Renewable energy commercialization

The wind, Sun, and biomass are three renewable energy sources

Global New Investments in Renewable Energy^[1]

Renewable energy
Biofuel Biomass Geothermal Hydroelectricity Solar energy Tidal power Wave power Wind power
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v · deployment of three generations of renewable energy technologies dating back more than 100 years. First-generation technologies, which are already mature and economically competitive, include biomass, hydroelectricity, geothermal power and heat. Second-generation technologies are market-ready and are being deployed at the present time; they include solar heating, photovoltaics, wind power, solar thermal power stations, and modern forms of bioenergy. Third-generation technologies require continued R&D efforts in order to make large contributions on a global scale and include advanced biomass gasification, biorefinery technologies, hot-dry-rock geothermal power, and ocean energy.[2] There are some non-technical barriers to the widespread use of renewables,[3][4] and it is often public policy and political leadership that helps to address these barriers and drive the wider acceptance of renewable energy technologies.[5] As of 2010, 98 countries have targets for their own renewable energy futures, and have enacted wide-ranging public policies to promote renewables.[6] Climate change concerns[4][7][8] are driving increasing growth in the renewable energy industries.[9][10][11] Leading renewable energy companies include First Solar, Gamesa, GE Energy, Q-Cells, Sharp Solar, Siemens, SunOpta, Suntech, and Vestas.[12][13] Total investment in renewable energy reached $211 billion in 2010, up from $160 billion in 2009. The top countries for investment in 2010 were China, Germany, the United States, Italy, and Brazil.[14] Continued growth for the renewable energy sector is expected and promotional policies helped the industry weather the 2009 economic crisis better than many other sectors.[15] U.S. President Barack Obama's American Recovery and Reinvestment Act of 2009 included more than $70 billion in direct spending and tax credits for clean energy and associated transportation programs. Clean Edge suggests that the commercialization of clean energy has helped countries around the world pull out of the 2009 global financial crisis.[15] Economic analysts expect market gains for renewable energy (and natural gas) following the 2011 Japanese nuclear accidents.[16][17] Globally, there are an estimated 3 million direct jobs in renewable energy industries, with about half of them in the biofuels industry.[18] According to a 2011 projection by the International Energy Agency, solar power generators may produce most of the world’s electricity within 50 years, dramatically reducing harmful greenhouse gas emissions.[19] Overview Rationale for renewables Climate change, pollution, and energy insecurity are among the greatest current problems and addressing them requires major changes to energy infrastructures.[20] Renewable energy technologies are essential contributors to the energy supply portfolio, as they contribute to world energy security, reduce dependency on fossil fuels, and provide opportunities for mitigating greenhouse gases.[2] Climate-disrupting fossil fuels are being replaced by clean, climate-stabilizing, non-depletable sources of energy: ...the transition from coal, oil, and gas to wind, solar, and geothermal energy is well under way. In the old economy, energy was produced by burning something — oil, coal, or natural gas — leading to the carbon emissions that have come to define our economy. The new energy economy harnesses the energy in wind, the energy coming from the sun, and heat from within the earth itself.[21] A 2010 survey conducted by Applied Materials shows that two-thirds of Americans believe solar technology should play a greater role in meeting the country's energy needs. In addition, "three-quarters of Americans feel that increasing renewable energy and decreasing U.S. dependence on foreign oil are the country's top energy priorities". According to the survey, "67 percent of Americans would be willing to pay more for their monthly utility bill if their utility company increased its use of renewable energy".[22] Three generations of technologies The term renewable energy covers a number of sources and technologies at different stages of commercialization. The International Energy Agency (IEA) has defined three generations of renewable energy technologies, reaching back over 100 years: First-generation technologies emerged from the industrial revolution at the end of the 19th century and include hydropower, biomass combustion, geothermal power and heat. These technologies are quite widely used.[2] Second-generation technologies include solar heating and cooling, wind power, modern forms of bioenergy, and solar photovoltaics. These are now entering markets as a result of research, development and demonstration (RD&D) investments since the 1980s. Initial investment was prompted by energy security concerns linked to the oil crises of the 1970s but the enduring appeal of these technologies is due, at least in part, to environmental benefits. Many of the technologies reflect significant advancements in materials.[2] Third-generation technologies are still under development and include advanced biomass gasification, biorefinery technologies, concentrating solar thermal power, hot-dry-rock geothermal power, and ocean energy. Advances in nanotechnology may also play a major role.[2] First-generation technologies are well established, second-generation technologies are entering markets, and third-generation technologies heavily depend on long-term RD&D commitments, where the public sector has a role to play.[2] Growth of renewables Global renewable power capacity excluding hydro[23] Renewable power generation and capacity as a proportion of change in global power supply[24] In 2011, UN under-secretary general Achim Steiner said: "The continuing growth in this core segment of the green economy is not happening by chance. The combination of government target-setting, policy support and stimulus funds is underpinning the renewable industry's rise and bringing the much needed transformation of our global energy system within reach." He added: "Renewable energies are expanding both in terms of investment, projects and geographical spread. In doing so, they are making an increasing contribution to combating climate change, countering energy poverty and energy insecurity”.[25] During the five-years from the end of 2004 through 2009, worldwide renewable energy capacity grew at rates of 10–60 percent annually for many technologies. For wind power and many other renewable technologies, growth accelerated in 2009 relative to the previous four years.