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Policy based local(nacional) planning

of energy infrastructure
Prof. dr. sc. Slavko Krajcar; Prof. dr. sc. Nenad Debrecin
Here comes the CONTENT 2

The

… to your task

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Where do YOU(we) belong?


(FROM THE MARKET JOBS POINT OF VIEW)

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Higher education in the field known as … 4

 Science

 Technology

 Engineering

 Mathematics

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The meaning of the word STEM 5

Stabljika stalk
Proizlaziti emanate
Poticati encourage
Kljun beak
Stablo bole Drška handle

protiviti se oppose Osnova base


Cjepak scissile Kalem spool
Korijen root
Deblo trunk
Pramac bow

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The most attractive new jobs in the near future 6

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The Energy Challenge - Our Generation’s Challenge 7

When asked shortly


after WWII:
His prompt reply:

“Prof Einstein, what do


you see as the greatest “Exponential
threat to mankind?” growth”

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“Ten years ago, futurologists were forecasting that


by now everyone would be 'connected' and that people
would be able to 'work anywhere'.
Most of us thought they were overly optimistic at best. But, in actual fact,
they were very nearly correct. Because now, the
majority of
world's population is already able to access
communications technology of some kind and the rest are
catching up fast.”
Jeff Patmore, BT's head of Strategic University Research

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In reality …
WE ARE LIVING IN EXPONENTIAL
TIMES !!!
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Back to the
ENERGY WORLD

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The renewable-energy boom is here.


Trillions of dollars will be invested
over the next 25 years, driving some of the
most profound changes yet in how humans
get their electricity.
That's according to a new forecast by Bloomberg New
Energy Finance that plots out global power markets to 2040.
http://www.msn.com/en-us/money/markets/the-way-humans-get-electricity-is-about-to-change-forever/ar-AAbZhP2?ocid=ASUDHP

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The last energy news ...

European Union on track to meet its 20%


renewable target by 2020
So far, 26 member states have met their 2011/2012 targets
and 25 are expected to meet their 2013/2014 renewable
energy national targets.
http://www.enerdata.net/enerdatauk/press-and-publication/energy-news-001/european-union-track-meet-its-20-renewable-target-
2020_32958.html

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or ... 13

17 June 2015 - CO2 emissions from fuel


combustion in the EU declined by 5% in
2014

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Interview with the president of IEA dr.sc. Fatih Birol


Q: SO CAMPAIGNERS LIKE TO TALK ABOUT A 100% RENEWABLE ENERGY FUTURE.
DO YOU THINK THAT FALLS INTO THE CATEGORY OF WISHFUL THINKING?

A: NO, IT DEPENDS ON WHICH FUTURE, AND WHEN. IF IT IS TOMORROW,


THAT'S WISHFUL THINKING. BUT IF IT'S IN THE VERY FUTURE, IT IS
DEFINITELY FEASIBLE, AND IT IS ALSO SOMETHING
THAT I WOULD LIKE TO SEE.

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where did we start decade ago ...? 15

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Where we are … for the first time ... 16

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(we will skip this)

ENERGY USE VS GDP

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Energy use and GDP (1) 18

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Energy use and GDP (2) 19

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Energy use and GDP (3) 20

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Energy use and GDP (1) 21

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CO2 and GDP 22

Kyoto ???

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Can we ...
DECOUPLE THE CO2 AND GDP?

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LET US KNOW … THAT IS ONE OF YOUR TASK

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After small intruduction go back to


OUR MISSION

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WHERE FROM COULD WE START TODAY?

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(with) Your task 27

Your task may be explain as:

“The Teams are pleased to speculate on how the energy


infrastructure in Skopje will look like in 2050, which technologies are
most likely to prevail and how market players (generators and
consumers) are going to position themselves”.

Toward a Green Future of Skopje City ... or ...

“Skopje 2050 – Our Vision of Energy


Infrastructure”

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… with the pathway similar as it was


during the period when ...

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EU ROADMAP 2050
was doing by ECF (European Climate Fondation)

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The mission of Roadmap 2050 project was (and stil it is)


to provide a practical, independent and objective analysis of
pathways to achieve a low-carbon economy in
Europe, in line with the energy security,
environmental and economic goals of the European
Union.*

*THE ROADMAP 2050 PROJECT IS AN INITIATIVE OF THE EUROPEAN CLIMATE FOUNDATION (ECF)

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LET’ S WATCH WHAT HAS BEEN DONE


BY ECF AND ARE STILL DOING ...

