Where we are now … ~ Wind Energy in Prince Edward Island

~ Wind Energy in Prince Edward Island ~When we started with wind back in the early 1980’s …• PEI was 100% dependant on fossil fuels for electric powergeneration;• The energy crisis of the early 1970’s was a distant memory;• Wind power was a fringe technology;• Total installed wind capacity in PEI was less than 500 kW;• A 65 kW wind turbine was a “large” turbine;• Concepts of climate change and globalwarming were considered science fiction;• Wind power was generally dismissed astoo expensive for commercial scale viability.

~ Wind Energy in Prince Edward Island ~Where we have been along the way …• PEI based enterprises have been at the forefront of :• Wind turbine testing and certification;• Wind resource assessment and modeling;• Small wind turbine design and manufacturing;• Commercial wind farm development;• Wind project regulatory approval and financing;• Community driven/opposed wind projects;• Wind projects in northern Canada and Alaska.• We have seen what works and what doesn’t work.• We have learned from our successes and our failures.• We have developed world class capability and expertise.• We have benefited from commercial scale wind powerdevelopment .

~ Wind Energy in Prince Edward Island ~Where we are now …• PEI gets 18% of its electric power from wind turbines;• Wind power is mainstream technology;• A 3 MW wind turbine is a common sized unit;• Total installed wind capacity in PEI is 164 MW’s;• Private developers now generate111 MW’s of wind power inPEI with 100 MW’s targeted for export;• The reality of climate change is upon us;• Looking to the future … and energystorage is a key component of a highpenetration renewable energy strategy.

~ Wind Energy in Prince Edward Island ~Where we are now …• PEI Wind-Hydrogen Village Project

~ Wind Energy in Prince Edward Island ~Where we are now …• PEI Wind-Hydrogen Village Project• Emphasis on safety from system design to system operation• High penetration wind power application• Variety of types and sizes of small wind turbines for up to 250 kW totalavailable capacity• Advanced controls system – safety controller, WPC, HPC, SCADA• Unique power delivery system (zero harmonics power supply)• Uni-polar electrolyser – 66 Ncmh/hr @ 300 kW• Two-stage CompAir compressors with 250 psig output capacity• Xebec twin tower regenerative dryer• Total combined hydrogen storage capacity of ~ 500 kg at 250 psig• 130 kW bi-fuel hydrogen/diesel genset

~ Wind Energy in Prince Edward Island ~Where we are now …• PEI Wind-Hydrogen Village ProjectWaterTreatmentControlRoomPowerSupplyElectrolyzerGasControlPanelGasHolderCompressorsGensetCoolersStorage

~ Wind Energy in Prince Edward Island ~Where we are now …• PEI Wind-Hydrogen Village Project Proof of concept completed for all 3 modes of off-grid operation1. Bi-fuel hydrogen/diesel genset only – to power village2. Wind and bi-fuel genset – to power village3. Wind only – to power village and produce hydrogen Wind only operation sets the PEI Wind-Hydrogen Village apartfrom most other wind-hydrogen demonstration projects andpaves the way for high wind penetration systems in the North.

~ Wind Energy in Northern Canada ~Where we want to go … and where we are starting from.• Only a handful of demonstration projects in the last 25 yearsAll were expensiveMost have failed• Common problems on past projectsTechnology was not tested and proven for low temperature operationSingle turbine developments had no economy of scaleSmall projects made it easy for everyone to walk awayDevelopers did not engage local population in project planningand/or did not provide training in operation and maintenanceWind turbine manufacturers were poorly capitalizedThere were no allowances made for theoperating problems that inevitably arose• There is no reason to believe thatwind will not work in the NorthThe technology has improvedIt is working in Alaska

~ Wind Energy in Northern Canada ~Why we are interested in the North …• We have the experience and expertise to help make windwork in northern Canada;• We have assembled a team that can take a wind projectfrom concept to completion and also provide the training andsupport that will help to ensure that northern wind projectscan be operated and maintained for the long-term;• We have developed the technology that will be neededwhen the big question evolves from“should we go with wind?” … to“how much wind can we install?”… and that’s where wind-hydrogencomes into play.

~ Wind Energy in Northern Canada ~How to move forward …• There is consensus at all levels of government thatalternative energy sources are required for the North;• The PEI Energy Corporation has developed a SustainableEnergy Supply System that is designed to help northernutilities move toward medium and high penetration windenergy installations;• We want to assist northern Governments and their electricpower utilities with collaborative projects designed to dispelany lingering doubts about the potential for wind energy to besuccessful in the North;• We hope to see the Federal Government embrace the conceptof a Sustainable Energy Supply System for Canada’snorthern and remote communities … without their support andproject participation, it will be hard to move ahead.

~ Sustainable Energy Supply System ~Sustainable Energy Supply System – Conceptual Schematic

~ Sustainable Energy Supply System ~Wind-Hydrogen System Components – Conceptual Layout

~ Conclusions ~• Wind can work in northern Canada and we think we can help.• Hydrogen may be a key to long-term sustainable energy.• A journey of a 1,000 miles begins with the first step.Thank You!