The Canadian federal government has committed to powering all of its buildings and operations using renewable energy sources by 2025. The goal is in support of a broader target to reduce the government’s greenhouse-gas (GHG) emissions by 40% by 2030.

Catherine McKenna, the federal minister of environment and climate change, announced the new commitments while speaking at the Canadian Wind Energy Association conference in Calgary on Wednesday. In a press release from the government, McKenna commented, “We are taking action on climate change by greening our government’s activities and are doing our part to make further progress toward Canada’s emissions target. We will do more as we develop our pan-Canadian climate plan – a plan that will create good jobs for the benefit of Canadians, especially the middle class and those striving to join it.”

In its release, the government notes that although the GHG-reduction target is set for 2030, it aspires to meet the goal by as early as 2025. By that date, the government continues, Public Services and Procurement Canada – the government’s principal landlord – will be purchasing 100% of its electricity from clean energy sources. The government notes that its Department of National Defense will be buying a significant amount of renewable electricity for its installations in Alberta. This will meet most of the electricity requirements for installations in Calgary, Cold Lake, Edmonton, Wainwright and Suffield.

John Gorman, president and CEO of the Canadian Solar Industries Association (CanSIA), has lauded the government’s new initiatives.

“The federal government’s commitment to purchasing 100 percent renewable electricity from sources, such as solar energy, as early as 2025 makes a significant contribution to Canada’s innovation and environmental protection agenda in two ways,” said Gorman in a statement.

“Firstly, they have the purchasing power to make a difference. Not only will their actions directly displace significant levels of greenhouse gas emissions, it will also give rise to new businesses and infrastructure.

“Secondly,” he continued, “being a part of the global response to climate change will bring changes to the decisions that are made by all consumers for goods, products and services. By leading by example, the government of Canada is demonstrating that every one of us has a role to play in making the right decision for future generations.”

In addition to renewable energy procurement, the government says it will make strategic investments in vehicle fleets and infrastructure. For example, the government says it will invest in revitalizing the heating and cooling plants in the National Capital Region, which provide services to more than 85 buildings and facilities. That investment is expected to modernize six separate facilities and reduce their emissions by more than 45%, according to the government.

The announcement did not provide many details regarding planned renewable energy procurements, including solar’s potential role; however, the government says it is establishing a new team, called the Center for Greening Government, to track the government’s emissions centrally, coordinate efforts across agencies and drive results to ensure the objectives are met.

Notably, these new initiatives are just the latest signs of hope that the Canadian government has provided to the country’s fledgling solar industry, which had only about 2.5 GW of cumulative installed capacity by the end of 2015. Canadian Prime Minister Justin Trudeau has committed Canada to the Paris Agreement, and in June, he united with U.S. President Barack Obama and Mexican President Enrique Pena Nieto to set a goal of achieving 50% clean power generation in North America by 2025. Furthermore, in October, the government introduced a nationwide carbon pollution pricing plan.

Solar Industry  

When Blue Mountain Renewables (BMR) began operating its 36-megawatt wind farm in Potsdam, St Elizabeth, a few months ago, the facility became Jamaica’s largest private-sector renewable energy project.

Minister of Science, Energy and Technology Dr Andrew Wheatley, who gave the keynote address at the official opening on August 11, pointed out that the wind farm would help to diversify the country’s energy matrix and ease the dependence on imported fossil fuels.

“The wind farm is expected to reduce greenhouse gases by about 66,000 tons of carbon dioxide equivalent per year, roughly equivalent to taking 13,000 cars off the road,” he informed.

Wheatley also applauded the relationship and assistance the company has given to the neighbouring schools, Munro College and Hampton High, as well as the treatment of farmers in St Elizabeth who were affected during the construction phase.

Principal of Hampton High Heather Murray said that she could literally see the ‘wind of change’ with the advent of the BMR wind project.

She bemoans the fact that nearly a quarter of her school’s budget is spent on high electricity cost, money that could be spent on building a state-of-the-art science laboratory.

“BMR brings hope and we welcome them wholeheartedly. We are also excited about the efforts to go green and we are doing our part here at Hampton. Earlier this year, we swapped all fluorescent light bulbs for more environmentally friendly LED bulbs,” Murray stated.

She also informed that Hampton had installed about 12 solar panels to integrate renewable energy into their electric supply. The panels, combined with small wind turbines on the campus, now provide about one-fifth of the school’s energy needs, she noted.

