by Catie Owen | Jul 29, 2024 | Commercial & Industrial Solar
Abu Dhabi Future Energy Company PJSC – Masdar, a UAE clean energy firm, has partnered with Endesa to co-own 2.5GW of renewable energy assets in Spain.
This agreement, pending regulatory approvals and other conditions, will see Masdar investing €817m for a 49.99% stake, giving the portfolio an enterprise value of €1.7bn – one of the largest renewable energy transactions in Spain.
The assets Masdar will acquire include 48 operational solar plants with a combined capacity of 2GW. Additionally, Masdar and Endesa plan to incorporate 0.5GW of battery energy storage systems (BESS) into these projects.
This collaboration enhances Masdar’s status as a reliable global energy partner for various stakeholders, including governments, investors, developers, and communities.
This deal underscores Masdar’s dedication to advancing the energy transition in Spain and Europe, contributing significantly to Spain’s National Energy and Climate Plan (NECP) and the EU’s net-zero emissions target by 2050.
This partnership underscores our commitment to unlocking clean energy capacity in Spain, Europe, and around the world, HE Dr Sultan Al Jaber, UAE Minister of Industry and Advanced Technology, Chairman of Masdar and COP28 President, said in a statement.
“Supporting the global mandate enshrined in the COP28’s UAE Consensus to triple renewable energy capacity by 2030 enabling a just, orderly and equitable energy transition.
“Masdar is accelerating its ambitious growth plans as we target 100GW of renewable energy capacity by the end of the decade.
Alongside the acquisition Share Purchase Agreement (SPA), Masdar and Endesa have also signed a Memorandum of Understanding (MoU) to explore further renewable energy project collaborations in Spain.
This partnership aligns with Masdar’s expansive growth strategy in Europe. Recently, Masdar announced a definitive agreement with Greece’s GEK TERNA SA and other TERNA ENERGY SA shareholders to acquire 67% of TERNA ENERGY’s shares, pending regulatory approvals.
TERNA ENERGY aims to reach a renewable energy operational capacity of 6GW by 2030.
Earlier this year, Masdar and Spain’s Iberdrola achieved financial closure on the 476MW Baltic Eagle offshore wind project in the Baltic Sea off Germany’s coast.
In Spain, Masdar is already developing the Almenara 1.2GW solar photovoltaic (PV) project in the Castilla la Mancha region.
Don’t miss Solar & Storage Live Barcelona in November 2024 by registering here.
[Image credit: Masdar]
by Catie Owen | Jul 26, 2024 | Commercial & Industrial Solar
Ameresco Sunel Energy SA has announced its involvement in constructing Lightsource bp’s 560 MWp Enipeas solar project in Greece. The project is set to be one of the largest solar installations in Europe.
The joint venture between Ameresco, Inc. and Sunel Group, a PV EPC contractor, has secured a contract to build the Enipeas project for Lightsource bp, marking a milestone in Greece’s solar energy development.
Lightsource bp has developed over 9.5GW of solar projects across 19 markets since 2010.
Located in the Larissa and Fthiotida regions, the Enipeas project is expected to be completed within the next two years. It has two clusters: Skopia (400 MWp) and Kalithea (160 MWp), with nearly 970,000 PV modules.
Once operational, the project will generate 0.90TWh of electricity per annum, powering 225,000 households and reducing CO2 emissions by 379kt per year.
Natalia Paraskevopoulou, Lightsource bp Head of Country for Greece, says, “The 560MWp Enipeas project contributes substantially to creating a more sustainable future for Greece as it will provide affordable, secure, and cleaner energy and will support the country’s decarbonisation goals and energy independence.”
“The presence of workers and contractors will drive demand for housing, groceries, and other local services, generating additional income for local businesses and entrepreneurs.”
Ameresco Sunel Energy SA has engaged several local contractors and service providers and rented accommodations in Skopia Village for project personnel.
George Sakellaris, CEO at Ameresco, adds: “Our efforts align with Lightsource bp’s commitment of delivering cleaner, more secure energy while using local talent as much as possible for Greece.”
