Renewable energy incentive program

Transcription

1 Switzerland Renewable energy incentive program This document may not be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose, without our prior written permission.

2 Country Renewable Energy Overview Country renewable energy - Summary Green energy diffusion in the country Solar energy (photovoltaic) Wind mills Biomass, wastes, biogas. Incentive scheme for renewables Solar energy incentives program National overview Feed-in-tariffs Tax credits Wind mills energy incentives program National overview Feed-in-tariffs Biomass, biofuels, biogas energy, incentives program National overview Feed-in-tariffs Geothermal energy National overview Feed-in-tariffs Hydroelectricity National overview Feed-in-tariffs

3 Renewable energy production Renewable energy - Production 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 Primary production of energy in 2010 (in 1000 toe) Coal Renewables Nuclear Natural gas Oil Data Source: Eurostat Thanks to its topography and high levels of annual rainfall, Switzerland has ideal conditions for the utilization of hydropower. Hydroelectric energy production is the leading renewable energy source with 62.43% of national total electricity production. The total installed renewable capacity (biomass + geothermal + hydroelectricity +solar +wind) in Switzerland increased by 1.13% from 14,031 MW in 2010 to 14,189 MW in 2011, ranking on 17th position globally. Over the previous 5 years, the total installed renewable energy capacity has raised by 0.44%. China was the world leader for total installed renewable capacity in 2011 with 301,440 MW, or times larger than Switzerland. The total installed renewable capacity in Switzerland in 2012 represented 69.5% of total installed energy capacity (all conventional + all renewable energy sources).

4 1000 toe Switzerland Renewable energy production 6,000 5,000 Primary production of renewables by type 4,000 3,000 2,000 1,000 0 Wind Hydro Geothermal Biomass and wastes Solar energy Switzerland renewable energy production is mainly based on hydroelectric production. In 2011 it covered a share of 63% of total renewable energy production. Biomass energy production is the second renewable source of the country Primary production of renewable energy, (1 000 toe) in 2010 Despite the little share, solar energy production has considerably grown up in the last years, such as wind and biomass energy production Data Source: Eurostat

5 GWh Switzerland Green energy production Green energy production 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 Switzerland electricity production GWh (2012) Total electricity production GWh (2010) Renewable electricity production Primary Production of Renewables in 2010 (%) 62.43% 0.06% 1.03% 31.27% 5.21% Solar energy Biomass and wastes Geothermal Hydro Wind Data Source: Eurostat In 2010, electricity production from renewable sources in Switzerland reached a share of about 55 % of the total. One of the main objectives of Switzerland's energy policy, with the introduction of the FIT, is to increase the amount of electricity generated by new renewable energy (without large-scale hydro) by 5,400 GWh, or 10% of the electricity consumption, by Wind energy is supposed to add 600 to 1,200 GWh to these targets.

6 TWh Switzerland RE forecast in Switzerland Forecasts The Swiss government s target for 2020 is to reach a renewable energy production equal to 24 % of total energy consumption. The target put a few years ago for 2030 is to add a 5,400 GWh or renewable energy production to total. This means aproximatively 220 GWh per year. In 2020 the added production should be approximatively 3000 GWh. Swiss Federal Electricity Supply Act Renewable energy production forecast Hydroelectric Solar Geothermal Biomass and Wind wastes Forecasts by the AEE : National Energy Agency

7 Renewables - Incentive scheme Incentives for renewables fast overview The main stimulus for renewables is a feed-in-tariff scheme for each renewable source emended by government. The Swiss FIT program took as a base model the German FIT program. The first Energy Law was introduced on 26th June 1998, the so called LEne, and in 2008 new feed-in-tariffs were introduced, with the LAEI the new Energy Law. Through the years there was made revisions on energy law. Feed-in-tariffs for renewables, were actualized in February 2010, but they are still provisory. Tariffs are paid for a period of years Photovoltaic Feed - in tariffs Swiss franc (euro) /kwh Ground mounted Rooftop BIPV Duration (years) (0.2324) (0.3019) (0.0306) (0.33) Swiss Franc/ = 0,83 October (0.3019) (0.4036) 25 Wind Mills Biomass/gas/wastes Geothermal Small wind mills < 10 kwp Duration (years) Large wind mills > 10 kwp Duration (0.1778) (0.1778) first 5 years Power plant 50 kwp - 5 MWp (0.153) 0.28 (0.2316) Bonuses: (0.0289) 0.08 (0.0662) Duration (years) Plants <20 MW Plants >20 MW (0.2316) 0.4 (0.3309) (0.1878) Hydro (0.1117) After premium period, to year 20 Power plant <10 MW (0.062) 0.26 (0.2151) Pressure Bonuses: 0.01 (0.0083) (0.0372) Water management bonusses: (0.0207) (0.0455)

