PF-ONE Proposal

Proposal for PF-ONE: A Superior Volt/VAR Compensation Solution

Presented by Vantera Incorporated

Glenn Rosendahl, Ph.D. P.Eng President T: 204.292.7366 E: glenn@iplc.com

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Introduction

About Vantera Inc.

Introducing PF-ONE

Content

Grid Challenges / Benefits of PF-ONE

Comparison of PF-ONE and Capacitor Banks

Cost-Benefit Analysis

Pilot Program Analysis

Conclusion

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Electrical energy is undeniably the key driving force of the modern world. As the world’s reliance and demand for electrical energy continue to increase, the drive towards a greener, more environmentally aware energy sector evolves. This evolution presents significant challenges to existing generation, transmission, and distribution infrastructure, which must integrate new sources while also supplying new demands. We propose a distributed Volt/VAR compensation solution to address these challenges effectively.

Introduction

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About Vantera Incorporated

Vantera Incorporated, founded in 1991 in Elie, Manitoba by brothers Glenn and Dean Rosendahl, is dedicated to designing and manufacturing Autonomous Infrastructure products. Their mission is to engineer simple solutions for complex problems, a vision that has driven their innovation and success. Vantera's products are known for their stellar reliability, with over 98% still in service after 29 years, even in the harshest environments. Their diverse customer base includes Manitoba Hydro, the US and Canadian Military, government entities, hospitals, educational institutions, police and emergency services, civic yards, the hospitality industry, and numerous businesses across North America. Recognizing the world's growing reliance on electrical energy, Vantera addresses significant challenges in power generation, transmission, and delivery. They invest in engineering and rapid prototyping to develop innovative controls for managing power quality, stability, and transfer efficiency. Their unique bottom-up approach results in a self-adapting dynamic grid edge solution, providing 100% system coverage with over 98% efficiency. Vantera's commitment to excellence ensures they remain at the forefront of the industry, delivering reliable and efficient solutions to meet their customers' evolving needs. 4

Vision and Mission

Our vision is to provide sustainable, reliable, and green energy solutions.

Our mission is to develop real solutions to address energy challenges, focusing on self-adapting, infrastructure-based technologies that serve to enable the grid-edge revolutions of tomorrow.

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Our Team

Glenn Rosendahl

Dean Rosendahl

Ph.D. P.Eng.

Manitoba President

VP Marketing

Manitoba

Glenn Rosendahl has over 40 years of experience in Power Systems, Power Electronics, and Power Monitoring. His career began with roles in SCADA, emergency power systems, and real-time power system simulator design. Currently, he is with Vantera Incorporated, where he continues to innovate and develop new products. Glenn holds numerous patents, reflecting his significant contributions to the field.

Dean Rosendahl has over 40 years of entrepreneurial experience, applying a logical approach to product development, as well as mechanical and manufacturing challenges. His innovative methods have led to the creation of numerous successful products, and he holds several patents.

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Our Experience - Innovative Solutions for Efficient Power Management Vantera’s market proven IPLC product line demonstrates our successful made-in-Manitoba approach to developing and delivering innovative power management products.

M210

IP3 Series Pedestal

Data-Mate

M4 Cord

Intelligent Parking Lot Control (IPLC M210) is a smart power receptacle that ensures reliable vehicle starts in any weather by automatically regulating power flow based on temperature and wind chill. With user-friendly diagnostics and customizable programming, IPLC M210 has been a trusted solution for Manitoba Hydro since 1996. M210 & IP3 -over 200,000 units in the field. Less than 2% came back since 1996. 99% still in service today.

IP3 Series Pedestal, featuring a rust free anodized aluminum tower, offers up to 65% power savings when combined with the smart IPLC Control. The IPLC Control measures temperature and wind chill to regulate power flow, ensuring reliable vehicle starts in any weather. Its user-friendly design and customizable programming make it a trusted solution for efficient and dependable power management. M210 & IP3 - over 200,000 units in the field. The IP3 has less than a 2% fault rate since 1996.

IPLC's optional Data-Mate is a hand-held device that transfers information between IPLC units and your Windows-based computer. With proprietary software, it allows you to customize settings and print reports to showcase power savings, enhancing the functionality and efficiency of IPLC outlets.

