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The CrisisA crisis is developing that could be repeated across the country. This crisis can have a profound impact on the local economy and is hardest on the poor. It can also drive many local businesses out of the area, compounding it's impact on the poor. There are several major cities where peak demand for power exceeds the grid's ability to deliver. Whenever this occurs it can cause massive price increases, rolling brownouts, and large scale blackouts. In addition, current plans to accommodate increasing power demands require major new infrastructure and will depend on fuels that are already expensive and getting worse. The stage is set for a return of the crisis days when bills for some homes went over $800 per month and major businesses where sending thousands of people home on a regular basis because they did not have power to run their factories and traffic slowed to a stop because the signal lights where out. This time around it will be harder because all the easy solutions have already been exhausted. The last time around this issue ended up costing California tax payers billions of dollars in a booming economy but this time around it is likely to hurt more in an already shaky recovery. A solution will require clear decisive action from the highest officials backed by a comprehensive plan and the will to push past resistance from entrenched players. Action must be taken soon to to avoid the associated economic turmoil.
The XDOBS solutionXDOBS has developed an environmentally friendly way of producing electricity most efficiently during the peak energy consumption times and which has a positive impact on the environment. It is specifically designed to avoid the use of expensive high tech components or scarce entities like high purity silicon that could drive up costs under under heavy demand. As a result, it can be deployed at a volume not feasible for other technologies and this rapid high volume deployment is essential if we are to meet the large scale California demands. This solution will resolve the looming power crisis developing in California while increasing Jobs across the nation. It can be funded from money saved by eliminating the side effect problems of crisis and the costs savings by not having to pay for the current strategies. It can be scaled and deployed fast enough to avert the problem in California and other metropolitan areas of concern before it becomes a major crisis. It will substantially lower demand for both Natural Gas and oil which can allow market drivers to stabilize or reverse the horrendous increasing prices of natural gas and oil and as a result lower the cost of natural gas generated electricity. We believe the XDOBS solution can provide the economic foundation for the next boom that the United States needs to retain our world leadership position in both technology and social development. It can also push the US towards a local capital investment over the current exported funds for consumables and we view this capital shift as essential for long term economic prosperity. It is our hope that this solution will will benefit our own children and future generations for years to come.
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XDOBS has developed a sound solution for producing electricity that is appealing to all political parties from the perspective of being environmentally friendly yet at the same time creating jobs in the state of California and across the entire United States. This solution can also dramatically decrease the fuel expended for heating and air conditioning which can multiply it's positive benefits. Use Natural Market drivers to stabilize spiraling fuel costsWhen fully deployed our solution will result in a substantial decrease in the demand for both Natural Gas and oil. This will lower demands on these scarce resources to such and extent that market drivers can naturally stabilize and ideally reverse the substantial increasing prices of natural gas and oil. This will lower the cost of heating and the cost of power generated using natural gas. Avert a looming CrisisThe XDOBS solution will eliminate large scale electrical shortages in major cities such as Los Angeles, San Diego, San Jose, etc. It will do this while eliminating or greatly reducing the need for major new infrastructure such as high voltage transmission lines and generating plants. It can accomplish this while providing a positive return on investment in both the 10 and 20 year time frames. In many instances the costs of deployment can be paid for entirely by the elimination of the need for new infrastructure and it can be paid for by a small portion of what it costs the local economy when Save Billions of BTU and millons of tons of Air pollutantsThe heat storage and recovery components can extend generating hours while also dramatically lower the net energy consumption for gas and electric space heating and air conditioning in all seasons. These savings combined with the electrical generation capability will combine to save billions of BTU's, eliminate the need to burn large amounts of Natural Gas, Oil and Coal while reducing greenhouse emissions by millions of tons. Reduce need for new Nuclear powerIt is quite probable that this solution will eliminate or at least greatly reduce the need for nuclear power which is being increasingly viewed as the only viable solution to meeting increasing demands without increasing air polution of course the long term costs of nuclear are unclear since none of the long term storage facilities are really under fully amortized operation and every new one is a major battle with the hosting state. Extend Emergency power in disaster situationsIn areas equipped with our infrastructure some buildings will have so much extra energy that during times of crisis such as Hurricane Katrina a major building with the infrastructure can provide baseline power to the local grid block and this power can be used to dramatically extend the run time available for local emergency infrastructure such as hospitals that have a finite amount of locally stored fuel for their emergency generators. Reverse the escalating power demand curveUltimately the unit volumes required to resolve the developing crisis in just a few major cities will allow us to drive implementation costs down far enough that we will be able to profitably sell these units at less than ½ the cost of photovoltaic systems. At that price point it will bring the solution within range of smaller businesses and home owners who will be able to justify the installation from savings in less than 10 years. If we are successful at expanding into that market we can actually reduce the power curve in California so that they are able to decrease the amout of power they need to import.
Big Dividends from Strong Execution of Strategic Vision
In years past the Government has shown amazing forsite by investing in projects like the Glen Canyon dam and the national interstate system which when built could not be justified by most reasonable financial models but now generations latter they have become a critical asset that have paid for them selfs many times over. The XDOBS solution will not be nearly as expensive today as the glen canyon dam was back then and if calculated as a percentage of gross national product it will be far less expensive but it has the ability to become a similar assest that both will benefit both the current and future generations.