Konstantinos Zygouras, CEO of Sunel Group, concludes: “We are thrilled to be part of the Enipeas Solar PV Project. Our team is dedicated to delivering high-quality EPC services that will make a lasting impact on the local community and environment.”
by Catie Owen | Jul 25, 2024 | Commercial & Industrial Solar
Comal SpA, an Italian engineering company, has announced plans to build a 500MW solar module assembly facility in Italy’s L’Aquila province.
An industrial building has been selected for the €16m project, with production due to start in 2025. According to Comal SpA, the facility’s products will be “innovative and high efficiency”.
The company has explained that Abruzzo region’s Next Appennino Misura B1.2 – B3.3 incentive program will fund the plan in conjunction with Mediocredito Centrale, an Italian bank.
Additionally, a solar “Tracker Sun Hunter” factory in Montalto di Castro, Viterbo, is in Comal SpA’s pipeline. It will cover 30,000sqm in Enel’s Montalto di Castro power plant which is no longer in use for generating electricity.
by Catie Owen | Jul 24, 2024 | Commercial & Industrial Solar, Everything Installer
JA Solar, a China-based global solar developer, has announced a strategic partnership with Solarpro, an international EPC contractor and technology solutions provider.
Through the agreement, JA Solar will provide a 240MW solar power plant in Bulgaria’s Yambol district with solar modules. These modules will be from JA Solar’s TOPCon DeepBlue 4.0 Pro series.
Solarpro will be managing the lifecycle of the project, set to be one of the largest solar plants in the region, including monitoring post-implementation.
Installation of JA Solar’s modules is set to begin in Q3 2024 and is forecast to become operational by Q2 2025’s end.
The project itself will be financed by the European Bank for Reconstruction and Development (EBRD) and will be part of Bulgaria’s mission to increase its energy capacity and contribute to the EU’s sustainable energy goals.
On the announcement Aiqing Yang, Executive President of JA Solar, says: “This cooperation represents a major step forward in our mission to promote renewable energy development in Bulgaria.
“Building on this partnership, we look forward to further promoting sustainable energy development in Europe with our partners through our dedicated services and advanced products.”
Similarly, Krasen Mateev, CEO of Solarpro, adds: “This strategic cooperation exemplifies Solarpro’s commitment to delivering innovative and sustainable energy solutions that drive the transition to a greener future in Bulgaria and beyond.”
[Image: JA Solar and Solarpro representatives celebrate the partnership. Image credit: JA Solar and Solarpro]
by Catie Owen | Jul 23, 2024 | Commercial & Industrial Solar
On July 22nd South Africa’s president, Cyril Ramaphosa, announced that the nation has over 22,500MW of upcoming renewable energy projects.
The projects, anticipated to total around ZAR 400bn, are expected to stimulate the economy and attract new private investment.
In his speech, Ramaphosa stated: “South Africa is undergoing a renewable energy revolution that is expected to be the most significant driver of growth and job creation in the next decade and beyond.
“We will see more of these projects taking shape across our country in the months and years to come. As these investments reach fruition more jobs will be created.”
Ramaphosa cited South Africa’s largest private solar energy project, based in the Northern Cape, which is set to generate 248MW to the grid using 390,000 solar panels.
Investing in solar
Independent power producer Engie has partnered with Pele Green Energy to build the 75MW Grootspruit solar plant: comprised of two projects in the Northern Cape (75MW Graspan solar PV plant) and the Free State.
“We have seen, for example, how the Northern Cape has already attracted billions of rands of investment in renewable energy projects,” noted Ramaphosa in his speech.
Aurex, the selected contractors for the projects, commented through their CEO Stuart Kent: This project [Grootsruit] is a testament to our dedication to supporting a just energy transition, creating local jobs, and advancing skills development.”
Both projects are expected to be completed in late 2025 and are anticipated to cut greenhouse gas emissions in South Africa by 200,000 tons of CO2 per annum.
Despite this announcement, the International Trade Administration Commission of South Africa introduced a 10% import tariff on solar panels in early July, prompting concerns from the South African Photovoltaic Industry Association.
by Catie Owen | Jul 22, 2024 | Commercial & Industrial Solar
Menlo Electric and JinkoSolar have announced a strategic partnership to advance renewable energy initiatives.
