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Resurgence of Growth in Renewable Energy
By
Jenny Bieksha, Bishop & Associates Inc.
Renewable energy is
one sector the connector industry is certain to see significant growth
in as we look forward to an industry upturn in 2010. While the amount of
downsizing and project holds that occurred in 2008-2009 impacted revenue
growth overall, many companies were focused on protecting their R&D
resources and existing projects. Growth will be fueled by design and
technology innovation, allowing for product cost reductions and
installation cost reductions.
Utilization of existing technologies and products from other markets
will intensify. As an example, high reliability and harsh environment
connectors, traditionally used in defense, avionics, downhole drilling,
and undersea cabling, are now being utilized in wind and solar
applications. Wireless products will see increasing use in utility-scale
solar and wind farm applications. The Smart Grid will help provide
consumers with the information, automation, and tools they need to
control and optimize energy use. Many of the Smart Grid technologies are
already used in other applications, such as manufacturing and
telecommunications, and are being adapted for use in grid operations.
Wind
Energy
Wind power continued to grow in 2009 despite the economic downturn. The
Global Wind Energy Council (GWEC) announced that 37.5 GW of new wind
capacity was installed in 2009, bringing the total installations up to
almost 158 GW—this is a 31 percent increase from 2008. The global wind
market for turbine installations in 2009 was worth about $63 billion.
There is optimism about the near-term outlook for wind power globally;
however, project financing is still tight.
Wind power is now an important player in the world’s energy markets and
is quickly becoming the power technology of choice in a growing number
of countries around the world. The technology is clean, reliable, and
quick to install. The main markets driving this significant growth
continue to be Asia, North America, and Europe, each of which installed
more than 10 GW of new wind capacity in 2009.
China was the world’s largest market in 2009, nearly doubling its wind
generation capacity from 12.1 GW in 2008 to 25.1 GW at the end of 2009,
with new capacity additions of 13 GW. Wind was the fastest growing
source of clean energy (or energy at all) in Europe in 2009. In 2009, 39
percent of new power capacity was from wind, compared to 26 percent from
gas, and 16 percent from solar photovoltaics.
Top countries for
installed wind capacity in 2009:
|
1. U.S.:
2. Germany:
3. China:
4. Spain:
5. India: |
35.2 GW
of installed capacity, up from 25.2 GW in 2008 (26.5 percent
increase)
25.8 GW
of installed capacity, up from 23.9 GW in 2008 (5.1 percent
increase)
25.1
GW of installed capacity, up from 12.1 GW in 2008 (34.7
percent increase)
19.1
GW of installed capacity, up from 16.7 GW in 2008 (6.6
percent increase)
10.9
GW of installed capacity, up from 9.7 GW in 2008 (3.4
percent increase) |
The supply chain to
the international wind power industry has expanded significantly. The
result is that just two years after the supply chain was stretched for
several key components, the wind turbine industry and its suppliers will
now be able to meet anticipated global demand going into 2013. A large
number of new suppliers have entered the market, particularly in China
and the U.S., the two fastest growing wind power markets in the world.
This remarkable turnaround in the supply capacity now available to the
wind industry is certain to lead to extreme competition. There will also
be an increased focus on quality improvement and cost reduction.
Wind Interconnect Activity
Efficiencies in the wind market may be realized by reducing costs
associated with product, assembly operations, and maintenance. Wind
energy systems must be installed and commissioned within extremely
short
time frames. Investment in a wind turbine is only profitable when it
operates without interruption and with as little maintenance as
possible. According to Eric Freid, global director for wind energy at
Tyco Electronics, increased performance expectations are driving the
need to deliver product solutions that increase the ease and reliability
of installation within the wind farm. One such solution may be Tyco
Electronic’s T-Body Elbow connector with aluminum and copper shear
bolts. The elbows are
designed to terminate underground cables to high-voltage apparatus, such
as transformers and switchgear. They are fully shielded and fully
submersible, meet the requirements of IEEE Standard 386, and are
interchangeable with other manufacturer’s products that conform to this
industry standard.
