Solar Electricity
Until today, the European grid-connected photovoltaic market has been pulled by the successful development of the German market. Favourable to renewable energies, the German government has adopted pro-active policies in this sense. The revision of the EEG (Feed-in-tariff law) in 2003 has confirmed the effectiveness of this mechanism to develop grid-connected photovoltaic electricity and the leadership of Germany with 80% of the European market share.
The Feed-In Tariff - the adequate mechanism to develop grid-connected Photovoltaic Markets
In most industrial countries, conventional electricity is heavily subsidised, and the negative environmental impacts of its production are not reflected in the cost to end users. It offers customers an attractive price for selling their produced electricity to the utility grid and rewards them for choosing to be supplied by solar electricity.
Key to success :
The tariff is set at the point of connection to the grid.
- The level of the tariff is guaranteed for 20 years which offers customers a planning security and makes the investment in solar electricity systems attractive.
- The cost of the feed-in tariff is supported by all electricity users, it does not rely on State budgets. This ensures that the scheme is less likely to become a political football during times of budget reductions at the government level.
- The simplicity of the feed-in tariff concept and its low administrative costs means that it is a highly effective and efficient tool for boosting the role of solar electricity in the energy mix.
Perspectives for global solar electricity
It is estimated that in 2020 Solar electricity can provide electricity to over 1 billion people worldwide. It could also provide more than 2 million jobs in production, installation and maintenance.
It is estimated that the annual market can grow on average 35% from 2005 until 2010 if adequate support mechanisms are adopted by governments. Following this trend, solar electricity can be competitive with peak electricity prices by 2010.
Solar Electricity - Off-Grid Markets
Access to electricity is particularly crucial to ensure development.
Access to electricity is particularly crucial to human development. Today about 1.3 billion people (one third of humanity!) in developing countries do not have access to electricity, of these four out of five people are living in rural areas. Access to energy is key to reach sustainable development in rural areas.
Photovoltaic: An adequate answer to rural electrification
PV, as a decentralised source of energy may provide the best adapted solution for rural electrification and clean water supply.
Relevant PV applications for rural electrification are the following:
- Solar home systems
- Solar lanterns
- Solar vaccine refrigeration systems to store medicines.
- Water pumping systems
- Water treatment systems
- Remote communication systems fed with solar electricity to connect
Who can make it happen?
EPIA has initiated the ARE, the Alliance for Rural Electrification, an independent non-profit organisation which will try to attract and join together all stakeholders that currently work in rural development. The Alliance will stimulate sustainable development in non-electrified rural areas of developing countries by promoting accelerated access to electricity services from renewable energies.
Involving relevant stakeholders key to the successful development of rural electrification:
Local actors - by formulating their concrete needs in terms of electrification, participating actively in the implementation of programmes and providing feed-back on the unfolding of projects.
International donors - by committing to support sustainable rural electrification from renewable energy sources.
Financial Institutions.
Industry - by providing high quality products adapted to local needs.
Advantages of Solar Power
- Solar energy is free – solar electricity technologies generate power even on cloudy days
- Produces no noise, harmful emissions or polluting gases
- No moving parts
- Is equally well suited for installation in high density areas of the industrialised world, as well as in remote areas of developing countries
- Minimal maintenance required to keep the system running
- Modular systems can be quickly installed anywhere and easily expanded as requirements or financial resources increase
Download the Solar Electricity brochure
For more information contact:
EPIA
European Photovoltaic Industry Association
www.epia.org