Contact us for more informationCall 800-658-8745. or Send our sales department an email.
Easy to Deploy
This
page discusses how the XDOBS solution can address the looming power
crisis and rapidly escalating power costs while also explaining in
more detail some of the problems, underlying causes and net economic
impact. It also
explains how a clever combination of economic strategies
can bring core technology into the financial reach of individual
consumers which could actually reverse
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This discussion contains forward looking statements which are based on current expectations and differences can be expected. All statements and expressions are the opinion of management of XDOBS and are not meant to be either investment advice or a solicitation or recommendation to buy, sell, or hold securities. Many of these statements are based on sound economic reasoning, however actual response of the economy is heavily influenced by politics and large business and so the outcome could end up substantially different.
Reduced BrownoutsBrownouts are commonly caused when there is insufficient power to meet current demand. This can be caused by insufficient generating capacity or insufficient wires to cary the power from where it is generated to where it is consumed. As a result the power company will lower the voltage of the power in a given area so that they have more power power to go around and if that is not sufficient they will cut power entirely to some areas rather than risk having their expensive interstate lines burn out like fuses. These outages can have a profound impact on local electronics destroying unprotected electronics like computers, sterios and televisions. The XDOBS solution takles this problem head on by:
Most of the time the power grid is running at excess capacity so we if can take 10% to 20% of the load off during these conditions then we eliminate the problem. The standards strategy to deal with this problem is to either run in new high capacity lines and to build local natural gas fired plants to that fire up under these conditions. The problem with both of these is that new high capacity lines are very expensive in heavily populated areasand second the peak demand plants sit idle most of the time which represents a large underutilized capital investment and when they do activate they are burning a very expensive fuel and that cost must be passed back to the consumers. The natural result of is that the is that there will always be tension between building enough new plants to meet demand while at the same time not investing any more capital than absoltely essential which sit's idle most of the time and this idle problem makes it very difficult for indpenent companies to fund the new peak demand plants because they will not get enough hours to pay off their capital costs so their higher fuels costs are compounded by having to charge even more per Kilowatt which makes them cost ineffective.
Big SavingsSavings of over 100% can be obtained in less than 10 years with 400% available during in 25 years and that is if the cost of natural gas and power does not continue to increase so we think savings substantially higher will be obtained. use. Our sales department can explain how this ROI is obtained and can provide a spreadsheet which shows how you can save.
Easy to DeployWater Purification
Save MoneyRapid InstallationMarket Background and Power CrisisEconomic boost and Clean Power the
XDOBS way.
According to the 2005 state of To put this in perspective most of the time the
electric grid has excess capacity both in generation and carry
capacity.
However, during times of heavy demand such as air-conditioning on a
hot day during July problems begin to arise. Unfortunately
Air conditioner demands on hot days aggravates other conditions and
increases the risk of failure during those peak hours of the over stressed
power grids. In addition there are a variety of economic factors that when
combined indicate that the cost of electricity will continue to increase
rapidly which will have a negative impact on several economies. For example,
since California is drawing power from the other states in the west coast
region
their demand for power not only increases the price of energy for their
State but other States are noticing their own supplies are diminishing and
are now becoming more expensive as well. We have seen government reports which claim that electricity prices will stabilize through 2015. However, other studies show quite the opposite to be true. Economic factors alone substantiate an increasing demand of scarce resources and an increasing cost for installing new capital infrastructure such as expensive transmission lines. It is already much more expensive to generate electricity using natural gas or oil than other technology such as Coal or Hydro-electric plants, yet the electrical industry as a whole is moving towards generating more power using gas or oil which has increased dramatically in price over the last few months to the point where we will have an obvious and unavoidable result of increased electrical prices. A lot of strategies focus on conservation which is
fine but tends to break down when the line to comfort is crossed.
People are willing to be a little warmer on a hot day and willing
to have a slightly more dim light but after a certain point they turn up
their own air conditioner and leave it to their neighbor to conserve.
Switching to florescent bulbs that deliver the same light for 20%
of the power and adding insulation are good and should be encouraged but
they are inherently limited in the total gross impact. We believe that
any long term strategy must allow the largest mass of people to live
comfortably and that it should do so while combating the core economic
factors that are causing energy to take a larger portion of the consumers
budget.
Current Economy and Myopic approach
Alternate energy systems have been and will continue
to be more expensive per watt than centralized electrical generation and
as a result many experts will claim that they are not economically
feasible for large scale deployment. This thinking is OK as far
as it goes but as we explain in this paper there are costs buried in the
existing strategies that far exceed the cost of the XDOBS thermal
generation solution. Rather than looking at our favorite technology and
trying to shoe horn it into an economic model where the payoff just isn't
present XDOBS started by looking at areas where there are very expensive
problems looming and then completed extensive research and design to find
a combination of technology and manufacturing techniques that can help us
resolve or dramatically reduce these problems.