[26] More wind power capacity was added during 2009 than any other renewable technology. However, grid-connected PV increased the fastest of all renewables technologies, with a 60 percent annual average growth rate for the five-year period.[26] Selected renewable energy indicators[27][28][29] Selected global indicators 2004 2005 2006 2007 2008 2009 2010 Investment in new renewable capacity (annual) 30 38 63 104 130 160 211 billion USD Existing renewables power capacity, including large-scale hydro 895 930 1,020 1,070 1,140 1,230 1,320 GWe Existing renewables power capacity, excluding large hydro 200 250 312 GWe Hydropower capacity (existing) 950 980 1,010 GWe Wind power capacity (existing) 48 59 74 94 121 159 198 GWe Solar PV capacity (grid-connected) 7.6 16 23 40 GWe Solar cell production (annual) 6.9 11 24 GWe Solar hot water capacity (existing) 77 88 105 120 130 160 185 GWth Ethanol production (annual) 30.5 33 39 50 67 76 86 billion liters Biodiesel production (annual) 12 17 19 billion liters Countries with policy targets for renewable energy use 45 49 68 79 89 98 In 2008 for the first time, more renewable energy than conventional power capacity was added in both the European Union and United States, demonstrating a "fundamental transition" of the world's energy markets towards renewables, according to a report released by REN21, a global renewable energy policy network based in Paris.[29] In 2010, renewable power consisted about a third of the newly built power generation capacities.[24] According to a 2011 projection by the International Energy Agency, solar power generators may produce most of the world’s electricity within 50 years, dramatically reducing the emissions of greenhouse gases that harm the environment. Cedric Philibert, senior analyst in the renewable energy division at the IEA said: “Photovoltaic and solar-thermal plants may meet most of the world’s demand for electricity by 2060 -- and half of all energy needs -- with wind, hydropower and biomass plants supplying much of the remaining generation”. “Photovoltaic and concentrated solar power together can become the major source of electricity,” Philibert said.[30] Economic trends As of 2011, there have been substantial reductions in the cost of solar and wind technologies: The price of PV modules per MW has fallen by 60 percent since the summer of 2008, according to Bloomberg New Energy Finance estimates, putting solar power for the first time on a competitive footing with the retail price of electricity in a number of sunny countries. Wind turbine prices have also fallen - by 18 percent per MW in the last two years - reflecting, as with solar, fierce competition in the supply chain. Further improvements in the levelised cost of energy for solar, wind and other technologies lie ahead, posing a growing threat to the dominance of fossil fuel generation sources in the next few years.[25] The International Solar Energy Society argues that renewable energy technologies and economics will continue to improve with time, and that they are "sufficiently advanced at present to allow for major penetrations of renewable energy into the mainstream energy and societal infrastructures".[5] Indicative, levelised, economic costs for renewable power (exclusive of subsidies or policy incentives) are shown in the Table below. Renewable power generation costs 2010[31] Power generator Typical characteristics Typical electricity costs (U.S. cents/kWh) Large hydro Plant size: 10 - 18,000 MW 3-5 Small hydro Plant size: 1-10 MW 5-12 Onshore wind Turbine size: 1.5 - 3.5 MW 5-9 Offshore wind Turbine size: 1.5 - 5 MW 10-14 Biomass power Plant size: 1-20 MW 5-12 Geothermal power Plant size: 1-100 MW 4-7 Rooftop solar PV Peak capacity: 2-5 kilowatts-peak 20-50 Utility-scale solar PV Peak capacity: 200 kW to 100MW 15-30 Concentrating solar thermal power (CSP) 50-500 MW trough 14-18 As time progresses, renewable energy generally gets cheaper,[32][33] while fossil fuels generally get more expensive. Al Gore has explained that renewable energy technologies are declining in price for three main reasons:[34] First, once the renewable infrastructure is built, the fuel is free forever. Unlike carbon-based fuels, the wind and the sun and the earth itself provide fuel that is free, in amounts that are effectively limitless. Second, while fossil fuel technologies are more mature, renewable energy technologies are being rapidly improved. So innovation and ingenuity give us the ability to constantly increase the efficiency of renewable energy and continually reduce its cost. Third, once the world makes a clear commitment to shifting toward renewable energy, the volume of production will itself sharply reduce the cost of each windmill and each solar panel, while adding yet more incentives for additional research and development to further speed up the innovation process.[34] First-generation technologies Biomass heating plant in Austria. The total heat power is about 1000 kW. First-generation technologies are widely used in locations with abundant resources. Their future use depends on the exploration of the remaining resource potential, particularly in developing countries, and on overcoming challenges related to the environment and social acceptance. Biomass Biomass for heat and power is a fully mature technology which offers a ready disposal mechanism for municipal, agricultural, and industrial organic wastes. However, the industry has remained relatively stagnant over the decade to 2007, even though demand for biomass (mostly wood) continues to grow in many developing countries. One of the problems of biomass is that material directly combusted in cook stoves produces pollutants, leading to severe health and environmental consequences, although improved cook stove programmes are alleviating some of these effects. First-generation biomass technologies can be economically competitive, but may still require deployment support to overcome public acceptance and small-scale issues.[2] Hydroelectricity The Hoover Dam when completed in 1936 was both the world's largest electric-power generating station and the world's largest concrete structure. Hydroelectric plants have the advantage of being long-lived and many existing plants have operated for more than 100 years. Hydropower is also an extremely flexible technology from the perspective of power grid operation. Large hydropower provides one of the lowest cost options in today’s energy market, even compared to fossil fuels and there are no harmful emissions associated with plant operation.[2] Hydroelectric power is currently the world’s largest installed renewable source of electricity, supplying about 17% of total electricity in 2005.