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WM0909TU Technology,Society and Sustainability

Assessment of Small Scale Renewable Energy Transition for Curacao

Carsten Broich (1544363) Andre Mercado (4184777) Lu Zheng (4121686)

February 23, 2012

Contents
1 Proposal 1.1 Introduction to Curacao Scenario . . . . . . . . . . . . . . . . . . . . . . . . 1.2 Topic Description . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.3 Key Questions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.4 Approach and Methodology . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.5 Methodological Framework . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.5.1 Strategic Problem Orientation . . . . . . . . . . . . . . . . . . . . . 1.5.2 Development of future Vision and normative scenarios . . . . . . . 1.5.3 Backcasting Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.5.4 Elaboration of future alternatives and denition of follow-up agenda 1.5.5 Embedding of results and agenda and stimulation of follow up . . . 2 Backcasting Analysis 2.1 Strategic Problem Orientation . . . . . . . . . . . . . . . . . . . . . . 2.1.1 Natural potential . . . . . . . . . . . . . . . . . . . . . . . . . 2.1.2 Current state . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.1.3 Energy from Solar . . . . . . . . . . . . . . . . . . . . . . . . 2.1.4 Energy from Wind . . . . . . . . . . . . . . . . . . . . . . . . 2.1.5 Energy from Biomass . . . . . . . . . . . . . . . . . . . . . . 2.1.6 Biomass into biopower . . . . . . . . . . . . . . . . . . . . . . 2.1.7 Ocean Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.1.8 Industry developments . . . . . . . . . . . . . . . . . . . . . . 2.1.9 Systematic Chain for Infrastructural Transition . . . . . . . . 2.1.10 Social System . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.1.11 Socio-Technical Development . . . . . . . . . . . . . . . . . . 2.1.12 Impacts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.1.13 Barriers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.1.14 Drivers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.2 Vision Development . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.2.1 General Vision . . . . . . . . . . . . . . . . . . . . . . . . . . 2.2.2 Biomass & Others . . . . . . . . . . . . . . . . . . . . . . . . 2.2.3 Non-technological Vision . . . . . . . . . . . . . . . . . . . . . 2.3 Backcasting Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.3.1 What are the needed changes . . . . . . . . . . . . . . . . . . 2.3.2 How can the transition take place ? . . . . . . . . . . . . . . 2.3.3 Who will be involved . . . . . . . . . . . . . . . . . . . . . . . 2.4 Elaboration of Future Scenario and Follow-Up Agenda . . . . . . . . 2.4.1 Scenario Elaboration . . . . . . . . . . . . . . . . . . . . . . . 2.5 Elaboration of future alternatives and denition of follow-up agenda 2.5.1 Dissemination of results and policy recommendations . . . . . 2.5.2 Stakeholder meetings . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 2 3 4 4 4 4 4 4 5 6 6 6 9 12 14 14 18 21 21 25 28 29 30 32 34 34 34 35 36 36 36 37 38 38 41 41 41

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3 Conclusion & Recommendations 42 3.1 Conclusions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 3.2 Recommendations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 References 45

Chapter 1

Proposal
1.1 Introduction to Curacao Scenario

The depletion of fossil fuels and climate change have lead to a major change in the current energy sector. By introducing policy changes and feed-in systems for renewable energy, governments are trying to increase electricity production from renewable energy sources. The large scale introduction of renewable energy sources will lead to a complete new environment and large investments are required. As an example, the large scale introduction of biofuels led to an increase in food prices. This is due to the fact that biofuel competed with food crops and often farmers decided to grow fuel crops since the return on investment would be larger. This problematic could have been forecasted by technology assessment. Another example are the side eects from renewable energy like the required storage capacity, due to peak power savings and uctuations in wind spectrum or solar intensity. Nevertheless the future of the energy sector will consist of renewable energy sources and therefore it is important to assess already implemented renewable energy sources, forecast further implementation steps and also analyse possible risks. Since the electricity network is a highly complex network with many interdependencies, the technology assessment will be done on a small scale environment. For this environment the island of Curacao is suitable since dierent renewable energy sources have already been implemented, however not a total transition has been successful yet.

1.2

Topic Description

The energy system of Curacao was 100 percent dependable in fossil fuels. All the fuels were produced in the nearly a century old ISLA renery (Beumer, 2011).The current renery is highly pollutant and obsolete. The government of Curacao is facing a time where a decision is needed to be made. Some parties consider that it is more feasible and more benecial only to upgrade the renery or build a new one, but it is our belief that there is a better choice; the use of renewables should be implemented. This leads to the problem that Curacao is too dependable on oil. Therefore a problem oriented Technology assessment will be performed. Our proposal to the government of Curacao is to implement a new energy regime, in which all the energy needs are going to be supplied by renewable energy. These plans will have a social and economic impact, and we are going to asses this impacts to analyse whether or not it is feasible the transition and which will be the economical and social costs of this energy transition. This paper will give an overview about the impact that introducing these new technologies will bring.

1.3

Key Questions

In section 1.2 the main problem has been stated, namely the dependency on oil. Thus the key questions arise on that topic. The solution for that problem is the transition to renewable energy sources. This paper will answer questions on how the transition towards renewables can be performed and what are the social, ecological and economic impacts on Curacao through such a transition. The economic impacts include aspects like the creation of new jobs, the extra costs of renewable energy, further dependency on oil (Pau, 2006) and the investments required. The social aspects will be assessed based upon how individual life on Curacao will change and what the impact of this is. Also another key question is to which extent and which speed the transition process can be realized. This is extremely important due to the fact that not all renewable energy sources are considered to be mature. Right now the island of Curacao is facing a big transition due its willing to change its status to be more competitive within the Caribbean area. The current energetic system is powered by a nearly 100 year old oil

1.4. APPROACH AND METHODOLOGY

CHAPTER 1. PROPOSAL

renery which is not only being harmful to the environment but it is also producing an enormous damage to the public health of Curacaos society, and of course the public image of the island is getting aected. The high prices of electricity is aecting the nations economy in several ways. First of all the low wages rates of the population can not aord these prices. Also the tourism is being aected because the current prices of electricity can not compete with the electricity prices of other islands in the Caribbean. The new government has within its goals to reform the politics of electricity generation and there have already been approved new reforms with the scope of ending the monopoly in the electricity generation. Having these topics in consideration we can now formulate the central research questions: Can the new energetic production system can come in its totally from clean renewable sources? To try to answer this question the analysis of the island will be done in order to identify areas of opportunity of the renewable technologies. We will also create scenarios for the future where we will analyse how broad can be the participation of these dierent technologies and mos importantly, how feasible is the implementation of a renewable energetic system in Curacao. Having the central question, some other questions are formulated:
Which are the areas of opportunity in renewable technologies? Which technologies are feasible to be implemented? Which are the pros and cons of each technology? How would the future of Curacao will look like with a fully sustainable energetic system? Who are or will be the relevant stake holders in this energetic transition? Which could be the scenarios that an energy transition will face? Which are the main drivers and barriers to have a sustainable energetic system? Which action plans need to be taken by the dierent stakeholders in order to achieve this objective?

1.4

Approach and Methodology

This paper deals with a problem oriented Technology Assessment. Thus it will make use of the framework for problem-oriented Technology Assessment. The key-questions are outlined in section 1.3. Since it is already given that the main solutions is the integration of renewable energy sources, it needs to be analysed to which extent the several renewable energy sources are feasible. For that a technological map will be used to display the dierent potential renewable energy systems. Scenarios will be created in which it will be analysed how dierent sectors will be aected and whether or not the transition will be cost-benecial. The sectors taken into consideration in the dierent scenarios will be:
Private sector; current investors and stakeholders of the renery, and new investors of the upcoming technologies. Government of Curacao The community of Curacao

The scenarios will inform of which role the dierent sectors will play in the transition. How will they benet or how they will be aected. How far should the ambitions go in this new energy proposal. Once the scenarios have been set up a multi criteria assessment can be done to compare them with each other. Also use will be made of an impact tree to see the interdependencies and eects of the dierent technologies. In conclusion theses scenarios will be compared to the already existing scenarios that involve the upgrading or creation of a new renery and conclusions will be made of which proposal is more benecial and which road should the government take. This paper will give an assessment to a small scale transition but for future references this paper could be the base of an assessment of a world large scale energetic scenario.

1.5. METHODOLOGICAL FRAMEWORK

CHAPTER 1. PROPOSAL

1.5

Methodological Framework

Five main steps are used for the framework.

1.5.1

Strategic Problem Orientation

The rst step is the strategic problem orientation which explores the necessary background settings for the backcasting analysis. In the strategic problem orientation the dierent key technologies will be explored which are:
Energy from Solar Energy from Wind Energy from Biomass Ocean Energy

Since we are dealing with a problem-oriented backcasting research topic these key technologies are essential to predict the best possible transition towards a society that runs fully on renewable energy sources. Further since the main technologies are then discussed, the next focus is on the infrastructure requirements on Curacao, which includes the technical and non-technical requirements. Hereafter the Social System will be analyzed which consists of the stakeholder analysis. Subsequently the Socio-Technical Development is depicted which consists of the internal and external factors. Lastly the impacts are outlined.

1.5.2

Development of future Vision and normative scenarios

This section consists of the articulation and explanation for the future vision. initially the current situation is displayed from which the general future vision is then deployed. Furthermore from section 2.2.3 dierent non-technical visions or perspectives will be outlined.

1.5.3

Backcasting Analysis

In the rst part of the backcasting Analysis the what-who-how analysis is performed. Hereafter the needed changes are outlined. The changes are explained on multiple levels such as organizational, cultural and organizational. Also the driver and barriers analysis of the dierent players is performed. Lastly a stepwise approach for the dierent actors is outlined (3-Step Approach)

1.5.4

Elaboration of future alternatives and denition of follow-up agenda

The elaboration section will initially display the future scenario. Hereafter the 3-Step Approach is outlined in more detail. This will also lead to the electricity generation goals for 2020 and 2030 and how they can be realized. Hereafter the follow-up agenda will be discussed.

1.5.5

Embedding of results and agenda and stimulation of follow up

The last section will contain dissemination of results and policy recommendations, possible generation of a follow-up proposal and stakeholder meetings (Quist, 2012).

Chapter 2

Backcasting Analysis

2.1. STRATEGIC PROBLEM ORIENTATION

CHAPTER 2. BACKCASTING ANALYSIS

2.1

Strategic Problem Orientation

Curacao, is an island of the Lesser Antilles with a surface area over 443 km2 , and the population is approximately 150,000(Pors & Nagelkerken, 2010). With around 62,000 households, a baseload of 100 MW power demand is required and currently, it is totally based on conventional power plants3.1(Forum, 2011).

Figure 2.1: Installed production capacity 2010

2.1.1

Natural potential

Before we start drawing the outline of future vision of sustainable technology development, the natural resources of potentials should be studied. Located in the surrounding of Caribbean sea, tropical monsoon always travel around the island. Steady trade winds inuence sea conditions around the island. The wind direction is primarily (95%) from the east and east-northeast. Mean wind speed is 7.1 m/s (yearly mean for the period 1964-1980). The maximum wind speed is 8 m/s and occurs in June, decreasing to a minimum of 6 m/s in November(Pors & Nagelkerken, 2010). What is more, tropical storms pass within 200 km of the island every 4-5 years. So o-shore wind farm is promising for Curacao due to limited inland terrain. with an average of more than 5 sun hours per day(Forum, 2011), huge amount of solar radiation reaches the land, which makes both the surface of ground and seawater a natural collector. Wave action is high along the northeastern coast due to the easterly trade winds; the southern coast is more sheltered. Waves are highest along the southeastern tip of the island and decrease westward(Pors & Nagelkerken, 2010). Lots of researches have being studied since 19th century, and coastal or estuary area would be preferred for wave energy harness. Biomass as one of the rising technology nowadays is also feasible for Curacao, with more than 60,000 households on the island, leftover or living waste can be gathered and then, reuse them as the feedstock for biomass combustion or gasication. Meanwhile, considerable seagrass like mangroves are restricted to a few isolated areas of well-developed intertidal fringe forests in drowned coastal valleys(Pors & Nagelkerken, 2010). Studies for algal bed growing argues that make one or two bio-plant as agriculture or aquaculture will not bring the risk for biodiversity since the natural condition connes the ecosystem well(Pors & Nagelkerken, 2010).