We hope to divert some of the money from these cost areas into the
implementation of the XDOBS solution which will not only greatly reduce
some very expensive issues but will help establish an economic framework
that will be self perpetuating to the long term good of our
children, our nation our economy, our environment and the World as a
whole. Technology alone is inadequate to address this
problem.
It will require a combination of careful economic thinking along
with specific government programs to bring about such a solution that is
much less expensive than the alternative.
The next section will show without question the obvious yet outrageous costs of
the current approach that seem to be avoided in real costs to the public in
general. Truth and the Economy
Power will get more expensive fast
Substantial amounts of electrical production are being moved from traditional generation approaches such as Nuclear, Hydro and Coal to Natural gas. There are many reasons for this but most of them are environmentally driven such as it being almost impossible to get permits for new hydro electric reservoirs in the USA and taking years and millions of dollars to get new nuclear plants approved. In addition many large industrial users have switched from fuels like Coal to Natural gas because it was cheaper than building new high efficiency scrubbers. These new natural gas users have substantially increased demands for natural gas which has already resulted in substantial price increases and since it is already running in short supply we expect increasing demand to continue driving natural gas prices up. In the past Natural gas reserves have been rebuilt during the summer when less was used but now peak GAS demand will coincide with peak electrical demand which will mean that there will no longer be a slack period to rebuild reserves which will drive natural gas prices up even further and may well spawn it's own crisis with prices doubling or tripling in a very short period of time. Increasing natural gas prices will have a double whammy impact since consumers will be paying more for their natural gas used for heating. The electrical utilities will be paying more to generate electricity and this cost will be passed back to the consumer. Since the percentage of electricity generated with natural gas is expected to approach 50% over the next 15 years the power will be even higher since there will be less cheap power from Hydro, Coal and Nuclear available. As the cost of power goes up it can have a dramatic impact on marginally profitable companies who can no longer afford to pay for air conditioning and as a result end up having massive layoffs or firing a lot of people and increasing unemployment. The best thing for consumers,
small business and marginal large business is for gas prices to stabilize and
go down, but the only way for this to happen is lower the demand for Natural
gas by at least 10% and ideally by 20%.
This will put the existing system at over capacity and will allow market
factors to drive costs down. The
XDOBS solution when fully implemented has the ability to substantially lower
natural gas consumption both for electrical production and for heating. Since
we will be lowering peak demand which is almost exclusively natural gas
supplied a larger fraction of the electricity can be purchased from inexpensive
sources such as Hydroelectric.
Blackouts and Rolling brownouts have a cost
Rolling brownouts occur whenever the demand for electricity exceeds the grid capacity to deliver that electricity. This can be caused by insufficient generating capacity or insufficient capacity for the lines to carry the power from where it is generated to where it is consumed. The electric companies use the rolling brownout to avoid burning up their infrastructure which would cause major blackouts. During the peak of the rolling
brownout days during 1998, 1999
according to several people we
interviewed who worked at Hewlett Packard
in
In addition to the high tech
workers you also had many retail stores that where shut down
during these outages. In
the same area there are at least 150 average sized grocery and retail stores
which ended up loosing 12 days
times ½ a day or 6 net shopping days. When
one multiplies this times the 150 stores it
comes out to 900 shopping days where there where no sales and as a result a
great deal of loss to the company and state due to the lack of sales tax. According
to our conservative estimates the average store would sell
$30,000
in inventory that was not sold on
those days. If we multiply this
times the number of stores multiplied by the number of lost days you would
arrive at a figure of around 27 million dollars. When
you take the loss of cost to the entire economy and tax base, the XDOBS
solution begins to make perfect sense.
Equipment cost
Every time you push the grid
close to capacity or introduce blackouts and rolling brownouts you end up with
power spikes and surges in the system. These
had an impact on people personally. Another
individual that we interviewed
had a large screen television go
out with a $600 power transistor and several other electricity quality related
failures. Over the two year period
this individual lost at least $2500 in equipment due to surge damages, If you
multiply that cost across the 5 million or so people affected you get over a
billion dollars in property damage. The
XDOBS solution will eliminate this issue for less money than the expense of
these combined problems in the
first year of implementation.
Some could argue that the loss of so many electrical products helped drive the
economy since these people ended up buying replacements, but negligently
damaging personal property in order to drive sales seems like a bad decision.
Pollution Costs
According to studies done by the
EPA we put 2 billion metric tons of pollutants into the air per year as a
result of Coal, Oil, gas, and hydroelectric plants. These are the damaging
pollutants that are measured by the EPA and as a result other major equipment
such as cars and factories have to be put under more strict emissions standards
to keep the total air quality high. This
increases the cost of the capital items substantially which is passed along to
the consumer in the form of being able to buy less per dollar. In
addition business that are having to purchase high efficiency environmentally
friendly equipment increases their expenses to cause avoiding building or
expanding in the area which ultimately leads to loss of new job opportunities. As
air quality decreases in a problem area existing businesses can be required to
upgrade major capital equipment which at the very least lowers profitability
and could drive marginal businesses under which can result in the loss of
existing jobs for that local economy. The
Xdobs solution would reduce the current electrical and heating contribution to
pollution which can defer or eliminate the expense of costly air control
restrictions.
