Renewable energy

Renewable energy development involves three generations of renewable energy technologies dating back more than 100 years. First-generation technologies, which are already mature and economically competitive, include biomass, hydroelectricity, geothermal power and heat. Second-generation technologies are market-ready and are being deployed at the present time; they include solar heating, photovoltaics, wind power, solar thermal power stations, and modern forms of bioenergy. Third-generation technologies require continued R&D efforts in order to make large contributions on a global scale and include advanced biomass gasification, biorefinery technologies, hot-dry-rock geothermal power, and ocean energy.

Overview

Rationale for renewables

Renewable energy technologies are essential contributors to the energy supply portfolio, as they contribute to world energy security, reduce dependency on fossil fuels, and provide opportunities for mitigating greenhouse gases. Climate-disrupting fossil fuels are being replaced by clean, climate-stabilizing, non-depletable sources of energy:

...the transition from coal, oil, and gas to wind, solar, and geothermal energy is well under way. In the old economy, energy was produced by burning something — oil, coal, or natural gas — leading to the carbon emissions that have come to define our economy. The new energy economy harnesses the energy in wind, the energy coming from the sun, and heat from within the earth itself.

The International Energy Agency estimates that nearly 50% of global electricity supplies will need to come from renewable energy sources in order to halve carbon dioxide emissions by 2050 and minimise significant, irreversible climate change impacts.

Three generations of technologies

The term renewable energy covers a number of sources and technologies at different stages of commercialization. The International Energy Agency (IEA) has defined three generations of renewable energy technologies, reaching back over 100 years:

• First-generation technologies emerged from the industrial revolution at the end of the 19th century and include hydropower, biomass combustion, geothermal power and heat. These technologies are quite widely used.

• Second-generation technologies include solar heating and cooling, wind power, modern forms of bioenergy, and solar photovoltaics. These are now entering markets as a result of research, development and demonstration (RD&D) investments since the 1980s. Initial investment was prompted by energy security concerns linked to the oil crises of the 1970s but the enduring appeal of these technologies is due, at least in part, to environmental benefits. Many of the technologies reflect significant advancements in materials.

• Third-generation technologies are still under development and include advanced biomass gasification, biorefinery technologies, concentrating solar thermal power, hot-dry-rock geothermal power, and ocean energy. Advances in nanotechnology may also play a major role.

First-generation technologies are well established, second-generation technologies are entering markets, and third-generation technologies heavily depend on long-term RD&D commitments, where the public sector has a role to play.

First-generation technologies

First-generation technologies are widely used in locations with abundant resources. Their future use depends on the exploration of the remaining resource potential, particularly in developing countries, and on overcoming challenges related to the environment and social acceptance.

Biomass

Biomass for heat and power is a fully mature technology which offers a ready disposal mechanism for municipal, agricultural, and industrial organic wastes. However, the industry has remained relatively stagnant over the decade to 2007, even though demand for biomass (mostly wood) continues to grow in many developing countries. One of the problems of biomass is that material directly combusted in cook stoves produces pollutants, leading to severe health and environmental consequences, although improved cook stove programmes are alleviating some of these effects. First-generation biomass technologies can be economically competitive, but may still require deployment support to overcome public acceptance and small-scale issues.

Hydroelectricity

Hydroelectric plants have the advantage of being long-lived and many existing plants have operated for more than 100 years. Hydropower is also an extremely flexible technology from the perspective of power grid operation. Large hydropower provides one of the lowest cost options in today’s energy market, even compared to fossil fuels and there are no harmful emissions associated with plant operation.

Hydroelectric power is currently the world’s largest installed renewable source of electricity, supplying about 17% of total electricity in 2005. China is the world's largest producer of hydroelectricity in the world, followed by Canada.

However, there are several significant social and environmental disadvantages of large-scale hydroelectric power systems: dislocation of people living where the reservoirs are planned, release of significant amounts of carbon dioxide and methane during construction and flooding of the reservoir, and disruption of aquatic ecosystems and birdlife. Hydroelectric power is now more difficult to site in developed nations because most major sites within these nations are either already being exploited or may be unavailable for these environmental reasons. The areas of greatest hydroelectric growth are the growing economies of Asia. India and China are the development leaders; however, other Asian nations are also expanding hydropower.

There is a strong consensus now that countries should adopt an integrated approach towards managing water resources, which would involve planning hydropower development in co-operation with other water-using sectors.

Geothermal power and heat

Geothermal power plants can operate 24 hours per day, providing baseload capacity. Estimates for the world potential capacity for geothermal power generation vary widely, ranging from 40 GW by 2020 to as much as 6,000 GW.