While many industry standard connectors cross markets
directly into renewable energy applications, there are also significant
opportunities to enhance existing designs to provide solutions for
problem areas. Bruce
Burroughs,
Wieland Electric wind business development manager, describes how
Wieland is “launching industry specific modifications to their standard
connectors that enhance already robust corrosion protection, with
specially treated surfaces to hoods and housings.” The new housings from
the industrial multipole connector series revos BASIC and
revos MINI are highly corrosion-resistant and optimally
dirt-repellent. The smooth black, glossy finish also withstands
mechanical wear, is particularly scratch and abrasion-proof, as well as
resistant to organic solvents. Their innovative surface finish is
extremely robust and weatherproof. Based on these excellent protective
functions, the industrial multipole connectors can be used in extremely
rough and highly corrosive environments, such as in offshore wind parks.
Solar Energy Market Begins Recovery
The global solar industry faced its greatest challenges in 2009. For the
first time, the photovoltaic (PV) market endured a major market
downturn, experiencing a significant reduction of both megawatt and
revenues. Market conditions improved in late-Q4, with new solar PV
projects opening in Europe. There have also been reports of increased
product lead times, and some suppliers of solar panels are out of
inventory going into 2010.
This is a promising sign for a market that suffered significantly due to
oversupply in early 2009. However, there are still many suppliers with
excess capacity and pricing pressure is ongoing. Lack of available
project financing, equipment oversupply, and drops in demand from end
customers have hit manufacturers and developers alike. This has resulted
in a market-wide shakeout in which the less stable companies have been
forced to sell operations or exit the market. However, as financial
conditions begin to stabilize, demand is beginning to ramp up. Many of
the industry sources express cautious optimism that the worst of the
recession is over, and that 2010 will see growth resume.
In terms of PV shipments to the first point of sale, forecasts project
between five and six GW being shipped into the global market in 2010, up
from approximately 4.5 GW in 2009. There will be margin pressure
throughout the supply chain. Merger and acquisition activity will
increase, with some companies either being absorbed or going by the
wayside. The sales channel will continue to expand and the presence of
electronics manufacturers (EMS) is likely to increase, as seen by recent
contract awards to large EMS companies.
In solar PV, new stabilized efficiency levels for thin-film solar have
been confirmed. As reduced costs continue to be driven out of the solar
module, attention is turning to the balance of system costs, such as
inverters and racks. At the project development level, the increasing
utility interest in large, ground-mounted PV systems is presenting a
valuable opportunity to expand the scope of solar PV. Rather than
building all planned site capacity at one time, deployment is taking
place in smaller increments, thus offering long-term business prospects.
Micro Inverters in PV Applications
While not fully proven over a full PV system lifespan, micro inverters
continue to drive interest in the PV sector. With micro inverters, the
traditional array design—a central inverter fed by DC power collected
from an array—is gone. Instead, a small inverter is attached to the back
of every module in the array where it converts DC current directly into
AC, and sends it down a series line to combiners, and ultimately to a
meter. Advantages include:
-
AC wiring from
inverter to inverter eliminates DC wire losses
-
Measuring DC
current at each module, sending the data to a communications hub
through the AC conductors, eliminating the need for parallel
communications line
-
Panel mismatch
losses are eliminated, and the loss of one panel will not affect
output from neighboring panels
There are obstacles
to overcome, as the technology is still more expensive than conventional
DC inverters, and is largely unproven. Given time, there are some who
believe that micro inverters could become the future industry standard.
Glitter-sized Solar Photovoltaics
Innovation
comes in all sizes, shapes, and forms. While this product is still in
development, the potential for new applications is fascinating. Sandia
National Laboratories scientists have developed tiny, glitter-sized
photovoltaic cells that could revolutionize the way solar energy is
collected and used. The solar particles, fabricated of crystalline
silicon, hold the potential for a variety of new applications, improved
performance, and the potential for reduced costs and higher
efficiencies. Eventually, units could be mass-produced and wrapped
around unusual shapes for building-integrated solar, tents, and
possibly, clothing. What does this mean for suppliers of electronic
products? Photovoltaic modules made from these microsized cells for the
rooftops of homes and warehouses could have intelligent controls,
inverters, and even storage built in at the chip level.
