UNI-T ENERGY
BUSINESS PLAN
These roof shingles are coated with
PV cells made of amorphous
silicon. When installation is
complete, the PV shingles look
much like ordinary roofing
shingles, but they generate
electricity.
Custom energy solutions for the world
UNI-T ENERGY
BUSINESS PLAN OBJECTIVE
This business plan encompasses the organizational structure,
corporate mission, marketing strategy and market forecasts for
the alternative energy market.
RICH
4/29/2009
http://uni-t.shopping.officelive.com/WebSitePageEditor/default.aspx?tabName=edit
"Promoting clean renewable energy for
the future of our planet."
Owner:
Richard Trinca, Jr.
6027 Brush Valley Rd
Rebersburg, PA 16872
(814) 360-8325(cell)
(814) 360-8325 (PA home)
rtrinca@yahoo.com
www.uni-tenergy.com
UNI-T ENERGY
COVER PAGE......................................................................................................................…........
BUSINESS PLAN INDEX...................................................................................................………
EXECUTIVE SUMMARY.........................................................................................................….
MISSION.................................................................................................................................……..
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OUR STRATEGY............................................................................................................................
OUR STATUS..................................................................................................................................
OUR COMMITMENT....................................................................................................................
CURRENT ENERGY POLICY………………..………………………………………………...
CURRENT ENERGY MARKET STATISTICS………………………………………………...
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ORGANIZATIONAL STRUCTURE................................................................................….........
JOB DESCRIPTIONS......................................................................................................................
COMPANY SUMMARY.................................................................................................................
SALES AND PROFIT OBJECTIVES............................................................................................
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Assumptions to the Annual Energy Outlook 2008.…………………………………..
KEYS TO SUCCESS...................................................................................................…….............
START-UP SUMMARY..............................................................................................................…
INDUSTRY OVERVIEW................................................................................................................
SERVICES........................................................................................................................................
SALES LEAD PACKAGES.............................................................................................................
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RECRUITING SUPPORT SERVICES .........................................................................................
CANDIDATE SOURCING .............................................................................................................
EMAIL MARKETING AND TRACKING ...................................................................................
JOB SEARCH ASSISTANCE.........................................................................................................
RESELLER AGREEMENTS..........................................................................................................
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MARKET SEGMENTATION........................................................................................................
Sales Divisions - Vice President of Sales............................................................................................
Executive Recruiters – Retained and Contingency.............................................................................
Human Resources Departments .........................................................................................................
Job Seekers..........................................................................................................................................
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TARGET MARKET SEGMENT STRATEGY............................................................................
Sales Divisions....................................................................................................................................
Recruiting Companies ........................................................................................................................
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UNI-T ENERGY
Projects...............................................................................................................................................
Human Resources...............................................................................................................................
Job Seekers.........................................................................................................................................
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SERVICE BUSINESS ANALYSIS.................................................................................................
COMPETITION AND BUYING PATTERNS..................................................................................
Database Services ..............................................................................................................................
Email marketing firms and products ..................................................................................................
Marketing consultants ........................................................................................................................
List Brokers ........................................................................................................................................
Independent Candidate Sources..........................................................................................................
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UNI-T ENERGY
STRATEGY AND IMPLEMENTATION.....................................................................................
COMPETITIVE EDGE .....................................................................................................................
MARKETING STRATEGY ..............................................................................................................
SALES STRATEGY..........................................................................................................................
MILESTONES...................................................................................................................................
On-Site UNI-T ENERGY Training......................................................................................................
UNI-T ENERGY Remote Training......................................................................................................
90-Day Start-Up Plan.........................................................................................................................
Standard Operations ..........................................................................................................................
TECHNOLOGY ..............................................................................................................................
WEB PLAN SUMMARY..................................................................................................................
WEBSITE MARKETING STRATEGY............................................................................................
DEVELOPMENT REQUIREMENTS...............................................................................................
MANAGEMENT SUMMARY .......................................................................................................
START-UP FUNDING .....................................................................................................................
CORPORATE MANAGEMENT FLOWCHART………………………………………………
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EXECUTIVE SUMMARY:
Our company, UNI-T ENERGY, will provide strategic leadership, research and lead generation services to
develop sales forces and implement installation of renewable energy systems internationally. Our technology
solutions and unique methodology will facilitate our clients by locating and purchasing regional based cost
effective alternative energy systems and provide solutions to their ever-increasing energy demands.
UNI-T ENERGY uses the industry leader Sharp’s cutting-edge solar technology in its solar division to produce
clean, natural, renewable energy for its customers. We will work diligently to provide our customers with energy
solutions from the industry leaders in each of our renewable energy divisions.
Implementing marketing initiatives and highly productive CAD applications that increase productivity, service
sales, expand market share and improve corporate brands are ways UNI-T ENERGY adds value. It has always
been our goal to provide the most innovative, efficient and cost effective solutions to the world’s energy demands
for the future.
We are committed to providing excellent industry leadership in the development and implementation of state of
the art solutions for harnessing the energy available from renewable clean energy sources while safeguarding the
environment and local communities.
MISSION:
To provide the most innovative, efficient and cost effective solutions to the world’s energy demands for the
future. Thereby reducing dependency on limited oil resources and improving economic outlooks for countries that
currently rely on imported oil. By utilizing and maximizing efficiency of renewable clean energy sources such as;
solar, wind, geothermal, and hydroelectric used directly or converted into hydrogen fuels we can help our clients
and the world to reduce global warming and provide energy independence. Resulting in a more stable economic
environment while reducing greenhouse gases and improving the standard of living of nations around the world.
Our goal is to supply enough alternative energy to reduce the dependence on fossil fuels by two to three percent
or more each decade. We plan on accomplishing this through an aggressive strategy of design, development and
implementation on a global scale.
http://www.repoweramerica.org/plan/renewable-generation/
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UNI-T ENERGY
OUR STRATEGY:
Develop systems capable of producing the highest output of energy conceivable at below current market per
kilowatt prices from natural renewable resources for the applicable scale of our customer’s energy requirements.
By partnering with other green energy companies, research institutes and universities to develop the most efficient
and cost effective strategies for harnessing these forms of energy we intend to develop and implement equipment,
strategies and solutions to the world’s energy requirements for tomorrow and the future. We also look to
minimize energy demands per person by improving efficiency of technologies, reducing demand through
conservation and changing infrastructure.
OUR STATUS:
We are currently working on several pioneering prototype designs in wind, solar and hydroelectric which we feel
will revolutionize these fields and if implemented on a large enough scale could produce enough energy to
significantly impact our dependency on fossil fuels within the next decade.
OUR COMMITMENT:
We are committed to providing excellent industry leadership in the development and implementation of state of
the art solutions for harnessing the energy available from renewable clean energy sources while safeguarding the
environment and local communities. Minimize energy demands per capita by improving efficiency of
technologies, reducing demand and changing infrastructure.
CURRENT ENERGY POLICY:
The Energy Improvement and Extension Act of 2008 contains a new tax credit for plug-in hybrid electric
vehicles for less than a year after the first 250,000 are sold. The credit is a base $2,500 plus $417 for each kWh
of battery pack capacity in excess of 4 kWh to a maximum of $15,000 for any vehicle with a gross vehicle
weight rating of more than 26,000 pounds (12,000 kg) [17] and up to $7,500 for 12 kWh or more in passenger
cars (vehicles up to 8,500 pounds (3,900 kg) ).