8 Feed-in Tariffs Feed-in Tariffs Solar Photovoltaic 25 years Wind (20 years) in SWF In Euro Ground-mounted in SWF ct/kwh Small Wind <10 kw <10 kw <30 kw <100 kw >100 kw >1,000 kw Rooftop <10 kw <30 kw <100 kw >1,000 kw Building Integrated <10 kw <30 kw <100 kw >100 kw >1,000 kw Large Wind > 10 kw All Sites % Reference Yield % Reference Yield % Reference Yield % Reference Yield % Reference Yield % Reference Yield % Reference Yield % Reference Yield After Premium Period Swiss Franc/ = 0, October 2012 Hydro (25 years) in SWF ct/kwh <10 kw <50 kw <300 kw <1 MW <10 MW Pressure Bonus (for the head of the penstock) <5 m <10 m <20 m <50 m >50 m Water Management Bonus <10 kw <50 kw <300 kw >300 kw Maximum tariff Biomass (20 years) in SWF In Euro Sewage gas maximum Waste gas maximum Other biogas <50 kw <100 kw <500 kw <5 MW >5 MW Wood burning bonus <50 kw <100 kw <500 kw <5 MW >5 MW Power Bonus from Agricultural Wastes <50 kw <100 kw <500 kw <5 MW Bonus for district heating 0 0 Geothermal (20 years) in SWF ct/kwh <5 MW <10 MW <20 MW >20 MW Source:

9 Hydroelectricity Hydroelectricity Share of hydroelectricity in EU % 90.15% Switzerland EU (27) In 2012, hydroelectricity production reached 3101 ktoe ( GWh) (equal to 56.8% of total renewable energy production).

10 Hydroelectricity Hydroelectricity At the beginning of the 1970s, based on the estimated mean production level, hydropower accounted for almost 90% of domestic electricity production, but this figure dropped to approximately 60% by 1985 following the shutting of Switzerland's nuclear power plants, and is at present about 56%. In consequence, hydropower remains Switzerland's major domestic source of renewable energy. Over a third of the total power produced in Switzerland is supplied by stations using reservoirs - constructed by building huge dams in the mountains. The dam wall of Grande Dixence, in canton Valais, the third highest in the world, at 285 meters. Run-of-river stations, which use the water's natural flow to drive their turbines supply another quarter comes. 556 hydropower plants in Switzerland have a capacity of no less than 300 kilowatts each, which generate an average of approximately 35,830 GWh per year: -47% are produced in run-of-river power plants, -49% in storage power plants and -approximately 4% in pumped storage power plants. Two-thirds of hydroelectricity are produced in the mountain cantons of Uri, Grisons, Ticino and Valais, while Aargau and Bern also generate important quantities. Approximately 11% of Switzerland's hydropower generation derive from facilities sited on bodies of water along the country's borders. The hydropower market is estimated at 2 billion Swiss francs (basis = delivery from power plant at 5 cents/kwh), and is thus an essential fragment of Switzerland's energy industry.

11 Hydroelectricity Hydroelectricity

12 Solar energy Solar energy Share of solar energy in EU % 98.62% Switzerland EU (27) The photovoltaics market has expanded globally by more than 30% per year over the past few years, in particular in Europe. In Switzerland, the installed capacity is approximately 30 MW, or 0.04% of Switzerland's electricity production, which is very small proportion. Nevertheless, with the introduction of feed-in tariffs remuneration to the electricity network, the Swiss photovoltaics market should expand more. The systems average output in Switzerland is about 820 kwh/kwp (annual yield/peak output of system), however modern systems are capable of generation up to 1,000 kwh/kwp, even in the low-lying regions. The export volume of Swiss photovoltaic products continues to be high and is estimated to more than MCHF in 2009.