[35] China is the world's largest producer of hydroelectricity in the world, followed by Canada. However, there are several significant social and environmental disadvantages of large-scale hydroelectric power systems: dislocation of people living where the reservoirs are planned, release of significant amounts of carbon dioxide and methane during construction and flooding of the reservoir, and disruption of aquatic ecosystems and birdlife.[36] There is a strong consensus now that countries should adopt an integrated approach towards managing water resources, which would involve planning hydropower development in co-operation with other water-using sectors.[2] Geothermal power and heat One of many power plants at The Geysers, a geothermal power field in northern California, with a total output of over 750 MW Geothermal power plants can operate 24 hours per day, providing baseload capacity. Estimates for the world potential capacity for geothermal power generation vary widely, ranging from 40 GW by 2020 to as much as 6,000 GW.[37][38] Geothermal power capacity grew from around 1 GW in 1975 to almost 10 GW in 2008.[38] The United States is the world leader in terms of installed capacity, representing 3.1 GW. Other countries with significant installed capacity include the Philippines (1.9 GW), Indonesia (1.2 GW), Mexico (1.0 GW), Italy (0.8 GW), Iceland (0.6 GW), Japan (0.5 GW), and New Zealand (0.5 GW).[38][39] In some countries, geothermal power accounts for a significant share of the total electricity supply, such as in the Philippines, where geothermal represented 17 percent of the total power mix at the end of 2008.[40] Geothermal (ground source) heat pumps represented an estimated 30 GWth of installed capacity at the end of 2008, with other direct uses of geothermal heat (i.e., for space heating, agricultural drying and other uses) reaching an estimated 15 GWth. As of 2008, at least 76 countries use direct geothermal energy in some form.[41] Second-generation technologies Markets for second-generation technologies have been strong and growing over the past decade, and these technologies have gone from being a passion for the dedicated few to a major economic sector in countries such as Germany, Spain, the United States, and Japan. Many large industrial companies and financial institutions are involved and the challenge is to broaden the market base for continued growth worldwide.[2][7] Solar Heating Solar energy technologies, such as solar water heaters, located on or near the buildings which they supply with energy, are a prime example of a soft energy technology. See also: Solar hot water Solar heating systems are a well known second-generation technology and generally consist of solar thermal collectors, a fluid system to move the heat from the collector to its point of usage, and a reservoir or tank for heat storage. The systems may be used to heat domestic hot water, swimming pools, or homes and businesses. The heat can also be used for industrial process applications or as an energy input for other uses such as cooling equipment.[42] In many warmer climates, a solar heating system can provide a very high percentage (50 to 75%) of domestic hot water energy. As of 2009, China has 27 million rooftop solar water heaters.[43] Photovoltaics Nellis Solar Power Plant at Nellis Air Force Base. These panels track the sun in one axis. President Barack Obama speaks at the DeSoto Next Generation Solar Energy Center. Main article: Photovoltaics See also: List of photovoltaic power stations Photovoltaic (PV) cells, also called solar cells, convert light into electricity. In the 1980s and early 1990s, most photovoltaic modules were used to provide remote-area power supply, but from around 1995, industry efforts have focused increasingly on developing building integrated photovoltaics and photovoltaic power stations for grid connected applications. In particularly sunny regions such as Spain, the Middle East, North Africa, the southern USA, India, and parts of China, modern solar modules are close to achieving grid parity. And in countries situated further to the north such as Germany, France, and the Czech Republic, grid parity is expected by 2015.[44] Falling technology prices and the rising costs of fossil fuels are making photovoltaic (PV) power plants increasingly attractive for large investors.[44] As of October 2011, the largest photovoltaic (PV) power plants in the world are the Sarnia Photovoltaic Power Plant (Canada, 97 MW), Montalto di Castro Photovoltaic Power Station (Italy, 84.2 MW), Finsterwalde Solar Park (Germany, 80.7 MW), Lieberose Photovoltaic Park (Germany, 71.8 MW), Rovigo Photovoltaic Power Plant (Italy, 70 MW), Olmedilla Photovoltaic Park (Spain, 60 MW), and the Strasskirchen Solar Park (Germany, 54 MW).[45] There are also many large plants under construction. The Desert Sunlight Project is a 550 MW solar power plant under construction in Riverside County, California, that will use thin-film solar photovoltaic modules made by First Solar.[46] The Blythe Solar Power Project is a 500 MW photovoltaic station under construction in Riverside County, California. The Agua Caliente Solar Project is a 290 megawatt photovoltaic solar generating facility being built in Yuma County, Arizona. The California Valley Solar Ranch (CVSR) is a 250 megawatt (MW) solar photovoltaic power plant, which is being built by SunPower in the Carrizo Plain, northeast of California Valley.[47] The Mesquite Solar project is a photovoltaic solar power plant being built in Arlington, Maricopa County, Arizona, owned by Sempra Generation.[48] Phase 1 will have a nameplate capacity of 150 megawatts.[49] Solar photovoltaics is growing rapidly, albeit from a small base, to a total global capacity of 40,000 MW at the end of 2010. More than 100 countries use solar PV.[50] Wind power See also: List of onshore wind farms and List of offshore wind farms Wind power: worldwide installed capacity [51] Fenton Wind Farm at sunrise Some of the second-generation renewables, such as wind power, have high potential and have already realised relatively low production costs.[52][53] Global wind power installations increased by 35,800 MW in 2010, bringing total installed capacity up to 194,400 MW, a 22.5% increase on the 158,700 MW installed at the end of 2009. The increase for 2010 represents investments totalling €47.3 billion (US$65 billion) and for the first time more than half of all new wind power was added outside of the traditional markets of Europe and North America, mainly driven, by the continuing boom in China which accounted for nearly half of all of the installations at 16,500 MW. China now has 42,300 MW of wind power installed.