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Create the Need and Reward the Greed. How to Kick-start a Solar Market.

Yesterday was the deadline to submit your ideas to Alberta's Climate Change Advisory Panel. Here is a link to the Climate Change Submission Library. There have been a lot of great conversations in Alberta over the past few weeks on the climate change file and it has been inspiring to think about how we are going to tackle this important challenge together.

To stay tuned to the conversation going forward, check out the Energy Futures Lab.

It seems that one challenge the government faces is what to do to support more adoption of solar power in Alberta. It is a visible and popular technology that represents action on climate change.  For some global perspective, here is a list of the policy frameworks that have led to the adoption of solar power around the world over the last twenty years.  The trails have already been blazed. Alberta just needs to follow one of the proven paths. 

% of Solar Policy Framework or Market Enabler Explanation
Historical Market Drivers and Enablers of Solar Power 1992 - 2013

FiT and Fit with Tender

Feed-in Tariff provides a predefined price for solar power injected into the grid for a guaranteed period of time. The most successful examples of FiT systems can be found in China, Germany, Japan and Ontario.
21% Tax Breaks and Direct Subsidies The most successful examples are Australia and the USA. Solar is a technology with limited maintenance costs and no fuel cost but it has high upfront investment needs.
5% Self-Consumption and Pure Competitive Solar Solar is already the lowest priced source of electricity in Canada's Northern diesel communities and on the many island states of the Caribbean and Oceania.
5% RPS and Similar Quota-Based Schemes Rather than employing a market incentive like a FiT or Tax Break some jurisdictions have prescribed Renewable Portfolio Standards and defined quotas for solar power.
1% Net-Metering Alberta's current Micro-Generation Policy is a Net-Metering scheme. It encourages the deployment of solar on buildings, homes and farms as tool for energy efficiency to reduce the electricity bill. 

 Source:  IEA International Energy Agency report Trends 2014 in Photovoltaic Applications

Posted by: kylek
Posted on: 2015-10-01 00:00:00