} tera Stutus id fosvects es a eee IDA—, Wind Energy in Spain 2004 | Current Status ® and Prospects ————Tile of publication: “Curent Status and Prespects for Wind Energy in Spain 2004" ‘Author and publisher: Written and published bythe Institute forthe Diversification and Saving of Energy -IDAE ~ This publication is included inthe “Reports” Series ofthe IDAE publication bank. This publication may not be reproduced, n whole orn pat, without the prior consent of sae. Legal deposit: M-18892-2005. ‘The Institute forthe Diversification and Saving of Energy (instituto para la Diversficacion y Ahoro de la Energia IDAE is a public business entity attached tothe Ministry of Industry, Tourism and Trade. Is mmission and goals are tu proxmute energy efficiency, rational energy use, energy supply diversifiation and increased use of renewable sources of energy in Spain. wae Instituto para a Diversificacion YyAhoro de la Energia c/ Madera, 8 E-2Bo04-Madrid comunicacion@ideees wow ido. Updated edition in English, May 2005 Edicion acualizada en inglés, mayo de 2005a Contents Wind turbine production per manufacturer. Accumulated installed capacity per technology in Spain. The framework of reference in the European Union. The framework of reference at national evel. Installed wind energy capacity worldwide. Installed wind energy capocity inthe European Union. outstanding figures in wind energy sector in Spain. Installed generating capacity in each Spanish Region. Development of wind energy in Spain. Yearly investment in the wind energy sector in Spain. Evolution of cost per kW of installed capacity Key point to current and future development. Mission and activites of DAE inthe wind energy sector. IDAE investment in the wind energy sector. 10 12| State of the technology General points ‘*Two Spanish companies - GAMESA and ECOTECNIA —were among the world’s ten largest manufacturers in 2004. Together they accounted for 20% of the global market. Wind turbine manufacturers using Spanish technology *GAMESA, ECOTECNIA, INGETUR (EHN)*, M, TORRES: which together account for 74% of total installed capacity in Spain. Spanish manufacturers with technology ‘= NAVANTIA ~ SIEMENS**: 4%. transfer agreements Foreign technology | * VESTAS**, GENERAL ELECTRIG, ..: 22%. Domestic manufacturing capacity | * Domestic manufacturing capacity in the wind power industry is more than 2,000 MW per year. ‘Companies in the sector ‘© More than 500 companies are involved in wind power in Spain, Average installed power ‘© 1,110 KW per unit in Spain in 2004. ‘= ACCIONA Group subsidiary. ** until 2004 IZAR-BONUS. "= NEG MICON merges with VESTAS in 2004, Wind turbine production per manufacturer Insale capacy dtuten n Spain 2005 (4.920 MW) Wokdide Share in 2004 (540) bab kk k « io z Pan Source: IDAE and BTM Consult ApS pects J Current Status and ProsI Wind Energy in Spain 2004 | ‘Accumulated installed capacity (MW) per technology i certoun Provisional data [ The framework of reference in the European Union (El ba sesueiwenss in Spain on 32/12/2004 enon ca Source: IDAE 45) ‘Overall target | * Contribution from renewable sources of energy (of 12% of primary energy supply in the European Union by 2010. Wind Power target | * To reach 40,000 MW by 2010. Campaign for Take-Off | * Encompassing the period 1999-2003, it acted as a catalyst for the development of the key RES sectors, ‘© Wind Energy: More than 20,000 MW installed in the period, doubling the foreseen figure. Overall target (E.U.) a ‘© Contribution from renewable sources of energy of 22% relative to the annual electricity con- ‘sumption of European Union in year 2oto. National target ‘In Spain implies that electricity generated with Renewable Energy Sources (RES) represents a per- centage of 29.4% ofthe scheduled total in year 2010.La “The framework of reference at national level ‘Main goal | * Liberalization ofthe electrical market (eached on jan 2003)- | Establishes | * Special Regime for Renewable Energy Sources (<50 MW). Guaranteed grid access. ‘© Apremium for electricity from RES, ‘ Tertitorial and environmental matters are compe- tence of the Regional Governments. Requires | + A promotion plan for RES. a @ Object | + Legal and economic scheme for Special Regime, Methodology | + Feed:in tariff system (guaranteed along life-time): (9) Regulated price (determined by the capacity and year of stating up) or (2) Sle inthe free mare: oo pce +ncenive Preium «tas + Payment with reference to yearly average electrical tariff (regulated maximun evolution until 2010). * Production forecast for P> 10 MW (since 2 Jan 2006). + Penalty for deviations above 20% (option (1) ‘+ Transitory period for former plants (until "Jan 2007). | The framework of reference at national level (continued) * Meet 12% of total primary energy consumption from RES by 2010. | Wind power target (*) | * Have ready an installed capacity of 13,000 MW at, the end of the year 2012. ‘The main measures include | + Adequate remuneration for each kWh generated ‘* Development of infrastructure to transport power away from point of supply. + Standardization, official type approval and certifi- cation of wind turbines. Consolidation ofthe tech nology. ‘* Support for research, development