AGRI-PV: HOW SOLAR ENABLES THE CLEAN ENERGY TRANSITION IN RURAL AREAS

Executive summary
Reaching the ambitious objectives of the European Green Deal will require a profound shift in the EU’s agricultural and energy sectors. Agricultural photovoltaics (“Agri-PV”) offers an innovative, efficient, and cost-effective solution to simultaneously promote sustainable agriculture and the clean energy transition. Agri-PV reduces land competition between solar and agriculture under conditions that guarantee the efficiency, sustainability, and viability of both activities. By combining agricultural infrastructure with solar, the EU can make rural communities more competitive and sustainable.

Solar, as the most scalable and cost-effective clean energy technology, empowers farmers to be at the heart of the European Green Deal and the post-COVID green recovery. Agri-PV supports the transition to a sustainable food supply and ecosystem, channeling new investments in solar capacities, and supporting the objectives of the Common Agricultural Policy and of the Farm to Fork Strategy. As a disruptive set of technologies, innovative AgriPV solutions can drive the modernisation of the EU’s food system and increase its resilience to climate change. Finally, thanks to its high land-use efficiency, Agri-PV is particularly suited to boost the clean energy transition in land-scarce regions, such as EU islands.

The potential for Agri-PV in the EU is immense: if Agri-PV were deployed on only 1% of Europe’s arable land, its technical capacity would be over 700 GW. Tapping into this potential would place the European solar industry at the forefront of global solar innovation. The sector is already emerging in Europe, with certain Member States actively supporting its development, and this has triggered strong interest from emerging countries faced with the
challenge of droughts and climate-related transformations. It is time for a coordinated effort to boost the development of Agri-PV across Europe.

Introducing Agri-PV

The European Green Deal sets out a vision to achieve climate neutrality by 2050. This will require a deep transformation of Europe’s society and economy; particularly of its energy and agri-food sectors. The Clean Energy Package (“CEP”), adopted by the European Union in 2019, set out a framework to reduce greenhouse gas emissions by 40% by 2030, partly by reaching at least 32% renewable energy in the final energy demand. In 2020, the European Commission proposed the European Climate Law, which would set a legallybinding target of net zero greenhouse gas emissions by 2050, in addition to more ambitious 2030 targets.The EU has a key role to promote the multiple synergies between agriculture and solar electricity generation
enabled by Agri-PV systems. Installed directly above crops, solar provides shade, protects crops against hail or frost, enables stable crop yields, and increases the electrical yield of PV panels.2 Solar can be installed on agricultural hangars or on greenhouses and can support
the development of modern infrastructure that improves the competitiveness of the agricultural sector. Utility-scale solar farms provide the perfect setting for sheep to graze.3
Overall, there have already been a vast number of methods of integrating solar onto agricultural infrastructure,* with innovations regularly appearing on the market. Public policies should boost the deployment of established Agri-PV systems, while simultaneously supporting innovative Agri-PV solutions.

It has been estimated that deploying Agri-PV on only 1% of global cropland could help meet total global energy demand.4 Since 2014, around 2,800 Agri-PV systems have been deployed worldwide, with a total capacity of about 2.9 GWp5 The sector has seen significant growth in Japan, South Korea, and China, where regulatory frameworks and support schemes have already been in place for a number of years.

Enabling sustainable development in rural areas

In addition to the full implementation of the CEP, and specifically the Renewable Energy Directive,8 the European Union and its Member States should encourage the development of Agri-PV in Europe through at least four policy initiatives:

  1. The revision of the CAP: Agri-PV can enable the achievement of the CAP’s objectives. The second pillar of the CAP should promote the deployment of Agri-PV and Member States should include Agri-PV development plans in their CAP Strategic Plans.
  2. The implementation of the Farm to Fork Strategy: Agri-PV can be at the core of a modern, sustainable, healthy, and equitable food system. The horizontal implementation of the Farm to Fork Strategy should integrate the various contributions of Agri-PV to increase sustainability, improve resilience, and boost innovation in the agri-food sector.
  3. The revision of the EU Climate Change Adaptation Strategy: Agri-PV solutions contribute to the climate resilience of agricultural practices. The revised EU Climate Change Adaptation Strategy should provide targeted support for Agri-PV solutions that improve the resilience of agriculture to climate change.
  4. The Clean Energy for EU Islands initiative: land-scarce regions are particularly suited for the deployment of Agri-PV. The EU islands should integrate plans to deploy Agri-PV to support food and energy security for their clean energy transition agendas.

The implementation of the Farm to Fork Strategy should place Agri-PV at the centre of the Energy System Integration strategy in rural areas. By enabling the development of Agri-PV projects through collective selfconsumption schemes and rural renewable energy communities, Europeans living in rural areas can be part of the transition towards a more circular and sustainable energy system. This would support a Just Transition, allowing rural communities to benefit from electrified transport, heating and cooling, and agricultural machinery. Furthermore, Agri-PV can drive innovation in the agricultural sector and enable the next generation of climate neutral farms. The upcoming Horizon Europe, through the Farm to Fork Green Deal call area,36 should include specific project calls to support Agri-PV research, with a focus on projects at TRL 5 to 9.

Six actions to boost rural development through Agri-PV

The EU and its Member States have a golden opportunity to boost rural development while
simultaneously deploying renewable energy. The deployment of Agri-PV solutions can enable the achievement of the 9 objectives of the CAP, power future climate-neutral farms, make the agricultural sector more resilient, and support the decarbonisation of EU islands. Supporting Agri-PV would further put the EU at the forefront of a key innovative solution to the challenges of the clean energy and sustainable agriculture transitions.

To unleash these benefits, the EU and its Member
States should implement 6 key actions:

  1. The European Council and the European Parliament should integrate a “European Agri-PV strategy” within the future CAP that aims to promote the development of the Agri-PV sector across Europe.
  2. Member States should, as part of CAP Strategic Plans, develop Agri-PV regulatory frameworks and prioritise investments into solar.
  3. The European Commission should mainstream AgriPV across initiatives part of the Farm to Fork Strategy.
  4. The European Commission and EU Member States should provide targeted support for Agri-PV research programmes.
  5. The European Commission should integrate Agri-PV within its upcoming Climate Change Adaptation Strategy.
  6. EU islands should deploy Agri-PV as part of their clean energy transition agendas.

Source: Solar Power Europe

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NREA TOOLKIT A Guide for National Renewable Energy Associations

Getting Started:Setting Up – a National Renewable Energy Association

Step 1 – Business plan Setting up a new industry association is relatively easy – sustaining it is much harder. It helps to think through the fundamental aspects early on. This will help you to keep focus on achieving your primary goal and remaining flexible throughout the process if things didn’t work out as you had hoped. It will help you better communicate your aims and objectives to stakeholders and mobilise them effectively to contribute to these aims.

Step 2 – Incorporate your association Working with your attorney and accounting expert, you will need to follow these steps:

  1. The first thing you will need to decide on is a name for your association. Association names
    are typically very straightforward so as to be easily identifiable. They commonly include the industry and location they serve. 2.Appoint a Board of Directors and create your association statutes and by-laws.

Membership Development While it may be exciting to immediately begin contributing towards advocating an issue of general importance, it is advisable to first ensure that you focus on knowing your membership,
understanding the most important services they want from their membership, and developing
a strategy that best responds to and supports their membership needs over the long term. The following sections provide a step by step approach on how to best understand, build up, serve and retain your membership.

Guidance to conducting membership development
Step 1 – Developing membership criteria Once your membership strategy and policy
are established, the next step is to build your membership. You will need specific criteria to
attract and retain members that match your strategy and policy. Make sure that the criteria
are discussed and endorsed by your authorizing team—the board of directors, your current
members or a staff meeting. Step 2 – Gather knowledge Once you have clear membership criteria in place, the next step is to recruit your membership. Step 3 – Membership Acquisition Get going! You can use the following strategies to attract new members. Remember that your choice of method will be influenced by the amount of resources you have, the strength of the team you have, and the level of maturity of the industry in your area. Step 4 – Onboarding Process If you are successful in attracting members, it is an absolute necessity to have a smooth onboarding procedure and a team ready to deliver highquality service. Step 5 – Membership Retention It is far more important to retain members than attract new ones.

