Latest news with #22ndAnnualConference
Observer
12-05-2025
- Business
- Observer
Austria's regulator calls for ‘greater market responsibility' as PV boom reshapes energy systems
MUSCAT: Austria's top energy regulator has warned that the surge in solar photovoltaic (PV) installations, while vital to the energy transition, is straining electricity markets and grid infrastructure — calling for urgent reforms to ensure producers assume greater market responsibility. Speaking at the 22nd Annual Conference of the Energy Regulators Regional Association (ERRA), held in Muscat, Harald Proidl, Director of Renewables and Energy Efficiency at Austria's E-Control, said the country's PV boom has reshaped both generation capacity and regulatory oversight. 'In Austria, PV is no longer a marginal player — it accounts for around 25% of total installed capacity,' Proidl told the gathering of regulators and policy experts. 'But this growth has come with challenges: oversupply, negative pricing and grid instability.' Between 2020 and 2024, Austria tripled its PV installations from 150,000 to 500,000 systems, raising installed capacity from 2 GW to 8.4 GW. This was spurred by billions of euros in public subsidies, rising energy prices and concerns over energy security. But Proidl warned that while subsidies have helped scale deployment, many PV owners do not face balancing obligations. 'They can export excess energy to the grid without taking on system responsibility,' he said. 'This is not sustainable.' Austria recently raised network tariffs by 25% — partly due to PV-related costs — and is expanding energy-sharing models to decentralise consumption. 'We now have over 1,650 energy communities with 30,000 participants. We expect that to double by 2025,' Proidl noted. Despite these innovations, only 30% of PV power is self-consumed in Austria. The rest is injected into the grid, often creating localised oversupply and price volatility. 'Ideally, 100% of PV electricity should be used where it is produced,' he added. E-Control is urging policy shifts to reduce reliance on grid exports, expand incentives for local use; and apply smarter pricing and digital tools.
Observer
10-05-2025
- Business
- Observer
Abrupt solar subsidy changes can destabilise power markets
MUSCAT, MAY 10 France's energy regulator has urged governments to avoid abrupt changes to renewable energy support schemes, warning that even the announcement of reform plans can undermine investor trust and create long-term uncertainty in the power sector. Speaking at the 22nd Annual Conference of the Energy Regulators Regional Association (ERRA) held in Muscat last week, Ivan Faucheux, Commissioner at the French Energy Regulatory Commission, said that altering support contracts without careful system-level consideration can destabilise power markets. 'When you say, 'I will change the contract,' that alone sends a negative signal,' Faucheux said during a session on solar capture rates and support mechanisms. 'There is a risk of mistrust towards public support — which is intended to be long-term and stable.' He noted that France's own energy market had revealed inefficiencies in previous subsidy schemes. While some of the corrections benefited producers, Faucheux stressed that greater emphasis should now be placed on encouraging renewables to respond to real-time grid demands, especially through participation in balancing markets and ancillary services. 'The key is to expose renewable energy facilities to system constraints,' he explained. 'If a producer can adapt and shift surplus electricity to the balancing market — instead of relying only on the day-ahead market — that can generate added value for the system.' However, he warned of the consequences of long-term negative electricity prices, which are becoming more common in countries with high renewable penetration. 'Developers are very aware that prolonged periods of negative pricing reduce the capacity to capture market value,' he said. 'This makes it harder to finance new projects.' Faucheux also pointed to a broader technical concern: increasing system instability due to limited storage and the need for real-time balancing. 'We've used much of our available storage. The system now requires continuous adjustments between production and demand, which creates a highly complex and volatile market,' he said. He explained that abnormal pricing is not necessarily a market flaw. 'Markets reflect economic value. When we see very low or negative prices, it's not a failure of the market's design — it's a reflection of how actors behave and whether incentives are aligned,' he said. Rather than launching entirely new frameworks, Faucheux advocated for modifying earlier contracts that distort market dynamics. 'Often, the same developers who built projects five years ago are now planning new ones,' he said. 'Fixing past contracts — even with limited gains — helps maintain investor confidence.' Faucheux noted that the policy approach should be tailored to each country's specific electricity system. 'There's no single solution,' he said. 'Sweden, with its hydropower-based system, faces different challenges from France, which relies on nuclear and gas. Solar and wind also behave differently — wind has inertia, while solar is more variable.' He concluded with a call for practical dialogue and contextual understanding: 'It's not about copying someone else's policy. It's about understanding your own system and deciding whether a solution that worked elsewhere fits your problem. We may face different challenges, but the technical foundation of our systems is the same.'
