October Newsletter 2023

Oct 17, 2023

Charging Heavy Duty EVs Presents Opportunities

Oct 10, 2023

In the clean energy transition, the toughest challenges are in moving the transportation sector away from petroleum fuels, and within that the hardest nut to crack is likely to be making heavy duty trucks switch to zero emission vehicles. This has been one of our favorite topics in looking at potential business opportunities for entrepreneurs. See our recent internal discussions and our last blog on charging.

We tackled the topic again in our MeetUp on Nov. 2. We had presentations from Tim Taylor, Vice President and Co-director of the Sacramento Clean Cities Coalition, and Orville Thomas, the incoming CEO of the California Mobility Center. They stimulated a lively discussion. You can view the entire session in our video on YouTube. You can also view the highlight version.

Here were some of the key points:

Through clever load management and system optimization we can squeeze more out of the existing electrical system to feed EVs, through things like bi-directional charging, managing the load from chargers so that they do not exceed available supplies, and putting battery-buffers on chargers. (We have seen the last approach from companies like FreeWire and ElectricFish).
But any significant conversion of the transportation to EVs will overwhelm the available supply. On an energy consumption basis, the transportation sector now based on fuels is more than twice the size of the electrical system. At some point, dramatic additions to the electricity supply will be needed.
The choices seem to be to add to the general supply by adding more carbon-neutral power generation and transmission assets, put generation adjacent to the locations where EV charging demand is the greatest (especially for heavy duty vehicles) in the form of microgrids, or do more with on-board hydrogen zero emissions power generators, with the need to add to hydrogen production and distribution assets.

CARB Rule % of ZEV vehicles in fleets of 50+ trucks	10%	25%	50%	75%	100%
Group 1: Box, trucks, vans buses, light duty delivery vehicles	2025	2028	2031	2033	2035+
Group 2: Work trucks, day cab tractors	2027	2030	2033	2036	2039+
Group 3: Sleeper cab tractors	2030	2033	2036	2039	2041+

The recent proposed rule from CARB would create a gradual increase in the conversion of heavy-duty trucks to zero emissions by 2042, but it is still aggressive. A significant concession is that it would apply only to fleets of more than 50 vehicles and only after existing vehicles have reached their lifetime. With so many tractors owned by individuals or in small fleets, the rule would affect a much smaller number of trucks. But the number affected is still huge.
If the microgrid approach is used for heavy-duty charging stations, the question remains as to what will power it. Given the concentration of demand at such sites, it is unlikely that solar or wind alone will be sufficient. Some form of engine-generator will likely be required and that raises the question of what fuel it will use. The politics seem to be against using any carbon-containing fuel even if it is a renewable fuel that could be shown to be carbon neutral. It would also need to have minimal NOx emissions. There are some big engines that would meet this need but they are expensive. Locating them so the microgrid could be used for other purposes, like powering a nearby industrial facility, may reduce the sting of the cost, but raise issues of conflict with the local utility. There may be ways to get the utilities on-side and make them part of the solution. We also discussed small scale nuclear plants as an option.
The whole range of challenges may be part of the new mission of the California Mobility Center. Orville Thomas is willing to widen the scope of what the CMC could do, including a broader definition of “mobility” to include more options for disadvantaged communities.
He is pretty certain that the CMC will be moving on or near the Sac State campus and be administered by the university. His vision includes a new $500 million complex on campus near Ramona Road, including a new building for the College of Engineering and Computer Science. At this point, there is no funding for such a vision, but he thought there were good prospects and a lot of enthusiasm to get it done.
Both presenters emphasized the need for a larger trained workforce to address all the challenges. Orville mentioned the possibility of an advanced degree program in power for the mobility sector.

This was a very rich discussion, and it highlights a lot of opportunities for innovation and new businesses. We will be carrying on this whole discussion in future MeetUps and on our Perspectives webcasts. Keep an eye out for future announcements from CleanStart.

Does this discussion give you a good business idea you would like to explore? Set up a call with us and we will help you.

Charging EVs

Big Charging Station for Electric Trucks Near Sacramento Airport

$34 USDOT million grant, 25 MW, Charge big rig in 20-50 minutes, developed by WattEV

ABOUT THE AUTHOR

Gary Simon is the Chair of CleanStart’s Board. A seasoned energy executive and entrepreneur with 45 years of experience in business, government, and non-profits.

CleanStart Sponsors

Weintraub | Tobin, BlueTech Valley, Revrnt, River City Bank

Moss Adams, PowerSoft.biz, Greenberg Traurig, California Mobility Center

GFX: Showcasing the “Backyard Advantage”

Oct 9, 2023

At their inaugural showcase on October 5 in Roseville, the Growth Factory put on a jam-packed day of speeches, workshops, pitches and booth exhibits. The theme was seizing the opportunity to support local innovators as a way to build a robust technology-based economy in our region.