2.1.2

Current state

As shown in the3.1, the severe dependency on fossil fuel can not be transferred into sustainable energy based immediately, the infrastructure and attachments for a specic technology should have a well transition and connection to those entrenched in the present situations. Accompanied by the transition in business market, it will be a complicated and sensitive project which cannot be built in one day. The two major power generation methods on Curaao are oil red steam turbines and diesel engines using heavy fuel oil(Jordan, 2011).Investigation shows the two major areas of energy consumption in Curaao are: Electricity (including water production) and Transportation. In 2005 in Curaao 728790 MWh of electricity was delivered to the grid. Approximately 285000 tons of mainly heavy fuel oil was used to generate electricity by the various diesel-,steam- and gas turbine generators. However, only 6% of the grid consumption was produced by RE sources, mainly wind(H.M.T Gouverneur, 2006). With the attention that has been focused on green house eect and other environmental aspects, sustainable energy becomes substantial in development. The new government argues few main shortcomings of the current aairs, besides the fully dependency on oil, pollution, inecient utilization, service, obsolete legislation and politic regulation or support are the drawbacks that hamper the sustainable development in Curacao. On the contrary, them all lead to a highest electricity price in this region(Forum, 2011). Realising the severity of energy structure transfer, a revolution in policy is carried out to boost the progress in sustainable technologies development. Few project is already around the corner in Curacao. With a mean velocity with 7.1m/s (Pors &

2.1. STRATEGIC PROBLEM ORIENTATION

CHAPTER 2. BACKCASTING ANALYSIS

Nagelkerken, 2010) can ensure a steady output all the year around. However, the criteria of choosing a location for wind park do not only pursuing the optimal eciency completely, human and environmental factors also need to be taken into account, that may become the limitation for construction of wind farm in Curacao since the land area has a restraint on it. the wind park Tera Kora would be a good paradigm for it is obsolete and located on the coastline which is far from living area and optimal in wind velocity. this kind of landscape would be preferred for Curacao which ranged from the coastline to nearby seabed band. As the location for Tera2.2(Jordan, 2011)

Figure 2.2: Satellite picture of Tera wind park the nominal annual power production is 260 GWh which is 33% of the annual consumption based on the calculation on 2011. the advantages that being brought by this project is more sustainable energy supply and more opportunities for jobs and peripheral products development. NuCapital is also aiming at upping the capacity to 36 MW instead of the previous one. Tera will be replaced with 15 MW compared with 3 MW(H.M.T Gouverneur, 2006) and the plan is already carried out recently. the other one Playa Kanoa also has a chance to be enlarged in the power capacity from 9 to 15 MW, so in total, it makes 30 MW power supply from wind park. Together with the increase in wind farm capacity, relevant infrastructure needs to be improved respectively. Especially the cable to connect the grid. Think about the o-shore cable and under ground cable will dominate the power transportation in Curacao after 10 years later, which is also the main stream and global current nowadays. Accompanied by lay the new cable, other infrastructural facilities may be updated as well, and all this alteration, both for the entities and the designing concept should follow the development of wind farm step by step, in case of missing the key chain in the step of transition from the conventional energy regime to the renewable energy. So that more jobs should be focused on plan and manage the future scenarios. For example the layout of a city, sometimes there will be conict about programming the layout between few public sites and power plants due to several reasons like the living conditions concern. In fact this troubles can be avoided by a better design with concerning thoroughly by professional workers. It makes these skilful and talent researchers desired in great amount in the coming future. Other place like the Spaanse inner bay, whose area is 3.19 km2 with mean depth of 5 m, also the northeastern coastline(Pors & Nagelkerken, 2010) are all suitable for large scale wind parks. Besides marine and terrain environmental aspects, shipping route, biological balance and noise are all determining the choice of wind park. After dealing with all this issues, we should aim at the larger of the scale, the higher in the eciency of the wind park. Depend on the data for the Tera park, 13 wind turbine with 6 MW peak capacity will occupy 4284 m coastline in total(Jordan, 2011) Above is the candidate location for concentrated solar plant for Curacao, known as asphalt lake2.3. Before there was any useful purpose of high grade fuel, the residue of the adjacent renery was dumped in this lake(Jordan, 2011) Make this place a solar plant not only contribute to the sustainable development, but also saving the polluted land. After digging out the pollutants, new construction will bring this place back to life again. With an estimation for 50MWe fresnal array, actually this can be improved by higher advanced collector if the cost becomes acceptable later, 90 GWh/year can be produced which is 13% of the current demand of the island(Jordan, 2011) and the most attractive data would be the unit price of electricity produced by this concentrated solar plant is only 0.12$ which is the result of levelized cost analysis for 20 years operation(Jordan, 2011) For the limitation in land area and further improvement in CSP, scale up and generalize this project can 7

2.1. STRATEGIC PROBLEM ORIENTATION

CHAPTER 2. BACKCASTING ANALYSIS

Figure 2.3: Satellite picture of CSP not be determined in fact, but with the given assessment it is promising and worthy to be commercialized soon.

2.1. STRATEGIC PROBLEM ORIENTATION

CHAPTER 2. BACKCASTING ANALYSIS

2.1.3

Energy from Solar

In this section the solar technology, the context and lastly the developed developments are explored. The Technological system Solar Energy can be used in dierent ways. The main advantage is the fact that solar energy is very abundant on Curacao. Whereas the Netherlands only has 2 sun hours per day, Curacao has 5. Thus it is possible to extra energy with a factor of 2.5 from the sun. In general one can list for dierent types for making use of solar energy: 1. Photovoltaic Technology 2. Solar Thermal Energy 3. Desalination 4. Combined Solar Energy Photovoltaic Technology makes uses of direct conversion from the sun to electricity using thermal and chemical reactions. Solar Thermal Energy makes use of indirect conversion by either generating steam to drive a turbine or by heating up water that can be used in households. Desalination also makes indirect use of solar energy to free the water from the salt. Lastly Combined Solar Energy makes use of a combination from the previously named technologies. These four main branches will be outlined in the following subsubsections in which also individual technological maps will be given. To provide an overview of the dierent technologies and its sub-technologies one can refer to gure 2.4.

Figure 2.4: Solar Technologies

Photovoltaic Technology The most predominant technology for photovoltaic is the use of semiconductors in which the energy conversion takes place. To produce electricity with a specic number current and voltage one makes of several solar cells that are connected to each other, this is then called solar panel or PV module. When introducing large scale application of PV technology then one makes use of several modules, called solar array (Zeman, 2008). Hereafter the photovoltaic system will be outlined. It consists of the solar panel (discussed earlier), the charge controller, the batteries and the inverter. If it is grid connected then no batteries are required. The whole system can be seen in gure 2.5. Currently there are only test facilities by Aqualectra for implementation of Curacao. However an option could be that residential building and companies invest in smaller solar panels on their roof to decrease their electricity demand from the grid. Solar Thermal Energy The next sub-technology explained will be the solar thermal energy. Solar Thermal energy can be dubdivided into 3 main parts which mainly depend on the temperature. There is a dierent temperature regime for all three sub-technologies: 9

2.1. STRATEGIC PROBLEM ORIENTATION

CHAPTER 2. BACKCASTING ANALYSIS

Figure 2.5: Solar System


Low-Temperature: Used for heating of swimming pool and in-house applications Medium-Temperature: Used for heating air/water for residential and commercial applications High-Temperature: Make use of concentrated energy to produce electricity using steam

For Low-Temperature and Medium-Temperature devices the working principle is rather similar. Sun Energy arrives on a at plate with high albedo to absorb a large fraction of the incoming energy. Like the concentrated solar plant, thousands of solar radiation collector will focus on one single spot and gather all the light beam to that point to form high temperature about 1k Cesis degree, thus the high temperature can be used to heat up and evaporate it into vapor, and then push the turbine to generate or use some chemical methods to storage the inner energy to chemical energy.For the High-Temperature solar thermal energy it is mainly made use of concentrated light which heats up water up to the boiling point, which then driver a turbine to create electricity. Thus from gure 2.6(a) we can see that we require a solar collector (1), a solar pump and controller (2) and a storage tank (3).

(a) Solar Thermal Energy

(b) Solar Desalination

Figure 2.6: Sketch for Thermal (a) and Desalination (b)

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2.1. STRATEGIC PROBLEM ORIENTATION

CHAPTER 2. BACKCASTING ANALYSIS

For Curacao the the solar thermal energy is especially interesting to provide low-cost heating for residential households. On Curacao there are 62.000 households which could all make use of solar thermal energy and thus reduce the peak loads during the day. For the 7.000 companies on Curacao, the usage of solar thermal energy is not useful since the energy output would be too little, however there are plans for the implementation of a solar thermal plant. The plans for this plant are that it should have a capacity of 10 MW and should be located at the asphalt like next to the harbour. This could yield a power supply of 10-15 % of the total energy demand of the island (Witteveen, 2011). Desalination Desalination makes use of the sun energy to produce drinking water. There are dierent ways in which desalination using the energy of the sun works. Desalination can be realized by Reverse Osmosis and Solar Humidication-Dehumidication. Reverse Osmosis is mainly used for large-scale application. It is a pressure driven process which makes use of semipermeable membrane to separate the water from the salt. Solar-Humidication-Dehumidication makes use of several evaporating/condensing steps in order to free the water from the salt. Curacao already makes use of desalination of distillation since 1928. When built the desalination plant had a capacity of 60.000 liters per day. Currently there are two distillation plants which are used for public water supply and one for the oil renery PEDEVESA. The public water supply of 41.000.000 litres per day actually exceeds the consumption of 35.000.000 litres per day (Sustainable Development & Environment, 1997). Combined Solar Energy Combined solar energy makes use of a combination of desalination, PV and thermal energy. By doing so the roof top potential in densely population area can be maximized.

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CHAPTER 2. BACKCASTING ANALYSIS

2.1.4

Energy from Wind

Curacao has an extremely high wind energy prole with average wind speed of more than 10 m/s at 80 m hub height. Thus there is quite some potential for wind energy. In this section the technological system of wind energy will be outlined together with the infrastructure requirements and other technological aspects. The Technological system Wind energy can be split up in various sub categories. First there are vertical axis turbines and horizontal axis turbines. On the other hand wind energy can be split up into its positioning; namely onshore and oshore. 1. Vertical Axis Turbine 2. Horizontal Axis Turbine Both systems have various advantages and disadvantages which will be outlined in the following two subsubsections. Vertical Axis Turbines The rst type of wind turbines is the vertical-axis wind turbine (VAWTs). The name comes from the vertically placed rotor shaft. The rotation is due to the drag and lift from the wind. The main advantages are that they can be spaced close to each other and can only be used on residential buildings. Other advantages are that they work independent of the wind direction and less initial wind required compared to the horizontal axis turbine. However for larger wind speeds they to stall and thus no electricity can be produced. Also so far they have only been used for small scale energy usage. Horizontal Axis Turbine In contrast to vertical axis turbines, horizontal-axis wind turbines (HAWT) have the rotor shaft placed in the hub and thus not on the ground. The main advantages are that the energy yield is a lot higher compared to VAWTs. The disadvantages are that they require far more maintenance and need to be directed to the wind. Oshore Wind oshore technologies are on their rst phase of development and research. Nowadays many countries have opted to develop the oshore wind energy harvest. Going oshore have many advantages compared to onshore wind energy, some of these advantages are:
Oshore winds ow at a higher speed rate compared to onshore wind speeds, which means more wind potential energy can be turned into electricity. Since the wind farms are located far away from shores, the visual impact on landscapes is negligible. Zero noise impact on populated areas.

