The EU is yet to fully tap the hybrid solar potential for the bloc’s energy transition, according to SolarPower Europe
Solar & storage or solar & wind hybrids can ensure a reliable and stable power supply
Hybrid systems need fairer market conditions and exemptions from dual charging for storage
Combining solar with storage or wind energy in a hybrid configuration can play a vital role in Europe’s energy transition, but the European Union (EU) is far from exploiting the full potential of hybrid solar systems, according to a new report.
Since 2015, solar PV with battery energy storage systems (BESS) represented 5% of total BESS additions across Europe, with the UK representing 62% of the total installed capacity. The report attributes the success of this model in the UK to strong policy support, market dynamics, and large-scale projects in the form of contracts for difference (CfD) schemes, streamlined permitting, and market reforms for BESS.
For solar and wind hybrids, Poland leads the segment with installations of 277 MW, thanks to favorable policies and complementary generation patterns, according to the SolarPower Europe (SPE) report titled Embracing the benefits of hybrid PV systems for Europe’s energy transition.
Since solar power projects can only generate power during the daytime, a hybrid component like storage or wind can provide support with a reliable power supply during the night or on cloudy days.
“This increases the number of hours per year when renewables fulfil the EU’s energy demand, substantially reducing the EU’s reliance on fossil-based back-up plants,” reads the report.
Hybrid projects can be installed in 2 different structures, as co-located assets that can operate independently while sharing the same grid connection point, and as fully hybrid where assets are operated jointly by the same entity. The latter will lead to an optimized usage of the grid connection point, explain the authors of the report.
Apart from ensuring a stable power supply even in high-demand periods, scaling up hybrid power projects can also help industries reduce their dependence on fossil fuels and stabilize energy costs against volatile energy markets.
Recommendations
The SPE report writers believe regulatory bottlenecks need to be addressed to tap their full potential in the EU. One of the foremost recommendations is for the EU and its Member States to recognize hybrid solar systems as key to the bloc’s energy security, competitiveness and decarbonization goals. This model needs to be integrated into grid planning, flexibility strategies and funding mechanisms.
Grid connection procedures for hybrid PV must be accelerated by regulators and grid operators. They should publish grid hosting capacity maps to improve transparency and facilitate co-located setups at the same connection point, taking a cue from Denmark and Australia. The Member States will also need to accelerate permitting for hybrid PV with simpler approvals, standardized one-stop-shop systems, etc.
Additionally, the report writers recommend the bloc to come out with support schemes to adapt to hybrid PV projects and enable these to participate in traditional renewable energy auctions without distorting the market.
Hybrid renewable energy projects should also be able to receive guarantees of origin (Fos) for all electricity they generate, irrespective of whether it is fed into the grid or stored for later use.
Finally, the SPE report wants administrators to adapt grid tariffs to address issues like double charging for storage. Co-located storage systems should be exempted from such tariffs to create fairer market conditions and support the integration of renewable energy technologies.
The complete SPE report can be downloaded for free on its website.