By Dr. Tyra Oldham, March 21, 2013
Greece is braced for change and the economy supporting Cypriot Banks. Greece is also backing solar to support its grid. The story “What’s Behind the Sudden Solar Surge in Greece?” is a story of energy proactivity. Forbes points the good news as the search to increase capacity.
“First, the good news. During the month of January, Greece reported solar installations equal to one-third of what the country was able to achieve for all of 2012. According to LAGIE, Greece’s power grid operator, the country added 300 MW of Solar PV during the first month of the year, amounting to about 30 percent of the 890 MW installed over the last calendar year. Bringing the country’s PV capacity to 1.72 GW, the January number was also double what LAGIE projected for the month, putting it on track to reach an projected 2.58 GW by the end of 2013 and 2.82 by the end of 2014. Slowing a bit in February, Greece reported 121 MW for the month.”
“While the surge in installation has some suggesting a solar paved path to recovery and a sign of renewed confidence among foreign investors, there is a bit more to the story suggesting a race to reap the benefits before they’re gone. Specifically, this has to do with a planned rollback in state support to help the government chip away at the Renewable Energy Sources (RES) Fund deficit, which is expected to grow to 473 million euros by the end of this year and 905 million euros by the end of 2014. This fund is reserved for supporting renewable energy producers in Greece. Like Spain, which boasts a significantly more daunting sector deficit, Greece has decided that the best way to deal with this is to introduce further cuts, including extending the reach of retroactive reductions in feed-in tariffs, adding to a roster of similar regulations introduced late last summer.”
“Hoping to ease the likely slowdown brought on by the cuts, Athens have worked to introduce new rules aimed at cutting red-tape, which they hope will be passed and implemented by early April. The Ministry of Development, Competitiveness, Infrastructure, Transport and Networks has worked to establish a “General Licensing Directory, which will serve as a one-stop shop for strategic investors looking to license their projects,” according to PV Magazine. Additionally, the new legislative framework will introduce ways to fast-track more solar projects.”
“Another reason for the increase can be linked the collapse in the price of PV panels over the last two years. As previously reported on this blog, low costs production of PV panels from Chinese producers helped drive down prices over 24 percent over the last year. The prices spurred a war or words between European and Chinese producers, resulting in threats of new trade restrictions between the two markets amid allegations of unfair government assistance. Despite legal action on both sides, the new prices helped flood the European market with low-cost products, undercutting local manufactures.”
Greece is taking advantage of pricing differentials and investments. The connection between solar investment and support of Cypress is in understanding the economic impacts and butressing against the shocks.
Economy Watch reported. “Greek citizens and politicians on Wednesday praised the Cypriot parliament for standing up to its foreign lenders’ demands, with the government also set to lead a takeover of local units of Cypriot banks in order to shield the Greek economy from any repercussions.”
The core of sustainable nations is the understanding of stakeholder value and the importance of leverage to growth. The Greece is promoting a unique sustainability nexus in economy, energy and efficiency to a sustainable future.
- Greece Installed 300 MW Of Solar PV In January – More Than Germany, & Over 1/3 What It Installed In 2013 (cleantechnica.com)
- Greece Sees Impressive Solar PV Growth Despite Banking Crisis (renewableenergyworld.com)