M4 Cord is a smart power cord that ensures reliable vehicle starts by regulating power flow based on temperature and wind chill. It features user friendly diagnostics and comes with factory set profiles for gas and diesel vehicles. The M4 Cord is also compatible with GFCI receptacles, making it a versatile and efficient solution for any parking stall

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Our Understanding of Manitoba Hydro’s Needs

We understand that Manitoba Hydro faces significant challenges due to aging infrastructure that will require billions in repairs and upgrades. The utility must replace or overhaul degrading generating stations, transmission towers, and distribution lines, leading to more service failures and outages. • On January 20, 2025, Manitoba Hydro recorded a peak electricity usage of 5,111.5 megawatts, surpassing the previous record by 183 megawatts. This high demand necessitated purchasing additional electricity from the energy market. The aging infrastructure and growing electricity demand highlight the need for significant investment in grid maintenance and upgrades. • Adding around 7,500 customers each year further increases electricity demand. Manitoba Hydro is exploring energy efficiency measures and new energy sources to ensure a reliable supply. • Manitoba Hydro is a major player in the continent-wide energy market connected to the United States, allowing for electricity import and export. This provides flexibility to meet demand, importing electricity when needed and exporting surplus capacity. However, future tariffs and trade policies could impact the certainty of these imports and exports. • Advancing technologies of distributed solar generation and EV charging are straining present electrical grids. The dynamic nature of loads, wind, and solar leaves classical electrical grids unprepared. • Solutions are needed now to meet the one-decade timeline to achieve zero emissions. Costs for replacing entire distribution networks, especially within dense city landscapes, are prohibitive. We know that the ideal solution to these challenges must use existing networks and assets, increase network capacity, maintain stability, increase efficiency, and be effortless to implement at scale.

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Introducing PF-ONE

PF-ONE is an innovative Manitoba-designed and manufactured solution to solve the point of load problem for utilities. It is a very low-cost 5 KVAR four-quadrant Static VAR Compensator and smart meter. PF-ONE corrects power quality issues at the source (Point of Load) before they disturb the power network. Key features of the PF-ONE include: • Dual meter • Current injection • High-speed compensation architecture

• Solid-state modular design • Utility-aware intelligence • Communication-free adaptive compensation • Embedded smart meter functionality • Scalability • 5-year warranty.

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PF-ONE as a Solution

PF-ONE addresses grid challenges by providing distributed energy resource (DER) technology positioned at the grid-edge. It autonomously generates and corrects reactive power, load imbalance, and harmonics locally. This has widespread positive impacts on distribution networks and enables high penetration of distributed solar and EV charging. PF-ONE maximizes utility asset utilization, increasing generation, system resilience, demand control, and lowering ATC losses.

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PF-ONE North American Series of Grid-Edge Compensation and Meter devices. These models feature; 2.4KVar to 15KVar Compensation, 120 240VAC single, or 3 phase (Y-N) 50/60Hz. All models are natural air convection, NO FANS. Standard WiFi interface is provided with options for LoRa, ZigBee, Cellular, etc. (custom options are also available). Standard LCD displays are provided with options for epaper or oled. All units can be cascaded to increase compensation, simply add units in series, no control wiring or setup needed.

PF-ONE: Utility

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PF-ONE Industrial Series of Compensation and Sub-Meter controls. These models feature; 2.4KVar to 15KVar Compensation, 120-240VAC (480VAC coming soon) single, or 3 phase (Y-N) 50/60Hz, 200 Amp per phase ratings. All models are natural air convection, with options for forced air convection. Standard WiFi interface is provided with options for LoRa, ZigBee, Cellular, etc. (custom options are also available). Standard LCD displays are provided with options for epaper or oled. All units can be cascaded to increase compensation, simply add units in series, no control wiring or setup needed. The PF-ONE modular design allows for adaptability for variation of uses and compensation limits. Multiple PF-ONE units scale to increase compensation capacity, simply add units in series. No control wiring or communication of any kind is required for any PF-ONE installation. Therefore installing 2 devices rated at 15 KVar each in series provides 30 KVar compensation to the load.

