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Archive for the ‘green startups’ Category

powerstring-picMost people think of National Semiconductor as a chip company. But the Silicon Valley mainstay has been moving into the solar business and on Thursday it scooped up Act Solar, a startup that makes equipment designed to maximize power production from photovoltaic panels.

Act Solar, a three-year-old Santa Clara, Calif.-based company, developed the PowerString, a device that recirculates energy in a rooftop solar array to keep all panels producing electricity in the event that shade, dirt or glitches affecting one solar module don’t impact others. PowerString also allows solar array owners to wirelessly monitor the performance of their systems.

National Semiconductor (NSM) already makes diagnostic and measuring equipment for use in maximizing electricity production from solar panels and will fold Act Solar into that division. “Early field tests and historical modeling have shown that this [Act Solar] solution can cumulatively deliver 40 to 80 percent more power over the operating life of a solar panel installation,” National Semiconductor said in a statement.

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thnk-city-michigan-usa_imagelarge

photo: Think

Norwegian electric car company Think announced Thursday that it will open a factory in the United States in 2010 to produce its City urban runabout.

Think CEO Richard Canny, a former Ford executive, is in Ann Arbor, Mich., this week meeting with officials from eight states vying for the factory. But don’t put in your order just yet – only 2,500 cars will roll off the assembly line the first year and they will be reserved for demonstration projects and fleet sales.

“The U.S. is quickly overtaking Europe as an attractive market for EVs and is an ideal location to engineer and build EVs,” Canny said in a statement. “We see ourselves playing a small but potentially growing role in re-inventing the U.S. auto industry by bringing back new manufacturing jobs to the U.S.”  Think has not yet responded to Green Wombat’s inquiry about which states, other than Michigan, is in talks with the company for the factory.

How Think will finance its North American expansion remains an open question. Just three months ago the company was teetering on the edge of bankruptcy as the global financial crisis cut off capital and forced Think to idle its Norwegian factory and lay off workers. The company obtained $5.7 million interim financing in January and recalled some workers. A report on Treehugger Thursday cited sources that said Think was contemplating relocating to Sweden or the U.K.

Think spokeswoman Katinka Von Der Lippe told Green Wombat on Thursday that the interim financing has been extended but that the company is still seeking a new infusion of capital to resume full production of the City, a two-seater that goes 112 miles on a charge with a top speed of about 62 miles per hour.  Update: Think’s U.S. spokesman, Brendan Prebo, tells Green Wombat that Think will raise most of the new capital from its existing European and U.S. investors, which include General Electric (GE), so it can resume full production of the City in Norway.

The company said that it will apply for a low-interest loan from the U.S. Department of Energy under its Advanced Technology Vehicle Manufacturing program to help pay for the factory. Prebo declined to reveal the size of the DOE loan the company will seek but noted it “will be a substantial investment for Think” but small compared to what some of the big automakers want.

After the first-year startup phase, the U.S. factory will initially employ 300 workers and produce 16,000 cars annually, according to Think. Capacity would eventually be expanded to 60,000 cars and a workforce of 900. A research and development center will employ about 70 people.

But calling a Think facility a factory is somewhat misleading. It’s really an assembly plant and the one Green Wombat visited in 2007 in Aurskog, Norway, was more Ikea than Henry Ford, with plastic-bodied Think City models quietly gliding through clean well-lighted spaces.

The question for Think, Tesla Motors other EV startups is whether they can gain a foothold in the market before the major players big-foot them with their own electric and plug-in electric cars. Ford (F), General Motors (GM), Honda (HMC), Toyota (TM), Renault-Nissan and other global automakers all are accelerating plans to introduce electric vehicles.

Thursday’s announcement follows the formation of Think North America, unveiled in April 2008 at Fortune’s Brainstorm Green conference.  A bicoastal group of venture capital firms – Silicon Valley’s Kleiner Perkins Caufield & Byers and Boston’s Rockport Capital Partners – signed on as lead investors.

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solfocus-puertollano-200kw-low

photo: SolFocus

Silicon Valley solar power company SolFocus on Monday said it has signed a deal to install 10 megawatts of concentrating photovoltaic panels in Greece and expects to build its first project in the United States later this year.

SolFocus’ solar panels use small curved mirrors to focus sunlight on a high-efficiency solar cell to maximize production of electricity while reducing the use of expensive silicon. SolFocus claims its panels are up to twice as efficient as conventional photovoltaics. But given the relatively high costs of such systems, the company decamped for Europe where governments in Spain and Greece pay a premium rate for solar energy through “feed-in tariffs.”