Melting Polar Caps
Many argue that the 2 billion
metric tons of pollution we are putting into the air is the cause of global
warming.
Eventually, experts claim, this could result in the melting ice at both the
north and South Pole thereby increasing ocean levels which
could cause massive flood damage in low lying areas.
Thermal Expansion of water
In addition warm water expands
slightly which means that even if the polar ice doesn't completely melt the
ocean volume will increase as the temperature goes up which can also cause
flooding. These two together can combine to make a double whammy effect that
will be very expensive. The best
thing man can do to minimize this
risk is to dramatically lower the
output of greenhouse gases and one way to do that is to minimize the amount of
electricity and space heating that must be done using natural gas, coal and
oil. The cost of just a small
portion of this damage would pay to equip a large number of buildings with the
XDOBS system which in turn would reduce greenhouse emissions by thousands of
tons per year. If you were to take
into account the major cities such as
Hurricanes and warm water
Hurricanes like Katrina and
Andrew which caused billions in damage are fed by warm ocean water which is the
main reason they occur mostly during the late summer and fall when the ocean
water is warm enough for them to breed and grow. There
are a lot of factors but very powerful storms require warmer water. If
the ocean temp increases by 2
degrees then the region where these storms can grow and survive expands which
means that some areas previously
immune to hurricanes can now be hit at full strength while increasing the
ferocity of the storms that hit current areas both of these add up to major
damage. We obviously
can not say the XDOBS system will eliminate hurricanes but it will help
eliminate tons of greenhouse gases per
year which will do its part for slowing down the greenhouse warming and will
slow down the warming of the tropical oceans thereby removing some of the
energy that these storms feed on. In
any case if you eliminated one major storm in a century that had Katrina like
strength or even dropped a category 5 storm to category 3 before it made land
fall it would pay for the entire XDOBS system deployment.
Ice Age
There are others that argue their
studies indicate the increasing temperature in the oceans will increase
evaporation which will increase cloud cover which will reflect some sunlight
away that would hopefully create a self balancing effect, but these experts
also agree that as the clouds cool the earth all the extra water vapor would
condense out in the form of massive storms and possibly even start a mini ice
age which would be incredibly expensive just like coastal flooding.
While these various studies
disagree in certain areas, there is no question that they all seem to agree on
the critical issue that we are going to see massive weather changes which will
bring extremities on each end of the spectrum and will certainly cause major
destructions throughout the world, unless we can decrease the current pollution
problem on a global scale.
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Help NeededBuilding, proving and deploying a solution such as the XDOBS thermal electric generation system requires significant amounts of cooperation and funds. We are talking with interested parties who have a belief in the problem and a strong desire to see a real solution and are willing to contribute to that solution. We are interested in those who want to own a part of XDOBS as a private company but are generally only interested in qualified investors who also bring substantial business expertise or contacts and are willing to use them on our behalf. We are most interested in large groups that have have substantial political clout and are are interested in dramatically reducing environmental impact of power generation, heating and air conditioning. Similarly we are interested in groups that have strong interest in local manufacturing jobs, construction jobs and a generally healthy economy and are willing to endorse a strategic view of how to achive it. We are equally interested in those who have high level political contacts that can help us gain visibility with the critical decision influencers especially well placed senators, congressment and governers both at the state and federal level. Obviously those people who are world class sales people and willing to invest time and money helping us build our distribution channel will be of interest and legal professionals who have time to contribute and belive pashionatly in our strategic solution can be of assistance. In additon those people or businesses interested in early access to and testing of the technology are welcome. And those who have access to and credibility with people that can influence investement strategy at NREL and DOE are most welcome.
XDOBS solution
XDOBS has developed a low cost thermal electric generation system for commercial building retrofit. Our system produces a substantial amount of waste heat that can be used for both heating and cooling demands creating substantially lower energy requirements for both. In energy starved areas such as Los Angles the XDOBS solution would eliminate the grid over burden problems and rolling brownouts. It is based on the premis of generating power close to the point of demand so that new high capacity lines and large generation plants are not required. Due to the complexity of the existing power system and the cost of building new infrastructure in high developed areas the XDOBS solution can be deployed and a net lower cost so much so that while it will have a 25 to 30 year operational life it's entire capital investment can be paid back in 10 years or less. This plan will dramatically reduce the number of natural gas plants needed to service peak demand and this will lower demand on natural gas in that region. In addition the plan can lower the total net power generation requirements enough to substantially reduce Californias current and longer term power supply contract problems and put the state into a much more favorable buying position. Our plan is the only one available that can be produced without high tech materials so it can be scaled up rapidly, fabricated and installed by local workers which will help both unemployment and capital investment. We
expect that if the first few businesses work well that we can get a DOE +
California department of energy sponsored grant to retrofit a large fraction of
the over 50,000 square foot
buildings in the area. Our
strategy can eliminate tons of air pollutants produced by electrical facilities
without placing a higher demand on silicon which tends to drive up photovoltaic
prices. Our current tests indicate
that we should be able to produce over 125KW of power from the rooftop of a
single super store.