 

TO SERVE THOUSANDS

 

The BMR Jamaica Wind project will serve thousands of customers annually. Power will be sold to the Jamaica Public Service (JPS) Company, under a 20-year power-purchase agreement. This electricity is expected to be among the lowest cost sources of power available on the JPS system.

Jamaica currently relies on oil imports to meet 90 per cent of its energy needs. This leaves the country vulnerable to fluctuating oil prices, which can make it difficult to budget and plan effectively.

To ease the dependence, the country has set a target to generate 30 per cent of its energy from local renewable sources such as hydro, wind and solar power by 2030.

President of BMR Bruce Levy said construction of the project was made easier by the cooperation of the Potsdam residents and the appreciation they showed for the work being done in their community.

“We made sure there was significant benefit to the local and wider community, with billions of dollars of direct spending and employment of hundreds of Jamaicans during construction. We say, without any fear of contradiction, that we are committed to community development,” he said.

Levy informed that the wind farm was made possible through a US$62.7 million financing package, including a US$42.7 million loan from the Overseas Private Investment Corporation (OPIC); a US$10 million loan from the International Finance Corporation (IFC), and a US$10 million loan from the IFC-Canada Climate Change Programme. BMR Energy provided an equity investment of US$26.9 million.

Gleaner

It’s the latest response to a fossil-fuel disaster.

JMMB Group Limited will spend US$420,000 ($53 million) on a solar energy system to power various offices across Jamaica this year.

The project forms part of a wider move by JMMB to reduce its carbon footprint.

“We plan to implement this on a location-by-location basis, with the first implementation taking place at one of our locations in Kingston, in the coming months. The cost is as stated, US$420,000,” the financial conglomerate told the Financial Gleaner.

JMMB estimates the project payback period will span just about five years based on expected energy savings.

The solar plant will generate up to 293,935 kilowatts, hours of electricity per year with the use of clean renewable energy.

“The system is expected to save the company US$90,000 annually, and reduce oil energy dependency by 34 per cent,” JMMB said in its newly released annual report for year ending March 2016.

Roughly three years ago, JMMB embarked on a company-wide initiative coined ‘Go Green’, with one of the primary objectives to change the group’s energy practices in a way that was more environmentally friendly and cost-efficient.

“This investment in a grid-tied solar system is just another step in the direction of making us even more efficient at how we use energy,” the company said via email.

A grid-tied solar system is one where the system itself is tied to the external electricity grid, as opposed to batteries.

“In other words, the system uses the sun to generate our electricity needs, with any unused electricity going back to the external grid, as opposed to being stored in batteries,” said JMMB.

JMMB expects the project to expand over time through exploration of other renewable resources to all JMMB Group locations, where possible.

JMMB Group made $2.3 billion profit off $10.42 billion of net revenue in FY2016.

Gleaner

Cheaper coal and gas will do nothing to derail the renewable energy revolution according to BNEF’s New Energy Outlook 2016.

Bloomberg New Energy Finance states 60% of installed capacity will be zero-emission energy sources by 2040 and wind and solar power will take the lion’s share of new power generation capacity added – 64%.

Solar power is forecast to be the cheapest generation technology in most countries by 2030 and account for 3.7TW, or 43%, of new capacity added in 2016-40. This will represent $3 trillion of new investment.

A very important point in the report is that around 2027, new wind and solar will be cheaper than running existing coal and gas generators, particularly where carbon pricing has been implemented. In just over a decade we may see a marked uptick in current fossil fuel generation plants being shuttered. The report says there will be a net closure of 286GW of coal in OECD economies by 2040.

By 2040, BNEF states Australia will have wind and solar penetration of more than 50%.

Another prediction will get electric vehicle supporters excited – BNEF’s modeling suggests EV’s will comprise a quarter of the global car fleet by 2040. This is also good news for the residentialand commercial solar sector as it will accelerate a reduction in battery costs through technology development, economies of scale and enhanced manufacturing know-how.

BNEF sees a very healthy future for small-scale solar power, with it accounting for 10% of global generating capacity by 2040. With regard to home battery systems, Bloomberg expects solar energy storage to be commonly deployed alongside rooftop solar panel systems by 2020.

Behind-the-meter energy storage generally will see a sharp rise from around 400MWh today to nearly 760GWh in 2040.

While the news is upbeat about renewables generally, forecasted additions won’t be enough to rein in carbon emissions to the required degree.