Communication Membership engagement Engaged members are more satisfied, value their
membership, and participate in more association activities. By consistently keeping members
engaged, you will attract and retain more members, and promote your advocacy agenda and increase member participation and revenue.

Step 1: Define Member Engagement As an association seeking to increase member engagement, you should begin by defining what member engagement looks like to you in
measurable numbers (e.g., blog comments, event participation, inquiries, revenue etc.) and compare that to your current status. Step 2: Assess Member Engagement Different members will participate or engage in different ways. This means some will read your content and enjoy it, but that’s all they will contribute. Others will like your content, some may share it on social media and others will provide comments or feedback. Step 3: Identify Channels and Tools By tracking members’ previous involvement, you will discover which channels and tools work
best for your messaging. Step 4: Set Your Timeframe Knowing who is engaged, who is not, and what engagement changes have occurred recently allows you to know your engagement metrics. You can now begin your engagement strategy by setting a timeframe in which you will conduct your engagement efforts. Step 5: Execute Your Strategy You’ve measured your starting engagement metrics, assessed your membership and what types of engagement you value the most. You’ve set a timeframe and created a reporting structure to track changes over time. Step 6: Assess your Effectiveness Are your member engagement strategies working?
The best way to assess your engagement strategy is to begin before the strategy is implemented by documenting current engagement levels (Step2). This is the baseline against which you will compare your results to in order to see if there was a change. Use your original scoring system that you used to assess initial engagement, noting what your engagement efforts did for your entire membership, specific member sectors and individual members. Analyse your efforts through a variety of parameters to optimize your findings and apply them to make improvements or repeat your member engagement tactics.

Good Governance Organizational governance refers to the system of policies, mechanisms and practices by which an organization is directed and controlled. It relates to the structure and processes for decision making, accountability, control and behaviour within an organization. The way an organization is governed will strongly influence how an association’s
objectives are set and achieved, how risk is monitored and addressed and how performance is optimized. A robust and transparent governance will also often be a requirement for potential
funders.

Financial management & reporting

This section provides an introduction for the non-financial manager or leader on managing
and controlling the finances of the association in such a way that it is financially viable and
accountable. It concerns the basics of good financial management, namely: developing a
financial strategy, financial documentation and reporting, budgeting, income generation,
internal controls, and financial policies. This is geared towards enabling NREAs manage their
finances in an informed and competent way.

You will need to forecast your upcoming cash receipts and expenses and can base this on the
past, while including information about income and activities that you know are coming up. You can then create a graph that illustrates your cash flow position. It will help you to foresee and prepare for any cash flow fluctuations, especially cash flow slowdowns. An example of a cash flow graph may look something like this:

Budgeting This is the process of planning finances over a specific period of time and forecasting what you expect your actual outcomes to be against budgeted activities and anticipating changes. This will provide the financial information needed to enable the association to decide if its strategic plans are financially viable.

Resource mobilization What is resource mobilization Every organization needs enough resources to survive: it has to engage its members, meet its planned project costs and develop future programmes, remain relevant and up to date, pay staff salaries and administrative overheads and keep equipment in a good state of repair. The list is endless.

Advocacy & policy dialogue Defining advocacy What is advocacy? In simple terms, advocacy means actively supporting or expressing clear recommendations for a particular cause idea, action, or person, and attempting to persuade others to support the same cause. In the context of this handbook, advocacy refers to a deliberate effort from an industry association to influence or change particular public policies, in line with the direct interest of the association’s members.

Building a network of policy makers and influencers A successful advocacy program must create and maintain strong links with policy makers. The key to building such a network is to establish regular interactions, including at times when the industry association is not dealing with a policy issue, between the industry association and relevant policy makers. Establishing such strong relations may be useful in the medium term when another policy issue arises. The relationship with policymakers can rely on both meetings in person (preferable) and via email or other communication channels.

Data Activities Purpose and use Both qualitative and quantitative data is rapidly becoming the lifeblood of many organizations both in the public and private sector. NREAs are no
exception, as data serves as a basis for advocacy, it demonstrates the impact of its members
and it helps understanding the organization’s performance against its targets. Moreover, data
activities can become a key service to attract members if they are tailored to their needs.

Implementing data activities Step 1 – Identify the data need A data activity begins with the articulation of a need – particularly, for a NREA, the needs of its members. These needs may be satisfied directly by offering a data service to the members, or indirectly by increasing the efficiency of the NREA since this in turn benefits members. Step 2 – Assess available sources
A second important step is to research whether there is already data available to fill such need
through a review of secondary sources. This helps ensuring cost efficiency and avoiding duplication of efforts, as well as minimizing the amount of surveys the NREA members may receive. Step 3 – Decide activity type and plan In case it is necessary to collect new, primary data, make sure to plan for it properly. Good planning can help you capture richer and more
accurate data while saving time and resources. Step 4 – Build partnerships and develop data
sharing agreements Even if the data need is well articulated, it may not be feasible or preferable to engage in the activity alone. Usually partnerships are an effective way to get around the hurdle of having all the resources needed – there are many stakeholders who may
be willing to support and engage in the data activity with you. Please note that the perception
stakeholders have of your partners’ reputations and technical capacities may influence the credibility of your message. Step 5 – Create a communication plan Once the data collection is completed it is helpful to create a communication plan on how to disseminate the results. There are several considerations to bear in mind as you make decisions about how to communicate your data and to whom. You will have different audiences, each with unique data and formatting needs. Make sure you keep those needs into account as you decide how to make your data available, in which format and when. For more information – see Section 3 on communication. Step 6 – Data management After investing time and resources in collecting
data, it is important to have a good management strategy to ensure it supports your objectives
throughout time. Data management is the practice of organizing, storing, and maintaining data processes. It must always be done in a coordinated way throughout the whole organization.

Source: Solar Power Europe

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Asset Management Best Practice Guidelines – Version 2

Rationale, aim, and scope A professional and dedicated Asset Management (AM) service package ensures that photovoltaic (PV) plants, individually and as part of a wider portfolio, achieve their maximum potential from both technical and financial perspectives.While the depth of services rendered to owners and investors varies depending on the risk attitude of the stakeholders, good quality service providers should be able to undertake responsibilities covering the business areas summarised in Figure 2. The scope illustrated in Figure 2 is in line with the structure of this document (and the structure of the O&M Best Practice Guidelines) and reflects the experience of the solar industry specifically.

DISCIPLINES TO BE MASTERED BY ASSET MANAGEMENT SERVICE PROVIDERS

Asset Management key targets AM services should consider each solar power plant or Special Purpose Vehicle (SPV) as a stand-alone business, aimed at improving profitability by
increasing revenues and reducing the levelised cost of solar power plant (LCOE).

STEPS TO AGREE STRATEGIC APPROACH TO INCREASED PROFITABILITY

From an operational perspective, there are four pillars which should guide the work of an AM service provider in order to achieve the ultimate goal of increased profitability. These are presented in Figure 4. They apply to both technical and financial services equally, ensuring
that sites are managed in a fully rounded manner.

DRIVERS OF OPERATIONAL ASSET MANAGEMENT SERVICES

Value-added services An asset manager, being the collector of all relevant technical and financial data and documentation related to solar plants and their SPVs, is uniquely positioned to support asset owners in their aim to maximise returns and mitigate risks in their PV portfolios. As indicated in the following figure, in order to achieve this goal, an asset manager should adopt a holistic approach to performance optimisation. This means
it should be able to conduct an overall assessment of the various aspects that contribute to both generating cash flows and ensuring capital protection.

INTEGRATED APPROACH TO MAXIMISE RISK-ADJUSTED RETURNS

Lifecycle project management Asset Managers can be involved in all phases of the
solar power plant’s lifecycle, from development to decommissioning. Most of the content of the Guidelines focuses on Asset Management during the operational phase – the longest phase of the project lifecycle – but this chapter presents an overview of lifecycle Asset Management with roles and tasks in all project phases.

EXAMPLE OF HANDOVER DOCUMENTATION AND PROCESS AT THE START OF THE CONSTRUCTION PHASE

Transition from construction to operations Crucial is to ensure appropriate documentation is
captured at the commissioning and testing stage. Working closely with the clients and Technical Advisor, the Asset Manager will be ensuring the comprehensive management of documentation relating tocommissioning components and capturing issuesemerging from audit to ensure effective triage and timely resolution.