This would be enough to run their entire air conditioning system and most in
store electronics and our power generation design generates at peak at the same
time the local grids are under peak demand so when they need it worst our
system is producing the most. We
also have the ability to store generating capacity using low tech easy to
fabricate strategies that do not require caustic chemicals like batteries that
are inexpensive and unlike Photovoltaic systems ours can keep producing into
the late afternoon hours when people are returning to their homes and are
increasing electrical demands for the housing arena. .
Residential support
Retrofitting
large commercial buildings in our peak demand areas will drive unit volume
high enough that we can bring the cost down to where it is cost effective
for private home owners to deploy. (Especially if there is the right kind
of government guaranteed loans and government incentives made available
for capital).
Our simple design means that we can drive costs very low and as a
result with large numbers of home owners will have the ability to install the system. The natural result will be for
most homes in the affected area to generate a net surplus of power during
the peak demand conditions and as a result we could extend the life span
of the existing infrastructure by decades without major upgrades. Home owners end up
with a double benefit since the system dramatically decreases solar
exposure to the roof top and will extend the life of their roof by many
years as such it almost pays for it self even before you include the power
savings.
Complementary technologies yield a net surplus of
power
Our technology has the ability to produce substantial amounts of waste heat. This heat can be used directly during the winter for space heating and when combined with a geothermal heat pump can mostly eliminate natural gas usage for those buildings that are equipped. In addition there are two well understood and readily available technologies that can use this waste heat for air conditioning which can almost eliminate the most power hungry piece of the air conditioners which is the compressor. Buildings so equipped will under many conditions generate a surplus of local power that can help meet the demands of the local grid. Keep Local Money Local for Local Jobs and
Local Capital
All economies eventually have to balance so the amount of money leaving the state to pay for fuel will eventually have a net negative impact on the economy since there is not always a corresponding increase in revenue and since this money is for a consumable item such as Natural gas it is simply gone once used. In contrast spending an equivalent amount of money on capital improvements is a better option since you still have the capital improved item as an asset that can be sold to recover the money originally spent which you can not do with pure expense like natural gas. Any economy rides on the common person spending money. A plan which lowers unemployment and creates tens of thousands of new jobs is a much better decision than simply exporting the money to pay for a consumable resource like Oil or Natural Gas.The XDOBS Renewable Energy Electric, Heat and Cooling Solution:
The Theory of Distributed Power to Reduce CostsDistributed
power is the concept of moving some of the electrical generation out of
the major facilities to smaller installations where Electricity is
generated in smaller chunks closer to the point of
consumption. Taken to an extreme every building would
generate all of its own power.
The XDOBS
solution is a form of distributed power generation and is in the DOE
roadmap so there should be grant dollars available to help commercialize
this product. The
XDOBS solution is unique in that it uses well understood concepts that
require only readily available materials and can be scaled up and deployed
rapidly and at a cost effective level.
DOE favors large centralized facilitiesThe DOE (Department of Energy) and Sandia labs is researching distributed energy using large concentrator dishes that can produce a megawatt each. They like this strategy because it produces efficient power at 29.4% conversion but we don't believe the large dish strategy is the right direction due to high construction costs and it is very expensive to make rugged enough for large scale distribution where they will withstand 100 mile per hour wind and their very basis makes them very heavy where that weight must be centered around the disk mount which limits your points of distribution. In general distributed generation is more expensive per kilowatt than large scale centralized plants but it is accompanied by a corresponding decrease in infrastructure such as carrying lines. In wide open areas like Montana and Wyoming it can be expensive to run new lines but in heavily populated areas such as San Jose California it can be 100 times more expensive and it is those areas that have the highest demand and which need more power desperately. The Key OportunityIt appears
the primary market for distributed power will be those areas that get into
trouble under peak demand conditions such as
The problem AreasSeveral
of
Needed to resolve issueTo meet
the peak market opportunity you need a technology that can be
unobtrusively installed in built up areas so that it can generate the
power close to the point of consumption during those peak conditions. It can not generate a lot of noise
and does not place additional stress on other existing infrastructure such
as Natural gas pipelines. It would be nice if
during emergency conditions these could deliver some power to the local
grid even when the local water, gas infrastructure has been
interrupted. Such as
conditions like hurricanes or other natural disasters. Wherein these subsystems can act
as a source for limited emergency power for hospitals or other necessary
emergency management
infrastructure which would not other wise be available and could
substantially increase their duration of operation in such conditions with
out requiring an increase of stored fuel. In addition you need to do this in
a neighbor friendly way without creating substantial noise. Watt for watt this power may be
more expensive than centralized power but since it defers major capital
required to upgrade other major infrastructure items its capital cost can
be paid for with those savings. In addition the savings from
eliminating mandatory rolling blackouts can be substantial since they will
no longer have to close the businesses in the area where we have been able
to take the load off the system.
The solution should be able to leverage an underutilized resource
such as commercial roof tops and if feasible should provide an ability to
lower total power needed for heating and cooling activities. It should be simple enough to
install that 90% of the work can be done by normal construction workers
with only the high voltage connections being done by licensed
electricians. This will
create a large boost to the economy while at the same time accomplish the
goal to protect the environment.
