ricardo presentation to ukti event bilbao 28 02_2012 final

www.ricardo.com

© Ricardo plc 2012

Ricardo plc

Presentation to UKTI - Offshore Wind & Marine Energy Workshop

“Introduction to Ricardo Design and Innovation Capabilities”

28th February 2012

© Ricardo plc 2012 2

Company

Established in 1915 and independent

£196.5 million revenue (FY 10/11), up 21%

£162.8 million revenue (FY 09/10)

More than 1.600 employees with more than 1.300

technically qualified and engineering staff

Global presence in 16 locations

Positioning

Global Presence

Ricardo Overview Ricardo delivers world class strategy, engineering and technology programmes to the global

automotive, transportation, defence and energy industries

Ricardo supports

the full Clean

Energy systems

product lifecycle


Three dimensional Ricardo Core Business Model Market Sectors provide domain expertise and ensure relevance, Product Groups provide deep

content technology and delivery from world class global engineering teams based around the globe


CHP

Engineering

Ricardo provides technical and strategic support to project delivery

across all major Clean Energy technical sectors

RICARDO

Solar Energy

Systems

Wind Energy

Systems

Marine Energy

Engineering

Energy Storage

Fuel Cell

Engineering

Strategic

Consulting

22© Ricardo plc 2008RD.08/12354.1

China (6GW)

*India

(8GW)

*

Japan

*Taiwan*

South

Korea*

ASIA (1

6GW)

Due to the difference in market penetration, it is important to

manufacturers to be first movers with large projects there

Long-term these markets will

eventually pick up

Upward pressure on WTG and

O&M service prices due to

demand-supply mismatch.

Sweden is considered to be

investment grade country with

double digit growth driven by

political will

SKAB can profit from supplier’s

experience curve effects having

installed WTG in similar

topographies

Time

Ins

tall

ed

ca

pa

cit

y v

s.

Tec

hn

ica

l w

ind

po

ten

tial

Embryonic Mature

SKAB’s

implications

Market

situation

Wind market categorisation, 2007

*Egypt

Marocco*Iran*

AFRICA & MIDDLE EAST

(0,5GW)

Italy

*

Germany

(22GW)*

Denmark

(3GW)*

Spain

(15GW)*

* France*

UK (2GW)*

Netherlands*

Sweden

(0,7GW)

Greece*Rest of Europe*

Portugal*

Ireland*

Austria*

Norway*Belgium*

Poland*

EUROPE

(57GW)

Source: Ricardo Research, F&S 2007, GWEC 2008

USA

(16GW)*Canada

(2GW)*

NORTH AMERICA

(18GW)

Growing

Due to experience, the service

market is more competitive (OEM

service provider, ISPs, in-house

service departments)

Some mature markets already

display scarcity of good wind sites

Competition is heating up for

available manufacturer capacity

Shortfall of supply for essential

components, technology issues

Market characterized by high

growth rates, coming from a

low basis

BEFORE FINANCIAL

CRISIS IMPACT

Wind Power references

28© Ricardo plc 2008RD.08/12354.1

845

849

1146

912 1300

1200

30

5

30

7

27

5

50

0

80

0

1025

982

2729

80 1088

1100

1100

1121

1210

1217

1250

1262

1289

1300

1302 1573 1800

2000

DE

N

ME

X

GR

E

NE

D

US

A

JP

N

NO

R

ES

P

UK

GE

R

PO

R

CH

CA

N

ITA

IRE

Regional price differences can be significant mainly due to different

cost for total project development and technical solutions

100 100 100

30 30

55

Regional price differences [€/kW] Comments

BEFORE FINANCIAL

CRISIS IMPACT

Turbine versus project and TCO costs

Source: Ricardo estimation

Turbine system costs generally include nacelle, tower,

rotor blades, internal electrical system, transport and

erection (100%)

Project costs generally include costs for the turbine

system plus land & land development, foundation &

civil works, electrical connection, control systems,

consultancy and finance (+ appr. 30%)