Going oshore represents a high challenge because new technologies and techniques need to be implemented which basically means higher costs and more work should be invested. Onshore In general onshore can be compared to oshore. The main advantage of onshore windfarms are that there is already a close grid connection. Also installation and maintenance costs are lower. Fabrication of the wind turbine Although it is true that higher wind speeds represent a higher electricity harvest, it can also can be counter productive. If wind speeds go to high it is dangerous for the wind turbines and can result in serious damage for the turbines. The construction of the wind turbines should take in consideration the adverse meteorological conditions at they will be exposed. For example, high wind speeds, hurricanes, heavy wave forces moving towards the turbine and its structure, etc.

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Foundations The farther from shore the wind farm goes (which is the goal), the deeper the sea gets. new foundation techniques are required to be able to install wind farms in deep water. Foundations should make possible to build wind farms in deepness going from 20 meters to maybe 50, 70 or maybe 100 meters. These foundations should be strong enough to stand the high forces they are subject due heavy masses of water moving around. Foundations also need to take into consideration that the underwater soil might not be optimal for construction, must of the time the soil is sand, which not a stable soil suitable for construction. Transport and construction Going oshore means having to transport everything to the wind farm location. Having to transport 100 meter high columns or wind blades can be challenging and expensive. The construction teams might encounter unexpected weather conditions and technologies should be created to build up the wind farms in these conditions. Maintenance Unexpected failures and programmed maintenance routines go all around the year. Having the wind turbines in deep in the sea means having to transport maintenance teams in any time of the year. Sometimes weather conditions are not the best for these operations. Not being able to go and x the turbines is costly. Current Situation on Curacao Curacao has ideal wind condition with 95% of the wind coming from northeast / southeast direction. Furthermore the wind speed is around 8 to 9 metres per second taking into account a hub height of 30 metres. The ideal condition on Curacao are at Tera Cora and Playa Kanoa. Both sites already have wind farms on the. The return on investment was reached within 9 years. However further expansion of wind energy actually requires grid connection standards for independent power producers due to the reactive power consumption of the induction type wind generators. If the grid is extended and updated the penetration level of wind energy could reach 50% in Curacao (Irvin Hanst, 2010).

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2.1.5

Energy from Biomass

Biomass is a renewable kind of energy due it uses waste of organic vegetable resources. These organic waste consume Carbon Dioxide (CO2) and produces Oxygen (O2) when growing. The fact of consuming Co2 and producing O2 makes this kind of energy source Carbon Neutral. Types of Biomass Sources There are plenty sources of biomass and they are divided in two main groups:
Primary Sources Secondary Sources

Primary Sources The primary sources is the oldest kind of renewable energy used by mankind. The primary sources are turned into an energy form with one simple process, most of the time combustion is used. The primary sources usually come from vegetable waste such as death trees, branches, wood, etc. At the moment new kind of primary biomass is being used, which is Waste from cities. This is another primary kind of biomass that has become a reliable energy source and it also gives a solution to the accumulation of large waste in the cities. The conversion of these sources of biomass into energy is very simple. most of the time combustion is used. The process of converting biomass to power will be described further in this paper. Secondary Sources The secondary sources are biomass sources that need to be processed industrially. The secondary sources can be turned into industrial chemicals, the most common is Biofuels. Secondary biomass sources are a variety of plants including: miscanthus, switchgrass, hemp, corn, poplar, willow, sorghum, sugarcane. (T.A. Volk & Edick, 2000)

2.1.6

Biomass into biopower

There are plenty of process that are used to convert the biomass into energy, such process will be described below Combustion This is the most basic form of turning biomass into energy. The process is almost the same as the one used with fossil fuels. The biomass is introduced into a boiler. In the boiler the biomass is burned at very high temperatures. The heat produced by the combustion is used to heat up water to produce high pressure water vapour. The vapour is transported into a turbine. The high pressure of the vapour ow produces the turbine to rotate at high speeds. The turbine is connected to a generator which also rotates and this rotation produces electricity. At the moment this is the most common type of process to convert biomass into electricity. Combined Heat and Power This process uses the same principle of combustion but the water vapour is used in dierent ways such as:
As heating system. As hydraulic power.

Most of the times the combine heat and power process is a secondary result of the combustion process. When the vapour leaves the turbine it still carries a lot of energy potential, although it might not be enough to move the turbine again, it can be used as heating and power. When heating is needed, the vapour is transported into a heating system. The vapour runs through heating pipes of buildings, houses, hospitals, etc. The ow of the vapour at high temperature produces a heat exchange with the outside and results in the heating of the buildings. This process can also be reversible, meaning that the water vapour can also be used as cooling systems, via absorption cycles. When hydraulic power is needed, the vapour is transported to the place where is needed. for example in factories the vapour is used to actuate dierent hydraulic machines such as presses, dies, pistons, etc. The old fashion combustion plants where very low energy ecient, meaning that the water vapour was only used to move turbines. This resulted in high heat losses, making the process inecient. Nowadays the term

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Co-Generation Plant is being mentioned more and more. This term is very simple; power plants use their vapour to produce electricity. After the using the vapour, instead of discarding the vapour it is used in Heating and Power, this process highly increases the eciency of what old power plants use to have.

Figure 2.7: Biomass combustion Technologies

Gasication In this process, as its name mentions, the biomass is turned into a gas, Biogas. The biogas can be used in a broader range of devices. For example it can be used in cooking, heating or in electricity generation. Biogas can be as well used as fuel for internal combustion engines. The process to turn biomass into biogas is quite simple to explain. The process takes place in devices called Gasiers. In the gasiers, the biomass is heated till the internal chemical bonds start to break and turning the solid into a gas. The operator should be careful not to over heat the biomass over its combustion temperature, it would produce the biomass to burn instead of to gasify. After the gasication the biogas is cleaned in lters. These lters remove the chemical compounds that would lower the eciency of the gas. Anaerobic Digestion Anaerobic digestion is a natural way of converting the biomass into biogas for its further use. This process is a simple fermentation of death organic material. The fermentation turns the biomass into methane and carbon dioxide. These gasses are putted through a treatment which allows the gas to be used in a similar way as the gasication process. The principal sources of these process are:
Animal Waste Agricultural Waste Animal Manure

The result of this natural process is methane and carbon dioxide, which when freed in the atmosphere are highly dangerous, because they are some of the principal Green House Gases. This process is highly benecial because it gives a use to these dangerous gases and minimizes the global warming potential. Biofuels Biofuels have 3 main characters:
Biodiesel Bio alcohols Plant oils

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Biodiesel The biodisel comes from the esterication of plant oils, which is basically treat and transform the raw vegetable oil into biodisel. Biodiesel can be produced from:
Oil feedstock (soy bean, hemp, algae, canola, etc) Animal fat. Vegetable oil.

Biodiesel is most commonly used in mixture with fossil diesel to power internal combustion engines. Bio Alcohols These types of alcohols are produced from the fermentation of feedstock and/or cellulose waste. The most common types of Bio Alcohols are:
Ethanol. Butanol. Methanol.

The Bio Alcohols can be used as direct fuel for engines and can also be used as additives to enhance the performance and eciency of internal combustion engines. Plant oils Plant oils are used in two dierent varieties:
Straight Vegetable Oil. Pure Vegetable Oil.

These oils can be used directly in some diesel engines. Some of these oils might need some simple technical modications. The oils are obtained from oil producing plants such as: algae, sunower, canola, seeds, etc. The process of obtaining the oil from the plants can be expensive, that is the principal reason of why the oil it is not yet widely used. Energy From Biomass in Curacao The potential in having energy from biomass in Curacao might not be as large as in wind energy o solar energy, but it still can be a reliable source of energy. The maximum yield of biomass is 12.7 Kg (Pors & Nagelkerken, m2 2010). The island has the potential of extracting energy from biomass in several forms(H.M.T. Gouverneur, 2006):
By burning city waste and produce electricity out of it. Extracting methane from biomass Producing biofuels from local crops and plant oils.

Burning city waste and produce electricity Curacao being a populated area has city waste. This waste always represent a problem because it needs to be stored in some place where the population health wont be threatened. Producing energy our of the city waste is the most ecient way to nd a purpose to the city waste and also create something good out of it. By burning the city waste, the heat can be transformed into electricity by the process described above.

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Figure 2.8: City waste combustion Technologies Extracting methane from biomass There is two methods to be analysed when extracting methane from biomass and both can be easily implemented in the island of Curacao. 1. Macro Approach: Agriculture today in Curacao is done by small farmers and local farms, it is not an important economical activity. Although the agriculture is not big it produces great amounts of organic waste. There are several crops grown in Curacao some of them are suitable to extract methane from them. First lets enumerate the main crops in Curacao(Partnership, 2011):
Aloes Sorghum Peanuts Vegetables and tropical fruits.

From these crops we can extract methane from:


Sorghum Vegetable and tropical fruits

These kind of crops are suitable for transforming into methane due their decomposing processes involve anaerobic bacteria which produces de biogas. 2. Micro Approach: Another approach that the communities of Curacao could use is the use of particular bio-digesters. These bio-digesters are simple and cheap systems that can be installed in every household. The people would just dispose their organic waste from the kitchen into the bio-digesters and there the decomposition will take place and in result methane will be produced. The methane will be collected for its further use in cooking ovens. Producing biofuels from local crops and plant oils The agriculture in Curacao as stated before has aloes and tropical fruits. Curacao as having a coast line has plenty of algae. These group of agriculture products have a high fuel energy yield. The processes to convert these products to biofuel has been already described. In these subsection is only described where the biofuels could be extracted from.

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2.1.7

Ocean Energy

Generally, utilization of the energy in the oceans can be divided into two ways, using the thermal energy and mechanical energy. Since almost 70% of the Earths surface is covered by oceans, not only the mechanical energy generated from the oceanic motion, but also the vast thermal energy stored by seawater makes it possible to satisfy the worlds consumption by exploring portion of the energy from oceans. Ocean Thermal Energy Conversion Introduction Ocean Thermal Energy Conversion known as OTEC, has been studied for hundreds of years. It is a concept that recovering the thermal energy stored within vast oceans by driving an appropriate thermodynamic cycle, a gure below show the typical organic Rankine cycle of a OTEC plant features.

Figure 2.9: Sketch of OTEC(Source: Bluerise BV) As the driving force is the discrepancy in temperature, OTEC is particularly applicable to tropical (subtropical) areas, therefore the highest dierence can be built up. A forthcoming picture that depicts the average temperature distribution of global oceans will illustrate the location determining factors.

