Germany-based Energy Watch Group is again calling the findings of an International Energy Agency (IEA) report, its World Energy Outlook (WEO), into question. The organization challenges that the report is under-representing the true potential of solar PV and wind power plants and calls for more investments in oil and gas even as it champions renewable energy.
“Even in its most optimistic scenario, the IEA projects the future level of development of renewable energies to be far below today´s rates. In this way, the IEA misleads the public about the real potential of solar and wind energy as well as e-mobility”, said Energy Watch Group President and former German Parliament member Hans-Josef Fell.
It’s not the first time the organization has contested IEA reports. Even earlier this year it contested IEA’s latest renewable energy forecast as being too conservative.
The Energy Watch Group challenged that though IEA is delivering positive messages about renewable energy the numbers in its outlook report “Assumes a lower pace of renewable energy development than already achieved in the last eight years. Furthermore, the IEA seems to ignore the new global dynamic as a result of the Paris Agreement.”
The IEA’s most ambitious scenario for renewables, the 450 Scenario, assumes that the amount of annually added capacity of solar and wind power will peak in 2030. Energy Watch Group and others disagree.
“A decrease in net added capacities stands in stark contrast to projections by leading international market observers. Assuming a slow market penetration of wind power and solar PV also contradicts the dynamic of the global energy transition in the last 10 years,” said Christian Breyer, Professor of Solar Economy at the Lappeenranta University of Technology in Finland and chairman of the Scientific Board at Energy Watch Group.
Among other things, the Energy Watch Group contended that the WEO’s cost figures for solar power are way off in its New Policies Scenario. The WEO projects that by 2040 solar farms in India will cost $800 per kilowatt. “This ignores the fact that the Government of India estimates the current costs for solar PV-plants at $710 per kilowatt.”
The WEO also called for more investment in oil and gas, according to Energy Watch Group. But the organization contended that the lack of new investment in that energy sector is caused by the lack of new discoveries and the depletion of existing reserves.
“Even if oil prices were to rise again, future oil production will not stay at today’s level, simply because of the limited availability,” Fell asserted. “By calling for increased investments in oil, the IEA undermines climate protection efforts and threatens the global energy security. Only a rapid development of renewable energies can close the emerging energy supply gap. Oil investments are not able to do so.”Tweet