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Mediterranean Solar Plan Global Presentation
Mediterranean Solar Plan Global Presentation
Mediterranean Solar Plan Global Presentation
Mediterranean Solar Plan Global Presentation
Mediterranean Solar Plan Global Presentation
Mediterranean Solar Plan Global Presentation
Mediterranean Solar Plan Global Presentation
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Mediterranean Solar Plan Global Presentation

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Presentation of the Mediterranean Solar Plan, by Philippe Lorec, General Director of Energy and Climate, in charge of the MSP.

Presentation of the Mediterranean Solar Plan, by Philippe Lorec, General Director of Energy and Climate, in charge of the MSP.

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  • 1. PRESENTATION OF THE MEDITERRANEAN SOLAR PLAN 1. The Mediterranean Solar Plan: a common answer to the energy and climate challenges of the Euro-Mediterranean region The Mediterranean region as a whole and the European Union (EU) will face major energy and climate challenges in the coming decades. Energy demand will rise significantly, while fossil fuel prices will most likely continue to follow a soaring trend. To address these challenges, the countries of the EU and the other member countries of the Barcelona Process will have to intensify their efforts to developing adequate policies in the field of energy efficiency and energy savings, renewable energies and reduction of greenhouse gas emissions, in particular in the context of the future international post-Kyoto agreement to be decided on at the end of 2009 in Copenhagen. At the Paris summit meeting on July 13th 2008, the Heads of state and government of the European and Mediterranean countries have launched the Union for the Mediterranean, a new form of co-operation between the two shores of the Mediterranean Sea. This new partnership aims at fostering development, fighting climate change and strengthening the bonds between all the countries of the Union. It will build on the experience of the Barcelona process and integrate its former policies. The Union for the Mediterranean pays special attention to concrete projects and results. France and Egypt will be in charge of the co-presidency of the Union for the Mediterranean during the next two years. One of the major projects proposed is the Mediterranean Solar Plan (MSP), which not only targets solar energies, but aims at developing renewable energies (RE) and energy efficiency (EE) measures and reinforcing power grid interconnections and technology transfer in the Mediterranean region, with the participation of all member states of the Union for the Mediterranean, firms, investors, financial institutions and other organisations interested in the project. The MSP will address the common energy and climate challenges that this region faces, namely fighting climate change while satisfying growing energy needs and limiting energy dependency. The governments of France and Egypt have jointly decided to prepare an Immediate Action Plan to start quickly with Contacts : the implementation of the MSP. Philippe.lorec@industrie.gouv.fr Christophe.schramm@industrie.gouv.fr 1
  • 2. 2. The objectives of the Mediterranean Solar Plan The Mediterranean Solar Plan posts two complementary main objectives: developing 20 GW of new renewable energy production capacities and achieving 20% energy savings around the Mediterranean by 2020, thus addressing both supply and demand.. First, the MSP aims at increasing the use of solar energy and other renewable energy sources for power generation. The key elements of the proposal are the setting up of a common framework in terms of legal, regulatory and investment environment for the development, by 2020, of 20 GW of new generation capacity in solar and other renewable energies in the countries around the Mediterranean Sea. To this end, the Mediterranean Solar Plan will build on the enormous potential for solar electricity generation available in the Mediterranean countries, notably through the development of Photovoltaïc (PV) and Concentrating Solar Power (CSP) plants, and of other available and mature renewable technologies. Second, The MSP aims also at saving 20 % of energy by 2020 compared to a business as usual scenario, following the recommendations of the Mediterranean Association of National Energy Agencies (MEDENER). When addressing this target, a distinction has to be made between the commitment already made by EU member states in the frame of the Energy and Climate Package, and a potential future commitment of non EU Mediterranean countries in saving about 60 Mtoe, equivalent to 20% of energy savings (based on their consumption of primary energy in 2005). The Mediterranean Solar Plan aims at harmonising the ambitions in terms of energy savings and energy efficiency between all member states of the Union for the Mediterranean. To reach those goals, several vital conditions will have to be met on both sides of the Mediterranean: Governments of the Mediterranean region need the political will and have to set up the legal, institutional and organisational framework necessary for the massive deployment of renewable energy technologies in their countries. This includes the adaptation of national energy sectors. In particular, Mediterranean countries will have to create stable financial and legal frameworks for long-term investments that will provide benefits to Mediterranean and European electricity consumers. All projects of the Mediterranean Solar Plan will respond to both local energy demand and European energy needs. For this renewable electricity consumption sharing to become reality, major efforts will be necessary to create more grid interconnections within the Mediterranean region and between Mediterranean and EU countries and to establish a viable “green electricity” import and export framework. 3. Preparation and implementation process The MSP will be developed and implemented in several phases. Following a preparation phase in 2008 to determine the objectives of the Plan, the first phase (2009-2010) will allow to launch “first of its kind” pilot projects in different countries and to elaborate mainstream procedures for developing, structuring and financing projects under the Mediterranean Solar Plan. Only during the second phase 2