But the recently enacted federal economic stimulus package, which includes billions of dollars dedicated to renewable energy projects, is luring SolFocus home.

“Now with the new stimulus package we believe the big year for us in the U.S. will be 2010,” Nancy Hartsoch, SolFocus’ vice president of corporate marketing, told Green Wombat.

Meanwhile, utilities are ramping up installations of photovoltaic solar projects. California utility PG&E (PCG) two weeks ago, for instance, unveiled a program to install 500 megawatts of ground-mounted solar panels over the next five years. The projects would essentially be small-scale solar farms generating between one and 20 megawatts of electricity and built on utility-owned land near substations.

“That‘s the perfect spot for our technology,” says Hartsoch.

Not so perfect is PG&E’s Northern California territory. SolFocus’ power plants need direct sunlight to most efficiently produce electricity. But Hartsoch says the southern reaches of PG&E’s service area offer sufficient sunlight and as production costs fall it’ll become cost effective by 2012 to build concentrating photovoltaic power plants in Silicon Valley and elsewhere in Northern California.

She says SolFocus’ first solar farms will likely be built for municipal-owned utilities and the company currently is in discussions with cities in the Southwest.

The deal announced Monday with Greece’s Samaras Group expands a 1.6 megawatt agreement the companies signed last year.

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tendril-iphone-appHere’s an iPhone app that really could help save the planet while saving stressed consumers’ money: Boulder, Colo.-based startup Tendril this week unveiled a mobile software program that lets people monitor and control their home’s energy use while on the go.

Say you’re sitting in the unemployment office listening to some bureaucrat drone on, so you pull out your iPhone to update your Facebook status and then check on whether that next unemployment check will cover the utility bill. When Tendril tells you that your electricity consumption is spiking and so will your estimated monthly bill, you remember you left the air conditioner set on Arctic. Flick your finger and shut that energy hog down.

That scenario won’t become common for awhile it as relies on a widespread rollout of smart utility meters that will bring the interactive smart grid and real-time electricity pricing into the home. That is happening, albeit very slowly (though the pace is expected to accelerate with billions in the stimulus package being poured into smart grid-related projects. The ability to remote-control your appliance, however, is some years away).

For instance, Tendril, is rolling out a home energy management system for Texas utility Reliant Energy (RRI) that allows customers to monitor and control their electricity use through a video display that sits in the living room. When Green Wombat visited Reliant’s smart house project in Houston last September, the utility’s tech guys showed me their own home-brewed iPhone app.

As anyone with an iPhone knows, Apple’s (AAPL) app store makes it ridiculously easy to turn the gadget into Dr. Who’s sonic screwdriver – a gizmo that does everything but put out the trash and feed your pet bunny. But earth2tech’s Katie Fehrenbacher questions how widespread Tendril’s app would be used given the difficulty in putting any third-party software program on a BlackBerry or other smartphone. But that’s changing by dint of Apple’s growing share of the smartphone market and the advent of the app-friendly Google (GOOG) phone.

Green Wombat is most intrigued by the potential of such apps as the Tendril Mobile Vantage to tap into people’s inherent competitiveness, keeping-up-with-Jones mentality and, in the Facebook era, compulsion to share, share, share. The data generated by smart meters and home energy management systems like Tendril’s will let consumers compare their energy use – and thus contribution to global warming – with their neighbors and friends.

In fact, Tendril is planning to add a carbon footprint feature to its mobile app. Funnel that data into a Facebook newsfeed and let the peer-to-peer pressure go to work to see who can claim Twittering rights to a low-impact lifestyle.

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clintonbill1Another reason Green Wombat will be spending Earth Day in Southern California this year: Former President Bill Clinton will deliver the keynote speech at Fortune Magazine’s Brainstorm Green conference on April 22.

Clinton will be joining a gathering of business and environmental leaders, including Ford (F) executive chairman Bill Ford, PG&E (PCG) chief executive Peter Darbee, SunPower (SPWRA) CEO Tom Werner and executives from Fortune 500 companies like IBM (IBM),  Wal-Mart (WMT) and General Electric (GE). On the green side of the aisle, execs from the Natural Resources Defense Council, Environmental Defense Fund and Greenpeace will be attending the confab in Laguna Niguel.  Former California State Treasurer Phil Angelides, now chairman of the Apollo Alliance, and green jobs guru Van Jones will also be present.

We now end the shameless self-promotion and return to our regular Green Wombat programming.

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esolar-smart-scalable-solar

photo: eSolar

California startup eSolar said on Tuesday that it has licensed its solar power technology for the construction of up to 1 gigawatt of solar farms in India over the next decade.

