Solar & Wind Power Economics: A MIREC 2012 Business Briefing
A 1-day introduction to the factors which determine the business case for solar & wind power
This training course is an official part of the
Mexican International Renewable Energy Congress
Mexico's leading renewable energy and climate change event
17 May 2012, Mexico City, Mexico
Whether you are working within one of these renewable sectors or evaluating investment into them, this comprehensive, time-effective, one-day training course describes and discusses the key components which must be incorporated into an evaluation of the competitiveness of solar and wind power. Working through the determinants of costs, cash flows and profitability in a clear and business-focused manner, the course is particularly valuable to those in job roles including business planning, policy, marketing and technology development.
You will learn how these two power options compare in terms of their market application and economic structure, and discuss how each might compete with current large-scale power generation facilities. Particular consideration is given to the inherent variability challenges that the exploitation of solar and wind resources create.
Level & Style
The course assumes no prior knowledge in finance or financial planning – it is specifically designed to be of value to those who are not financial experts but want to establish a basic understanding of the competitive positioning of the various renewable power sources. [A basic knowledge of these renewable power sources is helpful, though not essential, and can be gained by attending our 1-day “Renewable Power Technologies” course].
The course runs in a friendly, informal manner, encouraging discussions and questions to ensure that participants get the most out of their time. In order to better understand and illustrate the various topics, some simple calculations and other explanatory exercises will be incorporated. The course language is ENGLISH.
(include lunch plus morning and afternoon refreshment breaks):
09:00 - 17:00
About your trainer
Dr John Massey is Green Power Academy's founder, Training Director, in-house renewables expert and lead trainer.
Combining a strong academic science background with over fifteen years commercial experience of industry research, analysis and training across a variety of “new technology “ industries (including conventional and renewable energy, telecoms and IT), Dr Massey is expert in demystifying the terminology and workings of new technologies, and presenting their commercial and business context.
He delivers training globally, to senior executives from a range of organisations from project development to finance and has also developed educational material for both live and distance learning courses.
He holds a 1st Class Honours degree in Natural Sciences from the University of Cambridge, a PhD in Earth Sciences and a Diploma in Economics, Innovation and Sustainability.
“Very solid introduction from a very knowledgeable instructor”
“Rich in discussion”
“Good balance between theoretical and interactive”
The Competitive Context of Renewable Power
- Current Power Generation and delivery
- Supply, demand, power markets and prices
- Physical and practical limitations on renewable power, including power density
- Energy Storage and the business case
- Policy mechanisms to support renewables and/or penalise conventional power
The limitations of wind and solar power
- Variability, intermittency and back-up costs
- The economic importance of capacity factor
- The costs of renewable power conversion technologies, including learning curves
- Why and when “cost” doesn’t equate to “price”
- Matching power production to power end-use application
Levelised Cost of Electricity (LCOE) to compare power producing methods
- Reasons to use LCOE in comparing power production methods with very different cost structures
- Inputs into LCOE equations and calculations
- Limitations of LCOE: how relevant are LCOE studies and calculations in the real world?
- Examples of LCOE findings in comparing wind with solar power and renewable vs. conventional sources
- The sensitivity of LCOE to different assumptions, including financing costs
- Where to find tools and software to perform LCOE and cash-flow calculations
Solar and wind power in a global market
- Why solar and wind power aren’t global markets – the crucial importance of location
- Market statistics and growth
- Grid Parity: what is it, and when will it happen?
- Determining the best mix of renewable power sources for a region
- Trends in policies and incentives, including FITs, carbon trading and other mechanisms