Solar power technologies have been around for years but didn't achieve a high enough penetration rate in the mass markets for economies of scale, to be affordable.
Would that change in the next few years?
This semi-annual publication features our view of recent significant events and emerging trends in the energy industry. Themed “Managing with Uncertainty Fatigue,” this issue highlights the continuous challenges faced by the energy companies. Despite political and regulatory uncertainty in this election year, companies are running out of time in crafting adaptive strategies and are making substantial investment (and disinvestment) decisions despite this uncertainty.
Solar power technologies have been around for years but didn't achieve a high enough penetration rate in the mass markets for economies of scale, to be affordable.
Would that change in the next few years?
This semi-annual publication features our view of recent significant events and emerging trends in the energy industry. Themed “Managing with Uncertainty Fatigue,” this issue highlights the continuous challenges faced by the energy companies. Despite political and regulatory uncertainty in this election year, companies are running out of time in crafting adaptive strategies and are making substantial investment (and disinvestment) decisions despite this uncertainty.
Fueling the Future: Sustainable and Renewable Energy Opportunities and Solutions
Learning objective: Address the impact of renewable energy and their impacts
Energy Efficiency and the use of alternative energy solutions is a hot topic in our nation. Policy makers, educators, and STEM professionals are working in many areas to evaluate energy alternatives and develop innovative ways to be more efficient about how we fuel the future. What are new trends in this industry? What is our collective responsibility? How does policy and politics impact renewable energy? This seminar will answer your questions. Come join an expert panel as they share the vision of the future of sustainable and renewable energy.
At the end of this seminar, participants will be able to:
a. Examine the impact of sustainable and renewable energy
b. Explore recent developments and sources of energy available
c. Explore the impact of policy and law on renewable energy
d. Examine global perspectives on Energy efficiency
This Independent Review into the Future Security of the National Electricity Market Preliminary Report identifies the complex forces driving a rapid transition across the electricity sector. It seeks input on key questions to navigate the transition in line with consumer expectations for a secure and reliable service, at an affordable price, that delivers on our national emissions reduction commitments.
Dr Finkel and the Panel welcome submissions responding to the Preliminary Report. The submission period is open until 21 February 2017.
The GW Solar Institute working paper, Bridging the Solar Income Gap, details a wide range of policy tools to increase access to affordable solar energy, particularly for lower income families. These urgently needed tools could help unlock solar energy for all Americans and drive billions of dollars of solar wealth into lower income communities.
Softer Solar Landings: Options to Avoid the Investment Tax Credit CliffGW Solar Institute
Federal tax policies have been an important driver for solar’s recent remarkable growth, but without action during the 114th Congress, the 30-percent investment tax credit (ITC) for solar and other clean energy technologies will expire at the end of 2016. If Congress were to allow this policy shock to occur, the economics of solar investments would worsen, reducing solar deployments in 2017 and beyond. Solar jobs would be lost, and solar cost reductions would be delayed. While these negative impacts of current law are undeniable, their magnitude remains an open question. This policy brief estimates the impacts that current law would have on the solar industry. It also formulates several
policy alternatives and estimates their effectiveness at mitigating the negative impacts of the investment tax credit cliff embedded within current law.
Energy, Sustainability, Energy transition, Leadership
Independent (Siemens sponsored) National Survey of the Energy Professionals in the USA Utility sector on State of the Utility.
See page 10 for Professor Jillian Anable's contribution on low carbon transport and air quality.
www.ukerc.ac.uk/news/ukerc-calls-for-urgent-action-on-uk-energy-during-this-parliament-.html
Copyright UKERC.
Fueling the Future: Sustainable and Renewable Energy Opportunities and Solutions
Learning objective: Address the impact of renewable energy and their impacts
Energy Efficiency and the use of alternative energy solutions is a hot topic in our nation. Policy makers, educators, and STEM professionals are working in many areas to evaluate energy alternatives and develop innovative ways to be more efficient about how we fuel the future. What are new trends in this industry? What is our collective responsibility? How does policy and politics impact renewable energy? This seminar will answer your questions. Come join an expert panel as they share the vision of the future of sustainable and renewable energy.
At the end of this seminar, participants will be able to:
a. Examine the impact of sustainable and renewable energy
b. Explore recent developments and sources of energy available
c. Explore the impact of policy and law on renewable energy
d. Examine global perspectives on Energy efficiency
This Independent Review into the Future Security of the National Electricity Market Preliminary Report identifies the complex forces driving a rapid transition across the electricity sector. It seeks input on key questions to navigate the transition in line with consumer expectations for a secure and reliable service, at an affordable price, that delivers on our national emissions reduction commitments.
Dr Finkel and the Panel welcome submissions responding to the Preliminary Report. The submission period is open until 21 February 2017.
