Attachment No. 1 - Statement of Work.pdf

Attachment No. 1

APPENDIX A

STATEMENT OF WORK

"2025 Distributed Wind Turbine Competitiveness Improvement Project”

December 23, 2024

1.0 BACKGROUND

Distributed wind (DW) refers to wind energy systems (large and small) connected directly to the distribution grid, on the customer side of the meter, or at an off-grid location to support local loads or grid operations. Market analysis by the National Renewable Energy Laboratory (NREL) suggests there are gigawatts of economically viable distributed wind potential both behind the meter (sited by a residential, commercial, or industrial end-user to serve onsite load) and on local distribution systems. The U.S. Department of Energy (DOE) Wind Energy Technologies Office (WETO) sponsors a multifaceted wind energy technology research and development (R&D) portfolio to develop cost-competitive, high-performance technology to serve this vast U.S. energy resource and supply global distributed energy markets. The 2025 Competitiveness Improvement Project (CIP) aims to support businesses who design and manufacture small- or medium-scale distributed wind turbine technology up to 1000 kilowatts (kW) rated power.

The goals of the CIP are to:

• Support distributed wind energy technology development and innovation to improve reliability, increase performance, and drive down installed costs

• Address the need for inverters that are built specifically for distributed wind turbines, that have achieved listing to national safety and interconnection standards, and that are capable of supporting grid operations

• Develop advanced manufacturing processes to reduce hardware costs and meet growing demand

• Ensure that distributed energy consumers have wind energy technology options that are certified for performance and quality

• Commercialize certified distributed wind technology.

To date, the CIP has yielded numerous successes, including LCOE reductions of greater than 50% and completed certification testing. The CIP is designed to support small businesses pursuing innovative wind technology R&D at multiple phases of the product development cycle, from prototype to commercialization.

2.0 OBJECTIVE

The objective of the CIP is to expand U.S. leadership in the domestic and international distributed energy market sectors by assisting U.S. manufacturers in either lowering the LCOE of wind turbines through design and/or manufacturing process innovations, in obtaining certification/Listing of their technology, and commercializing their improved, certified distributed wind technology. The expected outcome is an increase in the number of certified distributed wind turbines available for the U.S. market and reduction of the LCOE of these turbines installed in distributed applications. Although DW is not defined by size, for this effort the turbine size will be capped at 1000 kW rated power except for Small Turbine Certification and Listing topic area which is capped at 150 kW peak power per the scope of the American National Standards Institute (ANSI)/ American Clean Power Association (ACP) 101-1-2021 The Small Wind Turbine Standard.

3.0 SCOPE OF WORK

Under the CIP, the Subcontractor shall conduct work that fulfills the specific tasks for the corresponding topic area. The scope details for each topic area are provided in this section and the work required is described in the Tasks and Deliverables sections that follow. In all topic areas a disciplined engineering approach and a professional level of documentation is expected. In all topic areas the Subcontractor shall identify a baseline wind turbine design for the project and in the case of innovation around a specific turbine component(s), the selected component(s) must be associated with at least one wind generator and have stated support of the wind generator original equipment manufacturer (OEM). All projects should lead to an increase in the number of certified/Listed wind turbines in the U.S. market and/or reduce the LCOE of these turbines installed in distributed applications.

3.1: Topic Area 1: Prototype Design Development

The scope of work for the prototype design development topic area shall focus on completion of detailed analysis and design of a beta prototype turbine or component to reach readiness for manufacturing of a production prototype. The Subcontractor shall describe a wind turbine or component for this project which has completed, at a minimum the preliminary design stage of development, demonstrating an initial assessment of loads, identifying likely design challenges, and spelling out the next steps of the development process. The Subcontractor shall also describe the potential market space for which the turbine or component is being designed and demonstrate an assessment that the resulting product, once reaching market maturity, will have an

LCOE that is competitive within that market. Design for certification or at least consideration of certification requirements should be documented. The selected component must be associated with at least one wind generator and have stated support of the wind generator OEM. Proposal can include proof of function testing for turbine or components but is not meant to fund manufacturing, installation, or testing of full prototype systems. NREL will provide technical and testing guidance including conducting a technical design review which may identify design and testing challenges that will likely need to be addressed for success. As part of the technical design review, NREL will complete a detailed concept viability assessment which must be successful to secure the full requested funding amount. The project result is expected to be a final design of a prototype turbine or component which would allow the manufacturer to construct and then test their prototype.

