Africa's sun to power Europe's homes?

A group of 20 German companies wants to invest $555 billion in concentrated solar power plants in northern Africa to sell green power to Europe and make the continent less dependent on oil and gas imports.

It would be one of the world's biggest private renewable energy projects: Some 20 German companies are planning to join forces to build CSP plants in northern Africa and transport the electricity to Europe via new, direct current power grids.

The consortium, to be formed by mid-July, includes, among others, economic powerhouse Siemens, finance institution Deutsche Bank and energy giant RWE, the Sueddeutsche Zeitung newspaper reports. The ambitious green project, dubbed "Desertec," could produce power as early as 2019 and eventually satisfy 15 percent of Europe's electricity demand, Torsten Jeworrek, a Munich Re board member, told the newspaper.

The companies, backed by German government officials and the Club of Rome, plan to invest some $555 billion in the deserts of northern Africa. The money would not only be used for building the CSP plants, but also the gird infrastructure needed to bring the electricity to Europe.

"This is no longer a distant vision but technologically fascinating and also achievable," Jeworrek said in a statement Tuesday. "Desertec is clearly banking on the right incentives in the long term, namely climate protection and a low-carbon energy sector."

European energy experts have long advocated making the sunny African deserts Europe's power bank in order to reduce the continent's dependence on oil and gas imports from Russia and the Middle East. As its domestic fossil fuel resources are quickly depleting, Europe will have to transform its energy mix to avoid rising import dependence, experts say. In the case of solar power from Africa, however, investors have always been deterred by the high up-front investment required.

Munich Re is now banking on several international partners, also from the government side, to help finance the project.

"We are very optimistic when it comes to Italy and Spain, and we are also getting positive signals out of northern Africa," Jeworrek told the Sueddeutsche Zeitung. Only France, he added, might be hard to convince because of its reliance on nuclear energy.

A similar project in southern Spain was realized only when a feed-in tariff was implemented to pay for the electricity generated there. But Jeworrek said the plant would not need permanent support. He expects Desertec to be competitive "within 10 to 15 years."

Jeworrek added the consortium would choose the plants' locations according to political stability. The host countries would benefit from taxes, job creation and technology transfer, observers say.

Source - Solardaily

Energy Conversion Devices And Enfinity Co-Develop Solar Projects

Energy Conversion Devices and Enfinity have announced plans to co-develop a portfolio of rooftop solar installations throughout the U.S., as well as in numerous European countries, including Belgium, Germany, France, Italy, Spain and the Czech Republic.

ECD and Enfinity have identified approximately 10 MW of projects that they will collaborate on in the short term. ECD, through its wholly owned subsidiary, United Solar Ovonic, will contribute UNI-SOLAR brand photovoltaic laminates in exchange for equity in the projects.

Enfinity will serve as project manager and lead the financing efforts for the projects. ECD and Enfinity expect to sell completed projects to third-party investors within 12 months of the start of commercial operation.

Mark Morelli, ECD's president and CEO, said, "This Framework Agreement is an example of how we are implementing our demand-creation strategy. Enfinity is an excellent partner, with significant experience in developing and installing rooftop and BIPV applications in our focused geographic markets. We are enthusiastic about the opportunities that this agreement affords us, and will be working aggressively with Enfinity to finalize the projects and begin construction."

Gino Van Neer, CEO of Enfinity stated, "We are pleased to partner with ECD and United Solar in our development efforts. Their unique photovoltaic laminates not only produce more energy per rated watt in real-world conditions, they also are the perfect solution for building-integrated systems where the integrity of the rooftop is preserved, and in many markets where the incentives are greater."

Sourece - Solardaily

Spanish Solar Company To Become One Of Largest In USA

Fotowatio has agreed to purchase the core US solar power assets - including the largest US solar photovoltaic installation, at Nellis Air Force base - of San Francisco-based MMA Renewable Ventures.

Upon completion of the sale, Fotowatio's US business unit, Fotowatio Renewable Ventures, will be one of the largest solar development companies in the United States as measured by megawatts in operation. Fotowatio will own 35 megawatts of solar projects in operation and more than 400 megawatts in development in the United States, and will gain one of the country's most experienced solar development and operations teams.

