1. Renewable Energy World Challenge
IEC e-Learning module
Module 41 – unit 01
Renewable Energy
World Challenge
© IEC 2016

2. Renewable Energy World Challenge
IEC e-Learning module
Module 41 – unit 01
Renewable Energy
World Challenge
Welcome to the IEC e-learning course.
This is Unit 1 of Module 41.
The title of this unit is:
Renewable Energy World Challenge.
© IEC 2016

3. IEC e-Learning module M41-01 2/14

4. Geoth/Wind/Solar/Other
World Electricity Production
IEA – International Energy Agency
OECD Electricity Production by Fuel Type
Year-to-date 2016
Geoth/Wind/Solar/Other
8.8 %
Combustible Fuels
57.3%
Hydro 14.9%
The International Energy Agency, or IEA, is an autonomous organisation which works to ensure reliable, affordable and clean energy for its member countries, and beyond.
The work of the IEA is focused in four main areas: energy security, economic development, environmental awareness and engagement worldwide.
Part of the mission of the IEA is to collect and publish reliable statistical data on energy production.
In its statistical publication of March 2016, it provides this breakdown of world electricity production.
Nuclear 19.0%
Source: IEA Statistics March 2016,
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5. World Electricity
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6. World Electricity Scenario EIA – US Energy Information Administration
World net electricity generation by energy source
The US Energy Information Administration, or EIA, is one of the principal agencies of the US Federal Statistical System responsible for collecting, analyzing, and disseminating energy information.
This information is used by the government for policymaking decisions, as well as by energy markets and the general public.
In its International Energy Outlook 2016 report, the EIA provided this world net electricity generation by energy source forecast for the next 25 years.
Under this scenario, total world renewable energy production will rise by about 80% over the next 15 years.
Source: Report number: DOE/EIA-0484(2016)
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7. World Electricity Scenario
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8. World Electricity Scenario
IRENA – International Renewable Energy Agency
IRENA Remap 2030
A Renewable Energy Roadmap
June 2014
Two 15 year scenarios
The International Renewable Energy Agency, or IRENA, is an intergovernmental organization that supports countries in their transition to a sustainable energy future.
In addition to many other activities, IRENA publishes studies on renewable energy.
Here is an example taken from the IRENA REmap 2030 Renewable Energy Roadmap from June 2014.
It shows two 15-year scenarios.
The first, entitled 2030 Reference Case, predicts a doubling of the 2012 installed renewable energy power capacity.
The second scenario, termed REmap 2030, is predicated on a tripling of the 2012 installed capacity.
Source: IRENA.org web page:
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9. World Electricity Scenario
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10. World Electricity Scenario
DOE – US Department of Energy
Wind Vision, March 2015
Other organisations such as the US Department of Energy, or DOE, have also created scenarios for the deployment of renewable energy.
This is an example from the DOE.
It proposes something similar to the IRENA scenario, but also provides likely outcomes, given certain external conditions.
Source: DOE/GO • March 2015
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11. World Electricity Scenario
IEC e-Learning module M /14

12. World Electricity Scenario
IRENA Remap 2030
A Renewable Energy Roadmap
June 2014
Two 15 year scenarios
IRENA – International Renewable Energy Agency
Reference case
= double 2012
= +1’500 GW
REmap 2030 case
> triple 2012
> +3’300 GW
If the IRENA 15-year scenarios are used as a baseline, it is clear that in the first case, the 2012 installed capacity is doubled. This would require new installations that would increase capacity by about 1’500 GW, over the next 15 years
In the second scenario, the 2012 installed capacity is tripled. This would require new installations to increase capacity by more than 3’300 GW over the next 15 years.
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13. IEC e-Learning module M41-01 7/14