3.2: Topic Area 2: Prototype Manufacture

The scope of work for the prototype manufacture topic area shall be construction of a production prototype of a full turbine system that is ready for prototype testing. The Subcontractor is expected to have completed a CIP Prototype Design Development contract or have done similar work to develop a complete production design for the identified turbine. The Subcontractor shall also describe the potential market space for which the turbine is being designed and demonstrate an assessment that the resulting product, once reaching market maturity will have an LCOE that is competitive within that market. Design for certification or at least consideration of certification requirements should be documented. This topic area can include the purchase or manufacturing of all turbine components including the turbine, tower, and controls/power conditioning equipment. Part of those costs can include tooling and non-recurring engineering expenses for tooling and manufacturing at a prototype scale. Because a significant portion of project expenditures is expected to be used for the purchase of durable goods, a higher participant price participation is required so that U.S. Government funds are not used to purchase equipment that will have a useful life after the completion of the project. The prototype turbine can be used for dynamometer-based testing or installed at an identified location. Prototype Manufacture proposals should only be considered for turbine systems that has undergone full system prototype development and have production ready design documentation to support prototype fabrication. The project result is expected to be a final prototype turbine, manufactured and ready for installation and testing.

3.3: Topic Area 3: Prototype Installation and Testing

The scope of work for the prototype installation and testing topic area shall focus on testing a prototype turbine or component to determine the commercial readiness. If desired, the Subcontractor may also request funding for the installation of the turbine or component at an appropriate location to initiate prototype testing. The Subcontractor shall identify a baseline wind turbine design that shall be the focus of this project. The expectation is that this project would address key design questions or issues that can only be investigated through full prototype testing. Although focused on one baseline turbine design, project elements can include the investigation of different component options.

To increase the probability of the new turbine design being reliable for the full warranty period and beyond, it is recommended that turbine testing include:

• Loads data from at least one blade, flapwise and edgewise

• Main shaft bending

• Tower base bending

• Wind speed and direction

• Grid conditions

• Ground current (high speed to capture lightning events)

• Turbine generator power, voltage and current

• DC power, voltage and current (if appropriate)

• Inverter output power, voltage and current (and diversion load if applicable)

The purpose of gathering and analyzing these data is to look for outliers in the loads or electrical parameters and determine the cause. This will allow a determination of the possibility that other sites will produce significantly more frequent high loads than the test site and require larger factors especially on major components that are expected to last the life of the system. For the electrical components/systems, the data can provide information on events such as lightning and grid excursions and how they stress the system.

The project results are expected to lead to a final turbine or component design that is ready for certification and serial production. This will support an increase in the number of U.S.–manufactured certified wind turbine products and reduce the LCOE of these products installed in distributed applications.

3.4: Topic Area 4: Component Innovation

The scope of work for the component innovation topic area shall focus on significant improvements of specific component(s) of an existing turbine design. Proposed efforts should focus on high-impact components, such as foundations, towers, alternators, rotor components, power conversion, controls, and associated hardware to allow technology to be more competitive in their existing market or become competitive in new market applications. Proposals for Component Innovation must identity a baseline turbine for which the innovation will apply. If the proposal is not submitted by the manufacture of the baseline turbine, a letter of commitment must be included as part of the proposal along with a description of project collaboration. For components that can be applied to multiple turbines, identification of other turbines and additional letters of support are encouraged. Component Innovation proposals should only be considered for turbine systems that have undergone full system prototype development. The Subcontractor shall conduct work that supports designing, fabrication, testing and/or certifying improved component(s) for the baseline turbine. Elements of improvements and plans for a rigorous study for the development and manufacture of the component must be identified, including an assessment of certification requirements specific to the new component.

The improved component should result in reduced life cycle cost and/or increased performance, resulting in a lower LCOE and/or providing additional benefits, such as increased performance or higher reliability. Projects that increase cost but have sufficient performance improvements to lower the LCOE are acceptable. Benefits that are difficult to quantify explicitly, such as potentially higher availability resulting from system maintenance improvements, should be discussed in the proposal text.

Component Innovation can also be used to develop turbine components that will allow the baseline turbine to enter new market areas, such as a tower configuration to allow installation in locations with limited crane access.

The Subcontractor shall show that the component innovation results in an improved wind energy system performance and must provide the technical rationale for the proposed improvement, carefully assessing the associated risks and benefits. In the case of proposals developing a new application for existing technology, documentation must be provided to articulate the market and value that distributed wind would add in relation to existing methods of meeting energy needs in that market. The baseline costs, and proposed costs resulting from the proposed improvement, shall be provided in the proposal (see Attachment 4) as well as an indication of LCOE for competing technologies, especially for new market areas. LCOE parameters that cannot be directly quantified or documented, such as a potential efficiency increase, improved reliability, and reduced replacement, operations and maintenance costs should be articulated but not explicitly included in the LCOE calculation.