Solar Interconnect Activity
At the interconnect level, working directly with leading manufacturers
of alternative power equipment to develop products for their specific
needs provides opportunity for innovative solutions. Mike Peppler,
regional business unit manager for Device Connection Technology at
Phoenix Contact, views the global marketplace as being primed for
product innovation. “Interconnects have been done the same way for a
long time, but many companies are now being creative in how they build,
install, and integrate the parts of their system. Our strength is being
able to help them develop the connectors, cables, and other components
that will enable them to deliver unique products,” he says. “The product
requirements and innovation, particularly in the solar market, are
directed at making the systems easier to install, making them more
reliable, and lowering installed costs. Customers are not always looking
for catalog solutions; they want partners who can help them design
solutions.”
Product
innovation is highlighted in the single-pole DC SUNCLIX connector for
solar modules that terminates without crimp tools. The wire is attached
to the contact with a spring-cage termination; the installer simply
snaps the contact to the conductor by hand or with pliers. The
connectors can be unmated with a standard screwdriver; no special tool
is needed. A new junction box designed for automated solar module
assembly can be quickly and robotically attached to a module,
eliminating the need for manual attachment to the tabs; no-screw
terminals or soldering.
Attention
to high reliability demands for solar applications, and mitigating the
possibility of DC arc faulting, is demonstrated in the Wieland Electric
PST connector design. Doug Eakin, Wieland Electric’s solar business
development manager, said, “Since there is no orientation of the contact
in the hand tool and the contact has a funnel entry, bad crimps are
greatly reduced helping to ensure higher reliability. The precision
machined contacts typically perform with less than a milliohm of
resistance, and can handle up to 40 amps. To minimize voltage drops and
power loss, the contact can accommodate up to 10mm cable. The contact
extraction process is simple and straight forward. Verification of the
quality of the crimp can thus be achieved.”
Solar module failure, due to shadowing or soiling, can be a
significant issue in solar PV applications. Yamaichi Electronics
has designed an innovative solution to mitigate this problem. Featuring
SMD diode
technology,
the Y-Sol®
Universal J-Box
shows approximately 40 percent less heat development compared to
junction boxes with conventional radial diodes. According to Greg
Schweitzer, national sales manager, “If one module fails due to
shadowing or soiling, the bypass diodes will ensure that the current is
conducted around the affected cell areas.” Other customer-focused
features include: time-saving assembly and automated contacting due to
spring contacts, space-saving installation due to one of the flattest
designs on the market today, and material cost savings, as resin filling
of the junction box is not required due to the sealing material in the
lid.
Wireless Technologies
As renewable energy sources, such as wind and solar, become an ever more
compelling solution for power generation, utility operators are looking
for ways to maximize their investment in communication networks, while
ensuring reliable, secure data transmission across them. As the industry
continues its fast-paced growth, the need to identify ways to lower
infrastructure costs, improve time to market, and increase performance
with reliable, easily installable networks is no longer a wish—it is a
requirement.
Today’s solar and wind utilities have a number of options they can
utilize for communications needs, including;
-
Wired (copper,
fiber, Ethernet cable)
-
Cell
phone/satellite
-
Wireless data
radios
-
ZigBee
-
Hybrid networks
(a mix of fiber, data radios, satellite, or cell phone-based
technologies).
With wind turbines
and solar power generation, systems can often benefit from the cost
savings of wireless vs. fiber optic cable. While fiber can be an
expensive and time-consuming process to install, wireless technologies
are easily deployed. Wireless technologies can support all types of
solar power generation models, from solar troughs, dishes, tracking PV,
and heliostats.