It also extends existing tax credits for renewable energy initiatives, including cellulosic ethanol and biodiesel
development, and wind, solar, geothermal and hydro-electric power.[18] It establishes electricity as a cleanburning fuel for tax purp
The Tax Extenders and Alternative Minimum Tax Relief Act includes $100 billion in tax breaks for businesses
and the middle class, plus a provision to raise the cap on federal deposit insurance from $100,000 to
$250,000.[19]
The bill keeps the alternative minimum tax from hitting 20 million middle-income Americans. It provides $8
billion in tax relief for those hit by natural disasters in the Midwest, Texas and Louisiana.[19]
As a whole, the Senate tax package would cost $150.5 billion over 10 years. Roughly $43.5 billion would be
offset by several revenue-raising provisions. Hedge fund managers would be forbidden from using offshore
corporations to defer paying taxes.[5]
The bill freezes a tax deduction that oil and gas companies get for certain domestic production activities. The
deduction, now 6 percent, is scheduled to rise to 9 percent in 2010.[5]
The provisions of the tax bill included: [20][21][12]
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A temporary increase in FDIC deposit insurance limit from $100,000 to $250,000 until December 2009[22]
Tax breaks for businesses
Tax credits for the use of alternative energy and plug-in hybrids
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UNI-T ENERGY
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Tax credits for research and development
Expansion of the child tax credit
Protection from the Alternative Minimum Tax
Tax reductions for victims of severe weather (e.g. tornadoes, floods, hurricanes)
Extension of unemployment insurance
A USD $1,000 tax credit for low income homeowners
Tax breaks and credit extensions for the following:
o "Certain wooden arrows designed for use by children" (Sec 503) [1]
o Wool research (Sec. 325)
o Film and television productions (Sec. 502)
o Litigants in the 1989 Exxon-Valdez oil spill (Sec. 504)
o Virgin Island and Puerto Rican rum (Section 308)
o American Samoa (Sec. 309)
o Mine rescue teams (Sec. 310)
o Mine safety equipment (Sec. 311)
o Domestic production activities in Puerto Rico (Sec. 312)
o Indian tribes (Sec. 314, 315)
o Railroads (Sec. 316)
o Auto racing tracks (317)
o District of Columbia (Sec. 322)
CURRENT ENERGY MARKET STATISTICS:
We have compiled a current market analysis of the United States energy requirements of as follows:
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UNI-T ENERGY
SOLAR:
Realistic useable surface area percentage = SRUSAP = 0.5% (verify)
Current surface area being used = SCSAU = 0.0005% (verify)
Surface area required to obtain 20% of energy demand = SSAR = 0.002% (verify)
WIND:
Realistic useable surface area percentage = WRUSAP = 0.1% (verify)
Current surface area being used = WCSAU = 0.001% (verify)
Surface area required to obtain 20% of energy demand = WSAR = 0.05% (verify)
GEOTHERMAL:
Realistic useable surface area percentage = GRUSAP = 0.002% (verify)
Current surface area being used = GCSAU = 0.0001% (verify)
Surface area required to obtain 20% of energy demand = GSAR =0.1% (verify)
HYDROGEN:
Realistic useable percentage of total hydrogen = HRUP = 1% (verify)
Current percentage being used = HCPU = 0.003% (verify)
Percentage required to obtain 10% of energy demand = HPR = 0.2% (verify)
HYDROELECTRIC:
Realistic useable surface area percentage = HRUSAP =0 .1% (verify)
Current surface area being used = HCSAU = 0.007% (verify)
Surface area required to obtain 20% of energy demand = HSAR =0.02% (verify)
BIOFUELS:
Realistic useable surface area percentage = BRUSAP = 2% (verify)
Current surface area being used = BCSAU = 0.9% (verify)
Surface area required to obtain 20% of energy demand = BSAR =1.2% (verify)
http://en.wikipedia.org/wiki/Renewable_energy
Renewable energy is energy generated from natural resources—such as sunlight[2], wind, rain, tides and
geothermal heat—which are renewable (naturally replenished). In 2006, about 18% of global final energy
consumption came from renewables, with 13% coming from traditional biomass, such as wood burning.
Hydroelectricity was the next largest renewable source, providing 3%, followed by solar hot water/heating,
which contributed 1.3%. Modern technologies, such as geothermal energy, wind power, solar power, and
ocean energy together provided some 0.8% of final energy consumption.[1]
Climate change concerns coupled with high oil prices, peak oil and increasing government support are driving
increasing renewable energy legislation, incentives and commercialization. European Union leaders reached an
agreement in principle in March 2007 that 20 percent of their nations' energy should be produced from renewable
fuels by 2020, as part of its drive to cut emissions of carbon dioxide, blamed in part for global warming.[3]
Investment capital flowing into renewable energy climbed from $80 billion in 2005 to a record $100 billion in
2006.[4]
In response to the G8's call on the IEA for "guidance on how to achieve a clean, clever and competitive energy
future", the IEA reported that the replacement of current technology with renewable energy could help reduce
CO2 emissions by 50% by 2050, which they claim is of crucial importance because current policies are not
sustainable.[5] [6]
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UNI-T ENERGY
Wind power is growing at the rate of 30 percent annually, with a worldwide installed capacity of over 100 GW,
[7] and is widely used in several European countries and the United States.[8] The manufacturing output of the
photovoltaics industry reached more than 2,000 MW in 2006,[9] and photovoltaic (PV) power stations are
particularly popular in Germany.[10] Solar thermal power stations operate in the USA and Spain, and the largest
of these is the 354 MW SEGS power plant in the Mojave Desert.[11]. The world's largest geothermal power
installation is The Geysers in California, with a rated capacity of 750 MW.[12] Brazil has one of the largest
renewable energy programs in the world, involving production of ethanol fuel from sugar cane, and ethanol now
provides 18 percent of the country's automotive fuel.[13] Ethanol fuel is also widely available in the USA.
While there are many large-scale renewable energy projects and production, renewable technologies are also
suited to small off-grid applications, sometimes in rural and remote areas, where energy is often crucial in
human development.[14] Kenya has the world's highest household solar ownership rate with roughly 30,000 small
(20–100 watt) solar power systems sold per year.[15]
Some renewable energy technologies are criticized for being intermittent or unsightly, yet the market is growing
for many forms of renewable energy.
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UNI-T ENERGY
Solar troughs are the most widely deployed of the
concentrated solar systems.
This unit is not as efficient as it could be.
This is a list of concentrating solar thermal power (CSP) companies. The CSP industry finished a first round
of new construction during 2006/7 resurgence after more than 15 years of commercial dormancy. Some notable
companies are involved:[1]
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Abengoa
Acciona
Ausra
BrightSource Energy/ Luz II
eSolar
Grupo ACS
Iberdrola
Schott
Sener Aeronáutica
SkyFuel
Solar Millennium
SolarReserve
Solel
Sopogy
Stirling Energy Systems
Torresol Energy
Wizard Power
TOP TEN Photovoltaic manufacturers
The top ten global photovoltaic manufacturers in 2007 accounted for 53% of global production [3]. These
companies produced:
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389.2 MW Q-Cells
363.0 MW Sharp
336.0 MW Suntech
207.0 MW Kyocera
200.0 MW First Solar
176.4 MW Motech
170.0 MW SolarWorld1
165.0 MW Sanyo
145.5 MW Yingli [4]
132.4 MW JA Solar Holdings
http://en.wikipedia.org/wiki/Image:Ren2006.png
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UNI-T ENERGY
Figure 1
Figure 2
Figure 3
Figure 1 and 2 represent aesthetically pleasing applications while Figure 3 represents a cluttered
deployment of wind turbines, which would most likely only be acceptable in desolate areas such as the
Texas plains, were this photo was taken.
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UNI-T ENERGY
"People think about oil wells and football in Texas, but in 10 years they'll look back and say this was a brilliant
thing to do," added Patrick Woodson, vice president of E.On Climate & Renewables North America, which has
about 1,200 megawatts of wind projects already in use or on the drawing board in Texas.
Some environmentalists and landowners have launched protests against wind turbines from Cape Cod in
Massachusetts to Idaho and Texas' South Padre Island, complaining that wind turbines spoil the view and threaten
migrating birds.
But the turbines are already in West Texas, a sparsely populated region also pockmarked with oil drilling and
exploration equipment. And this project will build only transmission lines.
Expected to be finalized later this year, the approval represents a middle ground between five transmission
scenarios ranging from $3 billion to $6.4 billion. The PUC had been asked by the Texas legislature to select the
best transmission plan.
"It is expected that the new lines will be in service within four to five years," The PUC said in a statement.
Backers called the move a critical expansion of the "renewable energy superhighway," predicting it will spur wind
energy projects, create jobs, reduce energy costs and reduce pollution.
$4 more a month on bills
Texas electric customers will bear the cost over the next several years, paying about $4 more per month on their
electric bills.
Tom Smith, director of the Texas office of the consumer advocacy group Public Citizen, called that a small price
to pay for clean energy.
Smith called Texas' current transmission lines a "two-lane dirt road" compared to the "renewable energy
superhighway" the plan would build. "We have all these wind plants up and operating. What we're asking for is
the superhighway to get the energy to the cities," Smith said. "This will send signals to manufacturers all across
the world Texas is ready to be a world-class player in renewable energy."
State officials note the rate increases could be several years away, and the payments would be no different than
the current system of paying for new transmission lines from power plants.
Wind power also benefits from a 2-cents-per-kilowatt-hour tax credit. The credit is set to expire in December, and
wind backers have urged Congress to enact a long-term extension.
http://www.bccresearch.com/report/EGY058A.html?_kk=wind%20power&_kt=74f9e0e6-d1a3-401f-a019274985de0c96&gclid=CMuB7I7DkJcCFQUWGgodB08xxQ
This report:
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Reviews the US markets for wind turbine products and will forecast trends and sales in these markets
through 2013
Discusses important manufacturers, technologies, and factors influencing demand will be discussed.