PF-ONE: Industry

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Slide 12 ME0

Ask Glenn if we should showcase the non-Utility PF-One products Matthew Exell, 2025-02-27T15:27:47.939

PF-ONE: Portable The PF-ONE portable control cleans and enhances power delivery to portable devices. Fitted with standard plugs for the global location of use, makes for easy integration into any system. These devices are also an ideal evaluation and testing platform for utilities and industries alike. Simply “plug-in” the PF-ONE in series with loads for an adaptive, communication free, power quality solution.

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Common Features in all PF-ONE devices

Global Patents / Patented: Dual meter, current injection, high speed compensation architecture.

Utility aware Intelligence with “no harm” programming protocols.

Autonomous adaptive compensation / no external input required

Solid state modular design.

Compensation increased by cascading devices.

Embedded smart meter functionality.

An At Scale Solution, Unlimited scalability.

Wi-Fi, LoRa, Zigbee wireless compatible.

Product packaging is determined based on the location the PF-ONE technology is to be integrated by the various segments of the electrical grid. To maximize PF-ONE Technology benefit and investment return, units should be integrated as close to the electrical loads as possible.

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Comparison with Traditional Capacitor Banks

Capacitor Banks are a popular choice for utilities due to their familiarity and seemingly low cost, but they are far from optimal. Capacitor Banks must be sized to the loads they compensate, and they can only compensate for lagging PF loads. The control algorithm for capacitor banks is "dead band" control, which is never optimal and has an effectiveness of 50% at best. Capacitor Banks represent significant engineering challenges and have high installation and maintenance costs. PF-ONE, on the other hand, corrects VARs (leading and lagging), harmonics, and load imbalance with high-resolution current injection at over 98% efficiency.

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Comparison of Capacitor Banks and PF-ONE

Feature

Traditional Capacitor Banks

PF-ONE

Lower purchase cost ($300 per unit) and minimal installation costs. Zero engineering costs; prepackaged with no site or operation planning.

Initial Costs

High purchase and installation costs.

Significant engineering costs for site planning and design.

Engineering Costs

Regular maintenance required, leading to ongoing costs.

Zero maintenance costs; encapsulated power electronics with 20+ years EOL.

Maintenance Costs

Requires specialized crews and equipment for high voltage installation.

Simple installation; replaces existing meters with minimal effort.

Installation Complexity

High compensation efficiency (over 98%); corrects both leading and lagging PF loads, harmonics, and load imbalance.

Effective for stabilizing power factor but limited to lagging PF loads.

Compensation Efficiency

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Comparison of Capacitor Banks and PF-ONE (cont.)

Feature

Traditional Capacitor Banks

PF-ONE

Limited to high voltage network; does not cover low voltage distribution losses. Reduces generator load but does not significantly increase overall system capacity. Improves power factor but does not address harmonics or load imbalance. Requires high voltage protection equipment and engineering. Typically, 5-10 years depending on environment. Some capacitors are oil-filled, posing challenges in cold environments.

Complete system coverage from the edge to generation; optimal point of load compensation.

System Coverage

Increases system capacity by reducing losses and improving efficiency.

Impact on Capacity

Enhances power quality by mitigating harmonics and balancing loads. Less stringent requirements for protection; safer at lower voltage locations. Long lifespan (20+ years); high reliability with minimal failures. Environmentally friendly; designed for harsh environments with no oil-filled components.

Power Quality

Infrastructure Impact

Lifespan and Reliability

Environmental Impact

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• PF-ONE offers zero engineering, installation, and maintenance costs. Installation is as simple as replacing a meter, drastically reducing labor and equipment costs. • PF-ONE provides optimal point of load compensation, achieving a compensation efficiency of 99%. It ensures reactive power, load imbalance, and harmonics are corrected locally, improving power quality throughout the system. • PF-ONE increases capacity by 10% (assuming a 0.9 power factor max), allowing existing infrastructure to deliver more power. It reduces losses, lowering operational temperatures and increasing efficiency. • PF-ONE reduces losses by 20%, translating to lower energy consumption and cost savings in transportation costs. It corrects power quality issues at the source, minimizing I 2 R losses. • PF-ONE improves system resilience, maintaining consistent voltage levels and actively tuning the line for a stable power supply. The proposed pilot study would measure quantitative benefits, for example, counting outages with vs. without PF-ONE. • PF-ONE enhances power quality and extends equipment life. It mitigates harmonics and balances loads, reducing strain on transformers and other equipment. • PF-ONE can delay and/or reduce infrastructure upgrade. It increases network efficiency and capacity, deferring costly upgrades and replacements to existing grid infrastructure. • PF-ONE can increase the life of existing transformers by reducing harmonic heating and operational temperatures. For every 6°C decrease in temperature, equipment life can double.

