Governments must redouble their R&D support for renewables

PARIS, France, February 22, 2006 (Refocus Weekly)

Renewable energy technologies have received an average of 7.6% of government energy research during the past 30 years, and have “stagnated,” according to the International Energy Agency.

“Renewable energy technologies are a crucial element in achieving a balanced global energy future,” says IEA executive director Claude Mandil on the release of the 224-page ‘Renewable Energy: RD&D Priorities.’ “Renewables can make major contributions to the diversity and security of energy supply and to economic development.”

Government budgets among IEA member countries for energy RD&D increased sharply after the oil price shocks of the 1970s but, by 1987, had declined to two-thirds of their peak level and then stagnated until 2003. Spending on renewable energy technologies has remained relatively stable of total energy RD&D, averaging 7.6% for the period.

“We need to use public funds as effectively as possible in achieving this,” says Mandil. “Countries must improve their market deployment strategies for renewable energy technologies and, above all, increase targeted renewables RD&D, simultaneously ensuring continued cost-competitiveness.”

Among global renewables, the shares for biomass, solar PV and wind have increased, while ocean, geothermal and concentrating solar power have declined in share, “broadly reflecting the evolving consensus as to where the greatest potential lies,” it explains. “There are great variations in the balance of spending of individual countries, reflecting resource potential and national energy policies,” with the U.S., Japan and Germany noted as the largest total spenders on energy technology RD&D, while Switzerland, Denmark and the Netherlands lead on a per-capita basis.

Renewables currently supply 13.3% of the world’s primary energy, most of it from large hydro, biomass and geothermal facilities. The contribution of these technologies is stable or declining, while third generation technologies have “great promise for the future,” it explains. The IEA forecasts that the global share of green power will increase from 18% now to 19% by 2030, and will require an investment of US$1.6 trillion, or 40% of power generation investment over the period.

If the share of renewables is to be substantially enhanced in the energy portfolio, “it is imperative to accelerate technological advancement and subsequently reduce costs, in combination with novel applications and deployment,” but renewables research “should not be left solely to government” and industry “can be expected and should be encouraged to play a major role in the development of all technologies, whether or not yet commercially available.”

The purpose of the publication is to help governments prioritize their R&D efforts for renewables, which have played “a major role in the successful development and commercialization of a range of new renewable energy technologies in recent years,” it notes. “Successful RD&D programs need to be well focused and should be co-ordinated with both industry efforts to promote commercialization and competitiveness in the market, and with international programs.”
Generating more electricity from hydropower does not require technological breakthroughs, large R&D expenditures or radical changes, but will need continuous technology improvements, increased public acceptance, and more efficient project approval processes supported by government policy. Implementation and
development of the technology should be financed and supported by both public and private sectors, it adds.

There are several priority areas where geothermal could accelerate its advancement around the world, both for power generation and Green Heat, and more funding and manpower is needed for rapid achievement of priorities.

During the last five years, the wind industry has placed its emphasis on developing larger and more effective turbines, and continued R&D is “essential to explore revolutionary new designs as well as for incremental improvements to provide the reductions in cost and uncertainty needed for widespread deployment,” it adds. “Research is needed to improve our understanding of aerodynamics and extreme wind situations, on aspects of grid integration, forecasting techniques, minimizing environmental impacts, and on public attitudes to deployment.”

While solar PV is in full commercial use for illuminating signs, water pumping, remote lighting and other applications, costs must come down for mainstream power use. For solar heating and cooling, a “comprehensive and ambitious applied RD&D program is needed” to develop systems that can eventually provide 10% of the overall low-temperature heat demand of IEA countries.

G8 leaders at the Gleneagles Summit called for a “clean, clever and competitive” energy future, and renewables “will need to play a major role in this future,” the report concludes. “This calls, amongst other things, for a redoubling of government RD&D efforts” with programs that are well focused and of high quality, and integrated with the efforts of industry towards market commercialization.


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