This scope of work emphasizes a disciplined engineering development process, tests to verify component, process, or system designs, and documentation necessary for certification and product commercialization. Consideration of multiple components will be considered, however if targeted at multiple interrelated components, System Optimization topic area may be more appropriate. The project results are expected to lead to an improved, certified production turbine with expanded capabilities, a lower LCOE over the baseline and/or the development of components that will allow the baseline turbine to compete in a new market with a significant advantage over existing options.

3.5: Topic Area 5: System Optimization

The scope of work for the system optimization topic area shall focus on high-impact innovation across a full wind turbine system or subsystems leading to improved performance, reliability, cost, and/or advanced functionality. Proposed efforts should focus on high-impact subsystems, such as but not limited to the power conversion and controls, support structure (towers, foundations, and erection), drive train or application tailored products in which a change in one component will require expanded innovation in other related components. The Subcontractor shall select a specific system, subsystem or component(s) of a specific baseline wind turbine. The improved system development process, in general, involves the design and if appropriate fabrication of new systems, subsystem or combinations of components. Although it can be included, it is not expected that the new system or sub-system will have undergone certification but should include design for certification to ensure the resulting turbine can be (re-) certified.

The Subcontractor shall show that the innovation results in an improved wind energy system performance and must provide the technical rationale for the proposed improvement, carefully assessing the associated risks and benefits. The system or subsystem should be optimized such that the cost and performance changes result in a reduced LCOE over the life of the turbine. The baseline costs, and proposed costs resulting from the proposed improvement, shall be provided in the proposal (see Attachment 4). LCOE parameters that cannot be directly quantified or documented, such as a potential efficiency increase, improved reliability, and reduced replacement, operations and maintenance costs should be articulated but not explicitly included in the LCOE calculation.

This scope of work emphasizes a disciplined engineering development process, tests to verify component, process, or system designs, and documentation necessary for certification and product commercialization. If the subsystem is simple such as the rotor of a stall regulated wind generator or the drivetrain of a turbine with a direct drive alternator, then the Component Innovation topic area may be a better fit. It is not recommended that a component manufacturer be the principal in a system optimization proposal unless they manufacture the whole subsystem being optimized. If the proposal is not submitted by the manufacture of the baseline turbine, a letter of commitment must be included as part of the proposal along with a description of project collaboration.

System Optimization proposals should only be considered for turbine systems that have undergone full system prototype development. The project results are expected to lead to an improved turbine design with a lower LCOE over the baseline, ready for fabrication, prototype testing, (re-)certification and product commercialization.

3.6: Topic Area 6: Small Turbine Certification and/or Listing

This topic area is intended for turbines certifying to ANSI/ACP 101-1-2021 The Small Wind Turbine Standard. The Subcontractor may also include work to List the turbine assembly or component(s) to applicable electrical safety standards or other U.S.

standards (e.g., UL 6142). Listing may be the sole effort in this topic area if the subject turbine is already certified or is in the process of certification. For turbine certification projects, this topic area has a cap of 150 kW peak power per the scope of ACP 101-1.

Small Turbine Certification consists of three (3) key stages: Design Review, Task 4.2, Certification Testing, Task 4.3, and Turbine Certification including structural analysis, Task 4.4. Based on a Design Review, NREL will decide whether the turbine or component design is likely to meet the design criteria for certification or Listing, at which point funding for the remaining two stages will be released. This is an NREL internal review; the certifying body selected by the Subcontractor will do its own review for certification.

Project costs should include initial costs to support turbine surveillance as described in ACP 101-1-2021 (e.g., initial factory inspection, field inspection setup including remote monitoring and site identification) but is not expected to cover the full cost of on-going turbine surveillance. Data sharing with NREL will be a requirement during the project period of performance.

The project is expected to result in a turbine that has undergone all steps leading to certification/Listing.

3.7: Topic Area 7: Inverter Listing

This topic area is intended for the Listing of distributed wind turbine inverters to applicable electrical standards (e.g., UL1741-SB). Pre-listing efforts such as programming to ensure inverter functionality and in-house testing are eligible. This topic area is not intended for the development of a new inverter, rather there should be an existing inverter design that is being improved to meet the requirements of the identified, applicable standard(s). The Subcontractor shall work with a Nationally Recognized Testing Laboratory (NRTL) with a scope of test standard(s) that includes the applicable inverter standard(s) for the Listing effort. Inverter testing may be performed at the NRTL’s laboratory facility or at the Subcontractor’s facility, witnessed by the NRTL.

The project results are expected to lead to a Listed inverter to be used with a distributed wind turbine(s) in the U.S. market.

