COMMERCIALIZATION

In 2009, the National Oceanic and Atmospheric Administration (NOAA), the National Ocean Service (NOS) and the Office of Ocean and Coastal Resource Management (OCRM) issued a report providing a qualitative analysis of the technical readiness of seven key components of OTEC technology: cold water pipe, platform/pipe interface, heat exchangers, platform, pumps and turbines, power cable, and platform mooring.

The report served as a resource for NOAA OCRM and governmental decision-makers, as well as the OTEC community to summarize the current state of technical readiness and identify key research needs.

The Workshop concluded:

Ocean Thermal Energy Conversion (OTEC) is a technology that dates back to the late 1800’s and makes use of temperature differences between surface and deep ocean waters to drive a heat engine, and extract energy via the Rankine cycle. While pilot scale plants (< 1 MWe) have successfully generated energy, a combination of technical and economic feasibility limitations tempered investment and interest in OTEC. However, the decreasing supply, and increasing costs, of fossil fuels, advancements in OTEC technology, renewable energy mandates, and energy security concerns have resulted in a resurgence in interest in OTEC for tropical locations.
As the lead licensing agency for OTEC, NOAA’s Office of Ocean and Coastal Resource Management (OCRM), in cooperation with the Coastal Response Research Center (CRRC), held the first in a series of workshops to determine the technical readiness of seven major components of OTEC: 1) cold water pipe; (2) heat exchangers; (3) platform/pipe interface; (4) platform; (5) power cable; (6) platform mooring system; and (7) pumps and turbines. The first workshop, discussed in this report, sought to gather information on the technical readiness of OTEC and evaluate advancements to the technology since the last major attempt, OTEC-1 in 1980.
The qualitative analysis of the technical readiness of OTEC by experts at this workshop suggest that a < 10 MWe floating, closed-cycle OTEC facility is technically feasible using current design, manufacturing, deployment techniques and materials. The technical readiness and scalability to a > 100 MWe facility is less clear. Workshop participants concluded that existing platform, platform mooring, pumps and turbines, and heat exchanger technologies are generally scalable using modular designs (several smaller units to achieve the total capacity needed), however, the power cable, cold water pipe and the platform/pipe interface present fabrication and deployment challenges for ≥ 100 MWe facilities, and further research, modeling and testing is required. The experience gained during the construction, deployment and operation of a ≤ 10 MWe facility will greatly aid the understanding of the challenges associated with a ≥ 100 MWe facility, and is a necessary step in the commercialization and development of OTEC.

Ocean Thermal Energy Corporation (OTE) is advanced with its stated mission of commercializing OTEC technology. OTE’s engineers participated in the design and construction of a working R&D plant at the Natural Energy Laboratory of Hawaii Authority (NELHA). Additionally, OTE has prepared multiple technical feasibility studies and system designs for the US Government and private customers. Thousands of peer-reviewed studies describing the merits of OTEC technology have been published by Company Scientists and Engineers.

OCEES International, Inc is a wholly owned subsidiary of OTE and has 21 years of experience in the research and design of OTEC systems.

OCEES has also been awarded Small Business Innovation Research (SBIR) credentials with the US Government. Under the SBIR program rules, a contract for an OTEC power system may be expedited. OCEES has already completed OTEC feasibility studies and technology application designs (phase 1 and 2). With appropriate technical review, phase 3 allows a contract for a commercial-grade OTEC system to be issued.

OCEES engineers and technical consultants have been involved in OTEC research for many years:

  • First net power generation achieved by Mini-OTEC in Hawaii in 1979 (18 kW net)
  • Japanese demonstrated land-based net production in 1981 in Nauru (31.5 kW net)
  • OTEC research and demonstration in Hawaii from 1983 – 1999 (resulting in the largest net power-producing OTEC system to date – 50 kW net at the Natural Energy Laboratory Hawaii - NELHA)
  • Three cold water pipes providing continuous service to NELHA tenants (oldest since 1987). These tenants utilize the water from the OTEC pipeline systems that pump nutrient-rich deep and surface seawater to shore 24/7
  • NELHA tenants are involved in water bottling, fish farming and shellfish farming and generate about $30-40 million per year in total economic impact, including tax revenues, over 200 jobs, construction activity and high-value product exports (http://www.nelha.org/tenants/commercial.html)
  • OTEC pipes in Hawaii have survived category 4 hurricanes and 6.9 earthquake within 8 miles of epicenter
  • Recent technology enhancements to the Rankine Cycle (OTEC power cycle), have made the production of OTEC power even more efficient and cost-effective
  • OCEES has been a part of many different OTEC Development Teams, including one with Lockheed Martin and other technical engineering companies:

Lockheed Martin OTEC Team

 

After many years of R&D, Ocean Thermal Energy Conversion (OTEC) technology is finally ready for large-scale commercialization.