Haim R. Branisteanu 12 Gotlieb Street, Tel Aviv

Clarifications - Energy Storage for “Smart Cities” with renewable energy resources Page 1

December 7th 2016

Clarifications for

Peer to Peer Networks in “Smart Cities”

Good Morning MK Yael Cohen Paran; at your request, more details and explanations.

Under present proposed Israel Knesset legislation the retail consumer will buy at his own

choosing a hodgepodge of solar systems with or without batteries from various approved

vendors which would be difficult to maintain, control and worse almost impossible to

finance. Very few will endear to spend around 20,000 to 50,000 shekel for a system that

pays itself in 7 to 8 years. The electrical network will be a mess + many unexpected

problems.

Please note that the technology is evolving and system prices are falling and therefore

cannot be used as loan collateral for a bank. Further the needed hardware or software is

readily available or in pilot stages, must be integrated in a command and control center

(CCC) that will process the energy transaction within the micro-grid and the outside world.

Payback can drop to 5 years (as an example there are already places in the world where

electricity is for free for part of the night – Ref. Innogy).

The proposal of micro-grids and peer to peer transaction encompassing whole kibbutzim,

moshavim and neighborhoods of 1,000 to 3,000 dwellings in a concept like a “virtual

community” with the following performance;

1. Substantially lower the price per unit (solar panel, batteries, PS and control unit) due

to the quantity of purchases and lower the initial investment by over 20%

2. This will introduce uniformity in micro-grid “islands” easy to control and maintain,

by the respective maintenance company (possible also IEC or any of its competitors).

3. As inter-system communication and signaling to discharge or charge batteries will be

done by fiber optics, other services can be loaded on the same fiber optic cable

(security, internet etc.,).

4. Maintenance of the micro- grid will be done by professional approved entities in an

open market bidding which will lower IEC workers resistance to the proposed

system.

5. Peer to Peer transaction will be done at pre-agreed “island specific” prices so that for

example if “A” goes on vacation he does not need to shut down his system as it is

supervised, and can sell his collected solar energy to his peers. Upon his return he

will have his due credit in his account.

6. Same if for some reason “B” has a new family member and needs more energy for his

household he is supplied from the pool (or his peers) whereby another community

member/s will receive the credit.

7. Another example are cloudiness cover on part of the community which will lower the

power output only let say on 350 solar installation, the remaining solar installation

will cover for the electrical consumption of the 350 units with lower irradiation.

8. Connection to meteorological solar irradiation predictability which will accordingly

regulate the amount of electrical power to be stored in the batteries of the micro-grid.

Haim R. Branisteanu 12 Gotlieb Street, Tel Aviv

Clarifications - Energy Storage for “Smart Cities” with renewable energy resources Page 2

9. The maintenance company will also raise the needed capital by securitization of the

stream of payments from the consumers or group of consumers at well below present

retail interest rates.

10. The ability of the maintenance company collecting the loan payments or in case of

default dismantle the system, substantially lowers the “per consumer” system costs

(there are several wrinkles to be straighten out).

11. All the above will usher the introduction of the micro-grids which in many cases due

to surplus energy will also operate as a virtual power plant (VPP) that supplies

electricity to places that are needed or redirect to the national grid, IEC or private NG

power station consumers.

12. During the absence of the consumer from his dwelling for few days the collected

energy will be delivered to a common pool for retrieval or sold to the highest bidder.

13. High rise and Office Buildings who during the day use most of the electricity will

draw their power from their community, whose dwellings are mostly empty (people

went to work, school) and credit them.

14. All open parking lots, buss stations, train station covering etc., will be covered by

solar panels or solar paint and integrated within the local micro-grid. In case of

parking lots it will also enable the charging of batteries of the parking electric cars.

15. Office Building with architectural integrated solar systems that are empty over

weekends and holidays will be used as VPP for the neighboring community or supply

energy to the national grid or private NG power station consumers.

16. There are additional benefits to the concept such as resulting in lower infrastructure

expenses, prolonging network transformers life, lower transmission cost etc.,.

17. Last, covering water reservoirs or adjunct land in agricultural settings will

(i) increase humidity retention in the soil for longer, as 20% of solar

irradiation/energy is absorbed by the panels

(ii) lower natural water reservoir evaporation of 1,500 to 1,800 mm/year to a

substantial lower amount.

(iii) generate various biological effects beneficial to the reservoir and water quality

(shade and no direct radiation)

(iv) will lower temperature levels close by, due to partial radiation absorption,

quite important in agricultural setting.