POLICY BRIEF
Alternative Energy : meeting future energy challenges
December 2009
Overview NSF Policy Brief The world demand for energy is ever increasing and it is attributed to increasing population and people seeking better quality of life. Newly emerging industrialized countries make the situation more serious by adding to this demand. The Energy Analysts predict that the world demand will treble in the next 50 years. The BP Statistical Review on world energy reveals that the level of proved world oil reserves amounts to 1258 billion barrels, while in 2008
The Policy Brief is intended to bridge the gap that exists in communicating evidence based research to policy makers, thereby serving as an impetus for action. It is based on NSF funded research as well as other available literature.
the world consumption reached 8446 thousand barrels/day. According to the Energy Information Administration (EIA) the latest projections for total world fossil energy usage range from 380 Quads (1 Quad = 100 quadrillion British Thermal Units) in 1997 to 606 Quads in 2020, at an average increase of 2.1% per year. If this rate of consumption continues the world’s oil reserves will end in 40 years (year 2037). The International Energy Outlook, 2009 forecasts increased world consumption of marketed energy from all fuel sources for the period 2006 to 2030 (Figure 1). Oil supply is the largest share of world energy consumption over the projection period; however, its share falls from 36 percent in 2006 to 32 percent in 2030, as increased oil prices lead many energy users, especially in the industrial and electric power sectors, to switch away from fossil fuels. Burning fossil fuel leads to the accumulation of carbon dioxide (CO2 ) in the atmosphere and this in turn causes the temperature to rise. Due to the annual increase in CO2 emissions, the temperature is expected to increase by 4-6 0C in 2025, leading to melting of ice in the polar regions. Economically exploitable hydroelectric resources are already being used by the Organization for Economic Co-operation & Development (OECD) countries and a few large-scale hydroelectric power projects have been planned for the future (Figure 2). Considerable growth in the use of renewable energy is also expected by these countries from other sources such as wind and biomass. Hydropower is the predominant source of renewable energy in the non-OECD countries. Mid to large-scale hydroelectric plants are expected to be completed in China, India, Brazil, Vietnam, Bhutan and Laos. According to Figure 3, contribution from the non-conventional renewables is small and this amount too is mainly attributed to the power generated from small hydro schemes. A significant contribution from renewable sources such as solar, wind and biomass is yet to be achieved.
POLICY BRIEF Figure 1 World marketed energy use by fuel type www.eia.doe.gov/oiaf/ieo
Figure 2 World renewable electricity generation by source www.eia.doe.gov/oiaf/ieo
Year
What is the energy
The government’s plan is to generate 10% of the national grid from non-
situation in Sri Lanka?
conventional renewable energy sources by the year 2015. The annual demand for electricity in Sri Lanka is growing at a rate of 6-8 % and this trend is expected to continue 1. Burning fossil fuel has been increasingly used to meet the growing demand and more than 50% of the country’s foreign exchange earnings is spent on fuel imports, the total cost being US Dollars 1,029 million in the year 2006 2. In the past Sri Lanka mainly produced electricity from hydro power. It is evident from Figure 3 that power generation by hydroelectricity sources has decreased to 37% while 58% has been met fossil fuel burning. Reliance of hydropower becomes questionable due to limited hydro resources and irregular weather patterns such as prolonged droughts.
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POLICY BRIEF Figure 3
Power generation (2008)
Energy mix of Sri Lanka1
Hence, harnessing alternative renewable sources such as solar, wind and dendro power is essential.
Will renewable energy
The three main energy sources of Sri Lanka are biomass (inclusive
have a positive effect?
of fuel-wood), petroleum oil and hydro-electricity. Non-conventional renewable energy (NCRE) resources include small-scale hydropower, biomass including dendro power, biogas, solar power and wind power. These are the leading sustainable, non-conventional forms of renewable energy which can be promoted in Sri Lanka for electricity generation. In addition, other NCRE resources such as wave energy and ocean thermal energy are also encouraged where appropriate. Commercial development of biomass could be encouraged and facilitated as a new decentralized industry, allowing the rural poor to engage in fuel wood farming and supply electricity to urban load centres. It is crucial to pay due attention by relevant policy makers on whether the growing demand for energy can be met by fossil fuel burning or whether they should be supplemented with renewable resources. Renewable energy will reduce emission of greenhouse gases and increase the share of sustainable sources in the energy mix. The un-electrified households located in rural areas are estimated to be 2 million 3. These households will mostly benefit from decentralized renewable energy plants. A cost analysis identified that the construction of several decentralized power plants using biomass in localities where the demand is high is a better option than constructing a large centralized fossil fuel based power plant 4. The Government plants to provide electricity for every household through the grid in the future. A study conducted on land availability and production potential under different scenarios for sustainable biomass energy has shown that 3
POLICY BRIEF Gliricidia plantations of 2.5 m x 2.5 m is the best option as the estimated internal rate of return (IRR) is 22.7% with a benefit cost ratio of 154%. An annual income around US$ 940/ family can be obtained from a three hectares fuel wood plantation.
