This presentation is posted for public use. ACEEE does not endorse any product or service.

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1 This presentation is posted for public use. ACEEE does not endorse any product or service. ACEEE accepts no responsibility for any facts or claims this presentation may contain.

2 CO 2 Heat Pump Water Heater May, 2012 Berkeley, CA ACEEE Hot Water Forum Maho Ito Sylvain Gillaux Toshihisa Tago

3 Sanden Profile Foundation: 1943 Revenue: $2.8 billion (216 billion yen) Employees: 8,281 World HQ: Tokyo and Gunma, Japan Global network: 54 locations in 23 countries Heating Core technology Cooling Automotive (67%) Food Storage (29%) Household (4%)

4 Akagi Plant Sanden Forest Environment Environmentalfriendly Preservation Frontier Factory (Akagi Plant) <Eco-friendly Technology Development > Heating, Cooling, & Electronics Hybrid Compressor CO2 Compressor Water Heater Electric Driven Compressor CO2 Heat Pump CO2 Cassette Vending Machine Showcase

5 Why is CO 2 better? Efficiency: Compressed CO 2 refrigerant with high temperature makes it possible for the water temperature to reach 194 F. In addition, CO 2 heat pumps are able to work at the very low ambient temperature without electrical back-up heater. Temp. Fluorocarbon Condensation Refrigerant Water Temp 65 / 149F Temp. CO2 Refrigerant Refrigerant Water Temp 90 / 194F Water Water The temperature rises because there is no condensation. Refrigerant outlet Refrigerant inlet Refrigerant outlet Refrigerant inlet

6 Why is CO 2 better? Green: Very low GWP compared to fluorocarbon refrigerants. Item Refrigerant ODP GWP Toxicity Flammability Notes Fluorocarbon refrigerant Natural refrigerant R134a 0 1,430 No No Vehicle A/C R410A 0 2,100 No No HP R407C 0 1,800 No No CO2 0 1 No No CO2 HP Propane Gas 0 20 No Yes NH3 Ammonia 0 <1 Yes Yes

7 Why is CO 2 better? Usage range : From freezing to heating

8 Recent Integrated Water Heater Development WH with Scroll Compressor Notes: -In European market -Heat capacity: 4.5kW -Variable speed (economy mode / comfort mode) 4.50 Evaluation: CO 2 vs HFC COP by Ambient Temperature (Heated Water Temp: 65 ) Scroll Reciprocating WH Reciprocating Compressor New COP HFC A HFC B φ Notes: -Under development -Heat capacity: 2kW -Mono speed - Lower cost compared to scroll Ambient Temperature ( ) SANDEN is still working to improve reciprocating water heater performance.

9 Europe future trend: green refrigerants EU parliament long term target: HFC phase-out for all types of applications. «Alternatives to HFCs are already existing on the market and the EU should make these more attractive for industries at European level and show thereby the way forward to other countries at international level» ~ ? Kyoto protocol Example of Japan: start of the Ecocute program Decision of GWP limit for automotive applications Promotion of green HFC alternatives towards industries and end users in the EU Bonus for low GWP refrigerants in the new ErP Directive 2 coming years > Key period!! EU Directive for automotive applications: GWP<150 Other applications: creation of EU working groups towards specific directives Discussions and lobbying towards TOTAL PHASE-OUT OF HFCs through a GWP limit EU Directive for Green Refrigerants Starting point Decision process Directive / Concrete action

10 Water Heater Market in Europe Europe: ~228 millions existing dwellings / 1.6 million new ones per year. Potentially, about 24 millions of DWH devices sold per year! Currently: strong position for combi type gas solutions (heating + DWH) or electric boilers Future: high efficiency combi type gas solutions and heat pumps or DWH heat pumps Trend goes towards building with high-efficiency and high energy saving: Better insulation Lower space heating demand Stronger focus on DWH French Regulation: from 2013, all new buildings will have to need less than 50kWh.PE/m 2.yr

11 ADAPTATION TO EUROPEAN NEEDS Fully outdoor (split type) Japanese technology: proven performance and quality Flexibility and adaptability for installation Fully indoor (integrated type) Product clearly adapted to European end users needs

12 Integrated Water Heater in Europe Model (set product number) GES-15QTA Kind Power supply Heat capacity Frequency The maximum current Ratings power consumption(*1) Hot water temperature Indoor type Single phase 230 VAC, range [+10% -15%] 3.5kW / 4.5kW (Eco /Comfort Mode) 50Hz 16A COP (*1) 3.0 Noise 1.12kW / 1.6kW 65 = 149F 40 dba Weight 126kg (276kg when filled with water) Range of temperature for installation System configuration product number Tank unit Heatpump unit Refrigerant and amount Compressor Tank specifications Indoor room T : 0 ~ 43 (32~110F) Outside T: -15 ~43, (5~110F) For outside air temperature between -10 and -15, the heating capacity can decrease to 3kW. Hot water at 65 C. GEU-15QTA GEU-45HPA CO 2 (R744) 610 g SANDEN Scroll V2COMP (SHC040B) Capacity : 150L = ~40 gal Material : Stainless Steel (AISI 444)

13 Integrated Water Heater in Europe

14 SANDEN AQUAECO2 A real renewable energy product!! The best performances on the domestic water heating market: 2 times better than other HPs 4 times better than electric boilers An innovative heat pump using a totally green refrigerant: CO 2 (natural, non-toxic, non-flammable, GWP = 1) 1st CO 2 HP made in Europe!

15 SANDEN AQUAECO 2 Key words for short term products: Higher DHW volumes up to 800 liters! ( 211 gal) Compact φ

16 SANDEN ROAD MAP SANDEN has developed green products to be competitive and meet Voice of Customers. CO 2 products are Sanden s core green technology that means Quality Top of the class performances ( no back-up electric heater needed!) Customers satisfaction! (Comfort) Full range of heating capacity Contribution to environment conservation

17 Thank you for your attention & comments Maho Ito CO 2 Product Manager mito@sanden.com