really good example. ’cause anyone, any steel fabricating

Allen H: shop

Rosemary Barnes: could make a wind turbine tower. Right? They, they could, they could do that. You know, the Chinese, um, wind turbine tower factories have the exact right machine. They don’t have a welder that they also use for welding bits of bridges or whatever.

Uh, they have the one that does the exact kind of world that they need, um, for the tower. They, you know, they do that precisely. Robotically, uh, exactly the same. And, you know, a, a tower section comes on, they weld it, it moves off to the next thing, and then a new one comes on. They’re not trying to move things around to then do another weld in the same machine.

You know, like they’re, um, but the exact right. Super expensive machine for the job costs a whole bunch to set up a factory. And then you need to be making multiple towers every single day out of that factory to be able to recoup on your cost. And so that is [00:06:00] the. The, um, bar that is just incredibly hard slash impossible for, um, other countries to clear.

Allen H: Can I ask you about that? Because I was watching a YouTube video about Tesla early on Tesla, where they wanted to bring in a lot of robotics to make vehicles and that they felt like that was the wrong thing to do. In fact, they, they, they kinda locked robots in and realized that this is not the right way to do it.

We need to change the whole process. It was a big deal to kind of pull those. Specialized piece of equipment, robots out and to put something else in its place in that they learned, you know, the first time, instead of deciding on a process, putting it in place and then trying to turn it on, see if it works, was to sort of gradually do it.

But don’t bolt anything down. Don’t lock it in place such that it doesn’t feel like it’s permanent. So you engineer can think about removing it if it’s not working. But it sounds like this is sort of the opposite approach of. A highly specialized [00:07:00] machine set in place permanently to produce. Infinite amounts of this particular product, does that then restrict future changes and what they can make or, I, I, how do they see that?

Did, did you talk about that? Because I think that’s one of an interesting approaches.

Rosemary Barnes: I didn’t actually get as much chances I would’ve liked to speak to engineers. Um, I was talking mostly to salespeople and installers. Um, so they know a lot, but I couldn’t, um, like in the factory tours, I was asking questions.

Um. That kind of question and, and they could answer all, all that. Um, but outside of that, and I couldn’t record in the factory obviously. Um, but I did, I did take notes, but what I would say is that they would have a separate facility where they would be working out the details of new products and new manufacturing processes and testing them out thoroughly before they went and, you know, um, installed everything correctly.

But what I do hear is that, you know, especially with solar power. Maybe to [00:08:00] batteries to a lesser extent. You, you know, you like, you have these kind of waves of technology. Um, so you know, like everyone’s making whatever certain type of solar cell and then five years later, um, there’s a new more efficient configuration and everybody’s making that.

And I know that there are a lot of factories that kind of get scrapped. Um, and the way that China’s set up their, like, you know, their economy around all this sort of thing is set up is that it’s not that, like every company doesn’t succeed. Right. They SGO was a big exception because they’ve been going since 1997, I think it was.

It was started by a professor quid his job and hired a room across the, across the road from his old university and, you know, built his first inverter and, um, you know, ’cause he, he could see that. Uh, the grid was gonna have to change to incorporate all of the solar power that was coming, which to be honest, in 1997, that was like pretty, pretty farsighted.

That was not obvious to me when I started working in solar in mid two thousands. And it was not obvious to me that this was a winner.

Allen H: Well, has sun grow evolved then quite a bit? ’cause if you’re [00:09:00] saying that they’ve minimized the cost to produce any of their products by the use of robotics, they have been through an evolutionary process.

You didn’t see any of the previous generations of. Factories. You, you were just seeing the most modern factory that that’s actually producing parts today. So is that a, is that a, is that just a cost mindset that’s going on in China? Like, we’re just gonna produce the lowest cost thing as fast as we can, or is it a market penetration approach?

What are, what were, were the engineers in management saying about that?

Rosemary Barnes: I think there’s a few different aspects to that, like within China. So Sun Grow is the big company with a long track record and they’re not making the cheapest product out of China. So I think that they are still trying to make the cheapest product, but they’re not thinking about it just in the purchase price.

Right. They’re thinking more in terms of the long, long term. You know, they’ve been around for 30 years and probably expect to be around for another 30 years. They don’t wanna be having [00:10:00] recalls of their products and you know, like having to, um. Installers in particular are probably working with them because they know that they won’t have to go back and do rework and the support is good and all that sort of thing.

So they’re spending so much money on testing and you know, just getting everything exactly right. But I don’t think that that’s the only way that China is doing it. There’s, you know, dozens, probably hundreds of companies. Um. Doing similar stuff between Yeah, like solar panels and associated stuff like inverters and, and batteries.