Figure 2.10: Distribution of temperature for global oceans(Source: Bluerise BV) Obviously, Curacao is located in the tropical area which mean the temperature dierence can be the most optimal for thermal energy conversion. General principle for OTEC is propelling turbine blades by volumetric expansion in evaporator, which is done by heat transferred from warm seawater to working uid in order to

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evaporate. Then the expanded vapour go through a condenser to be condensed after absorption of heat by the cold seawater. Based on the working uids, these thermodynamic cycles can be classied into: open cycle, closed cycle and hybrid cycle. Current development It is not until the energy crisis becomes severe that R&D institutes show a increasingly demand for sustainable energy resources all over the world. Previously people only argued that OTEC may get only 10% thermal eciency would be beneath other developing technologies, however OTEC has the advantage of sparing fuel feeding and steady storage of thermal energy, it can avoid intermittent supply like solar and wind energy. Consequently, lots of experiments are deployed for dierent thermodynamic cycles and also trying to nd new working uids to handle low grade heat resources. Another spotlight is from oshore engineering issues like the deep cold water pipes and oating platform for OTEC technology.The research for OTEC involves peripheral technologies like seawater desalination, ocean mining and so on. Incremental potentials of OTEC has drawn impressive attention for the society and would be a candidate for future energy resource. Current research for Curacao with OTEC potential is debated drastically. Bluerise, a company created at Delft University in the Netherlands, drew up the Ecopark project in the Caribbean island-nation, and OTEC would be one of the main challenging for using the renewable energy from ocean(Christiana Sciaudone, 2011). What is more, Delft University also initiates students and researchers to start the investigation of OTEC plant design for Curacao since 2009, one of the programs called Design Challenge has already came up with conceptual design for a 10MW plant for Curacao, with a eciency of 3.4%(B.J. Kleute, 2009). Ocean Mechanical Energy Introduction Renewable energy sources which are not economically attractive or technically feasible for large scale exploitation, are reconsidered as mixing form (Margaret Kadiri, 2012). Amongst them is the tidal energy, which has an eective way to convert the kinetic energy or potential energy of the water into mechanical motion of turbine blades, particularly in places with a tidal range of 4 m or more. It is a form of hydro power and those with dams are dominating the industry for a long time. Recently, mechanisms for extracting hydro power without dam come into peoples horizon, by simply placing a stream turbine in the path of tidal current or through tidal range schemes, where low head turbines are encapsulated in impoundments structures, much like in low head riverine hydro power schemes(Margaret Kadiri, 2012). In theory, tidal force is periodic variations in gravitational attracting that due to the celestial moons, mainly exerted by the moon. So application for those without dams are increasingly focused since their location has a broader area, like in a river or estuary. Current development A rough estimation is done by researchers to show the global potential power can be generated by unit length of wave in 2.11(Polinder, 2011a).

Figure 2.11: Global potential of wave energy Curacao is actually located in Caribbean sea and we can read from the gure that there has a potential of 20 kW/m of wave energy that can be harnessed. Strong currents and occasionally strong countercurrents and eddies may develop near promontories along the coastline. The mean tidal range is 30 cm, with a maximum of 19

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53 cm and a minimum of 7 cm(Pors & Nagelkerken, 2010). Although it is not too much compared with other regions, or we can say it may not be a fantastic place for producing electricity with wave energy, the technology itself is not mature as other renewable energies, therefore makes wave energy a candidate for sustainable energy conversion for Curacao, and no implementation is under design phase as novel methods need to be develop to reap the energy stored in wave. Like any energy resource, some oppositions are raised by environmental groups, they are suspicious of the likely environmental changes large estuary based schemes would produce (?, ?). If implementation is carried out in large scale, researchers worries about the hydro environment may be altered like the tidal ow characteristics, which could have knock-on impacts on the ecosystem. Up to now, many coastal dams are constructed to harness the tidal energy, but not for those without dams, high initial cost and immature engineering issues are the barrier that hamper this concept and leave it at the R&D phase. Assumed is we can construct a long dam with 1 km in length, it can bring 1 MW power capacity, however the terrain for Curacao is not appropriate for dams, because of no gulf or estuarine area can be based by a dam. Hence the oating concepts are more preferable. Like the innovation developed by Delft University, which is called Archimedes wave swing2.12(b)(Polinder, 2011b). Following pictures illustrate the concept of low head turbine for tidal energy extraction2.12(a)(Polinder, 2011c) and a experimental entity developed by Delft University, both of them even can be applied in inland water area.

(a) Conceptual design of oating tidal generator

(b) Archimedes wave swing

In addition, ocean wave energy is an innovative idea to utilize the tidal energy too, and researchers have demonstrated the feasibility and try to impel the implementation of such new facility to realise generating electricity.

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2.1.8

Industry developments

In this subsection various industry developments are outlined, these are essential since they display the changes on a global scale and show how this inuences the energy potential for Curacao. Grid Parity Grid parity is the term used to describe the case where electricity produced by alternative energy sources have the same price as electricity from the grid. In Europe it is predicted that between 2010 and 2015 grid parity will be reached for the photovoltaic industry. This means that consumer can choose for a PV module on their roof and will pay less or equal to the grid price when considering the whole lifetime of the module. For wind energy there are prediction that grid parity will be reached by 2025, however this always depends on the wind quality and existing infrastructure. Curacao currently has one of the highest energy prices in the region with around 40 Dollar Cents per kWh (STATISTICS, 2012), compared to 26 dollar cents per kWh for the Netherlands. Most of the renewable energy prices reach costs of 10 - 30 dollar cents per kWh and are thus cheaper for households on Curacao (Moore, 2011). Type PV Biomass Wind - Onshore Wind - Oshore Solar Thermal Chinese Market Growth Most of the research into renewable energy sources was done in the Europe and North America where manufacturing costs are high. This also led to relatively large prices for these devices. However in the last ve years China invested 49 billion dollars into the renewable energy market. In 2009 China became the largest manufacturer of solar panels. This led to a massive drop in PV prices and made it aordable for residential users. A similar case can be seen for wind energy. From 2008 when China was the fourth biggest wind turbine manufacturer till 2010 in which China became the leading manufacturer, life cycle costs for wind energy decreased tremendously. Lastly investments have been made into biomass to create several power plants, however not such a large impact can be seen on the whole biomass sector as compared to PV and wind energy. The impact of that for Curacao is that the prices for PV modules and wind turbines has been decreased tremendously and thus renewable energy technologies becomes highly competitive with the fossil fuel sources. Levelized System Costs per kWh in $ cents 21 11,2 9,7 24,3 31,18

2.1.9

Systematic Chain for Infrastructural Transition

Since targeting the sustainable development duty, the conventional infrastructure needs an alteration to connect the renewable energy regime. Only brand new constructions are not enough for holding all the regimes transition. That is to say, a thorough revolution should be carried out gradually. First, let us look at the technological map of the scenario for Curacaos energy development, which is given as a general development of common processes of innovations. Generally, a new technology lifes cycle can be recognised in the direction of arrowheads in technology map. From generation to implementation, each step should be adapted with understanding and accepting. Basic syllabus acts as embryonic phase of one or various technologies, they can not be implemented immediately and the possible uses only can be realised on the long term instead of temporary inuence. However that is not to imply their inferiority, on the contrary, special attention needs to be focused on them and guarantee a pure environment for them to grow and, more important to say, not been misled by demand pull or market oriented force. Recently, fully dependency on oil has invoked the Curacao government to carry out several institutions to ban the consumption of fossil fuel, in order to stimulate the development of sustainable technologies, which will be elaborated later. Even irrelevant with sustainable energy, some local companies like Curacao Airport Holding, SELIKOR and few American companies are encouraged to invest into sustainable energy development, which help a lot since the land limits some researching activities in Curacao. The generation of idea is a universally progress that should be accompanied with global development all over the world, and should not, which is also impossible, aord all the responsibility by Curacao its own. Connection means coupling the conventional regime to the innovative sustainable energy system. this link would be extremely signicant. same functions for connecting theory with implementations. As mentioned previously, Curacao itself can be a perfect niche for sustainable technologies in practise. however, that is not to insure a one hundred percent healthy and economical growth for the technologies at Curacao. Changing 21

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Figure 2.12: Systematic map of technology development the energy regime from oil depend to sustainable energy depend immediately and completely would denitely cause lots of inevitable damage and cost. Like all the plants and factories should not be abandoned directly, which could be recycled, and those consume oil can be replaced with bio-fuel or methanol generators step by step, instead of exhaustive reforming. the limitation in land area makes it easy to alter for the reason of lighter technology lock-in eect, and fragile in ecosystem at the meantime. So a self-contained or we can say it tailor-made design for the connection period is necessary. Boost here means an extension, including peripheral developments that are based on, and also can have the interdependency with the specic technology, will ensure a booming future for the sustainable technologies. It can lead to new production lines, services and any pertinent technologies. Actually it is hard to dene the border between intrinsic and extended technology, they interact with each other in fact. Nevertheless, dissemination always brings something new while the supporting technology is something mature already. Thus one thing we can be sure about is the benign loop, which is been brought by the boost of peripheral developments. Taking the local situation into account, part of the developments can not be deployed in Curacao probably. So global cooperation still is a better choice here. End Use. Fuel and electricity are two pervasively used form of energy carrier. They are perfect in energy quality and properties. Currently the consumers of energy are fed on either fossil fuel or electricity, some may depend on renewals like biofuel or hydrogen. Whether there will be another option or novel concept of energy carrier is under studied. In a short summary, the interrelations of each role in the sustainable technology development can be illustrated by the technology map2.12. It may take a long term process from conceptual idea to implementation usually, during the process lots of ramications will come into being and oer their own feedbacks. Competition between renewable energy and conventional energy is unavoidable and the lock-in of renewals needs to be prevented as well. Therefore, cooperation in a multilevel perspective should be carried out to maintain a healthy dynamic environment for renewable energies. With all this eorts, the transition development can be well supervised by fully geared up hardware. On the other hand, the execution should be protected in order to maintain a fair and equitable growth for innovations in Curacao, especially when they are competed with ambient dynamic circumstance. Though a complicated program it is, few suggestions are enumerated in the following text, mainly tackling with technology and sociotechnology respectively. Infrastructure Requirements As a incubator for innovation systems, the infrastructure has undoubtedly been regarded as the key chain to guarantee a robust growth for renewals. In the technology map, obviously fuel and electricity are two kinds of end use for harnessing all sustainable energy resources, so relevant equipments should be explored and deployed. Curacao with 190,000 inhabitants and mainly lived on tourism, makes it impossible to be fully geared up, compared with the complete development, people are more will to build it like a center of excellence (Bluerise B.V). In a small niche like environment, local conditions, including population, education, transportation, climate, and more should be considered. Typically, they can be divided into technology oriented and fundamental requirements, especially for Curacao. technology oriented means those innovative renewals that are the rst time to show up in the island, they need to be produced or constructed separately. For example the OTEC, deep ocean water pipes, working platforms, cables and adapters should be adopted in series. For this

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kind of infrastructure, the technology determines what the construction will be like. Fundamental requirements is just what it shows to us, basic and fundamental constructions like the grid, transportation, telecommunication and energy storage. They all belong to infrastructure. Future Demands One of the required factors for the scenario is the Electricity production of Curacao for the upcoming decades. For that the data from the CBS was used and extrapolated for the upcoming decade:

Figure 2.13: Predicted Electricity Production It was decided to use a linear approach since the geographic location on an island does not really allow an exponential growth due to natural and geographical restriction. Thus we can see that that in order to reach 20 % renewable energy on Curacao would mean that a total of 21.2 MW are required. And furthermore in order to reach 40% of renewable energy generation by 2030 would mean a total of 55.2 MW. Technology oriented Targeting a innovative technology for a small area always has two side from both positive and negative perspectives. the positive one is mainly due to the scale issues, for example limited in land, amount of labours, capital involved in the local market and rms, it will be always like a niche if it is embodied in the dynamic climate, or compete with other rivals. Such a small scale compared with other area around the world, makes it easy and safe to change its energy regime immediately, without much inconvenience. However, the limited scale in all these aspects also constrains the local development, especially in the diversity of technologies. As mentioned in the gure2.12, some basic syllabus, mostly are R&D institutes, have been hampered by the area of land or number of capitals. It is just these issues bring the approach of technology oriented infrastructure construction. Some typical examples will describe it clearly. Deep Ocean Water Management Mainly attached with sea water air conditioning and ocean thermal energy conversion. It is such an innovative system at a world wide level that makes t small island like Curacao, since all the platforms, modules and equipments need to be sort of tailor-made design. So a brand new system would cause less alterations in the interdependency of local market which has a small scale previously. The stakeholders of deep ocean pipes and water management just need to focus on nothing more than designing the system, instead of dealing with other relevant rms or organizations about the business. The deep ocean pipes, which are used to pump deep ocean water from around 1 km deep under the sea to the station of air conditioning, would be something has never shown up before. If there is a oating platform of OTEC, the cables, transportation and daily maintenance will all be required. These developments in Curacao would be new to the local market and contribute a lot to the sustainable energy development. Stand alone PV system This is another example for infrastructure construction. Because of the portable and cost-eective issues, it make the roof top solar cells more preferable, which mean later every household would have their own solar generator. Thus the potential of smart grid come into being with the function of share the peak load with the centralized power plants. Consequently, a network of further transmission and smart distribution control stations is required. Same as before, all this facilities would be new and custom designed for Curacao, which consist the base of future scenario. 23

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Fundamental requirements These aspects include all the basic requirements for R&D institutes, implementations and development of rms or technologies. Such as the grid connection, energy storage, public transportation, telecommunication, dissemination of technologies and so on. Grid Requirements The key point for general requirements would be an integration of sustainable energy (especially electricity), is a better grid management. The current electricity grid at Curacao lacks the following aspects (Hinrichs-Rahlwes, 2011)
Smart Grid Management Storage Mechanisms Policy for distribution management

In order to integrate renewable energy sources onto Curacao a dierent technological grid infrastructure is required with the following design aspects:
Integration of distributed energy production: When consumers produce their own electricity and partially feed it into the system, this needs to be managed by the grid in order to provide grid stability and prevent blackouts. Energy storage options to account for peak demand

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2.1.10

Social System

In this subsection the social system on Curacao by means of an analysis of the stakeholder for the energy sector. In general we can distinguish between two types of stakeholders:
Subject that can have inuence Subject that has shares in a system and can thus loose or win.