Total costs of ownership (TCO) include project costs

plus operations and maintenance over the lifecycle

time (+ appr. 55%)

% of turbine

system costs

Turbine

system

(ex. Works)

Project

costs

Total cost

of ownership

(TCO)

100%

~130%

~185%

O&M

Project

development

Turbine

system

€/kW

Source: IEA, 2006 & 2007

Project costs or add. project costs

Turbine system

The average total cost per kW of installed wind power

capacity differs between countries up to 100% due to

significant cost differences for project development

and application of different technologies

The cost per installed wind power typically varies from

around 1000 €/kW (DEN) to 2000 €/kW (IRE) and

averages at 1300 €/kW

Turbine system costs varies between 850 €/kW (DEN

& USA) and 1300 €/kW (ITA) and averages at 1000

€/kW

Few numbers have been reported for Sweden

Wind Power references


Commercially - Ricardo’s Market strength can help clients develop

export products and overseas customer links and facilities

Ricardo can help customers by:

Promoting overseas links to key business

contacts for export sales

Assistance in developing links in other markets,

e.g. new European Offshore Wind markets

Technical centre support and assistance to set-

up facilities and provide interim office space

Supply chain development and management

Support to gain public sector funding

Links to testing facilities and management

Support to obtain certification (GL, DNV, TUV)

required for bank financing / warranties

Ricardo are already doing this for major

wind turbine manufacturers


Technically - Ricardo’s strength in engineering and innovation can

help customers develop advanced products for the global market

Ricardo can help companies by:

Helping manufacturers develop their “own

designs” rather than rely on licencing

Design technology advantages (performance,

mass reduction and reliability) into new and

next-generation products

Driving down the Cost of Energy through

reliability, performance and life-cycle

engineering and innovation improvements

Analysing “through-life” performance and

identifying improvement areas

Ricardo are already doing this for major

wind and marine energy manufacturers

and drivetrain suppliers in many regions Jon Wheals 2010

Accumulators

Four 2.5MW Generators

1:20 Compound

Epicyclic

Variable Ratio Stage

“Torque Only” coupling

10MW Variable Ratio Driveline

1:125 +/- 5%

Jon Wheals 2010

Accumulators


1:20 Compound

Epicyclic




1:125 +/- 5%

Jon Wheals 2010

Accumulators


1:20 Compound

Epicyclic




1:125 +/- 5%

3.5MW 3-stage epicyclic gearbox (lower

mass, higher reliability)

10MW variable ratio split-path drivetrain

(lower mass, higher reliability)


Ricardo drivetrain development process and Ricardo software, can

include client participation, software licencing and training.

• Generate time

series/LDD for client

turbine design

• Verification of

client supplied time

series/LDD data


Drivetrain Design Approach

Design Optimisation Examples

Design

Space

Topology

Optimisation

Detail

Design

Ricardo has extensive experience of structural design

optimisation applied across many disciplines:

Wind Turbine Gearbox Housing

– 33% improvement in weight for a given stiffness

– Improvement used to achieve greater stiffness -

Housing deflection reduced by 42% with only 7%

increase in component mass

– Factors of safety against extreme loading

maintained

– Complete turnkey task achieved including, design

analysis, models, drawings and reports in 7 weeks

Carrier intelligent design

– Topology optimisation combined with design for

manufacture and assembly gives Ricardo more

novel solutions with significantly reduced weight

– Example of a cast iron design with an original

design weighing 2350kg. This was redesigned with

a 3% reduction in torsional stiffness and weight

reduced to 1600kg – a saving of 750kg or 32%.