Menlo Electric, an international distributor of photovoltaic solutions, plans to integrate an additional 1GW of JinkoSolar’s PV modules over the next year. This collaboration builds on Menlo Electric’s previous integration of 1GW of JinkoSolar modules, solidifying its position as a top distributor of JinkoSolar products in the MENA region.
JinkoSolar will provide high-performance solar modules to support Menlo Electric’s portfolio of international energy infrastructures.
In addition, JinkoSolar has recently announced two more joint ventures.
The announcements explain that JinkoSolar’s indirectly majority-owned subsidiary, JinkoSolar Middle East DMCC, has entered into a shareholders agreement with green manufacturer Renewable Energy Localisation Company (RELC), a wholly-owned subsidiary of the Public Investment Fund.
The agreement also includes Vision Industries Company, a leading investor and developer of green energy industrial projects in Saudi Arabia. Jinko Middle East, RELC, and Vision Industries will respectively hold 40%, 40%, and 20% equity interest in the joint venture.
by Catie Owen | Jul 22, 2024 | Commercial & Industrial Solar
Technique Solaire, an independent renewable energy producer, has announced a 20-year Power Purchase Agreement (PPA) with the Air France group covering over 13 GWh per annum.
The electricity will come from two ground-mounted solar parks in Saint Priest Taurion and Pouillé, with installed capacities of 5MWc and 6MWc respectively.
In total, these parks will generate 13GWh per annum, which is about 10% of Air France’s annual building energy consumption.
The goal behind the PPA is to support the construction of new solar plants across France and Europe, offering stable prices and access to renewable energy to buyers.
Thomas de Moussac, Co-Founder and Managing Director, and Clément Blaizot, Director of Innovation, both at Technique Solaire, said in a joint statement:
“We are very pleased to have concluded this PPA with the Air France group… we intend to replicate this type of contract as we believe in the relevance and potential of this economic model to accelerate the energy transition.”
This contract is Technique Solaire’s first PPA in France and follows a similar agreement with India in 2021. The company envisions contracts such as these accounting for up to 50% of its electricity production by 2030.
by Catie Owen | Jul 18, 2024 | Commercial & Industrial Solar, Everything Installer
In response to surging concerns about agrivoltaics in the UK, trade association Solar Energy UK has released new guidance for solar farms and their communities.
The Community Engagement Good Practice Guidance contains case studies that aim to inform and engage the communities surrounding solar farms, to promote effective neighbourly relationships between them.
The document includes information about the purpose and lifecycle of a solar array for people living near proposed ground-mounted farms and support for everyone on the solar supply chain.
Chris Hewett, Chief Executive of Solar Energy UK, says: “The solar industry wants more than to deliver high-quality solar farms alone.
“We want to be good neighbours: taking local people along the journey to net zero with us, allaying misconceptions and taking their feedback into account.”
Combatting concerns
Food security, land use, and aesthetics are frequently reported concerns for both legislators and communities near proposed solar farms.
In the lead-up to and post the UK’s general election, wherein a new government with clear solar pledges took over, the British solar industry has become a hot topic for many.
More information about the new government’s solar ambitions came forth in yesterday’s King’s Speech at the opening of Parliament, with the announcement of nationalised energy entity Great British Energy.
It is Solar Energy UK’s goal to alleviate misunderstandings and improve relationships between local communities and solar farms through its guidance. This will have a knock-on effect on developers also, as generating goodwill with local communities will reduce delays and costs when proposing and building farms.
Community engagement
Solar farms offer a wealth of benefits on both a local and national level that go beyond just environmental factors. Solar Energy UK’s guidance also touches on the social and economic benefits – such as lowering the cost of energy.