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https://www.youtube.com/watch?v=ZjWiB71BWRM

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One of the political answers was


ENERGY UNION
THE PATHWAY TO THE FUTURE OF EUROPEAN UNION

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https://www.youtube.com/watch?v=EAHL-_Zd-YE

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Energy Union (the idea) ... 35

 The Energy Union means in particular:


 Solidarity clause: reducing the dependence on single
suppliers;

 Energy flows, as if it were a Fifth freedom: that of free


flow of energy across borders;
 Energy efficiency first: fundamentally rethinking energy
efficiency and treating it as an energy source;
 Transition to a low-carbon society : ensuring that locally
produced energy, including from renewables; promoting the
next generation of RES and becoming a leader in
electromobility. Etc.
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What’s the issue? 36

 One of the EU’s key political priorities, the


Energy Union ...
 will significantly reduce Europe’s reliance on
fossil fuels by
 removing barriers to the flow of energy,
 in a fully integrated EU-wide energy system.

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Who will benefit and how? (1) 37

 European citizens:
 Limit energy bills using smart technology
 Generate own energy from renewable
sources and feed this into the electricity
grid
 Better energy security will reduce the risk
of black-outs.

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Who will benefit and how? (2) 38

 Businesses:
 New energy and climate technologies and
services
 Green growth and jobs in the EU and export
opportunities abroad
 More certainty for investors, with price signals
reflecting long-term needs and clear policy
objectives.
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Who will benefit and how? (3) 39

 Climate:
 An ambitious reduction of at least 40 %
in CO2 emissions by 2030
 More renewable energy in the EU’s
energy mix
 Energy efficiency will be increased,
especially in the building and transport
sectors.
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Why must the EU act? 40

 Biggest energy importer in the world (53 %


at around EUR 400 billion a year).

 Still an incomplete internal energy


market, with some parts of the EU remaining
isolated energy islands.

 Renewable energy not fully integrated into


the electricity system.

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What exactly will change? (1) 41

 The Commission proposes


 doing more to ensure that Member States implement and enforce
existing legislation

 passing legislation to increase gas and electricity supply


security
and other measures to reduce Europe’s reliance on dominant
suppliers
 setting up an Energy Infrastructure Forum to make sure major
infrastructure projects are delivered where and when needed
 passing legislation to modernise the European energy market and
reinforce the regulatory framework at regional and European level

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What exactly will change? (2) 42

 The Commission proposes ctn’d


 passing legislation to ensure the 2030 climate and
energy targets are reached
 making energy costs and prices more transparent

 making buildings more energy-efficient and


decarbonising the transport sector
 putting an initiative on global energy and climate
technology and innovation leadership in place

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When is the proposal likely to come into effect? 43

 25 February 2015: The Commission adopts:


 Energy Union Strategy
 Communication on the EU position for the climate
negotiations later this year
 Communication on how to bring its electricity interconnection
level to 10 % by 2020.

 March 2015: European Council meeting discusses strategy

 Other initiatives in 2015, 2016 and 2017 ...

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The carbon (CO2) colored


EU INTENTIONS ARE

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https://www.youtube.com/watch?v=6nMVZWtcFHw

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SOME MESSAGES FROM OUR SIDE ...

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General messages 47

 Energy demand will continue to grow strongly

 Alternatives to “Business as Usual” (BaU) can limit


emissions to acceptable levels

 Renewable sources will dominate


 Investments need to be large (it means has to be done wisely)

 Strong environmental policies will be required


 New (unconventional) generation (e.g. space solar power) may be competitive

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Drivers For Energy Needs 48

 Population
 Currently 7.2 Billion (2014 est)
 Expect 10 B by 2050 and 11.6 B by 2100

 Economic activity
 Gross world product currently (2014) $78 Trillion ($108 PPP)
 Expect $230 Trillion by 2050 and $500+ B by 2100

 Efficiency of energy utilization

 Desire to reduce inequities in global energy availability

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Resource Availability & Environmental Implications 49

 Near Term Resources:


“There are sufficient reserves of most types
of energy resources to last at least several
decades at current rates of use” … IPCC*

 Environment: A major and growing


issue
*Intergovernmental Panel on Climate Change (established by UNEP)

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Continuing BAU will aggravate


climate impacts

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Environmental Outlook 51

 Only the “ecologically-driven” scenarios


reduce emissions significantly:
 Net emissions of energy-related Carbon are
reduced to tolerable levels by 2100
 Atmospheric CO2 concentration by 2100 stabilizes in
the range of 450 to 550 ppm
 This concentration should limit warming to 2 to 3
degrees C

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Approaches To Stabilizing GHG Emissions 52

 There are two fundamental


approaches on the energy front:
 Reducing the impact of fossil fuels,
i.e., “decarbonizing” them
 Expanding the use of renewables (or
nuclear)

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Decarbonizing Fossil Fuels 53

 Approaches include:
 Shifting to lower carbon fuels, e.g., gas vs. coal
 Improving the efficiency of use of such fuels
 Capturing and sequestering the carbon (CCS):
 “upstream” in the supply process, or
 “downstream” in the utilization process