3.8: Topic Area 8: Type Certification and Listing The scope of work for the Type Certification and Listing topic area shall focus on type certification through the International Electrotechnical Commission Renewable Energy (IECRE) System (the International Electrotechnical Commission (IEC) system for certification to standards relating to equipment for use in renewable energy Applications). Turbines of any size, meeting the distributed wind turbine definition in Section 2.0, may pursue type certification per IECRE Operational Document OD 501 (Type and Component Certification Scheme). Turbines up to 200 m2 rotor swept area may pursue type certification per IECRE Operational Document OD 554-1 (Type Certification Scheme for small wind turbines).

NREL strongly encourages manufacturers of turbines with a peak power up to 150 kW to pursue ACP 101-1 certification through Topic Area 6 given the higher cost of IECRE type certification and that IECRE is the only certification pathway available to turbines with peak power greater than 150 kW. Manufacturers of turbines up to 150 kW who choose to offer under this topic area should provide a strong justification for why IECRE type certification is essential to increase the potential U.S. market impact of their turbine system. Note that to obtain an IECRE type certificate the certification must be conducted by a Renewable Energy Certification Body (RECB) accepted by IECRE.

Type Certification consists of the following six (6) modules: design basis evaluation, design evaluation, type testing, manufacturing evaluation, final evaluation, and final type certificate as described in the respective IECRE Operational Document. NREL will make a go/no-go determination depending on the outcome of the Design Basis Evaluation. NREL will make a second go/no-go determination after the Design Evaluation is completed.

The project results are expected to lead to a globally certified production turbine available in the U.S. market.

Listing. The Subcontractor may also include work to list the turbine assembly, including controls and turbine subcomponents, to applicable electrical safety standards or other U.S. standards (e.g., UL 6141).

3.9: Topic Area 9: Manufacturing Process Innovation The scope of work for the manufacturing process innovation topic area shall be focused on process advancements that will result in a more economic and reliable product and/or to meet growing market demand. Upgrades are intended to be in the manufacturing equipment, supply chain, quality control, and effective process development and organization. Products include complete distributed wind energy systems or major components or sub-systems such as towers, foundations, blades, and power electronics. This scope of work emphasizes a disciplined engineering development process, tests to verify process, and documentation necessary for certification and product commercialization but is not intended to require the development of fully new manufacturing processes.

The Subcontractor shall select a baseline wind turbine or component that shall be the focus of this project and shall conduct work that supports designing, building, and or testing improved manufacturing processes. This topic area can include the production or purchase of tooling or manufacturing equipment for the manufacturing innovation as well as costs associated with re-certification or conformity assessment of the turbine with the updated component, assuming that a new full system re-certification is not required. NREL funding can be used to support many aspects of the project, including design, engineering and prototype part development and product validation, but cannot be used for the purchase of durable goods or equipment, which should be covered under Subcontractor price participation. Manufacturing innovations may focus on improved product cost, quality, reliability, and manufacturing automation. The baseline costs, and proposed costs resulting from the proposed improvement, shall be provided in the proposal (see Attachment 4).

The project results are expected to lead to a product that is an improved, certified production turbine or a significant part of one, with a lower LCOE, improved reliability, and/or increased production over the baseline.

3.10: Topic Area 10: Technology Commercialization The scope of work for the Technology Commercialization topic area shall be focused on the commercialization of certified distributed wind energy technology. This topic area is targeted at helping small companies with the costs associated with the commercialization process and developing partnerships with pathways for scale. Target markets should align with the top opportunities identified in the Distributed Wind Energy Futures Study1 conducted by NREL including agricultural lands, agricultural businesses, and commercial and industrial applications, especially in rural areas. Products include complete distributed wind energy systems or major components or sub-systems such as towers, blades, and power electronics. Products must be certified, listed or formally in the process to become so. Appropriate activities include, but are not limited to, business model development, analysis of potential markets, development of key partnerships that can offer significant scaling, development of tools for customer and site qualification, processing incentives and financing, supporting training of installers and dealer networks, and analysis of ownership models, all which come at high financial risk because companies have not developed a project inventory to support such efforts.

These initial commercialization activities should develop partnerships for impactful scale-up and establish a permitting, interconnection, and deployment pathway that lowers the barrier for an acceleration of subsequent deployments.

NREL or other national laboratories can provide technical assistance to the Subcontractor in supporting market development, such as through the implementation of tools or procedures developed by DOE, such as WindWatts Distributed , Distributed Generation Market Demand (dGenTM) model and other applicable lab-based tools.

The result of the project is expected to be an implemented commercialization plan, engineering, or other pre-development work to support greater technology access, and development of partnerships that enables access to new or existing products in new markets at an impactful scale. This topic area does not cover the development of promotional materials and project-specific sales activities including lead generation, follow-up, locations specific design or permitting and closing costs.