Observer
06-05-2025
- Business
- Observer
OETC eyes smart grid strategy to meet renewables targets
MUSCAT, MAY 6 Oman Electricity Transmission Company (OETC) is accelerating efforts to modernise the national grid in support of the Sultanate's clean energy transition, aiming to enable 30 per cent renewable energy integration into the electricity mix by 2030. Speaking at the 22nd Annual Conference of the Energy Regulators Regional Association (ERRA) in Muscat, Hisham al Riyami, General Manager – Planning at OETC, reaffirmed the company's commitment to advancing Oman Vision 2040 targets. 'The government and policymakers have set a clear target to achieve around 30 per cent renewable energy in the national energy mix by 2030 — equivalent to approximately nine gigawatt of installed capacity,' Al Riyami said. He noted Oman's natural advantage lies in the diversity of its renewable resources. 'Solar energy is abundant during the day, while wind energy tends to be stronger at night. This complementary pattern provides an excellent opportunity to meet demand under various operational scenarios,' he explained. As the national transmission system operator, OETC plays a pivotal role in enabling and integrating renewables. 'We aspire to become a national champion in this field,' Al Riyami said. 'We are working closely with our regulator, policymakers, and subsidiaries to ensure full coordination and readiness to connect these energy resources to the national grid.' Achieving the 30 per cent target, he added, will require significant investment in infrastructure upgrades. 'Much of the existing network was not designed to accommodate such high levels of renewable integration. We are upgrading transmission lines and substations to ensure the safe and efficient delivery of power from source to demand centres.' Al Riyami outlined OETC's broader ambition to build a smart, world-class, self-healing grid capable of detecting, absorbing, and responding to disruptions. He highlighted the adoption of advanced technologies to optimise asset management, improve maintenance, and reduce system losses. In southern and remote areas, such as the southwest of Oman, growing demand necessitates rapid infrastructure deployment. 'We are prioritising the development of digital systems for real-time monitoring, data collection, and predictive decision-making,' he said. Technologies such as SCADA and AI-based forecasting tools are increasingly central to grid optimisation. Al Riyami also stressed the value of microgrids—small, decentralised systems that can operate independently in case of wider network issues. 'This decentralised approach enhances system reliability and supports national energy security,' he noted. He concluded, 'We are focused on building a flexible, intelligent, and sustainable transmission network—one that can integrate variable renewable energy, forecast demand accurately, and respond dynamically to Oman's evolving energy needs.' The remarks underscore OETC's central role in enabling the Sultanate's energy transformation, aligned with broader sustainability goals under Oman Vision 2040.
Muscat Daily
05-05-2025
- Business
- Muscat Daily
Muscat hosts ME's first ERRA meet for global energy regulators
Muscat – Oman is hosting the 22nd Annual Conference of the Energy Regulators Regional Association (ERRA), marking the first time the global forum is being held in the Middle East. The two-day conference opened on Monday under the patronage of H H Sayyid Asaad bin Tarik al Said, Deputy Prime Minister for International Relations and Cooperation Affairs and Personal Representative of His Majesty the Sultan. The event has attracted delegates from over 50 countries and more than 250 international energy experts. Organised by the Authority for Public Services Regulation (APSR), the forum highlights Oman's expanding role in global energy regulation. Held under the theme 'Progressing Energy Transition via Effective Policies and Regulation', the conference serves as a platform for dialogue on clean energy investments, regional energy cooperation, and regulatory frameworks. In his opening address, H E Dr Mansour Talib al Hinai, Chairman of APSR, outlined Oman's progress in renewable energy. He said four renewable energy plants with a combined capacity of 1,550MW have been commissioned, while eight more solar and wind projects are under development, expected to add 1,500–1,800MW to the national grid. Andrijana Nelkova Chuchuk, Chair of ERRA, described Oman as a 'strategic partner capable of influencing the global energy governance system', particularly in market regulation, interoperability, and investment facilitation. The conference includes 15 technical sessions and bilateral meetings involving government officials, regulators, and private sector representatives. Monday's sessions addressed energy sustainability in the Gulf, regional market harmonisation, and the integration of renewables into existing grids. The agenda for Tuesday will focus on sustainable fuels, including natural gas, green hydrogen and low-carbon alternatives, as well as energy storage, financing mechanisms, and the cost of technology adoption in developing countries. A separate session on solar energy will review national policy frameworks, innovative financing models, and efforts to involve SMEs in decentralised energy production. Technical and bilateral meetings are also being held on the sidelines of the event, covering institutional cooperation, data sharing, green financing, and partnerships for regional energy projects.