In addition to the 14-megawatt project at Nellis Air Force base in Nevada, the US-wide portfolio will include the nation's most visible solar array - at Denver International Airport - the world's largest thin film solar installation using CIGS technology - in Arizona - solar panels on the roofs of Colorado parking garages and solar arrays that power a California rice farm.

"This acquisition will significantly expand Fotowatio's portfolio, allowing us to meet our aggressive growth targets earlier than anticipated," said Rafael Benjumea, CEO of Fotowatio. "With the addition of MMA's assets and talented development team, we will be poised to expand in fast-growing markets in the United States, Spain and Italy."

Fotowatio has invested more than US$880 million (700 million euros) in solar projects since 2006 and plans to invest up to US$3.2 billion (2.5 billion euros) by 2012 in Spain, Italy and the United States.

Following completion of the acquisition of MMA Renewable Ventures, Fotowatio's global portfolio will include more than 130 megawatts of operating solar projects in the United States and Spain and more than 1,000 megawatts under development across the United States, Spain and Italy.

With no fuel cost or emissions, Fotowatio's expanded portfolio will produce clean energy and avoid more than two million tons a year in greenhouse gas emissions compared to conventional fossil fuel technology.

"Fotowatio is a company of the highest quality and together with our team we are now poised to dramatically grow our US solar portfolio," said Matthew Cheney, Chief Executive Officer of MMA Renewable Ventures.

Fotowatio's US business unit will focus exclusively on the development of commercial- and utility-scale solar projects throughout the United States. As an independent solar power producer, Fotowatio Renewable Ventures will develop, own and operate solar power plants and provide clean electricity to its customers under long-term contracts.

"This acquisition will make Fotowatio one of the largest solar companies in the rapidly growing US market, underscoring the company's strong leadership and business development skills," said Inigo Olaguibel, a member of Fotowatio's Board of Directors.

Fotowatio's purchase of MMA Renewable Ventures' solar platform is its third in the past seven months. In January 2009, Fotowatio acquired a 6.3 MW solar project in Spain from Solaria. In September 2008, Fotowatio acquired from Corporacion Gestamp four solar photovoltaic power plants producing 32 megawatts in Spain.

Fotowatio's shareholders include Qualitas Venture Capital (33.5%), GE (NYSE:GE - News) unit GE Energy Financial Services (32%), Grupo Corporativo Landon (17.5%) and the management team (17%).

Source - Solardaily

SunPower To Build 2.2MW Solar Power Plant In Italy

SunPower has announced that it has signed an agreement with Sunshire to design and build a 2.2-megawatt solar electric power plant in Tolentino, Italy.

This is the first solar power plant agreement to be announced on behalf of SunPower's Italian subsidiary, SunPower Italia S.r.l. The project, which will be financed by regional banks via a leasing agreement, is the first phase of a planned 7.1-megawatt development that is expected to be completed this year.

At the site, SunPower will utilize SunPower panels, the most efficient solar panels commercially available, and the proprietary SunPower Tracker technology, which follows the sun during the day and delivers up to 25 percent more energy than fixed-tilt systems.

"We are pleased to partner with Api Nova Energia to deliver clean, reliable solar power to the rapidly expanding Italian market," said Luca Bandini, general manager of SunPower Italia.

"By using SunPower's industry-leading Tracker technology and our high efficiency solar panels, Sunshire will maximize the solar power plant's energy delivery, while optimizing land use and reducing related costs."

"SunPower's unrivaled expertise and experience in the design and construction of solar power plants, as well as the company's superior technology, were the primary reasons we chose SunPower as our partner for this important project," said Paolo Chiantore, director of Sunshire.

"Today, Api Nova Energia has the largest solar facility under development in the Tolentino area (Marche region) in Italy. This plant will be an important source of clean, renewable and reliable power for the Marche region."

SunPower has installed more than 400 megawatts of large-scale solar power systems globally, including more than 185 megawatts of power plants in Europe.

