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Quality and Standardization – Enabling Growing and Robust Renewable Energy Technology Markets INTERNATIONAL RENEWABLE ENERGY AGENCY - IRENA WORLD FUTURE ENERGY SUMMIT 2014 20 – 22 January 2014
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Quality and standards for renewable energy

Jun 10, 2015

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The International Renewable Energy Agency (IRENA) works towards a sustainable and widespread deployment of renewable energy technologies. Quality assurance and standardization play a key role in transitioning towards innovative and sustainable energy technologies, by strengthening rapidly growing markets and facilitating trading of renewable energy technologies. IRENA’s study from 2013 in this field, the first one ever focused on renewable energy technologies, shows that quality and standardization are crucial in global technology value chains matching producers and user in opposite places in the world by harmonizing processes, allowing comparability of contracts, and decreasing uncertainty. Also that assured quality, in conformity with sound standards, mitigates technical risks therefore attracting major investments and increasing the trust in the technology by financial sources and public. Quality assurance and conformity with sound standards enables long lasting technological solutions by reducing the replacements to be done in technological plants and equipment and thus, reinvesting the capital that would be aimed at repairing infrastructure to accelerate the deployment of the technology. Quality reinforces the reliability on RET markets and this highly contributes to spread awareness about RET achievements and fulfilment of energy needs.

IRENA is finalizing its study on quality assurance mechanisms for small wind turbines and solar water heaters. The study, undertaken in cooperation with a number of national and regional experts, will provide guidance and recommendation on how countries can implement national quality mechanisms, adapted to their national context, to support growing markets for these technologies.
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Page 1: Quality and standards for renewable energy

Quality and Standardization – Enabling Growing and Robust Renewable Energy Technology MarketsINTERNATIONAL RENEWABLE ENERGY AGENCY - IRENA

WORLD FUTURE ENERGY SUMMIT 201420 – 22 January 2014

Page 2: Quality and standards for renewable energy

Relevance of Quality and Standardization for Renewable Energy Technologies

IRENA (In Press) “Quality Infrastructure for Small Scale RET”

Economy

• Nurture emerging markets• Enable technology promotion• Reduce trade barriers• Attract new businesses

Industry• Improve product design• Improve manufacturing

Stakeholders

• Build consumer confidence• Build trust with financial services• Enable promotion of RET

Page 3: Quality and standards for renewable energy

IRENA STUDY – International Standardisation in the Field of Renewable Energy

Provides a detailed technical basis for laws and regulations

Supports public and private tendering processes

Enables access to latest technology developments and best practices

Supports technology markets based on sound quality and health & safety (H&S) requirements

Standardisation – Benefits for Countries

IRENA (2013) “International Standardisation in the Field of Renewable Energy”

Page 4: Quality and standards for renewable energy

Quality & Standardization – Stakeholders Involved

Policy Makers & Regulators

Supporting Compliance to

Regulations and Legislation

Design of incentive

mechanisms linked to quality

requirements

Standards Makers

Facilitating Trade

Facilitating Communication

and Understanding

Manufacturers & Installers

Common Performance Specifications

Testing, Sampling

Materials

Quality Assurance /

Quality Control

Investors and Fiscal Support

Confidence and Trust in what is being funded

Ability to clearly specify what is being funded

Ability to verify and audit

investment

Verification & Auditing

Clear processes, procedures and specifications

Consistency

Harmonised approach

Protocols established

Users of the Products and

Services

Confidence

Trust

Consistency

Understanding – performance,

safety

IRENA (2013) “International Standardisation in the Field of Renewable Energy”

Page 5: Quality and standards for renewable energy

Quality & Standardization – Support Global Value Chains

Importance of

innovation

systems

• Integration in more complex production systems• New forms of integrating different productive sectors• Increase number of partnerships• Integration in global innovation systems

Contribution of quality infrastructure

• Harmonization of processes, materials, measurement units and instruments• Comparability allows writing of contracts• Decrease of uncertainty and leverage trust between worldwide productive

agents• Harmonizing tools and methods used in R&D

PTB (2011) Measuring the impact of quality infrastructure

Page 6: Quality and standards for renewable energy

Market Support - Policy Incentives Linked to Quality Requirements

Result: National RET markets

develop based on high quality

systems

Quality requirements can

be linked to national incentive schemes for RET

(e.g. FiT)

