RES4MED

Why a new initiative for the deployment of R d l t f Renewables i the bl in th Mediterranean and how to join it
Francesco STARACE President RES4MED
November 2012

Roberto VIGOTTI Secretary General

Agenda
Introduction RES4MED Association Cooperation activities Next steps

Why a new initiative RES4MED

Slide 2

Introduction Context analysis

Why a new initiative RES4MED

Main evidences for RE in Turkey and Southern MED Countries

Continued strong electricity demand growth (+5% per year by 2030) and water demand due to population increase (+6-9% for the next 20 years, some more than 80 millions); Needed 180-200 GW additional power, some 320 billions investment just in Turkey and the Southern Med countries; Large p g potential of hydro, g y , geothermal , ,wind, biomass and solar , resources and large areas of land available; Interesting potential for local economic and industrial development: employment, know how transfer, industrial competitiveness p p y p along the value chain; Security of energy supply and energy sources diversification, even where unstable political context: Extension of fossil fuels reserve (Producer Countries) Vulnerability due to energy dependence (Consumer countries)
Why a new initiative RES4MED

Slide 4

Institutional Initiatives in support of National Plans

2008

2010

2007

2012

Why a new initiative RES4MED

Slide 5

RE deployment Priorities
An open dialogue among all stakeholders to share options and experience, in order to support decision makers; Additional tools for technology transfer and capacity building, both institutional and for manager of agencies, utilities, industries; Develop new green local solutions such as distributed generation, smart grids, solar heating and cooling, desalination; Strong support from international financial institutions; Identification of concrete investment opportunities, developing an industrial clustering to attract investments.

Why a new initiative RES4MED

Slide 6

New Industrial Initiatives were launched

To address Renewable energies deployment issues, several initiatives have been established by industrial operators to facilitate institutional and national plans. p

From 1991 o 99

2009 009

2010

2012

Why a new initiative RES4MED

Slide 7

Ultimate goal: supply 15% of electric energy needs of EU by 2050 (100 GW) GW).

Why a new initiative RES4MED

Why a new initiative RES4MED

Medgrid concept

Why a new initiative RES4MED

Slide 10

Ongoing energy initiatives in MED area

Initiative Type Area of Activities f Analysis of energy Issues Regulatory framework, supporting scheme Policy, regulatory framework, supporting scheme Markets, transmission regulation Technology and grid access for RES producers Paving the way to Med Solar Plan Transmission system operatord in the MED
Slide 11

Technology T h l focus All energy, RE and efficiency Electricity and Gas Renewable deployment of 20 GW at 2020 Transmission and interconnection grids

Year of Y f foundation 1991

N. f N of members 33

OME

Industrial

MedReg

Institutional

2007

24

Mediterranea n Solar Plan Desertec Industrial Initiative

Institutional

2008

43

Industrial consortium ti

2009

57

MedGrid

Industrial consortium Institutional

Grid network All renewable energies TSO

2010

20

PWMSP

2010

MedTSO M dTSO
Why a new initiative RES4MED

Industrial I d ti l

2012

16

Expected benefits of large renewables deployment for the host Countries

Generate a substantial part of the energy necessary for sustainable economic growth of the countries; Create new economic activities that generate employment and income. Analyse the local content achievable along the value chain of design, manufacture, install and operation development of knowledge clusters, located in specific d l t fk l d l t l t di ifi geographical areas; Training and cooperation both technical and technological cooperation, technological, and transfer of knowledge must be enhanced, and local qualified employment created.

Why a new initiative RES4MED

Slide 12

Turkey and South MED Countries The actual drivers

Turkey as well as most Balkans and MED Countries are setting ambitious targets for the deployment of RES generation in their territory: y to cover their internal demand; to exploit the enormous renewable energy resource potential;

The possibility of making business through export of RES generation to Europe has to be seen as a mid-longer term perspective for a series of reasons (lack of infrastructures, different regulatory frameworks, timing of EU off takers, different trading g y , g , g rules, need for enhanced transparency, etc).

