-It had the first Assembly as an inaugural meeting in April, this is when IRENA became fully active.-We are neutral/unbiased among all RET.
- Refer to the information note on accession process
Concentrating Solar Power: Michael Taylor Presentation to CSP EMEA 17 april 2013 Sevilla
CSP and Renewable PowerGeneration Costs: A GlobalOverview17 April 2013Michael Taylormtaylor@irena.orgIRENA Innovation and Technology Centre
2Director-General: Adnan AminEstablished April 2011The intergovernmental RE agencyMission: Accelerate deployment of renewable energyScope: Hub, voice and source of objective information forrenewable energyMandate: Sustainable deployment of the six RE resources(Biomass, Geothermal, Hydro, Ocean, Solar, Wind)Location: Headquarters in Abu Dhabi, United Arab EmiratesInnovation and Technology Centre IITC, BonnAbout IRENA
3IRENA MembershipStatus: September, 2012IRENA’s 109 Members and 159 Signatories
Rationale and goals• Renewable energy can meet policy goals for secure,reliable and affordable energy and access.• Lack of objective and up-to-date data• Yet, economics are the key decision factor• Cost declines, rapid for some renewables• But, decision making is often based on: outdated numbers opinion, not fact based• IRENA to strive to become THE source for cost data• Goals: Assist government decision-making, allow more ambitious policies Fill a significant information gap 5
Framework6Where to set the boundaries?Are costs even available? Prices, or price indicators?Levelised cost of electricity (LCOE)
Key findings8• Renewables now THE economic solution off-grid and formini-grids, increasingly competitive for grid supply• A shift in policy focus will need to come• Dramatic cost reductions for Solar PV. Onshore windcompetitive at best sites, CSP has great potential.Hydropower, geothermal and biomass more mature• Equipment cost declines and technology improvementsLCOEs are falling• A convergence in LCOEs• Data collection poses challenges
CSP: a set of technologies11• Deployment is in its infancy (~3 GW)• Cost reduction potential is good• Solar towers have greater cost reduction potential withhigher operating temperatures and lower cost thermalenergy storage• Cheap thermal energy storage allows dispatchablepower -> more valuable generation (particularly in highRE scenarios)
The value of dispatchability16• Low-cost thermal energy storage (TES), allows CSP to reduce overall system costs forscenarios with high levels of penetration of renewables.• This example, CSP with TES has 60% more value than PV, before any capacity creditsSource: Denholm and Hummon, 2012.
Rationale and goals20• Lack of cost data in public domain is a barrier, but one notwidely appreciated• The alliance will raise the profile and provide a forum forfeedback/debate• Alliance members will contribute (confidentially) project datato IRENA’s Renewable Cost Database• Assist IRENA with efforts to disseminate the data andanalysis• Work has begun on the details of the alliance, launch isscheduled for Q3 2013. Will build on IRENA’s existingnetworks
Implications of cost declines22• Rapid, unexpected, cost reductions pose challenges• Efficient support policies still needed• An integrated strategy is required• Policy focus will need to shift, depending on country, in thenear future. Few countries “get” this!• 2013 will see the release of IRENA’s analysis of the costs ofrenewables for transport and stationary applicationsFuture work
To Conclude23• A virtuous circle of faster deployment & cost reductions, particularlyfor PV, is driving a convergence in RE costs at low levels• Renewables are THE economic solution for off-grid and mini-gridelectricity projects (PV and small-scale wind, biomass and hydro)• Renewables are increasingly competitive for grid supply, butefficient support policies still required• Renewables will increasingly have to work together as theirpenetration increases:A shift in policy and analysis required• The quest for better cost data and understanding of differencescontinues. Regular updates for PV, CSP and wind will be needed• IRENA’s Renewable Costing Alliance will help
Renewables are increasinglycompetitive, but more needs to be doneto fulfill their potential…24IRENA is part of the solution