Provides a history and current state of wind turbines, including types of technologies and applications
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UNI-T ENERGY
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Details the industry structure, including major markets, components, improvements in quality and
efficiency, government regulations, and certifications
Discusses other factors influencing demand, including the price of fuel, electricity, and solar energy
systems, and government incentives/tax credits
Examines technology and patent evaluation.
Report ID:EGY058A, Published: August 2008, Analyst: Ben Spitz
INTRODUCTION
STUDY GOALS AND OBJECTIVES
BCC’s goal in conducting this study was to determine the current status of the wind turbine industry in the United
States and assess its growth potential over a 5-year period from 2008 to 2013.
Our key objective was to present a comprehensive analysis of the current wind turbine market and its future
direction.
REASONS FOR DOING THE STUDY
Wind power usage in the United States has been growing at a significant rate in the past few years and has
generated considerable interest in industry, government and the public. This study will take a closer look at the
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UNI-T ENERGY
wind turbine installation and purchasing trends of some of the leading states as well as their growth potential. This
report measures and forecasts the overall U.S. market for wind turbines based on surveys of the states using the
most wind power and estimations of use among the remaining states. The states surveyed include:
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Texas
California
Iowa
Minnesota
Washington
Oregon
Colorado
New York
Kansas
Illinois
The manufacturing of wind turbines to address the U.S. demand has likewise seen strong growth and we were
interested in determining the extent of the manufacturing activity of the wind turbines as well as the many
supporting components.
Components include:
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Rotor
Tower and electrical
Gearbox and drive train
Nacelle and controls
BCC examined the wind turbine industry in 2003. Since this industry is changing rapidly, we wanted to conduct
another analysis and project the growth potential of this important market.
INTENDED AUDIENCE
This study will be of interest to manufacturers of wind turbines and the various component and accessory
equipment suppliers, as well as the end users, including project developers, operators and utilities. It will also be
of interest to consulting companies, construction and transportation companies, landowners and financial and
investment institutions with a stake in the energy industry. The study will likewise be of interest to municipal,
state and national government agencies, as well as academic institutes and non-profit organizations that need to
make energy purchasing decisions or give energy purchasing advice.
SCOPE OF REPORT
The scope of this study encompasses the major U.S. wind turbine markets. BCC analyzes each market, determines
its current status, examines the impact for the future, and presents forecasts of growth over the next 5
years. Technological issues including the latest trends are discussed. Other influential factors such as rising
energy costs, changing government regulations and improving efficiencies are reviewed.
BCC analyzes the industry on a nationwide basis, both from a manufacturing and energy capacity point of
view. We examine government support and wind industry organizations and activities in the U.S. The current and
projected status of wind power versus other energy sources is compared to national energy consumption
averages.
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UNI-T ENERGY
INFORMATION SOURCES
BCC surveyed approximately 100 companies to obtain data for this study. Included were manufacturers of wind
turbines and their components, as well as national wind power organizations. We also researched wind turbine
purchasers in a variety of markets. In addition we compiled data from current financial and trade information,
government and industry sources, including in large part data from the American Wind Energy Association
projects database.
ANALYST CREDENTIALS
The author is a mechanical engineer (M.S. from Columbia University) with over 17 years of experience in the
energy industry in a variety of positions. He has done market analysis, technology surveys and business planning
for major international corporations including Raytheon. He has been directly involved in the introduction and
development of new energy and industrial technologies to the marketplace. Other energy experience includes oil,
coal, nuclear, solar and fusion.
Report ID:EGY058A, Published: August 2008, Analyst: Ben Spitz
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UNI-T ENERGY
ORGANIZATIONAL STRUCTURE:
CEO: Dom Palumbo (pending)
CFO: BJ Amato (pending)
PRESIDENT: Rich Trinca, Jr.
VICE PRESIDENT: Glenn Gossage (pending)
MARKETING DIRECTOR: Steve Mirsrack (pending)
V.P. OPERATIONS: Bruce Phillips (pending)
ACCOUNT EXECUTIVES: (pending)
RESEARCH ENGINEERS AND TECHNICIANS:
PROJECT MANAGERS: Rich Trinca, (others pending)
NETWORK ADMINISTRATOR: (pending)
PROGRAM SYSTEMS DEVELOPERS: (pending)
ACCOUNTANTS: (pending)
WEB DEVELOPERS: (pending)
SALES ASSOCIATES: Lee Mitchell, Bruce Phillips, Scott Prince(pending)
HUMAN RESOURCES: (pending)
SYSTEMS INSTALLERS: (pending)
PURCHASING AGENTS: (pending)
CO-OP STUDENTS: (pending)
SUBCONTRACTORS - INSTALLERS: Charlie Boyer (pending)
PARTNERS: Bruce Phillips (pending, add list of current partners)
SUPPLIERS: JD Solar, SolarWorld, DC Power Systems, SunWize, Trina Solar, Focused
Energy, Solar Solutions, Ecsolar, GE, Siemens, Sunny Boy, Missouri General, (rest pendimg)
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UNI-T ENERGY
CEO:
Oversee, administer and coordinate all aspects of the overall UNI-T GROUP services, product
development, marketing strategies and contracts. Prepare financial reports and presentations for
shareholders. Maintain corporate profit growth. Provide executive functions as required including loan
procurement, proposals, contract negotiations, verifying quarterly and annual reports, setting corporate
goals. Assemble teams and partnerships to achieve corporate objectives in order to achieve profits for
the shareholders and investors. Search for and obtain public or private grants for research initiatives
where and when necessary to improve an application or process that will directly or indirectly serve the
public good and add value to the stockholders shares.
CFO:
Oversee, administer and coordinate all aspects of the overall UNI-T GROUP services, accounting and
financial aspects. Prepare financial reports and presentations for the CEO. Maintain corporate profit
growth, filing corporate tax returns, and all other accounting functions required by law. Manage account
executives and account managers.
PRESIDENT:
Oversee, administer, promote, and coordinate all aspects of the overall UNI-T GROUP services, product
development, marketing strategies and contracts. Prepare financial reports and presentations for
shareholders, clients, and financial institutions. Maintain corporate profit growth. In charge of employee
hiring, firing and settling corporate and individual contract disputes.
VICE PRESIDENT:
Oversee, administer, promote, and coordinate all aspects of the overall UNI-T GROUP services, product
development, marketing strategies and contracts. Direct and supervise the UNI-T account executives and
account managers as to corporate goals and strategies for success. Collaborate with clients, marketing
director and operations manager to develop new strategies to achieve financial and operational success
for our clients and the UNI-T GROUP.
MARKETING DIRECTOR:
Oversee, administer, promote, and coordinate all aspects of the overall UNI-T GROUP marketing
strategies and contracts. Supervise the UNI-T account executives, account managers and sales associates
as to corporate goals and strategies for success. Collaborate with vice president and operations manager
to develop new strategies to achieve financial and operational success for our clients and the UNI-T
GROUP.
V.P. OPERATIONS:
Oversee, administer, promote, and coordinate all aspects of the overall UNI-T GROUP operations
strategies. Supervise the UNI-T account executives, account managers, sales associates, program
systems developers, web developers, sales associates, talent scouts, writers and artists as to corporate
goals and strategies for success. Collaborate with vice president and marketing director to develop new
strategies to achieve financial and operational success for our clients and the UNI-T GROUP.
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UNI-T ENERGY
ACCOUNT EXECUTIVES:
Provide accounting services as required facilitating corporate objectives. Compile and report daily,
weekly, quarterly and annual accounting reports to be developed by team members over a corporate
intranet. Administer and coordinate all aspects of the overall UNI-T GROUP services, product
development, marketing strategies and contracts. Perform accounting responsibilities such as but not
limited to: balance sheets, projected earnings reports, payroll, accounts receivable, accounts payable,
filing corporate tax returns and all other accounting functions required by law.
RESEARCH ENGINEERS AND TECHNICIANS:
Provide research and development services as required facilitating corporate objectives and project
requirements. Supervise and direct the research and development of new energy producing and storage
systems. Develop, build and test new energy production systems and create prototypes. Analyze the
cost and efficiency of these systems and study their feasibility in a real world environment. Make
suggestions to improve and enhance overall performance of the energy harnessing systems.
PROJECT MANAGERS:
Provide project manager services as required facilitating corporate objectives and project requirements.
Supervise and direct system installers, subcontractors and co-op students in an orderly and professional
manner in order to meet project specifications, drawings, schedules, budgets and owner requirements.
Track and maintain logs of project change orders and work orders. Obtain necessary building permits,
change order request approvals and other permits as necessary. Coordinate all aspects of the projects
assigned by the operations manager. Respond to general contractors correspondences and provide
progress reports as necessary.
