On-Shore Wind Power Good Business for Everyone

24
Energy www.renewables-made-in-germany.com Tobias Cossen Ho Chi Minh, October 29 th 2012 On-Shore Wind Power Good Business for Everyone

description

On-Shore Wind Power Good Business for Everyone. Tobias Cossen Ho Chi Minh, October 29 th 2012. www.renewables-made-in-germany.com. Agenda. Renewables and Business Market Phases Advantage for Wind Power Wind Power Sector – An Experience from German Market History and Status - PowerPoint PPT Presentation

Transcript of On-Shore Wind Power Good Business for Everyone

Page 1: On-Shore Wind Power Good Business for Everyone

Energy

www.renewables-made-in-germany.com

Tobias CossenHo Chi Minh, October 29th 2012

On-Shore Wind Power

Good Business for Everyone

Page 2: On-Shore Wind Power Good Business for Everyone

Agenda

Renewables and Business Market Phases Advantage for Wind Power

Wind Power Sector – An Experience from German Market History and Status Public Sector Value Creation Regional and Local Value Creation Private Sector Value Creation

Summary

Page 3: On-Shore Wind Power Good Business for Everyone

Renewables and Business

Market Phases

Graph represents photovoltaic cycles, nevertheless has similarities to wind power

Page 4: On-Shore Wind Power Good Business for Everyone

Renewables and Business

Market Phases

Markets will develop if (reasonable) incentives and (reasonable!) regulation secure the framework

Page 5: On-Shore Wind Power Good Business for Everyone

Renewables and Business

Advantage for Wind Power Levelised costs of energy (LCOE) close or below the grid parity Incentive instruments at a lower cost necessary and high grid penetration >3.000full load hours available at 365 days per year 24 hours a day (depending on site &

turbine) providing energy and grid stabilization services

Not possible without a reasonable business model for all involved stakeholders!Source: GWEC

Page 6: On-Shore Wind Power Good Business for Everyone

Advantage for Wind Power June 2011: signature of decree for wind Feed-in-Tariff (FiT) in Vietnam

The correct first step!

Renewables and Business

Page 7: On-Shore Wind Power Good Business for Everyone

History and Status Cumulative installed capacity of wind power

Wind Power in Germany

Page 8: On-Shore Wind Power Good Business for Everyone

History and Status Installed capacity of wind power per year

Wind Power in Germany

Page 9: On-Shore Wind Power Good Business for Everyone

History and Status

Political incentive mechanism (=Feed-in-Tariff) was the decisive factor!

Wind Power in Germany

Page 10: On-Shore Wind Power Good Business for Everyone

Wind Power in Germany

History and Status

An investment vehicle (=FiT) wascreated, wanted by the population andaccepted by the private sector!

Page 11: On-Shore Wind Power Good Business for Everyone

Wind Power in Germany

Public Sector Value Creation Rural areas offer significant more space as urban centers and have the opportunity to

profit when energy systems transits to decentralized generation

Rural Area I Urban Area

ener

gy c

onsu

mpt

ion

Rural Area IIen

ergy

con

sum

ptio

n

Ener

gy c

onsu

mpt

ion

100%

surplus

100%

surplus

25%

energy flow

economical flow

Page 12: On-Shore Wind Power Good Business for Everyone

Wind Power in Germany

Public Sector Value Creation Energy independence Low priced energy Climate protection and sustainability

Instead of spending money on imported rawmaterials, jobs and values are created in the region!

Page 13: On-Shore Wind Power Good Business for Everyone

Wind Power in Germany

Regional Value Creation Renewable energy and especially wind power brought new

perspective and income for the economically challenged eastern provinces

Approx. 100.000 jobs in the German wind industry

Page 14: On-Shore Wind Power Good Business for Everyone

Wind Power in Germany

Local Value Creation Improved “green” image Eco tourism Attractive for “energy tourism”

Page 15: On-Shore Wind Power Good Business for Everyone

Wind Power in Germany

Local Value Creation Citizens can get involved and participate in wind energy (=citizens wind farm) Local communities profit from lease payments and tax revenues – and again, jobs

Page 16: On-Shore Wind Power Good Business for Everyone

Wind Power in Germany

Private Sector Value Creation Revenue of German Wind Turbine Manufacturers

Apart from “classic” industries like automotive and engine construction a new industry was created for an export oriented economy

Source: AEE

Page 17: On-Shore Wind Power Good Business for Everyone

Wind Power in Germany

Private Sector Value Creation Investment in German Wind Turbines and Production Capacities

Apart from “classic” industries like automotive and engine construction a new industry was created for an export oriented economy

Source: AEE

Page 18: On-Shore Wind Power Good Business for Everyone

Side Note – Results of Long Lasting Political and Private Investment in Wind Power Highest capacity of available wind turbine: ENERCON E-126 rated at 7.5 MW 18.000 MWh yield per year (demand of approx. 20.000 German households)

Wind Power in Germany

Page 19: On-Shore Wind Power Good Business for Everyone

Side Note – Results of Long Lasting Political and Private Investment in Wind Power ENERTRAG hybrid power plant (hydrogen production by cracking water with wind

energy)

Wind Power in Germany

Page 20: On-Shore Wind Power Good Business for Everyone

Side Note – Results of Long Lasting Political and Private Investment in Wind Power ENERTRAG hybrid power plant (hydrogen production by cracking water with wind

energy)

Wind Power in Germany

Page 21: On-Shore Wind Power Good Business for Everyone

Public sector needs to define “the rules of the game”

Research and development (R&D) by public and private sector

Private sector needs to realize profit margins for innovation and risk investment

Summary

Page 22: On-Shore Wind Power Good Business for Everyone

Last but not Least Population needs to understand and participate in the value creation!

if not:

Summary

Page 23: On-Shore Wind Power Good Business for Everyone

Last but not Least Population needs to understand and participate in the value creation!

if not:

Summary

Page 24: On-Shore Wind Power Good Business for Everyone

Energy

Thank you!

Tobias [email protected]