Renewable Energy in MENA Area to Double Next Year, Desertec Says

March 6, 2014 by  
Filed under Green Energy News

Clean-energy assets in the Middle
East
and North Africa will more than double in capacity by the
end of next year, the Dii GmbH industry association said.

Solar and wind generation capacity will rise to 3.9
gigawatts in 2015 from more than 1.5 gigawatts now, Paul van Son, chief executive officer of the Munich-based trade
association known as Desertec, said in an interview in Dubai
March 4.

Governments are looking to clean energy to meet rising
demand for power and to conserve fossil fuels for export. Oil-producing countries in the Persian Gulf plan to boost solar
output, which will distribute renewable energy more evenly
across the region, Van Son said. Most of the region’s green
energy assets are wind plants in North Africa, he said.

“The demand is here,” Van Son said. “Production costs
for power are lower than in Europe, where the supply-side trend
is to higher cost.” Once supply is developed and power grids
are connected, Europe and the MENA region will constitute a
single, linked power market, he said.

The Middle East and North Africa will need more than $50
billion in investments by the end of the decade to add as much
as 15,000 megawatts of solar-generating capacity, the Middle
East Solar Industry Association and MEED Insight said in a
report Jan. 20.

To help such projects, Desertec is developing a $30 million
fund to promote start-up generation that would otherwise not
find financing, Van Son said. A lack of clear rules and methods
of paying producers add to funding difficulties, he said.

To contact the reporter on this story:
Anthony DiPaola in Dubai at
adipaola@bloomberg.net

To contact the editor responsible for this story:
Alaric Nightingale at
anightingal1@bloomberg.net

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