  • 3. (2011-2020) will the Plan be developed at a larger scale, building on the experience gained during the pilot phase. • Preparation stage (2008) The preparation phase has been marked by a conference on 22 November 2008 in Paris that brought together high level policy makers, industry companies, investors, financing institutions and specialised agencies from all interested countries. Building on the results of a workshop workshop in Berlin on technology options and cost estimates for the development of solar and wind capacities in the Mediterranean region (28 and 29 October 2008) as well as on the Paris roundtable on grid infrastructure issues in relation with the MSP (21 Franco-Egyptian Co- Franco-German Expert meeting presidency of UPM : expert workshop in OME / MSP (PFUE) in Paris : Conference in Paris (Fr- Berlin : Meeting : November 2008), the Network Egy-Ger-Spa) / technology/cost Projects infrastructure Financing and implementation of MSP conference was a major opportunity to discuss International cooperation implementation issues, to identify investment and financing solutions, to raise awareness about the opportunities of the MSP, to connect relevant public and The IAP drafts private actors and to present (with all stakeholders : countries, companies and international organizations) a list of potential pilot projects in the field of 06/08 12/08 renewable energies. The Member States of the Union for the Mediterranean will make the effective selection of those pilot projects on their territory to be presented for the “MSP Immediate Action Plan 2009-2010” under the French-Egyptian Presidency of the Union for the Mediterranean. The list of pilot projects retained will be presented and discussed at the Union for the Mediterranean ministerial conference on sustainable development to be organised on 26 and 27 March 2009 in Monaco. • Pilot phase (2009-2010) For this phase, four Immediate Action Plans (IAP) will be set up in the following fields: - renewable energy production (IAP-REP) - electricity transport (IAP-ET) - energy efficiency (IAP-EE) and - technology transfer (IAP-TT). 3
  • 4. The Immediate Action Plan for renewable energy production will allow to identify a limited number of pilot projects to be launched under the French-Egyptian Presidency of the Union for the Mediterranean. Through the development of those first projects, the participants to the MSP will be able to define and test legal frameworks (licences, authorisation, tariffs etc.) and financial mechanisms, and to establish a viable import-export framework for green electricity to the European Union. • Deployment phase (2011-2020) Starting in 2009, a Master Plan study will be developed. The study should outline concrete steps for each of the four fields of the MSP, and in particular the development of solar thermal power plants, solar photovoltaic and other renewable energy installations in the Mediterranean region and of export of electricity to the EU along with local energy use, e.g. for water desalinisation. The study should be a coordinated effort involving, in particular, relevant administrations from all member countries of the Union for the Mediterranean, the concerned services of the European Commission, industry, utilities, transport system operators, potential investors and financing institutions. 4. Immediate Action Plans for 2009-2010 Four Immediate Action Plans will be set up, in order to launch pilot projects in each field during the period 2009-2010. a) Immediate Action Plan for Renewable Energy Production (IAP-REP) During the period 2009-2010, a selection of a limited number of pilot projects in different countries shall be developed in the field of small PV (up to 20 MW) and wind power plants (up to 100 MW). These technologies are already mature, and many projects have been achieved and are running with good results, while prices are decreasing quickly. It will also be necessary to invest massively in CSP technologies, to develop new production capacities, to conduct studies to prepare the implementation of large CSP power plants (up to 200 MW) and in parallel to build small commercial CSP plants (up to 50MW). This process will allow CSP technologies to become mature technologies. 4