4.0 TASKS

The Subcontractor shall perform the work, conduct the meetings, and satisfy the deliverables for the following topic areas. The Subcontractor shall comply with the technical requirements described herein. There are ten (10) topic areas covered under the 2025 CIP. All tasks and deliverables for each topic area are described separately except for the communications task which is identical for all topic areas.

Task 4.1: Communications (applies to all Topic Areas):

The Subcontractor shall provide information to and engage in scheduled communications with the NREL Technical Monitor throughout the period of performance to include:

1 https://www.nrel.gov/analysis/distributed-wind-futures.html https://www.nrel.gov/analysis/distributed-wind-futures.html https://www.nrel.gov/analysis/distributed-wind-futures.html

1) A summary of the work effort, void of business sensitive information, shall include but is not limited to the following information [NREL will provide a template]:

o Company Name o Company Contact/Principal Investigator o Project Title o Project Start Date/End Date o Project Budget (Subcontractor cost-share, NREL contribution, total) o Statement of Problem o Proposed Solution o Project Deliverables and Milestones o Work to be Performed o Project Outcome o Anticipated Benefits o Collaborating Entities/Type of Support o Reasons for Participation o Past CIP Awards o Awardee Quotes o Product Images

2) Information on the work effort suitable for inclusion in NREL and DOE news articles, to include high-resolution photos relevant to the effort for inclusion in NREL’s photo database and for public dissemination;

3) Photographs or other images that can be used by DOE and NREL in external communications products or web content;

4) Participation in monthly conference calls with the NREL team;

5) Quarterly project progress reports; and,

6) Potential site visits for DOE and NREL to discuss the work effort.

The following tasks are broken out by topic area, starting with Task 4.2.

Topic Area 1: Prototype Design Development

The effort shall consist of four (4) key components: Design Evaluation based on current engineering knowledge and testing, Task 4.2, identification of critical design considerations, Task 4.3, that must be resolved prior to formal design efforts and the implementation of a development plan to address these considerations, Task 4.4. This would be followed by the development of final design, prototype manufacturing and testing plan, Task 4.5, and the production of final design drawings, Task 4.6. The Subcontractor is then required to submit a refined LCOE assessment (Attachment 4) based on the final product or application, Task 4.7. Based on a detailed design evaluation in Task 4.2, NREL shall make a determination whether the turbine under consideration is likely to lead to a product that is cost competitive in its defined market and can be certified. NREL will complete this assessment of viability based on the information presented prior to implementation and funding for further work. The below table provides an overview of the tasks associated with this work effort.

Task Primary Subcontractor activities Laboratory Assistance

Task 4.1 Communications

See 4.1 above. Develop communication products

Task 4.2: Concept Design Evaluation

Collection of technical and economic information on turbine design. Presentation of turbine concept to laboratory technical staff

Technical design review – provision of feedback on turbine or component concept

Task 4.2: Concept Design Evaluation

The Subcontractor shall submit the turbine design (or component) proposed to a technical design evaluation. The technical design evaluation will be consistent with the standard that the OEM expects to certify the turbine to. The technical design evaluation will be directed by NREL using subject matter experts available in house or from other DOE National Laboratories as appropriate. The review will include a detailed technical review meeting with the Subcontractor presenting a review of the technical concepts, performance estimation, cost assessment and responding to questions from the experts. The Subcontractor shall provide an estimation loads that will have to be determined by testing and performance assessment as part of this process. If the loads data for planned certification will be developed based on loads measurements on the turbine, some method of estimating loads analytically must be developed. While this work effort is configuration agnostic, the Subcontractor must show capability to develop loads that NREL can be confident are reasonable and based on sound engineering.

Based on the design evaluation, NREL will determine whether the turbine (or component) design is technically viable and ready for the next stage of development (this will be a go/no-go decision which continuation of the project will be conditioned upon). The intent of this evaluation is to ensure that the turbine or component is ready to progress to production design and is potentially technically and commercially viable. It is expected that technical problems and challenges will be identified that will be addressed during the next stage of development. As long as the challenges appear to be solvable, and the concept is otherwise viable the project can be approved for the next stage. Examples of potential gaps or issues may include:

• Analysis of turbine design loads

• Development of specific loads analysis models in defined tools (e.g. OpenFAST)

• Detailed manufacturing cost estimation

• Assessment of materials or manufacturing processes

• Review of technical or cost analysis

Go/No Go Decision NREL shall make a go/no-go determination on whether the project has a basis for moving forward

Task 4.3: Problem Resolution Plan with Technical Support

Identification of additional work needed to complete turbine design efforts

Provision of feedback on gaps analysis, capabilities required, and types of entities qualified to provide technical and testing services as needed.