The GW Solar Institute working paper, Bridging the Solar Income Gap, details a wide range of policy tools to increase access to affordable solar energy, particularly for lower income families. These urgently needed tools could help unlock solar energy for all Americans and drive billions of dollars of solar wealth into lower income communities.
Softer Solar Landings: Options to Avoid the Investment Tax Credit CliffGW Solar Institute
Federal tax policies have been an important driver for solar’s recent remarkable growth, but without action during the 114th Congress, the 30-percent investment tax credit (ITC) for solar and other clean energy technologies will expire at the end of 2016. If Congress were to allow this policy shock to occur, the economics of solar investments would worsen, reducing solar deployments in 2017 and beyond. Solar jobs would be lost, and solar cost reductions would be delayed. While these negative impacts of current law are undeniable, their magnitude remains an open question. This policy brief estimates the impacts that current law would have on the solar industry. It also formulates several
policy alternatives and estimates their effectiveness at mitigating the negative impacts of the investment tax credit cliff embedded within current law.
Energy, Sustainability, Energy transition, Leadership
Independent (Siemens sponsored) National Survey of the Energy Professionals in the USA Utility sector on State of the Utility.
See page 10 for Professor Jillian Anable's contribution on low carbon transport and air quality.
www.ukerc.ac.uk/news/ukerc-calls-for-urgent-action-on-uk-energy-during-this-parliament-.html
Copyright UKERC.
Rhone Resch, President & CEO of the Solar Energy Industries Association (SEIA), presented at the GW Solar Institute Symposium on April 19, 2010. For more information visit: solar.gwu.edu/Symposium.html
The ScottMadden Energy Industry Update – August 2014ScottMadden, Inc.
We are pleased to announce our Summer 2014 issue of the ScottMadden Energy Industry Update. This semi-annual publication offers our view of major events and emerging trends in the energy industry.
The energy and utility industries continue to anticipate and react to potential fundamental shifts in the 100+ year-old model of investment, regulation, and earnings. Policy and regulatory changes are big factors driving the design of the new landscape. For many of these changes, significant investment in existing and new infrastructure is needed across all parts of the energy value chain. And by the way, load growth is no longer, so investment and cost recovery are uncertain. Themed “I Feel the Earth Move under My Feet,” this issue surveys a broad array of strategic issues.
For more information, please visit www.scottmadden.com.
Overview of Utility Challenges and Responses to Distributed Solar EnergyScottMadden, Inc.
Utility planning is changing with the rapid growth of distributed solar in certain markets. Over the long term, market fundamentals favor the continued growth of distributed solar energy. This will access business and operational challenges for utilities. This insight outlines strategies utilities can deploy to successfully incorporate distributed solar energy into their business model or generation portfolio.
Key Issues Discussed in Report
Australia Power Sector Overview
Feed in Tariff Structure Across All States
Photovoltaic Module Manufacturing
Operating & upcoming Solar Projects
Development of Solar Cities
Regulatory & Policy Initiatives
Competitive Landscape
Solar power Darkest Before Dawn - McKinsey on Sustainability & Resource Pro...asafeiran
Those who believe the potential of the solar industry has dimmed may be surprised. Companies that take the right steps now can position themselves for a bright future in the coming years.
Utilities today face a host of
significant challenges. Among them
are environmental regulations;
fuel price uncertainty; and fresh
capital needs for plant upgrades,
baseload generation investments,
and transmission investments.
One of the largest disruptors,
however, may be the erosion of
the utility business model itself.
1. Solar Energy Industry Forecast: Perspectives on U.S. Solar Market Trajectory May 27, 2008 United States Department of Energy Solar Energy Technologies Program www.eere.energy.gov/solar/solar_america/ [email_address]
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9. The political climate is pushing in the same direction as electricity market economics “ Energy security and climate change are two of the great challenges of our time.” - President Bush, Major Economies Meeting, September 2007 “… proposals that will allow America to lead the world in combating global climate change … to help develop and deploy the next generation of energy that will allow us to build the next generation’s economy.” - Senator Barack Obama, Portsmouth, NH, October 2007 “… the fundamental incentives of the market are still on the side of carbon based energy . This has to change...” - Senator John McCain, Arlington, VA, May 2008 “… move us from a carbon based economy to an efficient, green economy by unleashing a wave of private-sector innovation in clean energy …” - Senator Hillary Rodham Clinton, Cedar Rapids, IA November 2007
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11. The President’s Solar America Initiative (SAI) drives Federal work. Achieve grid parity for solar electricity from photovoltaics across all market sectors by 2015.
12. In the next years of the SAI, the DOE’s Solar Program will focus on achieving price-parity and scale for solar electricity generation from both PV and CSP PV program will target >30% market share for annual new capacity additions, CSP program will target baseload price/dispatchability and GW-scale. Concentrating Solar Power (CSP) Photovoltaics (PV) Distributed Generation, on-site or near point of use Centralized Generation, large users or utilities
17. Solar America Cities DOE’s Solar America Cities will develop specific local solar infrastructure and deployment plans to provide models for other similarly situated localities
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21. Global investment in solar companies has grown exponentially, and that growth is expected to continue Despite a pull back in share prices of public equities, solar companies have continued to raise significant capital throughout Q1 2008.
