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Quality and Standardization – Enabling Growing and Robust
Renewable Energy Technology Markets
INTERNATIONAL RENEWABLE ENERGY AGENCY - IRENA
WORLD FUTURE ENERGY SUMMIT 2014
20 – 22 January 2014
Relevance of Quality and Standardization for
Renewable Energy Technologies
• Build consumer confidence
• Build trust with financial services
• Enable promotion of RET

• Improve product design
• Improve manufacturing

Stakeholders

• Nurture emerging markets
• Enable technology promotion
• Reduce trade barriers
• Attract new businesses

Industry

Economy

IRENA (In Press) “Quality Infrastructure for Small Scale RET”
IRENA STUDY – International Standardisation in
the Field of Renewable Energy
Standardisation – Benefits for Countries

Provides a detailed technical basis for laws and regulations

Supports public and private tendering processes
Enables access to latest technology developments and best
practices
Supports technology markets based on sound quality and health
& safety (H&S) requirements
IRENA (2013) “International Standardisation in the Field of Renewable Energy”
Quality & Standardization – Stakeholders Involved

Policy Makers &
Regulators

Supporting
Compliance to
Regulations and
Legislation

Design of
incentive
mechanisms
linked to quality
requirements

Standards
Makers

Facilitating
Trade

Manufacturers
& Installers
Common
Performance
Specifications
Testing,
Sampling

Facilitating
Communication
and
Understanding

Confidence and
Trust in what is
being funded

Ability to clearly
specify what is
being funded

Materials
Quality
Assurance /
Quality Control

Ability to verify
and audit
investment

Verification &
Auditing

Users of the
Products and
Services

Clear processes,
procedures and
specifications

Confidence

Consistency

Investors and
Fiscal Support

Trust

Harmonised
approach

Consistency

Protocols
established

Understanding –
performance,
safety

IRENA (2013) “International Standardisation in the Field of Renewable Energy”
Quality & Standardization – Support Global Value Chains

•
•
•
Importance of
innovation systems •

Contribution of
quality
infrastructure

Integration in more complex production systems
New forms of integrating different productive sectors
Increase number of partnerships
Integration in global innovation systems

• Harmonization of processes, materials, measurement units and instruments
• Comparability allows writing of contracts
• Decrease of uncertainty and leverage trust between worldwide productive
agents
• Harmonizing tools and methods used in R&D

PTB (2011) Measuring the impact of quality infrastructure
Market Support - Policy Incentives Linked to Quality
Requirements

Quality
requirements can
be linked to
national incentive
schemes for RET
(e.g. FiT)

Result: National
RET markets
develop based on
high quality
systems

IRENA (2013) “International Standardisation in the Field of Renewable Energy”
Market Support – Quality Increases Public Acceptance

Poor Quality

High Risk

Decreased Trust
in a Technology
IRENA (2013) “International Standardisation in the Field of Renewable Energy”
Market Support – Harmonisation of Standards

Non-harmonised standards may
create barriers for trading and
transfer technologies
International efforts needed to
harmonise standards and
technical regulations

IRENA (2013) “International Standardisation in the Field of Renewable Energy”
Quality assurance schemes should be affordable for the
local market level

IRENA is developing
recommendations to establish
national quality infrastructure
for small wind turbines and
solar water heaters based on
local market developments

-Performance
-Reliability
-HS&E
-Bankable
projects

-Cost
-Local capacity
-End user
Awareness

Testing & Certification

IRENA (In Press) “Quality Infrastructure for Small Scale RET”
Quality Infrastructure – Supports Robust Markets
Technology Value Chain
Raw Material
Supply

Design

Component
Manufacturing

Equipment
production

System
integration

Installation

O&M

Decommission

Accreditation

SUPPORT

Certification

Metrology

Quality Infrastructure

Market
survelliance

Standards
Testing
IRENA (In Press) “Quality Infrastructure for Small Scale RET”
Building trust from policy-makers, investors,
customers

Deutsche Bank

11

SolarPraxis Engineering

Source: PTB (2008) “Promotion of economic development in Technical Cooperation: Quality Infrastructure.”
http://www.ptb.de/de/org/q/q5/docs/broschueren/broschuere_QI_2008e.pdf
Market Support – Implementation of Quality Schemes
Promote Performance Improvement