Technical design and process feedback throughout.

Task 4.4: Problem Resolution with Technical Support

Implementation of additional research and analysis tasks

Task 4.5: Final Design, Beta Unit Construction, and Testing Plan

Development of a final design, beta unit construction, and testing plan

Task 4.6: Final Turbine Design

Production of detailed final design documentation and drawings which may include additional testing and design efforts

Task 4.7: Final Report and LCOE

Final reporting Review and compliance

• Other efforts that a small company may not have the capabilities to achieve.

If a no-go decision is made, NREL will provide recommendations on areas of increased technical investigation.

Task 4.3: Problem Resolution Plan with Technical Support

The Subcontractor shall develop a problem resolution plan that addresses all problems and challenges identified in Task 4.2. The plan shall include a summary of the issues and gaps identified, the approach for resolution, and the resources (people, vendors, and tools) they expect to use. The plan shall include technical support needs from others as appropriate.

Task 4.4: Problem Resolution with Technical Support

The Subcontractor shall implement the problem resolution plan developed in Task 4.3 above and document the results. Documentation shall include the results of the problem resolution effort including challenges, an explanation of differences between the planned effort and actual effort required, and a summary of the solutions developed.

Task 4.5: Final Design, Beta Unit Construction, and Testing Plan

The Subcontractor shall submit a plan to the NREL Technical Monitor for the final (production) design development which may include construction of beta-prototype units and, if needed, testing of the beta-prototype components or units if uncertainty in the analysis justifies specific testing prior to the development of a full production prototype.

The plan shall include technical support needs from others, as appropriate if specific beta-prototype design testing is needed. A schedule and budget shall be included in the plan. Once the plan is approved by the NREL Technical Monitor, the project will be allowed to proceed.

Task 4.6: Final Turbine Design

The Subcontractor shall implement the work identified in Task 4.5 resulting in the completion of the turbine design. The end-product shall be a final (production) design package that includes design drawings, loads analysis, manufacturing cost and performance calculations. These products will be sufficiently developed that they could be used for the building of a production prototype for prototype testing.

Task 4.7: Final Report and LCOE

The Subcontractor shall develop a report that documents the challenges and benefits of the prototype design development. They shall also provide a LCOE calculation with a baseline cost calculation along with an explanation of any changes in the LCOE calculations as compared to original early estimations. It is not unusual that the LCOE increases with a more developed design.

Topic Area 2: Prototype Manufacture

The Subcontractor shall construct a production prototype of its turbine. The effort shall consist of four (4) key components: Design Evaluation, Task 4.2, manufacturing plan development, Task 4.3, and construction of the prototype turbine, Task 4.4.The Subcontractor is then required to submit a refined LCOE assessment (Attachment 4) based on the final product or application, Task 4.6. Based on a design evaluation conducted under Task 4.2, NREL shall make a determination on whether the turbine under consideration meets the design criteria for prototype construction. The below table provides an overview of the tasks associated with this work effort.

Task 4.2: Design Evaluation

The Subcontractor shall submit the turbine design proposed to a technical design evaluation. The technical design evaluation will be consistent with the standard that the OEM expects to certify the turbine to. The technical design evaluation will be directed by NREL using subject matter experts available in house or from other labs as appropriate. The evaluation will include a detailed technical review meeting preferably in person hosted at NREL with the Subcontractor presenting a review of the technical concepts, performance estimation, cost assessment and responding to questions from the experts.

Based on the design evaluation, NREL will determine whether the turbine is ready for prototype construction (this will be a go/no-go decision which continuation of project will be conditioned upon). The intent of this review is to ensure that the turbine in the current configuration is a mature enough design for certification testing and manufacturing production and that it meets market requirements to be competitive.

Development of loads must be thorough and consistent with the certification planned. If the loads data for certification are to be developed based on loads measurements on the turbine, some method of estimating loads analytically must have been developed and provided. While this offering is configuration agnostic, the Subcontractor must show capability to develop loads that NREL can be confident are reasonable and based on sound engineering. At this stage, some level of pre-production prototype testing may already have been essential for a turbine that will be certified based on measured loads.

Task Primary Subcontractor activities Laboratory Assistance

Task 4.1 Communications

See 4.1 above. Develop communication products

Task 4.2:

Design Evaluation

Collection of technical and economic information on turbine design.

Presentation of prototype design to laboratory technical staff

Technical design evaluation

– provision of feedback on turbine design details

Go/No Go Decision

NREL shall make a go/no-go determination on whether the project has a basis for moving forward

Task 4.3:

Manufacturing and Tooling Plan

Provide a detailed manufacturing plan Technical design, process, and deliverable-specific feedback throughout.