Why a new initiative RES4MED

Slide 13

not yet as export to EU not

New RES generation will be deployed progressively starting from mid size projects; At a first stage, RES p g production will cover the fast growing g g internal demand; Beyond certain thresholds of RES generation penetration, to be quantified for each country, the surplus of RES generation could be exported: either to neighbouring countries, i the f i h i hb i i in h framework of the M d k f h Med power market integration; to Europe through the Balkans or trans-Med submarine HVDC corridors. In this latter case, a minimum size for the new interconnectors shall be accounted for, typically, 1 GW.

Why a new initiative RES4MED

Slide 14

RES4MED Association Why a new initiative

Why a new initiative RES4MED

Why a new initiative? Three corridors for energy integration

Why a new initiative RES4MED

Slide 16

RE Solutions for the MED RES4MED Mission

Play a catalyzing role for the ongoing Mediterranean Initiatives

Involving key stakeholders from North Africa, Middle East, g y , , Turkey and the Balkans

Offering the expertise, knowledge and experience of its members to the whole of the various initiatives

A proposed role of a network of networks

Why a new initiative RES4MED

Slide 17

RE Solutions for the MED RES4MED focus

A meeting point for facilitating the comparing ideas, exchanging and discussing different project outcomes and recommendations, networking various experiences and g p knowledge in the MED area; A platform for training and capacity building on the different technical institutional, administrative and financial technical, institutional factors and options; A promoter of additional and complementary studies, analysis and projects also in new fields such as distributed generation, village power, smart cities, high level education; An organized Knowledge Management System, where strategies, analysis, project achievements of the various MED associations/consortia and of key countries plans may be collected and shared i an innovative way. ll d d h d in i i
Slide 18

Why a new initiative RES4MED

RES4MED structure Preliminary membership

Partners Enel Green Power, Edison, Gestore Servizi Energetici CESI, PricewaterhouseCoopers, Politecnico di Milano, Asja Ambiente, Terna plus, Fondazione U. Bordoni Affiliates APER - Associazione Produttori Energie Rinnovabili RSE - Ricerca di Sistema Elettrico Althesys Assosolare Institutional support Institutions Italian Ministries (Foreign Affairs, Industry, Environment, Research) Chamber Commerce of Milano
The Initiative is now open to international stakeholders
Why a new initiative RES4MED Slide 19

Members

RES4MED structure Partners profile

Member Name Enel Green Power Edison Gestore Servizi Energetici CESI PricewaterhouseCoopers Politecnico Milano Asja Ambiente Terna Plus Fondazione U. Bordoni APER RSE Althesys Assosolare Type Member Member Member Member Member Member Member Member Member Affiliate Affiliate Affiliate Affiliate Sector Global renewable energies European leading utility Agency implementation RE policies Energy innovation and operational improvements: consulting and testing Leading consulting firm Leading Technical University International developer and building of RE power plants Developing new business in the energy sector Telecommunication & ITC application Association of Italian RE producers Research for Italian electric system RE energy investment analyst Solar industry association y Areas of expertise All value chain of all RES Electric power and hydrocarbons Regulatory and market Engineering and Grid studies Power & Utilities R&D and training Biogas, wind, solar Smart grids, RE, efficiency ITC in electric markets Promotion and assistance Storage, Forecast Strategic and financial analysis Implementation of solar projects and studies

A network of 13 partners (9 Members, 4 Affiliates): a diversified background and know-how

RES4MED

Why a new initiative Starting in Italy

Italy is a natural hub for all RE Med Initiatives, as potential future importer as well as a priority transit country for the transmission of large q g quantities of g green electricity toward EU; y Italy has to contribute in a systematic way to share a leadership role in making strategic choices ; only few Italian stakeholders have been involved so far in RE Med initiative; RES4Med, launched 3 May 2012 involves a wide range of expertise of excellence operating in Italy in dialogue, from the start, with other Re Med Initiatives, adding value to their lessons learned; RES4Med will contribute to connect Italian institutional decision makers to the international context, facilitating the understanding and the applicability of policies proposed.

