Renewable energy is a crucial element in the global energy future
By Piotr Tulej
The development and deployment of renewable energy technologies are important components
for the future of a balanced global energy economy. Renewables can make major contributions
to the diversity of energy supply, to economic development, and to addressing local
environmental pollution. The International Energy Agency (IEA) believes that renewables--as
part of a balanced energy mix--are a crucial element in achieving a clean and competitive
global energy future. They contribute to energy supply security, reduce dependency
on fossil fuel resources and have the potential for mitigating climate change.
In
2005, IEA Ministers called for a clean, clever, and competitive energy future, and
renewable energy technologies--as part of a balanced energy mix-- will need to play
a significant role in this future. A key prerequisite for that is
to ensure they
become cost-effective. Currently, renewable energy technologies supply 13.3 per
cent of the world's primary energy supply. Most of this is accounted for by well-established
technologies such as hydropower and biomass. Other renewable energy technologies--such
as wind, solar hot water, solar
photovoltaics, and advanced bioenergy-- although
starting from a much lower base, are now growing rapidly. This is the result of
research, development and demonstration (RD&D).
These research investments,
mainly by IEA member countries, began in the 1970s and were originally stimulated
by the oil supply crisis.
Concentrated
solar power, ocean energy, advanced geothermal,
advanced biomass and biorefinery technologies are still under development, but have
great promise for the future. Spending in renewable energy RD&D by IEA member
countries has dropped to two-thirds of the peak level reached after the oil shocks
of the 1970s. Since 1987, the share of renewable energy technologies in total energy
RD&D spending has stagnated, averaging 7.6 per cent.
Among renewable energy
technologies, the shares in global funding of biomass, solar photovoltaic and wind
have increased,
while those of ocean, geothermal and concentrating solar power have
declined, broadly reflecting the evolving consensus as to where the greatest potential
lies. Of course, there are great variations in the balance of spending of individual
countries, reflecting resource potential and national energy policies. The United
States, Japan and Germany are the biggest total spenders on energy technology RD&D,
although Switzerland, Denmark and the Netherlands are the leaders on a spending
per capita basis.
Successful RD&D programmes 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. In addition, they must reflect national
energy resources, needs and policies. They also need to have roots in basic science
research. Issues of public acceptability, grid connection and adaptation, and managing
natural cycles are common to a range of renewable energy technologies and need to
be addressed in government RD&D programmes.
Public funds for RD&D should
be used as effectively as possible. At the same time, 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.Recent IEA analysis demonstrates consensus
that RD&D in renewable energy must be strengthened, but with a caveat that priorities
must be well selected, in order to address priority policy objectives, especially
as they relate to prospective cost-effectiveness.
Intelligent choice of such priorities
will invariably facilitate market deployment of new and improved technologies, including
renewables. Research, development and demonstration activities have played a major
role in the successful development and commercialization of a range of new renewable
energy technologies in recent years. A new publication recently released by the
IEA--"Renewable Energy: RD&D Priorities, Insights from IEA Technology Programmes"--reinforces
the view that research, development and demonstration are crucial elements in making renewable energy technologies cost-effective and viable in the global market. The
publication is intended to assist governments in prioritizing their RD&D efforts
for renewable
energy.
We think that countries can
improve their market deployment
strategies for renewable energy technologies and above all, increase targeted renewables
RD&D, simultaneously ensuring continued cost-competitiveness.
There is much
at stake.
Samuel W. Bodman is U.S. Secretary
of Energy.