GLOBAL STATUS REPORT Renewables 2011

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GLOBAL STATUS REPORT Renewables 2011 ( global-status-report-renewables-2011 )

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03InDuSTRy TRenDS n hydropower Industry 44 The most mature of the renewables industries, the hydropower industry in developed markets such as the United States, the EU, Russia, Canada, and Japan is characterized by a focus on repowering, relicensing, and pumped storage development to complement increasing shares of variable renewable electricity. Elsewhere, par- ticularly in emerging markets, the focus is on construc- tion of new hydropower capacity. n Ocean energy Industry During 2010 in Brazil, developers like PCH Brasil put projects on hold in response to rates of return below 12–14%.45 The small hydro industry suffered in the EU, where conflicting national-level implementa- tion demands associated with the Renewable Energy Directive and Water Framework Directive resulted in delays and permitting difficulties.46 Manufacturers of wave energy devices include Pelamis Wave Power, Wave Dragon, Voith Hydro Wavegen, Ocean Energy Ltd., AWS II BV, Fred Olsen, Ocean Power Technologies, Aquamarine, and Wello Oy. Manufacturers of tidal current energy technologies include Hammerfest Strom, Verdant Power, Voith Hydro Ocean Current Technologies, Marine Current Turbines, Clean Current Power Systems, Ponte di Archimede, Open Hydro, Atlantis Resources, Minesto, Pulse Tidal, Tidal Energy, Tidal Generation, TidalStream, and VerdErg Renewable Energy.49 At least 32 companies are active in the develop- ment and evaluation of prototype wave projects funded by the U.K. government, with the industry’s long-term outlook growing following the auctioning of leases by the Crown Estate. The U.S. industry currently has more than 50 active companies.50 The largest active hydropower industry is in China, where there are hundreds of small entrepreneurs and municipal governments, as well as a number of large players. India has a wide manufacturing base for small- scale hydropower equipment, with 20 active domestic manufacturers with equipment manufacturing total capacity of 300 MW per year. In addition, there are about five manufacturers producing equipment for micro- hydro and watermills.47 In 2010, a number of traditional hydropower firms joined the industry, including Andritz Hydro, Alstom Hydro, and Voith Hydro in 2010. Utilities that joined include Iberdrola-ScottishPower, Vattenfall, RWE, E.ON, Scottish & Southern Energy Renewables, and Scottish Power Renewables.51 Alstom, Andritz, IMPSA, and Voith lead in the manufac- ture of hydropower equipment, accounting for approxi- mately 40–50% of the global market. The remaining 50–60% market share is controlled by regional players, including American Hydro (North America), Bharat Heavy Electrical (India), CKD Blansko Holding (former Eastern Bloc), Energomashexport (Russian Federation and former Eastern bloc), and Hitachi and Toshiba (Japan and North America). Chinese equipment manufacturers Harbin Electric Machinery and Zhejiang Machinery & Equipment are also emerging as global players.48 Wave and tidal technologies saw significant progress toward commercial generation in 2010, benefiting from a mix of government policies and financial grants and new entrants. Industry development in the U.K. led this nascent industry, with development also occurring in the United States and Canada. The focus continues to be on the design and evaluation of demonstration prototypes.

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