Saudi Water & Power Forum (SWPF 2012)

I attended the first and second day of the SWPF 2012. This is the main event for Power and Water industry in Saudi Arabia, which is being held in the Jeddah Hilton hotel.

The event gathers many of the local utility, regulatory, governmental, financing and investing entities as well International investors, manufacturers & developers.

This year there seems to be a strong focus on waste water re-use, indeed this dominated the discussions in the first day of the event. Apparently, more than 80% of fresh water demand is consumed by agriculture, which utilizes non-renewable ground water which is estimated will last only 20 years at current consumption rates.

The National Water Company (NWC) has a dedicated division charged with re-using and selling as much treated waste water as possible, especially for irrigation purposes. To support this initiative the Saudi Government passed a law that no further well (ground water) licences shall be granted if treated waste water is available.

In the second day, the focus fully shifted to Renewable Energy. The discussion involved KACARE, SWCC and other prominent guests. A lot of focus was given to "Solar Desalination" the Governor of SWCC even went as far as claiming the Saudi Arabia has the best environment and conditions to make Solar Desalination a success, he sighted their Khafji plant (30,000 m3/day PV-RO) which is currently under construction as the first step in this direction.

KACARE also outlined their vision for Saudi Arabia to have a more diversified energy supply mix with 17.6 GW Nuclear, 25 GW CSP, 16 GW PV, 9 GW Wind, 1 GW Geothermal, 3 GW Waste-to-energy all by 2032.

KACARE were very clear of their preference for CSP over PV, as it is believed that CSP has the greatest potential over the long term for cost reduction and creation of a more dynamic economic sector. Indeed, it is their vision that Saudi Arabia will be the world leader in CSP implementation and development.

Although no firm road map has yet been proposed on how to achieve these energy targets, however, it was hinted that Renewable Energy projects would be introduced through a mix of Feed-in Tariff for minor supply quantities and take-or-pay concessions by a credit worthy off-taker for larger capacities.

 

 

First Solar to Build 13 MW Solar PV plan in Dubai

On 17th of October 2012, First Solar announced it has been selected by the Dubai Electricity & Water Authority (DEWA) to construct a 13 MW solar photovoltaic (PV) power plant in Seih Al Dahal, about 31 miles south of Dubai. First Solar will provide engineering, procurement and construction (EPC) services, as well as its advanced thin-film PV modules.

The PV power plant is the first phase of the landmark "Mohammad Bin Rashid Al Maktoum Solar Park", a project that is expected to eventually cover 18.5 square miles and produce 1,000 MW of energy using both PV and solar thermal technology by 2030.

Here is a short video about the Solar Park (http://www.facebook.com/video/video.php?v=10150466591271059)

Clean Energy Growing in the Middle East

I found an interesting article online at (Link). The article confirms as I mentioned in a previous blog that Saudi Arabia is planning to secure 41 GW of Solar Energy by 2032. Highlighting that otherwise continued reliance on Oil for Power generation will limit the Kingdom’s Oil export capacity.

Also, noteworthy in the article was Iran’s plans to develop a 5MW pilot plant for geothermal energy and its intention to add 12,000 MW of renewable energy to its power capacity.

The article also mentions that Qatar Solar Technologies plans to build a $1 billion silicon plant in Qatar to supply the material to manufactures of solar panels. In addition, Qatar Electricity and Water Co. wants to get 10 percent of its electricity from solar by 2018.

The article also mentions Petra Solar and First Solar as companies targeting the Middle Eastern Renewable market. It will be interesting to see who the foreign solar companies will choose to strike their strategic partnerships in the region.

Solar Energy in Bahrain

Bahrain's National Oil and Gas Authority (NOGA) is implementing a 5 MW solar capacity into a wireless smart grid network at Awali area. This project is being implemented in co-operation with Petra Solar, Bahrain Petroleum Company (Bapco) and Caspian Energy Holdings.

The system to be developed by Petra Solar will tie directly into the grid without requiring an upgrade to current transmission or distribution infrastructure, eliminating many of the grid interconnection issues and additional costs faced by traditional solar systems.

It is encouraging to see Bahrain venture into Solar power and it will be very interesting to see how Petra Solar will integrate renewable energy into the existing power grid.

KACARE leading Saudi Arabia's push for Renewable Energy

In a recent conferece in Riyadh (9 May 2012). The Deputy President of the King Abdullah Center for Atomic and Renewable Energy (KA-CARE) announced that they plan to make a major shift in the Kingdom's energy mix.

In the recent years the Kingdom's domestic energy demand has been growing at a very fast rate. In 2011, Saudi burned 730,000 barrels of crude oil per day to cover its domestic needs and since crude is heavily subsidized domestically this represent a significant loss for Saudi from potential sale to export markets. A loss which will only increase with increasing energy demand.

When considering this perspective, Renewable Energy makes very good economic sense for the Kingdom, as the high cost of Renewable Energies could be off-set against higher real market value of domestic subsidized fuel consumed.

KA-CARE mentioned that it aims to build 16 GW of solar photovoltaic (PV) and 25 GW of concentrated solar power (CSP) by 2032. It sighted that CSP was more expensive than PV but favored CSP for it storage capabilities. It was also mentioned that Geothemal and waste-to-energy could amount to 4 GW.

These plans have been submitted to the KA-CARE Board of Directors for approval which includes representatives from the highest authorities in the country. If indeed approved this would be a very exciting developing for Saudi Arabia.

When will the Solar revolution start?

There has always been a lot of hype and enthusiasm in the pursuit of Solar Energy. I find many initiatives dating far back promising unlimited clean energy from the Sun.

The earliest reference I can find from 1928 is the "Sahara Green" initiative (http://desertec-mediterranee.over-blog.com/) which envisaged turning the Sahara desert into green fields by using solar power to desalinate seawater and grow vegetation in the Sahara desert.

In the following decades every time there is an energy crises we see the world economy briefly putting focus on renewable energy only for them to quickly shift away once the crises is over.

Now again in the last few years we do see a renewed interest in renewables, although it seems this is partially driven by the dramatic raise in oil prices in 2008, this time the raise in interest in renewables could be different.

For example the "desert-tech" initative is receiving very strong backing from multiple international organizations. The oil rich Gulf countries have also started instigating their own renewable energy programs. Many countries have also reached consensus form the International Renewable Energy Agency (IRENA).

Perhaps this time there is a real realization by the world community that oil prices will probably never go back to the prices of the previous decade. Although this will put pressure on the world economy it could at least offer hope for a sustained interest into renewable energy to help progress its development.