 The measures are necessary but not sufficient – major


expansion in the supply from renewable sources
is vital
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Renewables 54

 Renewable sources include: hydro, biomass, solar,


wind, geothermal and various forms of
ocean/tidal/wave energy

 Each has its own peculiar advantages and


drawbacks
 Only some can be exploited at a scale and in
a time frame that will make a significant contribution

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Sources Viewed as Limited 55

 Hydro – only modest scope for expansion


 Biomass – important for fuels, but limited by
competition for land

 Geothermal - locally important, but not a large - scale


source unless the “Engineered Geothermal Systems”
approach can be developed successfully

 Ocean/tidal/wave - resources are immense yet


diffuse and expensive to exploit

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Nuclear Outlook 56

 Nuclear suffers from concerns over public acceptance,


final waste management and proliferation
risk
 Little capacity is being added in the OECD countries and
some is being removed
 However, China, Russia and India have ambitious
programs
 More widespread use may be needed to meet
emissions targets
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Significant renewables: Solar and Wind 57

 Total energy available from these sources is


immense, but the energy density is low

 Product is largely electricity, the most useful


form of energy
 The most scenario projects that these sources,
along with biomass for fuels, will be the
dominant sources of the future
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Electricity from Solar and Wind (by WEC) 58

18000
TWh

16000
Solar
14000
12000
10000
8000
6000 Wind
4000
2000
0
1990 2010 2030 2050 2070 2090

2014: generation 22,000 TWh; installed 5,500 TW (66% FF PP; 8 N PP, (18+8) RES PP)
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The Matter of Intermittency 59

 Solar and wind are intermittent sources


and can be used immediately by the power grid
only to the some extent (20 - 25%) of production

 They can be more fully exploited to meet base


load needs if storage can be provided or
if the electricity is used

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Energy Investments 60

 Recent (historically) capital expenditures ≈ 1% of GWP

 Implementing energy scenarios that reduce emissions


significantly will be more costly
 Stern Report documents* cost estimates to 5% of
GWP by 2050 (to stabilize atmospheric concentration of CO2 at 500 - 550 ppm)
 WEC * notes costs unlikely to exceed 2% of
(World energy council)

GWP
 * https://en.wikipedia.org/wiki/Stern_Review and ** http://www.worldenergy.org/

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Recommendations 61

 Promote a better general understanding of the


world energy situation

 Support all plausible sources of sustainable and clean


energy

 Support policy actions that reduce emissions,


importantly, putting a price on carbon

 Support policy actions that improve efficiency

 Start now (in the afternoon  )


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Take Away 62

 Energy demand will continue to grow


strongly

 Alternatives to “BAU (business as usual)” can


limit emissions to acceptable levels

 Renewable sources will dominate


 Strong environmental policies will be required

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THE ECF MILESTONE SAYS ...


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https://www.youtube.com/watch?v=xahXpzTNqsA

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BUT ...

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do not forget the hype curves ...

... the answer to the


technology maturity

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Hype curve (by Gartner) 67

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Smart cities Hype curve 2014 68

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the economics of technology ...


EXPERIENCE (LEARNING) CURVES

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Learning curve (1) 70

The Experience curve describes how costs drop with cumulative


Production because of learning and economies of scale

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e.g. Energy Payback Time (EPBT) 71

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or ... learning curve 72

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do not forget the frames ...


YOU MAY EXPECT THE NEW (ADVANCED)

FRAMEWORKS
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The 21st session of the Conference of the Parties to the UNFCCC is


expected to take place in December 2015, in Paris, France.

The Intergovernmental Panel on Climate Change:


GETTING A GLOBAL AGREEMENT ON CLIMATE
CHANGE ... PARIS 2015

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A more energy-efficient, low-carbon economy


is the cornerstone of the energy union. If we
scale-up domestic policies and international
cooperation, we can achieve it: it is a matter
of political will.
Vice-President Maroš Šefčovič

TOWARDS THE PARIS PROTOCOL

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June 8, 2015 ...


US PRESIDENT BARACK OBAMA SAID MONDAY
THAT G7 LEADERS HAD MADE HEADWAY TOWARD A
"STRONG" CLIMATE PACT AT AN END-OF-YEAR UN
CONFERENCE IN PARIS

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all of these should ...

HELP YOU
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BE IMAGINATIVE, INOVATIVE, CREATIVE AND


WISE ...
(BUT, DO NOT FORGET TO STAY ENGINEERS)

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THE BLACK(WHITE)BOARD IS IN FRONT


OF YOU (PRESENTLY IT’S EMPTY  ) ...

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We wish you pleasant and successful work

Your professors

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Do You Have
Any Questions?

Thank you for your attention!

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