IRENA (2013) “International Standardisation in the Field of Renewable Energy”

Page 7: Quality and standards for renewable energy

Market Support – Quality Increases Public Acceptance

Poor Quality

High Risk

Decreased Trust in a Technology

IRENA (2013) “International Standardisation in the Field of Renewable Energy”

Page 8: Quality and standards for renewable energy

Market Support – Harmonisation of Standards

Non-harmonised standards may create barriers for trading and

transfer technologies

International efforts needed to harmonise standards and

technical regulations

IRENA (2013) “International Standardisation in the Field of Renewable Energy”

Page 9: Quality and standards for renewable energy

Quality assurance schemes should be affordable for the local market level

-Performance-Reliability

-HS&E-Bankable projects

-Cost-Local capacity

-End user Awareness

Testing & Certification

IRENA is developing recommendations to establish national quality infrastructure

for small wind turbines and solar water heaters based on local market developments

IRENA (In Press) “Quality Infrastructure for Small Scale RET”

Page 10: Quality and standards for renewable energy

Quality Infrastructure – Supports Robust Markets

Accreditation

Certification

Standards

Testing

Metrology

Market survelliance

Design Raw Material Supply

Component Manufacturing

Equipment production

System integration Installation O&M Decommission

IRENA (In Press) “Quality Infrastructure for Small Scale RET”

Technology Value Chain

Quality Infrastructure

SUPP

ORT

Page 11: Quality and standards for renewable energy

11

Deutsche Bank

SolarPraxis EngineeringSource: PTB (2008) “Promotion of economic development in Technical Cooperation: Quality Infrastructure.” http://www.ptb.de/de/org/q/q5/docs/broschueren/broschuere_QI_2008e.pdf

Building trust from policy-makers, investors, customers

Page 12: Quality and standards for renewable energy

Market Support – Implementation of Quality Schemes Promote Performance Improvement

Solar water heating collectors efficiency improved by 36%

between 1977 and 1981 after testing was required in

Florida in 1976

Implementation of quality schemes promotes a faster improvement in technology

performance

IRENA (In Press) “Quality Infrastructure for Small Scale RET”

Page 13: Quality and standards for renewable energy

1. Zero market

2. Nascent Market

3. Emerging Market

4. Established Market

5. Mature Market*

6. Comprehensive Market*

* - Meets all 5 elements of QI

Increasing QualityAssurance

Inventory in-country QI and expertise: $

Training in-country practitioner & early demonstration projects; import regulations: $$

Set up unaccredited testing, SWH collector durability with system simulations, SWT duration and performance: $$$

Unaccredited independent 3rd party TL and CB, SWT Labeling, SWH Collector Label with end user education: $$$$

Accredited TL and CB to national/international standards: $$$$$

Accredited CBs and TLs to highest level international standards: $$$$$

Steps to achieve comprehensive Quality Infrastructure

Page 14: Quality and standards for renewable energy

Quality Covers the Whole System

Implementation of Quality Schemes covers not only

equipment but whole systemsIncluding Design, Installation

and O&M services System Quality

Quality for hardware

Quality for services

Training for practitioners

IRENA (2013) “International Standardisation in the Field of Renewable Energy”

Page 15: Quality and standards for renewable energy

International Quality Mechanisms – Engagement from Developing Countries in Crucial

Use of existing mechanisms

• IEC Affiliate Country Programme

• ISO committee on developing country matters - DEVCO

Development of new mechanisms

• Use of virtual meetings

• Standard users – TC forums

Experts

• Participation of national experts in international Technical Committees

• Funding mechanisms for experts participation

Participation in international standardization assures that country context is considered during the development of

international standards

IRENA (2013) “International Standardisation in the Field of Renewable Energy”

Page 16: Quality and standards for renewable energy

Grid codesImpact of QI for

RE

Standards supporting integration of high shares

of RE into the grid

Assessing economic impact of QI at national

level

Forthcoming activities

Off-grid PV

Quality assurance for PV systems off-grid

Page 17: Quality and standards for renewable energy

For More Information on IRENA Publications and Activities in Quality and Standardization for Renewables visit our

web site atwww.irena.org