  • 5. b) Immediate Action Plan for Electricity Transport (IAP-ET) The MSP will contribute to the development of electrical interconnections, which are absolutely vital for the power plants to be able to run and to export a part of their production to other countries. Special attention will be given to the improvement of North-South interconnections in order to make possible the exportation of green electricity from Southern Mediterranean countries to EU countries. This work will be carried in close cooperation with the European Union’s priority project on completing the Mediterranean energy ring, as defined the European Commission’s “Second strategic energy review”. c) Immediate Action Plan on Energy Efficiency (IAP-EE) The potential of energy saving in southern and eastern Mediterranean countries could be mobilized through to the development of ambitious programs, especially: Realisation of buildings with high energy performance combined with dissemination of energy - efficient technologies and solar thermal equipments. The buildings sector represents an important stake expected to be above 40% of the global potential of energy savings in these countries. Demonstration projects for passive air-cooling system. - Suppression of the incandescent lamps and dissemination of efficient light bulbs as proposed - by UNEP (United Nations Environment Programme) and UNDP (United Nations Development Programme). Many countries have already adopted targets for efficient light bulbs distribution and some, like Tunisia, are considering the ban of incandescent lamps. This could be done under a good synergy with the European directive on the eco-design of energy using products. 5
  • 6. The association of Mediterranean energy agencies has come up with a plan to reduce energy consumption in the region by 20% compared to 2005 primary energy consumption levels, or about 60 millions tons of oil equivalent, in line with the 20% energy efficiency target of the European Union. Based on this proposal, projects will be identified to be included in the MSP. d) Immediate Action Plan on Technology Transfer (IAP-TT) Research agencies from various European and Mediterranean countries have come up with a proposal to create: a Trans-Mediterranean education network on solar energy, giving more visibility for industrial - companies by creating or reinforcing three or four quot;MSP Education and Training Centresquot; in three or four countries of the region, notably delivering harmonized and mutually recognized education degrees. an MSP research and development platform based in limited number of countries for new - technology developments in the field of solar energies energy storage, linked to the education network. This proposal will be developed in the coming months, in particular to leverage its work with existing initiatives and centres. 5. Master Plan 2011-2020 Taking into account all existing and current studies, the study should develop a framework for developing projects in the four fields of renewable energy production, electricity transport, energy efficiency and technology transfer, to create the conditions necessary for a success implementation of the MSP. Concerning renewable energy production, it will: • assess available renewable energy resources, site selection issues and local industrial capabilities and renewable energy market development in the countries of the Mediterranean region; • evaluate current initiatives in the field of solar and other renewable energies for power generation in the Mediterranean countries and propose potential synergy measures to make the best possible use of existing efforts; • make recommendations, inter alia, in terms of legislative and regulatory frameworks, institutional and administrative conditions, as well as other relevant infrastructure and electricity sector issues for a phased development of solar and other renewable technologies in the Southern Mediterranean countries; • study suitable options and mechanisms for financing (including appropriate support and import-export schemes, concessional financing and carbon finance) along with the most cost- effective solutions to ensure active private sector involvement, taking into account results from existing or coming publications, such as the Commission’s “Communication on financing low carbon technologies”; 6
  • 7. • study relevant conditions for the improvement of energy efficiency in the most energy intensive sectors such as buildings, household appliances, industry and transportation, including financial and economic aspects; • address the specific issue of transport infrastructures to EU countries, taking stock of existing bilateral agreements and the ongoing involvement of transmission system operators, and proposing, in particular, specific electricity grid infrastructure projects that could be of common priority in the Euro-Mediterranean context for establishing an effective green electricity import- export framework and could be addressed in the framework of the Trans-European Networks (TEN) initiative; • Identify needs for technical assistance and capacity building in the fields of renewable energy production, energy efficiency and technology co-operation and transfer. The findings of this study will flow into a road map detailing the phases, activities and precise timeline for the implementation of the MSP. 6. Organisation and governance A task force will be created to coordinate the activities and implement the various projects of the MSP in each country, and to serve as operational partner for all public and private actors (administrations, companies, investors and financial institutions) interested in the MSP. This task force will be composed of experts from participating countries and led during two years by Franco-Egyptian co- chairs. Sovereign and private The task force will funds notably work on putting European and national funds in place an investment Multilateral funds pool, with public and insurance Carbon funds Risk private funds, in order to Debt start implementing the Private Donation (M€ ou c€) TRI = 15% investors MSP during the next => 25c€/kWh IAP two years. Porfolio Local European buyers buyers 18c€/kWh 30c€/kWh 7

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