Geothermal power capacity grew from around 1 GW in 1975 to almost 10 GW in 2008. The United States is the world leader in terms of installed capacity, representing 3.1 GW. Other countries with significant installed capacity include the Philippines (1.9 GW), Indonesia (1.2 GW), Mexico (1.0 GW), Italy (0.8 GW), Iceland (0.6 GW), Japan (0.5 GW), and New Zealand (0.5 GW). In some countries, geothermal power accounts for a significant share of the total electricity supply, such as in the Philippines, where geothermal represented 17 percent of the total power mix at the end of 2008.

Geothermal (ground source) heat pumps represented an estimated 30 GWth of installed capacity at the end of 2008, with other direct uses of geothermal heat (i.e., for space heating, agricultural drying and other uses) reaching an estimated 15 GWth. As of 2008, at least 76 countries use direct geothermal energy in some form.

Second-generation technologies

Markets for second-generation technologies have been strong and growing over the past decade, and these technologies have gone from being a passion for the dedicated few to a major economic sector in countries such as Germany, Spain, the United States, and Japan. Many large industrial companies and financial institutions are involved and the challenge is to broaden the market base for continued growth worldwide.

Solar Heating

Solar heating systems are a well known second-generation technology and generally consist of solar thermal collectors, a fluid system to move the heat from the collector to its point of usage, and a reservoir or tank for heat storage. The systems may be used to heat domestic hot water, swimming pools, or homes and businesses. The heat can also be used for industrial process applications or as an energy input for other uses such as cooling equipment.

In many warmer climates, a solar heating system can provide a very high percentage (50 to 75%) of domestic hot water energy. As of 2009, China has 27 million rooftop solar water heaters.

Photovoltaics

Photovoltaic (PV) cells, also called solar cells, convert light into electricity. In the 1980s and early 1990s, most photovoltaic modules were used to provide remote-area power suppy, but from around 1995, industry efforts have focused increasingly on developing building integrated photovoltaics and photovoltaic power stations for grid connected applications.

As of October 2009, the largest photovoltaic (PV) power plants in the world are the Olmedilla Photovoltaic Park (Spain, 60 MW), the Puertollano Photovoltaic Park (Spain, 50 MW), the Moura photovoltaic power station (Portugal, 46 MW), and the Waldpolenz Solar Park (Germany, 40 MW). The largest photovoltaic power plant in North America is the 25 MW DeSoto Next Generation Solar Energy Center in Florida. The plant consists of over 90,000 solar panels.

At the end of 2008, the cumulative global PV installations reached 15,200 MW. Photovoltaic production has been doubling every two years, increasing by an average of 48 percent each year since 2002, making it the world’s fastest-growing energy technology. The top five photovoltaic producing countries are Japan, China, Germany, Taiwan, and the USA.

Wind power

Some of the second-generation renewables, such as wind power, have high potential and have already realised relatively low production costs. At the end of 2009, worldwide wind farm capacity was 157,900 MW, representing an increase of 31 percent during the year, and wind power supplied some 1.3% of global electricity consumption. Wind power is widely used in European countries, and more recently in the United States and Asia. Wind power accounts for approximately 19% of electricity generation in Denmark, 11% in Spain and Portugal, and 9% in the Republic of Ireland. These are some of the largest wind farms in the world, as of January 2010:

Wind farm	Installed capacity (MW)	Country
Capricorn Ridge Wind Farm	662	USA
Fowler Ridge Wind Farm	750	USA
Horse Hollow Wind Energy Center	736	USA
Roscoe Wind Farm	781	USA
San Gorgonio Pass Wind Farm	619	USA
Tehachapi Pass Wind Farm	690	USA

Solar thermal power stations

Solar thermal power stations include the 354 MW Solar Energy Generating Systems power complex in the USA, Nevada Solar One (USA, 64 MW), Andasol 1 (Spain, 50 MW) and the PS10 solar power tower (Spain, 11 MW). Many other plants are under construction or planned, mainly in Spain and the USA. In developing countries, three World Bank projects for integrated solar thermal/combined-cycle gas-turbine power plants in Egypt, Mexico, and Morocco have been approved.

Modern forms of Bioenergy

Global ethanol production for transport fuel tripled between 2000 and 2007 from 17 billion to more than 52 billion litres, while biodiesel expanded more than ten-fold from less than 1 billion to almost 11 billion litres. Biofuels provide 1.8% of the world’s transport fuel and recent estimates indicate a continued high growth. The main producing countries for transport biofuels are the USA, Brazil, and the EU.

Brazil has one of the largest renewable energy programs in the world, involving production of ethanol fuel from sugar cane, and ethanol now provides 18 percent of the country's automotive fuel. As a result of this and the exploitation of domestic deep water oil sources, Brazil, which for years had to import a large share of the petroleum needed for domestic consumption, recently reached complete self-sufficiency in liquid fuels.