What are the alternative
Harnessing solar power is very important in rural electrification where grid
energy options for Sri Lanka? supply is not possible. Solar panels in Sri Lanka are of photo-voltaic type
Solar power
and depend on light, which in most parts of Sri Lanka is available at least 10 -12 hours per day. The Eastern region of Sri Lanka, where the light availability exceeds the average period of a day, will be ideally suitable for installing solar panels. With the development of infrastructure for nanotechnology within the country, researchers foresee that it is possible to produce low cost solar cells with increased efficiency from organic polymer based photovoltaic materials impregnated with nano-particles. NSF funded research towards developing low cost materials to harness solar power has turned up promising results. According to these findings nano semiconductor materials and organic polymers can be used to produce solar energy devices. Further investigations and scaling up projects will lead to more economical solar energy devices manufactured here in Sri Lanka, breaking the barriers of expensive solar devices made of silicon based semiconductor materials. Other research results have shown that high efficiency photovoltaic cells can be made at low cost using new chemicals and processes.
Dendro power
There is a high potential of utilizing biomass such as agro-industry waste and municipal garbage for energy generation in Sri Lanka. Thermal energy from woody biomass can be harnessed from plantations of fast growing plant varieties such as Gliricidia sepium, Acacia auriculiformis, etc. There is enough barren land where the plant can be cultivated. It can be grown as an inter crop in coconut plantations. A proper mechanism is yet to be adopted to promote Gliricidia cultivation in feasible areas by giving incentive/ proper price to farmers.The limitation of promoting bio mass gasifier plants in remote areas is difficulty of connecting to the grid 5. Trial studies conducted in Sri Lanka have indicated that short-rotationcoppice (SRC) is the best method for sustainable fuel wood production. In these plantations, tree species are densely and systematically grown for
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rotational harvesting. Nitrogen fixing tree species are commonly used.
POLICY BRIEF Environmental benefits and economic benefits that can be achieved through well managed SRC energy production are as follows;
Wind power
i)
Production of energy with no net increase in atmospheric CO2
ii)
Reduced cost and transmission losses by local power generation
iii)
Sustainable supply of renewable fuel for energy needs
iv)
Covering degraded and under-utilized lands
vi)
Provide employment for skilled/unskilled workers in rural areas
vii)
Increased utilization of local resources
viii)
Increased income of rural community
There are nearly 5000 square kilometers of area with good to excellent ( 7-8 m/s ) wind resource potential in Sri Lanka. With the assumption of 5 MW per square kilometer, this land could support 20,000 MW of the potential installed capacity. If the windy lagoons are included, the total wind potential is approximately 24,000 MW6. A wind power generation plant of 3 MW capacity has been installed by the CEB as a pilot project operating with 9% plant factor. At present there are few off-grid battery charging centers in operation. Environmental impact assessment will be an essential element in the planning and designing of commercial scale wind farms as they produce noise levels beyond the threshold and interfere migration patterns of birds. Studies to explore the possibility of using doubly fed induction generators with energy store for wind power generation are being funded by the NSF. Encouraging results have been achieved so far and pilot scale studies are needed prior to implementation.
Mini / micro
This is very important in rural areas where power supply from the grid is not
hydropower
possible. Feasibility is high since tunneling is not required in most locations and water can be driven on surface. Sustainability needs to be considered at the beginning of the project. It could be done through strategies like community ownership, education and training to transfer know-how on maintenance of the plant. Harnessing local capabilities and talents in manufacturing related equipment is also important. Environmental concern is a factor in implementing such projects in remote areas 7. It is estimated that over 300 off-grid small hydroelectric schemes are in operation at present serving rural communities where grid supply is difficult. 5
POLICY BRIEF Past experience shows that significant progress has been achieved in the implementation of community off-grid small hydroelectric schemes owned and operated by the community itself with the support of lending agencies and the Provincial Councils 4.
Bio-fuel
The NSF hosts the Inter-Ministerial Working Committee on Implementation of Bio-Fuel Use (IMWC), which studies the methods and ways by which bio-fuel could be promoted. The IMWC has recommended that the government adopt 1% substitution of transport fuels by bio-fuel by the end of 2008. At present the IMWC is studying the recommendation of 10% substitution of all transport fuels by bio-fuel by the end of 2015.
Biomass
Biomass refers to fuel wood and crop residues that come from forests, home gardens, rubber/coconut plantations and other agricultural lands 6. Biomass is the largest energy source providing about 50% of the country’s primary energy requirement. Many Sri Lankan households depend on fuel wood and other forms of biomass for daily cooking. Biomass is also being used by the agro industry (coconut, tea and rubber processing), the manufacturing sector (brick, tile and lime) and the commercial sector (bakeries & hotels). Therefore, biomass could be considered as an important element in the energy mix.
Where should future R&D be concentrated?