[54] Wind power accounts for approximately 19% of electricity generated in Denmark, 9% in Spain and Portugal, and 6% in Germany and the Republic of Ireland.[55] These are some of the largest wind farms in the world, as of August 2011: Wind farm Installed capacity (MW) Country Capricorn Ridge Wind Farm 662 USA Fowler Ridge Wind Farm 600 USA Horse Hollow Wind Energy Center 736 USA Roscoe Wind Farm 781 USA San Gorgonio Pass Wind Farm 619 USA Tehachapi Pass Wind Farm 690 USA There are many large wind farms under construction and these include BARD Offshore 1 (400 MW), Greater Gabbard wind farm (500 MW), Lincs Wind Farm (270 MW), London Array (1000 MW), Lower Snake River Wind Project (343 MW), Shepherds Flat Wind Farm (845 MW), Sheringham Shoal (317 MW), and the Walney Wind Farm (367 MW). Solar thermal power stations Solar Towers from left: PS10, PS20. See also: Solar power plants in the Mojave Desert and List of solar thermal power stations Solar thermal power stations include the 354 megawatt (MW) Solar Energy Generating Systems power plant in the USA, Solnova Solar Power Station (Spain, 150 MW), Andasol solar power station (Spain, 100 MW), Nevada Solar One (USA, 64 MW), PS20 solar power tower (Spain, 20 MW), and the PS10 solar power tower (Spain, 11 MW). The 370 MW Ivanpah Solar Power Facility, located in California's Mojave Desert, is the world’s largest solar-thermal power plant project currently under construction.[56] Many other plants are under construction or planned, mainly in Spain and the USA.[57] In developing countries, three World Bank projects for integrated solar thermal/combined-cycle gas-turbine power plants in Egypt, Mexico, and Morocco have been approved.[57] Modern forms of Bioenergy See also: Biofuels Neat ethanol on the left (A), gasoline on the right (G) at a filling station in Brazil. Global ethanol production for transport fuel tripled between 2000 and 2007 from 17 billion to more than 52 billion litres, while biodiesel expanded more than tenfold from less than 1 billion to almost 11 billion litres. Biofuels provide 1.8% of the world’s transport fuel and recent estimates indicate a continued high growth. The main producing countries for transport biofuels are the USA, Brazil, and the EU.[58] Brazil has one of the largest renewable energy programs in the world, involving production of ethanol fuel from sugar cane, and ethanol now provides 18 percent of the country's automotive fuel. As a result of this and the exploitation of domestic deep water oil sources, Brazil, which for years had to import a large share of the petroleum needed for domestic consumption, recently reached complete self-sufficiency in liquid fuels.[59][60] Information on pump, California Nearly all the gasoline sold in the United States today is mixed with 10 percent ethanol, a mix known as E10,[61] and motor vehicle manufacturers already produce vehicles designed to run on much higher ethanol blends. Ford, DaimlerChrysler, and GM are among the automobile companies that sell flexible-fuel cars, trucks, and minivans that can use gasoline and ethanol blends ranging from pure gasoline up to 85% ethanol (E85). By mid-2006, there were approximately six million E85-compatible vehicles on U.S. roads.[62] The challenge is to expand the market for biofuels beyond the farm states where they have been most popular to date. Flex-fuel vehicles are assisting in this transition because they allow drivers to choose different fuels based on price and availability. The Energy Policy Act of 2005, which calls for 7.5 billion US gallons (28,000,000 m3) of biofuels to be used annually by 2012, will also help to expand the market.[62] The growing ethanol and biodiesel industries are providing jobs in plant construction, operations, and maintenance, mostly in rural communities. According to the Renewable Fuels Association, the ethanol industry created almost 154,000 U.S. jobs in 2005 alone, boosting household income by $5.7 billion. It also contributed about $3.5 billion in tax revenues at the local, state, and federal levels.[62] Third-generation technologies Third-generation renewable energy technologies are still under development and include advanced biomass gasification, biorefinery technologies, hot-dry-rock geothermal power, and ocean energy.[2] Third-generation technologies are not yet widely demonstrated or have limited commercialization. Many are on the horizon and may have potential comparable to other renewable energy technologies, but still depend on attracting sufficient attention and RD&D funding.[2] New bioenergy technologies See also: Cellulosic ethanol commercialization According to the International Energy Agency, cellulosic ethanol biorefineries could allow biofuels to play a much bigger role in the future than organizations such as the IEA previously thought.[63] Cellulosic ethanol can be made from plant matter composed primarily of inedible cellulose fibers that form the stems and branches of most plants. Crop residues (such as corn stalks, wheat straw and rice straw), wood waste, and municipal solid waste are potential sources of cellulosic biomass. Dedicated energy crops, such as switchgrass, are also promising cellulose sources that can be sustainably produced in many regions of the United States.[64] Selected Commercial Cellulosic Ethanol Plants in the U.S.[65][66] (Operational or under construction) Company Location Feedstock Abengoa Bioenergy Hugoton, KS Wheat straw BlueFire Ethanol Irvine, CA Multiple sources Gulf Coast Energy Mossy Head, FL Wood waste Mascoma Lansing, MI Wood POET LLC Emmetsburg, IA Corn cobs SunOpta Little Falls, MN Wood chips Xethanol Auburndale, FL Citrus peels Ocean energy The Rance Tidal Power Station (240 MW) is the world's first tidal power station. The facility is located on the estuary of the Rance River, in Brittany, France. Opened on the 26th November 1966, it is currently operated by Électricité de France, and is the largest tidal power station in the world, in terms of installed capacity. First proposed more than thirty years ago, systems to harvest utility-scale electrical power from ocean waves have recently been gaining momentum as a viable technology. The potential for this technology is considered promising, especially on west-facing coasts with latitudes between 40 and 60 degrees:[67] In the United Kingdom, for example, the Carbon Trust recently estimated the extent of the economically viable offshore resource at 55 TWh per year, about 14% of current national demand. Across Europe, the technologically achievable resource has been estimated to be at least 280 TWh per year. In 2003, the U.S. Electric Power Research Institute (EPRI) estimated the viable resource in the United States at 255 TWh per year (6% of demand).