Conférence du bureau de coordination énergies renouvelables. Overview of France s onshore and offshore wind support policies

Transcription

1 Conférence du bureau de coordination énergies renouvelables Overview of France s onshore and offshore wind support policies Pierre-Marie Abadie Directeur de l Énergie 15th November 2012 Ministère de l'écologie, du Développement durable, et de l Énergie 1

2 Objectives 2020 for renewables UE Objective (2009/28 directive) : 23% of renewable energy in final energy consumption in 2020 French objective : 23 %, confirmed by National Assembly National Renewable Energy Action Plan (NREAP) submitted to the Commission each 2 years shows trajectory to reach the objective French NREAP Objective : + 20 Mtoe* of RE in 2020 compared to 2006 Transportation : + 3 Mtoe +20 Mtoe Electricity : + 7 Mtoe Heating & Cooling : + 10 Mtoe * toe : ton oil equivalent 2

3 Objectives 2020 for renewables : zoom on onshore and offshore wind Target for onshore wind capacity to be installed in France by 2020: MW Target for offshore wind capacity to be installed in France by 2020: MW Installed onshore wind capacity continues to grow : Installed capacity (MW) p 3

4 Onshore wind support scheme in France : 500 M in 2012 Feed-in tariffs : Purchase obligation Tariff guaranteed for 15 years, indexed on the inflation Electricity consumer supports onshore wind s incremental* cost through a contribution on the electricity bill (CSPE) Incremental* yearly cost for onshore wind: 350 M in M in M in 2012 After hydro, onshore wind is the most competitive renewable electricity Note: (*) compared to average wholesale electricity price Source Source : CRE: CRE 4

5 Onshore wind has reached commercial maturity and is now facing new challenges Ambitious target for onshore wind capacity to be installed means to address new sites still suitable but with lower quality resource. Radar issue Low wind technologies First wind farms will be repowered with new more effective turbines. Cost evolution due those new challenges needs to be controlled. Source : CRE 5

6 Offshore wind support scheme has to drive down the production costs Call for tender procedure : A thorough pre-selection process takes place, sites are defined in detail Sites technically suited are first identified and short-listed Sites with secured grid connection move forward in the process A consultation process with stakeholders takes place, best sites are defined A capacity target range is defined for each site Government makes the final call on sites and capacity to be tendered Call is launched following the European Union regulations Winning consortia are guaranteed the FIT requested in the tenders, for 20 years, and receive operating permit 6

7 Advantages of the French Call for Tender Gives security to investors : the tender is a contract, defined by the law Gives visibility to investors : FIT secured for 20 years, adjusted with pre-defined formulae Reduces risks of non-construction thanks to the severe selection process for tendered zones Sustainable deployment (socio-economic and environmental aspects) Ensures access to the grid, and de-risks grid connectivity costs Allows for optimized project costs and, therefore, cost of electricity Contributes to securing the supply chain necessary to deliver Offers a one-stop-shop for administrative procedures, and facilitates work of relevant authorities Simplifies exchanges with a single operator for each site Source : CRE 7

8 Projected schedule Government lead Consortia lead 1. Tender publication 2. Bid submission 3. Designation of the winners 4. Detailed faisability studies 5. Confirmation of the winners 6. Studies on impact on the environnement 7. Permitting demand 8. Permitting delivery 9. Construction of wind farms 10. Commissioning Offshore wind support policies WG1 Concerted Action and operation 23 May

9 France published the first Call for Tender in July 2011 First call to tender for 3GW distributed along 5 different zones Candidates had to meet a minimum eligibility criteria to the tender Sufficient equity rate (> 20% of total cost) Strong technical experience Etc Bids were evaluated on 3 main criteria : Proposed electricity price (40 points) Industrial aspects (40 points) Impacts on the environment and respect for existing Source : CRE activities (20 points) 9

10 Results of the first Call for Tender (announced April 6th, 2012) Winning consortia : Eolien maritime France on 3 sites Ailes marines SAS on one site 2000 MW offshore capacity 300 to 400 wind turbines expected Creation of direct jobs expected Total investment : 7 Billion Commisionning expected in

11 In a long term, wind sector approach should focus more on energy production than project financing A better market integration should avoid overcapacity and excessive costs for consumers. Impact of intermittency has to be assessed in order to better integrate wind power production into the grid. Harmonisation of national support schemes in a more European approach could benefit the consumers. It will provide more confidence to investors Projects will be primarily developed in areas where it is most cost effective Source : CRE 11