Design Optimisation Process


Ricardo can apply leading edge Design for Manufacture processes to reduce both production and

warranty cost

Design for Manufacture and Assembly (DFMA)

– Alternative process selection

– Process complexity reduction

– Product simplification and design for serviceability

– Part count/cost reduction

– Assembly/Service complexity reduction

– Virtual build in 3D CAD to optimise design for assembly

Benefits of application in Design Phase:

– Reduced risk of manufacturing/assembly issues

– Improved confidence in ‘right first time’ design

– Improved serviceability/in nacelle maintenance

– Reduced warranty

Drivetrain / Power Take-Off Design Approach

Design for Manufacture, Assembly and Maintenance/Service

Design for Maintenance/Service

– Reliability prediction to identify key features for maintenance

e.g. Access to planet gears and flex pins for ease of replacement

– Consideration of nacelle handling facilities and space

– Consideration of design features and tools to support the ‘in nacelle’

environment


RSC procurement support of 120 wind turbines with a total invest of

mio€ ~310 for WTG + O&M saved the client more than mio€ 60

Approach

Ricardo managed the whole procurement process

Ricardo Six-step Approach to Procurement applied

– Detailed supplier market analysis

– Evaluation of technology along product life cycle

Definition of the client requirements

– Make or buy analysis along value-chain

– Technical and commercial requirements

Definition of RfQ, negotiation strategy, supplier

nomination, negotiations, factory inspections

Ricardo led supplier negotiations/selection

Situation and objective

Utility client with ambitious plans in wind energy and

secured finance backing from own balance sheet

Determined to utilise the financial downturn for

procurement of large number of wind turbines

Client has little experience in procurement of wind

turbines and the quality track records and cost levels

for larger turbines (2-3 MW)

Objective of the project was to procure 118 onshore

wind turbines rapidly at the right cost and with lowest

operational life cycle risk

Good transparency of the supplier market with

strengths and weaknesses by key player & market

Simple RFQ with functional specifications: 16

suppliers invited, 13 offers received from well

balanced mix of tenderers (low cost & high value;

direct drive & conventional; US, European & Asian)

Four selection gates with 30%+ secured price

reductions for WTG and O&M before 2nd gate

Duration of the total 3-phase project: ~12 months

Total savings from 1st offer to final contract: mio€ 60+

Results and benefits

Procurement scope

– Turbines,

O&M, Project

development

– Turbine size?

– Technology?

Business case

Financing (EU

subsidies?)

Project & milestone

planning

Clarification of

readiness for project

implementation

– Permissions

– Location

selection

– Grid

connectivity

Supplier market

structure analysis

– Developers

– Manufacturer

– 1./2.-tier

suppliers

Supplier analysis:

Strengths, weak-

nesses, opportuni-ties

& threats of each

supplier (SWOT)

Price analysis (price

benchmark-ing for

wind farms)

Cost analysis

– breakdown on

compon.

– Total cost of

ownership

Develop procure-

ment strategy

Detailed analysis of

demand side

– Technical spec.

– Commercial

spec.

Create long list of pot.

suppliers

Decide on selection

criteria

Prepare request for

quotes (RFQ)

Ensure compliance

with legal

requirements

Send out RFQs

Draft frame contract

Collect quotes

Analyse offers

– Price

– Quality

Integrate offers into

databases

Generate short list

Schedule first round

of negotiations with

short listed

candidates

Develop negotiation

strategy (e.g. cadence

strategy)

1st round of

negotiations

Assessment

2nd round of neg.

On site excursion of

supplier facilities

Decision about

preferred supplier(s)

3rd and final

negotiation with

preferred supplier(s)

– Price & payment

– Delivery

schedule

– Frame contract

– O&M

– Service parts

Project implementation

management

– Project office

– Issue manage-

ment

– etc.

Interface management

– Investor

– Grid operator

– Contractors

– Authorities

– etc.

