The funding support, coming in the form of subsidies and loan guarantees, will accelerate over the years, eventually reaching €290 million/year by 2014.  The program aims to attract an additional €2 billion from private investors and other research groups.

France’s extensive use of nuclear-fired plants has contributed to the country’s claim to 90% low carbon electricity.  However, President Sarkozy’s administration is furthering efforts to develop renewable energy sources such as solar and wind.  The new funding will also support sustainable transportation initiatives and smart grid technology developments.

Read more here…

Renewables

• Total renewable power capacity in China reached 226GW in 2009, representing 1/4 of the nation’s total.  The government is calling for a total of 500GW of renewable power capacity by 2020, or about 1/3 of total power capacity.
• Renewable Portfolio Standards (RPS) for Chinese utilities require 8% of all capacity and 3% of power to be generated from non-hydro renewables by 2020.
• Revisions to the 2005 Renewable Energy Law will require increased cooperation between new renewables and the grid to ensure the generated power is transmitted efficiently.  The revisions also strengthened the Ministry of Finance’s renewable energy fund, which collects a tax on all electric power sales.

Wind

• Chinese wind power in particular grew thirty times over between 2005-2009.   China is now just behind the U.S. in total installed wind capacity.  Its turbine manufacturing industry grew to the world’s largest in 4 years.  The government has amended the wind power Feed-in-Tariff, and aims for 150GW of new installations by 2020.

Solar

• The “Golden Sun” program, introduced in 2009, will provide generous subsidies for solar PV installations.  Currently 300 projects have been proposed, totaling nearly $2.9 billion in investment.

Nuclear

• China has expanded its pledge to achieve 15% of all primary energy from “non-fossil fuel sources” by 2020.  This expanded directive will allow nuclear power to be included in the total accounting.

Carbon

• New carbon intensity targets were announced in Dec 2009, which aim to reduce the carbon intensity of GDP by 40-45% by 2020 relative to 2005 levels.

Energy Efficiency

• The 5 Year Plan for 2006-2010 aims to increase energy efficiency by 20%, including pumps, fans, boilers and the production of materials like steel and cement.

Read the full article here ….

Long accustomed to cheap and easy access to energy, American consumers have been notoriously resistant to changing their ways to use less energy.  However, according to a recent study by GE, 79% of U.S. consumers would be willing to make short term changes in order to achieve long-term energy benefits.

A full 88% of those polled would start to use devices like smart meters to help them use energy more efficiently, and of this group, 82% say that smart meters and related devices will be “vital technologies” for the future.

Perhaps the most striking result is the 72% of respondents who agree that America’s energy use and consumption habits, if left unaltered, could stifle future economic growth.  This result, GE says, proves that “consumers are ready to think differently about how they use energy.”

“There are some things that are essential to achieving a desired quality of life,” says Bob Gilligan, VP of Digital Energy for GE Energy Services, “and Americans overwhelmingly agree that investing in our nation’s energy future is one of them.”

Read the full article here…

The deals, designed to increase cooperation in the sector, cover areas such as aviation biofuel, distributed energy systems using natural gas as fuel, smart meters and cellulosic ethanol, the China Daily reported. A number of Chinese and U.S. companies would be involved in the eight deals.

The report quoted analysts that the agreements between the world’s two largest energy users would encourage global collaboration in increasing energy efficiency and protecting the environment.

The agreements came at the conclusion of the two-day China-U.S. Strategic and Economic Dialogues in Beijing.

Zhang Guobo, head of the National Energy Administration, also noted bilateral collaboration in renewable energy development, adding: “The United States has advanced technology, and China has a huge market,” the China Daily reported.

U.S. Ambassador to China Jon Huntsman was quoted as saying the two countries will “take every angle” to ensure their cooperation in energy and environment.

Zhang said renewable energy development is important for China to achieve goals of increasing the use of non-fossil energy to 15 percent of primary energy use by 2020, and reducing carbon intensity by 40 percent to 45 percent in 2020 from 2005 levels, China Daily reported.

He said China will continue to focus on the development of hydro, wind, solar, and biomass energy in the renewable sector.

Earlier, U.S. Energy Secretary Steven Chu was quoted as saying improving energy efficiency would both reduce greenhouse gas emissions and boost economic growth.
© 2009 United Press International, Inc. All Rights Reserved.

Smart grid software and infrastructure is becoming increasingly important as governments worldwide work to upgrade electricity distribution systems, which in the case of many industrialized nations, are aging poorly and becoming inefficient.  Likewise, the smart grid is helping to streamline the deployment of electricity from renewable energy technologies like solar and wind into the central power grid.

Right now, the United States is the world market leader in smart grid technology.  In the future, GIA also expects demand to grow for various smart grid service providers, including makers of software, hardware and communications equipment.

Read the full article…

However, despite these costs, a new report from three leading consulting firms predicts that the cost of electricity in Europe in 2050 would be no higher than it would under a “business as usual” plan with no carbon-reduction action taken.

The study, jointly published by McKinsey, European Climate Foundation and E3G, highlighted the following 3 points:

- Renewable power infrastructure is capital-intensive at the onset, yet over time costs less to run than do traditional power plants.

- Replacing outdated coal-fired power plants with new ones is actually more expensive that substituting wind or solar farms instead

- Smart grid investment continent-wide will provide major savings in energy efficiency, and help improve the reliability (and price) of renewables.

Read more here…

Last year, the United States Department of Energy (DOE) allocated millions of dollars in stimulus funding for smart grid development projects to update the nation’s energy infrastructure.  Those grants are now being turned into actual projects on the ground.  Companies like mid-Atlantic energy provider Pepco Holdings and Pacific Northwest-based Netezza are utilizing this funding to conduct regional smart grid tests to help consumers streamline energy usage and reduce inefficiencies.

Japan has enlisted Toyota, Panasonic and Toshiba in its $1.1 billion smart grid trial.  According to Bloomberg, smart meters, electric charging stations and solar panels will be incorporated into homes across four cities including Yokohama and Kyoto starting at the end of the year.  This trial is part of Japan’s goal to meet 10% of its national energy demand with renewable energy by 2020.

Read more here…

By closing the “efficiency gap” between today’s wasteful production methods and other more streamlined options, we can reduce global resource strain, and potentially save billions of dollars.   For every dollar spent on efficiency methods, the report estimates savings of $2-$4 in what would have been wasted energy.

Important developments in this sector are occurring around the world, including massive smart grid investment in South Korea, construction of new high voltage transmission lines in China and development of smart grid software in high-tech hubs in the United States and India.

The following chart shows where we are now… and how far we still need to go.

In an effort to modernize its power grid, China is planning $7.3 billion (USD) in federal funding for smart grid technologies.  The U.S. runs a close second, with a planned $7.1 billion in Department of Energy (DOE) grants for smart grid projects.

The smart grid will play an important role in China’s “master plan,” says Zpryme, and data from the China Electricity Council shows China’s investment in smart grid has been steadily increasing over the past four years.  In 2009, China’s investment in smart grid was actually higher than its overall investment in new power generation, with $51.3 billion USD and $43.9 billion invested respectively.

Major companies are taking notice of this trend, and China has already formulated partnerships with smart grid-focused conglomerates like GE, IBM and Cisco.  In a recent Business Week article, IBM predicted over $400 million in smart-grid revenues to come from China over the next four years.

Read the full report…