Through its case studies, the guidance shows farms provide local benefits such as:
- Educational opportunities for schools
- Providing jobs for the local workforce
- Reliable additional incomes for farmers and other rural businesses without disrupting existing infrastructure (such as animal grazing)
- Encouraging biodiversity
- Protecting valuable footpaths and bridleways
The guidance reinforces the benefits of engaging with local businesses and trade, which improves a farm’s relationship with the community. This is a “simple but effective way to demonstrate commitment to community relationships and contribute to the local economy.”
To engage with local communities in an accessible and inclusive way, Solar Energy UK’s document suggests tools such as:
- Project websites
- Phone lines
- Dedicated staff members
- Engagement with local councils
- Newsletters
- Community forums
- Customer relationship management systems
- Tours of operating solar farms
To stay engaged with all things UK solar and beyond, talk directly to industry experts at Solar & Storage Live in Birmingham, 24-26 September 2024.
by Catie Owen | Jul 17, 2024 | Commercial & Industrial Solar
Chinese solar module manufacturers TCL Zhonghuan and JinkoSolar are set to build USD $3bn of new solar farms in Saudi Arabia.
Saudi Arabia’s Public Investment Fund (PIF) announced on Tuesday. The news comes as the Kingdom’s PIF is investing in making its renewable power local.
As Europe and the USA reinforce trade barriers, and competition begins to mount in the Middle East’s renewable industry, electing Chinese firms for the development demonstrates Saudi Arabia’s new strategy.
It additionally demonstrates China’s prominence in the Middle East’s green energy sector, as the East Asian country expands its footprint across the international solar sector.
In an early announcement of the upcoming project, JinkSolar’s Middle East-based subsidiary has partnered with Saudi Arabia’s Vision Industries consultancy and Renewable Energy Localisation Company (RELC) – the latter owned by PIF.
In the consortium, JinkoSolar will build a 10GW solar cell and module factory in a currently unspecified location in Saudi Arabia. The project is expected to cost $1bn, to be covered by both internal funds and external financing.
In a statement, JinkoSolar said about the news: “Pursuant to the Agreement, Jinko Middle East, RELC and VI agree to form a joint venture in Saudi Arabia with Jinko Middle East, RELC and VI holding 40%, 40% and 20% equity interest, respectively.
“The formation of the joint venture is subject to customary preconditions, including obtaining the requisite regulatory approvals.”
[Image credit: JinkoSolar]
by Catie Owen | Jul 16, 2024 | Commercial & Industrial Solar
Canadian Solar Inc’s Recurrent Energy unit has announced plans to build a 200,000MWh large-scale solar plant in Spain.
The plant will be built under a virtual power purchase agreement (VPPA) with GKN Automotive, a UK-based automotive technology company.
With plans to generate 200,000MWh of renewable energy per annum, GKN Automotive’s statement explains that the “Rey I” project will produce more than 65% of the company’s European power consumption.
The VPPA, which will last for 10 years, will provide GKN Automotive Energy Attribute Certificates (EACs). These certificates will be used to reduce the company’s greenhouse gas emissions by 45% by 2030. Furthermore, GKN Automotive will use the certificate as part of its plans to achieve net zero by 2045.
Schneider Electric facilitated the project selection and VPPA negotiations between Recurrent Energy and GKN Automotive.
by Catie Owen | Jul 15, 2024 | Commercial & Industrial Solar
Australian mining corporation Rio Tinto has announced that it will develop an 80MW solar farm, providing renewable energy to its iron ore projects in Pilbara, Western Australia.
The agreement has been co-announced with Ngarluma Aboriginal Corporation (NAC), who represent the Indigenous Australian people of the Pilbara region.
Richard Cohen, Managing Director Rail, Port & Core Services at Rio Tinto, comments: “Developments like this are about more than reducing emissions – they’re critical for economic opportunities and strengthening our connection with the Ngarluma People.”
Ljuba Mojovic, CEO of Ngarluma Aboriginal Corporation, adds: “The Solar farm project will enable NAC to realise sustainable revenues, increase contracting opportunities and contribute to a positive environmental impact in the Pilbara.”
The company stated that the solar farm could overtake 11% of the natural gas the company currently uses for production across its Pilbara integrated mining portfolio.
Upon completion, the solar farm is estimated to cut Rio’s emissions by up to 120Kt per annum.