The analysis of such a system is important in order to understand the outcomes of dierent policies. In this subsection the dierent stakeholders will be outlined by categories:
Cooperation Research Institution Government Society and Ngos

This will done by rst illustrating stakeholder map to display how the interconnections are. To sum up the interest ,inuence and the goals of the stakeholders will be analysed. In this subsubsection the stakeholder map will be presented which builds upon the previously mentioned players on the island of Curacao. While going through them, the relations will be displayed and analysed.

Figure 2.14: Stakeholder Map

Cooperations When looking at the dierent businesses in Curacao it becomes evident quite quickly that there is a focus on oil, banking, tourism and in the last decade also IT. Therefore not many renewable energy companies have developed on Curacao. However the small participants are listed below, it is interesting to see that the interests of the business players is quite diverse and in some cases even opposite to each other. 25

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Project Developers There are several project developers active on Curacao which develop civil engineering projects. The main players are Janssen de Jong. The project developers would obviously benet from a transition towards renewable energy sources since it would many that many new building projects (PV plant, biomass plant and so on) are required. If the state of the last decade would remain, not many new business opportunities in the energy sector would be available for them. There are several large project developers that have been in busy for harbour construction and other civil engineering projects, thus their inuence is rather big. Retail and Wholesaler Retailers and Wholesalers for wind turbines, PV modules or biomass components do not exist. In most cases the equipment is ordered from outside of Curacao. Thus a real retail or wholesale industry for a renewable energy industry does not exist yet, this would however change with the introduction of renewables. Since the new policy also provides feed-in taris for households, especially the retail market would grow signicantly. When judging the current inuence of this sector it needs to be stated that it is rather small. Construction Companies There are several smaller construction companies with employee size between 10 and 200. As an example of several construction company which have also been active in the energy sector are:
Curacaosche Wegenbouw Maatschappij Curcon Harbour & Civil Construction Curacao

Similar to the project developers the construction companies have beneted from investments into the harbour and the expansion of tourism. However most of the construction for renewable energy sources has been performed by foreign companies. Installation Companies Most of the renewable energy installations have been performed by foreign companies. As an example, the rst grid connected pv system was installed by Ibc-solar which is a company based in Germany. Local Utility Companies The local utility company is Aqualectra which serves the water and electricity on the island of Curacao. Another utility company is N.V. DELTA which manages the two wind parks on Curacao. Then several smaller companies exist like K.A.E.N.V. which built the rst grid connected pv system on Curacao in 2000. International Investment Companies On of the larger foreign cooperation that is current becoming more active on Curacao is General Electric (GE). They have plans to build a power plant on Cuaracao. Petrleos de Venezuela owns the largest oil renery on the island named Isla renery. Local Start-Ups Companies There are several smaller Start-Ups companies on Curacao. One of then is Bluerise BV which deals with ocean thermal energy Companies along supply chain There are various other companies along the supply chain that deal with the electricity network. These companies can be the producer of the materials, designer of the grid or even producer of a whole plant. Most of these suppliers along the supply chain are located outside of Curacao, since the required knowledge and expertise has not been established on Curacao yet. As an example for that one can consider the planning and construction of the diesel generator plant which is currently operated by Aqualectra. The design of the power plant, the construction and the initial operation was done by MAN Diesel & Turbo which is located in Germany.

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Research Institutions Not directly connected to energy, but highly inuenceable is the Carmabi Research Station that focusses on biodiversity on the island. Also some research is performed by the University of the Netherlands Antilles. Lastly individual companies will also focus on research, however most of the knowledge is coming to Curacao from foreign companies. Government The government is divided into a national level and a regional level. The national or central government deals mainly with state aairs but it also includes topics on economic control, health, taxes, energy or currency. The island government has more responsibility in terms of harbours and infrastructure (Board, 2011). The role of the government is to regulate and control the energy market on Curacao. In the last several decades not a large attention has been paid to the integration of renewable energy. However this has changed within the last year with the integration of new energy policies:
Independent regulatory body Securing of consumer interest Introduction of net-metering and feed-in options At least 25% of energy from renewable sources Aordable

Currently almost 100% of the electricity comes from oil and gas turbines. Therefore Curacao is dependent on the oil price, Venezuela, since they control the largest renery and the import of oil. This regulation can also be seen in the stakeholder map. From the previous policy change it can also be seen that the government received feedback from residents and public opinion groups like GreenTown Curacao that the energy price were too high and not enough renewable energy sources have been taken into account. In order to stimulate the use of renewable energy sources, the government provides a feed-in system for residents and business entities. Furthermore they provide permits for development companies to realize the integration of renewable energy. Society and Public This stakeholder consists of societal organizations and the public opinion. One of the public opinion groups that deals with renewable energy is GreenTown Curacao. They try to shut down the oil renery and also introduce large scale renewables. They are based upon the the opinion of many individuals living on Curacao. The interests of the individuals is mainly to improve the eciency of energy, cutting down the energy price and lastly the look and feel of electricity usage. There inuence can get large if a large part of the public agrees. They have the opportunity to inuence the government as it can be seen in the stakeholder map. End-Users A part of the previously mentioned groups are also part of the end-user network for electricity. The end users for electricity are the residential people on Curacao and also the cooperations that consume energy. Obviously they have an interest in a decrease in electricity prices and a redundant electricity network without any blackouts. For cooperation one can also include the large tourism sector on Curacao that is responsible for a major share of the electricity consumption. Just like the residential population, they have an interest in a decrease in electricity prices while maintaining a stable grid.

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2.1.11

Socio-Technical Development

In this subsection the dierent developments will be outlined. Firstly the historical developments of renewables will mentioned followed by the knowledge developments, industry developments, government developments and lastly the societal developments. The subsubsection will consist of a part of external developments and internal developments due to the importance of both for Curacao. History of Renewable Technologies Mankind has made use of renewable energy sources since ancient times. The same natural resources have been used, as we use today: Sun, wind and water. We made use of wind for milling of wheat and for ship transportation. The sun has been used for lighting inside of buildings. Lastly water has been used from rivers to drive water wheels. Actually till the 19th century, renewable energy was the main source of energy for mankind. This changed with the era of industrialization in which fossil fuels such as coal has been used to drive engines. The excessive usage of fossil fuels has led to a fast depletion of fossil fuels and partially also contributed to the climate changed that became evident in the second half of the 20th century. In the second half of the 20th century mankind started research in renewable energy sources for electricity generation. With the rst plans of a permanent space station, and in fact space in general, there was a requirement to produce electricity from the sun. Silicon solar cells and the photovoltaic eect were rst demonstrated in 1953 and only 5 year later used in an orbiting satellite. With the increase in oil prices in the 1970s and the decrease in solar cells prices, pv technology is also used in remote areas where they can compete with fossil fuels. For the same reason research in wind energy advances, yielding in the rst wind farm which is built in 1980. On Curacao itself the renewable energy sector has beneted tremendously from the international development which made it possible to integrate renewable energy on Curacao. The main driver on Curacao has been the the utility company Aqualectra which put renewable energy into their business plan in the seventies. This business plan lead to the rst contract agreement on Curacao in 1985 for the Tera Kora wind farm. Knowledge developments The knowledge development of the dierent sub technologies have been outlined in subsubsection ??? Government and Policy developments During the last decade many governments introduced policy changes for the integration of renewable energy. On Curacao there has not been any policy or vision with regards to renewable energy till 2011. However in the new policy for 2011-2015 several new policy aspects for renewable energy will be implemented. Cooperation Developments Several companies on Curacao have implemented renewable energy policies and strategies which already aim to increase the usage of renewable energy. First there is Aqualectra which set up a Utility Plan 2020 in order to decrease the environmental burden. The main focus will be solar and wind energy projects on Curacao. However it is not known which specic targets should be reached by 2020 (Aqualectry, 2011). Feed-In Taris Especially in the Western World the introduction of feed-in taris led to the installation of PV devices on residential houses. Germany was one of the leading countries for the introduction of feed-in taris which led to the establishment of a large renewable energy sector in which currently more than 340.000 people are employed. The main goal of the feed-in taris is to stimulate the demand of renewable energy and thereby increasing the R&D. Introduction of feed-in taris for households is part of the new energy policy of Curacao which will be introduced between 2011 and 2015. However it is not clear yet how the feed-in taris are built up. Taxes on Oil With the scarcity of oil and the formation of the OPEC in 1960, the oil price has since increase steadily. Further price increase comes from taxation by governments in order to account for the CO2 emissions. Curacao currently takes a 43.3 % for regular gasoline. The taxes on fossil fuels have been increasing during the last three decade in order to try reducing the overall oil consumption.

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2.1.12

Impacts

The change in the energetic system of a place will being a lot of impacts. The impacts are due the substitution of technologies and its operation. Creating a 100 percent sustainable future for Curacao will bring positive and negative impacts. This impacts are short listed and described below. Emissions Curacao uses a energetic system based in oil renery and fossil fuels electricity generation. As we all know an energetic system based on fossil fuels results in great amounts of greenhouse gases emissions, which are highly dangerous for the health and the environment. Changing to Green Energy will be reduced to a CO2 neutral emission. The impacts are highly benecial. It will help to reduce the climate change, the health of the population will increase and the environmental damage will be reduced. New technologies Bringing new technologies to a technologically rooted society might bring a couple of impacts. Curacao is a society which depends on the current oil renery, if the renery is shouted down a lot of works will be need to be transformed. People will need to change their works to operate the new technologies, people will be need to be educated and trained in the operation and maintenance of the new technologies, this might not be so appealing to must of the people and might bring some society impacts. Education of the population A sustainable energetic system will only work with full participation of the population. This means that the population should be educated in a sustainable way. People should learn and understand that saving energy is a good idea and they should be involved in it. People should be educated in how to live in a more energetic ecient way, and some people wont be willing to change their way of living. Change in the landscape Building the new energy farms will require of the usage of lands, will require to put farms where there use to be nature and society might not be happy with those changes. Individual technology impact Each kind of technology will bring impact. The impact are short listed below. Wind Energy Building wind farms have some impacts. The sound produced by wind turbines is loud and annoying. Building the wind farms near the populated areas is not recommendable. Building a wind farm requires large areas where the ecosystem needs to be modied aecting wild life, either onshore or oshore. Having oshore wind farms might result conicting with the maritime routes. Solar energy Large areas are required and the landscape needs to be modied to build up the solar farms. Solar energy require the usage of batteries, the current used batteries are highly pollutant. Biomass Biomass requires the usage of organic matter. This matter can come from organic waste, but also it can be grown and used directly to produce electricity. Selling crops for producing biofuels is much more economically benecial than using them for food. Regulations should be formulated to avoid the scarcity of food. Tidal The usage of underwater turbines might bring enviormental impacts. Fish might be reached by the turbines and kill them. Also the turbines might be in the middle of their migration routes.