So many companies and all of them won’t succeed. You know, sun Girls Facility in, I was in her and it’s huge, you know, it’s like a, a medium sized country town. Just their, um, their campus there, they’re not, they’re not scrapping that and moving to a new site, you know, they’re gonna be. Rejiggering and I would expect that, you know, like everything’s set up exactly the way it needs to be, but it’s not like gigantic machines.[00:11:00]

It’s not like setting up a wind turbine blade factory where it’s hard if you designed it for 40 meter blades, you can’t suddenly start making 120 meter blades. Like it’s, they will be able to be sliding machines in and out as they need to. Um, so I, I, yeah, I guess that it’s some, some flexibility. But not at the cost of making the product correctly.

Allen H: Did you see wind turbines while you were in China?

Rosemary Barnes: I, the only winter I saw, I actually, I saw, because I caught the train from Shanghai, I actually caught the fast train from Shanghai to, which is about, it depends which one you get between like an hour 40 or three hours if it stops everywhere. Um, and I did see a couple of wind turbines on the way there, out the window, just randomly like a wind turbine in the middle of a, a town.

Um, so that was a bit, a bit interesting. But then in the plane, on the way back, the plane from Shanghai to Hong Kong, I, at the window I saw a cooling tower of some sort. So either like a, yeah, some kind of thermal [00:12:00] power plant. And then. Around all around, well, wind turbines, so onshore wind turbines. So I don’t know.

Um, yeah, I, I don’t know the story behind that, but it’s also not a particularly windy area, right? Like most of the wind in China is, um, to the west where, uh, I wasn’t

Allen H: as wind energy professionals, staying informed is crucial, and let’s face it. That’s why the Uptime podcast recommends PES Wind Magazine. PES Wind offers a diverse range of in-depth articles and expert insights that dive into the most pressing issues facing our energy future.

Whether you’re an industry veteran or new to wind, PES Wind has the high quality content you need. Don’t miss out. Visit PS win.com today. So there are two stories out of the US at the minute that really paint a picture of the industry. It was just being pulled in opposite directions. The Department of Interior announced agreements to terminate two more.

Offshore wind leases, uh, [00:13:00] Bluepoint wind and Golden State wind have agreed to walk away from their projects. Global Infrastructure Partners, which is part of BlackRock, will invest up to $765 million in a liquified natural gas facility instead of developing blue point wind. Ah. And Golden State Wind will recover approximately $120 million in lease fees after redirecting investment to oil and gas projects along the Gulf Coast, and both companies say they will not pursue further offshore wind development in the United States.

Well, we’ll see how that plays out. Right? Meanwhile. In Massachusetts Vineyard Wind, which has been fighting with GE Renova recently has activated its long awaited power purchase agreement with three utilities. The contract set a fixed electricity price of drum roll please. [00:14:00] $69 and 50 cents per megawatt hour for the first year and a two and a half percent annual increase.

Uh, state officials say the agreements will save rate payers $1.4 billion over 20 years. So $69 and 50 cents per megawatt hour is a really low PPA price for offshore wind. A lot of the New York projects that. Renegotiated we’re somewhere in the realm of 120 to $130 a megawatt hour, and there’s been a lot of discussion in Congress about the, the usefulness of offshore wind.

It’s intermittent blahdi, blahdi, blah. Uh, but the, the big driver is what costs too much. In fact, it doesn’t cost too much. And because it’s consistent, particularly in the wintertime, uh, electricity prices in Massachusetts in the surrounding area are really high. ’cause of the demand and ’cause how cold it is that this offshore wind project, vineyard wind would be a huge rate saving.

And [00:15:00] actually the math works out the math. Math everybody. Do you think this is, when we go back five years from now, look back at this. This vineyard wind project really makes sense for Massachusetts.

Yolanda Padron: I think it really makes sense for Massachusetts. I’m really interested to know what the asset managers are thinking on the vineyard wind side, um, and if they’re scared at all to take this on.

I mean, it’s great and I’m sure they can absolutely deliver. Like generation I don’t think should be an issue. Um. I just don’t know. It’s, it sounds like they’re leaving a lot of money on the table.

Allen H: I would say so, yeah. But remember, the vineyard win was one of the early, uh, agreements made when things were, this is pre Ukraine war, pre Iran conflict on a lot of other, a lot of other things.