Advantages to wireless systems include:
-
Wireless systems
are relatively maintenance-free, or easily maintained.
-
Wired options are
priced by the foot. With wireless systems, the pricing may cover
ranges expressed in terms of miles. Some types of wireless radios
have been proven to communicate over 60 miles line-of-sight.
-
Wireless systems
are offered at a variety of speeds, interface protocols, and
security.
-
The technologies
are already used successfully in extremely harsh conditions with
high vibration requirements (military and farm vehicles, and
robotics), and relied upon in mission-critical monitoring,
controlling, and data acquisition situations, in the harshest
weather and RF conditions.
The advances of
wireless technology in the renewable energy markets are expected to
increase, providing a long-range, reliable, and affordable solution to
providers. There are multiple connector solutions in wireless
applications available today, which can be crossed into the renewable
energy market.
Smart Grid
If you are not yet familiar with the term “Smart Grid,” you will soon be
hearing a lot more about it. The traditional electric power grid will be
replaced by smarter components that talk to each other in two-way
communication. The smart grid will include new technology that captures
wind and solar power, and will include in its infrastructure, power for
plug-in vehicles, automated power meters in homes/businesses, and more.
Today’s power grid is a one-way transmission and distribution network,
which allows utilities and other generation companies to deliver power
to residential, commercial, and industrial customers. Smart grids will
increase the connectivity, automation, and coordination between these
suppliers, consumers, and networks that perform either long distance
transmission or local distribution tasks.

A smart grid delivers
electricity from suppliers to consumers using two-way digital technology
to control appliances at consumers’ homes to save energy, reduce cost,
and increase reliability and transparency. This modern electricity
network is being promoted by many governments as a way to address energy
independence, global warming, and security issues.
Some of the benefits of this network include the ability to reduce power
consumption at the consumer side during peak hours, called “demand-side
management” (DSM); enabling grid connection of distributed generation
power (with photovoltaic arrays or small wind turbines); incorporating
grid energy storage for distributed generation load balancing; and
eliminating or containing failures, such as widespread power grid
cascading failures.
Demand-side management for consumer interface to the grid includes:
-
“Smart meters” that
provide two-way, near-real-time data communications between the
utility and consumer
-
“Smart appliances” that
provide data communications and control options
-
“Smart interfaces” that
integrate distributed energy resources, demand response resources,
or other energy loads and storage
devices such as plug-in electric and hybrid electric vehicles
A smart meter is an
integral component in the smart grid infrastructure, and wireless
applications are at the heart of advanced metering communications
systems. Wireless communications networks supporting advanced metering
systems will provide faster and more accurate use, load, and disruption
information, helping utility companies plan and manage their resources
more efficiently and effectively. Integrated communications will allow
for real-time control, information, and data exchange to optimize system
reliability, asset utilization, and security.
Many of the smart grid technologies are already used in other
applications, such as manufacturing and telecommunications, and are
being adapted for use in grid operations. The continued development of
true “plug and play” interoperability will promote the same widespread
deployment in renewable energy and distributed generation that occurred
with personal computers and cell phones, bringing a profound
transformation to electric generation. The global market for the smart
grid will continue to expand rapidly and be very competitive in the next
five to 10 years.
Jenny
Bieksha
Director, Renewable Energy, Medical, and Test, Measurement, and
Instrumentation, Bishop & Associates Inc.
Jenny Bieksha joined Bishop &
Associates in 2008 as its market segment director for the
renewable energy, and the test, measurement, and instrumentation
markets. She is currently a management consultant specializing
in strategic business planning, with an emphasis on the
development of program, market, and product plans. Bieksha has
more than 20 years of experience in the electronics industry,
with a background in market management, business development,
channel sales, product management, and operations for ITT
Corporation, Delphi Connection Systems, and Hughes Aircraft
Company.
Bieksha has a bachelor of science degree in marketing from the
University of Wyoming, and has since received her certificate as
a project management professional. |