[67] Funding for a wave farm in Scotland was announced in February 2007 by the Scottish Executive, at a cost of over 4 million pounds, as part of a £13 million funding packages for ocean power in Scotland. The farm will be the world's largest with a capacity of 3 MW generated by four Pelamis machines.[68] Enhanced geothermal systems As of 2008, geothermal power development was under way in more than 40 countries, partially attributable to the development of new technologies, such as Enhanced Geothermal Systems.[41] The development of binary cycle power plants and improvements in drilling and extraction technology may enable enhanced geothermal systems over a much greater geographical range than "traditional" Geothermal systems. Demonstration EGS projects are operational in the USA, Australia, Germany, France, and The United Kingdom.[69] Renewable energy industry A Vestas wind turbine Gamesa Wind Turbine Installed at Bald Mountain in Bear Creek Township, PA Monocrystalline solar cell Total investment in renewable energy reached $211 billion in 2010, up from $160 billion in 2009. The top countries for investment in 2010 were China, Germany, the United States, Italy, and Brazil.[70] Continued growth for the renewable energy sector is expected and promotional policies helped the industry weather the 2009 economic crisis better than many other sectors.[15] Wind power companies See also: Wind power industry As of 2010, Vestas (from Denmark) is the world's top wind turbine manufacturer in terms of percentage of market volume, and Sinovel (from China) is in second place. Together Vestas and Sinovel delivered 10,228 MW of capacity in 2010, and their market share was 25.9 percent. GE Energy (USA) was in third place, closely followed by another Chinese supplier, Goldwind. German Enercon ranks fifth in the world, and is followed by Indian-based Suzlon at number six.[71] Photovoltaic companies First Solar became the world's largest solar cell maker in 2009, producing 1,100 MW of products, with a 13% market share. Suntech was in second place with a production capacity of 595 MW in 2009 and a market share of 7%.[72] Sharp was close behind the leaders with 580 MW of output. Q-Cells and its 540 MW output was fourth in 2009. Yingli Green Energy, JA Solar Holdings, SunPower, Kyocera, Motech Solar and Gintech rounded out the 2009 Top 10 ranking.[72] Non-technical barriers to acceptance Current energy markets, institutions, and policies have been developed to support the production and use of fossil fuels.[73] Newer and cleaner technologies may offer social and environmental benefits, but utility operators often reject renewable resources because they are trained to think only in terms of big, conventional power plants.[74] Consumers often ignore renewable power systems because they are not given accurate price signals about electricity consumption. Intentional market distortions (such as subsidies), and unintentional market distortions (such as split incentives) may work against renewables.[74] Benjamin K. Sovacool has argued that "some of the most surreptitious, yet powerful, impediments facing renewable energy and energy efficiency in the United States are more about culture and institutions than engineering and science".[75] The obstacles to the widespread commercialization of renewable energy technologies are primarily political, not technical,[76] and there have been many studies which have identified a range of "non-technical barriers" to renewable energy use.[3][4][77] These barriers are impediments which put renewable energy at a marketing, institutional, or policy disadvantage relative to other forms of energy. Key barriers include:[3][77] Difficulty overcoming established energy systems, which includes difficulty introducing innovative energy systems, particularly for distributed generation such as photovoltaics, because of technological lock-in, electricity markets designed for centralized power plants, and market control by established operators. As the Stern Review on the Economics of Climate Change points out: National grids are usually tailored towards the operation of centralised power plants and thus favour their performance. Technologies that do not easily fit into these networks may struggle to enter the market, even if the technology itself is commercially viable. This applies to distributed generation as most grids are not suited to receive electricity from many small sources. Large-scale renewables may also encounter problems if they are sited in areas far from existing grids.[78] Lack of government policy support, which includes the lack of policies and regulations supporting deployment of renewable energy technologies and the presence of policies and regulations hindering renewable energy development and supporting conventional energy development. Examples include subsidies for fossil-fuels, insufficient consumer-based renewable energy incentives, government underwriting for nuclear plant accidents, and complex zoning and permitting processes for renewable energy. Lack of information dissemination and consumer awareness. Higher capital cost of renewable energy technologies compared with conventional energy technologies. Inadequate financing options for renewable energy projects, including insufficient access to affordable financing for project developers, entrepreneurs and consumers. Imperfect capital markets, which includes failure to internalize all costs of conventional energy (e.g., effects of air pollution, risk of supply disruption)[79] and failure to internalize all benefits of renewable energy (e.g., cleaner air, energy security). Inadequate workforce skills and training, which includes lack of adequate scientific, technical, and manufacturing skills required for renewable energy production; lack of reliable installation, maintenance, and inspection services; and failure of the educational system to provide adequate training in new technologies. Lack of adequate codes, standards, utility interconnection, and net-metering guidelines. Poor public perception of renewable energy system aesthetics. Lack of stakeholder/community participation and co-operation in energy choices and renewable energy projects. With such a wide range of non-technical barriers, there is no "silver bullet" solution to drive the transition to renewable energy. So ideally there is a need for several different types of policy instruments to complement each other and overcome different types of barriers.[77][80] A policy framework must be created that will level the playing field and redress the imbalance of traditional approaches associated with fossil fuels. The policy landscape must keep pace with broad trends within the energy sector, as well as reflecting specific social, economic and environmental priorities.