Project & supplier

performance tracking

Supplier management

Budget/cost controlling

Activities

Six Step Approach to Procurement

Supplier

Market

Analysis

Baseline

Definition

Preparation

of

RFQ

Analysis of

Quotes

Negotiation

s

Implemen-

tation

Clear project scope

Infrastructural &

commercial

prerequisites clarified

Supplier market

transparency

Basic price- and cost

transparency

Proc. Strategy

Selection criteria

Supplier long list

RFQ finalised

Short list of suppliers

Negotiation schedule

Preferred supplier

selected

Frame contract signed

Successful,

in-time project

implementation Results

Generator Gearbox

Control system Converter

Case Study C

S: 164


Case Study – 1.5MW WT drivetrain upgrade

Ricardo role

Ricardo undertook design review of the overall

drivetrain architecture and completed a concept

design for a new layout

Ricardo completed detailed re-design and analysis

of the main frame, main shaft and bearing systems

Ricardo liaised with the suppliers and teams

responsible for hub, pitch system, loads and control,

gearbox and generator to ensure a well-integrated

overall drivetrain solution


Long-established WT manufacturer

Existing MW scale turbine already in production

Potential for uprate identified by manufacturer

Larger rotor and improved pitch control also to be

implemented as part of overall upgrade for:

– Improved load control

– Higher power production capability

New drivetrain layout delivered with optimised

structure and weight

Turbine uprate is being enabled within the weight

target required, to enable the uprated design to be

installed with the same equipment as the original

design


http://pcj.typepad.com/photos/uncategorized/2007/07/17/co_lamar_wind_wideview1.jpg


Case Study – Concept and Detailed Design of 1MW Tidal Turbine

Ricardo role

Detailed CFD analysis for commercial demonstrator

including flow assessment of blades and Venturi and

linked to generator model for load/speed balance

Major loading input and boundary conditions

predicted to simulate components operating within

complete turbine system

FE Analysis of steel and composite structure

including lifting frames for moving 1MW tidal turbine

components during manufacture


Device development plan required for scale-up and

full size commercial demonstrator

Design support for concept layout, configuration and

design of 1MW turbine

Detailed flow assessment of complete turbine unit

with individual models for blade design to optimise

hydrodynamic development and durability

Complete turbine model to assess manufacturing

process (12 major lift operations planned) and sea

base structural loading and deformation

Concept optimisation of blade number, blockage and

profile to achieve target performance

Identified concerns over Venturi and improved

design implemented for commercial demonstrator

Ricardo developed concept for hybrid blade design

allowing manufacturing flexibility whilst retaining the

blade structural benefits of composite materials

Fatigue life prediction for frame using Ricardo

FEARCE software – showed base structure

performance acceptable for deployment



Case Study – 15MW Wind Turbine Drivetrain Test-rig Development

Ricardo role

Ricardo undertook concept design of gearbox for the

testrig including application of advanced simulation

tools to ensure robust design of core rig component

Ricardo supported definition of rig performance

envelope to maximise potential applications within

development cycle

Ricardo defined the requirements for the installation,

commissioning and operation of the test-rig with the

prototype hardware installed


Design and development drivetrain testrig with

partners for testing offshore WTG drivetrain under

highly dynamic operating conditions

Development of operational and test strategy for

incorporation of advanced test facilities in the WTG

development cycle

Current status is definitive design phase of rig

completed ready to progress to detailed design and

procurement of long lead hardware

Ricardo provided support for engineering wind

industry requirements and test and development

application into the design of the testrig ensuring the

rig would be able to meet current and future

requirements and represent value in the engineering

process

Combined approach with Ricardo integrated into

programme provided key application and operational

experience



Schematic of detailed CoE Model developed by Ricardo to guide &

prioritise turbine design innovation activities

Power Curve

Wind Weibull

Distribution

Annual energy

production

Capacity

factor

Total

Downtime

Availability

Scale and

form factors

Power

Coefficient:

