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Solarthermal power station
In many developing countries, energy from the sun is the largest, and only, renewable energy source whose exploitation helps to protect the climate. The KfW project "EMPower" aims to support the introduction of solar power stations onto the market.
KfW Entwicklungsbank has been running "EMPower" (Exploring and Motivating Sustainable Power Markets) since 2005 on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ), the Global Environment Facility (GEF) and the Solar Electric Power Association (SEPA). The objective of EMPower is to introduce commercially used photovoltaic plants and solarthermal power stations onto the market for grid-based power supply in developing and emerging countries. To do so, the opportunities afforded by the technology are to be publicised and suitable sites for short and medium-term implementation identified together with the energy suppliers.
As well as contributing to climate protection, the use of solar energy can contribute to economic growth in developing countries if the growing demand for energy is covered by local solar energy instead of fossil fuels. Another advantage of solar power stations, in the view of many providers, is that they often avoid overload power cuts at peak times. According to expert surveys, because of the high set-up costs, solar power is competitive only in niche markets, such as in southern Algeria, where diesel generators supply isolated networks.
Thanks to the interest from energy suppliers and industry, EMPower is set to continue in a second phase, which will cover the preparation of promising projects for short and medium-term implementation. Additional workshops will be organised with policymakers and regulatory authorities in Asia, Latin America and North Africa in order to establish favourable framework conditions for solar projects to feed power into the network. The BMZ and the GEF are providing financial support. Given the importance of the programme, the solar power industry is actively involved in EMPower Phase II. For example, it is providing expertise and additional funds for conducting risk assessments with energy suppliers from developing countries, or for developing suitable business models for solar power stations.
Last updated in: May 2009