Why a new initiative RES4MED

Slide 21

Liaise and cooperation with ongoing MED initiatives

Enhancing appropriate institutional and industrial strategies Mapping all activities and first results , reviewing outcomes and adding value to their lessons learned through the dedicated Information Management System Developing its work plan with complementary - Balkans and Turkey- and additional (distributed generation, village power, smart cities) activities Proposing collaboration by means of MoU or LoI, inviting their representative to sit in the Advisory Board Planning exchanges and comparison of results, organizing common events for joint communication and dissemination

Why a new initiative RES4MED

Slide 22

First priority service a Knowledge Management System

Access to qualified information through a direct link to sites and databases of initiatives/operators Effectiveness in data gathering and straightforward query criteria Standardization and comparability of data sources

RES4MED Knowledge Management System is aimed at: Creating synergies within a privileged network Avoiding duplication of already existing analyses Sharing skills and k h kill d know-how h Identifying potential partnerships Creating efficiencies in management of development funds
Why a new initiative RES4MED Slide 23

First priority service a Knowledge Management System

1. Three search options: Quick Search Advanced Search Index Search 2. Easy upload of files and new projects 3. Feedback and interactive tools

Main F t M i Features

Extraction from a E t ti f Database of

1. Strategic information of ongoing studies 2. Specific reference projects 2 S ifi f j 3. Additional documents on specific issues

Why a new initiative RES4MED

Slide 24

First priority service a Knowledge Management System

E Easy access f from RES4MED i t internet site www.res4med.org t it 4 d Restricted and protected access for privileged users Fle ible inte acti e tool Flexible, interactive Dedicated News and Information

Why a new initiative RES4MED

Slide 25

First projects under definition (1/2)

In the business of supply side or large infrastructure, in addition to the solar and wind resources considered by most initiatives, RES4Med considers a wider range of technologies like geothermal, biomass, and hydro. RES4MED is a promoter of analysis and projects in complementary and additional fields like distributed generation, village power, smart cities, energy for food. Some on going feasibility projects are focused on:
DISTRIBUTED GENERATION KEY PROJECT LEADER KEY PROJECT Feasibility Study on market integration of EU and Third Countries- Tunisia MARKET INTEGRATION LEADER

PV competitiveness in Village Power

Smart City project in Morocco

Optimal market design for a sustainable RES integration in the electricity markets

Why a new initiative RES4MED

Slide 26

First projects under definition (2/2)

POWER GENERATION KEY PROJECT g g Landfill gas and biogas from organic wastes and by-products energy Plant in North Africa PV Parity Projects LEADER CAPACITY BUILDING AND TECHNOLOGY TRANSFER KEY PROJECT LEADER

RES4MED MsC Degree programme

INFRASTRUCTURES KEY PROJECT Trans-Mediterranean central corridor: focus on RES generation deployment into the Mghrebian power system Analysis of the Tlc sector in the Med Basin and Ict integration in RE Power Plants
Why a new initiative RES4MED

ECONOMIC AND SOCIAL IMPACTS OF RES LEADER KEY PROJECT LEADER

Energy for Food

The impacts of investments in Renewable Energy in the Mediterranean M dit

Slide 27

Cooperation activities RES4MED and the MED Partners

Why a new initiative RES4MED

Value for Partners of RES4MED

Become part of a wide RES4MED platform of industrial, institutional, political and financing stakeholders; Interact with leading Initiatives, Consortia, Partnerships (Desertec Dii, Medgrid,OME, Medreg, UfM, MED TSO,etc); Propose and/or partecipate to specific projects/analyses; Reserved access to the Knowledge Management System; Leverage on RES4MED brand for communication activities, and learning events; Presence on the Partners Factsheet, Annual Report and Newsletter (in preparation).