13 Solar energy Source:

14 Solar energy Europe yearly solar irradiation

15 Solar energy Yearly sum of solar electricity generated by 1kWp photovoltaic system with optimallyinclined modules. The correct exposure to the solar rays of the photovoltaic modules represents a key factor to the purpose of getting optimal performances from the plant in terms of production of electric energy. South regions are clearly advantaged in solar energy production because of the higher level of sun irradiation during the year. Especially the regions of Valais, Grisons and Glaris.

16 Solar energy European PV power map (MW) Source: EPIA

17 Solar energy European PV power (MW) Source: EPIA Switzerland PV power installed per inhabitant in 2011 : 26.2 W

18 Solar energy European PV power (MW) Source: EPIA

19 Solar energy Solar energy

20 Solar energy incentive process Solar energy incentive scheme Period : 25 years. From 2010 degression rate will be : 8 % Cap : 16 Mio CHF but will increase to 32 Mio when the average system price falls below 0.60 SWF/kWh. All tariffs are exclude VAT Feed-in-tariff 2013 Ground-mounted Rooftop Building intregrated (BIPV) Swiss Franc/ = 0, October 2012 Power (kwp) Tariff Swiss Franc ( ) kwh < (0.3019) < (0.2787) < (0.2647) > (0.2399) > (0.2324) < (0.33) < (0.3044) < (0.2887) > (0.2622) > (0.0306) < (0.4036) < (0.3631) < (0.3234) > (0.2887) > (0.3019) For installations with rated power > 10 kw, the compensation shall be proportionately calculated over the performance classes. Investment subsidies In the following cantons: AG, AR, BS, FR (almost bailed out), SH, TG, UR, ZH, additionally in some municipalities. Mostly capped at a few kw.

21 Solar energy sample calculation Solar energy - Sample calculation BIPV plant situated in south Switzerland An installation operator installed and commissioned a plant in 2012 with a cumulative peak power of 5 kw. All the modules have the same (peak) output and the same orientation. In 2012 the operator has a total electricity yield of 6500 kwh. BIPV plant power < 10 kwp Incentive tariff: /kwh When calculating the total remuneration, the following procedure has to be applied: 6500 kwh x /kwh = 2,623.4 The total remuneration for the year 2012 therefore amounts to 2,623.4 Euro Ground mounted installation in south Switzerland An installation operator installed and commissioned in 2012 a plant with a cumulative peak power of 25 kw. All modules have the same orientation. In 2012 the operator has a total electricity yield of 37,000 kwh. Ground mounted PV plant > 10 kwp Incentive tariff : 10 kwp = 40 % = 14,800 kwh of 37, /kwh > 30 kwp = 60 % = 22,200 kwh of 37, /kwh When calculating the total remuneration, the following procedure has to be applied: 14,800 kwh x /kwh = 4, Euro + 22,200 kwh x /kwh = 6, Euro The total remuneration for the year 2012 therefore amounts to 10, Euro

22 Wind energy Wind energy production By the end of 2012, in Switzerland operated 32 wind turbines with a total power of 49 MW, generating about 88 GWh of electricity. Share of wind energy in EU % In Switzerland, there is plenty of potential for developing wind energy too: it would be possible for facilities that meet the stringent criteria of Switzerland's wind energy concept to produce around 600 GWh of electricity per annum by % Switzerland EU (27)

23 Wind energy Europe wind map

24 Wind energy Europe wind installed capacity Source: EWEA

25 Wind energy Switzerland yearly average wind speed Northern and mountain regions have higher wind speed during the year.