NETWORK ADMINISTRATOR:
Coordinate various aspects of the of the overall UNI-T GROUP services, product development,
accounting systems, marketing strategies and maintain network systems. Provide network support to the
UNI-T GROUP and its clients. Oversee and administer new website developments and approve website
content.
PROGRAM SYSTEMS DEVELOPERS:
Provide web based programming and models support to cooperative business members including links
to associates sites. Innovate, maintain and update web sites to the customer’s satisfaction in an effort to
improve the client’s bottom line.
ACCOUNTANTS:
Provide accounting services as required for federal, state and local governments. Compile and report
quarterly and annual accounting reports to be developed by team members over a corporate intranet.
Perform accounting responsibilities such as but not limited to: balance sheets, projected earnings reports,
payroll, accounts receivable, accounts payable, filing corporate tax returns and all other accounting
functions required by law.
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UNI-T ENERGY
WEB DEVELOPERS:
Provide web based business support and models including links to associates sites. Maintain and update
web sites to the customer’s satisfaction in an effort to improve the client’s bottom line. Develop new
websites and links and improve website features and add functionality to existing websites for our
clients. Develop partnerships with established suppliers and installers and link our services to their web
based systems.
SALES ASSOCIATES:
Provide associate members with innovative and conscientious tools and techniques to improve their
marketing concepts and target their prospective clients, markets and consumers. Develop partnerships
with established partners, suppliers and installers; follow up on web-based orders, contracts and
invoices. Develop customer relationships and work closely with the rest of the sales, installation and
marketing teams to improve the overall effectiveness of the business model, sales and bottom line.
HUMAN RESOURCES:
Search for qualified employees or business partners and maintain databases of employee information
based on criteria provided by our corporate officers. Settle employee/employer disputes and grievances.
SYSTEM INSTALLERS:
Responsible for the proper and complete installation of the designated energy system in accordance with
applicable federal, state and local laws and ordinances for the jurisdiction in which the system is to be
installed.
PURCHASING AGENT:
Responsible for obtaining performance specifications and cost information and determining the best
pricing on products and services as directed by project managers or authorized corporate officers
including the first nine on the list above or anyone designated and approved by those nine.
CO-OP STUDENTS:
Provide apprenticeship services as required by other members of the UNI-T GROUP for web based
publishing, movies, cartoons, songs, poems, books, legal documents, letterheads, CD covers, or other
items on an as needed basis and perform other duties as directed by your supervisor.
SUBCONTRACTOR SYSTEM INSTALLERS:
Responsible for the proper and complete installation of the designated energy system in accordance with
applicable federal, state and local laws and ordinances for the jurisdiction in which the system is to be
installed.
PARTNERS:
Responsible for the proper and complete installation of the designated energy system in accordance with
applicable federal, state and local laws and ordinances for the jurisdiction in which the system is to be
installed. Contribute to the improvement of system and installation efficiency. Promote the organization
and recruit new partners and investors. Generate sales leads and contribute to the development of new
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UNI-T ENERGY
technologies and new applications of existing technologies. Research the latest in developing
technologies and companies supplying or developing new technologies. Follow the progress of these
companies and institutions and keep track of their stock prices and their trends, sales figures and PE
ratios.
SUPPLIERS:
Responsible for providing the proper and complete equipment for the installation of the designated
energy system in accordance with applicable federal, state and local laws and ordinances for the
jurisdiction in which the system is to be installed. Contribute to the enhancements to these codes in order
to improve public safety and system resource efficiency.
COMPANY SUMMARY:
Provide THE HOUSING, COMMERCIAL AND INDUSTRIAL MARKETS with state of the art
alternative energy solutions from industry leaders in each of our energy divisions by partnering with the
leading universities, researchers, companies and government agencies to distribute and implement solar,
wind, geothermal and hydroelectric energy producing systems, as well as, bio-fuels and hydrogen fuels.
As an industry leader we are committed to contributing to the evolution of building and safety codes in a
responsible and effective manner to ensure the safety and well being of the public domain. The
development of new technologies requires progressive companies to proceed with conscientious regard
to public safety and environmental awareness. UNI-T ENERGY will remain committed to these
principals while developing and implementing energy solutions in the twenty first century and beyond.
SALES AND PROFIT OBJECTIVES:
Year One:
• $211,500,000 in gross sales
• Profit of $8,500,000
Year Two:
• $302,750.000 in gross sales
• Profit of $11,750,000
Year Three:
• $404,000,000 in gross sales
• Profit of $25,000,000
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Home > Forecasts & Analysis > Assumptions to the Annual Energy Outlook 2008 > Renewable Fuels Module
Assumptions to the Annual Energy Outlook 2008
Report #:DOE/EIA-0554(2008)
Release date: June 2008
Next release date: February 2009
Renewable Fuels Module
The NEMS Renewable Fuels Module (RFM) provides natural resources supply and technology input
information for projections of new central-station U.S. electricity generating capacity using renewable energy
resources. The RFM has seven sub modules representing various renewable energy sources, biomass,
geothermal, conventional hydroelectricity, landfill gas, solar thermal, solar photovoltaics, and wind. Some
renewables, such as landfill gas (LFG) from municipal solid waste (MSW) and other biomass materials, are
fuels in the conventional sense of the word, while others, such as water, wind, and solar radiation, are energy
sources that do not involve the production or consumption of a fuel. Renewable technologies cover the gamut
of commercial market penetration, from hydroelectric power, which was one of the first electric generation
technologies, to newer power systems using biomass, geothermal, LFG, solar, and wind energy. In some cases,
they require technological innovation to become cost effective or have inherent characteristics, such as
intermittency, which make their penetration into the electricity grid dependent upon new methods for integration
within utility system plans or upon the availability of low-cost energy storage systems.
The sub modules of the RFM interact primarily with the Electricity Market Module (EMM). Because of the
high level of integration with the EMM, the final outputs (levels of consumption and market penetration over
time) for renewable energy technologies are largely dependent upon the EMM.
Projections for residential and commercial grid-connected photovoltaic systems are developed in the end-use
demand modules and not in the RFM; see the Distributed Generation and Combined Heat and Power
descriptions in the “Commercial Demand Module” section of the report.
Key Assumptions
Nonelectric Renewable Energy Uses
In addition to projections for renewable energy used in central station electricity generation, the AEO2008
contains projections of nonelectric renewable energy uses for industrial and residential wood consumption, solar
residential and commercial hot water heating, biofuels blending in transportation fuels, and residential and
commercial geothermal (ground-source) heat pumps. Assumptions for their projections are found in the
residential, commercial, industrial, and petroleum marketing sections of this report. Additional minor renewable
energy applications occurring outside energy markets, such as direct solar thermal industrial applications or
direct lighting, off-grid electricity generation, and heat from geothermal resources used directly (e.g., district
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heating and greenhouses) are not included in the projections.
Electric Power Generation
The RFM considers only grid-connected central station electricity generation systems. The RFM sub modules
that interact with the EMM are the central station grid-connected biomass, geothermal, conventional
hydroelectricity, landfill gas, solar (thermal and photovoltaic), and wind sub modules, which provide specific data
or estimates that characterize that resource. A set of technology cost and performance values is provided
directly to the EMM and is central to the build and dispatch decisions of the EMM. The technology cost and
performance values are summarized in Table 38 in the chapter discussing the EMM. Overnight capital costs
are presented in Table 72 and the assumed capacity factors for new plants in Table 73.
Capital Costs
Capital costs for renewable technologies are affected by several factors. Capital costs for technology to exploit
some resources, especially geothermal, hydroelectric, and wind power resources, are assumed to be
dependent on the quality, accessibility, and/or other site-specific factors in the areas with exploitable resources.
These factors can include additional costs associated with reduced resource quality; need to build or upgrade
transmission capacity from remote resource areas to load centers; or local impediments to permitting,
equipment transport, and construction in good resource areas due to siting issues, inadequate infrastructure, or
rough terrain.
Short-term cost adjustment factors increase technology capital costs as a result of a rapid U.S. buildup in a
single year, reflecting limitations on the infrastructure (for example, limits on manufacturing, resource
assessment, and construction expertise) to accommodate unexpected demand growth. These factors, which
are applied to all new electric generation capacity, are a function of past production rates and are further
described in The Electricity Market Module of the National Energy Modeling System: Model Documentation
Report, available at http://www.eia.doe.gov/bookshelf/docs.html.
Independent of the other two factors, capital costs for all electric generation technologies, including renewable
technologies, are assumed to decline as a function of growth in installed capacity for each technology.
For a description of NEMS algorithms lowering generating technologies’ capital costs as more units enter
service (learning), see “Technological Optimism and Learning” in the EMM chapter of this report. A detailed
description of the RFM is provided in the EIA publication, Renewable Fuels Module of the National Energy
Modeling System, Model Documentation 2005, DOE/EIA-M069 (2005) (Washington, DC, 2005).
