Innovation Systems Essay Example | Topics and Well Written Essays - 2750 words

Innovation Systems - Essay ExampleThis phenomenal demand and growth of renewable forms of energy has resulted because of the need for finite fuel prices and petroleum reserves. As such, the renewal for renewable energy increases as wind energy is no longer considered an alternative source of energy, nevertheless as sustainable, profitable and cost-effective (Spera, 2009). The French dynamic industry has become host for more than one hundred forty companies involved in the construction, foundry, electronics, electric-engineering, and industrial services necessary for the production, commissioning and operation of wind turbine facilities. Onshore and seaward wind resources The French mutilateshore wind power development programme which was commissioned under the Grenelle de lenvironnement go-ahead in May 2007 led to the adoption of two important laws in August 3 2009 and July 12 2010 categorized under Grenelle I and Grenelle II laws. These laws were fundamental for the implementat ion of the environmental engagements adopted in the initiative. Consequently, it was anticipate that the Directive 2009/28/EC stipulated the national plan aims for renewable energy development to reach 6,000 MW by 2020 from offshore wind farms generations and other marine energies. To the French consumers, this represents approximately 1,200 wind turbines generating 3.5% of the total grid consumed (Sathyajith, 2006). In order to meet the target, the offshore offshore wind power development programme anticipates a 20 billion investment by 2020, to be covered by a 4% increase of the theatrical role au service public de lelectricite (CSPE) between 2015 and 2020. This CSPE will be an additional charge on the electricity bill that end-customers pay. To the industry, however, the tendering of the offshore projects benefits will be taken into consideration including jobs to be created at bottom the projects sends. As a result, some of the companies that have positioned themselves with in the offshore wind power market include Compagnie du Vent, EDF Energies Nouvelles, Nexans and EADS Astrium. Other comparatively minor companies in the industry have participated through acquisitions, partnerships and mergers to be eligible for the joint offers required in the 2011 round of tendering. The policies also stipulated the duration over which the offshore farms will occupy the maritime public domain. one time established under a subsidization, the offshore wind farms will be expected operate within 30 years and provide a financial batten down for the full duration of the project. Throughout the concession period, the guarantee will enable reversibility of any change to the natural environment through restoration of the site and decommissioning of the facilities of the site at the end of the concession term. The estimated restoration and decommissioning costs will determine the computation of the guarantee amount (Macaulay, 1999). In comparison on the basis of producti on costs of wind power production, offshore wind farms will cost 3.5million euros per megawatt against 1.5 million euros per megawatt for onshore. The costs are escalated due to the offshore facility introduction masts designed to withstand corrosion, force of currents and waves as well as the resultant maintenance costs. However, except for the costs, off the coast winds cannot compare to the onshore with the technical characteristics.