Source - Solar daily

Solar Thermal Market Growing

The Solar Thermal Systems (STS) market for hot water and heating has changed considerably over the past few years in Europe as market shares spread into new countries. In 2003, close to 80% of the solar thermal market in operation was concentrated in Germany, Greece and Austria.

Just a few years later, these same countries only hold 55%, making room for countries like Spain, Italy and France that previously only held about 10% of the total market share each. Now France, Italy and Spain are among the fastest growing solar thermal markets in Europe.

Supported by government legislation, consumer attitudes, and manufacturers' increasing production, Frost and Sullivan believes this combination is a strong predictor of medium and long term market growth.

"Within the past few years, all circumstances are very encouraging for the continuation of the STS growth in the European market. This growth is no longer exclusively ensured by a few leading countries, such as Germany and Austria, but by new countries like Spain, Italy, and France, and even Portugal and the UK," notes Frost and Sullivan Hammam Ahmed, Research Analyst.

Motivated by meeting their national and international commitments to decrease dependency on fossil fuel and create more jobs, many European governments are spurring on domestic markets through a number of incentive programmes, providing support for R and D, and raising public awareness. The solar thermal market is being increasingly supported by these governments.

Financial incentives, lessoning the burden of petitioning for building permission are ways governments have been stimulating STS growth. At times European governments have gone as far as introducing new legislation that requires or goads installing solar systems in buildings, either under construction or being renovated. By softening regulations, governments will continue to have a positive impact in the long term.

Customer attitudes about solar thermal systems are also becoming more optimistic. The combination of solar thermal systems becoming more affordable and noticeably cutting customers' energy bills has improved the public perception of this technology.

Public support is directly related to the growth of the STS market, as the largest sector is residential, especially single family homes, which account for almost 80% of the total market. As the public continues to search for affordable and effective alternative energy, the residential sector will continue to grow as public support does.

Finally, over the past few years many solar thermal system manufacturers significantly increased their production. These expansions are not exclusive to solar thermal system manufacturers, but traditional heating suppliers are also getting a piece of the action and including solar thermal systems in their range.

In his research, Hammam Ahmed gives an example from the UK, where some boiler manufacturers are starting to include solar thermal system along with their products, as a supplement. This kind of promotion further propels the STS market forward.

In the past five years, the STS market has overcome a lot of change and, even in the midst of a receding global economy, seems unscathed. Considering all of the elements that shape the STS market, future growth is widely anticipated.

Source - Solardaily

UK energy supply has entered into terminal decline

In recent years, the UK has become increasingly dependent on natural gas as its primary energy source. This strategy may soon be found to be based upon poor assumptions/perceptions regarding development of domestic and neighbouring natural gas reserves and, in general, regional and global supply capabilities.

1. UK marketable nat gas production (also gross) peaked in 2000 close to 110 Gcm/a.
2. During the last three years, UK nat gas production has declined at an annual rate of 8 - 10 %, which many energy analysts expect will continue.
3. Nat gas constituted more than 38 % of the UK primary energy consumption in 2007.
4. Several analyses expect UK to import 80 % of their nat gas consumption by 2020.
5. UK was a net exporter of nat gas for a brief period.

In 2007, more than 38 % of the UK’s primary energy consumption came from nat gas. Of the EU/OECD countries, only Italy has a higher portion of nat gas consumption. In comparison, the USA gets 25 % of its primary energy consumption from natural gas; France, 15 %; and Germany, 24 %.

In general, high nat gas usage is primarily found among countries with huge nat gas reserves like Russia, where nat gas amounted to more than 57 % of primary energy production in 2007. Russia is the world’s largest exporter of nat gas and second largest exporter of oil, so this high domestic usage frees up oil for export. Since oil generates more income than nat gas, based on units of energy exported, this approach maximizes export revenue.

The UK and Continental Europe have both benefitted from the bidirectional Interconnector that since 1998 has allowed for increased flexibility in nat gas supplies. Due to the decline in UK indigenous supplies and a tighter supply situation on Continental Europe, the importance of the Interconnector is expected to slowly diminish unless future Russian supplies are shipped through the system to UK.