Solar Electric Submodule
Background
The Solar Electric Submodule currently includes both concentrating solar power (thermal) and photovoltaics,
including two solar technologies: 50-megawatt central receiver (power tower) solar thermal (ST) and 5 megawatt
single axis tracking-flat plate photovoltaic (PV) technologies. PV is assumed available in all thirteen EMM
regions, while ST is available only in the six Western regions where direct normal solar insulation is sufficient.
Capital costs for both technologies are determined by EIA using multiple sources, including public reports of
recent solar thermal capacity additions. Most other cost and performance characteristics for ST are obtained or
derived from the August 6, 1993, California Energy Commission memorandum, Technology Characterization for
ER 94; and, for PV, from the Electric Power Research Institute, Technical Assessment Guide (TAG) 1993. In
addition, capacity factors are obtained from information provided by the National Renewable Energy Laboratory
(NREL).
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Assumptions
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Capacity factors for solar technologies are assumed to vary by time of day and season of the year, such
that nine separate capacity factors are provided for each modeled region, three for time of day and for
each of three broad seasonal groups (summer, winter, and spring/fall). Regional capacity factors vary
from national averages. The current reference case solar thermal annual capacity factor for California,
for example, is assumed to average 40 percent; California’s current reference case PV capacity factor is
assumed to average 24.6 percent.
Because solar technologies are more expensive than other utility grid-connected technologies, early
penetration will be driven by broader economic decisions such as the desire to become familiar with a
new technology, environmental considerations, and the availability of limited Federal subsidies. Minimal
early years’ penetration is included by EIA as “floor” additions to new generating capacity (see
“Supplemental and Floor Capacity Additions” below).
Solar resources are well in excess of conceivable demand for new capacity; energy supplies are
considered unlimited within regions (at specified daily, seasonal, and regional capacity factors).
Therefore, solar resources are not estimated in NEMS. In the seven regions where ST technology is
not modeled, the level of direct, normal insulation (the kind needed for that technology) is insufficient to
make that technology commercially viable through 2030.
NEMS represents the Energy Policy Act of 1992 (EPACT92) permanent 10-percent investment tax
credit (ITC) for solar electric power generation by tax-paying entities. The current 30-percent ITC is
scheduled to expire at the end of 2008.
Wind-Electric Power Submodule
Background
Because of limits to windy land areas, wind is considered a finite resource, so the submodule calculates
maximum available capacity by Electricity Market Module Supply Regions. The minimum economically viable
average wind speed is about 14 mph, and wind speeds are categorized by annual average wind speed based
on a classification system from the Pacific Northwest Laboratory. The RFM tracks wind capacity (megawatts)
by resource quality, distance to transmission, and other resource costs within a region and moves to the next
best wind resource when one category is exhausted. For AEO2008, wind resource data on the amount and
quality of wind per EMM region come from the National Renewable Energy Laboratory2 The technological
performance, cost, and other wind data used in NEMS are derived by EIA from available data and from
available literature.3 Maximum wind capacity, capacity factors, and incentives are provided to the EMM for
capacity planning and dispatch decisions. These form the basis on which the EMM decides how much power
generation capacity is available from wind energy. The fossil-fuel heat rate equivalents for wind are used for
energy consumption calculation purposes only.
Assumptions
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Only grid-connected (utility and nonutility) generation is included. Projections for distributed wind
generation are included in the commercial and residential modules.
In the wind submodule, wind supply costs are affected by three modeling measures: addressing (1)
average wind speed, (2) distance from existing transmission lines, and (3) resource degradation,
transmission network upgrade costs, and market factors.
Available wind resource is reduced by excluding all windy lands not suited for the installation of wind
turbines because of: excessive terrain slope (greater than 20 percent); reservation of land for nonintrusive uses (such as National Parks, wildlife refuges, and so forth); inherent incompatibility with
existing land uses (such as urban areas, areas surrounding airports and water bodies, including
offshore locations); insufficient contiguous windy land to support a viable wind plant (less than 5 square
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kilometers of windy land in a 100 square kilometer area). Half of the wind resource located on military
reservations, U.S. Forest Service land, state forested land, and all non-ridge-crest forest areas are
excluded from the available resource base to account for the uncertain ability to site projects at such
locations. These assumptions are detailed in the Draft Final Report to EIA on Incorporation of Existing
Validated Wind Data into NEMS, November 2003.
Capital costs for wind technologies are assumed to increase in response to (1) declining natural
resource quality, such as terrain slope, terrain roughness, terrain accessibility, wind turbulence, wind
variability, or other natural resource factors, (2) increasing cost of upgrading existing local and network
distribution and transmission lines to accommodate growing quantities of intermittent wind power, and
(3) market conditions, such as the increasing costs of alternative land uses, including aesthetic or
environmental reasons. Capital costs are left unchanged for some initial share, then increased 20, 50,
100 percent, and finally 200 percent, to represent the aggregation of these factors.
Proportions of total wind resources in each category vary by EMM region. For all thirteen EMM regions
combined, 1.3 percent of windy land is available with no cost increase, 5.4 percent is available with a 20
percent cost increase, 11.2 percent is available with a 50 percent cost increase, 27.3 percent is
available with a 100 percent cost increase, and almost 54.8 percent of windy land is assumed to be
available with a 200 percent cost increase.
Depending on the EMM region, the cost of competing fuels, and other factors, wind plants can be built
to meet system capacity requirements or as a “fuel saver” to displace generation from existing capacity.
For wind to penetrate as a fuel saver, its total capital and fixed operations and maintenance costs
minus applicable subsidies must be less than the variable operating costs, including fuel, of the existing
(non-wind) capacity. When competing in the new capacity market, wind is assigned a capacity credit
that declines based on its estimated contribution to regional reliability requirements.
Because of downwind turbulence and other aerodynamic effects, the model assumes an average
spacing between turbine rows of 5 rotor diameters and a lateral spacing between turbines of 10 rotor
diameters. This spacing requirement determines the amount of power that can be generated from wind
resources, about 6.5 megawatts per square kilometer of windy land, and is factored into requests for
generating capacity by the EMM.
Capacity factors are assumed to increase to a national average of 44 percent in the best wind class
resulting from taller towers, more reliable equipment, and advanced technologies. Capacity factors for
each wind class are calculated as a function of overall wind market growth. The capacity factors are
assumed to be limited to about 48 percent for an average Class 6 site. As better wind resources are
depleted, capacity factors are assumed to go down.
AEO2008 does not allow plants constructed after 2008 to claim the Federal Production Tax Credit
(PTC), a 2-cent per kilowatt-hour tax incentive that is set to expire on December 31, 2008. Wind plants
are assumed to depreciate capital expenses using the Modified Accelerated Cost Recovery Schedule
with a 5-year tax life.
Offshore wind resources are represented as a separate technology from onshore wind resources. Offshore
resources are modeled with a similar model structure as onshore wind. However, because of the unique
challenges of offshore construction and the somewhat different resource quality, the assumptions with regard to
capital cost, learning-by-doing cost reductions, and variation of resource exploitation costs and performance
differ significantly from onshore wind.
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Like onshore resources, offshore resources are assumed to have an upwardly sloping supply curve, in
part influenced by the same factors that determine the onshore supply curve (such as distance to load
centers, environmental or aesthetic concerns, variable terrain/seabed) but also explicitly by water
depth.
Because of the more difficult maintenance challenge offshore, performance for given annual average
wind power density level is assumed to be somewhat reduced by reduced turbine availability. Offsetting
this, however, is the availability of resource areas with higher overall power density than is assumed
available onshore. Capacity factors for offshore are limited to be about 50 percent for a Class 7 site.
Cost reductions in the offshore technology result in part from learning reductions in onshore wind
technology as well as from cost reductions unique to offshore installations, such as foundation design
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and construction techniques. Because offshore technology is significantly less mature than onshore
wind technology, offshore-specific technology learning occurs at a somewhat faster rate than on-shore
technology.
Geothermal-Electric Power Submodule
Background
The Geothermal-Electric Submodule (GES) estimates the generating capacity and output potential of 89
hydrothermal sites in the Western United States. This estimation is based on two studies: New Geothermal Site
Identification and Qualification, prepared by GeothermEx, Inc for the California Public Utility Commission, and
Western Governors’ Association Geothermal Task Force Report, which was co-authored by several geothermal
experts from the public and private sectors. These studies focus on geothermal resources with confirmed
temperatures greater than 100 Celsius, which is generally considered the threshold for economically feasible
conventional development. While EIA had previously distinguished between binary and dual flash technologies,
this is no longer an essential component of cost estimates. Instead, these studies incorporate expected power
plant cost and performance based on each confirmed resource temperature. This enables greater projection
precision relative to a static choice between two technologies. All plants are assumed to operate at 90 percent
capacity factor. Enhanced Geothermal Systems (EGS), such as hot dry rock, are not included as potential
resources since this technology is still in development and is not expected to be in significant commercial use
within the projection horizon.