Commissioning is due to take place in 2027, following a feasibility study for the solar farm which will likely take place next to Rio’s Yurralyi Maya Power Station near Karratha. This study should be finished in early 2025.
However, to begin in 2027 the project will need the right approvals and final investment decision (FID).
To displace most of Rio’s Pilbara gas used in its power network, the company estimates that 600MW to 700MW will be required by 2030. It is driven by a need to electrify its portfolio across the country, which it expects to do after 2030.
Following a resoundingly successful 2024 debut, you can stay up-to-date with Australia’s solar industry by attending the 2025 edition of Solar & Storage Live Australia.
by Catie Owen | Jul 12, 2024 | Commercial & Industrial Solar
The Albanian Ministry of Energy and Infrastructure has announced the winners of its latest solar auction, which offered 300MW of capacity.
Out of 14 bids, nine qualified, proposing a total of 356MW. Ultimately, eight bidders were selected, totalling 284MW, with project sizes ranging from 10 MW to 56MW.
The winners will sign a 15-year sale and purchase contract for electricity at a fixed price based on their bid. The ceiling price for the auction was set at €59.97/MWh, with the lowest bid at €39.7/MWh and an average bid price of €51.3/MWh.
Support will be provided through contracts for difference (CfDs). Unlike previous tenders, the awardees are required to secure land rights independently, as the Albanian Government did not allocate state assets for this purpose.
Previously, Albania held three solar PV auctions: a 100MW auction in Arkeni in 2018 and two auctions in Karavasta (140MW) and Spitalla in 2020. The Karavasta photovoltaic project was officially commissioned in February 2024, and the Spitalla project is currently under construction.
by Catie Owen | Jul 11, 2024 | Commercial & Industrial Solar, Large Scale Utility Solar
A law change in Vietnam has prompted speculation that there will be an increase in interest in solar power and other renewable energy sources.
The regulation issued last week, called Decree-80, now allows businesses to purchase renewable energy from producers. This is a change to the previous status quo, wherein businesses had to rely on state-owned Vietnam Electricity for power.
As a key element of the decree, direct transactions between buyers and private producers will reduce their reliance on the grid.
Climate Consultant Nguyen Ngoc Huy told outlet Nikkei Asia: “This [decree] is an important open mechanism to encourage investors — electricity sellers — to develop renewable energy, and at the same time encourage manufacturers — electricity buyers — that need clean energy to be carbon neutral in their net-zero journey,”
Direct Power Purchase Agreements (DPPAs) are anticipated to alleviate strain on the country’s grid. The grid itself is considered outdated, with complaints noting the string of blackouts in 2023 which affected companies such as Samsung Electronics.
In 2019, Vietnam was Southeast Asia’s premier solar power producer. However, there has been a resurgence in reliance on coal since.
Despite this, Vietnam’s government predicted in 2023 that coal’s presence in the country’s energy mix would decrease by 2030, with renewables comprising 80% by 2050.
Aler Grubbs, Mission Director for the U.S. Agency for International Development’s Vietnam, says: “The DPPAs will enable businesses to reduce their carbon footprint while also enabling Vietnam to accelerate its clean energy transition and advance its goal of net-zero emissions by 2050.”
by Catie Owen | Jul 11, 2024 | Commercial & Industrial Solar
Statkraft, Europe’s largest renewable energy provider, has signed a ten-year Power Purchase Agreement (PPA) with international renewables trader FP Luxe Group. The PPA covers Scurf Dyke Solar Farm and battery, located in Yorkshire.
The solar farm has an installed capacity of 80.6MW – making it one of the UK’s largest solar installations.
In a release, Statkraft noted that putting a long-term offtake contract was important for the company to provide a clear route to the power market and Renewable Energy Guarantees of Origin (REGO) certificates.
John Puddephatt, Statkraft’s PPA Origination Manager, commented in a release: “Following a competitive tendering process, Statkraft was selected as the offtaker for Scurf Dyke. Given the size of the project, the counterparties involved and the potential addition of a BESS, we were particularly excited to be involved.”