LESSONS LEARNT AND FEEDBACK LOOP PROCESS

Risk management in the operational phase This chapter focuses on the risks emerging from the commercial operation date (COD). Risks associated with the inception phase are discussed in the current version of SolarPower Europe’s EPC Best Practice Guidelines. In this context, particular attention might therefore be given when it comes to the handover of assets as discussed in Chapter 5. At that point, understanding the risk exposures from an EPC perspective is indispensable.

RISK MANAGEMENT STRATEGY CHART

Handover of solar assets The journey of an AM service provider starts with a handover (or on-boarding) process. Whether an asset has just completed its construction phase, as
described in Chapter 3, or has been operational for some time, the handover process is critical to ensure the ongoing management of the asset. While the key steps and responsibilities of an AM service provider during the handover from construction is described in Chapter 3, this chapter will address the importance of the onboarding process when an operational asset is
transferred from an Asset Manager to another or when an Asset Owner decides to internalise the AM services.

Commercial and financial asset management Commercial and Financial Asset Management
encompasses support activities for the best operation of a business. By definition, the scope of Commercial and Financial Asset Management goes from the contact with external entities on behalf of the Asset Owner until the conversion of operational data into useful and understandable financial information. It comprises the activities presented in this chapter.

NEW REQUIREMENTS DRIVEN BY NEW RISK ALLOCATION AND CRITICAL IMPORTANCE
OF DATA MANAGEMENT

Procurement The role of the Asset Manager in the solar sector is crucial in order to identify, select and properly manage the key suppliers involved in the operation of the SPVs and the
plants.

KRALJIC MATRIX OF MAIN SUPPLIERS INVOLVED IN SOLAR POWER PLANT OPERATION

Data management and high-level monitoring Asset Managers have the responsibility of monitoring and overseeing the activities performed by the O&M service providers as well as managing the ongoing obligations of the plant to ensure its longevity and profitability, as detailed .

TRADITIONAL LINEAR ASSET MANAGEMENT APPROACH AND ASSET-CENTRIC INFORMATION-BASED
APPROACH WITH THREE KEY STAKEHOLDERS OF ASSET MANAGEMENT

Contractual framework This section contains a set of considerations for the contractual framework of AM services to be executed with respect to commercial, industrial and utilityscale systems. As a complement to the technical specifications detailed in the previous chapters, the
contractual framework described in this chapter is considered as a best practice.

SCOPE OF THE ASSET MANAGEMENT CONTRACT

The Asset Manager shall perform the services in compliance with the annual business plan provided by the client. In addition to the above, the parties may agree that the Asset Manager will not be entitled to enter into any contract having a value higher than the maximum amount identified in the AM agreement.

Source: SOLAR POWER EUROPE

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The future of cybersecurity: How renewable power plant controls protect inverters from hacks and attacks

Merit Controls at its solar + storage project site in Scurry, Texas.

The world is changing rapidly as renewable energy penetration increases. Declining renewable energy costs mean it could be feasible to power the U.S. on 90% clean electricity by 2035, according to a study by UC Berkeley and GridLab. Rapid adoption of non-carbon fuel sources is a trend that seems likely to continue for the foreseeable future.At the same time, the world is becoming less secure. Cybersecurity threats to operational technology and inverters that are increasingly Internet-connected to help run the electric grid are escalating. Atlas VPN reports that cybercrime totals $1.5 trillion in revenue annually — that’s three times the annual revenue of Walmart. In short, cyber crime is a lucrative career for hackers.

When it comes to utility-scale solar plants, Internet-enabled smart inverters are especially at risk because they communicate with the grid to perform management functions. There’s potential for hackers to tap into these inverter communications, throwing the grid voltage out of control, which could lead to brownouts or blackouts. The potential for damage is especially alarming when compounded with the increasing frequency of natural disasters.Research labs and inverter manufacturers are taking steps to ramp up cybersecurity within the inverter itself. However, the flow of information on the grid is really complex. There are market and load management systems that communicate with balancing authorities connected to utilities. These systems tap into project supervisory control and data acquisition (SCADA) systems and, finally, the power plant controller (PPC). This leaves a lot of links within the chain vulnerable to cybersecurity risk.Is there a solution to mitigate risk effectively? One approach is to introduce cybersecurity protection at the renewable power plant control level. Alleviating breach risk within solar plant communications helps protect the inverter and, therefore, the solar plant and grid as a whole.

Protecting the inverter

First, it helps to understand some basic solar plant operations and architecture. Power plant controls consist of software and hardware, including a PPC and SCADA system. Site operators use a PPC to control plant behavior like production levels, revenue, compliance and grid stability. The PPC communicates with the plant’s SCADA system and field devices like inverters over a power plant network using industry-standard communication protocols like Modbus, TCP or DNP3. The SCADA system serves as a security gateway that allows or restricts the flow of information between the plant and inverter networks.The hardware and software associated with the plant control and SCADA systems are housed within an enclosure in a substation outside of the solar plant. They connect to the inverter and other field devices through a network of fiber-optic cables.Attacks can occur anywhere along the plant architecture. Hackers can embed malicious malware onto the inverter’s communication board, plug into the port of the enclosure that hosts the fiber-optic cables or infiltrate the plant control network. Such events can jeopardize the plant’s reliability by tripping a circuit breaker at the point of interconnection or curtailing inverters to disrupt power generation, rapidly affecting the project’s power output. Even more damage could be done by controlling the inverter’s reactive power injection or absorption, leading to grid voltage spikes or drops.

So what’s to be done?

As inverter manufacturers work to strengthen security directly within the inverter’s communication board, added protection along the power plant control system creates further safeguards. For example, an intrusion alarm can signal operators through the SCADA system if the door to the fiber optic network enclosure has been opened. Operators can also include a list of authorized users to restrict access to plant controls according to IP addresses. It’s even possible to define what type of device is allowed to exchange information in a network port and instruct the system to block anything else.

Merit Controls at its solar + storage project site in Scurry, Texas.

As an added measure of protection, Merit Controls also recommends security methods more specific to inverters, such as separating each device’s IP network so that one inverter can’t ‘talk’ directly to another. All communication must occur through the secure SCADA system, which filters traffic. A plant control system also continuously monitors inverter configurations — manufacturer programs for how to regulate frequency, voltage ride-through and more on a specific site. Hackers could potentially change these values and jeopardize the plant’s reliability, but the right renewable plant control systems will alert operators immediately if a change is detected.Another recommendation is to use ring communication protocols for fault redundancy. Ring protocols dictate how field devices like inverters are connected to communicate — in this case, in a ring rather than in a linear configuration. This meants if one inverter is down for maintenance, the rest of the network will still be able to talk, hence avoiding the whole system disconnecting due to a single point of failure.We recommend using standard naming conventions and communication protocols (media redundancy protocol (MRP) for ring topology; OPC UA, Modbus or DNP3 protocols for the SCADA system filtering, IEC 61131-3 for vendor-independent programming language, etc.) because proprietary or third-party protocols can introduce more risk. Standards widely accepted by the industry make it easier to audit the plant and troubleshoot issues to ensure long-term project success.

Future-proofing against attacks

As cybersecurity threats continue to proliferate, security officials are adjusting existing cybersecurity programs. For example, the North American Electric Reliability Corporation (NERC) recently partnered with the U.S. Department of Energy on two pilot projects within the organization’s Cybersecurity Risk Information Sharing Program (CRISP) to capture data from SCADA and industrial control systems. NERC plans to use this data to help monitor for hacking and strengthen grid security. Also, NERC’s Electricity Information Sharing and Analysis Center (E-ISAC) is working to guard against malicious activity on utilities’ business networks.The pilots help advance how CRISP collects and shares information, and should help identify threats to utilities’ industrial control systems by capturing “raw and/or refined operational technology data” and comparing it with data that utilities send to them.On behalf of our clients, Merit Controls monitors daily ICS-CERT alerts from the Cybersecurity & Infrastructure Security Agency to stay updated on new vulnerabilities and attacks. We recommend project stakeholders do the same. Making sure the SCADA and PPC firmware is always up to date is important too.In addition, we have teamed up with inverter manufacturer Sungrow to provide turnkey technology solutions to address cybersecurity concerns. We see the greatest inverter and overall system security benefits coming from such partnerships.