The two studies off of which EIA estimates are based maintain separate capital cost components for each site’s
development. The GeothermEx study divided individual site costs into four components: exploration,
confirmation, development, and transmission. Site exploration is a small component of aggregate costs,
oftentimes being zero. Confirmation and transmission costs may be significant; however the vast majority of
capital costs are classified under site development, which includes power plant construction. The WGA report,
which was used to estimate geothermal potential outside of the GeothermEx database region, did not provide
site specific, separate capital cost components. However, it did provide some sites with two levels of capital
costs, meaning a portion of the resource could be developed at a lower cost than the remaining potential.
Therefore, EIA maintained two categories of site-specific capital development costs, with a cost premium
placed on some sites beyond their most economic resource. Site-specific operation and maintenance costs are
also included in the submodule. As a result of revised supply estimations, the annual site build limit has been
relaxed but still remains. Geothermal development is limited to 25 MW of generating capacity until 2010, when
the 50 MW limit goes into effect for the remainder of the projection period.
Assumptions
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Existing and identified planned capacity data are obtained directly by the EMM from Forms EIA-860A
(utilities) and EIA-860B (nonutilities) and from supplemental additions (See Below).
The permanent investment tax credit of 10 percent available in all projection years based on the EPACT
applies to all geothermal capital costs, except through 2008 when the 1.9 cent production tax credit is
available to this technology and is assumed chosen instead.
Plants are not assumed to retire unless their retirement is reported to EIA. Geysers units are not
assumed to retire but instead are assigned the 35 percent capacity factors reported to EIA reflecting
their reduced performance in recent years.
Capital and operating costs vary by site and year; values shown in Table 39 in the EMM chapter are
indicative of those used by EMM for geothermal build and dispatch decisions.
Biomass Electric Power Submodule
Background
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Biomass consumed for electricity generation is modeled in two parts in NEMS. Capacity in the wood products
and paper industries, the so-called captive capacity, is included in the industrial sector module as cogeneration.
Generation by the electricity sector is represented in the EMM, with capital and operating costs and capacity
factors as shown in Table 38 in the EMM chapter, as well as fuel costs, being passed to the EMM where it
competes with other sources. Fuel costs are provided in sets of regional supply schedules. Projections for
ethanol are produced by the Petroleum Market Module (PMM), with the quantities of biomass consumed for
ethanol decremented from, and prices obtained from, the EMM regional supply schedules.
Assumptions
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Existing and planned capacity data are obtained from Form EIA-860.
The conversion technology represented, upon which the costs in Table 39 in the EMM chapter are
based, is an advanced gasification-combined cycle plant that is similar to a coal-fired gasifier. Costs in
the reference case were developed by EIA to be consistent with coal gasifier costs. Short-term cost
adjustment factors are used.
Biomass cofiring can occur up to a maximum of 15 percent of fuel used in coal-fired generating plants.
Fuel supply schedules are a composite of four fuel types: forestry materials, wood residues, agricultural
residues and energy crops. Energy crop data are presented in yearly schedules from 2010 to 2030 in
combination with the other material types for each region. The forestry materials component is made up of
logging residues, rough rotten salvageable dead wood, and excess small pole trees.4 The wood residue
component consists of primary mill residues, silvicultural trimmings, and urban wood such as pallets,
construction waste, and demolition debris that are not otherwise used.5 Agricultural residues are wheat straw,
corn stover, and a number of other major agricultural crops.6 Energy crop data are for hybrid poplar, willow,
and switch grass grown on crop land, pasture land, or on Conservation Reserve Program lands.7 The
maximum amount of resources in each supply category is shown in Table 74.
Landfill-Gas-to-Electricity Submodule
Background
Landfill-gas-to-electricity capacity competes with other technologies using supply curves that are based on the
amount of “high”, “low”, and “very low” methane producing landfills located in each EMM region. An average
cost-of-electricity for each type of landfill is calculated using gas collection system and electricity generator costs
and characteristics developed by EPA’s “Energy Project Landfill Gas Utilization Software” (E-PLUS).8
Assumptions
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Gross domestic product (GDP) and population are used as the drivers in an econometric equation that
establishes the supply of landfill gas.
Recycling is assumed to account for 35 percent of the total waste stream by 2005 and 50 percent by
2010 (consistent with EPA’s recycling goals).
The waste stream is characterized into three categories: readily, moderately, and slowly decomposable
material.
Emission parameters are the same as those used in calculating historical methane emissions in the
EIA’s Emissions of Greenhouse Gases in the United States 2003.9
The ratio of “high”, “low”, and “very low” methane production sites to total methane production is
calculated from data obtained for 156 operating landfills contained in the Government Advisory
Associates METH2000 database.10
Cost-of-electricity for each site was calculated by assuming each site to be a 100-acre by 50-foot deep
landfill and by applying methane emission factors for “high”, “low”, and “very low” methane emitting
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wastes.
Conventional Hydroelectricity
The conventional hydroelectricity submodule represents U.S. potential for new conventional hydroelectric
capacity 1 megawatt or greater from new dams, existing dams without hydroelectricity, and from adding capacity
at existing hydroelectric dams. Summary hydroelectric potential is derived from reported lists of potential new
sites assembled from Federal Energy Regulatory Commission (FERC) license applications and other survey
information, plus estimates of capital and other costs prepared by the Idaho National Engineering and
Environmental Laboratory (INEEL).11 Annual performance estimates (capacity factors) were taken from the
generally lower but site specific FERC estimates rather than from the general estimates prepared by INEEL, and
only sites with estimated costs 10 cents per kilowatt-hour or lower are included in the supply. Pumped storage
hydro, considered a nonrenewable storage medium for fossil and nuclear power, is not included in the supply;
moreover, the supply does not consider offshore or in-stream hydro, efficiency or operational improvements
without capital additions, or additional potential from refurbishing existing hydroelectric capacity.
In the hydroelectricity submodule, sites are first arrayed by NEMS region from least to highest cost per kilowatthour. For any year’s capacity decisions, only those hydroelectric sites whose estimated levelized costs per
kilowatt-hour are equal to or less than an EMM determined avoided cost (the least cost of other technology
choices determined in the previous decision cycle) are submitted. Next, the array of below-avoided cost sites is
parceled into three increasing cost groups, with each group characterized by the average capacity-weighted
cost and performance of its component sites. Finally, the EMM receives from the conventional hydroelectricity
submodule the three increasing-cost quantities of potential capacity for each region, providing the number of
megawatts potential along with their capacity-weighted average overnight capital cost, operations and
maintenance cost, and average capacity factor. After choosing from the supply, the EMM informs the
hydroelectricity submodule, which decrements available regional potential in preparation for the next capacity
decision cycle.
Legislation and Regulations
Energy Policy Act of 1992 (EPACT92) and 2005 (EPACT05)
The RFM includes the investment and energy production tax credits codified in the Energy Policy Act of 1992
(EPACT 92) as amended. The investment tax credit established by EPACT 92 provides a credit to Federal
income tax liability worth 10 percent of initial investment cost for a solar, geothermal, or qualifying biomass
facility. This credit was temporarily raised to 30 percent for some solar projects and extended to residential
projects. This change is reflected in the commercial and residential modules, but is not reflected for utility-scale
installations, where impacts are expected to be minimal and not in a timeframe to impact the multi-year capacity
planning process being modeled. The production tax credit, as established by EPACT 92, applied to wind and
certain biomass facilities. As amended, it provides a 2-cent tax credit for every kilowatt-hour of electricity
produced for the first 10 years of operation for a facility constructed by December 31, 2007. The value of the
credit, originally 1.5 cents, is adjusted annually for inflation. With the various amendments, the production tax
credit is available for electricity produced from qualifying geothermal, animal waste, certain small-scale
hydroelectric, landfill gas, municipal solid waste, and additional biomass resources. Poultry litter and geothermal
resources receive a 2-cent tax credit for the first 10 years of facility operations. All other renewable resources
receive a 1-cent tax credit for the first 10 years of facility operations. The investment and production tax credits
are exclusive of one another, and may not both be claimed for the same facility.
Alternative Renewable Cases
Renewable Technology Cases
Two cases examine the effect on energy supply using alternative assumptions for cost and performance of non-
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hydro, non-landfill gas renewable energy technologies. The High Renewable Cost case examines the effect if
technology costs were to remain at current levels. The Low Renewable Cost case examines the effect if
technology energy costs were reduced by 2030 to 10 percent below Reference case values.