Thomas Seibel, CEO at re:cap Global Investors, said: “We were keen to work with an offtaker that could offer a renewables PPA as well as route to market optimisation services for BESS, and could meet our investors’ and funders’ requirements.”
Renewable energy company BayWa r.e.acted in the role of EPC to develop and build the project, with the company’s Asset Operations division taking responsibility for the farm’s operations and maintenance via a long-term agreement.
BayWa r.e and FP Lux are also building a an 8MW BESS opposite the Scurf Dyke Solar Farm, with optimisation coming from Statkraft. The provider will also optimise the solar farm, turning it off to avoid generating costly power during negative price periods.
Puddephatt added: “The signing of a PPA with a new customer is always a very positive moment, and I hope we’ll be able to build on this new relationship with re:cap and optimise its renewable assets in both the UK and more widely.”
BayWa r.e and Statkraft have collaborated via PPAs previously in the UK and Spain: the UK’s Dalquhandy Wind Farm, and Spanish Tordesillas and Don Rodrigo solar projects.
[Image: The Scurf Dyke solar farm. Image credit: Statkraft]
by Catie Owen | Jul 10, 2024 | Commercial & Industrial Solar
According to a report from Bloomberg, a Georgia-based solar plant operated by South Korean company Hanwha Solutions Corp. will receive “hundreds of millions” in USA federal tax credits despite ongoing concerns.
This news comes as the plant sources base components for its panels from China, which the US solar industry distances itself from through tariffs. Not only is this due to a reliance on Chinese imports, but Bloomberg also reports a large concern regarding forced labour.
The Qcells solar plant, in Dalton, Georgia, opened in 2019 and almost doubled its capacity in 2023.
Bloomberg describes unreported filings which show that two of Hanwha’s Chinese suppliers possibly use polysilicon sanctioned by the USA for using forced labour.
Although there is no proof that the compromised components are being used in the plant’s Qcell panels, under federal law products from these sub-suppliers are banned from entering the country.
Bret Manley, Executive Director of the non-profit Energy Fair Trade Coalition, says: “If a Qcells supplier or sub-supplier is on the entity list, then to me it would be really strange for CBP (USA Customs and Border Protection) not to look into Qcells”
Qcells are a key factor in the Biden administration’s plans to develop a fully onshore self-sustaining solar industry, with the company becoming the country’s top provider of solar panels. However, unlike other companies, plant owner Hanwha does not publicly disclose the origin of its polysilicon.
Qcells’ suppliers must demonstrate that they are “compliant with US law” to eliminate forced labour, through affidavits, codes of conduct, and traceability inspections. This is according to Debra DeShong, the company’s VP and Head of Corporate Communications.
DeShong added that, due to these standards, a third supplier was phased out in 2022 as it “failed to meet traceability standards”.
USA import restrictions
USA import restrictions have led to a shakeup of the country’s solar market, as solar panel producers are now working to regulate their supply chains to align with import restrictions.
This is due to the USA’s new self-reliance-focused isolationist policies to solar manufacturing and concerns over human rights violations in China.
The CBP is in charge of enforcing sanctions on Chinese products which are linked with the forced labour of the Uyghur minority in Xinjiang – which Chinese officials call “poverty alleviation”
For this reason, the industry has pushed the CBP to look closer at Qcells and Hanwha’s supply chains. However, no Qcells imports or South Korean solar products have been detained for suspicions of exploitation.
Bloomberg reports that the Uyghur Forced Labor Prevention Act (UFLPA) has detained almost USD$3bn in electronics from China since 2022. Most detained imports have been solar panels and their components – with detentions increasing by 186% in early 2024.
[Image credit: Bloomberg. Image: the Qcells plant in Georgia]
by Catie Owen | Jul 9, 2024 | Commercial & Industrial Solar
Alpiq, a Swiss-owned electricity producer, is selling its Switzerland-based solar plants to PS Panneaux Solaires SA.
PS Panneaux Solaires SA operates the Gefiswiss Energy Transition Fund.
