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Assessment of Potential and Promotion of New Generation of Renewable Technologies ____________________________________________________________________________________________ (a) Technologies are available off-the-shelf for connecting wind farms with the coast. With a view to the integration of the European energy market and Member States’ supply security, wind farms of different national belongings should be interconnected, e.g. via offshore “supernodes” to form a “supergrid” as lately has been proposed and found support among political leaders in e.g. Germany, Denmark, and the UK. The barrier is that without political framing such planning, investment and deployment lifts-off at a very late stage only, if at all, resulting in overall lower technical and economic performance. (b) Grid connections to the onshore grids are a prerequisite but not sufficient without transport capacities in place and electricity demand in time. Similar to concentrating solar power, offshore wind energy has a geographical bias, in this case along the Northern, Western, and Mediterranean coastlines of the European continent. In order to have a significant amount of offshore wind energy in the EU grid mix, high-capacity interconnection lines are required to interlink centres of supply and demand in the ‘hinterland’ of Europe. Furthermore, linking (northern) wind energy with (southern) concentrating solar power increases the grid stability and the general energy supply security. In the mature markets of Germany, Denmark, and Austria, onshore wind farms are typically financed by individuals, small groups or cooperatives. Commercially viable offshore wind farms have capacities of several hundred MW. The associated financial volumes are high and resemble an entry level and challenge for fundraising. Thus, established energy companies, institutional and private investors (funds) will enter into this market preferably. If smaller investors are to be brought in, financial vehicles are needed to support this. 2.3.3. Photovoltaics When the so-called ‘grid parity’ is reached, the private customer market is set to lift-off. For this to come true for households and the energy industry alike, the availability of or access to sufficient capital resources is a prerequisite. Furthermore, procedures to ensure grid quality, grid maintainability, and guidelines for firemen need to be further developed with a view to having doubly-digit shares of PV in the local grid. System management will become much more complex for the grid operator. In the past, predominantly central power stations have served electricity consumers ‘top down’. Today, and even more further down into the future, PV and other renewable energies feed electricity into the grid at virtually all voltage levels. Although PV is most competitive in sunny, off-grid locations, less than 10% is actually going into these remote markets. [EPIA 2008] estimated this share to rise to some 20% by 2020. These figures resemble an enormous and still untapped market of some 2 billion people worldwide that still do not have regular access to electricity. As these markets are predominantly situated in the ‘sun-belt’ of the southern hemisphere, activating them faces significant barriers (see [UNEP 2002] for country-specific case studies): geographic dispersion, physical accessibility, fiscal capabilities, lacking technical skills. Nevertheless, addressing this market would go hand in hand with development objectives like the Millennium Development Goals, hence and not least providing the prospects for local development that damp migration pressure including associated problems. For more discussions on policy instruments in the development field, see chapter 3.2.1 of this report where The role of renewables in development policy is discussed. IP/A/ITRE/ST/2009-11 & 12 67 PE 440.278PDF Image | Policy Department Renewable Technologies
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