The High Renewable Cost case does not allow “learning-by-doing” effects to reduce the capital cost of biomass,
geothermal, solar, or wind technologies or to improve wind capacity factor beyond 2008 levels. The
construction of the first four units of biomass-integrated gasification combined cycle units are still assumed to
reduce the technological optimism factor associated with this technology. All other parameters remain the same
as in the Reference case.
The Low Renewable Cost case assumes that the non-hydro, non-landfill gas renewable technologies are able to
reduce their overall cost-of-energy produced in 2030 by 10 percent from the Reference case. Because the cost
of supply of renewable resources is assumed to increase with increasing utilization (that is, the renewable
resource supply curves are upwardly sloping), the cost reduction is achieved by targeting the reduction on the
“marginal” unit of supply for each technology in 2030 for the Reference case (that is, the next resource available
to be utilized in the Reference case in 2030). This has the effect of reducing costs for the entire supply (that is,
shifting the supply curve downward by 10 percent). As a result of the overall reduction in costs, more supply
may be utilized, and a unit from higher on the supply curve may result in being the marginal unit of supply. Thus
the actual market-clearing cost-of-energy for a given renewable technology may not differ by much from the
Reference case, although that resource contributes more energy supply than in the Reference case. These cost
reductions are achieved gradually through “learning-by-doing”, and are only fully realized by 2030.
For biomass, geothermal, and solar technologies, this cost reduction is achieved by a reduction in overnight
capital costs sufficient to achieve the 10 percent targeted reduction in cost-of-energy. As a result, the supply of
biomass fuel is increased by 10 percent at every price level. For geothermal, the capital cost of the lowest-cost
site available in the year 2005 is reduced such that if it were available for construction in 2030, it would have a
10 percent lower cost-of-energy in the High Renewable case than the cost-of-energy it would have in 2030 were
it available for construction in the Reference case. For solar technologies (both photovoltaic and solar thermal
power), the resource is assumed to be unlimited and the reductions in cost-of-energy are achieved strictly
through capital cost reduction.
Observation of wind energy markets indicates that improvements in performance (as measured by capacity
factor) have, in recent years, dominated reductions in capital cost as a means of reducing cost-of-energy.
Therefore, in the Low Renewable Cost case, the reduction in wind-levelized cost comes from both modestly
reduced capital cost and improved capacity factor. Other assumptions within NEMS are unchanged from the
Reference case.
For the Low Renewable Cost case, demand-side improvements are also assumed in the renewable energy
technology portions of residential and commercial buildings, industrial processes, and refinery fuels modules.
Details on these assumptions can be found in the corresponding sections of this report.
State RPS Programs
Starting with AEO 2008, EIA represents various state-level policies generally referred to as Renewable Portfolio
Standards (RPS). These policies vary significantly among states, but typically require the addition of renewable
generation to meet a specified share of statewide generation. Any non-discretionary limitations on meeting the
generation or capacity target are modeled to the extent possible. However, because of the complexity of the
various requirements, the regional target aggregation (described below), and nature of some of the limitations
(also described below), measurement of compliance is assumed to be approximate.
For the AEO2008, regional renewable generation targets were estimated using the renewable generation
targets in each state within the region. In many cases, regional boundaries intersect state boundaries; in these
cases states were assigned to be within a single region, based on EIA expert judgment of factors such as
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predominant load locations and location of renewable resources eligible for that state’s RPS program. Using
state-level RPS compliance schedules and preliminary estimates of projected sales growth, EIA estimated the
amount of renewable generation required in each state within a region. Required generation in each state was
then summed to the regional level for each year, and a regional renewable generation share of total sales was
determined, as shown in Table 75.
Only targets with established enforcement provisions or established state funding mechanisms were included in
the calculation; goals, provisional RPS requirements, or requirements lacking established funding were not
included. The California and New York programs require state funding, and these programs are assumed to be
complied with only to the extent that state funding allows. Compliance enforcement provisions vary significantly
among states and most states have established procedures for waiving compliance through the use of
“alternative compliance” payments, penalty payments, discretionary regulatory waivers, or retail price impact
limits. Because of the variety of mechanisms, even within a given electricity market region, these limits are not
modeled.
Supplemental and Floor Capacity Additions For AEO2008, EIA has continued its tradition of
supplemental and floor renewable capacity additions. All specific project listings in Table 76 have been
independently verified by EIA, with the exception of landfill gas listings that were obtained through EPA.
In total, 6.4 gigawatts of capacity are represented in these listings. For 2008 and beyond, the capacity
additions are a preview of the limited data EIA currently has on new projects. Listings additional for
these years should not be viewed as comprehensive. This list of projects does not represent renewable
capacity that will be induced by State RPS programs beyond 2007.
Report #: DOE/EIA-0554(2008) Release date: June 2008 Next release date: February 2009
27
UNI-T ENERGY
KEYS TO SUCCESS:
Quality, cooperation, volume, exposure, efficiency, partnerships, co-ops, subcontracts, contracts, diligence,
increased sales, growth, purpose, state of the art technological applications, growth potential, vision, system
integration, future revenues, minimal operating expenses, contract and service fees.
START-UP SUMMARY
Methods of obtaining start-up capital will include IPO, Federal, State and Local Grants, Corporate partnerships,
Entrepreneurs, Private Investors and Fundraisers.
Uploading documents to the internet
http://www.scribd.com/upload?from=banner
28
UNI-T ENERGY
INDUSTRY OVERVIEW
U.S. Energy Consumption by Fuel (1980-2030)
(quadrillion Btu)
SERVICES
Develop, patent, sell, market and/or install alternative energy systems.
Project management, contract negotiations, web site development, and engineering services
Provide market research for business to business marketing and project administration.
Provide feasibility studies, site development planning, equipment design and installation.
Experiment design, setup and testing.
SALES LEAD PACKAGES
http://search.mywebsearch.com/mywebsearch/GGmain.jhtml?searchfor=SALES+LEAD+PACKAGES&st=sb
RECRUITING SUPPORT SERVICES
http://search.mywebsearch.com/mywebsearch/GGmain.jhtml?searchfor=RECRUITING+SUPPORT+SERVICES+&
st=sb
CANDIDATE SOURCING
Engineering recruits: http://www.simplyhired.com/job-id/2q4n35eqna/product-marketing-jobs/
EMAIL MARKETING AND TRACKING
http://search.mywebsearch.com/mywebsearch/GGmain.jhtml?searchfor=EMAIL+MARKETING+AND+T
RACKING+&st=sb
JOB SEARCH ASSISTANCE
RESELLER AGREEMENTS
29
UNI-T ENERGY
MARKET SEGMENTATION
Sales Divisions - Vice President of Sales
Executive Recruiters – Retained and Contingency
Human Resources Departments
Job Seekers
TARGET MARKET SEGMENT STRATEGY
Sales Divisions
Recruiting Companies
UNI-T ENERGY PROJECTS
River Power Generator - Design power generation system that can be used instead of dams to generate power
from rivers without harming the natural habitat and without disturbing boating and shipping routes. Our system
is less expensive, more cost effective and eco-friendly.
Wind Turbines-Our wind Turbine design will generate 2.5 times the power of conventional wind turbine designs
with the same blade radius and footprint.
Solar Panel Installation on New and Existing Construction-We intend to install solar panels on new
and existing facilities and in suitable land areas to reduce the need for fossil fuels.
Human Resources
Job Seekers
SERVICE BUSINESS ANALYSIS
COMPETITION AND BUYING PATTERNS
Database Services
Email marketing firms and products
Marketing consultants
List Brokers
Independent Candidate Sources
STRATEGY AND IMPLEMENTATION
COMPETITIVE EDGE
By implementing partnerships and strategies tailored to the specific needs of clients and customers throughout the
design, manufacturing and construction industry linked with code enforcement and global think tanks we can
achieve a seamless integrated system for the design, selection, sales, installation and inspection of alternative
energy systems. This patented model can then be applied to all phases of construction to improve overall
efficiency of the project management process.
MARKETING STRATEGY
Develop partnerships with: The United States Federal Government, Great Britain, Germany, Japan, Sweden,
Brazil, and other developing countries; NASA, DOD, DOE, IAE, EIA, AWA, IPHE, NAE, HTAC, DOT,
National Academy of Sciences, Michigan Economic Development Commission, Leading research universities, T.