22. Venture capital and private equity investments have created new companies and capacity expansions In 2007, capacity expansions (private equity investments) dominated in the EU, while the U.S. venture community dramatically ramped up funding of start - ups
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24. Private investments by solar technology type show significant regional variances and specializations Regional patterns of investment are likely to change as newer technologies mature and are migrated to lower cost manufacturing centers
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27. Experience shows that as solar manufacturing increases, module costs are reduced significantly Source: Historical Data from Navigant (2007).
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38. For More Information: DOE Solar Program: http://www.eere.energy.gov/solar/solar_america/ PV Value Clearinghouse: www.nrel.gov/analysis/pvclearinghouse/ SNL PV Systems R&D: www.sandia.gov/pv NREL Solar Research: www.nrel.gov/solar To sign up for our Newsletter and Market Analysis or for any questions on this presentation, email [email_address] Thomas P. Kimbis Program Manager, Acting Solar Energy Technologies Program U.S. Department of Energy 1000 Independence Ave, SW (EE-2A) Washington, DC 20585
Editor's Notes
The most important partner may be what’s happening in the middle! Andy Karnser is excited about this partnership between the Department of Energy’s Office of EE and RE and MIT – the future of solar, the real agent of change, the next stroke of brilliance that tips the world of solar from a world of tomorrow to a world of today could be sitting right here in this room. Sounds corny? Sound unbelievable? So did large scale solar 10 years ago. So did First Solar being the #1 performing stock of 2007 on NYSE or Nasdaq out of thousands and thousands just a few years ago. Would have been a stretch. More than a stretch -- closer to a miracle. Think about that right now. We are in partnership together in one of the most exciting fields at just the right time. Like Henry Ford at the turn of the 20 th century or Bill Gates in the 80s and 90s… How big solar gets may not be entirely clear. But we know it will be much, much larger than it is today. And we know it’s moving fast. Dollars are pouring in. But it’s more than investors who are watching. Or at least more than investors who trade in dollars. Whole nations are banking on its success. Climate scientists and environmentalists are watching with a keen eye. Health experts are waiting for the prices of solar technologies to drop – eager for installations in the third world for refrigerants and water pumps. Better lives, a better world. At the Dept of Energy, we are trying to use tax dollars for the greatest benefits possible, to work with the types of companies and institutions you see above on a cost-shared basis to develop the entire value chain of solar infrastructure – from basic research to tax credits. We’re proud to be a partner with MIT – and I applaud all of you for being here today and for your interest and your hard work in the area of solar. Whether or not your project is a winner in this competition, the world of solar energy is big enough for all of your winning ideas – this room and a hundred rooms like it. You are in one of the fields with the greatest chance to make the largest changes across the world during our lifetimes. IT IS EXCITING.
You can mention DOE’s role changing over the next few years (From industry R&D to more MT focus) – if you like I can get you a brief chart on this.
Assumptions: For the price of electricity, the average electricity price for the 1000 largest utilities in the U.S. based on EIA data for 2006 (except CA, where existing tiered rates structures were used). A 6% price derate factor was assumed to remove fixed billing charges. TOU rates included (+20% price adjustment) for select states in 2007, and all states in 2015. Electricity price escalated at 1.5% per year in moderate case and at 2.5% per year in more aggressive case. The solar performance is based on NSRDB weather station closest to the center of the utility service territory, assuming a south facing array, at 25 deg tilt. An 82% derate factor is used to account for inverter and other PV system loses, but no performance degradation over life of the PV system is assumed. For the financial analysis, the installed system price is set at $8.5/Wp in the current case and $3.3/Wp in 2015. The system is assumed to be financed with a home equity loan or through mortgage (i.e., interest is tax deductible), with a 10% down payment, 6% interest rate, with the owner in the 28% tax bracket, and a 30 year loan/30 year evaluation period. Incentives included are the Federal ITC worth $500/kW due to $2000 cap and individual state incentives as of December 2007 in the current case and no Federal ITC or state incentives in 2015.
13% real increase in price of electricity. In this case, solar PV is very attractive in states in the Southwest, largely due to good solar resource and high electricity prices, especially in California. PV is also very attractive in the Northeast, due to high electricity prices.
22% real increase in price of electricity. Potential factors influencing future electricity prices: emerging climate regulations, other environmental issues, transmission constraints, the rising cost of key commodities used in the construction of traditional power plants, and rising fossil fuel prices. In this case, PV is at “breakeven” in a much larger area of the country, including much of the Central, Midwest, and Southeast U.S.