Download Energy in Ireland - Irish Congress of Trade Unions

The Greentech Revolution
The Potential for Jobs – How can
Ireland Benefit?
Irish Congress of Trade Unions
Seminar
24th June 2009
Brendan Halligan
Chairman
What is Greentech?
• The means of reducing GHG emissions.
• 80% on 1990 levels by 2050.
• At a time when electricity production will double.
What is the Greentech
Revolution?
• The decarbonisation of the economy.
• Reorganisation of society into efficient and
sustainable households and communities.
• Creation of the “Electric Economy”.
• Invention of machines, appliances,systems and
appliances that will deliver.
• Educating and training the human resources.
• Legislating for a “green world”.
• Managing the transition from “Brown” to “Green”.
Vision for 2050
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All building stock retrofitted
Positive carbon buildings the norm
100% RE power generation
Distributed generation and distribution
Electrified transport
Smart Grids
Holistic energy management
Low carbon energy
The Electric Economy
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RE Power Generation
Electric transport (cars, trains, metro, trucks, buses)
Sustainable communities
Smart buildings
Smart Households and businesses
Smart Grid
No hydrocarbons!
Future Formula
Nobuo Tanaka, Executive Director
International Energy Agency
First Priority:
Second Priority:
Third Priority:
Energy Efficiency
De-carbonise the Power Sector
Electrify Transport
(fuelled by RE)
McKinsey Cost Curve
Energy Efficiency
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1.2 million houses plus 1 million buildings.
All need to be retrofitted.
5 €billion for houses plus 10 €billion for buildings.
Direct job creation – 60/€1m.
Approx 1m man years plus
1m man years indirect.
70,000 p.a. over thirty years.
Smart Energy - Efficiency
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Huge need for smart appliances.
Allied to smart local area networks.
Opportunities for design and manufacturing.
Plus IT system development.
Plus green financial products.
Jobs potential not yet calculated.
How Great is the RE
Potential?
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Energy self sufficiency.
Energy security.
Economic competitiveness.
Major RE exporter.
Leader in Green Technologies.
Massive job opportunities.
Irish “Green” Resources
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Best wind resources in Europe.
Best wave and tidal resources.
Climate suitable for biomass.
Promising geo-thermal resources.
Adequate solar resources.
Small manageable communities.
1. DG TREN Study
“The impact of renewable energy policy on economic
growth and employment in the European Union”
The Employ RES research agencies conducted on
behalf of the European Commission –
April 2009
EU Situation in 2005
Employment:
Value added:
GDP:
Direct Effect:
Indirect Effect
1,400,000
0.65% of total employment
€58,000,000,000
0.58%
55%
45%
Results - Employment
• Employment (ADP)
2020 – 2,800,000 new jobs
2030 – 3,400,000 new jobs
Ireland’s potential share could be 270,000 new jobs by
2030
Ireland’s Share (2005)
• Lowest percentage GDP and Employment in EU
(except Malta and Cyprus)
• Denmark’s share is 10 times higher
• Denmark Ltd 320,000 employment in RE
• Ireland Ltd less than 10,000
• Irish potential for 300,000 jobs.
2. Copenhagen Climate
Council Study
• “Green Jobs and the Clean Energy Economy”
Published by the Copenhagen Climate Council
- Thought Leadership Series: No. 4
2009
3 Reasons for Clean Industry
• Greater energy independence
• Improved environmental benefits
• Positive economic impacts
Here’s a thought…
…the renewable energy sector generates more jobs
per unit of energy delivered than…
…the fossil fuel energy sector!