26 Wind mills distribution Distribution of wind mills (MW) In 2012, the total installed capacity of wind power was of 49 MW. There are : 13 units with a power above 100 kwp 5 units with a power between 10 and 100 kwp, and 14 units with a power less than 10 KWp. The largest wind park is in the north, in Mont Crosin. It has 8 wind mills installed, with an annual average power of 9.6 GWh. Source: Wind-data.ch Source: ieawind.org

27 Wind energy Wind energy

28 Wind energy incentive program Wind energy - Incentive scheme Switzerland has opted for the German system of tariff for wind. Unlike the French system, the German and Swiss system extend the premium payment for a certain number of months as opposed to dropping the tariff in year 6. Period : 20 years Degression rate : 1.5 % per year from Small wind mills power < 10 kwp Large wind mills power > 10 kwp Swiss Franc/ = 0,8265 February 2010 Tariff Swiss franc ( ) /kwh Period (0.1778) 20 years (0.1778) first 5 years (0.1117) After premium period If actual performance meets or exceeds 150% of the reference yield, tariff is immediately lowered to (0.115 )/kwh until the end of the period of payment Large wind mills :The higher initial tariff is paid for five years. This period is extended by two months for each 0.75 per cent of the reference yield by which the yield of the installation falls short of 150 per cent of the reference yield Reference yield in (%) Initial tariff Extention of Total duration period initial tariff of payment years - 5 years years 20 months 6 years, 8 months years 40 months 8 years, 4 months years 60 months 10 years years 80 months 11 years, 8 months

29 Wind energy incentive program Wind energy sample calculation A Small wind energy installation, installed in Power of the plant : 7.5 kwp Production 2012 : 13,500 kwh Production 2013 : 13,900 kwh Tariff for 20 years fixed at /kwh Degression from 2013 of 1.5 % per year of the tariff REMUNERATION ,500 kwh x = 2,400.3 Euro 2013 Tariff lowered by 1.5 % = /kwh 13,900 kwh x 0.17 = Euro

30 Wind energy incentive program Wind energy sample calculation B Large wind energy installation, installed in Power of the plant : 100 kwp Production 2012 : 180,000 kwh Production 2022 : 182,000 kwh Tariff: /kwh The actual performance is of 135 % and it is < 150 % reference yield. Higher initial tariff is extended by 40 months higher tariff period = 8 years and 4 months Degression of 1.5 % per year of the tariff from First 8 years and 4 months tariff : /kwh 180,000 kwh x = 24,480 Euro From year 2015 to 2022 tariff decreased 1.5 % per year : 2022 tariff /kwh 2022 After premium period tariff : /kwh 182,000 kwh x /kwh = 18,564 Euro

31 Germany France Sweden Finland Poland Spain Italy Austria Turkey United Kingdom Romania Portugal Czech Republic Netherlands Denmark Latvia Belgium Hungary Switzerland Norway Lithuania Estonia Bulgaria Slovakia Greece Slovenia Switzerland Biomass, biofuels, biogas energy Bio energy production Share of biomass and wastes in EU % 98.62% Switzerland EU (27) After hydropower, biomass is the second most important source of renewable energy in Switzerland, and it can be utilized for generating electricity, heat and motor fuel. About 40% of the energy potential of biomass is presently being used in Switzerland. In 2010, biomass and wastes energy production reached about 1553 ktoe ( GWh), equal to 31.27% of total renewable energy production Biomass&Wastes production (1000 toe) in 2010 The Biomass-biogas energy production target for is GWh.

32 Bio - energy production Switzerland Bio power installed capacity ARA with co-fermentation Industrial treatment of wastewater Biowaste treatment plant Biodiesel production plant Agricultural biogas plant In 2010, biomass and wastes energy production reached about 1553 ktoe (18000 GWh), equal to % of total renewable energy production. The target to is to reach a GWh production.

33 Bio - energy production Switzerland Bio-Wastes potential In Switzerland the recycling of a waste fraction must not only be proven to be environmentally beneficial to be implemented, it must also be economically sustainable. An estimated (not inventoried) tones of bio-waste is treated by home or community composting, or in plants with a capacity below 100 t/year.