Nat gas production within EU was on a plateau from 1996 to 2004 and has now entered into terminal decline. Increased nat gas production from Norway (which is not a full EU member) has slowed the decline. The balance of consumption within EU has been secured through increasing imports, primarily from Russia, North Africa and LNG. The diagram above suggests that imports into EU will need to grow quickly, from 200 Gcm/a at present to projected 400 Gcm/a by 2020, to fill the rapidly growing gap between declining supplies and projected growth in consumption.

If projected growth in EU nat gas consumption by 2020 is to be met, it will be necessary to double present imports of 200 Gcm/a from Russia, North Africa and LNG, a challenging task. With the ongoing credit crisis still unfolding, an increase in imports that allows maintenance of present EU consumption levels may turn out to be a major accomplishment.

As of 2007, 25 % of EU’s nat gas consumption was imported from Russia. Russian nat gas exports to the EU grew substantially after the completion of pipelines between Western Siberia and Europe by the mid 80’s.

There are good reasons to believe that the Russians (meaning Gazprom) planned their exports to the EU based upon available official data and forecasts from amongst others, EU members and Norway. This is of course a sensible thing to do if the goal is to maximize the profits from the Russian resource base and to optimize the allocation of investment funds. Why invest in expansions of production and infrastructure, if these investments are likely to contribute to an oversupply and a subsequent downward pressure on prices?

Perhaps what is needed is an energy czar. I think it was Matt Simmons who first used the expression “energy czar”, perhaps with a hidden meaning that Russians leaders far better understand the strategic nature of energy than their western counterparts, even though their access to data is not as good.

In 1995 - 1998, the UK exported nat gas to Ireland. In 1998, the Interconnector, the bidirectional pipeline between Bacton in UK and Zeebrugge in Belgium, started to flow. After that, the UK became a moderate exporter of nat gas to Continental Europe.

EU production of natural gas has peaked, and is expected to decline. EU exclusive of UK nat gas production peaked in 1996. Since then, natural gas production has been in a general decline and is expected to continue to decline. Recently Dutch authorities confirmed that their nat gas production is set to decline. These milestones were passed without much attention. For the next several years, projected increases in Norwegian nat gas production are expected to partly offset declines in production in the EU, but the overall production trend is expected to remain downward.

UK has for some years had an important role in securing a unique flexibility with respect to the EU nat gas supply chain. The combined effect of the declining nat gas production in UK and the rest of the EU has already tightened the supply situation for EU (ref the recent price growth within the liberalized UK market), and has the potential to develop into a severe nat gas supply crunch. Such a supply crunch could have cascading effects, and may affect other energy systems. These interrelationships seem to be poorly understood among those responsible for developing energy supply strategies.

Source - The Oil Drum

Enerqos Expands Into France And Greece

Enerqos has decided to further build on its growth with the opening of two new subsidiaries in Paris and Athens. "Expanding our European portfolio has always been one of the company's main objectives," declared Marco Landi, President of Enerqos.

"These new subsidiaries are very likely to be followed by other new locations in the coming months. Naturally, each European country has its own specific market characteristics making it unique and particularly attractive. In France for example, we have decided to create a centre of expertise entirely devoted to BIPV (Building Integrated Photovoltaics), the latest development in photovoltaic technology."

Enerqos France and Enerqos Hellas are regional structures, which bring together local expertise. They are not just virtual offices but are in fact fully functioning premises that will soon be able to provide all of Enerqos' clients with the same quality of service that is provided in Italy.

"Our aim is to exploit the group's common knowledge and resources as much for the supply of solar panels as for the availability of other Enerqos solutions, for example the solar park (the 'Esp Flexa' roof) or the Tracker, both designed using our own expertise," added Mauro Marcucci, CEO of Enerqos.

"We aim to become one of the key European players on the photovoltaic market, capable of offering our institutional clients (investment funds and ESCOs) first class operation and maintenance services," added Marco Landi.

At the same time, we want to be able to offer these services on an individual basis where market conditions are most favourable.

In Europe, the photovoltaic sector is a fast-growing market, especially where government funding is successful and numerous countries are starting to adopt this form of energy. We are also looking at the current situation in Eastern Europe and North Africa. Once this sector is established, it will be essential for us to branch out into other countries.

Source - Solar daily