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Climate Action 2009-2010

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TECHNOLOGY<br />

SOLAR ENERGY 88<br />

© 2001–2006 European Communities and Ecole des Mines de Paris<br />

Figure 1. Solar radiation map of the Mediterranean and North Africa.<br />

support, by just capitalising on the high solar irradiation of<br />

these regions and their relatively expensive and inefficient<br />

conditions for conventional electricity generation.<br />

Distributed generation for both town and country<br />

PV can be used both in centralised power plants but also<br />

as a distributed energy source, generating electricity<br />

close to the point of consumption. Worldwide electricity<br />

is not available to more than 1.6 billion people, of which<br />

80 per cent live in rural areas. In sub-Saharan Africa,<br />

only nine per cent of the rural population have access to<br />

electricity. PV represents a unique opportunity to electrify<br />

rural and remote areas in developing countries, removing<br />

this barrier to social and economic development.<br />

At the other end of the spectrum, more than 50 per<br />

cent of the world’s population is now urban, and cities<br />

make an important contribution to national greenhouse<br />

gas emissions. PV is one of the only renewable energy<br />

technologies that can seamlessly integrate with highly<br />

dense urban environments. At a time where many cities<br />

are developing strategies to reduce their emissions, PV<br />

is poised to become a standard building technology,<br />

ensuring that during the next decade, future buildings<br />

can be transformed into positive power plants.<br />

A responsible investment<br />

PV is a key tool in the fight against climate change, with<br />

the potential to save billions of tonnes of CO 2<br />

. But not<br />

only does it provide clean power from an inexhaustible<br />

indigenous source, it also boosts economic development<br />

by creating jobs, channelling investment into a<br />

sustainable energy model and saving billions in foreign<br />

imports of fossil fuels.<br />

In order to achieve high penetrations of PV by 2020,<br />

temporary market support will be needed in regions<br />

where PV is still in a pre-competitive phase. A macroeconomic<br />

analysis performed by EPIA has shown that<br />

in Europe, market support required for boosting PV to<br />

cover 12 per cent of the electricity demand in 2020 is an<br />

investment – not a cost – yielding a massively positive<br />

return to EU society as a whole. This is, inter alia, a<br />

consequence of the hedging value of PV; investing in PV<br />

in essence locks the price of electricity over the lifetime<br />

of the system (25 years or more) against the increase<br />

of fossil fuel generation technologies driven by growing<br />

and high volatile fuel prices. There are no fuel costs, no<br />

geo-political risk and no supply dependence on imported<br />

fuels from politically unstable regions<br />

In addition, and especially at times of economic<br />

uncertainty and high unemployment rates, any<br />

technology that demands a substantial level of both<br />

skilled and unskilled labour is of considerable economic<br />

importance. PV creates a vast diversity of employment<br />

across its value chain, ranging from highly skilled<br />

scientists and engineers to simple installers. An<br />

important part of the workforce is needed lower down the<br />

value chain in the distribution, planning and installation<br />

of systems, which is in essence revitalising regional<br />

economies, providing local and non-displaceable quality<br />

jobs and expanding tax bases in rural regions.<br />

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