Why a new initiative RES4MED

Slide 29

Options for collaboration within RES4MED

1. Full membership of RES4MED 2. Associated membership to RES4MED 3. Advisory Board of RES4MED 4. Networking through the Knowledge Management System (KMS)

Why a new initiative RES4MED

Slide 30

1. 1 Full membership of RES4MED

Ordinary Members shall be individuals or organizations that belong to the industrial, academic and institutional world and that carry out activities in sectors related to the one covered by the Association. y Ordinary Members shall be entitled to: attend General Meetings or Special General Meetings with voting privileges and can hold offices of the Association participate in the Working Groups established to pursue the aims of the Association as projects and knowledge management; attend meetings, conferences, congresses and other events organized by the Association; receive periodical and monographic publications issued by the Association.
Why a new initiative RES4MED

Slide 31

Options for collaboration within RES4MED

1. Full membership of RES4MED 2. Associated membership to RES4MED 3. Advisory Board of RES4MED 4. Networking through the Knowledge Management System (KMS)

Why a new initiative RES4MED

Slide 32

2. 2 Associated membership to RES4MED

Affiliates shall be individuals or organizations that belong to the industrial, academic and institutional world and that carry out activities instrumental for the one covered by the Association. y Affiliates do not vote but shall be entitled to: participate in the Working Groups established to pursue the aims of the Association as Projects and Knowledge Management; attend meetings, conferences, congresses and other event organized; express opinions on the priorities set in the action plan, based on their vision and needs; receive periodical and monographic publications issued.

Why a new initiative RES4MED

Slide 33

Options for collaboration within RES4MED

1. Full membership of RES4MED 2. Associated membership to RES4MED 3. Advisory Board of RES4MED 4. Networking through the Knowledge Management System (KMS)

Why a new initiative RES4MED

Slide 34

3. 3 Advisory Board of RES4MED

The Advisory Board shall consist of individuals from the industrial, academic, financial and institutional world, at national and international level, with proven experience and competence in the p p p sectors covered by the activities of the Association. The Advisory Board shall provide advice, conduct studies, support the Governing Board and among others express and, others, opinions on the strategic actions to be pursued in order to attain the aims and contribute to disseminating the results of the activities The Chairman and members of the Advisory Board shall be appointed and revoked by the Governing Board. They shall hold office for four years and be eligible f re appointment. db li ibl for i t t

Why a new initiative RES4MED

Slide 35

Options for collaboration within RES4MED

1. Full membership of RES4MED 2. Associated membership to RES4MED 3. Advisory Board of RES4MED 4. Networking through the Knowledge Management System (KMS)

Why a new initiative RES4MED

Slide 36

4. 4 Networking through the KMS

Institutions, agencies, companies, may ask to be involved in the management of the Knowledge Management System, p provided they prove their willingness to share qualified info, prove yp g q p their added value and are accepted by the Secretariat of the Initiative.

Similar approach for collaboration in preparing and running conferences, workshops, conferences workshops seminars where Turkish stakeholders will be invited to join.

Why a new initiative RES4MED

Slide 37

Terms of collaboration
Institutional, R&D agencies and academia can apply to become member or associated with no fee but just with in kind resources Energy companies, manufacturers, investors will be asked to pay a fee for full members of 30.000 /year or a fee of 5.000 /year for associated member Of course no fee required for the Advisory Board, application to join working groups on projects and knowledge management system / communication / events

Why a new initiative RES4MED

Slide 38

Next steps Looking ahead

Why a new initiative RES4MED

RES4MED Next steps

Dialogue with on going Initiatives and creation of Advisory Board on 12th November at Euromed Milan; Create a true South Mediterranean Turkey and Balkans Mediterranean, international membership institutions, agencies, utilities, industries, academia; Provide the Knowledge Management System in operation by January; Perform prefeasibility studies of new RES4MED projects involving Med partners by spring 2013; Contribute to organize high level meetings (like the 3rd October with IEA and 12 November Euromed Milan) to discuss critical factors and propose shared solutions/options.

Why a new initiative RES4MED

Slide 40

Website: www.res4med.org Contacts: info@res4med.org info@res4med org roberto.vigotti@res4med.org

This publication has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this publication without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this publication, and, to the extent permitted by law, RES4MED, its members, employees and agents do not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act in reliance on the information acting act, contained in this publication or for any decision based on it. 2012 RES4MED. All rights reserved. In this document, RES4MED refers to Renewable Energy Solutions for the Mediterranean.