It’s hard to say what the next cyberattack on power generation systems will look like, or where it will come from. What we do know is that taking security measures now will ensure the best possible protection for inverters and other important solar plant components. At Merit Controls, safeguarding the components that power our grid is not only our ethos, it is also our responsibility as a vendor in this industry. A smart cybersecurity framework will protect solar and other distributed energy resources, ensuring the security of our critical infrastructure and enabling the advancement of a cleaner, secure and more resilient grid.

Source:Solar Power World

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India: Solar Investment Opportunities Emerging Markets Task Force Report

FOREWORD

SolarPower Europe established its Emerging Markets Task Force in March 2018 to identify business and cooperation opportunities in emerging markets outside of Europe with the aim of contributing to the global energy transition. Since its inception, SolarPower Europe’s Emerging Market Task Force has become an active working group with more than 120 experts from over 60 companies, working on a series of reports presenting solar investment opportunities in new and emerging markets around the world.

PHOTOVOLTAIC POWER POTENTIAL INDIA

ENERGY GEOGRAPHY
India has a huge potential to generate energy from renewable energy sources, especially solar PV. The country’s natural conditions are estimated to offer a renewable energy potential of 900 GW that are commerially exploitable. With an attribued potential of 750 GW, solar power is considered to be the most promising renewable energy source, followed by wind power (102 GW), bio-energy (25 GW) and small hydroprojects (20 GW) (IBEF, 2019). However, among the
country’s 28 states and 8 union territories the potential to generate solar power varies greatly. As data from the National Institute of Solar Energy in India (NISE) shows, Rajasthan has the highest solar PV potential, followed by Jammu and Kashmir1 Maharashtra and Madhya Pradesh. Considered together, these four regions account for more than half of India’s solar potential.

DEMOGRAPHICS
India’s population of around 1.353 billion people is predominantly young and makes up a share of around 17.7% of the world’s total population (World Bank, 2019). In terms of population size, India comes second to China, which remains the world’s most populated
nation. India’s population size doubled within the past 40 years, growing by around 181.5 million people between 2001 and 2011 alone. Over the next couple of decades India’s population size is expected to further increase and with a current annual growth rate of 1.08%
expected to overtake China’s by 2030.

ESTIMATED SOLAR POWER POTENTIAL PER STATE

MACROECONOMIC CONTEXT
India had a nominal Gross Domestic Product (GDP) of USD 2,726.32 billion in 2018 (World Bank, 2019). Therefore, compared internationally, India is the sixth largest economy in the world, falling slightly behind the UK with a GDP of USD 2,825.21 billion. The Gross
National Income (GNI) per capita in 2018 was USD 2,020 – compared to only USD 1,600 in 2015 – and is expected to continue rising (Macrotrends, 2019).

MAJOR MACROECONOMIC INDICATORS
STRENGTHS AND WEAKNESSES OF THE INDIAN ECONOMY

government currently is implementing measures to improve the economy, so that it is estimated that India’s economy will be the second largest in the world after China by 2050.

BUSINESS ENVIRONMENT
Despite India’s difficult economic situation, the country has managed to significantly improve its ranking in the World Bank’s Doing Business Report over the past two years, climbing up 23 spots to rank 77 out of 190 states in the 2019 edition. For this improvement, as well as being acknowledged as part of top 10 improvers for the second consecutive year, the country is accredited special merit.

EASE OF DOING BUSINESS IN INDIA, 2019

POLITICAL AND SOCIAL CONTEXT
India has a stable government which also is positive for investors. The current ruling party of India, the Bharatiya Janata Party (BJP), renewed its strong majority in the 2019 general election (bringing the National Democratic Alliance, NDA, to hold 353 out of 542 seats). This makes
it easy for the party to implement decisions. Under Prime Minister Narendra Modi, there is currently also a very positive political climate to support renewable energy development in India.

ELECTRICITY INFRASTRUCTURE

India’s national electricity grid developed in a phased manner. The country’s power system is composed of five interconnected network zones – Northern, Eastern, Western, North Eastern and Southern Region – together forming a national grid with one frequency. Transmission lines account for only about 5% of the country’s network length, while the rest consists of distribution lines.

NEW DEVELOPMENTS FOR SOLAR POWER
Solar PV is considered to be India’s most promising renewable energy source. This is due to India’s favourable climatic conditions that provide the country with an average solar irradiation of 4-7 kWh/m2 /day, with about 300 sunny days a year (MNRE, 2014b). To utilise this potential, the Union Government has identified solar as a key pillar for its power supply strategy and is committed to one of the largest solar energy capacity expansion programmes in the world.
While wind is still the major contributor to renewable energy sources, solar is expected to overtake wind by 2020 (Climate Investment Fund, 2018). Along with falling panel prices and available government subsidies, solar power is increasingly being perceived in a positive light
and is promoted in both on- and off-grid areas.

ELECTRICITY PRICES FOR MAJOR CONSUMER CATEGORIES (Rs/kWH)

This is not unusual for emerging markets. Installing large quantities of utility-scale solar is much easier than establishing a distributed PV rooftop market, which takes a substantial period of time with having to educate many consumers. This is why emerging markets usually begin their solar chapter with tenders for utility-scale solar and struggle to set up the distributed rooftop segment (SolarPower Europe, 2019).

ROOFTOP SOLAR
ANNUAL INSTALLED CAPACITY
CUMULATIVE INSTALLED CAPACITY

FOR INVESTORS
India is counted among the countries with the highest solar irradiation. Recognising this potential, India’s government has taken large steps to develop solar PV and
to create opportunities for national and international investors, ensuring the sector’s consistent growth. The country’s ambitious National Solar Mission illustrates this, as well as the country’s various development finance institutions investing and backing investments in solar.

FOR LOCAL PRIVATE STAKEHOLDERS
India has an ambitious plan to develop rooftop solar: a target of 40 GW capacity by 2022. To facilitate the scaling up of grid-connected solar rooftops, around 20 states have
introduced dedicated policies and net metering regulations. Still, the segment has recorded very little growth so far.

Source: solarpowereurope

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Vietnam proposes heavily-cut solar FIT rates from next month

A rooftop solar installation conducted in Vietnam last year.

Vietnam is to slash feed-in tariffs available for rooftop solar installations from next month by as much as 38% in a bid to address grid pressures in the country, local media has reported.The Dai Doan Ket newspaper has cited Hoang Tien Dung, head of the Ministry of Industry and Trade’s Electricity and Renewable Energy Authority, as stating that tariffs will be cut by between 31% and 38% to between US$0.052/kWh and US$0.058/kWh, depending on the system size.

Under the feed-in tariff 2 (FIT2) scheme, which closed to new applicants on 31 December 2020, tariff rates were as high as US$0.0838/kWh.The new tariffs will come into effect from next month, and have been designed to address pressures on Vietnam’s transmission grid created by a surge in solar installations witnessed last year as the highly successful feed-in tariff 2 scheme drew to a close.

Rooftop solar installations skyrocketed in Vietnam in late 2020, with more than 6.7GW of solar installed in December 2020 alone. Combined with utility-scale and C&I installs, around 9GW of solar was installed in Vietnam last year.That installation influx took Vietnam’s total installed solar capacity to nearly 16.5GWp (13.16GWac), and the surge in solar installs has led to concerns over grid stability in the country, particularly around solar’s generation peak around midday and between 5:30 – 6:30pm, when demand peaks and solar’s generation curve fades.

Source:PV-TECH.

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National Survey Report of PV Power Applications in China

INSTALLATION DATA

The PV power systems market is defined as the market of all nationally installed (terrestrial) PV applications with a PV capacity of 40 W or more. A PV system consists of modules, inverters, batteries and all installation and control components for modules, inverters and batteries. Other applications such as small mobile devices are not considered in this report.

Applications for Photovoltaics

In 2019, even though China’s photovoltaic installed capacity dropped again, the newly added and accumulated photovoltaic installed capacity continued to rank first in the world. In 2019, China’s newly installed grid-connected photovoltaic capacity reached 30.1GW, a year-on-year decrease of 31.99%, of which the installed capacity of centralized photovoltaic power plants was 17.9GW, a year-on-year decrease of 22.9%; the installed capacity of distributed photovoltaic power plants was 12.2GW, a year-on-year increase of 17.3%. As of 2019, the cumulative grid-connected photovoltaic capacity reached 204.3GW, an increase of 17.1%. Among them, the cumulative installed capacity of centralized photovoltaic power stations is 141.67GW, and the cumulative installed capacity of distributed photovoltaic power stations is 62.63GW. The annual photovoltaic power generation capacity was 22.43 billion kWh, accounting for 3.1% of China’s total annual power generation (723.41 billion kWh), an increase of 0.5% year-on-year.