“Some $7.8 trillion will be invested globally in renewables between 2016 and 2040, two thirds of the investment in all power generating capacity, but it would require trillions more to bring world emissions onto a track compatible with the United Nations 2°C climate target,” said Seb Henbest, lead author of the report and head of Europe, Middle East and Africa for BNEF.

BNEF suggests approximately USD $5.3 trillion would need to be invested in zero-carbon power by 2040 to prevent carbon dioxide levels rising above 450 parts per million.

Bloomberg

If the Peru and Mexico auctions are any indication, Latin American markets are establishing a new, and very low, normal for solar prices. Peru recently awarded a solar power purchase agreement (PPA) at $47.98/MWh to Enel Green Power (EGP), making headlines as the lowest PPA on record. But just weeks later, EGP beat its own a record in Mexico’s auction with a PPA price of $35.44/MWh for solar PV, and an average price for all awardees of $50.77/MWh for wind and solar.

What’s pushing these prices down, and how long will it last? Developers are likely making a few key assumptions:

1) Commodity prices are falling — 80 per cent since 2008, according to data from IRENA — and are expected to continue dropping, so modules will be cheaper;

2) Energy Performance Certificate costs are likely to fall as renewable energy penetration increases throughout the region; and

3) The quality of resources is very good in these markets, increasing the effectiveness of solar technologies so developers can get more bang for their buck.

While solar costs are indeed falling, it’s the jaw-droppingly low price bids by EGP that are making headlines. They are building massive installations, much larger than in the past, and economies of scale are helping to push down the prices. Access to funds at highly competitive rates from organisations such as the European Investment Bank has also enabled EGP to bid aggressively.

“Our prices were the most competitive but in line with those submitted by other international operators taking part in the auction,” said Carlo Zorzoli, EGP’s head of Latin America.

EGP has won 1,172 megawatts of solar PV in Latin America in 2016 alone. That, in itself, is noteworthy; perhaps more noteworthy is that they believe they can build profitable projects across a portfolio of tightly priced PPAs.

It’s hard, and perhaps not even desirable, for other developers to compete with EGP’s low bids, but there are other players in these markets bidding at or very near to Enel’s winning prices. Companies eager to make a footprint in the market are coming in at or below cost, according to industry analysts, potentially with internal rates of return in the single digits – a reality they are willing to face to gain a strong foothold in these young markets with enormous potential.

A favourable regulatory environment will continue to be vital in attracting serious developers and maintaining low prices. Peru’s regulator, Osinergmin, required very high bid bonds for their RFP — $50,000/MW — and tied the PPA price to the US dollar, which could prevent results similar to the frenzied bids and current situation in Brazil.

Mexico also allowed developers to bid in pesos indexed to the US dollar, which offered more economic certainty.

Peru’s next request for proposal is couple of years off, but Mexico has one coming up in August, and many expect to see even lower prices.

However, when it comes to other Latin American markets, while prices may be relatively low, they aren’t expected to break records, particularly in Argentina where many unknown factors loom. Broadly, however, the theme is clear: Latin America is opening up, competition is fierce and — at least as far as pricing is concerned — it’s a race to the bottom.

Jamaica Observer 

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KINGSTON, Jamaica – Customers of Jamaica Public Service (JPS) will again be able to apply for licences to sell their excess electricity generated from renewable energy sources to the grid as of April 11, 2016.

Minister of Science Energy & Technology (MSET) Dr Andrew Wheatley today announced that the Office of Utilities Regulation (OUR) will resume accepting applications on behalf of the ministry for net billing under similar terms as the previously-concluded net billing pilot project until the details of a permanent programme are finalised.

According to a release from the ministry, the decision to continue the programme came out of an agreement reached on April 7 with the OUR and JPS.

All parties agreed that it was in the best interest of all concerned that the net billing programme be resumed so as to strengthen the development of the renewable energy sector in accordance with the National Energy Policy, the release said.

The two-year pilot programme was extended to May 2015, as the system peak demand threshold for net billing was not met.  As at March 2015, 351 applications were received, 311 of which were granted licences, the ministry said.

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PARIS, France (AFP) — Investment in renewable energy hit a record US$286 billion (256 billion euros) in 2015, more than half of which came from developing countries for the first time, according to a UN report released Thursday.

All told, new money put into solar, wind, biofuels and other cleaner energy technologies has exceeded US$2.3 trillion since 2004, when total investment was less than US$50 billion, it said.

“Renewables are becoming ever more central to our low-carbon lifestyles,” said Achim Steiner, executive director of the UN Environment Programme, which co-wrote the report.