We were a partner with the Growth Factory in putting on this event, and we had many opportunities to highlight what the companies in our clean tech cluster were doing. We had a total of nine companies being showcased: Three companies at our booth (Thermeshade, CR Flight, and XeroHome) and three others had their own (LiCAP Technologies, JAPA, and SOAR Optics), and three more cluster companies did 3-minute pitches (EVLife, AscentOS, and Onsight Technology). In addition, we ran a workshop on opportunities to grow businesses that contribute to the carbon neutral goal.

One of the most interesting sessions was an interview with John Bissell, Co-CEO of Origin Materials, reflecting on what they had accomplished and what worked for them. John noted that in their culture, there is little patience with explanations that are quick sound bites. These can be very misleading for teams and for investors. Instead, Origin goes to lengths especially with investors, to present the subtleties of why they make the decisions they do so that there are fewer surprises. Since Origin boasts a number of long-standing investors and partners, that is a good indication their approach is sound. The temptation to oversimplify and give brief answers is strong, but as John noted it could lead to trouble. Good advice.

Throughout the event were sessions on alternative ways to find funding, views from the VC community, and support resources throughout the region. There were probably 500 attendees. The region hasn’t had this kind of robust startup showcase for years. The Growth Factory will likely repeat it next year, given this year’s success. We will be out there encouraging many more of you to take advantage of this opportunity to get exposure and do important networking. It is a good first step to getting a serious meeting with many investors.

Kudos to Monique Brown and the team at Growth Factory for such a good event.

ABOUT THE AUTHOR

Gary Simon is the Chair of CleanStart’s Board. A seasoned energy executive and entrepreneur with 45 years of experience in business, government, and non-profits.

CleanStart Sponsors

Weintraub | Tobin, BlueTech Valley, Revrnt, River City Bank

Moss Adams, PowerSoft.biz, Greenberg Traurig, California Mobility Center

Sailing to Sustainability: Floatovoltaics Revolution

Oct 6, 2023

We love creative ways to install solar. Ever hear of Floatavotaics? It is one solution to lowering the cost of mounting solar panels, now by far the largest cost in making an installation. Floating PV systems use solar arrays that float on bodies of water, such as reservoirs, lakes, and even the sea in some cases. This technology has been increasingly adopted around the world as an innovative and efficient way to generate solar power, particularly in regions where land is scarce or expensive. There are other benefits with floating solar such as water conservations and improved panel efficiency.

In the US, towns facing land and energy shortages are putting floatovoltaics on their reservoirs, like in Healdsburg, California.. There is also the opportunity to pair floatovoltaics with hydro power, using the same electrical infrastructure. Floatovoltaics has taken off in Asia with China’s Dezhou Dingzhuang Solar Farm reaching 320 MW of capacity Just under 3 years ago (2021) the Biden Administration opened up federal land for Floating PV.

Some Benefits Highlighted.

Efficient land use: Floating PV installations can be particularly useful in densely populated areas or regions with limited available land. They can be installed on man-made reservoirs, lakes, or even on the sea, freeing up land for agricultural use, conservation, or other developments.

Water conservation: By covering the surface of the water bodies, floating solar panels reduce water evaporation, which can be particularly beneficial in dry regions. They can also limit the growth of harmful algae by blocking sunlight.

Improved energy efficiency: The cooling effect of water helps to keep the solar panels at a lower temperature, which can improve their efficiency as photovoltaic panels typically lose efficiency as temperature increases. Moreover, the surrounding water can be naturally cooler than the ambient air temperature in many places, enhancing this effect.

Apparently, Floatovolatics initially looks like a great solution but face their own set of significant challenges. A big one is higher-than-expected installation and maintenance costs relative to land-based systems. Costs are driven by challenges around anchoring and ensuring the stability of the system, especially in the case of sea-based installations. There could also be potential impacts on local ecosystems from operating or from damaged panels.

This is one of many creative ideas to lower costs for solar farms. We are trying to watch a number of them–vertical installation of panels, the use of a specially-built solar awning, and installations right on the ground. Creative minds at work.

ABOUT THE AUTHOR

Thomas is the Executive Director of CleanStart. Thomas has a strong background in supporting small businesses, leadership, financial management and is proficient in working with nonprofits. He has a BS in Finance and a BA in Economics from California State University, Chico. Thomas has a passion for sustainability and a commitment to supporting non-profits in the region.