Why is XDOBS working on thisA desire to helpWhen Joe our founder, started in computers and software he wanted an
oportunity to have a truely beneficial impact on the world but throughout the
next 20 years he like most people has worked predominantly on commerical
projects that helped a few people get richer or saved a few rich people money
but it never had a truely beneficial impact on large numbers of
people. During this time he has never forgotten this goal but he
has picked up a set of technical, business and market skills that have made
this project feasible. We hope that this solution will have a
profoundly positive impact on both people and the economy.
A need to tackle core issuesWe view the current trend towards rapidly spiraling fueld costs as detrimental to the long term economy and that in the short term it would have a profoundly negative impact on the poor and those who are just barely making it from month to month. We felt that a solution which targets the underlying causes of the problem was essential and we happened to have available the skill set to not only develop the solution but to also find clever economic and marketing strategies to get it deployed at sufficient levels to change the underlying economic equation. A capital centric solution will promote long term prosperityWe feel that as long as such a large fraction of the economy is hostage to consumable fuels especially those that must be imported that we are simply at too high a risk of external factors causing economic turmoil while at the same time we are exporting too much of our wealth to other countries rather than using it to build our local economy and capital base. We understand the aurguments about cash flow and open markets but certain fundemental rules still apply such as such as money spent on a capital investment can generally be sold in the future so you spend money but still have the some or all of the value that can be re-invested in the future. We believe that a strategy that favors a capital investment in tangible goods will generally yield better long term financial positions just like most people who invest in a house financially benefit over the long term. In additon money spent in the local economy is more likely to cycle back in the form of revenue than money spent in countries that are far way. There is a finite amount of petroleum based resources and the faster we can shift to using the petroleum assets to produce long term durable tangible capital products and away from burning it as fuel the longer this asset will last for our grandchildren so it is reasonable to encourage such a spending pattern where feasible. We are in a unique position where we can fund the XDOBS renewable solution at
a cost that can be easily paid for in less than 10 years especially in those
areas that are heavily built up and facing inadequate power reserves now
or in the next 10 years. This is critical because
previous renewable energy products could hardly be justified based on up front
costs versus fuel based strategies. The new higher fuel
prices combined with a high probability of further increases combined with
our ability to cost effectively mass produce the solution puts us at a
juxtoposition where the scales have tipped and it gives us an oportunity to
shift to the renewable, capital centric solution at the same or lower 10 to
15 year cost. We believe that when looking at the
probably 5 year price increases in petroleum that we we will actually find the
XDOBS installation paying off in 7 years or less and in some situations where
we can help avert the power crisis in a major city some of which are as few as
2 years away then the XDOBS system will be paid for from an economic
perspective in the first few months of the crisis that was avoided. Cross functional skills are mandatoryDeveloping and deploying a solution like this requires skills in many areas from mechanical design, electrical design, electronics design, thermal design, architectural design, economics, large scale solution design and understanding solutions in the context of the economy and finance and most important and good grasp of how to move a product from concept through market adoption. The people at XDOBS people have over 25 years of experience in building, marketing and delivering software solutions and in many instances these software solutions required us to build small embedded pieces of hardware to augment the software. Our applications have covered the gamet from small scale tracking devices to large scale customer portals and CRM projects and in every project we had to learn enough about that domain to effectively apply the technology to the local problem. This exposure has given us a broad cross industry knowledge that was essential
for us to be able to understand the problem but even more important understand
the market drivers and develop a solution that takes advantage of the market
conditions. Large Complex system optimization requiredOur most important skills is extensive training in understanding and
finding ways to optimize very large and very complex systems from many
different domains. This is essential because it allows us to cross many
different areas of expertise and synthesize a solution that is not obvious to
the people focused in only one specialty. Our patent
pending technology uniquely positions us so that when it is combined with
market analysis and the ability to find niche customers that will pay to solve
their specific problems then we are ideally positioned to deploy this solution
on a large scale. Understanding how to use the economy and marketOne of the the things we had to learn was large scale analysis to determine
the market feasibility of a given idea and how this product could be made
sucessful if taken to market. This included price point analysis, feature
analysis, etc. We used this analysis to find a few niches where our
renewable energy system could be deployed effectively and then used our
other skills and extensive research to design and develop a solution that would
meet the needs of that niche better than other technology.
Core skills are good match for the hard partsInterestingly enough a large fraction of the overall solution requires areas that we are experts in such as software and embedded systems to track the sun, Telemetry aggregation for automatic dispatch when service is needed, 3D cad design and drawings, Inverters and line synchronization, etc. Since we had so many of the required pieces of expertise which tend to be very expensive when contracted out it positioned us well to design and build the entire solution. Well we don't actually build the entire solution since most components are manufactured by experts in that area but that is a standard part of mass manufacturing.
Resources
Reference Links
See the
Core Technology
3D CAD
AnimationOne thing that makes modern design much easier than
it was in the days of Stirling and Tesla is the ability to actually
conceive of and see new
mechanisms in action prior to building them. Even more important is the ability
to explain the operation to other people quickly and easily. 3D simulation is an
incredibly valuable aid in this process.