and demons tration of applications before the commercializa tion stage. ‘Investment subsidies are not envisaged. (©) Plan for the Promotion of Renewable Energy modified by “PLANNING OF THE UTILITY & GAS SECTORS. EXPANSION OF TRANSPORT GRIDS 2002-2011" (Approved by the Council of Ministers on 13/09/2002).Wind Energy in Spain 2004 {Installed wind energy capacity (MW) worldwide on 31/12/2004 | EUROPEAN UNION (ay 24200 unite states (iia %75° nora Gp 302° JAPAN 6 oe [ woRDWiDE cuina (75° TT ae canapa 45° rest ( *3°° Provisional data ‘Source: |DAE and GWEC | installed wind energy capacity (MW) in the European Union (EU-25) on 33/32/2004 16,630 GERMANY (SD 8,355 on ey! | 3,120 DENMARK (nD 4125 ray 1,080 NETHERLANDS [aD | EUROPEAN yen 890 UNITED KINGDOM (a Ee 605 austen 520 portuca 1975 vest Provisional data Source: !DAE and EWEA"Outstanding figures in wind energy sector in Spain (updated at the end ofthe year 2004) Overall Capacity Installed ‘Accumulated Investment Energy Sold Electrical Market Sharing Equivalent Consumption 8,155 MW €7,205m 16,000 GWh 6.5% 4,500,000 households ‘+ More than 500 companies involved in the sector. + Design, Construction and Erection. eee 106,000 meer ia ‘+ Operation and Maintenance. 1,630 permanent jobs {all direct) [pouutanr | AVOIDED QUANTITY (0 $0, 110,000 NOx 60,800 Non Direct 79.500 co, 15,000,000 * Inelatontoeletcty generated by means of national hard coal fred powerplants [CEMAT and CNE Goo) Provisional data TOTAL: 8,355 MW Penline Global Target (2011): 33,000 MW, Provisional data Installed generating capacity (MW) in each Spanish Region on 31/32/2004 Source: IDAE Current Statusand ProspectsWind Energy in Spain 2004 | Development of wind energy in Spain (MW) 8,000 7,000 6,000 5,000 Tr [ACCUMULATED (MW) 3,000 2,000 1,000 ° aes wiorennrion| ou [v2 [os [us| 27] or] a6 | 6 [24] | o6 [ao | 95] Ge 15 [os [uss sa Source: IDAE INVESTMENT (€ million) Provisional data Source: IDAE YEARLY INSTALLED CAPACITY CW)Evolution of cost per KW of installed capacity (Tendency curve) “€/kW (in nominal terms) tjtce e Feet f Estimated value for 2004 86 8 88 8 90 91 oF 93 94 95 96 OT 9B 99 00 YEAR e203 04 Source: 1DAE | Key points to current and future development * Existence of significant wind resources. + Stable regulatory framework for electricity gene- ration. ‘* Administrative procedures for the authorization cof wind power installations in the Regions, + Expertise, consolidated technology and econo- mies of escale. '* Reduction in costs of both construction/installa- tion and operation/maintenance. ‘+ Reasonable return on investment. ‘* Longsterm price guarantee. Development of grid Infrastructure. Enable interconnection. ‘Wind energy integration into national power rid, Contrioution to stability. Predictability. ‘Easier, faster and more objective administrative procedures, ‘Enhanced technology (enlarged efficiency, ‘manufacturing cost reduction and improvement of reliability). ‘* Increas@'international competitiveness and worldwide spread. BP current Status and Prospects| Mission and activities of IDAE in the wind energy sector Mission | » Promote energy efficiency and the rational use of energy. * Diversify energy sources. + Promote the use of renewable sources of energy. + Promote technical and financial innovation. e = Activities | + Monitoring and analysis ofthe sector. e + Promotional activities. = + Collaboration with public bodies. le « Participation in projects. 4 «Technical Consultancy. + International Cooperation. | Js a all \ "IDAE investment in the wind energy sector (updated 05/2005) 3 Andale EASA Tara soa sas | 67 | ues Caos peesa sap tno “5 se | 353 | woe | calla, feats apn 1638 see | a2 | wore = lhiras auscorvascoysa. | stradeasoy | ‘764 eos | ans | tpefos | een vse aMueatants | 2970 zur | 260 | iorio0 anda SELLS. Wostinces | a8 305 | ane | “550 | Catania setsa "reat 2535 axe | ico | 59 | ary vecasa puntacavots — | “agp tx | 300 | 2000 caicla somventoc, SA steno 38 sm | 203 | roo iain Seiamamsa | uPlratandzar | és | 200 | ‘725 | in0 foloucns castcatsin | ADELVOOMSA | Atescetvenoyatv | 6204 | aya, | gn7e | ‘ps Boole | ain aewsh Sande Area ise | “oa | soo [2006 | ‘Total for shareholding 223.66 4154 254.50 (€7.02m Murcia PEAAUNON, Si. ta vnin 528 393 | to] 2000 canary ‘AGUA, SA ortataPeiads | ar 3% | uno | aon coy ASA Mowararencsco | iy ase | tooo | cor castes tein | PE.CNUDIO,SAL Coratnowo | sab tas | 5e8 | eon alia | CeNcAsA Petacatuse — | 066 sy | woo | oce Grey sosuaTes cS ‘ange os o% | ime | doo | tater e104 propane oe ery | Andalusia reorECNIA ECOTECWIA 350/225/600 | 0.98 2.06 | s0/100/50 fis8s/92/56 | dais oakla ADE Mabe Soe te 249 [ane | zooror | tavere screw scortenaieso | has ie | too | “toms | tavere maontes iurortes soo | 450 sir | foo | soovos | aren | camesatouca | caesnssofaoo | 85 Zar | gay | toosoa | Navarre M.TORRES DE, S.L, La Fraite 495 5.00 900 2004 Tota for ehnoogy development, 163-88 ego ‘agin | SLECDEYTARAZONASA ] Troma Sur | 960 ais [955 | zoley | nese, |consonconsumenoncal "Esme Se nas | ser | “aoe | ‘rsiras Pe PENOUTA, St reno 3 zor | gaz | 0m | cowie" ts Mane | e6UCAMONTESINOS. SA. | __lRomer soo | 7 | S27 |r Toa for hie party financing ws see peas e28atm a w76ss 5654 joa ©6224