“Importantly, for the first time in 2015, renewables investments were higher in developing countries than developed.”

That shift was led by China and India, both of which have invested heavily in clean energy even as their juggernaut economies continue to be mainly powered by carbon-intensive fossil fuels.

Renewables added more to global energy generation capacity in 2015 than all other technologies combined, including nuclear, coal, gas and mega-hydro projects of more than 50 megawatts.

Despite rock-bottom fossil fuel prices, new clean energy capacity — even excluding nuclear—- outstripped new coal and gas by more than 100 per cent, said the report, Global Trends in Renewable Energy Investment 2016.

The rapid transition to renewables, especially in developing and emerging economies, is “helped by sharply reduced costs, and by the benefits of local power production over reliance on imported commodities”, said Michael Liebreich, chairman of the advisory board of Bloomberg New Energy Finance, which co-launched the report.

As in previous years, the growth in clean energy in 2015 was dominated by solar photovoltaics and wind, which together added 118 gigawatts in generating capacity, nearly a quarter more than the year before.

Wind contributed 62GW and photovoltaics 56 GW, with more modest inputs coming from biomass, geothermal, solar thermal and ‘waste-to-power’, in which waste products are recycled.

The fact that renewables far exceeded conventional energy for new capacity in 2015 shows that a “structural change is underway”, the report said.

But the ultimate goal of a “carbon neutral” global economy enshrined by the world’s nations at UN climate talks in Paris in December is still a distant prospect.

Excluding major hydro projects, renewables still only account for 16 per cent of the world’s total power capacity, even if that figure has consistently climbed by double digits in recent years.

Plummeting costs

Actual electricity generated is even less — barely 10 per cent.

“Despite the ambitious signals from COP21 and the growing capacity of new, installed renewable energy, there is still a long way to go,” said Udo Steffens, president of the Frankfurt School of Finance and Management.

The Paris Agreement inked at the 195-nation ‘COP21’ talks vowed to cap global warming at below two degrees Celsius (3.6 degrees Fahrenheit), a goal that scientists say will require a wholesale shift away from fossil fuels.

Much of the record-breaking investment in clean energy last year came from China, which spent nearly US$103 billion (92 billion euros), 17 per cent more than in 2014 and 36 per cent of the world total.

India was a distant second, spending US$10.2 billion, followed by South Africa (US$4.5 billion), Mexico (US$4 billion) and Chile (US$3.4 billion).

Morocco, Turkey and Uruguay filled out the list of nations, investing at least US$1 billion.

Overall, developing countries poured 17 times more money into clean energy last year than in 2004.

Jamaica Observer

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SINCE its inception in 2014, the Caribbean Climate Innovation Centre (CCIC) programme has been leading the way in developing a regionally integrated approach to solving the Caribbean’s climate, energy, and resource challenges.

The CCIC programme aims to assist Caribbean island states to adapt to and mitigate the impact of climate change by empowering each territory to create clean technologies and businesses, and strengthening several critical areas.

Chief Executive Officer (CEO) Everton Hanson says that the centre is taking an entrepreneurship approach to addressing the issues.

“The purpose of this project is to build an entrepreneurial ecosystem that will foster growth-oriented entrepreneurs and profitable businesses that address climate change mitigation and adaptation,” he explains.

The CCIC, which was established as a Consortium, is jointly managed by two of the Caribbean’s foremost scientific institutions — the Scientific Research Council (SRC), based in Jamaica, and the Caribbean Industrial Research Institute (CARIRI) situated in Trinidad and Tobago.

Both islands have active CCIC programmes and function as the project’s primary ‘country hubs’. These hubs are responsible for administering financing, management, and support service delivery regionally.

Locally, the CCIC project is housed at the offices of the SRC located at Hope Gardens in Kingston.

The programme, which emphasises the need for a unified response to developing climate change solutions, has 12 established country hubs in several other Caribbean Community (Caricom) states: Antigua and Barbuda, Bahamas, Barbados, Belize, Dominica, Grenada, Guyana, Montserrat, St Kitts and Nevis, St Lucia, St Vincent and the Grenadines, and Suriname.

The CCIC model was developed in collaboration with local stakeholders and addresses the gaps across five priority areas: solar energy, water management, sustainable agribusiness, resource use and efficiency, and energy efficiency.

The CCIC also offers services that assist entrepreneurs in developing business models for their products and services. Among these are technology commercialisation; market development; mentoring and training; networking, as well as business incubation support, and identifying and developing local, regional and international market opportunities.