Total photovoltaic power installed

Annual PV power installed during calendar year 2019

Other PV market information

PV power and the broader national energy market

Cost breakdown of PV installations

The cost breakdown of a typical 5-10 kW roof-mounted, grid-connect, distributed PV system on a residential single-family house and a typical >10 MW Grid-connected, ground-mounted, centralized PV systems at the end of 2019 is presented in Table 2 and Table 3, respectively.The cost structure presented is from the customer’s point of view. I.e. it does not reflect the installer companies’ overall costs and revenues. The “average” category in Table 2 and Table 3 represents the average cost for each cost category and is the average of the typical cost structure. The average cost is taking the whole system into account and summarizes the average end price to customer. The “low” and “high” categories are the lowest and highest cost that has been reported within each segment. These costs are individual posts, i.e. summarizing these costs do not give an accurate system price.

National targets for PV

Looking forward to 2020, China’s new photovoltaic installed capacity is expected to be between 32GW and 45GW, and the installed capacity trend is stable.From a domestic perspective, the scale of various sectors of the industry has grown steadily, the export value and export volume have both increased, the amount of photovoltaic power generation has increased, and the rate of waste light has decreased. The conversion efficiency of industrialized P-type PERC single crystal and N-type single crystal cells both exceed 22%.It is expected that the power of module products will exceed 500W, and the market share of monocrystalline will be reserved; high-efficiency cell using PERC technology will gradually replace traditional cell technology; module technologies such as half-cells and shingles will gradually follow the same way as bifacial cell technology Increase market share.

Direct support policies for PV installations

In 2019, the “531” policy of 2018 was continued, and the newly installed photovoltaic capacity remained declining, but photovoltaics were still the renewable energy source with the largest newly installed capacity. Continuing the policy of 2018, the national policy adjustments related to photovoltaic power generation mainly include the following aspects: adjustment and innovation of scale management mechanism, continuous decline in electricity prices and subsidies based on cost reduction, large-scale construction of large-scale projects, and strengthening Market environment supervision, and at the same time, many important mechanisms such as the restrictive distributed power generation market transaction mechanism and the renewable energy consumption mechanism are also being formulated and promoted.

Development plan and target

2019 is the first year of the wind and solar power generation market that focuses on bidding projects and non-subsidized projects. Among the first batch of non-subsidized projects announced in May 2019, photovoltaic installed capacity is 14,780 MW. In addition to 1470 MW distributed market mainly focus on photovoltaic power generation. The list of bidding projects for this year was announced in July 2019, including centralized power stations and industrial and commercial distributed photovoltaic projects, with an installed capacity of 22,790 MW.The 2020 construction policy for photovoltaic power generation projects were introduced in March, basically continuing the 2019 mechanism. Bidding projects, non-subsidized projects of photovoltaic power plants and industrial and commercial distributed photovoltaic, household photovoltaics will be the main part of new domestic arrangements and new grid-connected installations in 2020.

Project management

Bidding allocation projects have shown their effectiveness in reducing electricity prices and subsidies, and discovering price demand.With the support of the policy, the domestic household photovoltaic market began to accelerate in the second half of 2017. Some leading companies regard the household photovoltaic market as one of their main businesses. There are also a large number of small and medium-sized enterprises involved in household photovoltaic sales, installation and after-sales services and other businesses, so maintaining a relatively stable and continuous household photovoltaic market is also one of the policy goals.

Taxation policy

In 2019, reducing the value-added tax rate once again has reduced the cost of photovoltaic power generation to a certain extent, but the preferential policy of 50% of the value-added tax on photovoltaic power generation has not been extended. In April 2019, the state once again adjusted the original 16% value-added tax rate to 13%. According to the investment level of photovoltaic power generation from 2019 to 2020, even if the impact on equipment prices is not considered, the cost of photovoltaic power generation can still be reduced by about 2%.

Development space and power consumption

On May 10, 2019, the National Development and Reform Commission and the National Energy Administration jointly issued the “Notice on Establishing and Improving the Guarantee Mechanism for Renewable Energy Power Consumption” to establish a development mechanism led by renewable energy power consumption through certain binding weights and responsibilities. Especially in the early days of the “14th Five-Year Plan”, when the conditions for accessing the Internet without subsidies are generally available and the subsidies are fully eliminated, consumption will be the most important factor affecting its development speed and scale. The implementation of the weighting of responsibilities is directly linked to the process of power market construction, especially the power marketization and trading system. In addition, it has also considered the connection with renewable energy green power certificates and energy efficiency assessment systems.

PV module

In 2019, the total production capacity of PV module was about 98.6GW, and the output was 83.4GW, a year-on-year growth of 12.3%, accounting for about 64.5% of global production, mostly crystalline silicon PV module in terms of product type.The value of PV module export amounted to approximately US$12.99 billion in 2018, up 24.4% year-on-year, accounting for 80.6% of total PV product exports, up 8.7 percentage points year- on- year; export volume was approximately 41.6GW, an increase rate of 32.1%.

PV cell and module production and production capacity information for 2019

Manufacturers and suppliers of other components

PV inverters (for grid-connection and stand-alone systems) and their typical prices

Under the policy guidance, China’s new photovoltaic installed capacity decreased in 2019 compared with the previous year, and the annual new installed capacity was approximately 30.11GW. Among them, the new installed capacity of centralized photovoltaics was 17.91GW, and that of distributed photovoltaics was 12.2GW. The new installed capacity of centralized and distributed photovoltaics declined for two consecutive years since 2017. Taking into account the inverter supply cycle and project transfer, the actual shipment of inverters in the domestic photovoltaic market in 2019 is about 33.5GW. According to statistics from the China Photovoltaic Industry Association (CPIA), the total domestic inverter output in 2018 was about 73.5GW (excluding the output of foreign brands, about 12GW), an increase of 11.9% year-on- year.

Supporting structures

Due to the low market threshold of the traditional photovoltaic support industry, with the rapid development of the national photovoltaic industry, the number of companies participating in the support structure has increased sharply, market competition is fierce, product quality is unbalanced, and the overall profit industry development speed is not high.The characteristics of China’s supporting structure industry are: the industry concentration has further increased, the average profit rate of the industry has decreased, the industry has moved to overseas markets, and the development of the tracking system has accelerated.

Source:IEA-PVPS

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REPORT ON OPTIMAL GENERATION CAPACITY MIX FOR 2029-30

Executive Summary The world today is witnessing several kinds of technological disruptions in different sectors. One of the likely disruption in power sector can be replacement of thermal based generation with Renewable energy generation complimented with energy storage technology. This has been possible with the downward trend of cost of solar panels and newer technology options like battery energy storage systems. In fact, the reduction in cost projections is very aggressive for Battery Energy Storage technology to render them financially viable in near future. In this context, planning for optimal generation capacity mix gains tremendous importance so as the future generation capacity mix is cost effective as well as environmental friendly, a horizon of 10-12 years is sufficient to gear up the systems and policies in the right direction to achieve the optimal generation mix. Keeping this in perspective, the study year of 2029- 30 has been considered.

Introduction Electricity is one of the key enablers for achieving socio-economic development of the country. The economic growth leads to growth in demand of power. Generation capacity augmentation is the most vital component amongst various modes adopted for meeting the ever-increasing demand of power to achieve the targeted growth rate.

Objective of the Study To find out the optimal generation capacity mix to meet the projected peak electricity demand and electrical energy requirement in the year 2029-30 considering possible/feasible technology options, intermittency associated with Renewable energy sources and constraints if any, etc.