components

efficiencies

Scheduled

O&M Unscheduled

O&M

Initial Capital

Costs

Machine rating

Rotor Radius

Hub height Failure rates

Downtimes Labour,

equipment needs

Occurrences

Consumables

needs

Total O&M

Costs

Annual

Levelized

Total costs

Levelized Cost

of Energy

Economic

lifetime

Interest rate

Rotor

Drive train,

Nacelle

Electrical system

Control system

+ monitoring

Tower

Balance of

station

15.5

12.5

8.8

12.5

2

3.5

7

4.5

10

0.5

4.5

2.5

3

1.5

13

-15

-10.5

-7.5

-15.5

-2

-4

-4.5

-7

-6

-1

-3

-3

-2

-0.5

-7.5

-20 -15 -10 -5 0 5 10 15 20

Converter

Generator

Rest of the Power Module…

Pitch system

Blades

Rest of the Rotor Module…

Control system

Rest of the Control Module…

Yaw System

Rest of the Nacelle

Gearbox

Tower

Rest of the Structural Module…

Other & Unknown

Downtime Failure rates

0

200000

400000

600000

800000

1000000

1200000

1400000

1600000

5000000 7000000 9000000 11000000 13000000 15000000

ICC

/a +

O&

M/a

€

Annual Energy production (kWh/yr)

13 c€/kWh

8 c€/kWh

7 c€/kWh

6 c€/kWh

5 c€/kWh

4 c€/kWh

3 c€/kWh

COE Offshore

Improved COE

Wind distributions

0

0.01

0.02

0.03

0.04

0.05

0.06

0.07

0.08

0.09

0.1

0 5 10 15 20 25 30

%

Wind speed

Wind Weibull distribution %

0

100

200

300

400

500

600

700

800

900

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

Hour

s / yr

Wind speed

Wind Weibull distribution in hrs

0

0.5

1

1.5

2

2.5

3

3.5

0 5 10 15 20 25 30

Powe

r MW

Wind speed

WT Power curve

0

200

400

600

800

1000

1200

1400

1600

1800

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

Ene

rgy

MW

h/y

r

wind speed m/s

Energy MWh/yr


Drivetrain innovation is a key focus area, but today drivetrain

architectures vary widely, with different advantages & challenges.

Source: Ricardo Analysis; Aerodyn IQPC 2010 Paper; BHO 2011 DWOW Paper

E.g. Hybrid

and Torque

Converters

E.g. Fully

Geared and

Gearless


Variable ratio and hybrid

drivetrain solutions Torque de-coupling

Load sharing and

bearing innovation

Torque truncation

Advanced condition

monitoring systems

with prediction of

remaining useful life

Advanced lubrication

systems

CoE factor

Influence of Drivetrain Technology

Onshore Offshore

Installed cost High Med High

Design life High High

O&M costs High V High

Turbine

availability

Med High V High

Power curve Med Med

Ricardo believes Wind Energy sector can benefit from innovative

“modular solutions” applicable to wide range of wind drivetrains


MultiLife History - Development Chronology, Support, Events, IPR

2012 2011 2010 2009 2008 2013 2014

Patent 1 Patent 2 Patent 3

NWIP Project

Gen1

Gen3 Design and Prototype

Turbine 1

Y/N ?

SOP

Rig Test MultiLife Indexing Device (Gen3)

../../Carbon Trust London 18 Feb 2011/00101920.mpg


In summary, Ricardo is ideally placed to address the Clean Energy

technology and market objectives over the short and long-term

Ricardo has a tremendous track record of delivering innovation

and product development from successful projects across a

the Automotive, Defence and Clean Energy sectors.

Customers can benefit from our ability to support the complete

product development process and operational life-cycle:

RICARDO

Detailed understanding of the market challenges, policy

drivers and opportunities focussed on customer requirements

Engineering and innovation to drive down the Cost of Energy

through reliability, performance and life-cycle improvements

Fast identification of engineering solutions, including “blue-

skies” thinking where necessary

Acceleration of technology development, cost reduction and

delivery programmes of new and next-generation products

Support to improve production processes, including design for

manufacture, assembly and quality control

“Through-life” performance improvement, analysis and testing,

including full test programme and rig design

Ricardo supports

the full clean

energy systems

product lifecycle


Contact Details

Paul Jordan Market Sector Director - Clean Energy & Power Generation

Mobile: +44 (0)7801 973 049

Phone: +44 (0)1926 477 676

Fax: +44 (0)1926 319 300

[email protected]

www.ricardo.com

Ricardo UK Ltd

Southam Road, Radford Semele

Leamington Spa

Warwickshire CV31 1FQ, UK