Most cars on the road today in the U.S. can run on blends of up to 10% ethanol, and motor vehicle manufacturers already produce vehicles designed to run on much higher ethanol blends. Ford, DaimlerChrysler, and GM are among the automobile companies that sell flexible-fuel cars, trucks, and minivans that can use gasoline and ethanol blends ranging from pure gasoline up to 85% ethanol (E85). By mid-2006, there were approximately six million E85-compatible vehicles on U.S. roads. The challenge is to expand the market for biofuels beyond the farm states where they have been most popular to date. Flex-fuel vehicles are assisting in this transition because they allow drivers to choose different fuels based on price and availability. The Energy Policy Act of 2005, which calls for 7.5 billion gallons of biofuels to be used annually by 2012, will also help to expand the market.

The growing ethanol and biodiesel industries are providing jobs in plant construction, operations, and maintenance, mostly in rural communities. According to the Renewable Fuels Association, the ethanol industry created almost 154,000 U.S. jobs in 2005 alone, boosting household income by $5.7 billion. It also contributed about $3.5 billion in tax revenues at the local, state, and federal levels.

Third-generation technologies

Third-generation renewable energy technologies are still under development and include advanced biomass gasification, biorefinery technologies, hot-dry-rock geothermal power, and ocean energy. Third-generation technologies are not yet widely demonstrated or have limited commercialization. Many are on the horizon and may have potential comparable to other renewable energy technologies, but still depend on attracting sufficient attention and RD&D funding.

New bioenergy technologies

According to the International Energy Agency, cellulosic ethanol biorefineries could allow biofuels to play a much bigger role in the future than organizations such as the IEA previously thought. Cellulosic ethanol can be made from plant matter composed primarily of inedible cellulose fibers that form the stems and branches of most plants. Crop residues (such as corn stalks, wheat straw and rice straw), wood waste, and municipal solid waste are potential sources of cellulosic biomass. Dedicated energy crops, such as switchgrass, are also promising cellulose sources that can be sustainably produced in many regions of the United States.

Selected Commercial Cellulosic Ethanol Plants in the U.S.
(Operational or under construction)

Company	Location	Feedstock
Abengoa Bioenergy	Hugoton, KS	Wheat straw
BlueFire Ethanol	Irvine, CA	Multiple sources
Gulf Coast Energy	Mossy Head, FL	Wood waste
Mascoma	Lansing, MI	Wood
POET LLC	Emmetsburg, IA	Corn cobs
Range Fuels	Treutlen County, GA	Wood waste
SunOpta	Little Falls, MN	Wood chips
Xethanol	Auburndale, FL	Citrus peels

Ocean energy

First proposed more than thirty years ago, systems to harvest utility-scale electrical power from ocean waves have recently been gaining momentum as a viable technology. The potential for this technology is considered promising, especially on west-facing coasts with latitudes between 40 and 60 degrees:

In the United Kingdom, for example, the Carbon Trust recently estimated the extent of the economically viable offshore resource at 55 TWh per year, about 14% of current national demand. Across Europe, the technologically achievable resource has been estimated to be at least 280 TWh per year. In 2003, the U.S. Electric Power Research Institute (EPRI) estimated the viable resource in the United States at 255 TWh per year (6% of demand).

Funding for a wave farm in Scotland was announced in February 2007 by the Scottish Executive, at a cost of over 4 million pounds, as part of a £13 million funding packages for ocean power in Scotland. The farm will be the world's largest with a capacity of 3 MW generated by four Pelamis machines.

The world's first commercial tidal power station was installed in 2007 in the narrows of Strangford Lough in Ireland. The 1.2 megawatt underwater tidal electricity generator, part of Northern Ireland's Environment & Renewable Energy Fund scheme, takes advantage of the fast tidal flow (up to 4 metres per second) in the lough. Although the generator is powerful enough to power a thousand homes, the turbine has minimal environmental impact, as it is almost entirely submerged, and the rotors pose no danger to wildlife as they turn quite slowly.

Enhanced geothermal systems

As of 2008, geothermal power development was under way in more than 40 countries, partially attributable to the development of new technologies, such as Enhanced Geothermal Systems. The development of binary cycle power plants and improvements in drilling and extraction technology may enable enhanced geothermal systems over a much greater geographical range than "traditional" Geothermal systems. Demonstration EGS projects are operational in the USA, Australia, Germany, France, and The United Kingdom.

Nanotechnology thin-film solar panels

Solar power panels that use nanotechnology, which can create circuits out of individual silicon molecules, may cost half as much as traditional photovoltaic cells, according to executives and investors involved in developing the products. Nanosolar has secured more than $100 million from investors to build a factory for nanotechnology thin-film solar panels. The company expects the factory to open in 2010 and produce enough solar cells each year to generate 430 megawatts of power.