The deal with Indian conglomerate ACME Group marks India’s first move into large-scale solar power and is the biggest announced foray of a United States solar power plant company overseas. The agreement calls for ACME, based in the northern Indian state of Haryana, to invest $30 million in eSolar, which will also earn fees for each of its 46-megawatt modular solar thermal power plants that are built.

A gigawatt, or 1,000 megawatts, of solar energy produces enough electricity to keep the lights on in about 750,000 energy-hogging U.S. homes. Presumably, many more homes and businesses can be powered by a gigawatt in India, where electricity shortages are common and the country relies on greenhouse-gas emitting diesel generators.

“We’re exclusively selling to ACME in India and they’re exclusively using us,” eSolar CEO Bill Gross told Green Wombat. “We’d like to do something like this in Spain, in Australia and the Middle East.”

It’s the second big deal for Pasadena-based eSolar in a week. Last Monday, the company inked an agreement to license its technology to U.S. coal-fired utility NRG (NRG) for the development of up to 500 megawatts of solar power plants in California and the Southwest for Southern California Edison (EIX) and other utilities. Meanwhile, the financial crisis is forcing the consolidation of the solar industry, with Monday’s dual deals — First Solar (FSLR) acquired the solar power plant assets of Silicon Valley OptiSolar while Spanish solar developer Fotowatio bought financier MMA Renewable Ventures’ solar portfolio.

eSolar claims it can generate electricity at lower prices than natural gas-fired power plants by mass-producing mirrors called heliostats that concentrate sunlight on a water-filled receiver atop a tower to create steam that drives a turbine. The heliostats are much smaller than those made by competitors, use far less steel and can be quickly and cheaply installed in the field because they’re controlled by sophisticated software, according to Gross.

That allows eSolar to pack more mirrors into the solar field to create relatively compact power plants that can be located near urban centers rather than in the desert. ACME, which makes everything from telecommunications equipment and refrigeration systems to fuel cells, will begin construction of the first solar farm later this year.

ACME will hire contractors to build the solar power plants while eSolar will provide the heliostat fields, power towers and software systems. ACME so far has signed power purchase agreements with Indian utilities for 250 megawatts, according to eSolar.

“The eSolar system addresses obstacles that have previously plagued solar installations and presents a viable, cost-effective alternative that can scale quickly to meet India’s growing energy needs,” ACME CEO Manoj Upadhyay said in a statement.

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First Solar Electric, 701 El Dorado Valley Dr., Boulder City, NV
photo: First Solar

In the second big solar deal of the day, First Solar on Monday announced it was acquiring rival thin-film photovoltaic startup OptiSolar’s solar power plant projects in an all-stock transaction worth $400 million.

The acquisition vaults First Solar into the ranks of big solar power plant developers, giving it control of a 550-megawatt photovoltaic solar farm — the world’s largest — OptiSolar is building for utility PG&E (PCG) as well as 1,300 megawatts’ worth of projects in the pipeline. The deal also includes federal land claims OptiSolar filed on 136,000 acres in the Southwest desert that could support power plants generating 19,000 megawatts of solar electricity.

First Solar CEO Mike Ahearn said 6,500 megawatts of those projects are in the front of the line in the “transmission queue” to connect to the power grid, allowing solar farms to be rapidly deployed over the next couple of years.

“This package in total would be very hard to replicate, if at all,” Ahearn said Monday afternoon during a conference call. “That positions us ideally to be the player in the U.S. utility market.”

OptiSolar spokesman Alan Bernheimer told Green Wombat that OptiSolar will now focus on its solar cell manufacturing operations. “We needed to find a way to realize value for our shareholders,” he said. “This is a wonderful fit. We developed what we think is the largest power plant pipeline while First Solar developed the lowest cost thin-film technology.”

Silicon Valley-based OptiSolar quickly became a leader in the nascent solar power plant market but stalled as the financial crisis hit, forcing the company to halt work on a solar cell factory and lay off half its workers last November. Bernheimer said OptiSolar has applied for a $300 million federal loan guarantee to restart and expand its manufacturing operations.

He said OptiSolar CEO Randy Goldstein will join First Solar, along with about 30 other employees, when the deal closes.

First Solar (FSLR), backed by Wal-Mart’s (WMT) Walton family, has become become known as the Google (GOOG) of solar for its stratospheric stock price. The Tempe, Ariz.-based company jumped into the solar power plant market last year with deals to build small-scale solar power plants for Sempre Energy (SRE) and Southern California Edison (EIX).