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2.1.13

Barriers

In this subsection dierent possible barriers for the introduction of large scale renewable energy sources for Curacao will be outlined. Technological Barriers Grid Stability Renewable energy sources creates to a large extent reactive power through the induction type wind generators for which the electricity network on Curacao is not yet prepared. Also a further introduction of renewable energy sources like tidal energy, solar and biomass have the problem that they lack power quality due to uttering and consistency due to day/night or change in wind speed. Thus the dierent distribution levels for the grid are not developed yet. Storage Options Currently not sucient storage options for large scale electricity storage exist or they are far too expensive. At the moment most research goes into fuel cells and hydrogen storage for large scale electicity storage. However at the moment they only work eciently work small to medium size applications. Currently large scale storage options are compressed air or pumped water storage. The downside of these currently available technologies is that they are fairly expensive. Economic and Financial Barriers Financial Return Uncertainty For wind and solar energy there are large uctuation in the power output due to the uctuation in sun irradiance and wind distribution. Thus when comparing the total power output for wind and solar energy for a year then it can be seen that deviations up to 20% are possible (Report, 2011). This can lead to a problem for many residential users since they are not sure what the eventual life cycle cost of the electricity will be. Investment Costs For all renewable energy technology it holds that the initial investment costs are rather high and thus many end clients of electricity might prefer to remain dependent on the electricity grid and pay a higher price since they cannot aord, do not want to risk, or cannot get a loan for the high investment costs of renewable energy technologies. Economies of Scale While most large power plants will generate several MWs, the small scale power plants are in ranges of 10-100 kW but will also require maintenance and surveillance, thus economies of scale will certainly be in favour of the existent large scale applications. Awareness and Information Barriers Many end-clients on Curacao (mostly residential users) do not know enough about the advantages and possibilities of private energy production. Therefore the available products are not used. In general people have the attitude of staying with an old technology rather than adapting to something new. Government and Regulation Building Permits One of the large regulatory barriers comes from the necessity that permits are required for renewable energy sources. For example small scale photovoltaic plants or vertical axis turbines on rooftops require installations which require permits from the authorities. Also biomass plants require combustion facilities. Permits could not be granted for aesthetic reasons, safety or noise. Wind turbines might additionally block ship trac or bird baths. On Curacao till 2011 there has not been any framework which would allow residential users to make use of small scale power plants. Partially it is however implemented in new policies which are adopted between 2011 and 2015.

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Grid Access For mid scale renewable energy plants which are located oshore or in remote areas on Curacao it is required to receive access to the grid operated by Aqualectra. The wind farms that were constructed in the past are operated and partially owned by Aqualectra and thus have received grid access. It is not sure how Aqualectra will deal with competitors in terms of grid access, this leads to a high degree of uncertainty for potential investors. Market Barriers Mono- Duopolistic Market Currently the only electricity producers on Curacao are the Curaao Utilities Company (CUC) and Aqualectra. Furthermore the distribution and supply is executed by Aqualectra. The market power of these two companies in the production might lead to the case that smaller companies cannot develop. Furthermore Aqualectra has a Monopoly in the distribution and supply and can thus block new possible electricity competitors. Technological Skills and Information Most of the knowledge that is required for the creation of a renewable electricity grid and large scale RETs comes from outside of Curacao. Thus there is a high degree of dependency from foreign companies that can lead to a slow access of required knowledge and information.

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2.1.14

Drivers

In this subsection the main drivers for a transition towards renewable energy will be outlined. Technological Drivers The main technological driver is essentially de path to innovation. In order to reach a sustainable future, new technologies are needed to be created and developed. This path of sustainability is practically unexplored and a lot can be done. There is the need of the creation of new, sustainable and energy ecient technologies. This motivates companies, investors and research institutes to start on the path of this kind of technological development. In this case the limit of innovations is too far away and there is plenty of room to innovate and fully participate in the development of this wide range of technologies. Within the technological drivers there is also the wish to have cheaper production and manufacturing costs. With new sustainable technologies these cost will be lower, giving the dierent companies all over the world higher revenues. In the case of Curacao the principal motivation is the replacement of an old and obsolete energetic technology specically talking of the current renery. This renery represents a high risk for the island economically and socially speaking. The main driver is to change these old technologies for new, more sustainable and healthy technologies. The path to sustainability will bring to the region new technologies that will activate the economy by creating jobs and lowering the energy prices. The actual technology is 100 years old which means that much of the technology does not meet the standards of environmental safety; innovation needs to be done. Economic and Financial Drivers The production of energy in Curacao is through the old renery plant. This renery is old and inecient. The production costs of this kind of energy might appear low, but the reality is that a lot of money is being lost. In 2006 an economic report was done by Reneria di Korsou. This report mentioned that the costs in matter of health caused by the renery to the government where around 12 million yearly.(Magazine, 2010) A study report says that in order to reduce the hazardous emissions of the renery 1.3 billion Dollars should be invested.(Magazine, 2010) This will reduce the use of fuel and reduce de emissions and will give the renery an extra 20 years of life, giving employment to the region. But the renery gives only 1500 jobs to the people. If the energetic system would change to sustainable technologies, the employment rate could be up to 10 or maybe 12 times higher. Also civil actions have been carried against the ISLA renery costing around 2.5 million and also the renery has had sanctions up to 250,000 daily due environmental violations.(Magazine, 2010) All this money spent will only multiply in the upcoming years if the renery is kept working, the most feasible solution is to invest in new energy technologies which will have a positive impact in the health and environment and will produce low cost ecient energy.

Figure 2.15: Isla Renery

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Awareness and Information Drivers With the opening to information the population of Curacao is aware that the ISLA renery represents a risk to their health. The society is starting to complain and presenting civil actions against the government and the renery. The society is not happy with the current situation and a change needs to be done. The government needs to start to promote the protection of the population health and the environmental care. The government should take actions to change the old energetic regime and bet in a new, sustainable and clean energetic system that will not aect the populations health or the environment. This will be a good promotion for the government, because todays societies are aware of what the governments do and how they take care of their societies. The societies will notice that the old health problems that aected the people are gone and they will know that it is because the energy comes now from clean sources. One of todays principal Curacaos economical activities is the tourism. Nowadays tourists are opting for the green and sustainable tourism. If the government decides to follow a sustainable future this will bring Curacao in the light spot as one of the pioneers in the fully sustainable future and people will be more interested in visiting this island, not only because its warm Caribbean beaches but also because it is a green sustainable tourist destination.

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2.2. VISION DEVELOPMENT

CHAPTER 2. BACKCASTING ANALYSIS

2.2
2.2.1

Vision Development
General Vision

The Curacao government made a scenario for 5 years started from 2011. 25% of the consumption will be replaced by renewable energy. By adjusting the market orientation, there will be an aordable price for the electricity and reliable service attached with those technologies. Compared with EU counties and the USA, reaching 20% of sustainable energy generator was planned and should be achieved before 2010 and 2020 respectively(H.M.T Gouverneur, 2006), since the USA argues they have a larger cardinal number of consumers. So that, the goal to reach at least 25% sustainable electricity production in 2015 (Forum, 2011)is actually increasingly interested to not only the researching elds but also the public. So a conservative estimation of 40% in the year 2030 can be extracted from renewable energy, with an integrated power supplying paradigm. Wind & Solar Energy limited by the issue of the technologies themselves, wind and solar energy are preferred for the sake of mature commercialized production. Wind farm will be built mostly besides shore or o-shore due to limited land area. Two small scale wind farm is under construction recently, and the rst wind park is located at Tera Kor, 3MW peak power in total.The second wind park is located at Playa Kanoa and is rated 9MW peak output(Jordan, 2011).The estimation of saturated capacity is 60MW based on the dominant technology for wind farm design(H.M.T Gouverneur, 2006). With great amount of potential and several decades development, it has the competitiveness to dominate the market by its own, this undoubtedly strengthen itself in the renewable market. Considering the following scale up of wind farm capacity by NuCapital, around 40% of current consumption can be covered by wind farm individually. Solar energy oers great possibility to harness the endless radiative energy from the sun due to the priority of location. Being landed in tropic zone with more than 5 sun hours, it serves the driving the business case for both small and large scale productions of PV product. Besides the roof-top style of solar cell, concentrated solar plant is also feasible at Curacao too. With the property that has mainly direct radiation ux from the sun, the situation there satises all kinds of solar energy conversion indeed. Recently, the location locally known as the asphalt lake will be used as a rst site for a concentrated solar collector, and the designing phase is kept running, with 800,000 m2 area, 30 MWe can be stored in 8 hours, and hopefully 90 GWh/y can be achieved(Jordan, 2011). Another promising program would be the roof top solar panels. With more than 140,000 inhabitants in the coming years, that means more than 62,000 households are located there. The surface area of houses would be promising space for solar radiation collector. If we assume all the roofs are covered with thin lm silicon solar cell, and calculated the power generated by these roof top PV panels, the amount would be 263,500 kW power capacity, if 5 sun hours per day is taken into account, the energy generated in this way would cover 30% of the average consumption for households. Another idea is the concentrated solar plant as mentioned previously, the asphalt lake. With the natural merit, dramatic amount of direct solar radiation can be received on the ground per day, and Curacao also qualies the environmental judgements for building such a plant. With less conversion and transportation processes, the eciency of concentrated plant can be dramatically higher than PV panels, which leads to an economical and energy ecient way of converting solar energy. A roughly estimation show 500 kW can be achieved as the nominal power output after the primary project, because later it will be extended if the solar lake performs better than design.

2.2.2

Biomass & Others

Biomass is a possible approach for Curacao as well. By burning waste, cultivating bio-plants, biofuel extraction and so on. However, occupying too much land will conict and deteriorate the living quality and accelerate competitions between dierent industrial elds. Such as the autarkic issues for sustainable energy technologies, a cautious plan needs to be taken for biomass utilization. But this can be deployed as a connection to the sustainable future, some demo plants could actually be constructed as waste or garbage separation station for the citizens there. And later if the improvement technology can make the island zero in waste output, it will be a sparkling contribution to the sustainability of Curacao. Ocean sources is extremely potential for Curacao. There is a promising project called ECO PARK for Curacao is already under the designing phase since 2010, the core technology is to using the cold sea water as working uid for air conditioning, and secondary aim is ocean thermal energy conversion. From their reports, 65% of the electricity consumption can be saved with this air conditioning and 99,070 tons of CO2 emission can be avoided (source: Bluerise B.V). Blessed by the natural resources, 21 Celsius degrees discrepancy from the surface to the bottom of seawater means a 10 MW ocean thermal plant is theoretically feasible, which has been approved and modelled by TU Delft master student (source: Bluerise B.V). While the OTEC technology is still in R&D phase, an incubator should be built to protect it from the dynamic market. 10 MW would be 1/10 of todays consumption is attractive and a lot of unknown potential is waiting for our exploration. So does the ocean wave energy conversion. Biomass is put 34

2.2. VISION DEVELOPMENT

CHAPTER 2. BACKCASTING ANALYSIS

in an inferior place is due to the scale and product chain it need to feed on itself. It usually involves lots of industrial manufacturers and processes which may bring some hazard to the small island. However biomass should not be eliminated since the living waste can be burnt properly in order to generate. After going through all the possibility for each technology in the future, a safe guarantee can be made for replacement of 40% energy consumption before 2030. Further detail about the rationales are depicted in the following section.