Task 4.4:

Turbine Construction and Assembly

Document the construction of the prototype turbine or component

Task 4.5:

Revised Levelized Cost of Energy Report

Final reporting with revised LCOE

Task 4.3: Manufacturing and Tooling Plan

The Subcontractor shall provide a detailed manufacturing plan that includes identification of vendors for each component, suppliers for materials, and tooling required for each component that the Subcontractor will manufacture in house. An itemized cost accounting will be prepared that covers part costs for the prototype and volume production, non-recurring engineering, tooling, facilities, burdened labor, and any other costs for manufacturing. The plan will include a QA/QC process plan and a manufacturing documentation management process.

Task 4.4: Turbine Construction and Assembly

The Subcontractor shall submit a report documenting the construction of the prototype turbine. The report shall include all lessons learned during the construction of the turbine including manufacturing or process changes that were identified during the construction. The Subcontractor shall create servicing manuals and submit them with this report.

Task 4.5: Revised Levelized Cost of Energy Report

At the completion of the prototype construction effort, the Subcontractor shall develop a revised LCOE, comparing the baseline, proposed and actual cost elements. The Subcontractor shall summarize the final system costs and describe, in detail, how and why it is consistent or different from the estimates included in the original proposal.

Topic Area 3: Prototype Installation and Testing

The Subcontractor shall conduct prototype testing of its turbine or turbine component.

Optionally, the Subcontractor may choose to fund the installation of the turbine or component at the testing location. The effort shall consist of three (3) key components including a design review (Task 4.2), development of a test plan/specification (Task 4.3), and reporting of test results (Task 4.4). Based on a detailed design review, NREL shall make a determination on whether the turbine or component under consideration meets the design criteria for prototype testing. The below table provides an overview of the tasks associated with this work effort.

If installation is included as a specific project outcome, deliverables (Section 6.0) should be included to document the installation of the turbine, incorporating separate payments and specific timelines.

Task Primary Subcontractor activities Laboratory Assistance

Task 4.1 Communications

See 4.1 above. Develop communication products

Task 4.2:

Design Review

Collection of technical and economic information on turbine design.

Presentation of prototype design to laboratory technical staff

Technical design review – provision of feedback on turbine design details

Go/No Go Decision

NREL shall make a go/no-go determination on whether the project has a basis for moving forward

Task 4.3: Test Specification

Provide a detailed description of the tests to be performed and data collection system

Technical design, process, and deliverable-specific feedback throughout.

Task 4.2: Design Review

The Subcontractor shall submit the proposed turbine or component design to a technical design review. The design review will be consistent with the standards that the OEM expects to certify the turbine or component to. The technical design review will be directed by NREL using subject matter experts available in house or from other DOE National Laboratories as appropriate. The review will include a technical review meeting with the Subcontractor presenting a review of topics based on discussions with the NREL technical monitor, but are likely to include the technical concepts, performance estimation, testing efforts to be undertaken, cost assessment and responding to questions from the experts.

Based on the design review, NREL will determine whether the turbine or component is ready for prototype testing (this will be a go/no-decision which the remainder of project funding will be conditioned upon). The intent of this review is to ensure the turbine or component will benefit from prototype testing in its current configuration – and will subsequently be positioned for certification testing. For turbines, development of loads must be done in a manner that is consistent with the certification planned. While this offering is configuration agnostic, the Subcontractor must show capability to develop loads that NREL can be confident are reasonable and based on sound engineering.

Task 4.3: Test Specification

The Subcontractor shall provide a detailed description of the tests to be performed on the prototype system, as well as a detailed description of the test site, the instrumentation that will be used, the data that will be collected, the analysis methods that will be applied, and the schedule for the testing.

Task 4.4: Test Report

The Subcontractor shall submit a report documenting the results of the prototype testing, including details of the instrumentation used, the data that were collected, the analysis methods that were applied, and the test and analysis results. Special attention in analysis results shall be given to outlier data and the possibility that common sites will have more outlier loads or grid conditions seldom seen at the test site.

Topic Area 4: Component Innovation

The effort shall consist of three (3) key components: The detailed investigation of the current component or situation and the issues associated with the status Quo, with specification of the desired replacement or outcome, Task 4.2. The second is the development of a product development plan which will lay out the steps that will need to be taken to develop a new component or application, from initial design through fabrication and testing, including steps required to ensure product certification, Task 4.3.

Finally, the implementation of that development plan, resulting in a finished product.

Task 4.4. The Subcontractor is then required to submit a refined LCOE assessment (Attachment 4) based on the final product or application, Task 4.5. The below table provides an overview of the tasks associated with this work effort.