It was pre, so I remember at the time when this was going on that. P. PA prices were higher than obviously a lot of other [00:16:00] things. Onshore solar, onshore wind, it would, offshore is always more expensive, but I don’t remember $69 popping up anywhere in any filing that I remember seeing. So even if they had said $69 five years ago, I think that would’ve still been like, wow, that’s pretty good for an offshore wind project.

And now it looks fantastic for the state of Massachusetts

Yolanda Padron: because I know that there’s sometimes, and we’ve talked about this in the past, right? There are sometimes projects where, you know, you think you, you’ve got a really good price and you’re really excited about it, and then it goes into operation and then like a couple years down the road, prices increase quite a bit and it’s not the worst thing in the world.

But you do just kind of think a little bit like, I wish I could. Renegotiate this or you know, just to get, to get our team a bit of a better deal or to get a bit more money in operations and everything.

Allen H: Does this play into Vineyard wind claiming $850 [00:17:00] million in dispute with GE Renova that at $69 PPA, there’s not a lot of profit at the end of this and need to get the money out of GE Renova right now, and maybe why GE Renova wants to get out of this because they realize.

The conflict that is coming that they need to separate the, the themselves from this project. It’s, it’s very, as an asset manager, Yoland, as you have done this in the past, would you be concerned about the viability of the project going forward, or is all the upfront costs. Pretty much done in that operationally year to year.

It’s, it’s not that big of a deal.

Yolanda Padron: As an asset manager taking this on, I’d probably have started preparation on this project a lot earlier than other of my projects like I do. I know that usually there’s, you know, we’ve talked about the different teams, right, throughout the stages of the project until it goes into operations, [00:18:00] but.

And usually you don’t have a lot of time to prepare to, to make sure all of your i’s are dotted and t’s are crossed, um, by the time you take the project and operations from a commercial standpoint. But this project, I think would absolutely, like you, you would need to make sure that a lot of the, of the things that you’re, that might be issues for some of your projects like aren’t issues for this project.

Just to make sure at least the first few years you can. You can avoid a lot of, a lot of turmoil that the pricing and the disputes and the technical issues are gonna cause you, because I feel like it’s just, there’s, there’s just so many things that just keep this side, just keeps on getting hit, you know?

Allen H: Well, I, I guess the question is from my side, Yolanda, is obviously inflation, when this project started was pretty consistent, like one point half, 2%. It was very flat for a long time. And interest rates, if you remember when this project started, were very, very low. Almost [00:19:00] nonexistent, some interest rates.

Now that’s hugely different. How does a contract get set up where a vineyard can’t raise prices? It would just seem to me like you would have to tie some of the price increase to whatever the inflation rate is for the country, maybe even locally, so that if there were a, a war in Ukraine or some conflict in the Middle East.

That you, you would at least be able to, to generate some revenue out of this project because at some point it becomes untenable, right? You just can’t afford to operate it anymore. And,

Yolanda Padron: and I think, um, I, I haven’t, I obviously haven’t read the, the contracts themselves, but I know that there’s sometimes there, it’s pretty common for a PPA to have some sort of step up year by year.

And it’s usually, it can be tied to, um, the CPI for. Like the, the change in CPI for the year to year. So you’re [00:20:00] absolutely like, right, like maybe, I mean, hopefully they’re, they’re not just tied to the fixed 69 bucks per megawatt hour. Um, but, but yeah, to, to your point like that, that price increase could, could really save them.

Now that we’re, we’re talking the, the increase in, in inflation right now and foreseeable future,

Allen H: if you think about what electricity rates are up in the northeast. I think I was paying 30 cents a kilowatt hour, which is 300. Does that sound right? $300 a megawatt hour. Delivered at the house, something like that.

Right? So

Yolanda Padron: prices in the northeast are crazy to me,

Allen H: right? They’re like double what they are in North Carolina. Yeah.

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Yolanda Padron: you millions.

Allen H: Well, sometimes building a wind farm turns out more than expected construction workers at a 19 turbine wind project in lower Saxony Germany under Earth. What experts call the largest Bronze age Amber Horde ever found? The region, the very first scoop of an excavator brought up bronze and amber artifacts that stopped construction and brought archeologists back to the site.

Uh, the hoard has been dated between [00:22:00] 1500 and 1300 DCE and is believed to have belonged to at least three. Status women possibly buried as a religious offering. Now as we push further and further across Germany with wind turbines and solar panels for, for that matter, uh, we’re coming across older sites, uh, older pieces of ground that haven’t been touched in a long time and we’re, we’re gonna find more and more, uh, historically significant things buried in the soil.