2.2.3

Non-technological Vision

Besides the technological main goal of reaching 40% electricity generation by RETs there are also secondary goals which are non-technical which should be reached in order to facilitate RETs. This non-technological aspects are social aspects, economic aspects and environmental aspects. In the following sections the dierent perspectives will be outlined. Social Perspective Due to the establishment of further companies and an own industry renewable energy on Curacao there will be a creased demand for specialists in the eld of RET. This will create jobs and improves Curacaos status of one of the advanced countries in the Caribbean. It is however dicult to predict a certain amount of new working places. From a consumer perspective it means that there will be more competition among the electricity producers and prices will decrease even though prices might increase initially due to extra investments required. Furthermore consumers might get a choice of choosing there electricity composition and costs, thus inuencing and stimulating renewable energy sources. Economic Perspective Currently a large part of the electricity sector on Curacao is regulated and owned by the government of Curacao. This has as a consequence that electricity prices are extremely high and prevents the establishment of a renewable energy economy on Curacao. For 2030 there should be companies located on Curacao that contribute signicantly to the GDP. Thus an industry sector besides nance, ITC and tourism should be well established. Environmental Perspective Currently a large percentage of Curacaos industry is based upon tourism. This is due to the unique ora and fauna on the island. In order to remain such a tourist attraction the environmental hazards from electricity production should be minimized. Therefore exhausts from power plants needs to be reduced or be replaced by renewable energy technologies. Furthermore wind turbines should be located on Curacao but should certainly not inuence the landscapes that are expected by tourists.

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CHAPTER 2. BACKCASTING ANALYSIS

2.3

Backcasting Analysis

In the backcasting analysis, it is looked backwards from a target goal and deals with the questions as:
WHAT needs to changed to realize a transition ? HOW can the transition come about ? WHO will or should be involved to realising the target set and using which activities. Furthermore the question will be extented by who will oppose such a transition.

2.3.1

What are the needed changes

The required changes for a renewable energy transition can be split up in several subcategories which are interdependent from each other. Technological Changes Several level of technological changes can be regarded as necessary for a renewable energy transition. Within Curacao the electricity network that is maintained and owned by Aqualectra needs to be extended and also updated to match with a multi-level energy distribution scenario. Furthermore an extension is necessary to include future small and medium energy plants into the energy grid. This also includes electricity storage which could be done by fuel cells, water storage or batteries. The development of this will however still take 1-2 decades. Additionally the renewable energy technologies such as wind, solar, biomass and ocean electricity need to increase eciency, decrease maintenance cycle and cost in order to have nancial certainty. Cultural & Behavioural Changes The cultural and behavioural changes include the mindset of residential users and companies. There needs to be an awareness program which outlines to residential and corporate electricity users that they can contribute to a renewable energy transition which would lower the prices for electricity on Curacao. Furthermore an awareness campaign needs to be introduced to emphasize the usage of household applications with high eciencies as it has been done in Europe in the last two decades. This can signicantly lower the total electricity demand. Also end-users of electricity needs to understand concepts of electricity surplus, peak loads and balancing in order to shift peak loads and even out the electricity demand and thus reducing the necessity of electricity storage. Structural Changes Structural Changes require a new market model for Curacao at it has already been proposed. The new market model will then consist of several medium to large scale electricity producer but will also include electricity production of customers. Currently only Aqualectra and CUC exists on Curacao for the generation of electricity. Additionally 2-3 new producer should enter the market in order to increase competition and reduce prices while at the same time introducing new renewable technologies.

2.3.2

How can the transition take place ?

The transition towards renewable energy sources needs to be taken stepwise due to the ongoing fast technological advancement and the lack of electricity storage options. The rst steps includes the policy and actions that will eect the time scale from 2012-2015 (short term). The second step will range for the mid term goals (2016-2025). The long term actions will then take place from 2025 onwards. It needs to be noted that the individual schedules and its eects can become reality in faster/slower times and thus the time schedule should not be considered as a rigid timetable, but rather a exible interdependent roadmap that should respond to the ongoing transition process during the next decades. Step 1: Short Term Actions For the rst step (the short term actions) three main actors need to work on the transition simultaneously. In the rst step end-users should prefer renewable energy sources to fossil fuels which will increase the demand and subsequently the production of renewable energy sources. At the same time Aqualectra and CUC should introduce more renewable energy sources so that end clients can get a choice for the source selection. Furthermore Aqualectra needs to make sure that the electricity network also reaches other RETs which might be located remote or oshore on Curacao. With this rst network update the following initials RETs can be realized on Curacao: 36

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CHAPTER 2. BACKCASTING ANALYSIS

Wind Park expansion and updating Waste to Energy plant in combination with garbage separation Expansion of Solar Energy Integration Ocean Energy

Lastly the government needs to provide incentives and stimulation for companies and end clients to make use of renewable energy sources. This can be done by feed-in taris for end-clients and investment incentives for end clients and electricity cooperation. Step 2: Mid Term Actions The second step consists of a further expansion and updating of the electricity grid including sucient storage options. Sucient storage options are not readily available yet but are required for a large scale usage of renewable energy. Since RETs are only integrated partially by 2020-2025 peak loads could still be balanced out by other fossil fuel sources. Before creating additional competition it is required that Aqualectra facilitates the Step 3: Long Term Actions Term Actions The Long-Term actions are required to stimulate further growth, market stabilization, market competition and independence from other countries. The actions that are required for this are initially the incentives for startup companies on Curacao for RETs. By doing so the R%D on takes place on Curacao itself and thus there is a knowledge growth. This is required to stimulate the further transition of renewable and creates larger competition on the electricity market. Furthermore the electricity market regulation needs to be stopped so that the distribution and supply of electricity can be done by companies other than Aqualectra. All this leads to the establishment of a RET economy which can work on an integration of RETs beyond 40 % of the electricity produced. The total steps can be seen in gure 2.16:

Figure 2.16: Step Approach

2.3.3

Who will be involved

For the energy transition there are several actors and stakeholders involved. Some will accelerate the process of the transition others will act as a barrier. The main actors are those already mentioned in the stakeholder analysis. It is important to mention that the government will be a driving force for the transition just as the public opinion groups, since they have a main interest in reduction of electricity prices and a transition towards renewable energy. A possible barrier can come from some of the corporations which currently operate fossil fuel power plants and fear diminishing returns from an energy transition due to the electricity generation from end-users in combination with the high investment costs. Furthermore Banks or other nancial institutions need to be involved in providing loads for small and large scale electricity producers. Many SME and residential users will be afraid to invest in their own electricity generation due to the high initial investments costs and will thus neglect the long term benets for them. Thus nancial institutions need to get involved as well.

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2.4. ELABORATION OF FUTURE SCENARIO AND FOLLOW-UP AGENDA CHAPTER 2. BACKCASTING ANALYSIS

2.4
2.4.1

Elaboration of Future Scenario and Follow-Up Agenda


Scenario Elaboration

Taking all the description previously done for Curacao, the future vision of 2030 can be depicted in detail. As mentioned above, PV, wind, biomass and ocean energy would all be preferred to harness the renewable energy from natural resource. The rst mature method would be wind farm in Curacao. Then follows the PV, concentrated solar plant, waste biomass recycle for plants and OTEC plant. Considering the limitation for Curacao, even like a Niche for implementation renewable energies, a zero-emission industry would be targeted so that recycling daily waste needs to be deployed Assuming the population will be 160,000 in 2030, and average waste per person per day can be some 5 kg, in total will be 800,000 kg of living waste. Based on some research, the specic heat of living waste can be 5000 kJ/kg if the treatment is appropriate, and the value of standard coal is 7000 kJ/kg, so that the potential of living waste would be equal to 570 ton standard coal if we used them to generate. Change the unit to kWh we can nd more than 1000 kWh per day will be achieved through this way. Being surrounded by the Caribbean Sea, ocean energy can be a good choice to harness the renewable energy. Building a dam at any harbour seems insucient and also not economical since there is no natural river or estuary is suitable for such a hydropower station to be ecient enough. And the tidal energy is still under research phase, so the only relatively mature technology would be ocean thermal energy conversion. Relying on the natural collector of solar radiation the surface average temperature of sea water can stay 26 Celsius degree and the deep ocean water rarely change in temperature. This give Curacao priority to harness the thermal energy from the sea. At the same time, sea water air-conditioning will be applied for the airport power demand. A group of students has already estimate the contribution of this so called ECO PARK project, which has a 10 MW power plant with sea water air-conditioning, chilled soil agriculture, aquaculture, trace elements mining and other integrated plans. This is veried theoretically feasible and bring another way of compensating the conventional methods to generate the power for Curacao. Limited by the working uid and materials, 10 MW would be a proper conservative estimation of the power output. If we convert the power of CSP in asphalt lake into a conservative output, that mean 300 working day per year and 5 hours per day, with a gross eciency of 80%, 40 MW would be achieved. Using the same assessment for waste biomass recycle plants, 50 kW is the amount of output power. In total we have 80.04 MW power capacity based on analysis, which is far more enough for covering 40% of energy consumption in Curacao before the year 2030. Innovations only can survive with the developed infrastructure in the future power supply chain, that is the smart grid based network. with the contribution of rst generation smart grid, four key tasks can be aorded by it:Supply eciently,Smart allocation,Intelligent control and power management. As we all know, the transmission of power is always a energy destruction process, during the indispensable cable routes, too much converter, transformers and regulators dissipate almost 20% of the power supplied to costumers. With a ecient way of supplying the power, all these equipments are able to be converged in a smart plug just out of the terminate device, together with high temperature superconductor, electricity can be delivered without any loss during the pass. Smart allocation would be interesting topic since it maintains a base load situation. Thus energy storage can be ignored which is know as costly and non-environmental friendly. Surplus power can be sent to some place requires peak load operation and the power gap can be compensated by spilling power from surrounding neighbours. Software control center is built for detecting, supervising, adjusting a better and stable system, prevent the smart grid from common hazards like blackout, island eect or load shock to generators. Power management can be realised from host of methods. For example, the intelligent center can shut down few stand-by power that is not been used temperately, also by analysing the power demand with its supervision and forecasting, distributed generators are stand-by and wait for the command. Meanwhile, a better regulation in the voltage and frequency can contribute to the energy saving and power management as well. Encompassing the Smart grid with its merits, 20% saving is assumed by Prof. J.A Ferreira from TU Delft. It is actually gain the power capacity of renewable energy from the other side. As a result, 100 MW magnitude is achieved. However the smart grid still depends on the electrical engineering process which mean is maybe hard to be carried out before 2030, especially make it generalised for domestic utilizations. But coupling all the plants and distributed generators, including domestic contribution to the grid, would be a future trend and large amount of capital and technicians are needed to investigate and full this purpose. At that time, rms with the conventional business, service, innovative and novel idea are all supporting this revolution. Lots of specic technician would be preferred and large job vacancies will appear due to the evolution in generating plants, more and more high-tech sta will be demanded, as a result, policy, education and public awareness will play an important role in dissemination of new technology. nevertheless, all these works destination are not to replace the conventional power plant completely, but to oer a better transition, a well laid infrastructure for the future. As stated earlier the main scenario for the implementation of renewable energy on Curacao will follow three main steps. These three main steps are the short, mid and long term steps. However before setting up the scenario elaboration, the primary energy

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2.4. ELABORATION OF FUTURE SCENARIO AND FOLLOW-UP AGENDA CHAPTER 2. BACKCASTING ANALYSIS

demand for the scenario needs to be determined. It is not a easy problem to tackle with, same goes for the greatly change in landscape level. Tailor-made solutions from entrepreneurial and politic aspect will be articulated in the coming chapters. Elaboration on Step 1 So far the dierent items belonging to step one have been named however they have not been quantied and qualied. This will be done in this section. Step 1 consisted of the following items:
Public Awareness Government Incentives (Feed-In & Subsidies) Energy Savings Integration of rst RET Grid Updates & Expansion