Why 2029-30? To achieve the target of RE installed capacity of 175 GW by 2022, India has taken several policy initiatives for encouraging investment in RE Generation sources. National Electricity Plan has also laid its emphasis on RE integration and detailed studies have been carried out in NEP for the year 2021-2022 to analyze the power scenario with 175 GW of RE capacity in the Grid. Further, NEP has also given a perspective scenario for 2026-27 assuming 100 GW of capacity addition from RE during the period 2022-27 in view of the consistency in policy push for RE.India is working towards low carbon emission path while meeting its developmental goals. In this regard, India is aiming to have 40 % of the total installed capacity by the year 2030 based on non-fossil fuel sources as submitted in Intended Nationally Determined Contributions (INDCs). This phase of transition warrants a detailed study of the power scenario in the year 2030.

Generation Expansion Planning Tool The optimal generation mix study for the year 2029-30 has been carried out using the state of the art computer Generation Expansion planning model namely ORDENA. The model performs generation expansion planning, production costing and has the capability of modelling renewable energy sources using Mixed Integer Programming. The model minimises the cost of energy generation including the capital investments required for meeting peak electricity demand and electrical energy requirement by carrying out numerous iterations for selecting the most optimal generation capacity mix considering all financial parameters and satisfying technical/operational constraints. It optimizes the cost of transportation of fuel and emissions from power plants. The software has the capability to carry out hourly/sub hourly economic generation dispatch considering all the technical constraints associated with various generation technologies.

The schematic diagram of the software is given as Exhibit 1.

Present Installed Capacity Total Installed Capacity of the country as on 30.09.2019 was 363.4 GW, which comprise of 45.4 GW from Hydro, 228.6 GW from Thermal, 82.6 GW from R.E.S and 6.8 GW from Nuclear. The detailed sector and fuel wise breakup of the total installed capacity as on 30.09.2019 and energy contribution from different sources during 2018-19 is given in Table 1 and Exhibit 2 respectively.

Table 1
INSTALLED CAPACITY AS ON 30.09.2019

Generation Capacity mix of the country Generation capacity mix of the country has undergone significant changes since the time of independence with increased electricity demand in the country. Share of hydro capacity which was about 26% by the end of 10th plan period (i.e.2006-07) has come down to about 13% presently.Exhibit 3 and Exhibit 4 depicts the capacity and generation mix historically. It can be seen that share of hydro in installed capacity has reduced in recent years though the share of renewable energy has increased. However, in view of increasing share of variable renewable sources (Wind and Solar) in the system, hydro power plants with storage are the best option to address the intermittency of renewables as they have capabilities of fast ramping-up and ramping -down.

Present Load Profile of the country The country’s load profile indicates that peak load is generally observed during morning hours and evening hours. However, the evening peaks are higher than the morning peaks. The All India peak load is observed generally in the month of September/October (load curve of the year 2014-15, 2015- 16 and 2016-17). The load curve of the country varies significantly during different seasons and the same is shown in Exhibit 5.

Energy Storage Systems

The next phase of energy transition driven by the large-scale deployment of variable renewable energy sources (VRES) like solar and wind power can be fully realized by key technologies of Energy Storage. The grid integration challenges of the intermittent generation sources ensuring quality of supply on real time basis along with the capability to store excess electricity over different time horizons (minutes, days, weeks) can be achieved by the electricity storage systems.

The likely installed capacity by the end of the year 2029-30 is given in Table 5 and Exhibit 8.

Table 5
Likely Installed capacity by the end of 2029-30
Exhibit 8

RE generation dispatch and absorption is shown in the Exhibit 12. The RE absorption on the peak day is likely to be around 99.74%.

Maximum VRE (Wind + Solar) Generation day – 3rd July, 2029 The system has to be resilient on the day when the maximum generation from RE (wind + solar) is likely to be available. The maximum generation from RE is likely to occur in the month of July, typically 3rd of July.

Daily Variation in Demand and VRE Absorption The Exhibit 27 given below depicts the variation of daily demand and daily VRE generation (solar and wind only) along with the percentage of daily demand met from renewable sources (solar and wind). It may be seen that demand met by VRE generation on few days is as high as 50%.

Projected Coal Requirement in 2029-30 The Gross Generation from coal power plant is estimated to be 1358 BU for the year 2029-30. The coal requirement for the year 2029-30 has been worked out to be about 892 Million Tonnes considering specific coal consumption of 0.65kg/kWh + 1% transportation loss.

Conclusions The long term study results for the period 2022-23 to 2029-30 is the least cost generation mix and most economical solution for meeting the peak electricity demand and electrical energy requirement of each year till 2029- 30 as projected by 19th EPS. The capacity mix honours all the technical constraints associated with various technologies. Grid scale Battery energy storage systems(BESS) along with Pumped Storage systems has been considered for estimating the optimal results keeping in view the challenge of RE integration due to its inherent nature of being variable and intermittent and to fulfil the demand at every instance of time.

Likely installed capacity by 2021-22 as per Mid-Term Review of NEP (Base Capacity considered):

Under construction, Planned and Candidate plants considered in the study for the period 2022-23 to 2029-30:

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PV WASTE MANAGEMENT IN INDIN

Coronavirus lockdown speeds India's shift from coal to solar power

ExECUTIVE SUMMARY:This study aims to analyse the current state of play of the PV waste management landscape in India and to provide recommendations on how to enhance the policy framework around it. A comparison of the EU and Indian regulatory settings and main policy drivers is carried out, as well as an analysis of the PV module waste market in India, including the amount of waste generated and current waste treatment practices. Based on these assessments, a number of short-, mid- and long-term policy recommendations are included.

Based on the results and recommendations of this report, the development of a draft piece of legislation for PV end-of-life management should be carried out. The new legislative framework could include in the scope modules, inverters and other PV system components. While it is too early to determine whether inverters and other PV components should be part of the same legislation for PV modules or rather be part of the E-Waste Rules, it will be key to ensure synergies across the different pieces of legislation and to optimise the economic, social and environmental dimensions in waste collection and treatment.

Compared to a BAU scenario or to an improved BAU (BAU+) scenario whereby a landfill ban is introduced, this study recommends the Extended Producer Responsibility approach as the best one for the Indian context, as it constitutes the most effective means to perform sound PV waste management. It is advised to implement an EPR law for PV modules which sets the principle of a Producer Responsibility for PV modules and – where required – other products of a PV system, such as inverters and batteries.Several EPR policy instruments and measures are available to governments to help them meet their stated goals and objectives. They are product take-back, deposit/refund, advance disposal fees, product/material taxes, combined upstream tax and subsidy and minimum recycled content requirements. Policymakers should review these different instruments to identify which might best meet their particular needs. The point of intervention for the instrument selected depends on the point where the market fails to internalize the impacts from the disposal of products at their post-consumer stage. The instrument or mix of instruments that would best meet policy goals should be selected.

Looking at the medium- and long-term time horizon (5-10 years), the following actions should be explored:

  1. Develop sustainable product policies for PV modules, inverters and systems, such as Ecodesign and Ecolabel, based on globally recognised standards and a methodology that take into account the full product lifecycle;
  2. Consider including sustainability criteria in national renewable energy auctions, based on a point-based system, to reward products with the lowest environmental impact;
  3. Periodically re-assess rules on PV waste recycling to keep pace with the evolution of the sector;
  4. Set up joint EU-India Horizon 2020 calls for R&D projects on PV recycling technology or innovative equipment.The Waste Electrical and Electronic Equipment (WEEE) Directive

The Waste Electrical and Electronic Equipment (WEEE) Directive

The WEEE Directive 2012/19/EU entered into force in each Member State on 14 February 2014. This recast Directive is the successor of the original WEEE Directive 2002/96/EC, which entered into force on 13 August 2005 in each Member State. The WEEE Directive imposes the responsibility for the disposal of Waste Electrical and Electronic Equipment (WEEE) on the manufacturers or distributors of such equipment or more precisely on the companies, which are putting for the first time such equipment on the territory of a Member State of the European Union (referred to as “producers” in the WEEE Directive’s terminology).The WEEE Directive is an example of the Extended Producer Responsibility (EPR) principle, which is “an environmental policy approach in which a producer’s responsibility for a product is extended to the post-consumer stage of a product’s life cycle”.2 In practice, EPR implies that the first put-on-the-market companies (producers, importers) take over the responsibility for collecting or taking back used goods and for sorting and treating their post-consumer waste. This requires that those companies establish an infrastructure for collecting WEEE, in such a way that “Users of electrical and electronic equipment from private households should have the possibility of returning WEEE at least free of charge”. The directive saw the formation of national “producer compliance schemes”, into which manufacturers and distributors paid an annual fee for the collection and recycling of associated waste electronics from household waste recycling centres.