34 Biomass Biomass

35 Biomass and biofuels energy production Other Biomass incentive Minimum Energy Requirements Minimum electrical efficiency : 252 kw, 38 %. Heat utilisation rate: minimum mustn t be lower more than 20 % of the rate required in a civil year or in two consecutive years, unless remuneration will be no more available until minimum heat utilisation rate is reached. Period: 20 years Degression: 0 % 2012 Power plant Tariff swiss franc ( ) 50 kw 0.28 (0.2316) 100 kw 0.25 (0.2068) Other Biomass 500 kw 0.22 (0.1820) 5 MW (0.153) > 5MW (0.1447) Wood bonus and agriculture biomass bonus can not be combined Bonus for biomass from agriculture is allocated if uses: 1. fertilizer, with crop residues and waste substances from agricultural production surpluses 2. if the proportion of non-agricultural co-substrates and energy crops is 20% (mass of fresh material). Bonuses Swiss Franc/ = 0,8265 February 2010 Wood use Bonus Agriculture biomass Bonus District Heating Bonus 50 kw 0.08 (0.0662) 100 kw 0.07 (0.0579) 500 kw 0.06 (0.0496) 5 MW 0.04 (0.0331) > 5MW (0.0289) 50 kw 0.18 (0.1489) 100 kw 0.16 (0.1323) 500 kw 0.13 (0.1075) 5 MW (0.0372) 0.02 (0.0165) Bonus for external heat (CHP bonus) of euro cents per kilowatt hour is granted if the external heat exceeds by at least 20 % (based on gross production) the minimum requirements

36 Biomass and biofuels energy production Biomass energy sample calculation A Biomass installation with an output of 1.5 MW; year of commissioning: The plant uses fertilizer, with crop residues and waste from agricultural production. Energy requirements in terms of energy efficiency are reached. Tariff: Output power 1.5 MW < 5 MW = /kwh Agriculture biomass bonus : /kwh Final tariff : = /kwh

37 Geothermal energy Geothermal energy Share of geothermal energy in EU % 95.60% Switzerland EU (27) In 2010, geothermal energy production reached 259 ktoe (3012 GWh) (equal to 5.21 % of total renewable energy production) Geothermal power generation (1000 toe) in 2010 Data Source: Eurostat 2012 Feed - in tariffs Swiss franc (euro) /kwh Geothermal Duration (years) Plants <20 MW Plants >20 MW (0.2316) 0.4 (0.3309) (0.1878) Data Source: EREF

38 Geothermal Geothermal Energy In Switzerland there are no geothermal power installations and no electricity is produced from geothermal sources at present. Nevertheless, the Deep Mining project in Basel intends to build a facility capable to generate 3 MW of electricity and 20 MW of thermal production, capable as well to provide electricity to approximately 10,000 households and to provide heat to 2,700 households. In 1996 started the preliminary work on this pilot project on the initiative of, and with the support of, the Swiss Federal Office of Energy. The utilization of geothermal energy for direct-use has enhanced considerably, mostly with the installations of geothermal heat pumps (GHP). The second major utilization of geothermal energy is with thermal spas and wellness facilities. The percentage of the different uses in terms of energy use (GWh) is 73.9% for HE and horizontal loops, 13.6% for balneology, 10.4% using shallow groundwater, 1.0% using geostructures (energy piles), 0.6% using deep aquifers which includes using tunnel water. On Riehen, Canton Basel city, is situated one geothermal district heating. The introduction of a feed-in tariff and a risk coverage system have been the latest modifications in governmental policy in 2008.

39 Geothermal Geothermal Energy Source:

40 Geothermal Geothermal Energy The geothermal utilization by the different categories is: for individual space heating - 2 MWt and 14.7 TJ/year ; for district heating - 3 MWt and 33.5 TJ/year; for air conditioning 1.4 MWt and 11 TJ/year; for snow melting MWt and 0.3 TJ/year; for bathing and swimming MWt and 1,045.4 TJ/year; for using tunnel water MWt and 7.7 TJ/year; for GHP - 1,017.1 MWt and 6,602 TJ/year. The total for Switzerland is 1,060.6 MWt and 7,714.6 TJ/year Government aid for geothermal power production (for 20 years) Feed in tariff covering cost in Switzerland Fixed Tariff: 40 Rp./kWh electricity, or 33.3 ct/kwh electricity (exchange rate 1 = 1.2 CHF) Risk insurance: the government will reimburse up to 50% of drilling costs in case of low productivity

41 Geothermal energy Geothermal energy