Affordable Battery Storage: Challenges & Opportunities for

the Evolving Grid

Keera Single

Strategic Account Manager

June 42015

We make solar simple and energy smart.

The Enphase Promise

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Enphase from Start-Up to #1

Enphase listed on

NASDAQ under

symbol ENPH

First microinverter

system introduced

7.2 million units

shipped, representing

over 1GW Founded by

Raghu Belur and

Martin Fornage

in California

1 million units shipped,

Enphase expands globally

Fourth-generation

technology introduced

Fifth-generation

technology announced

2006 2007 2008 ~ 2011 2012 2013 2014

Enphase Technology

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Residential Solutions

Storage Challenges

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Centralised Architecture Solution

Off-Grid

Inverter

DC

Load

Center

AC

Load

Center

Load Center

Utility

Meter

Load

String

Inverter

Charge

Controller

Series/Parallel PV Array Series/Parallel PV Array

Series/Parallel Battery Bank

48 VDC/60A

Load Controllers

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Distributed Architecture Solution

Load

Load Controllers

Load Center

Utility Meter

Distributed PV (AC Module)

PV System

Managed by Enlighten

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Distributed Architecture Solution

Engage Cable

Load

Load Controllers

Load Center

Utility Meter

Distributed PV (AC Module) and Distributed Storage (AC Battery)

Managed by Enlighten

Energy Storage System

PV System

Managed by Enlighten

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Storage as an app

Platform for energy system

• Solar is an app

• Storage is an app

• Zero Export is an app

• Capable of adapting over

time

Utilising:

• End point monitoring

• Controllability

• Power conversion

What other apps could we

develop?

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AC Battery

• Plug & Play

• Easy 1 person install

• 275W, 550W

• 1.2kWh

• Estimated 10-year

battery life

• ELIIY Power LiFePO4

prismatic cells

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Residential Solutions

Affordable Storage

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Affordability Challenge

“Tell ‘em the price, son” Little Do’er Carpets

① Cost of chemistry

② Cost of power conversion

③ Cost of installation

④ Cost of integration & control

Rightsizing vs One Size Fits All

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Affordability – Chemistry

• EV market is driving down cost

• Looks just like VC money in PV market

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Affordability – Power Conversion

Leverages Enphase’s core competency – The ability to produce the most

reliable, high volume, high performance, managed power electronic systems

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Affordability – Installation

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Affordability – Integration

Envoy-S

• Powerline communications

between devices

• Energy consumption & solar

production

• Wifi & Ethernet for reliable

networking, cellular optional

• Revenue grade metering

• Control for Zero Export

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Affordability – Integration

Seamless Integration

Enlighten

• Energy consumption & solar

production

• Control dashboard for energy

management

• Adaptive system learns how to

optimise usage & savings over

time

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Modularity & Expandability

• Scalable in 1.2kWh blocks

• AC is the USB of electricity

The Evolving Grid

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Leadership in Monitoring

Continuous feedback from 250,000 systems actively monitored in 80 countries

Approximately 1 terabyte per day

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High Penetration of PV in Hawaii

Voltage issues due to high PV penetration

HECO estimated tens of millions of dollars to reprogram

• Identified 25,000 sites

• 6 months in planning

• 800,000 microinverters

• 1 week rollout

• 0 truck rolls

Allowed more solar

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The Need for Smart Energy

Smart Solar

Smart Storage

Smart Energy

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| © 2015 Enphase Energy, Inc. | CONFIDENTIAL | For internal use only 29

More smart energy =

More Reliable and More Efficient Grid

29

RE - Barnacle or the Brains of the Grid

OR

Adaptable Controllable Hyper

connected

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METRIC CENTRALISED ENPHASE

Performance Lower production and conversion

efficiency

Maximize output of each PV and

storage module

Reliability Multiple single points of failure No single point of failure

Price Many expensive components Fewer components; common

microinverter for PV and battery

Simplicity Complex design and installation Simple design; Plug and play

Safety Broad distribution of high voltage

DC; thermal runaway of batteries

Traditional AC wiring;

management of thermal runaway

Scalability Limited by battery and inverter

size

Incrementally expandable; mix

and match batteries

Comparison of Storage Solutions