A key feature of the programme is that it facilitates the testing and prototyping of proposed innovations, and provides technical support and information on contemporary green technology.

So far the bold initiative has met with success, instituting innovative activities in its goal of supporting companies from the nascent stage to an advanced stage of development. This has been accomplished through the staging of boot camps and accelerator programmes, among other activities.

One of its more notable programmes, the Proof of Concept (PoC) competition held in 2015, invites innovators to present designs and concepts for products which can be transformed into viable businesses.

Over 300 innovators from 13 Caribbean countries applied for grant funding through the competition, with 11 winners selected from the pool of applicants.

The successful participants, who were awarded grants ranging from US$10,000 to $50,000, came from Jamaica, Antigua and Barbuda, St Kitts and Nevis, Dominica, St Lucia, and Belize.

Additionally, the PoC winners benefited from several capacity-building exercises facilitated by CCIC and CARIRI, including mentorship, training and technical assistance in business incubator activities.

The CCIC in Jamaica recently hosted the Caribbean Green Tech Start up Boot Camp, which ran from February 26 to 28. Over 70 innovators and entrepreneurs from across the Caribbean participated in the interactive three-day workshop, which challenged them to refine their concepts, transforming them into viable, sustainable businesses.

Executive Director of the SRC, Dr Cliff Riley, points out that with the project is an important initiative as it directly addresses problems associated with climate change while stimulating economic development.

“It is a project for the entire region to build capacity and to ensure that innovative ideas and products can be translated into viable businesses,” he notes.

The programme was developed under the World Bank’s global partnership development programme, InfoDev, and is being implemented under its Climate Technology Programme.

The Caribbean component of the Climate Innovation Centre (CIC) is one of seven CICs established across the world. Other countries with CICs are Kenya, Ethiopia, South Africa, Vietnam, Morocco, and Ghana.

The CCIP programme is one of three components of the World Bank/InfoDev Entrepreneurship Programme for Innovation in the Caribbean and is funded by the Canadian International Development Agency.

Jamaica Observer

Jamaica is to reduce greenhouse gas emissions by the equivalent of 1.1 million metric tons of carbon dioxide per year by 2030 as part of its global commitment to take climate change mitigation action.

To bring this about, the island – as reflected in its nine-page Intended Nationally Determined Contributions (INDCs) document to the United Nations Framework Convention on Climate Change – has undertaken to implement energy policies that ensure that the island uses energy wisely and aggressively to pursue opportunities for conservation and efficiency has a modernised and expanded energy infrastructure that enhances energy-generation capacity and ensures that energy supplies are safely, reliably, and affordably transported to homes, communities, and the productive sectors on a sustainable basis, and achieves its energy resource potential through the development of renewable energy sources by increasing their share in its primary energy mix of 20 per cent by 2030.

Such policies are also to ensure that government agencies and ministries are models and leaders in energy conservation and environmental stewardship and that the island has a well-defined and established governance, institutional, legal, and regulatory framework.

Private Industry Support

Fully implemented energy polices need, too, to ensure that private industry embraces “efficiency and ecological stewardship to advance international competitiveness and to move towards a green economy”, the document said.

Realising Nationally Determined Contributions is essential if the target of the climate deal, brokered in Paris in December, is to be reached.

That agreement – to which Jamaica is a party – looks to hold “the increase in the global average temperatures to well below two degrees above pre-industrial levels and to pursue efforts to limit the temperature increase to 1.5 degrees Celsius above pre-industrial levels”.

New Activities

It is against this background that Jamaica is continuing its own mitigation efforts.

“Certain new activities have started up again under the memorandum of understanding we had with the Americans, for example, particularly around natural gas, that will allow us to have much more efficient plants …” a source from the Ministry of Water, Land, Environment, and Climate Change told The Gleaner at the start of the year.

“Natural gas generation, generally speaking, can be made to respond very well to changes in demand … . For example, if you have a solar plant and production dips, it is relatively easy for you to ramp up the production of electricity from a natural gas plant,” the source added.

There are also other efforts afoot.

“Recognising that energy is not just electricity, it is also transport, some of the work we will be doing in respect of sector planning will involve a closer look at transportation and transportation efficiency and how we can reduce the amount of oil consumed there,” the source noted.

Further, to achieve 20 per cent renewables in the island’s energy mix, the source said, “You can increase the amount of renewables or decrease the amount of other fuels in the mix. There, you are talking efficiency measures and the Government is looking at efficiency in a number of respects.”

The Gleaner