Implementation of quality
schemes promotes a faster
improvement in technology
performance

Solar water heating collectors
efficiency improved by 36%
between 1977 and 1981 after
testing was required in
Florida in 1976
IRENA (In Press) “Quality Infrastructure for Small Scale RET”
Steps to achieve comprehensive Quality Infrastructure

Increasing Quality
Assurance

6. Comprehensive
Market*
5. Mature
Market*
4. Established
Market

3. Emerging
Market
2. Nascent
Market
1. Zero
market

Accredited CBs and TLs to highest level
international standards: $$$$$

Accredited TL and CB to national/international
standards: $$$$$

Unaccredited independent 3rd party TL and CB, SWT Labeling,
SWH Collector Label with end user education: $$$$

Set up unaccredited testing, SWH collector durability with system
simulations, SWT duration and performance: $$$

Training in-country practitioner & early demonstration projects; import regulations: $$

Inventory in-country QI and expertise: $

* - Meets all 5 elements of QI
Quality Covers the Whole System

Quality for
hardware

Implementation of Quality
Schemes covers not only
equipment but whole systems
Including Design, Installation
and O&M services

System
Quality
Training for
practitioners

Quality for
services

IRENA (2013) “International Standardisation in the Field of Renewable Energy”
International Quality Mechanisms – Engagement from
Developing Countries in Crucial
Use of existing mechanisms
• IEC Affiliate Country Programme
• ISO committee on developing country matters - DEVCO
Development of new mechanisms
• Use of virtual meetings
• Standard users – TC forums
Experts
• Participation of national experts in international Technical Committees
• Funding mechanisms for experts participation

Participation in international standardization assures that
country context is considered during the development of
international standards
IRENA (2013) “International Standardisation in the Field of Renewable Energy”
Forthcoming activities
Grid codes

Standards supporting
integration of high shares of
RE into the grid

Off-grid PV

Quality assurance for PV
systems off-grid

Impact of QI for RE

Assessing economic impact
of QI at national level
For More Information on IRENA Publications and
Activities in Quality and Standardization for
Renewables visit our web site at
www.irena.org

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Quality Infrastructure Supports Growing Renewable Energy Markets

