alliance for rural electrification 2008 european lpg congress lpg – res: a win-win partnership...

Alliance for Rural Electrification

2008 EUROPEAN LPG CONGRESS2008 EUROPEAN LPG CONGRESSLPG – RES: A Win-Win PartnershipLPG – RES: A Win-Win Partnership

29-30 May, 2008 29-30 May, 2008 -- Milan, Italy Milan, Italy

2008 European LPG Congress May 29-30, 2008 Milan

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I. Alliance for Rural Electrification (ARE)

Alliance for Rural Electrification (ARE)

The Alliance for Rural Electrification (ARE) is a non-profit international organization that was created in 2006 in response to the need for access to sustainable electricity in the developing world and to facilitate the involvemente of ARE members in the emerging rural energy markets

ARE was founded by the most important European renewable energy industry associations and is currently integrating renewable energy players active in the field of rural electrification


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Because of the potential for renewable energy and LPG to be combined in a hybrid power system.

This is one of the most suitable technologies for rural electrification


Why are we here?

There is a clear convergence of interests between the renewable energy sector and the LPG sector…


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Why it makes sense?

1.6 billion people, representing more than one-quarter of the world population, do not have access to electricity in their homes,


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There is a significant potential in the emerging off grid electricity markets. The undergoing shift in investment patterns towards a greater reliance on private investments, the ongoing power sector restructuring in many developing countries, as well as a tendency to change national policies to facilitate renewable power generation, are increasingly opening up new markets

Taking PV as an example:


Why it makes sense?

“PV Off-grid habitation“: 161 MWp; growth rate: 17%

“PV Off-grid industrial“:133 MWp; growth rate: 15%

* Market size 2007 according to Navigant Consulting 2006

PV Off-grid equals only 3%

Public

Private

Commercial

Industrial


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There are still a number of challenges to face in order to reach a fair level play scenario within the field of rural electrification, such us:

- Lack of appropriate financing instruments on the supply and demand side to cover the high initial investment and to enable rural population to afford electricity and to develop productive uses of electricity.

- Absence of RES within national and local rural energy planning and, consequently, discouragement of decision makers to push forward RETs.

- Lack of awareness and information about the technology and its benefits prevents responsible choices about energy services.


However…


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Raise and increase awareness of the potential of renewable energy as one of the most suitable solutions to provide electricity, notably within rural areas

Accelerate and support the deployment of renewable energy technologies within developing countries and increase market opportunities for the industry

Stimulate private sector involvement (technically and financially) in the developing world

Serve as a platform/meeting point for all renewable energies to generate a common approach towards rural electrification

Generate financial resources for rural electrification


Therefore….our objectives


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and activities

Generationcontent

WorkingGroups

Communicat&

Dissemination

Techolog Solutions

Market Analysis

Financing Schemes

Position Papers

Brochures

Articles

Newsletter

Press releases

Network contacts

Events

Website


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LPG is a modern source of decentralized energy

Clean

Portable

Storable

Efficient

Available

Polyvalent

II. LPG & RES

LPG – RES: benefits for rural areas

LPG is already available in most low population density areas in Europe and in the developing world.


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II. LPG & RES


The advantages of LPG can be combined with those of RES:

On site

Flexible

Easy O&M

Environmentally sound

Optimizes natural resources


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II. LPG & RES


The use of LPG power generators as a backup for intermittent RES (PV, wind, micro-hydro) is the reliable solution with the lowest possible impact on the environment and human health.

There are several possibilities to adapt the size of systems to the local needs of end-users.


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Used as a fuel for the power generator, LPG is a clean back-up for high loads or low RES availability

The storability of LPG means battery use is limited

II. LPG & RES

How does it work?

Back-upGenset

BatteryPower

electronics

RES

Loads

Production Consumption

HybridSystem


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Reliable grid-quality electricity Wide range of applications (village electrification, professional uses, back up

public grids, etc) The best replacement for diesel fuel based systems Cost-competitive on a life cycle basis compared to extension of grid or diesel

based systems

II. LPG & RES

Is there a niche market for hybrid systems?

Economical comparison: diesel vs. RE Off-grid Economial comparison: grid extension vs. RE Off-grid

Yes!


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WHY? Promising market opportunities for both sectors LPG can provide presence and experience within rural areas; a wide

distribution network, capacity building (rural sociology) ARE can promote LPG as a clean solution to replace diesel as a back up and

provide the framework to develop integrated LPG-RES hybrid systems

HOW?

Membership in ARE Development of joint projects Development of joint market studies

ADDITIONAL SUGGESTIONS ARE MORE THAN WELCOMED !

II. LPG & RES

Should we work together?Yes!

alliance for rural electrification 2008 european lpg congress lpg – res: a win-win partnership...

Documents

gridoffgrid market value

grid habitation

grid industrial

grid equals

grid businesstopic200610

rural electrification

grid electricity markets

field of rural electrification