[81] Public policy landscape See also: Renewable energy policy Public policy has a role to play in renewable energy commercialization because the free market system has some fundamental limitations. As the Stern Review points out: In a liberalised energy market, investors, operators and consumers should face the full cost of their decisions. But this is not the case in many economies or energy sectors. Many policies distort the market in favour of existing fossil fuel technologies.[78] The International Solar Energy Society has stated that "historical incentives for the conventional energy resources continue even today to bias markets by burying many of the real societal costs of their use".[82] Fossil-fuel energy systems have different production, transmission, and end-use costs and characteristics than do renewable energy systems, and new promotional policies are needed to ensure that renewable systems develop as quickly and broadly as is socially desirable.[73] Lester Brown states that the market "does not incorporate the indirect costs of providing goods or services into prices, it does not value nature’s services adequately, and it does not respect the sustainable-yield thresholds of natural systems".[83] It also favors the near term over the long term, thereby showing limited concern for future generations.[83] Tax and subsidy shifting can help overcome these problems.[84] Shifting taxes Tax shifting involves lowering income taxes while raising levies on environmentally destructive activities, in order to create a more responsive market. It has been widely discussed and endorsed by economists. For example, a tax on coal that included the increased health care costs associated with breathing polluted air, the costs of acid rain damage, and the costs of climate disruption would encourage investment in renewable technologies. Several Western European countries are already shifting taxes in a process known there as environmental tax reform, to achieve environmental goals.[83] A four-year plan adopted in Germany in 1999 gradually shifted taxes from labor to energy and, by 2001, this plan had lowered fuel use by 5 percent. It had also increased growth in the renewable energy sector, creating some 45,400 jobs by 2003 in the wind industry alone, a number that is projected to rise to 103,000 by 2010. In 2001, Sweden launched a new 10-year environmental tax shift designed to convert 30 billion kroner ($3.9 billion) of taxes on income to taxes on environmentally destructive activities. Other European countries with significant tax reform efforts are France, Italy, Norway, Spain, and the United Kingdom. Asia’s two leading economies, Japan and China, are considering the adoption of carbon taxes.[83] Shifting subsidies See also: Energy subsidies Subsidies are not inherently bad as many technologies and industries emerged through government subsidy schemes. The Stern Review explains that of 20 key innovations from the past 30 years, only one of the 14 they could source was funded entirely by the private sector and nine were totally funded by the public sector.[85] In terms of specific examples, the Internet was the result of publicly funded links among computers in government laboratories and research institutes. And the combination of the federal tax deduction and a robust state tax deduction in California helped to create the modern wind power industry.[84] But just as there is a need for tax shifting, there is also a need for subsidy shifting. Lester Brown has argued that "a world facing the prospect of economically disruptive climate change can no longer justify subsidies to expand the burning of coal and oil. Shifting these subsidies to the development of climate-benign energy sources such as wind, solar, biomass, and geothermal power is the key to stabilizing the earth’s climate."[84] The International Solar Energy Society advocates "leveling the playing field" by redressing the continuing inequities in public subsidies of energy technologies and R&D, in which the fossil fuel and nuclear power receive the largest share of financial support.[86] Some countries are eliminating or reducing climate disrupting subsidies and Belgium, France, and Japan have phased out all subsidies for coal. Germany reduced its coal subsidy from $5.4 billion in 1989 to $2.8 billion in 2002, and in the process lowered its coal use by 46 percent. Germany plans to phase out this support entirely by 2010. China cut its coal subsidy from $750 million in 1993 to $240 million in 1995 and more recently has imposed a tax on high-sulfur coals.[84] While some leading industrial countries have been reducing subsidies to fossil fuels, most notably coal, the United States has been increasing its support for the fossil fuel and nuclear industries.[84] Renewable energy targets Setting national renewable energy targets can be an important part of a renewable energy policy and these targets are usually defined as a percentage of the primary energy and/or electricity generation mix. For example, the European Union has prescribed an indicative renewable energy target of 12 per cent of the total EU energy mix and 22 per cent of electricity consumption by 2010. National targets for individual EU Member States have also been set to meet the overall target. Other developed countries with defined national or regional targets include Australia, Canada, Israel, Japan, Korea, New Zealand, Norway, Singapore, Switzerland, and some US States.[87] National targets are also an important component of renewable energy strategies in some developing countries. Developing countries with renewable energy targets include China, India, Indonesia, Malaysia, the Philippines, Thailand, Brazil, Egypt, Mali, and South Africa. The targets set by many developing countries are quite modest when compared with those in some industrialized countries.[87] Renewable energy targets in most countries are indicative and nonbinding but they have assisted government actions and regulatory frameworks. The United Nations Environment Program has suggested that making renewable energy targets legally binding could be an important policy tool to achieve higher renewable energy market penetration.[87] Green stimulus programs In response to the global financial crisis in the late 2000's, the world’s major governments made "green stimulus" programs one of their main policy instruments for supporting economic recovery. Some US$188 billion in green stimulus funding had been allocated to renewable energy and energy efficiency. Most of the overall clean energy stimuli were expected to be spent in 2010 and in 2011.