What is the obligation? Of the constructor of this project and maybe across Europe. I, I would assume in the United States too, if we came across something that old and America’s just not that old to, to have anything of, of that kind of, um, maybe value or historically significant. What is the process here?

Rosemary Barnes: I assume that they’ve gotta stop, stop work. Um, yeah, that’s my, my understanding and I don’t think, do you have [00:23:00] grand designs in America?

Allen H: I don’t know what that is. Yes.

Rosemary Barnes: So missing out by not having that chat. It’s a TV show about people who are building houses or doing, um, ambitious renovations, and it just, it follows, it follows them.

You can learn a lot about project management or. The consequences if you decide that you don’t need to, project management isn’t a thing that you need to do. Um, anyway. I’m sure that in some of those ones I’ve seen they have had work stop because in their excavation they found a, um, yeah, some, some kind of relic, um, from the, from the past.

So based on that very well-credentialed experience that I have, I can confidently say that they would be stopping stopping work on that site. I mean, it’s so bad, bad for the developer, I guess, but it’s cool, right? That they’re, you know, uncovering, uh, new archeology and we can learn more about, you know, people that lived thousands of years ago.

Allen H: It, it does seem [00:24:00] like, obviously. Do push into places where humans have lived for thousands of years. We’re going to stumble across these things. Does that mean from a project standpoint, there’s, there’s some sort of financial consequence, like does the lower Saxony government contribute to the wind turbine fund to to pay the workers for a while?

’cause it seems like if they’re gonna do an archeological dig. That that’s gonna take months at a minimum, may, maybe not, but it usually, having watched these things go on it, it’s. It’s long.

Rosemary Barnes: But wouldn’t that be something that you’d have insurance for?

Allen H: Oh, maybe that’s it.

Rosemary Barnes: You know, it seems to me like an insurable, an insurable thing, like not so hard to, it would’ve affected plenty of other, like any project that involves excavation in Europe would come with a risk of, um, finding Yeah.

An archeological find. And having work stopped, I would assume.

Allen H: Yolanda, how does that work in the United States do, is there some insurance policy towards finding [00:25:00] a. Ancient burial ground and what happens to your project?

Yolanda Padron: I don’t know. I, um, the most I’ve heard has been, it’s just talking to like the government and like the local government and making sure that you have all your permits in place and making sure, you know, you might need to, to have certain studies so you know, you might not have to get rid of the whole wind farm or remove the hole wind farm, but at least a section.

Of it has to be displaced from what you originally had thought. I don’t know. I know it happens a lot in Mexico where you get a lot of changes to construction plans because you find historical artifacts or obviously not everybody does this, but like. Tales of construction workers who will like, find, they’re so jaded from finding historical artifacts that they just kind of like take and then dump them to the next plot over to not deal with it right now.

Not that it’s anything ethical, uh, or done by everybody, [00:26:00] uh, but it’s, but, but it’s a common occurrence, a relatively common occurrence.

Allen H: You would think it where a lot of wind turbines are in the United States, which is mostly Texas and kind of that. Midwest, uh, wind corridor that they would’ve stumbled across something somewhere.

But I did just a quick search. I really hadn’t found anything that there wasn’t like a Native American burial ground or something of that sort, which they previously knew. For the most part. It’s, so, it’s rare that, that you find something significant besides, well, maybe used some woolly mammoths tusks or something of that sort.

Uh, in the Midwest, it’s, it’s, so, it’s an odd thing, but is there a. A finder’s fee? Like do does the wind company get to take some of the proceeds of, of this? Trove of jewelry.

Rosemary Barnes: I, I would be highly surprised.

Allen H: Well, how does that work then? Rosemary?

Rosemary Barnes: I’d be highly surprised if that’s the case in Europe. I bet it would happen like that in America.

Allen H: Sounds like pirate bounty in a sense.

Rosemary Barnes: In, in Australia it wouldn’t be like that because [00:27:00]you, when you own land, you don’t actually. You, you own the right to do things from surface level and above, basically. I don’t know how excavation works. So you don’t generally have a a right to anything you find like that?

I mean, you shouldn’t either. It’s not, it’s not yours. It’s a, it belongs to the, I don’t know, the people that, that were buried. When you then to the, the land, like, I guess. The government in some way. I mean, in Australia it’s, um, like we don’t have so many archeological fines that you would find from digging.

I mean, it’s not that there’s none, but there’s not so many like that. But it is pretty common that, you know, there are special trees, um, you know, some old trees that predate, uh, white people arriving in Australia. And, um, you know, that have been used for, you know, like it might have a, a shield that’s been, um.