In the
process of evaluating 3D cad packages we discovered a package called CADSM http://www.cadsm.com/ which is only $29 and
has a 30 day free eval. This software allows you to draw the
engine and build up the motion as a set of physical parameters that it
runs through a simulator.
The learning curve is a little bit steep and their
on line video tutorials need some work to make things clear but all in
all it is still reasonably easy to get up and going with reasonable complexity requiring less than 3 days learning. It requires some understanding of
the underlying math to get fancy relationships but the rest is
reasonably easy. I suspect that once learned it that
a trained person can generate the animations in 1/5th the time of manually drawing
each slide and taking snapshots and the resulting animation will be
more accurate.
I use some
software from Unflash.com called screenflash which can record a
region of the screen and convert it automatically into a gif sequence or
flash movie. This means you can run the simulation and record it for
presentation without having to manually assemble the
images.
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eXtensible |
An approach for building and a design for a Solar Thermal
Electric Generator module which is designed specifically for cost effective
application, large scale
manufacturing and rapid installation and deployment. It includes
a solar concentrator and utilize
concepts from thermo dynamics, Tesla
turbines, thermo siphons,
Our design is optimized such that it will produce the most
power during the times when the grid is under peak demand so it will contribute
the greatest when the need is the highest.
In addition our
solution can be rapidly deployed in heavily built up areas where it would
normally be very expensive acquire land and almost impossible to install new
major infrastructure. We
also started from a baseline assumption that we would have to work with
existing buildings in existing areas and that we would not require substantial
modifications to those buildings so our solution as designed addresses those
concerns.
I did not follow the typical inventor process. I started with an area interest (Renewable energy). I then conducted market and economy research and found an interesting problem and then performed extensive research and design to develop a way to solve the problem using my area of interest. A major problem with renewable energy has been that the costs have been so high that the investment could not be justified so I started out looking for areas where there where problems expensive enough that we could overcome the cost issue while using the initial unit volumes to help drive cost down and as such I viewed it critical to develop a design that can be rapidly scaled into large scale production and it was equally critical that the resulting solution could be installed cost effectively in large volumes. Finally I viewed it as was essential that large scale implementation would not have requirements for any parts or materials that are either tightly controlled or not available in large volumes as commodities.
I have been closely following the renewable energy market
for over 10 years however until recently the cost of electricity and political
awareness has not been sufficient to drive renewable energy adoption in
mainstream markets.
Beginning with the
I began with the research above and looked for look for specific niche markets where there is some sort of looming crisis that will force significant money to be spent either to avert the crisis or to deal with its impact. I was also looking for markets that had experienced locally inflated energy prices and which had experienced significant volatility in those prices. I narrowed this focus by looking for situations where the current established players are not delivering an effective solution or where their standard solution would be very expensive or politically difficult.
An
example of this is a "California State of power report given to the
Our solution takes advantage of the fact that the current
market is dominated by people working for very large companies who tend to
think predominantly
about designs that are only
feasible to roll out in very large scale centralized plants. As
a result they are looking at requirements to build major new infrastructure not
only to generate new power but to deliver that power and the key to our market
opportunity is that it is very expensive to run new high capacity lines into
heavily built up areas. In
addition the only other viable technology that could be used in this situation
is priced to high to be effective and it's core component photo voltaic solar
cells have significant problems scaling up and as such the price remains high
and would be pushed higher if demand escalated dramatically. As
a result our capital intensive strategy for addressing the issue can be
deployed for substantially less than the alternative of major infrastructure
upgrades. It also sets an
economic stage that can actually allow
I used the identified emergent market opportunities and invested thousands of hours of research, drawing and deep thinking to develop a renewable energy based design, strategy and go to market concept. The resulting design can address or ideally head off the identified crisis while being deployed at a lower cost than the alternative solutions which tend to be natural gas based. Particular attention was paid to approaches and strategies that can be scaled up in mass manufacturing without substantial high technology. Extensive effort was invested to to ensure that that only readily available commodity materials are used.
Original patents where researched from the late 1800 and early 1900s and these represent the core backbone of the technology however we did have to invent substantial new uses and structures for these and are in the process of patenting the same.
After much of the research and design had been completed a combination of market fluctuations and natural disasters has driven the price of gasoline way up and this winter many consumers will see their heating bills increase by 50% to 100% and in some instances more. This situation is so extreme that the U.S. Senate has passed a special appropriation to help some of the poor pay the new much higher bills. This will culminate this winter and is very likely to result in substantial media hype that will sensitize a larger fraction of the population to current risk and may make it politically feasible to aggressively attack the issue 2 years before it would have been otherwise. I don't see many other movers making substantial traction but I think we should assume the window for execution has shrunk and we must move faster than I had anticipated to address the opportunity.
Even if we started deploying
tomorrow it will take time to train a large enough base of installers to get a
sufficient number of buildings retrofit to stave off a serious problem. We
believe that those who have experienced the rolling brownouts are not in favor
of having that same experience again. Should
the summer 2006 be hotter than usual and the Department of Agriculture
indicates an increasing trend towards extreme temperatures as a result of
greenhouse warming. Then there
will be an outraged public that will wonder why we have not been able to learn
from past experience.