The agreement states that PS Panneaux Solaires SA will operate the seven rooftop solar plants sold to them by Alpiq, located in Fribourg, Solothurn and Vaud – which will provide the company with a portfolio of 5.5MWp total installed capacity.
According to a release from Alpiq, the sale has been driven by the producer’s priority of “strengthen(ing) the security of supply and flexibility solutions.” Therefore, Alpiq plans to avoid investing in the development of PV systems which don’t align with this priority.
“The development of photovoltaics in the field of energy production is pleasing. In parallel, there is an increasing demand for flexibility solutions, which is a driver of the energy transition,” comments Amédée Murisier, Head of the Switzerland business division and member of Alpiq’s Executive Board.
“Our highly flexible power plant portfolio enables us to significantly contribute to the flexibility of the energy system and, therefore, to the success of the energy transition.”
Despite sharing six Alpine PV plant projects with local companies, Alpiq’s primary plants are hydropower-based with its portfolio also including wind farms.
Solar energy has increased its presence in Switzerland’s electricity mix, with 2023 seeing newly installed capacity jump to 40% compared to 2022. This resulted in a rise of 1,126MW of solar energy to about 1,500.
To stay up-to-date with the latest solar developments, in Switzerland and beyond, don’t miss the Zurich edition of Solar & Storage Live – taking place 17-18 September 2024.
[Image credit: Alpiq]
by Catie Owen | Jul 8, 2024 | Commercial & Industrial Solar
Eneos Renewable Energy is adding energy storage to its solar PV plant in southern Japan, thanks to a subsidy from the Japanese Ministry of Economy, Trade and Industry (METI) Agency for Natural Resources and Energy.
This initiative aims to promote energy storage at solar PV facilities under the company’s “Support Project for the Introduction of Storage Batteries Combined with Renewable Energy Sources” for FY2023.
Eneos will implement a battery energy storage system (BESS) at the 2.3MW JRE Fukuchi 3 Solar Power Plant in Fukuoka Prefecture, Kyushu.
The project should be operational by February 2025 and is expected to cost less than ¥120,000/kWh (USD $746.34/kWh). The expected output and storage capacity were not disclosed, but the subsidy will cover part of the investment.
The BESS will be operated using a planning system developed by Eneos and Mitsubishi Research Institute (MRI), leveraging MRI’s distributed energy resource (DER) control platform, MERSOL.
The system was developed to address the challenge of optimising BESS assets in Japan, where platforms for forecasting renewable energy production and electricity demand have not been effectively integrated with bidding and transaction platforms.
Increasing profits
The Japanese government’s feed-in premium (FiP) scheme supports large-scale PV projects, incentivising the addition of energy storage to improve profitability.
This is important as solar generation in regions like Kyushu often exceeds demand during the day.
Projects previously under the previous scheme (FiT) can convert to FiP, but battery storage is needed for a viable business model under the FiP scheme. The scheme’s FY2022 round saw projects like the Satsuma Green Power 2 solar PV plant in Kyushu, developed with Huawei’s BESS equipment, receive similar subsidies.
These initiatives are part of Japan’s broader strategy to stabilise variable renewable energy supplies and encourage energy storage investments.
The Japanese government plans to introduce programs that promote energy storage, which it sees as crucial to benefiting from the country’s recently liberalised electricity sector.
by Catie Owen | Jul 8, 2024 | Commercial & Industrial Solar, Storage
The Scottish Government has withdrawn solar and battery funding from the Home Energy Scotland (HES) Grants and Loan Scheme.
From 6th June, the scheme will not offer funding for PV panels and energy storage systems, even when installed with a heat pump.
HES previously provided up to £11,500 in grants and interest-free loans for air source heat pumps, solar installations, and batteries.
Jamie Di Sotto, commercial director at AES Solar, warned that this move will deter homeowners from adopting greener energy sources, jeopardising the government’s net zero target for 2045.
“We were once so proud that Scotland was leading the way in both residential and business funding for renewable technologies, which not only decarbonises our energy network, but takes the stress off domestic energy bills and makes businesses more competitive.
“If the Scottish Government is serious about net zero they will have to come up with an alternative plan which makes renewable energy systems affordable for all.”
