Energy security depends on integrating renewable energies, says IEA

The rapid expansion of solar and wind power requires structural reforms to ensure their full integration into global power systems and avoid significant production losses.

Share:

illustration VRE

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

The energy sector is undergoing a profound transformation.
Since 2018, global solar and wind power capacity has more than doubled, driven by supportive government policies and steadily falling costs.
These variable renewable energies (VRE) now play a key role in decarbonizing the electricity sector.
They account for a significant proportion of the greenhouse gas emission reductions needed to achieve global climate targets, notably carbon neutrality by 2050.
Indeed, they are responsible for two-thirds of the reductions in carbon dioxide (CO2) emissions in the power sector.
However, if these energy sources continue to grow at this rate without an adequate framework for integrating them into power grids, their potential could be severely limited.
A recent report by the International Energy Agency (IEA) points out that without immediate integration measures, electricity production from these sources could be 15% lower by 2030, reducing their share of the global energy mix.

The challenges of effective integration

Integrating ERVs poses considerable technical challenges, not least because of their intermittent nature.
Solar and wind power are weather-dependent, which means that electricity production can fluctuate wildly over the course of a day or season.
These variations impose a high degree of flexibility on power systems to maintain a balance between supply and demand in real time.
Countries with a low share of these energies in their energy mix, such as the USA and China, can generally increase their renewable capacity without major structural reforms.
However, countries already well advanced in this transition, such as Denmark and Ireland, face more complex challenges.
These countries need to invest in energy storage and grid management solutions to stabilize their power systems.

Energy storage as a solution

Managing variations in production requires innovative solutions such as energy storage.
Battery technologies enable surplus electricity to be stored for use when production is insufficient.
In South Australia, a management model based on energy storage has already proved its effectiveness, helping to stabilize fluctuations in the local grid.
However, these solutions are not accessible to all countries, due to their cost and the infrastructure required.
Investment in grid interconnections therefore becomes a viable option for several states, enabling renewable resources to be pooled and production to be efficiently managed on a regional scale.

Essential public policies

Technological progress is important, but the role of public policy should not be underestimated.
According to the IEA, successful integration of ERVs depends above all on appropriate regulatory reforms.
Governments must take steps to encourage investment in flexible infrastructures such as smart grids and storage systems.
They must also put in place regulatory frameworks that encourage close coordination between grid operators, energy producers and regulators.
Recent examples show that this approach works.
In Spain, improved weather forecasts and optimized power grids have made it possible to increase the share of solar and wind power without destabilizing the system.
Other countries should follow this example to avoid delays in implementing these technologies.

The challenges of network stability

As energy systems become more complex, the challenge of stability increases.
To guarantee continuity of service, networks must not only absorb production peaks, but also manage sudden drops.
This means investing in modern transmission infrastructures and strengthening cooperation between countries to stabilize energy supply on a large scale.
In addition, technical solutions such as smart grids, capable of modulating demand according to available production, are set to play a key role in the coming years.
The digitization of energy infrastructures represents an opportunity to optimize the balance between supply and demand, but it requires colossal investments and an overhaul of regulatory frameworks.

An inevitable but complex energy transition

The energy transition to renewable energies is an inevitable reality for many countries.
However, the obstacles to integrating these new production capacities are numerous.
Governments and businesses need to work together to develop the right infrastructure for REVs, while ensuring the resilience and security of energy systems.
The experience of pioneers in this field, such as Ireland and Denmark, shows that solutions already exist to overcome these challenges.
However, their widespread adoption will depend on governments’ ability to anticipate future needs and implement appropriate public policies.

With 16.8 MWp of capacity, the Triticum plant in Bavaria marks a strategic investment for MaxSolar, strengthening the agrivoltaic model in the German energy landscape.
Greencells has signed a partnership with Belgian company 3E to transfer over 3 GW of solar and storage capacity to SynaptiQ, a central monitoring and analytics platform.
Spanish group Grenergy has signed an agreement to sell seven solar projects with a total capacity of 88 MW to Ecopetrol, as part of its asset rotation strategy.
Zenith Energy has launched a tender for the construction of three solar plants totalling 7 MWp in Italy, with expected bank financing covering up to 90% of costs.
JA Solar unveils a pioneering white paper on photovoltaic systems in arid regions, with a module designed to withstand extreme desert conditions and improve long-term energy yield.
Shikoku Electric Power lowers its acquisition threshold for solar projects to 500kWAC and calls for proposals to develop floating plants on reservoirs of at least 15,000m².
Canadian Solar has started delivering non-fossil certificates from a new 20 MWAC solar plant in Okayama under a 25-year virtual power purchase agreement with a Japanese company.
Ecopetrol has reached a conditional agreement to acquire seven companies holding photovoltaic projects across four Colombian departments, for a total potential of 88.2 MWp.
Three photovoltaic plants will receive financing structured by the European Bank for Reconstruction and Development to strengthen Romania's electricity capacity and attract private capital to the sector.
Loiret Energie and Terres d’Energie Développement will invest €15mn in a 31.5-hectare agrivoltaic farm in La Ferté Saint-Aubin, combining electricity production and organic cattle farming.
Canadian Solar Infrastructure Fund makes its first acquisition outside the FIT scheme with a 1.1 MW solar plant in Tsukuba, valued at ¥253.5mn ($1.7mn), under a corporate PPA agreement.
The agreement will enable Bisleri to meet 48% of the electricity needs at its Sahibabad site through solar power supplied by Sunsure, cutting annual CO₂ emissions by nearly 2,700 tons.
Vikram Solar has commissioned a new 5 GW automated plant in Vallam, Tamil Nadu, raising its total capacity to 9.5 GW and marking a key milestone in its industrial expansion strategy in India.
Norwegian group Scatec is developing a 1.1 GW solar plant with 200 MWh of storage for Egypt Aluminium, under a 25-year contract backed by the EIB, AfDB and EBRD.
GreenYellow has signed a major energy deal with Dohome to deploy 10.5 MWp of solar and 13 MWh of storage across 15 sites, marking one of the largest hybrid projects in Thailand’s retail sector.
ENEOS Renewable Energy will develop two solar installations totalling 4MW on a decommissioned JR Hokkaido line, under a power supply agreement signed with the railway company and the regional electric utility.
RWE has commissioned a project combining 200 MW of solar and 100 MW of battery storage in Milam County, Texas, addressing the growing electricity demand and expanding its operations in the United States.
EDP has launched operations of a rooftop solar plant at Johnson Electric’s site in Asti, targeting an annual output of 400 MWh to strengthen the manufacturer’s energy autonomy and stabilise electricity costs.
PowerField increased its operational capacity to 300 MWp by integrating seven new solar parks, developed or acquired before construction, across four Dutch provinces.
Idex has inaugurated a photovoltaic power plant spanning 14,500 m² at Ainterexpo's parking area, developed in partnership with Grand Bourg Agglomération under a 30-year operating model.

All the latest energy news, all the time

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.