Presented By: Omane Frimpong President: Association of Ghana Solar Industries 10 th December

Transcription

1 Presented By: Omane Frimpong President: Association of Ghana Solar Industries 10 th December

2 TOPIC: Status and Development of the Local PV Market Structure

3 SCOPE Background of Ghana/PV PV Market structure Market development and growth Potential for Growth Ghana German collaboration Challenges in the Industry Potential for off-grid, Roof top projects

4 SOLAR RADIATION MAP OF GHANA

5 SOLAR INTENSITIES IN GHANA climatic Zone Region Intensity (kwh/m 2 -day) 1 Savannah (close to the Sahel) Upper East, Upper West, Northern, upper parts of Brong-Ahafo& Volta Regions kwh/m 2 - day Middle Forest Zone Ashanti, Eastern, Western and parts of Central, Brong-Ahafo, Volta Regions kwh/m 2 - day source: Energy Center (KNUST) Savannah (Coastal belt) Greater Accra, coastal parts of Central & Volta Regions kwh/m 2 - day

6 EVOLUTION OF SOLAR PV INSTALLATIONS IN GHANA 4911Systems No. of Systems 3500Systems 2530Systems 335Systems 160kW 700Systems 353kW 510kW 800kW 1000kW Installed Power Year Source: Ministry of Energy, Obeng George

7 PV MARKET STRUCTURE Regulation EC, MOEP, PURC Training KNUST, K dua Polytechnic, DSTC Design & Installation Over 30 AGSI companies active Buyer Gov t, off-grid customers, etc

8 Market Development and Growth Not much scientific data exist on size, growth, turnover etc. Opportunistic Market growth influx of players during peak demand (such as the power crisis of 1997, 2007, 2012) but as soon as the crisis is over players reduce significantly. Significant price falls in PV cells has boosted the market entry.. from $8/w in 2006 to $1.6/w 2013

9 Key Drivers for Growth Government buying Tax incentives (waivers and exemptions) Low electrification rate in Rural Ghana Donor programs Strong sector Association engaged in lobbying Passage of the RE law (grid connected systems) Electricity Tariff

10 PV development in the last few years Renewable Energy Act 832 of Parliament st Grid connected system installed (2mw) FIT (Feed-in-tariff) GEDAP Mini grids (Hybrid) underway on selected Islands

11 Potential for Growth Gov t policy of 10% Renewable in energy mix A surging supply-demand imbalance of electricity. 70% Electrification Rate Low rural penetration rate of electricity RE Law Stable political economy Guaranteed pricing for electricity. High Tariff (Recently announced by the PURC) Continued demand for Electricity (10% annual) Unstable Grid Power (power cuts are frequent) Most Commercial businesses operate during the sunshine hours ie during the day.

12 Possible German-Ghana Collaboration Project concept design, engineering and construction Financing and Equity investments Technical knowledge transfer

13 Challenges in the Industry Buyer decisions Commitment of stakeholders Institutional Capacities Technology reliability Support Services catching up Economic landscape

14 Challenges in the Industry 2 Source: (Ghana Wholesale power reliability assessment 2010)

15 Challenges in the Industry 3 Technical Technical capacities, institutional support, other support services. Demand for Electricity is at night i.e. 7-9pm Financial Local Banks rate quite prohibitive for financing options, Tariffs Cost of electricity 18GHp FIT GHp40???

16 Challenges in the Industry 4 Political Political will, focus of Energy Policies of subsequent governments, Focus of dev t partners, Policy implementation challenges, eg. Law passed in 2011 operationalized in 2013, lack of clarity in certain provisions, Regulation Processes in acquiring licenses and permits to operate, slow administrative procedures chasing documents at gov t agencies.

17 Potential for off-grid projects Over 1000 communities are not captured under government grid electrification projects due to their remote and Island nature. Rising cost of grid electricity. High Potential for roof mounted systems for Commercial Buildings whose consumption exceed 400kwh/month. Net Metering

18 Approved Residential End User Electricity Tariff Effective October *1Euro is equivalent to 3.16GHC Source: Public utility regulatory commission press release 1 st October 2013

19 Approved Non-Residential End User Electricity Tariff Effective October *1Euro is equivalent to 3.16GHC Source: Public utility regulatory commission press release 1 st October 2013

20 Approved Special Load Tariff (SLT) Effective October Source: Public utility regulatory commission press release 1 st October 2013

21 DANKE