ENERGY DNV GL Marine Renewables De-Risking Technologies, Insurance and Certification: The Certification Role Claudio Bittencourt Business Development Director Wave & Tidal Renewables Certification International Tidal Energy Summit 22nd-23rd November 2016 Novotel London West Hotel 1 SAFER, SMARTER, GREENER
Topics About DNV GL Certification definition and importance Marine renewables certification background Risk and risk-based Certification Elements of the risk-based certification Technology Qualification Standards, Recommended Practices and Rules Summary Slide 2
We are a global classification, certification, technical assurance and advisory company 3
Assisting companies in solving the energy trilemma 5
Certification and De-risking Marine Renewables Development Risk and reward define the capacity to attract finance (and the type of finance). Same applies regarding insurance. Standards and certification are key instruments to control risks to acceptable levels in a demonstrable way. provide all stakeholders with a degree of confidence (risk control) leading to trade facilitation, legal framework, supply chain and services development, insurance and capital costs reduction and efficiency and reliability improvement. Well established industries tend to have standards with high degree of prescriptive requirements as the technology is mature and the level of innovation is reduced or introduced in small incremental steps. Marine Renewables is in an early stage and requires a different approach that was established around the Technology Qualification process (DNV-OSS-312 first issued in 2008) providing a robust foundation for risk control and handling of uncertainties and novelty. For tidal, a further important step was given allowing DNV GL to keep the risk based approach but also to establish technical requirements providing the industry with a more predictable and effective process. 6
Targets for Certification (Certification Basis) Certification Connection with Success Criteria $/kwh Revenue Market and Demand Energy Policy Site Characterisation Array Impact Energy Security Climate Change Social Benefits Certification Scope Capital CAPEX OPEX Development Manufacturing Installation Operational Maintenance Unexpected Monitoring Decommissioning or Refurbishment Survivability Control of Degradation Reliability and Efficiency Installation Limits Operational Limits 7
Certification Phases and Communication with Stakeholders Risk focus and demonstrability of risk control 8
TABLE I Technology Qualification TECHNOLOGY STATUS Handling uncertainties and novelties Application Technology status area Proven Limited field history New or unproven Known 1 2 3 New 2 3 4 Notes: 1: No new Consequence technical challenges Classes 2: New technical uncertainties 3: New technical challenges 4: Demanding new challenges Class Description of consequences (impact on) Safety Environment Operation Assets GBP 1 2 3 4 Negligible injury, effect on health Minor injuries, health effects Moderate injuries and/or health effects Significant injuries 5 A fatality Negligible pollution or no effect on environment Minor pollution / slight effect on environment (minimum disruption on marine life) Limited levels of pollution, manageable / moderate effect on environment Moderate pollution, with some clean-up costs / Serious effect on environment Major pollution event, with significant clean-up costs / disastrous effects on the environment Negligible effect on production (hours) Partial loss of performance (retrieval not required outside maintenance interval) Loss of performance requiring retrieval outside maintenance interval Total loss of production up to 1 month Total loss of production greater than 1 month Negligible Repairable within maintenance interval Repairable outside maintenance interval Significant but repairable outside maintenance interval Loss of device, major repair needed by removal of device and exchange of major components 1k 10k 100k 1m 10m 9
Certification Modules (Prototype, Type and Project) DNVGL-SE-0163 10
Summary The de-risking of the Marine Renewables sector requires a special approach regarding certification. Handling of uncertainties, novelty, safety, environment and functional requirements Risk based Gradual process Balance investments / targets vs. revenue (business model => Technical requirements: survivability, maintenance intervals and extent, fatigue) Use of existing technology that is compatible with marine renewables Lifecycle approach DNV GL provides a suitable framework for certification activities of marine renewable energy converters. Based on Technology Qualification process (generic, systematic, demonstrable, risk based and traceability) Handling of uncertainties, different concepts innovation Gradual process linked to natural flow of development Based on targets related to safety, environmental and functional requirements Use of existent knowledge (codes and standards) addressing most of the likely design requirements Lifecycle approach Slide 12
Summary The technical gaps are reflected on the approach to certification. The DNV GL certification process provides demonstrable risk management and clear identification of remaining risks Risk Based Certification is ideal to be integrated to project risk management Certification provides additional confidence to stakeholders as risks are reviewed through a structured process with third party oversight Certification s systematic adaptation of technology from Offshore Oil & Gas, Offshore Wind and Maritime and existing standards provides an effective and efficient way to develop technology and to make use of existing supply chain. The new DNV GL Service Specifications and Standards for Tidal and Wave Energy Converters will streamline certification and support the development of Marine Renewables Sector. Slide 13
De-risking and Innovation in Marine Renewables: The Certification Role Claudio Bittencourt Renewables Certification cbf@dnvgl.com +44 2038 164 255 www.dnvgl.com SAFER, SMARTER, GREENER 14