The Regulation on Registration, Evaluation, Authorisation and Restric- tion of Chemicals (REACH)

The Regulation on Registration, Evaluation, Authorisation and Restriction of Chemicals (EC 1907/2006) is the EU Regulation overseeing the use of chemicals, addressing the production and use of chemical substances and their impacts on human health and the environment.This legislation mandates that all companies manufacturing or importing relevant quantities4 of chemical substances in the EU, register such substances with the European Chemical Agency. In the registration, they must identify the risks connected to the substances they produce and import, and illustrate how these risks are managed.The Regulation also addresses the use of a number of substances of very high concern (SVHC). These substances, identified in a Candidate List, cannot be used unless the company is given an authorisation.

Sustainable product policies

The European Commission is currently considering the implementation of a number of sustainable product policies for PV modules, inverters and systems. These measures include both mandatory instruments (Ecodesign, Energy Label) and voluntary instruments (EU Ecolabel, Green Public Procurement), which are undergoing a process assessing their impact on market and product sustainability. Some of the criteria provisionally laid out in the draft measures include performance requirements and information disclosure on material content, dismantlability, repairability, recyclability and presence of hazardous substances. The expected timeframe for entry into force of the first set of these provisions is 2023-2024.

Landfill Directive

The Landfill Directive 1999/31/EC has the objective to prevent and reduce as much as possible the negative effects on the environment, in particular on surface water, groundwater, soil, air, and on human health from the landfilling of waste by introducing stringent technical requirements for waste and landfills.The Landfill Directive defines the different categories of waste (municipal waste, hazardous waste, non-hazardous waste and inert waste) and applies to all landfills, defined as waste disposal sites for the deposit of waste onto or into land. Landfills are divided into three classes: landfills for hazardous waste; landfills for non-hazardous waste; landfills for inert waste.Most of the EU Member States have introduced a landfill ban for untreated waste (including PV modules), separately collected waste such as the products covered by EPR-regulations (such as PV modules).

In March 2018, the E-Waste Rules were amended by the Ministry of Environment, Forest and Climate Change to facilitate and streamline the implementation of an environmentally sound management of e-waste in India. The objective of these amendments is to formalize the e-waste recycling sector by channelizing e-waste generated in the country towards authorized dismantlers and recyclers. To undertake the activities prescribed for PROs under these new Rules, the PROs were to apply for Central Pollution Control Board (CPCB) registration. This amendment is considered as a progressive one in India’s journey of handling e-waste as the requirement of PROs to register with CPCB would ensure continuous monitoring by CPCB thereby ensuring accountability from PROs.As per these revised targets, 10% of the quantity of waste generated shall be collected during 2017-2018 and there shall be a 10% increase every year until the year 2023. After 2023, the E-Waste collection target is fixed at 70% of the quantity of waste generation.The responsibilities of the various entities, producers; consumers (including bulk consumers); collection centres; dismantlers and recyclers, are defined, together with the procedures for obtaining registration and authorisation from the pollution control entities including sample forms. For producers, collection centres, dismantlers and recyclers, an application for a Grant of Authorisation must be made within three months of the start of the Rules, (i.e.) by 31st July 2012, with the authorisation having a five year validity being made up to 90 days later.

Even though the components of a solar PV system – PV modules and inverters – are currently not included in the E-Waste Rules, this piece of legislation could be considered as a reference legislation by both the Indian authorities as well as the Indian solar industry. For example, MNRE’s Guidelines for setting up grid-connected solar power plants state that “the developers will ensure that all solar PV modules collected from their plant after their end-of-life are disposed-off in accordance with the “E-waste (Management and Handling) Rules”. However, today, there are neither any regulations nor any standards for PV waste management in India.The E-Waste Rules also cover the restriction of hazardous substances (RoHS) in electronic and electrical components and equipment. It is applied on producers and distributors involved in the manufacture, sale, and processing of electronic and electrical equipment or components. Under the RoHS provisions, cost for sampling and testing shall be borne by the government for conducting the RoHS test. If the product does not comply with RoHS provisions, then the cost of the test will be borne by the Producer.


Year-wise sectoral breakdown of PV systems capacity. Source: Own elaboration.

Commercial installations shared the majority of the PV rooftop systems (the detailed breakdown in not available in the literature). Given that ground-mounted solar constitutes the vast majority of PV capacity, and that the residential segment is only a fraction of rooftop installations, it can be concluded that the greatest bulk of end-of-life PV waste will be deriving from B2B relations. A B2B network for end-of-life management of PV waste would be the preferred choice to address this.

Compared to current levels, the annual PV market is expected to grow significantly across all scenarios. The Low and Medium scenarios forecast a somewhat stable level of annual installations in the next 5 years, between 9 and 18 GW installed annually. In the mid and long term, annual installations increase significantly, reaching 22-46 GW by 2030. Conversely, the High scenario assumes that national government objectives are reached – this causes a surge of installed capacity in 2021 and 2022. After peaking in 2024, annual installations decline and are at 17 GW in 2030. This results in annual installations in the High scenario to become eventually lower than in the other two scenarios, although the cumulative capacity remains significantly higher.

Response to stakeholder survey – question 4: Would setting up a standard, i.e., a target of a minimum amount of recycled content to be included while manufacturing of new modules, improve PV waste management in India? (Blue: yes; red: no) Do you think the idea of setting up a standard , i.e., a target of a minimum amount of recycled content to be included while manufacturing of new panels, would help in achieving the goal?

Overall, from the survey it can be concluded that stakeholders in India are concerned about the PV waste and it’s management in the country in coming years and are willing to consider a fee to create a fund which is managed by an industry body to facilitate this process and manage India’s PV waste. This report encompasses the measures and strategies that have been proposed or suggested by majority of stakeholders in terms of Landfill ban, EPR enforcement and centralized fund.

Click to download:The Indian Solar Saga

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ENERGY STATISTICS INDIA 2021

Introduction

The history of human evolution rests on the availability and use of energy. From the transformation from the early use of fire and animal power that improved lives, to the present world with use of electricity and cleaner sustainable fuels for a multitude of purposes – energy has been the enabler of development. Energy presents a fundamental need ranging from, but not limited to, the essential services of cooking, heating, cooling, lighting, mobility, and operation of appliances, to information and communications technology, and machines in every sector of every country. The lack of access to reliable and clean energy supplies is now considered as a major barrier to improving human well- being around the globe.

The United Nations Statistical Commission, at its forty second session (22–25 February 2011), adopted IRES as a statistical standard and encouraged its implementation in all countries. IRES provide a comprehensive methodological framework for the collection, compilation and dissemination of energy statistics in all countries irrespective of the level of development of their statistical system. In particular, IRES provides of a set of internationally agreed recommendations covering all aspects of the statistical production process, from the institutional and legal framework, basic concepts, definitions and classifications to data sources, data compilation strategies, energy balances, data quality issues and statistical dissemination.

Energy Flows

In the context of basic energy statistics and energy balances, the term “energy flow” refers to the production, import, export, bunkering, stock changes, transformation, energy use by energy industries, losses during the transformation, and final consumption of energy products within the territory of reference for which these statistics are compiled. This territory generally corresponds to the national territory; however, it can also refer to an administrative region at the sub-national level or even to a group of countries. The term “rest of the world” is used here to denote all areas/territories outside the reference territory. The broad sectoral diagram representation of Energy Flow in an economy is presented below.

The present publication, Energy Statistics India 2021, is fully compliant with the IRES 2011 and follows the practices prescribed therein.

Reserves and Potential for Generation

Highlights India has rich deposits of coal in the world. Total estimated reserves of coal in 2020 were 344.02 billion tonnes, an addition of 17.53 billion tonnes over the 2019 in corresponding period. In terms of percentage, there has been a growth of 5.37% in the total estimated coal reserves during the year 2020 over 2019 (Table 1.1.).The top three states with highest coal reserves in India are Jharkhand, Odisha, Chhattisgarh, which account for approximately 70% of the total coal reserves in the country. Out of the total reserves in the country, proven reserves i.e. those available for extraction in terms of i.e. economically viability, feasibility study and geologically exploration level, account for almost 47% of the total as depicted below in Fig 1.1.