14. Example: Wind IEC e-Learning module M41-01 7/14
The IRENA scenarios do not limit the increase in renewable energy capacity solely to wind.
However, for the sake of simplicity, only the example of wind energy is given here.
This is also a reasonable approach, considering that wind energy is currently the cheapest form of renewable energy and therefore the best investment choice at this time.
Source: AWEA.org web page:
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15. Example: Wind
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16. Example: Wind Average installed wind power project cost ≈ M$ 1.7 / MW
Based on 36 wind energy installation projects in the United States in 2014, the average cost for a new installation for each gigawatt of power can be estimated.
The total cost amounts to approximately 1.7 billon dollars per gigawatt.
This estimation is calculated from a variety of different sized installations.
However, it is likely that as the size of the installation grows, the cost per gigawatt should decrease.
It’s also likely that as the production base increases, the costs should also decrease simply by the effect of economy of scale.
On the other hand, the costs of other renewable energy sources, for example marine energy, are much higher.
Therefore, since the new renewable energy capacity is likely to involve a mix of RE sources, some of which will be cheaper than others, it is reasonable, for the purposes of this exercise, to use the figure of, 1.7 billion US dollars per gigawatt as a basis for calculation.
Average installed wind power project cost
≈ M$ 1.7 / MW
 B$ 1.7 / GW
Source: Wind Technologies Market Report
August 2015
U.S. Department of Energy publication
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17. IEC e-Learning module M41-01 9/14

18. World Electricity Scenario
Reference case
= double 2012
= +1’500 GW
REmap 2030 case
> triple 2012
> +3’300 GW
IRENA – International Renewable Energy Agency
IRENA Remap 2030
A Renewable Energy Roadmap
June 2014
Two 15 year scenarios
≈ T$ 2.55
Using the figure of, 1.7 billion US dollars per gigawatt as a basis for calculating the cost of a newly installed renewable energy production capacity, and applying this figure to the two IRENA scenarios, the first scenario would require a financial investment of more than 2.5 trillion dollars over the next 15 years.
And the second scenario would require more than double this amount.
> T$ 5.0
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19. World Electricity
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20. World Electricity Production Big Scale RE Facilitator
It becomes obvious then that if large-scale renewable energy is to become a reality, massive amounts of money will need to be invested.
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21. World Electricity Production
Big Scale RE Facilitator
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22. World Electricity Production
Big Scale RE Facilitator
Large scale investment
Long term investment
Risky investment
But big money is risky money.
And these are long-term investments
involving a long-term payback.
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23. World Electricity Production
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24. World Electricity Production
Financial Risk Management
Stability
Reduced unknowns
Reproducible conditions
 International best practices
International standards
High quality CA
Consistent CA
In order to effect the high investment that will be necessary, investment sources need to manage their financial risk.
Effective risk management requires the ability to calculate the risk involved.
But to calculate risk accurately, investors need conditions to be as predictable as possible.
This means they need stability, with unknown factors reduced to a minimum,
and results being as reproducible as possible.
Financial investors do this by insisting that international best practices are used.
These best practices include the use of international standards, as well as
high quality and appropriate conformity assessment that creates consistent results worldwide .
This is what the IEC Global CA Systems provide,
representing the world’s best practice at this time.
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25. IEC e-Learning module M41-01 13/14

26. IECRE IEC e-Learning module M41-01 13/14
In 2011 representatives from the wind turbine industry initiated discussions at IEC for the establishment of a worldwide global conformity assessment system of schemes for the wind energy sector.
In 2012 the marine energy sector joined those discussions,
with the PV solar energy sector joining a year later in 2013.
In 2014 the IECRE Global Conformity Assessment Systems were created.
The IEC was chosen because of its reputation for credible, reliable and consistent conformity assessment results stemming from its long experience with global conformity assessment schemes and systems.
The IEC Global CA Systems are considered to constitute the world’s best practice at this time.
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27. Renewable Energy World Challenge
IEC e-Learning module
Module 41 – unit 01
Renewable Energy
World Challenge
END
With thanks to : Mr Jonathon Colby
Mr Sandy Butterfield
Sources : IEA – International Energy Agency
EIA – US Energy Information Administration
IRENA – International Renewable Energy Agency
IECRE website
© IEC 2016

28. Renewable Energy World Challenge
IEC e-Learning module
Module 41 – unit 01
Renewable Energy
World Challenge
END
With thanks to : Mr Jonathon Colby
Mr Sandy Butterfield
Sources : IEA – International Energy Agency
EIA – US Energy Information Administration
IRENA – International Renewable Energy Agency
IECRE website
© IEC 2016