Benefits of PF-ONE

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Pilot Program Proposal

We are proposing a partnership with Manitoba Hydro to conduct a pilot program for PF-ONE in Manitoba. The pilot program would seek to validate PF-ONE’s significant potential in enhancing power quality, increasing system capacity, and reducing operational costs. The pilot program would also supply Manitoba Hydro with PF-ONE's performance data, demonstrating its effectiveness and paving the way for broader adoption. This initiative will not only showcase PF-ONE's innovative capabilities but also provide immediate benefits and long-term savings for Manitoba Hydro. Details on the following page provide an example cost-benefit analysis of running a pilot program with 100 residential homes, with only the benefits of transportation loss savings and capacity increases considered. Even without quantifying additional benefits from improved infrastructure life cycle and cost avoidance, the pilot is estimated to result in a $170,000 net benefit over 10 years. The pilot program could be implemented as early as summer 2025, providing immediate benefits. Further consideration of the long-term benefits and impact on infrastructure make PF-ONE a superior choice.

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Pilot Program – Cost-Benefit Example

Pilot study of 100 residential homes in Manitoba. All costs in US Dollars

Full Pilot / Annual

Full Pilot over 10 years

Component Benefits

Details

Per Unit

Assumes average annual use of 9,000 kWh per household, based on 11,111 kWh delivered less 0.19 losses due to VARs = 2,111 kWh in energy loss x residential rate of $0.09587 / kWh x 0.69 CAD/USD. Assumes an additional 10% increase in system capacity. On a per unit basis of 11,111 kWh delivered this scales to an additional 1,111 kWh per unit x $0.09587 / kWh x 0.69 CAD/USD. Infrastructure cost saving to be determined from results of pilot study and through the use of MB Hydro's internal cost accounting information.

Energy Savings

$139.60

$13,960

$139,600

System Improvements

$73.50

$7,350

$73,500

Cost savings

TBD

Total Benefits One-time costs PF-ONE Units Installation Costs

$21,310

$213,100

100 units at $300 each

$300.00 $25.00

$30,000 $2,500 $10,000

$30,000 $2,500 $10,000

Minimal, assumes labour and overhead for 1 installer over 1 week.

One-time cost of training for installation and monitoring team – likely minimal as no different than installing a standard meter, but assumed $10,000 for integration into MB Hydro processes. Not required for pilot due to small sample size. Future integrations would be necessary to scale for mass-adoption.

Training

Software Integration

N/A

Total Initial Costs Operational costs Maintenance Costs Total Pilot Study Cost

$42,500

$42,500

Assumes a conservative estimate of 2% fault rate on units over study length.

$600

$43,100 $170,000

Net Benefit

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Benefits of a Pilot Program

Identify and fix potential issues on a small scale before a full rollout.

Test PF-ONE capabilities with minimal investment.

Gather performance data to validate continued adoption.

Build support and address concerns early.

Experiment with new methods to improve efficiency.

Ensure PF-ONE meets Manitoba Hydro’s technical standards.

Create a roadmap for broader implementation if successful.

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Quantification of Other Benefits

All of PF-ONE’s benefits have not been quantified in the cost-benefit analysis of the pilot program mainly due to a lack of publicly available information. It is our hope that through a pilot program Manitoba Hydro will be able to further quantify the following benefits of the technology through performance data: • Long-term cost avoidance of infrastructure maintenance and replacement due to reduced temperature of conductors, transformers, and gear in between generation and the loads. • Reduction of higher value peak time losses due to increased transformer capacity. • Reduction in compensation effort costs due to PF-ONE’s autonomous precise compensation. • Value of data provided by PF-ONE’s smart meter communication capabilities.

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Thank You

• IPLC: https://www.iplc.com/ • PF-ONE: https://www.pf-one.com/ Websites:

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Appendices – Technical Details

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Slide 24 ME0

Want included? Matthew Exell, 2025-02-21T16:23:43.429