Task 4.4: Test Report

Provide a report documenting the results of the prototype turbine testing and analysis of the data obtained

Task 4.2: Status Quo Analysis, Opportunity Identification, New Specifications:

The Subcontractor shall provide a brief analysis of the opportunity the work effort under this topic will address, starting from the current situation in terms of product configuration and performance, as well as engineering data accumulated to date. This includes drawings, reports, testing data, analysis data and spreadsheets, photographs, etc., that can help identify the requirements of the component of interest. The Subcontractor shall also provide a letter report listing the specifications and requirements of the improved component.

The letter report shall also include a discussion of the advantages of the proposed component innovation in terms of manufacturing, reliability, safety, performance and cost together with expected results (e.g., comparisons of load or stress, fatigue life, installation costs, manufacturing costs, etc.).

Task 4.3: Detailed Product Development Plan:

The Subcontractor shall identify all the necessary steps for the engineering of the improved component, from conceptual to detailed design, including the methods and tools that are planned for the work. The Subcontractor shall identify the standards being followed and outline the procedures for qualifying the design to meet applicable certification and Listing standards, including the assessment of additional system elements that may be impacted by the proposed component change. For components that are structural, the outline of procedures shall specifically address the approach for the derivation of loads and demonstrate that the turbine design is qualified to use that loads derivation approach for certification.

Task Primary Subcontractor activities Laboratory Assistance

Task 4.1 Communications

See 4.1 above. Develop communication products

Task 4.2:

Status Quo Analysis, Opportunity Identification, New Specifications

Describe the current situation and advantages of the proposed component innovation. Provide specifications and requirements of the improved component.

Technical design, process, and deliverable-specific feedback throughout.

Task 4.3:

Detailed Product Development Plan

Identify all the necessary steps for the engineering of the improved component, from concept to detailed design to certification, including the methods and tools that are planned for the work.

Task 4.4:

Implementation and Analysis

Provide details on the implementation of the development plan including any component-specific analysis or testing required for re-certification.

Task 4.5:

Revised Levelized Cost of Energy

All the above items shall be summarized in a Detailed Product Development Plan document and submitted to NREL for review. A Product Development Plan shall include, but is not limited to, the following items:

• Product requirements

• Engineering effort

• Prototype development

• Testing effort

• Tooling development

• Manufacturing plan

• Certification and Listing plan

The plan should describe the full process through product certification and Listing, and stipulate what work is projected to be completed as part of the proposed effort.

Task 4.4: Implementation and Analysis:

The Subcontractor shall execute and complete the component improvement effort as described in the Task 4.3 plan, which may include, where applicable, certification or Listing of the component in question. Otherwise, certification and Listing may be excluded from this effort. For all structural components, the Subcontractor shall submit a structural analysis report of the component(s) under investigation or impacted, including any test reports, detailed drawings, solid models, and results of models and finite element analyses. If a software or electro-technical component is the focus of the analysis and design, then a detailed analysis report (including thermal analysis if appropriate) shall be submitted in lieu of the structural analysis (e.g., control system design) report. Any software developed is not a deliverable. The report on the software development is the deliverable.

If applicable, fatigue damage estimates and associated expected lifetimes of the components shall be reported comparing the new and old configuration data. The standards and codes used in the analyses shall be stated in the report, with particular emphasis on the methodology and assumed load and material safety factors.

If in the determination of the applicable approval agency, component-specific analysis or testing can allow for re-certification of the turbine, that can be included, however full turbine certification or type certification testing of the complete system is not supported under the Component Innovation topical area. Listing of components that are developed under this topic can be included.

Task 4.5: Revised Levelized Cost of Energy:

At the completion of the component innovation work effort, the Subcontractor shall develop a revised LCOE, comparing the baseline, proposed and actual cost elements, and performance. The Subcontractor shall use an original form of Attachment 4 to document final costs, expected final performance and resulting LCOE. The Subcontractor shall summarize the final system costs and performance, and describe, in detail, how and why it is consistent with or different from the estimates included in the original proposal.

Topic Area 5: System Optimization

The effort shall consist of three (3) key components: The detailed investigation of the current system, subsystems or situation and the issues associated with the current system, with specification of the desired replacement or outcome, Task 4.2. The second is the development of a plan which lays out the steps to be taken to develop a new system or subsystem which will result in an improved system. At a minimum this plan will result in a detailed engineering design that can be used for the fabrication. Any component level testing that should be undertaken to finalize design should be included in addition to an assessment of what will be required to ensure product certification, Task 4.3. Finally, the implementation of that development plan, resulting in a finished product. Task 4.4.