Germany
1990 – fixed Feed-In Tariff for PV
1991 – subsidised individual PV installations
1995 – provided loans
Result: Germany is the top solar market in the world
Denmark
• Was 99% dependent on imported energy
• Since 1980 has promoted energy efficiency and
renewable energy
• GDP grew by 56%
• Energy consumption remained static
• 20% of domestic electricity now from wind
• Danish firms account for 40% global wind capacity
• 320,000 employed in RE
• 50% of turbines owned by 150,000 Danish families
Navarre
Population:
Area:
GDP:
1996:
2008:
2010:
Wind:
Solar PV:
620,000 (1/7th Ireland)
10,000 km² (1/8th Ireland)
€16.5bn (6% of Ireland)
100% energy imported
70% self reliant
100% self reliant (target)
6th largest producer in Europe (900 MW)
1.2 MW plant (previously largest in EU)
Navarre
• Regional government strongly supports wind:
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4 wind turbine assembly factories
4 blade factories
2 component factories
One of the largest wind turbine testing labs in the
world
WHAT’S HAPPENING?
SEI
Direct Jobs in 2009
Energy Efficiency
Renewable Energy
Support Programmes
3,140
840
395
Total
4,375
SEI
Energy Efficiency Programmes
Home Energy Savings (HES) Scheme
Warmer Homes Scheme (WHS)
CHP Programme
Direct Jobs in 2009
2,400
700
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Renewable Energy Programmes
Greener Homes Scheme (GHS)
540
ReHeat
100
Ocean Energy
200
Support Programmes
Renewable Energy RD&D
Electric Vehicle Deployment
Energy Performance of Building Directive (EPBD)
Total
180
40
175
4,375
What are Renewable Energies?
Wind Energy:
Onshore & Offshore
Ocean Energy:
Wave & Tidal
Solar Energy:
Thermal & Photovoltaic
Bio Energy:
Biomass, Biofuel & Bioelectricity
Geothermal:
District Heating/Power Generation
ESB
New jobs
Sustained jobs
Engineers & Professionals
Apprentices
3,700
1,300
800
300
Total
6,000
Private Sector
Open Hydro:
Wavebob:
C&F (Athenry):
Gaeltech (Cavan):
Glen Dimplex:
Kingspan:
IBF:
tidal energy
wave energy
unique wind turbines
wind farm
heat pumps
buildings
financing principles
Macro-Strategy
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Comparative Advantage in wind and ocean energy
Offshore wind potential limitless
Combine wind, wave and tidal
Aim to be a RE exporter
Create the supporting infrastructure
Build the Celtic Supergrid
Jobs Potential
Wind/Ocean: R&D, manufacturing, construction,
logistics, operation & maintenance,
exports, IT
Buildings: R&D, retrofitting, materials manufacture,
IT
Transport: R&D, infrastrucutre, car manufacturing,
components manufacturing, IT
RE Power Generation
• Limits to onshore wind...
• But offshore is literally limitless
• New ports, shipping
• Ocean Energy is promising
• Also Solar Energy
• New manufacturing and construction plus
• IT support systems and
• Operations and maintenance
RE Exports
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Vision of a ‘supergrid’
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Ireland linked to mainland Europe by three power
superhighways:
1. North: Scotland – Norway – Denmark - Germany
2. East: Wales – England – Netherlands - Germany
3. South: Cornwall – Brittany – France –Germany
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Enables Ireland to link up with the Mediterranean Solar
Supergrid
Electric Transport
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Will be achieved by 2030/40.
Government target of 10% of fleet by 2020.
ESB as major initiator.
Strategic alliance with Renault/Nissan.
RE to power the transport fleet.
Potential for car and component manufacturing.
Plus IT systems development.
Green Financial Instruments
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Essential to parallel existing system.
Green bonds.
A Green Bank – similar to US proposal.
And to ICC and ACC.
Income stream from sale of carbon allowances.
Securitisation of carbon savings.
A new philosophy.
Key Insight
Green is the new blue….
….blue collar, that is.
Key Messages
1. Remove Barriers
2. Create Incentives
3. Impose Penalties
4. Set Legal Limits
Final Thoughts
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Greentech revolution requires revolutionary thinking.
Leadership from social partners.
Clear TU position essential.
Solution to the environmental and employment
crises.
• Plus answer to energy security.
• Most exciting prospect of this generation.
Last Word
• We are trying to prevent
Catastrophic Climate Change.
And thrive and survive.