1. RENEWABLE ENERGY HAS BEACHED IN BARBADOS INTEGRATING A HIGH SHARE OF RENEWABLE GENERATION IN THE BARBADOS GRID WILLIAM HINDS CHIEF ENERGY CONSERVATION OFFICER BARBADOS GOVERNMENT The armchair perspective

2. GOVERNMENT POLICY A NEW ECONOMIC SECTOR Every year government is announced through the Budgetary and Financial Statement In 2012 the Government announced that Renewable Energy will become and new economic sector joining Tourism, Commerce, Agriculture etc. The typical indicators or an economic sector are: 1.Several businesses operating profitably 2.Local jobs 3.Local investment ( and foreign investment through local projects) 4.Skilled workforce 5.Exports 6.Value added 7.Legislation, regulation and standards

3. SOLAR IMPORTS – BIG GROWTH $$ GRID VS RE GROWTH PEAK DEMAND GREW 3% ANNUALLY OVER LAST 20 YEARS NOW FELL FROM 160 MW TO 150 MW SINCE 2012 PEAK DEMAND NOW FALLING $ RE COULD BE 50% OF GRID PEAK IN 5 YEARS !!!!!! WHAT CAN WE DO ?? RE 0 MW IN 2010 GROWS EXPONENTIALLY : NOW AT 10 MW EXPECTS TO BE 20 MW IN 12 MONTHS

4. 1.Understand the Grid – Do independent studies 2.Decide the grid – Establish laws to determine who will connect where and how 3.Change the grid – Institute factors that will require the utility and RE producers to change to all for greater RE production THREE STEP PROCESS TO HIGH RE IN GRID

5. Grid Understand the 1.Hire full time electric engineers / RE Experts 2.Secure critical grid macro data 3.Develop independent grid capacity studies 4.Review/understand utility generation planning

6. WHAT WE DID IN BARBADOS What happened Govt Announce plans but not ready Utility agrees to be 1.3 % of Peak then 6% Utility limits expansion till their GRID study is done Gov’t Announce plans but not ready Govt independent UNDP study supports 30% immediately 60% possible with GRID advancement Utility GRID study complete 50% RE peak is possible Utility limits RE to 10% till their GRID study is done Barbados/IRENA Roadmap and GEF-5 Grid study started Increase from 1 supplier (utility) to 1000 in 5 years

7. FOSSIL FUEL : 100 YEARS OF SUPPORT -Guaranteed market (utility) -Guarantee consumer acceptance of fossil fuel prices -Import duty waiver -Loan guarantees to utility - Guarantee profit - Single company determined our RE electricity USE NEW RE SUPPORT -10 Year Tax holiday -Income Tax deduction US $5K yearly - -No import Duty or VAT No duties on Venture Capital Training Sale of Electricity DECIDE THE GRID 1 CHANGE THE BALANCE OF SUPPORT

8. Decide the Grid 2: Electric Light and Power Act 2013 All suppliers of electricity require a licence Once the Minister gives a licence to connect to the grid the utility must comply The Minister can set the limits or each source of electricity to enter grid (Solar, Wind, Bio-fuel etc.) Utility will propose feed-in-tariffs to be approved by the Regulator conditions, fees, duration etc. for each type of licence will be set by the Minister Advisory council is established to advice minister and support aspects of Electric Act Ensure the RE has a market

9. CHANGE THE GRID SOLAR IMPACT ON PEAKING PLANT SOLAR ELECTRICITY REDUCES THE USE OF EXPENSIVE PEAKING PLANT DURING THE DAY. AFTER THIS SOLAR WILL COMPETE WITH LESS EXPENSIVE BASE LOAD ETC.

10. THE FUTURE SMART GRID WITH RE

11. GRID PENETRATION RECOMMENDATIONS UNDP RECOMMENDATIONS 1.Smart inverter technology ( Frequency ride through) Yes 2.Grid modeling DIgSILENT 3.Power curtailment of VRE during peak 4.Tap changer control 5.Energy storage – Utility not ready 6. incentives for small battery implementation 7.Synchronous condenser is a synchronous generator 8.All smart Grid Communications Utility recommendations a.RE reduces cost of production b.Distributed RE is reduces cost more than central utility scale c.Advance grid control systems d.Smart Metering - Yes

12. BARBADOS Now 37 w/per capita - 10 MW FOR 270,000 PEOPLE BARBADOS in 12 months 74w/per capita - 20 MW FOR 270,000 PEOPLE BARBADOS Utility study capacity 80MW 296W per capita TOP COUNTRIES IN SOLAR PV IN THE WORLD (Watts/capita) reneweconomy.com

13. 1.40,000 solar Water Heaters gives a tradition of solar 2.10 MW committed/installed. Will double in 12 months and again every 2-3 years. 3.High electricity cost of over $US0.30 /KWh) 4.With a peak demand of 150MW RE can easily saturate the grid 5.100 or more PV/RE installers. 95% of installers are local 6.Over 1000 solar PV systems in place since 2010 (37 W/ capita). Electricity law allows Minister to offer licence to anyone if justified 7.Exponential growth in RE (Solar) 8.Current restriction to 150KW or under will change in 2015 9.Grid studies by Utility and Government point to high penetration of RE power vs peak demand (53 %, 30-60 %) 10.95 % of investment is local

14. IN BARBADOS