Boone Pickens, Microsoft, JAVA, SUN MICROSYSTEMS, Sharp, GE, IBM, Nortel, Westinghouse, Trane,
Bryant, Vesta, First Solar, Shell, Conoco Phillips, Chevron, Exxon, BP, Cisco, Lockheed, Turner, Phillips,
Lowe’s, Home Depot, Sheetz, Uni-marts, Wal-Mart, Office Depot, Halliburton, Berkshire Hathaway, Alberici
Contracting, Donald Trump, Brandenburg Contracting, Ryan Homes, S & A Homes, and other Home Builders,
United Rentals, Bill and Melinda Gates Foundation, Committee on Alternatives and Strategies for Future
30
UNI-T ENERGY
Hydrogen Production and Use, Freedom car & Fuel Partnership, and others to promote economic development
and leverage network advertising. Deploy web-based campaign with links to alternative energy sites. Develop
contact lists of companies with significant energy demands and target these companies for deployment of
alternative energy systems on site. Cooperate with industrial, commercial and residential builders to develop and
install alternative energy systems in new facilities, hotels, and home construction. Suggest and implement new
code requirements governing the use of alternative energy and energy conservation in new construction. Develop
contact lists of all distributors and suppliers of alternative energy products and energy saving materials with price
lists of materials and equipment with their respective energy efficiency and engineering specifications data. Set up
an on-line system selection and ordering system linked to global suppliers and local, national or global installation
contractors which allows the customer, engineer, architect or contractor to compare price, performance, size,
appearance and longevity of the available systems and then make their selection, process payment and schedule
delivery and installation through our network of suppliers and installers. Furthermore, the system can be linked to
local, state and federal code enforcement offices for immediate review thru an automated code review system,
which would grant a permit and schedule an on-site inspection upon completion of the installation.
HELPFUL WEBSITES
Alternative Energy Tax Credit Programs:
http://www.greenspringenergy.com/financial-incentives/
http://www.energy.gov/taxbreaks.htm
http://energycommerce.house.gov/index.php?option=com_content&view=article&id=1986:h-r-5019-thehome-star-energy-retrofit-act-of-2010&catid=169:legislation&Itemid=55
Solar Power Summit:
http://www.csptoday.com/us08/
Solar: http://solar.careers.adicio.com/careers/jobsearch/detail?jobId=12588007
http://www.wholesalesolar.com/
http://www.wholesalesolar.com/solar-panels.html
http://www.firstsolar.com/thanks_email.php
http://www.firstsolar.com/developers_integrators
http://www.alternativeenergy.com/solar/index.html
http://www.bootsontheroof.com/sem6/?gclid=CIrp3b3wlpoCFR7yDAodFUBQOQ
http://www.bootsontheroof.com/renewable-energy-courses
http://www.earth4energy.com/?hop=rhall27&gclid=CMTc98367pYCFQxKGgodVwdKrg
http://solar.smps.us/solar-cell-efficiency.html
http://www.greendiyenergy.com/index.php
http://solar.smps.us/solar-cell-efficiency.html
Wind: http://www.alleghenypower.com/WindEnergy/default.asp
http://www.newwindenergy.com/about-us/job-listings/
http://www.iberdrolarenewables.us/
http://www.theirearth.com/index.php/news/vestas-wind-systems-2009-research
http://www.thesolarguide.com/wind-power/turbine-parts.aspx
AIRFOIL DESIGN
http://www.mh-aerotools.de/airfoils/methods.htm#MethodEppler
Geothermal:
http://tristate.apogee.net/geo/gdesime.asp
31
UNI-T ENERGY
EBM: http://www.greenzbuyme.com/web_documents/magnets4_energy.htm
Hydrogen:
http://www-formal.stanford.edu/jmc/progress/hydrogen.html
http://www.hybridwaterpower.com/?hop=cyberspot
http://www.metacafe.com/watch/1531919/90_mpg_2006_nissan_altima_using_water_as_a_c
ars_fuel_source/
Hydroelectric: http://ga.water.usgs.gov/edu/hyhowworks.html
http://www.enviroliteracy.org/article.php/59.html
http://www.enviroliteracy.org/index.php
Biofuels:
http://genomicsgtl.energy.gov/biofuels/index.shtml
http://www.chevron.com/deliveringenergy/biofuels/
Design and Testing:
http://www.testek.com/altenergy.asp
http://www.tradewinds-at.com/true.html
DOE software:
http://doe.reliasoft.com/?gclid=CNe86NGCkZcCFQikHgodeVF4JQ
GE Smart Grid:
http://ge.ecomagination.com/smartgrid/?c_id=googaltenergy#/landing_page
Solar System Sizing Tool:
http://www.wholesalesolar.com/StartHere/GRIDINTERTIED/GRIDINTCalculator.html
3d-Modeling:
Applied Rapid Technologies (ART):
http://www.artcorp.com/design_engineering.html?tsid=googleppc&gclid=CLGF1-uDkZcCFQUWGgodB08xxQ
Solid Works:
http://search.mywebsearch.com/mywebsearch/GGmain.jhtml?searchfor=solid+works&st=sb
Dassault Systems:
http://search.mywebsearch.com/mywebsearch/GGmain.jhtml?st=sb&ptnrS=&ss=sub&tpr=&searchfor=dassault+s
ystems
AutoCAD Inventor:
http://resources.autodesk.com/msd/Autodesk_Inventor/?mktvar001=92117&mktvar002=&rid=&utm_term=3d%2
0modeling%20software&utm_content=501996877&utm_medium=cpc&utm_source=google&utm_campaign=12
51
For financing for 60 days. http://offers.autodesk.com/8/101407/
SALES STRATEGY
Network with partners to develop automated sales through network traffic. Develop franchises and Co-ops
utilizing all available resources and establishing web-links with DOE, equipment manufacturers, suppliers and
installers.
MILESTONES
On-Site UNI-T ENERGY Training
UNI-T ENERGY Remote Training
90-Day Start-Up Plan
Standard Operations
32
UNI-T ENERGY
TECHNOLOGY
WEB PLAN SUMMARY
Implement web purchasing via credit card or established accounts.
PRODUCT PLAN SUMMARY
Develop new and more efficient energy technologies for global use. We are currently looking to obtain conceptual
patents for designs that will improve the energy efficiencies over current applications. Once these patents are
obtained we will be seeking additional funding to build and test prototypes in real world applications. Upon
successful completion of the prototype and obtaining additional patents for our prototypes we will begin
production, sales and installation of these units worldwide.
WEBSITE MARKETING STRATEGY
Globally achieve a seamless integrated system for partnering with design, selection, sales, installation and
inspection teams existing websites.
MARKETING WEBSITES:
http://www.wholesale-portal.com/
DEVELOPMENT REQUIREMENTS
Globally achieve a seamless integrated system for the design, selection, sales, installation and inspection of
alternative energy systems or any other business model we choose to pursue. This patented model can then be
applied to all phases of construction to improve overall efficiency of the project management process or be
applied to a new business, service or government process.
MANAGEMENT SUMMARY
Phase 1:
Establish Network of Partners.
Phase 2:
Implement Strategic initiatives.
Phase 3:
Expand market.
We plan on implementing Phase 2 of the overall strategy during the next quarter followed by Phase 3.
INITIAL PHASE 1 START-UP FUNDING
Federal, State and Local Grants
500,000
Corporate partnerships
1,500,000
Entrepreneurs
500,000
Private Investors
250,000
Fundraisers
100,000
2,850,000
PHASE 2 (IPO) START-UP FUNDING (PROJECTED)
IPO (Phase 2) 10,000,000 shares x $5.00=$50,000,000.00
33
UNI-T ENERGY
First Year Expenditures
Obtain Patents
30,000
Build Prototypes
1,300,000
Payroll and taxes
1,500,000
Operating Expenses
1,500,000
Insurance
20,000
Total
4,350,000
First Year Projected Income
Lease Rights to Patents
Sales of Prototypes and Other Equip.
Engineering Design Services
Total
1,000,000
10,650,000
1,200,000
12,850,000
PHASE 3 FUNDING (PROJECTED)
(Phase 3) 10,000,000 shares x $5.00=$50,000,000.00
Second Year Expenditures
Obtain Patents
1 30,000
Build Prototypes
4,300,000
Payroll and taxes
2,500,000
Operating Expenses
2,500,000
Insurance
1 20,000
Total
9,550,000
First Year Projected Income
Lease Rights to Patents
Sales of Prototypes and Other Equip.
Engineering Design Services
Total
2,000,000
10,650,000
2,200,000
14,850,000
CORPORATE MANAGEMENT FLOWCHART
PARTNERSHIPS
CO-OPS
CFO
MANAGEMENT
RESEARCH
EDUCATORS
INVENTORS
RESIDENTIAL
CEO
REVIEW BOARD
. BORDBOARD
INVESTORS/
SHAREHOLDER
S
MANUFACTURING
SUPPLIERS
MARKETING
SALES
INSTALLERS
CUSTOMERS
INDUSTRIAL/
COMMERCIAL
34