Proposed
Legislation to Encourage Electricity Saving
Deployments
For the short term
·
Lighting is one of the larger electricity users so to help reduce power
consumed in this fashion establish a tax on all incandescent light bulbs which
is effectively 300%. Use
the proceeds of this tax to fund tax refunds for upgrades to high efficiency
florescent bulbs. Mandate
that the state rebate coupons are handed out with the receipt for all
florescent purchases.
·
One issue with high efficiency and renewable energy installations is
that the installed price is so high and part of this is because vendors are
taking high margins and there are too many middlemen. This
is typical of free enterprise but in this instance we want to dramatically
lower the end user installed cost on these products.
We propose to dramatically
increase volume but for this to work we must keep the installed retail prices
low to get the maximum benefit.
To accomplish this we propose the following:
o
Establish a baseline wholesale cost per square foot for upgrading
insulation and windows, geothermal heat pumps ultra high efficiency air
conditioners, solar thermal powered air conditioners. These
prices should be for high quality units rather than for less efficient models.
o
Use the wholesale to establish a web registry of companies that promise
to sell and install at no more than this cost + 10%. This
should include installation labor which should be calculated at a wholesale
cost as well as materials.
o
If necessary to get this price as low as possible the state should make
a blanket purchase agreement with 3 or 4 manufactures for 100 million worth of
the standard product and then make it possible for small contractors to buy off
that contract at that bulk price.
This can be outsourced
to a couple major distributors who want the volume business and are willing to
work on very low margins 1% to 2% to get it.
o
Establish a standard shipping rate for these products and force registry
resellers to conform.
Also
the state or licensed rep to act
as an aggregato to bulk ship the products in passing the bulk shipping savings
on to the individual contractors who must pass them on at the same 10% margin.
o
Any contractors who are found not to be selling at the agreed upon
margin or sell an Inferior product to the one state baseline are barred from
participating for 1 year.
o
Provide a web based quote system where home owners can enter their
window dimensions, etc and get the state approved bid price.
o
Provide a web based registry of retailers willing to meet the wholesale
+ 5% rate on these products without labor.
o
Provide a registry of lenders willing to loan for installation of this
type of product at prime + 1% and force them to publish minimum credit score
required for average loan approval at that rate in order to be included in the
registry.
Remove them for a year if they do not conform or try to bump the rate.
o
Expand this program to include common installations of renewable energy
products such as PV panels and grid interface inverters, Solar Thermal
generators and private wind generators. Use
aggressive buying tactics to find the lowest installed cost per 100 watts and
force those companies who want to be on the registry to match these prices. This
should include a quote amount for the installation labor.
o
Offer a 50% tax rebate from state income tax based on the state approved
price for these installations. This
rebate can be amortized over 10 years so the person could deduct 10% of the
cost of the system per year from their taxes.
See 2% rebates for renewable below. Require
a signed certificate that the product has been installed and is being used.. Get
the Federal government to kick in another 40%.
o
Establish a wholesale rate for co-generation meters and provide a
registry for installation similar to the insulation and windows above.
o
Work with local power companies to get statistics for type of product
being rebated and amount of energy being saved by comparison to same structure
prior year. Then change the
rebate % to favor those with the biggest savings per $ rebated.
o
Work with local power companies to provide pre-financed standard package
for home owners that is paid with the electric bill that would include, Local
rooftop generation, Insulation
and Window upgrades, High efficiency air or Geothermal upgrade. Should
be amortized at 20 years at prime + 1% state may have to be matchmaker for the
money. The home owner should be
able to place one call and get the standard priced system. Should
have wall inject able and spray on insulations available.
This system should include the reversible meters where the consumer gets
credit if they produce more power than they consume. These
should be pre-calculated based on square foot.
Implement special law that allows this loan to be carried through to the buyer
as an encumbrance if the property is foreclosed. This
loan should be automatically assumable by whoever buys the house or can be paid
as standard part of the mortgage.
·
Place a 5% additional levy
on all electricity consumption.
o
1% to renewable research. Make
sure ½ of this goes to small business in the form of grants.
o
2% to rebates for insulation and window upgrades.
o
2% to rebates for renewable co generation.
·
Provide a special tax break for lenders who lend money for renewable
installations work with the Federal government to exempt all profits on money
loaned for this purpose from capital gains or property tax.
· Provide an 80% payback for company investing in installing renewable energy and high efficiency retrofits on a 20% per year return. Require signed certification that the technology has been installed and is being used. Using this and the prime + 1% loans these companies will actually put money back in their pocket for 5 years and by the end of that time the price of energy will have increased enough to still save them money.
Call 800-658-8745. or Send our sales department an email.
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XDOBS.COM - Oct 2005 - All rights Reserved |
This discussion contains forward looking statements which are based on current expectations and differences can be expected. All statements and expressions are the opinion of management of XDOBS and are not meant to be either investment advice or a solicitation or recommendation to buy, sell, or hold securities. Many of these statements are based on sound economic reasoning, however actual response of the economy is heavily influenced by politics and large business and so the outcome could end up substantially different.