[88] Recent developments Projected renewable energy investment growth globally (2007-2017)[89] A number of events in 2006 pushed renewable energy up the political agenda, including the US mid-term elections in November, which confirmed clean energy as a mainstream issue. Also in 2006, the Stern Review[8] made a strong economic case for investing in low carbon technologies now, and argued that economic growth need not be incompatible with cutting energy consumption.[90] According to a trend analysis from the United Nations Environment Programme, climate change concerns[7] coupled with recent high oil prices[91] and increasing government support are driving increasing rates of investment in the renewable energy and energy efficiency industries.[9][11] Investment capital flowing into renewable energy reached a record US$77 billion in 2007, with the upward trend continuing in 2008.[10] The OECD still dominates, but there is now increasing activity from companies in China, India and Brazil. Chinese companies were the second largest recipient of venture capital in 2006 after the United States. In the same year, India was the largest net buyer of companies abroad, mainly in the more established European markets.[11] Global revenues for solar photovoltaics, wind power, and biofuels expanded from $75.8 billion in 2007 to $115.9 billion in 2008. For the first time, one sector alone, wind, had revenues exceeding $50 billion. New global investments in clean energy technologies — including venture capital, project finance, public markets, and research and development — expanded by 4.7 percent from $148.4 billion in 2007 to $155.4 billion in 2008.[15] After several years with strong political backing and growth, 2009 was a year of refocus, consolidation, or retrenchment for many companies. However, new wind power capacity installed in 2009 grew strongly with record installations of 38 GW worldwide, partly as a result of the rapid rise of Chinese manufacturing.[92] New government spending, regulation, and policies helped the industry weather the 2009 economic crisis better than many other sectors.[15] Most notably, U.S. President Barack Obama's American Recovery and Reinvestment Act of 2009 included more than $70 billion in direct spending and tax credits for clean energy and associated transportation programs. This policy-stimulus combination represents the largest federal commitment in U.S. history for renewables, advanced transportation, and energy conservation initiatives. Based on these new rules, many more utilities strengthened their clean-energy programs.[15] Clean Edge suggests that the commercialization of clean energy will help countries around the world pull out of the current economic malaise.[15] Once-promising solar energy company, Solyndra, became involved in a political controversy involving U.S. President Barack Obama's administration's authorization of a $535 million loan guarantee to the Corporation in 2009 as part of a program to spur alternative energy growth.[93][94][95] The company ceased all business activity, filed for Chapter 11 bankruptcy, and laid-off nearly all of its employees in early September 2011.[96][97] Critics claimed that the Obama administration may have unduly influenced the loan.[98][99][95] United Nations' Secretary-General Ban Ki-moon has said that renewable energy has the ability to lift the poorest nations to new levels of prosperity.[100] In October 2011, he "announced the creation of a high-level group to drum up support for energy access, energy efficiency and greater use of renewable energy. The group is to be co-chaired by Kandeh Yumkella, the chair of UN Energy and director general of the UN Industrial Development Organisation, and Charles Holliday, chairman of Bank of America".[101] Sustainable energy Main article: Sustainable energy Moving towards energy sustainability will require changes not only in the way energy is supplied, but in the way it is used, and reducing the amount of energy required to deliver various goods or services is essential. Opportunities for improvement on the demand side of the energy equation are as rich and diverse as those on the supply side, and often offer significant economic benefits.[102] Renewable energy and energy efficiency are said to be the “twin pillars” of sustainable energy policy. Any serious vision of a sustainable energy economy requires commitments to both renewables and efficiency. The American Council for an Energy-Efficient Economy has explained that both resources must be developed in order to stabilize and reduce carbon dioxide emissions:[103] Efficiency is essential to slowing the energy demand growth so that rising clean energy supplies can make deep cuts in fossil fuel use. If energy use grows too fast, renewable energy development will chase a receding target. Likewise, unless clean energy supplies come online rapidly, slowing demand growth will only begin to reduce total emissions; reducing the carbon content of energy sources is also needed.[103] The IEA has stated that renewable energy and energy efficiency policies should be viewed as complementary tools for the development of a sustainable energy future, instead of being developed in isolation.[104] See also Renewable energy portal Sustainable development portal Environment portal Energy portal Business portal Lists Lists about renewable energy List of large wind farms List of notable renewable energy organizations List of renewable energy topics by country Topics Clean Energy Trends Cost of electricity by source Ecotax Energy security and renewable technology Feed-in Tariff International Renewable Energy Agency PV financial incentives Rocky Mountain Institute The Clean Tech Revolution The Third Industrial Revolution World Council for Renewable Energy People Andrew Blakers Michael Boxwell Richard L. Crowther James Dehlsen Mark Diesendorf Rolf Disch Peter Droege David Faiman Hans-Josef Fell Harrison Fraker Chris Goodall Al Gore Michael Grätzel Martin Green Jan Hamrin Denis Hayes Tetsunari Iida Mark Z. Jacobson Stefan Krauter Jeremy Leggett Richard Levine Amory Lovins Gaspar Makale Joel Makower Eric Martinot David Mills Leonard L. Northrup Jr. Arthur Nozik Monica Oliphant Stanford R. Ovshinsky Hélène Pelosse Ron Pernick Jeremy Rifkin Hermann Scheer Zhengrong Shi Benjamin K. Sovacool Félix Trombe John Twidell Martin Vosseler Stuart Wenham Clint Wilder John I. Yellott References ^ Bloomberg New Energy Finance, UNEP SEFI, Frankfurt School, Global Trends in Renewable Energy Investment 2011 ^ a b c d e f g h i j k l International Energy Agency (2007). Renewables in global energy supply: An IEA facts sheet (PDF) OECD, 34 pages. ^ a b c National Renewable Energy Laboratory (2006). 