  • The estimated total reserves of lignite in 2020 were 46.02 billion tonnes against 45.76 billion tonnes in 2019. (Table 1.1(A)). The highest reserves of lignite are found in the state of Tamil Nadu.
  • Out of the total reserves in the country, proven reserves account for almost only 15% of the total as depicted below in Fig 1.2

The estimated reserves of crude oil in India in 2020 stood at 603.37 million tonnes against 618.95 million tonnes in the previous year. Geographical distribution of Crude oil indicates that the maximum reserves are in the Western Offshore (39%) followed by Assam (26%)

The estimated reserves of Natural Gas in the year 2020 were at 1371.89 Billion Cubic Metres. The maximum reserves of Natural Gas are in the Eastern Offshore (41%) followed by Western offshore (23.66%).

There is a high potential for generation of renewable energy from various sources- wind, solar, biomass, small hydro and cogeneration bagasse in India. The total potential for renewable power generation in the country as on 31.03.2020 is estimated at 1,097,465 MW This includes solar power potential of 748990 MW (68.25%), wind power potential of 302251 MW (27.54%) at 100m hub height, SHP (small-hydro power) potential of 21134 MW (1.93%), Biomass power of 17,536 MW (1.60%), 5000 MW (0.46%) from bagasse- based cogeneration in sugar mills and 2554 MW (0.23%) from waste to energy.

The geographic distribution of the estimated potential of renewable power as on 31.03.2020 shows that Rajasthan has the highest share of about 15% (162223 MW). This is followed by Gujarat with 11% share 122086 MW). Both Maharashtra and Jammu & Kashmir come next with a 10% share (113925MW and 112800 MW respectively), mainly on account of solar power. However, amongst these, share of Wind Power is the highest in Gujarat.

Installed Capacity and Capacity Utilization

Total installed capacity of coal washeries in India is 143.44 Million Tonne per year (MTY) as on 31.03.2020 (P). This comprises of 29.84 MTY in coking and 113.60 MTY in Non Coking Coal Washeries (Table 2.1).

India’s Energy mix has been seeing a shift from more conventional resources of energy to renewable sources. This is well captured by the fact that while the installed capacity of renewable sources of electricity generation excluding hydro from utilities grew at 12% in the previous year (2020 over 2019), that of thermal sources grew only at 1.91%.


Installed Capacity of Coal Washeries

Installed Capacity of Coal Washeries

Installed Capacity and Utilization of Refineries of Crude Oil


Production of Energy Resources

Highlights Coal production in the country during the year 2019-20(P) was 730.87 million tonne as compared to 728.72 million tonnes during 2018-19, growing at the rate of 0.30%. The overall trend of production in the last ten years i.e. 2010-11 to 2019-20 has shown a steady increase with a CAGR of 3.58%(Table 3.1).

To allow comparison among and aggregation of production by different sources of energy, production has been converted in terms of energy units, Petajoules. It may be seen that the total production of energy resources increased from 15305.45 petajoules during 2018-19 to 15311 petajoules during 2019-20(P), showing an increase of 0.04%(Table 3.2).

In the year 2018-19, the production of Petroleum Products in the country was 262.36 MT as against 262.94 MT during 2019-20(P), an increase of 0.22%. In the total production of Petroleum Products during 2019-20(P), High Speed Diesel Oil accounted for the maximum share (42.13%), followed by Motor Gasoline (14.70%).

The year-wise growth of domestic production of Petroleum Products for different categories of distillates has seen an increasing trend over the years 2010-11 to 2019-20(P) with middle and light distillates moving more rapidly than heavy ends over the same period.

Foreign Trade & Prices of Energy Resources

Highlights There has been an increasing trend in the net import of coal in the recent years. Over the last ten years, Net Import of coal steadily increased from 67.04 MTs in 2010-11 to 210.87 MTs in 2014-15. This was followed by a marginal decline in the succeeding 2 years but again started increasing though the increase in 2019-20(P) over 2018-19 was only 5% as compared to 13% in 2018-19 over 2017-18. (Table 4.1).

Wholesale Price Index (WPI) of Petroleum Products varied for different products ranging from a growth rate year on year of 13.39%(Kerosene) to (-) 3.17%(Petrol). Index was highest for kerosene (172.8) (Table 4.2).

The Wholesale Price Index (WPI) among non-petroleum products showed a positive growth rate of 7.32% (lignite) followed by 3.91% (Coking Coal) and 2.01% (Electricity).

Availability of Energy Resources

Highlights Over the previous year, 2018-19, in comparison to the current year, 2019-20(P), the total availability of energy resources has seen a growth in Coal and Natural Gas, whereas, it has decreased for Lignite and Crude Oil. While Coal and Natural Gas showed a growth of 4.58% and 5.51% in this period, that for Lignite and Crude oil shrunk by (-) 1.87% and (-) 0.60% respectively (Table 5.1).

There has been a marginal change of -0.60% in the availability of crude oil in the country over the previous year. The availability of Crude Oil decreased from 260.70 MT in 2018-19 to 259.12 MT during 2019-20(P). This is attributed to marginal decrease in production of domestic crude oil (Table 5.3).

Electricity available for supply increased from 8,11,635 Gwh in 2010-11 to 13,11,176 Gwh in 2019-20(P), thus recording a CAGR of 5.47% during this period. The availability of electricity increased at 0.27% in 2019-20(P) over its value in previous year.

Consumption of Energy Resources

Highlights The total consumption of energy resources in 2019-20(P) has increased as compared to 2018-19 for Natural Gas (5.51%) and Electricity from Hydro, Nuclear and other renewable sources from utilities (6.74%) (Table 6.1).

India is one of the largest producer and consumer of coal in the world. Though there is a small decline of 2.66% in 2019-20 over 2018-19, there has been an upward trend in the consumption of coal in the country during the period 2010-11 to 2018-19. CAGR is 5.28% from 2010-11 to 2019-20(P).

The total consumption of energy has decreased from 32639 PJ in 2018-19 to 32514 PJ in 2019-20(P), a decrease of 125 PJ. This may be attributed to decrease in consumption noticed in three resources of energy – coal, lignite and crude oil. However, the consumption of Natural Gas and Electricity (from Hydro, Nuclear and other renewable sources from utilities) increased by 129 PJ and 293 PJ respectively over the previous year.

Electricity Sector remains the biggest consumer of Raw Coal and Lignite in India with this sector consuming as much as 64.86% of the total consumption of coal and 85.96% of total consumption of lignite in India in 2019-20(P). High speed diesel oil accounted for 34.80 % of total consumption of all types of petroleum products including losses in 2019-20(P). This was followed by Petrol (12.60%), LPG (11.1%), Pet Coke (9.10%)

The consumption of major petroleum products has seen an upward trend from 2010-11 to 2019-20(P) with LPG consumption increasing at a CAGR of 6.99% followed by Petrol (8.66%).

The maximum use of Natural Gas is in fertilizers industry (25.12%) followed by power generation (17.19%). Industry wise off-take of natural gas shows that while 55.08% of natural gas has been used for Energy purposes, 32.91% is used for Non-energy purposes.

The estimated electricity consumption increased from 6,94,392 GWh during 2010-11 to 12,91,494 GWh during 2019-20(P), showing a CAGR of 6.74%. Of the total consumption of electricity in 2019-20(P), industry sector accounted for the largest share (42.69%), followed by domestic (24.01%), agriculture (17.67%) and commercial sectors (8.04%).

Sustainability and Energy

Highlights One of the Targets identified by the Sustainable Development Goals focuses on making affordable, reliable and modern energy accessible to all people universally. To ensure the same, India has been focusing on availability of electricity to all citizens of the country.State-wise number of villages electrified as on 31.03.2020 (P) has reached 100% coverage (relative to 2011 census figures for total number of villages in the country). (Table 8.1).

Similarly, Per-capita Energy Consumption increased from 19,669 Mega joules in 2011-12 to 23,889 Mega joules in 2019-20(P).

Further, India’s Total Emissions from the Energy Sector have increased from 1651928 GgCO2 Equivalent in 2011 to 2129428 GgCO2 Equivalent in 2016 as per the latest estimates by MoEFCC, February 2021. The major sector contributing to total emissions remains Energy Industries with its share increasing marginally from 55.95% in 2011 to 56.66 in 2016.

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