The OptiSolar deal follows by hours the sale of solar financier MMA Renewable Ventures’ solar portfolio to Spanish solar developer Fotowatio.  “There’s a shakeout in the marketplace and there’s opportunities for consolidation,” MMA Renewable Ventures CEO Matt Cheney presciently told Green Wombat Monday morning

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esolar-field_wide_2b
photo: eSolar

SAN FRANCISCO — “It’s all about the software,” says eSolar CEO Bill Gross.

The tech entrepreneur and founder of startup incubator Idealab is explaining how eSolar’s solar power plants can produce carbon-free electricity cheaper than planet-warming natural gas. At the Cleantech Forum in San Francisco, Gross flashes a photo of eSolar’s demonstration solar farm outside the Southern California town of Lancaster, where 24,000 mirrors called heliostats surround two 150-foot towers.  The heliostats concentrate sunlight on a tower containing water-filled boilers and the resulting heat creates steam that drives an electricity-generating turbine. Rivals like BrightSource Energy use similar “power tower” technology but according to Gross, eSolar’s mirror-controlling software and modular plant design will allow it to produce cheaper solar electricity.

For instance, Gross says competitors use large, slightly curved mirrors to focus sunlight. That require big and expensive steel frames to hold the glass in place.  eSolar’s solution: make small flat mirrors the size of an LCD television screen that clamp on to a  5 x 12-inch frame and then use software and Big Iron computing to position the mirrors to create a parabola out of the entire heliostat field.

“We use Moore’s law rather than more steel,” quipped Gross, referring to Intel co-founder Gordon Moore’s maxim that computing power doubles every two years.

The heliostats roll off an assembly line in China with the wiring and sun-tracking motors built in. “The only tool required to install mirrors in the field is a hand wrench,” Gross says. “There’s  no welding in field, you just install the mirrors on the base. We’ve taken all the labor in the field and moved it to an automated factory.”

The heliostats also do not have to be precisely placed in the solar field, which saves time. “The rows can be wavy as the software will correct for it,” Gross notes. “We don’t need to do extensive surveys to design the field; we just need to leave enough space between mirrors.”

The bottom line: The five-megawatt Palmdale project was built in less than six months. “We think we can finish plants before other people start,” Gross told Green Wombat.

Gross says eSolar has also signed a 92-megawatt deal with a New Mexico utility, which he declined to identify until the agreement is announced. He said his Pasadena, Calif.-based company will also soon unveil a contract to build 500 megawatt’s worth of solar farms in Asia. So far, eSolar has spent $30 million acquiring land – mainly privately owned agricultural property – for solar power plants, according to Gross. He told Cleantech Forum participants that eSolar expects internal rates of return for its partners of between 11% and 14% for U.S. power plants and returns of 20% to 30% for overseas projects.

Also saving time and money are the power towers, which are made from two sections of a windmill tower. At 150 feet they’re half the size of competitors’ towers – again, less steel is needed. The lower height and the software systems that allow more mirrors to be crammed into smaller spaces means that eSolar’s power plants can be placed closer to urban areas where transmission lines are available.

Also unique is the boiler that sits atop the tower. Gross gave Green Wombat a close-up look the proprietary technology. About the size of a cargo shipping container, the “cavity receiver” has openings on either side. The heliostats focus sunlight into the interior of the boiler, which is lined with water-filled pipes.

“The benefit is that the light comes in and even if some light is reflected it can have multiple bounces and still hit the pipes,” Gross says. “We can get all the light inside the cavity all because of the software that controls the mirrors.”

Whether Google (GOOG)-backed eSolar’s plants produce electricity at the low rates Gross is claiming won’t be known until they start coming online. But utilities are betting that this solar software works. Southern California Edision (EIX) last year signed a 20-year-contract with eSolar for 245 megawatts of electricity while coal-dependent NRG Energy (NRG) this week agreed to invest $10 million in eSolar in exchange for the right to develop up to 500 megawatts using the company’s technology. (Southern California Edison is betting even bigger on BrightSource Energy’s power tower technology – two weeks ago the utility signed a 1,300 megawatt power purchase agreement with the Oakland startup – also backed by Google – the world’s largest solar deal to date.)

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genomatica21

image: Genomatica

Talk about recycling: “Green chemicals” startup Genomatica on Wednesday said it has bioengineered a petroleum-free version of a widely used industrial solvent that can be produced in shuttered ethanol plants.