Now we will go through these items step for step. The public awareness campaign can be applied on several levels. These three levels are: 1. Advertisement 2. Education 3. Entertainment It can start with a basic education about the advantages of RET. This can be done with advertisement campaigns, classes during school or universities, newspaper articles or using other media. It is important to convince the local population and local companies to invest into small scale renewable energy plants like a PV rooftop in order to reach a certain degree of distributed power generation as stated earlier. The entertainment part can exists of festivals and activities that show the advantages of renewable energy. This awareness campaign will also serve as a driver for follow-up initiatives coming from the local population itself. The next item is is the government incentives that can be used to increase the usage of renewable energy sources. These incentives can be feed-in taris, subsidies for investments or loans given out. The feed-in taris should be scaled in such a way that consumers or companies will receive a nancial advantage, thus the levelized production costs should be lower than the price for electricity from the grid. It is expected that solar energy will reach grid parity by 2015 and wind energy by 2020. Thus feed-in taris should be introduced up to the point where grid parity is reached for a certain technology. For the loans it would be possible to set up a system in which the government pays for a part of a small scale renewable energy plant for the residential population and in return the locals would have to repay the loan instead of the electricity costs. The energy saving of home application is a process that needs to be adopted from other regions in which for example energy labels are used. By doing so consumers can see how much electricity cost a device causes per year. This can lead to a rethinking of consumer for not choosing the most stylish / short term cheapest application, but rather check the electricity consumption and eventually choose for application that require less electricity and thus higher eciency. As an example of that are the energy labels used in Europe for refrigerators. The biggest amount of work and eort goes into the rst integration of RET. First there are the two already existing wind parks with a capacity of 6 MW each. These two will be replaced by two 15 MW windparks in the coming years. The wind farms will be built by NuCapital and Aqualectra has agreed on accepting the electricity produced to their grid. The production of Solar Energy should be done by local residents and companies using rooftop. Till 2015 it is suggested to implement 1 MW. This requires an area of around 70000 m2 taking into account an average irradiation of 150 W / m2 . This makes up 14 football elds for the entire Island. Considering that there are 7000 companies located n Curacao and more than 62000 households, one can see that the 1 MW goal can be achieved easily. The third part of renewable energy will come from the waste to energy plant that is developed by Aqualectra and Selikor and expected to be operational by 2014 however only producing 3-4 MWs. These initial step will lead to the following electricity distribution of renewable energy on Curacao by 2020: Even though more is produced than actually required from a 20% perspective, it needs to be said that there are quite some uctuations in the windspeed and thus extra capacity needs to be installed due to a lack of storage options.

39

2.4. ELABORATION OF FUTURE SCENARIO AND FOLLOW-UP AGENDA CHAPTER 2. BACKCASTING ANALYSIS

Figure 2.17: Renewable Energy Sources Elaboration on Step 2 The mid-term steps can be seen as the step to reach the 40 % renewable energy goal by 2030. This involves:
Expansion of RETs Integration of Storage Options Further updating of Grid Facilitating Network Stability

As already seen in gure 2.17 for 2030 there will be no further expansion of the wind energy farm due to the high uctuations on a daily basis. Therefore other RET will be integrated and expanded. The production of Solar energy is increased to 5 MW which can either be done by a solar power plant or further expansion by PV rooftops. The decision for that depends on the success of the public awareness campaign. However if it is easy to nd an investor for a solar energy plant this will of course also be an option to produce the extra 3-4 MW required. Also Bluerise BV expects to have set up a 10 MW OTEC power plant on the island. Additionally the capacity of the biomass plant can be expanded to 13 MW. The total overview can then be seen in gure 2.17. While the RET expansion for 2030 will not be a large step, the grid expanion will be. This consists of updating the grid in order to a account for a distribution scenario from residential users, new transmission lines to the OTEC facility and the biomass plant and furthermore the integration of the rst storage options. For the grid updates that means the following key aspects:
Power Quality Availability Capacity Planning Net Balancing Net Safety

The integration of renewable energy storage depends on the development till 2030. Currently the most favourable options are batteries, but it might be that hydrogen storage manages a breakthrough. It is dicult to evaluate the potential outcome and thus it needs to be done in a follow-up analysis.

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2.5. ELABORATION OF FUTURE ALTERNATIVES AND DEFINITION 2. BACKCASTING ANALYSIS CHAPTER OF FOLLOW-UP AGENDA

2.5
2.5.1

Elaboration of future alternatives and denition of follow-up agenda


Dissemination of results and policy recommendations

Through the whole energy transition, it is important to keep updated the dierent stakeholders involves in this project. To do so, a program of dissemination of results will be implemented. The dissemination of the results will start on a trimester report that will be posted in the main news papers of Curacao. These newspapers include:
La Prensa The st. Marteen Guardian. Bonaire Reporter. Daily Herald.

In these news papers a coverage story will be posted describing the main events in the energy transition, and it will also be stated the environmental impacts of the activities. Impacts as how much the emissions have been lowered, how much energy is being used from renewable sources. A yearly meeting with the interested parts will be held, where the annual activities summary will be presented. Hot Topics will be discussed and decisions will me made. During this meeting the results and obstacles will be discussed. Regarding the policy recommendations, it is dicult to foresee what is going to happen in the future and it is dicult to foresee how people are going to react on the energy program. Although predictions are dicult to make, one idea should stay. All the policies should direct into a renewable energy system. In case people are backing out or disliking the transition, policies should be redacted in order to attract peoples attention and to show hoe everybody is involved in the program.

2.5.2

Stakeholder meetings

From 2012 - 2020 the energy landscape will change drastically on Curacao and changes need to be monitored and evaluated. In order to do so the government should set up a participation panel consisting of the dierent stakeholders. This panel should serve as a feedback loops for the dierent stakeholder entities. By doing so the public can provide feedback on the electricity prices and stability. Also the positive / negative impacts of wind energy projects or biomass projects can be provided. Furthermore or yearly or quarterly meeting with representatives of the dierent stakeholder should be arranged in order to the where a reverse salient is evident. This could lead to a slowing down of the whole technology and thus more eort should then be taken to overcome the problem. Additionally a progress report from dierent stakeholders that take part in the technology implementation should be expected.

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Chapter 3

Conclusion & Recommendations

42

3.1. CONCLUSIONS

CHAPTER 3. CONCLUSION & RECOMMENDATIONS

3.1

Conclusions

This paper expresses the feasibility of changing the Curacaos energy regime. As stated before, the actual Curacaos energy regime depends on the ISLA renery in Curacao which is old and expensive to maintain. This paper proposes and also mentions the steps necessary to take, in order to have a fully sustainable energy future. This paper shows that it is possible to reach a fully sustainable future. A lot of joint eort between government, companies and society is needed. Investment, knowledge, work and compromise is required to reach the goals. The intention is to set Curacao as a global example. Curacao has the benet of being a country where a lot of natural resources can be exploded with the goal of harvesting electricity, but also it is a country with a bug support of an European country, The Netherlands. We think this situation brings Curacao in a great position where our planning can actually be taking into consideration and can be a success. Nowadays a lot of organizations are looking for a sustainable future. It is not an easy goal to reach, but the rewards when reaching it are enormous. Global warming and climate changes prompt the countries, no matter developed or developing, to all focus on the sustainability of living and development, which calls for a purely sustainable energy production in the coming future. In addition to the diminishing global resources of fossil fuels, the sustainable energy production must be supplied by a renewable source which includes solar, wind, biomass and also ocean energy. universally, it is driven by the Kyoto Protocol of 1990 under those developed nations are expected to reduce their emissions of GHG to certain limitations. Sustainable development would be the only approach for coming years and without and hesitate. Curacao has already taken the rsts steps to reach the goal, right now the government is taking actions to move into a sustainable future. This paper gave a personalized description of steps and technologies that will help Curacao get rid of a dirty energy system. We do not think that the steps indicated in this paper are the only solution, but they are the most aordable and easy to obtain and to work with. In conclusion this paper is to be used as a tool and reference in the energy transition. The paper addresses to the technologies that could explode at the most the great natural resources of the island. These technologies are simple and low cost in comparison with others of its kind. They are technologies that are simple to install and operate. They are technologies that are simple to maintain and not much further training will be needed. This paper gives the proposals that not only will set Curacao in a sustainable future, but it will also help Curacao to stay sustainable. We accomplish to describe the areas of opportunity to explode and also how to explode them. The paper gives an overview of which technologies could be used to bring the most out of the island resources. The process to sustainability is long and involves a long list of stakeholders. The stakeholders are the ones that will set in motion this planning and are the ones that will decide whether or not to follow the steps described in this proposal. The stakeholders are mentioned and also their tasks around the road to sustainability. The process to sustainability can also have negative impacts, we accomplished to describe the impacts that the proposed technologies will bring, and it is in responsibility of the stakeholders involved to analyse them and take the measures needed to reduce these impacts. As conclusion we can keep that the transition to sustainability is a long way, where a lot of money, knowledge and work needs to be putted into. Although it might seem hard to reach a fully sustainable future, in this paper it is stated that it is possible to reach it. We think that it is only matter to Set The Ball In Motion, afterwards, organizations, companies will start to get involved in the global eort, which will bring more people, more money and more knowledge in this global goal. The Curacaos transition is to be set as a global example. It will give an example of how things can be done, of how it is not required to be a highly developed country to be a sustainable country. The example will be given of how the change in an energy regime it is not as risky as people might think. And nally we like to state that the transition is already happening, actions are already been taken to reach sustainability in Curacao, it is only matter of whether or not follow up with these actions, or whether or not to participate in the energy transition and be part of this global eort.

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3.2. RECOMMENDATIONS

CHAPTER 3. CONCLUSION & RECOMMENDATIONS

3.2

Recommendations

As a primary driver for change towards a renewable energy transition is certainly the government. In contrast to Europe the government of Curacao has far more inuence and power on the local economic infrastructure. Thus it is required that the government of Curacao acts on various level to stimulate the introduction of RETs. When looking at the three step approach for the short-term, mid-term and long-term plans all actions are driven by the government. This is due to the fact the Curacao has a lack of competition in terms of energy production and energy distribution. Furthermore grid connected smaller power plants are not even tolerated at the moment. When looking at a future past the mid-term and long-term actions it becomes evident to stimulate the economy, especially the support for small and medium energy start-ups is required to facilitate a further growth of the renewable energy sector on Curacao. One problem that could occur is the decrease of electricity control by the government. Currently everything is overlooked by Aqualectra and the government of Curacao. This leads to a stable electricity sector but extremely high consumption prices. It is important in the future to nd a balance between cost and control in order to provide an almost perfect situation for consumers and corporations operating on Curacao. The questions remains, how the feedback can provided to the government of Curacao in order to steer the further development of the energy transition.

Figure 3.1: Installed production capacity 2010 Clearly dierent approaches are required. For example the public opinion for electricity stability and prices can be heard by a public debate or surveys. Furthermore other TA tools can be used such as the Delphi Method in order to receive consensus among experts working for the electricity companies about the future path for Curacao. In order to facilitate the transition from conventional power regime to sustainable regime, both technical and commercial barriers should be overcome. Also the awareness campaigns and promotion of technologies should be deployed among public, scientic community, businessman and policy makers. in general :
Scenarios and determinations should be disseminated through entrepreneurial elds, to attract enough attention from entrepreneurs. Choosing the renewable technologies should not limit in the technology itself, but a bundle of peripheral technologies, a open horizon would be preferred due to the development of electrical engineering will be updated, more options would emerge with renewals like smart grid. Cooperation between local rms, research institutes and international ones should be enhanced. Decisions should depend on more to the environmental aspects compared with business revenue, this would be the future determinism of sustainable development. A global advocacy broadcast would help to promot the progress and achievement that can be done for Curacao and the whole world. With the following research in concomitant technologies, the implementation needs to be supervised and updated in time, in case of unwanted eects that can not be predicted earlier. Related to commercial activities, assistance from other counties should be indispensable since the character of acting like a Niche market for innovative system for Curacao also has the hazard when facing the dynamic competition globally.

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