Commentary

Offshore Wind Market size will surpass 60 GW by 2024, as reported in the latest study by Global Market Insights, Inc. Increasing measures to reduce the greenhouse gas emission along with growing electricity demand will significantly drive the global offshore wind market size. In 2016, the member countries of the European Union announced their plan to achieve 21% renewable energy targets by 2020 through concurrently reducing the GHG emission level to 26% from 1990 level. Rising investment towards the development of clean energy sources from financial institutions including International Finance Corporation (IFC), Asian Development Bank (ADB) and the World Bank will upsurge the market share. The Government of UK has established the Offshore Wind Investment Organization (OWIO) to promote investments towards sustainable energy resource integration. The country has further acknowledged the green investment bank to raise and circulate funds across clean energy projects.UK offshore wind market will witness strong growth subject to favorable government measures to support the development of sustainable technologies. Regulators have introduced Contracts for Difference to ensure long term stable revenues from electrical infrastructure projects across the country. The Reform further lays provisions to ascertain viable returns to investors along with encouraging investments through leveraging schemes.High-end research initiatives to cater to the competitive energy industry through efficient and cost-effective technology will drive the market size. In 2017, German Federal Network Agency launched an offshore wind tender for 1.5 GW to lower the generation tariff. The government of Netherlands is also targeting to reduce the overall cost by 40% over the next decade. In 2017, Siemens and Statoil in collaboration have established a 30 MW floating wind farm across Norway under the “Hywind Scotland” project. Wires and cables in 2016 accounted for over 2% of the offshore wind market revenue share. Expanding microgrid networks favored by advancing distributed generation technology will embellish the business landscape. In 2016, Belgium’s Tideway awarded USD 14.1 million contract to Prysmian for supplying 33 kV inter array submarine cables for a 309 MW power project.China market is set to expand to over 12 GW by 2024. Clean energy capacity addition target accompanied by exponentially rising energy demand will uplift the industry size. Increasing government aided funds coupled with asset and financial leveraging facilities towards development of sustainable energy projects will further stimulate the business outlook. In 2017, State Power Investment Corporation announced its plan to develop 800 MW wind farm across coast of Yancheng and Jiangsu. Favorable government polices coupled with increasing investments towards the expansion and enhancement of sustainable energy will foster the U.S. offshore wind market. The National Ocean Industries Association (NOIA) in 2017, have established the country’s first offshore wind farm. Key players across the offshore wind market include Doosan Heavy Industries & Construction, Adwen, MHI vestas, Senvion, Sinovel Wind, and Siemens.Source: https://www.gminsights.com/industry-analysis/offshore-wind-market

Post-Fukushima, nuclear energy remains a strategic option to address energy security and decarbonisation for developing economies, especially those in the ASEAN region. However, a Fukushima-scale accident occurring in ASEAN could lead to severe trans-boundary impacts to several ASEAN members due to close geographical proximity. ASEAN members are generally lacking in experience with nuclear energy albeit varied developments in nuclear safety, policy, and human infrastructure. The trans-boundary impacts due to a severe nuclear accident could cause catastrophic consequences in the region. With the lasting memories of Fukushima, the construction of large-sized reactors has become a highly sensitive and much disputed topic in ASEAN. The emergence of small modular reactors has somewhat revived the expectation of nuclear energy in the region.

Continuing my series on recipes for procedures to support Asian countries in developing Renewable Energies, I am going to address the feasibility of sites for PV projects. One may think that it is obvious that some sites are not feasible: mountains, wetlands, rocky outcrops, coastal lines, water catchment areas and others. However the question then becomes are such types of sites really not feasible?

I am starting a series on recipes for procedures to support Asian countries in developing Renewable Energies. Along the many years of consultancy in Asia and elsewhere in the planet developing Renewable Energy projects I have come across the symptomatic question: “no one helps us to develop renewable energy projects. What can we do?” This question has been less frequent, but even after 200GW of solar projects and 400GW of wind projects across the world, it is still present in some countries, states and regions and I heard it a few days ago again. The recipe for PV projects has three basic ingredients:

Michael Graetzel of Switzerland, is announced as the winner of the 2017 Global Energy Prize for his “transcendent merits in the development of low cost and efficient solar cells”. The Global Energy Prize is the world’s leading prize for advanced energy research awarded annually and he will be honored as this year’s laureate with a nice gold medal (and the US$693,000 is a nice touch too). The announcement had all the trappings of typical of a big media release as well.

Earlier this year, the Singapore government announced that it will impose a tax on greenhouse gas emissions (GHG) from 2019. The tax amount, which is yet to be finalized, will lie in the range of S$10 to S$20 per tonne of carbon dioxide equivalent (CO2e). The imposition of a price on carbon emissions is key to the overall strategy of achieving Singapore’s emission reduction target under the Paris Agreement on climate change.

Hydropower is traditionally a male-dominated field. This is not to say that female engineers, hydrologists, plant managers, or even CEOs do not exist. They do. But globally, women are grossly underrepresented in the hydropower field. Further, even when present, their talent is more often underutilized. This must change; simply because there is a business case to integrate more women into the hydropower-industry workforce.

Net metering started by being a very sexy idea in regards to the development of rooftops. Maybe very similar to the infamous feed-in tariffs (FiT). And as with FiT, it ignored one of the most important ingredients in any business: scale and competition.

Welcome to the year of the fire rooster, a year unlike the previous year of the monkey which followed the path of curiosity, the rooster is disciplined and takes charge. The dominating fire element in this year of the rooster expects to bring natural prosperity to fire industries and water industries, as water subdues fire. The energy sector including renewable energy, stock market, and finance are fire elements whilst water element industries are logistics, communication, and shipping.

Monkey proved to be a subdued year for the Southeast Asia energy sector – so will the Rooster wake up the region from its slumber?

In order to fulfil its commitments under the Paris climate change agreement, Singapore’s climate action plan includes a number of strategies, including reduction of emissions from its power generation sector. Already, Singapore generates more than 95% electricity using combined cycle gas generators; thus, it needs to increase the share of Solar PV to achieve further reductions.

Like a certain iconic dessert advertisement, “Nobody doesn’t like renewables”. Yet, renewables have been difficult to invest in for a variety of reasons. From the perspective of publicly traded portfolio investors, renewables investments in emerging markets has been especially tricky given the particular nature of renewables in terms of being narrowly associated with characteristics tied to size, location, climate, etc.

For those of us out there who are part of the Renewable Energy story of this century, we have seen PV dropping from more than 4 US$/W to the current 0.9 US$/W or even less. This in a span of a bit more than ten years. Wind onshore on the other hand started on a remarkable 2 US$/W and moved quite fast to 1.5 US$/W being currently on the 1.2 US$/W or a bit below.

Optimising project siting and configuration are the most effective environmental and social risk avoidance measures in hydropower development. Siting is often decided very early on in project development, primarily on a project-by project basis.

Almost all in this sector have already read many texts and technical reports on the hidden costs of intermittent sources or Variable Renewable Power (VRP) as solar PV and wind. By the way, I am intentionally not including CSP, as it has storage capacity and thus can even provide baseload power.

Just under a year on from COP 21, three of the main players – the US, China, and India – have now ratified the Paris treaty on climate change initiatives. What does this mean for South East Asia and its energy policies? To date the region has yet to show any major shift from favouring coal as the fuel of choice.