Carved out of it. Or, uh, hunting. Hunting things, ceremonial things, baskets, canoes, canoe like things, stuff like that. They call ’em a scar [00:28:00] tree ’cause they would cut it out of a living, living tree. And you know, so when you see a tree with those scars and that’s got, um, cultural significance. There’s also, you know, just trees that were, um.

That that was significant for cultural reasons and so you wouldn’t be able to cut down those trees if you were building any, doing any kind of development in Australia and a wind farm would be no different. I know that they are, there are guidelines for, if you do come across any kind of thing like that or you find any anything of cultural significance, then you have to report it and hopefully you don’t just move it onto the neighboring property.

Allen H: I know one of the things about watching, um. Some crazy Canadian shows is that. Uh, you have to have a Treasure Hunter’s license in Canada. So if you’re involved in that process, like you can’t dig, you can’t shovel things, only certain people can shovel. ’cause if they were to find something of value, you.

You’ll get taxed on it. So there’s just a lot of rules [00:29:00] about it. Even in Canada,

Rosemary Barnes: if I was an indigenous Australian and you know, some Europe person of European descent came and found some artifacts, uh, aboriginal. Artifacts. I would be pissed if they just took it and sold it. Like that’s just clearly inappropriate right.

To, to do that. So you, I don’t think it should be a free for all. If you find artifacts of cultural significance and you just, it’s, you find its keepers that, that doesn’t sound right to me at all.

Allen H: Can we talk about King Charles II’s visit to the United States for a brief moment?

Uh, he is a really good ambassador, just like, uh, the queen was forever. He’s, he does take it very seriously and the way that he interacted with the US delegation was remarkable at times in, in terms of knowing how to deal with somebody that there’s a war going on right now. So there’s a lot [00:30:00] happening in the United States that, uh, not only could it be.

Uh, respecting both sides of the UK and the United States’ position in a, in a number of different areas, but at the same time being humorous, trying to build bridges. Uh, king Charles, uh, had the scotch whiskey tariffs removed just by negotiating with President Trump, and sometimes that’s what it takes.

It’s a little bit of, uh. Being a good ambassador.

Allen H: Yeah. The very polished you would expect that. Right? But this is the first visit of. The king to the United States, I believe. ’cause he, he’s been obviously as a prince many, many, many times to the United States. [00:31:00]But this time as, as a, the representative of the country, the former representative or head of the country, which was unique.

I think he did a really good job. And I wish he, they would’ve talked about offshore wind. Maybe he could’ve calmed down the administration on offshore wind.

Rosemary Barnes: I bet that’s one of the, the goals. I mean, that’s an industry that’s important to. So

Allen H: I wonder if that happened actually. ’cause that’s not gonna be reported in, in the news, but how the UK is going on its own way in terms of electrification and I guarantee offshore wind had to come up it.

Although I have been not seen any article about it, I, I find it hard to believe that King Charles being the environmentalist that he is, and a proponent of offshore wind for a long time. Didn’t bring it up and try to mend some fences.

Rosemary Barnes: Maybe he’s playing the long game though. I mean, Trump is pretty, he’s transactional, but he also, you know, he has people that he really likes and you know, will act in their interests.

So maybe it’s enough to just be [00:32:00] really liked by Trump, and then that’s the smartest way you can go about it.

Allen H: Did you see the gift that King Charles presented to, uh, the US this past week?

It was a be from, uh, world War II submarine, which was the British, I dunno what the British called their submarines, but it was, the name of it was Trump. So they had the bell from. The submarine when it had been commissioned and they, they gave that to the United States, or give to the president. It goes to the United States.

The president doesn’t get to keep those things, but it was such a smart, it’s a great president. It’s such a smart gift, and somebody had to think about it and the king had to deliver it in a way that got rid of all the noise between the United States and the uk. Brought it back to, Hey, we have a lot in common [00:33:00] here.

We shouldn’t be bickering as much as we are. And I thought that was a really smart, tactful, sensible way to try to men some fences. That was really good. That wraps up another episode of the Uptime Wind Energy Podcast. If today’s discussion sparked any questions or ideas, we’d love to hear from you. Reach out to us on LinkedIn.

Don’t forget to subscribe, so you never miss this episode. And if you found value in today’s conversation, please leave us a review. It really helps other wind energy professionals discover the show. For Rosie and Yolanda, I’m Allen Hall and we with. See you’re here next week on the Uptime Wind Energy Podcast.

Vineyard Wind’s $69.50 PPA, Two Offshore Lease Exits

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