You’ve most likely never heard of the chemical, methyl ethyl ketone, or MEK, but it is used as a solvent in paint and other coatings. Genomatic says it has bioengineered a microbe that ingests sugar and water and produces MEK without the toxic byproducts and environmental risks that come from making petroleum-based industrial chemicals.

The San Diego company – backed by Silicon Valley venture capital firms Mohr Davidow Ventures and Draper Fisher Jurvetson – last year produced its first green chemical in the lab, 1,4‐butanediol, or BDO, which is a raw material found in everything from skateboard wheels to spandex. Genomatica plans to license its bio-chemicals to industrial producers.

When it came time to develop its next product, Genomatic CEO Christopher Gann says the company targeted a chemical that could be produced by existing industrial plants. “We said is it possible to shorten the development cycle by using existing assets,” Gann, a veteran of a veteran of Dow Chemical (DOW), told Green Wombat. “Can we develop a bioprocess for a chemical that would operate in the same conditions as corn ethanol.”

Why ethanol? The financial crisis has left a couple dozen ethanol plants idle. Gann and Genomatica president Christophe Schilling determined that existing ethanol plans could easily be repurposed to produce MEK. That’s potentially a win-win situation: Capital costs are kept to a minimum as new chemical factories don’t have to be built, while ethanol producers get a new lease on the life of their plants.

The food-versus-fuel controversy that has plagued corn ethanol producers is unlikely to pose a problem for Genomatica as the United States’ annual production of MEK is only about 57 million gallons (not 57,000 gallons as Green Wombat originally reported.), according to Gann. Still, it’s an attractively big market — about $2 billion, Gann estimates.

At least one ethanol producer, DAK Renewable Energy, has expressed interest in modifying some of its plants to make MEK, according to Genomatica.

So far, bio-MEK has only been produced in small batches in Genomatica’s lab. Meanwhile, Gann says the company is about to embark on a fundraising round to finance the construction of a demonstration plant in Southern California to produce BDO.

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optisolar-panels
photo: Optisolar

SAN FRANCISCO — With the financial crisis dimming solar’s prospects to become a significant source of renewable energy, utility giant PG&E on Tuesday said it will spend $1.4 billion over five years to install 250 megawatts’ worth of photovoltaic panels in California while contracting with private developers for another 250 megawatts. PG&E chief executive Peter Darbee said the utility is also prepared to be a “green knight,” rescuing distressed big centralized solar power plant projects by providing financing so they can get built.

“We have contracted for 24% of our energy to be renewable and we’re concerned whether our [developers] will have access to capital,” Darbee said at PG&E’s San Francisco headquarters during a press conference. “We think financing for these projects may be in jeopardy. PG&E is well-positioned with its $35 billion balance sheet to step up and help.”

PG&E’s (PCG) move to take a direct role in obtaining the renewable energy it needs to comply with California’s global warming laws could be big business for solar module panel makers and installers like SunPower (SPWRA), Suntech (STP) and First Solar (FSLR). The action was prompted in part by a change in the tax laws that lets utilities claim a 30% investment tax credit for solar projects.

Fong Wan, PG&E’s vice president for energy procurement, said most of the 500 megawatts of solar panels will be installed on the ground in arrays of between one and 20 megawatts at utility substations or on other PG&E-owned property. (The utility is one of California’s largest landowners.) A small portion may be installed on rooftops, he said.

PG&E said the solar initiative will generate enough electricity to power 150,000 homes and will provide 1.3% of the utility’s electricity supply.

“There’s no or little need for new transmission and these projects can plug directly into the grid,” said Darbee. “Given our size and our credit ratings and our strength, we can move forward where smaller developers may not be able to do so.”

The California Public Utilities Commission must approve PG&E’s solar initiative, which Wan estimated would add about 32 cents to the average monthly utility bill.  An $875 million program unveiled by Southern California Edison (EIX) last year to install 250 megawatts of utility-owned rooftop solar panels has run into opposition from solar companies that argue it is  anti-competitive and from consumer advocates who contend the price is too high. The state’s third big utility, San Diego Gas & Electric (SRE), has also proposed a rooftop solar program.

Wan acknowledged that objections to Edison led PG&E to design its program so that private developers would have a 50% stake in the initiative. PG&E will sign 20-year power purchase agreements for privately owned solar installations.

PG&E will also need regulators’ approval to inject equity financing into companies developing big solar power plants. The utility has signed power purchase agreements for up to 2,400 megawatts of electricity to be produced by solar thermal  and photovoltaic power plants to be built by companies like Ausra, BrightSource Energy, OptiSolar and SunPower.

“We are looking at the least risky and most developed opportunities to see where we can be the most helpful,” Darbee said.

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