  • 1. Quality and Standardization – Enabling Growing and Robust Renewable Energy Technology Markets INTERNATIONAL RENEWABLE ENERGY AGENCY - IRENA WORLD FUTURE ENERGY SUMMIT 2014 20 – 22 January 2014
  • 2. Relevance of Quality and Standardization for Renewable Energy Technologies • Build consumer confidence • Build trust with financial services • Enable promotion of RET • Improve product design • Improve manufacturing Stakeholders • Nurture emerging markets • Enable technology promotion • Reduce trade barriers • Attract new businesses Industry Economy IRENA (In Press) “Quality Infrastructure for Small Scale RET”
  • 3. IRENA STUDY – International Standardisation in the Field of Renewable Energy Standardisation – Benefits for Countries Provides a detailed technical basis for laws and regulations Supports public and private tendering processes Enables access to latest technology developments and best practices Supports technology markets based on sound quality and health & safety (H&S) requirements IRENA (2013) “International Standardisation in the Field of Renewable Energy”
  • 4. Quality & Standardization – Stakeholders Involved Policy Makers & Regulators Supporting Compliance to Regulations and Legislation Design of incentive mechanisms linked to quality requirements Standards Makers Facilitating Trade Manufacturers & Installers Common Performance Specifications Testing, Sampling Facilitating Communication and Understanding Confidence and Trust in what is being funded Ability to clearly specify what is being funded Materials Quality Assurance / Quality Control Ability to verify and audit investment Verification & Auditing Users of the Products and Services Clear processes, procedures and specifications Confidence Consistency Investors and Fiscal Support Trust Harmonised approach Consistency Protocols established Understanding – performance, safety IRENA (2013) “International Standardisation in the Field of Renewable Energy”
  • 5. Quality & Standardization – Support Global Value Chains • • • Importance of innovation systems • Contribution of quality infrastructure Integration in more complex production systems New forms of integrating different productive sectors Increase number of partnerships Integration in global innovation systems • Harmonization of processes, materials, measurement units and instruments • Comparability allows writing of contracts • Decrease of uncertainty and leverage trust between worldwide productive agents • Harmonizing tools and methods used in R&D PTB (2011) Measuring the impact of quality infrastructure
  • 6. Market Support - Policy Incentives Linked to Quality Requirements Quality requirements can be linked to national incentive schemes for RET (e.g. FiT) Result: National RET markets develop based on high quality systems IRENA (2013) “International Standardisation in the Field of Renewable Energy”
  • 7. Market Support – Quality Increases Public Acceptance Poor Quality High Risk Decreased Trust in a Technology IRENA (2013) “International Standardisation in the Field of Renewable Energy”
  • 8. Market Support – Harmonisation of Standards Non-harmonised standards may create barriers for trading and transfer technologies International efforts needed to harmonise standards and technical regulations IRENA (2013) “International Standardisation in the Field of Renewable Energy”
  • 9. Quality assurance schemes should be affordable for the local market level IRENA is developing recommendations to establish national quality infrastructure for small wind turbines and solar water heaters based on local market developments -Performance -Reliability -HS&E -Bankable projects -Cost -Local capacity -End user Awareness Testing & Certification IRENA (In Press) “Quality Infrastructure for Small Scale RET”
  • 10. Quality Infrastructure – Supports Robust Markets Technology Value Chain Raw Material Supply Design Component Manufacturing Equipment production System integration Installation O&M Decommission Accreditation SUPPORT Certification Metrology Quality Infrastructure Market survelliance Standards Testing IRENA (In Press) “Quality Infrastructure for Small Scale RET”
  • 11. Building trust from policy-makers, investors, customers Deutsche Bank 11 SolarPraxis Engineering Source: PTB (2008) “Promotion of economic development in Technical Cooperation: Quality Infrastructure.” http://www.ptb.de/de/org/q/q5/docs/broschueren/broschuere_QI_2008e.pdf
  • 12. Market Support – Implementation of Quality Schemes Promote Performance Improvement Implementation of quality schemes promotes a faster improvement in technology performance Solar water heating collectors efficiency improved by 36% between 1977 and 1981 after testing was required in Florida in 1976 IRENA (In Press) “Quality Infrastructure for Small Scale RET”
  • 13. Steps to achieve comprehensive Quality Infrastructure Increasing Quality Assurance 6. Comprehensive Market* 5. Mature Market* 4. Established Market 3. Emerging Market 2. Nascent Market 1. Zero market Accredited CBs and TLs to highest level international standards: $$$$$ Accredited TL and CB to national/international standards: $$$$$ Unaccredited independent 3rd party TL and CB, SWT Labeling, SWH Collector Label with end user education: $$$$ Set up unaccredited testing, SWH collector durability with system simulations, SWT duration and performance: $$$ Training in-country practitioner & early demonstration projects; import regulations: $$ Inventory in-country QI and expertise: $ * - Meets all 5 elements of QI
  • 14. Quality Covers the Whole System Quality for hardware Implementation of Quality Schemes covers not only equipment but whole systems Including Design, Installation and O&M services System Quality Training for practitioners Quality for services IRENA (2013) “International Standardisation in the Field of Renewable Energy”
  • 15. International Quality Mechanisms – Engagement from Developing Countries in Crucial Use of existing mechanisms • IEC Affiliate Country Programme • ISO committee on developing country matters - DEVCO Development of new mechanisms • Use of virtual meetings • Standard users – TC forums Experts • Participation of national experts in international Technical Committees • Funding mechanisms for experts participation Participation in international standardization assures that country context is considered during the development of international standards IRENA (2013) “International Standardisation in the Field of Renewable Energy”
  • 16. Forthcoming activities Grid codes Standards supporting integration of high shares of RE into the grid Off-grid PV Quality assurance for PV systems off-grid Impact of QI for RE Assessing economic impact of QI at national level
  • 17. For More Information on IRENA Publications and Activities in Quality and Standardization for Renewables visit our web site at www.irena.org