Nano-particle impregnated solar cells to improve efficiency •
Development of solar cells with supramolecular assemblies of carbon nanotubes and fullerenes
•
Low cost solar device based on organic/polymer photovoltaic materials Pilot scale studies
•
Wind-wave hybrid energy station - Pilot scale study
•
Doubly fed induction generators with energy store for wind power generation - Pilot scale studies in potential sites
What are the enablers
•
One-stop-shop for data related to renewable energy and its availability: At present, there is no one-stop-shop to access data on renewable
of renewable energy
energy which, if available, will save time and the resources of
projects?
entrepreneurs and investors. •
One-stop-shop for approval (Streamlined efficient approval system): At present the investors have to go to several government institutions (such as the Central Environmental Authority, Sri Lanka Sustainable Energy Authority, local government, Ministry of Power and Energy) in order to get the approval for a proposed renewable energy project.
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POLICY BRIEF •
Benchmark to recognize feasible renewable energy projects: A common set of criteria to recognize feasible renewable energy projects will be of convenience to investors.
•
Electricity wheeling for the private sector for renewables: The term electricity wheeling is used to describe the direct use of electricity sold from a producer to a user through a network belonging to usually a utility. This option may be considered in the future.
•
Transparent and equitable tariff structure
•
Coordinated national efforts: Pooling resources and carrying out activities related to renewable energy by the public and private sector in a well coordinated manner will enhance the benefits for all.
What are the obstacles to developing renewable energy?
•
Mechanism for risk management
•
High cost per kWh compared to coal based thermal power generation
•
Highly capital intensive
•
Heavy resettlement issues
•
Power generated (specially wind power) is non-dispatchable
•
System stability problems
•
Most renewable energy projects are in remote areas and connecting them to the grid is difficult and expensive.
References
[1] [2] [3]
[4]
[5]
[6] [7]
Ceylon Electricity Board (2008), Generation Expansion Plan. No. 50, Chittampalam A Gardiner Mawatha, P.O.Box 540, Colombo 02. Central Bank (2006), Annual Report. P.O. Box 590, 30, Janadhipathi Mawatha,Colombo 01 Dharmadasa I M (2000), “ The role of renewable energy sources in developed and emerging economies”, Proceedings of the workshop on low cost electronic materials, solar cells and renewable enrgy sources, 22-23 Feb. Jayasinghe J M J & Toyoda T (2004), “Biomass for the sustainable energy development in Sri Lanka”, Annual Research Journal of SLSAJ, Issue 4 , 1-5. Gunawardene R. (2009), “Towards Sustainable Energy, the CEB Perspective”, Seminar and Panel Discussion on Sustainable Energy in Sri Lanka: Status, Potential and Policy Gaps, 16th July, SLAAS. Sri Lanka Sustainable Energy Authority (2007), Sri Lanka Energy Balance. SLSEA,3G-17, BMICH, Bauddhaloka Mw Colombo 07. Ratnasiri J. (2001).Water & Energy, the economic background. Economic Review. People’s Bank, No.75, Sir Chittampalam A. Gardiner Mawatha, Colombo
Technical Content: J.G. Shantha Siri, Technology Division Formatting and Editing: NSF Editorial Office 7
POLICY BRIEF Some research funded by the NSF in the field of Alternative Energy, from 2000 onwards
Project Title
Principal Investigator / Institute
Nano-Crystalline Cuprous Oxide thin
Prof WP Siripala
films for solar energy applications
University of Kelaniya
Computer aided designing of new
Dr Asiri Nanayakkara
types of conducting polymers and
University of Peradeniya
other materials which can be used as good photosensitizers in solar devices development Fabrication and characterization of
Prof K Premaratne
polymer based device structures for
University of Peradeniya
solar energy applications Doubly fed induction generators
Dr A Atputharajah
with an energy store for wind power
University of Peradeniya
generation* Intensive study to make dye-sensitized
Dr VPS Perera
solar cells practically viable devices*
The Open University
A study of collecting and storing of
Dr PAA Perera
solar energy in salt Pan University of
University of Kelaniya
Kelaniya Analysis of energy saving potential by
Mr S Fernando
increased use of daylight in open office
Sri Lanka Energy
spaces in Sri Lanka
Managers Association
* Ongoing grants
About the NSF
The National Science Foundation is a state funded institution under the Ministry of Science and Technology, established in 1998 by the Science and Technology Development Act No. 11 of 1994. It is the successor to the Natural Resources, Energy and Science Authority of Sri Lanka (NARESA), which itself succeeded the National Science Council established in 1968. Its main functions include initiating, facilitating and supporting basic and applied scientific research , fostering the interchange of scientific information among scientists in Sri Lanka and foreign countries, awarding scholarships and fellowships for scientific work, maintaining a register of scientific and technical personnel, providing information for S&T policy formulation and popularizing science among the general public.
For further information
Please contact the Director, NSF, 47/5, Maitland Place, Colombo 07. tel: 2 694 170; fax: 2 694 754; e-mail:
[email protected] 8