Di Sotto highlighted the high demand for solar PV in Scotland, with 25,875 systems installed in homes and businesses last year, a 56% increase from 2021.
Rising energy bills make solar panels economically sensible, but the funding removal is a setback likely to discourage investment.
The Scottish Government aims to increase solar capacity from 0.5GW to between 4GW and 6GW by 2030. However, Di Sotto noted that withdrawing financial support will likely deter many from investing in clean energy, widening the socioeconomic gap in access to sustainable energy.
Furthermore, Di Sotto called for a cross-party agreement to ensure consistent funding for home energy, regardless of the ruling party.
Josh King, chair of Solar Energy Scotland, also criticised the decision, saying:
“This decision significantly undervalues the role of solar and storage in decarbonising our energy system – and that all of our electric vehicles and heat pumps are only low carbon if they are powered by an increasing amount of clean energy.
“It overlooks the fact that loan budgets are eventually recouped and are distinguishable from the grants available for other technologies.”
by Catie Owen | Jul 5, 2024 | Commercial & Industrial Solar
Chinese state-owned power company Three Gorges Renewables Group has unveiled plans to build the world’s largest solar farm.
The £8.5 billion project will be constructed in Inner Mongolia, northern China, and will supply electricity to the urban cluster of Beijing, Tianjin, and Hebei (Jing-Jin-Ji). This announcement follows the activation of a 5GW solar complex in Xinjiang, currently the world’s largest operational solar plant.
Construction will begin in September 2024 and the facility is expected to be operational by June 2027, resulting in a 200,000 acres-big solar farm in a desert region, equivalent to the size of New York City.
The 8GW solar farm will have capacity enough to power around 6m homes. The will also include 4GW of wind power, 4GW of coal-fired power, 200 MW of solar thermal, and an additional 5 GWh of energy storage.
China leads the world in solar power capacity, with over 600GW connected to the grid as of November 2023.
It also continues to expand its solar capacity, having commissioned as much in 2023 as the rest of the world combined, according to the International Energy Agency (IEA).
The IEA noted in a recent report on renewable energy that, while renewable capacity increases in Europe, the United States, and Brazil reached record highs, China’s growth was “extraordinary”.
In the report, the IEA added: “China’s role is critical in reaching the global goal of tripling renewables because the country is expected to install more than half of the new capacity required globally by 2030.”
by Catie Owen | Jul 5, 2024 | Commercial & Industrial Solar
South Africa’s International Trade Administration Commission (ITAC) has introduced a 10% tariff on imports of crystalline silicon photovoltaic modules and panels to protect local manufacturers.
This tariff, now in effect, aims to address the disinvestment of domestic manufacturers due to competition from cheaper imports and the large reduction in local production and sales.
The tariff was requested by ARTsolar, a South African solar panel producer, which highlighted that manufacturers faced a lack of “meaningful local work” since the last Renewable Energy Independent Power Producer Programme project ended.
ARTsolar also noted that companies like JA Powerway, Solitaire Direct, SMA, and Jinko Solar have ceased regional production due to market conditions.
ITAC believes the 10% customs duty will help protect remaining local manufacturers, attract new investments, and encourage the localisation of certain inputs.
The tariff is expected to help domestic manufacturers achieve economies of scale and create jobs, both directly and indirectly, with a review of the duty structure after three years.
Reaction
The South African Photovoltaic Industry Association (SAPVIA) expressed surprise at the imposition of the duty without formal industry consultation. SAPVIA CEO, Rethabile Melamu, warned that the 10% price increase would likely be passed on to consumers, potentially causing problems or delays.
The association estimates local module assembly capacity at around 620 MW annually, significantly lower than the current demand. SAPVIA contends that the immediate introduction of the duty is not ideal given the existing capacity limitations.
Melamu also highlighted the limited localisation of upstream components and the reliance on imported parts for module assembly.
Despite recent declines in module prices, SAPVIA notes that module costs constitute a significant portion of total solar capital expenditure – from 30% to 45% for rooftop solar and 20 – 35% for carport and ground mount.