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Brown, Plan B 2.0 Rescuing a Planet Under Stress and a Civilization in Trouble (NY: W.W. Norton & Co., 2006), p. 189. ^ Clean Edge (2007). The Clean Tech Revolution... the costs of clean energy are declining (PDF) p.8. ^ David Beattie (18 March 2011). "Wind Power: China Picks Up Pace". Renewable Energy World. http://www.renewableenergyworld.com/rea/news/article/2011/03/wind-power-china-picks-up-paceeu-and-us-fall-but-global-market-grows?cmpid=WindNL-Thursday-March24-2011.  ^ New Report a Complete Analysis of the Global Offshore Wind Energy Industry and its Major Players ^ Todd Woody. In California’s Mojave Desert, Solar-Thermal Projects Take Off Yale Environment 360, 27 October 2010. ^ a b REN21 (2008). Renewables 2007 Global Status Report (PDF) p. 12. ^ United Nations Environment Programme (2009). 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Fossil Fuels’ Hidden Cost Is in Billions, Study Says The New York Times, October 20, 2009. ^ Diesendorf, Mark (2007). Greenhouse Solutions with Sustainable Energy, UNSW Press, p. 293. ^ IEA Renewable Energy Working Party (2002). Renewable Energy... into the mainstream, p. 48. ^ Donald W. Aitken. Transitioning to a Renewable Energy Future, International Solar Energy Society, January 2010, p. 4. ^ a b c d Brown, L.R. (2006). Plan B 2.0 Rescuing a Planet Under Stress and a Civilization in Trouble W.W. Norton & Co, pp. 228-232. ^ a b c d e Brown, L.R. (2006). Plan B 2.0 Rescuing a Planet Under Stress and a Civilization in Trouble W.W. Norton & Co, pp. 234-235. ^ HM Treasury (2006). Stern Review on the Economics of Climate Change p. 362. ^ Donald W. Aitken. Transitioning to a Renewable Energy Future, International Solar Energy Society, January 2010, p. 6. ^ a b c United Nations Environment Program (2006). 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Bloomberg Businessweek. Retrieved: September 20, 2011. ^ Cite error: Invalid <ref> tag; no text was provided for refs named LA_Times_Sep_16.2C_2011; see Help:Cite errors/Cite error references no text ^ Cite error: Invalid <ref> tag; no text was provided for refs named NT_Times_Sep_16.2C_2011; see Help:Cite errors/Cite error references no text ^ Steve Leone (25 August 2011). "U.N. Secretary-General: Renewables Can End Energy Poverty". Renewable Energy World. http://www.renewableenergyworld.com/rea/news/article/2011/08/u-n-secretary-general-renewables-can-end-energy-poverty?cmpid=WNL-Friday-August26-2011.  ^ Mark Tran (2 November 2011). "UN calls for universal access to renewable energy". The Guardian. http://www.guardian.co.uk/global-development/2011/nov/02/human-development-report-renewable-energy.  ^ InterAcademy Council (2007). Lighting the way: Toward a sustainable energy future ^ a b American Council for an Energy-Efficient Economy (2007). 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Makower, Joel, and Ron Pernick and Clint Wilder (2009). Clean Energy Trends 2009, Clean Edge. National Renewable Energy Laboratory (2006). Non-technical Barriers to Solar Energy Use: Review of Recent Literature, Technical Report, NREL/TP-520-40116, September, 30 pages. REN21 (2008). Renewables 2007 Global Status Report, Paris: REN21 Secretariat, 51 pages. REN21 (2009). Renewables Global Status Report: 2009 Update, Paris: REN21 Secretariat. REN21 (2010). Renewables 2010 Global Status Report, Paris: REN21 Secretariat, 78 pages. United Nations Environment Programme and New Energy Finance Ltd. (2007). Global Trends in Sustainable Energy Investment 2007: Analysis of Trends and Issues in the Financing of Renewable Energy and Energy Efficiency in OECD and Developing Countries, 52 pages. Worldwatch Institute and Center for American Progress (2006). American energy: The renewable path to energy security, 40 pages. External links Investing: Green technology has big growth potential, LA Times, 2011 Global Renewable Energy: Policies and Measures Missing the Market Meltdown Renewable Energy Tops 10% of U.S. Energy Production Optimism Abounds Throughout Renewable Energy Industry GE Energy turbine sales to grow fivefold in Europe Wikimedia Foundation. 2010. Игры ⚽ Поможем написать реферат Obsessed (album) Louis-Mathias Auger Look at other dictionaries: Renewable energy policy — is the principal driver of the growth in renewable energy use. Renewable energy policy targets exist in some 66 countries around the world, and public policies to promote renewable energy use have become more common in recent years. At least 60… …   Wikipedia Renewable energy in Iceland — has supplied over 70% of Iceland s primary energy needs since 1999 [ [http://www.statice.is/Uploads/files/LH06/L060701.xls Gross energy consumption by source 1987–2005] , [http://www.statice.is/?PageID=583 Statistics Iceland] , accessed 2007 05… …   Wikipedia Renewable energy in Finland — of electricity was (2005): Water 60 %, forest industry black liquor 22 %, other wood residues 16 %, wind power 0.2 % and other RE 1 %. The European objectives are: 22 % renewable source electricity and 12% renewable of primary energy in 2010… …   Wikipedia Renewable energy in New Zealand — is primarily from hydropower and comprises slightly over half of the electricity generated, a ratio that has been falling for decades while load growth has been met primarily by natural gas fired power stations. In September 2007, Prime Minister… …   Wikipedia Renewable energy — Burbo Bank Offshore Wind Farm, at the entrance to the River Mersey in North West England …   Wikipedia Renewable energy in the United States — Brazos Wind Ranch in Texas. Presiden …   Wikipedia Renewable energy development — TOC Renewable energy development covers the advancement, capacity growth, and use of renewable energy sources. Modern interest in renewable energy development is linked to concerns about exhaustion and greenhouse gases of fossil fuels and… …   Wikipedia Renewable energy in Australia — Australia s renewable energy industries cover numerous energy sources and stages of commercialisation. Renewable energy technologies currently contribute about 6 per cent of Australia s total energy supply and some 8 per cent of Australia s… …   Wikipedia Renewable energy in China — China’s rapid economic growth and heavy reliance on increasingly expensive foreign oil, the vast environmental toll that is one of the most apparent costs of China s economic success, persistent rural poverty in China and periodic power shortages …   Wikipedia Renewable energy in the European Union — The countries of the European Union are currently the global leaders in the development and application of renewable energy. Promoting the use of renewable energy sources is important both to the reduction of the EU s dependence on foreign energy …   Wikipedia 18+ © Academic, 2000-2024 Contact us: Technical Support, Advertising Dictionaries export, created on PHP, Joomla, Drupal, WordPress, MODx. 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