Now, about us and IRENA, what is our mission? Some of you know but it's not all of you perhaps is that IRENA is an international organization. We are quite a young organization compared to all the other ones that are out there. We've been established in 2011 so it's a quite a young organization compared to all other ones. We have a new director since April 2019. When we speak about IRENA, we speak about three different things. So in terms of institutional organization, we have our assembly so we have 160 members. This means 159 countries and European Union. So this is quite an impressive record for such a young organization, and we also have our council. The council meets twice a year and there we have 21 member or countries which are selected on a two-year basis. Then we have the secretariat where I'm working at, and in the Secretariat we have three main divisions. Programmatic divisions where we're in charge of implementing the work program which was endorse by our other bodies especially the assembly, which is our ultimate governing body. Now, we play a key role in the global energy transition. So we are serving in the global energy transition as the global voice for renewables in the first place. We are also a networking hub and we are also a repository for the knowledge related to renewables. Ultimately, what I put here on the slide is our mission. So our mission overall is to promote the widespread adoption and sustainable use of all forms of renewable energy worldwide. Meaning, we're covering bioenergy, geothermal, hydropower, ocean solar, and solar energy. One of our latest campaigns and maybe some of you have seen this also since last week, it's possible with renewables campaign. One of the key messages may be that you can take out from here today's that it is possible to meet the Paris Agreement with renewables of course under certain conditions but it's possible. While I cannot talk about everything that IRENA does, I can talk about innovation. Now, within this structure, we have I was saying three programmatic divisions, and our headquarters are in Abu Dhabi indeed in the United Arab Emirates, but we also have one division which is based in Bonn in Germany and this is where I work. In this division, we also have different teams working on different topics, and some of you may have or might read in the future some of our publications, and when we speak about technology in general innovation, some of our global scenarios are being done in Bonn. What I show you here is that this is our team, our innovation team and we cover many topics, but among the topics that we are covering in our day-to-day work is the technology driven innovation. So we are supporting countries in understanding and in learning lessons from other countries. So we're going worldwide trying to learn as much as we can from different countries, from different regions, and we put this information to more, let's say user friendly manner, trying to help the countries in their transition. So under the leadership of our deputy director of IRENA Innovation and Technology Center, we are right now eight members in the team. We also have two interns and one consultant as part of this team with different responsibilities. How do we do this? What do we do actually, when we do this work so when we try to help member countries or governments, we do this via let's say more or less two key products or services. On the one hand, we produce knowledge reports. We disseminate this information and on the other hand we have events. So what I tried to show here is some of our knowledge products. Maybe I can stop you for a second. Who read already something from IRENA, any report? Any technology related or innovation reports? There are some, two, three, four, shy hands, five. Historically, so we have data as well. There's quite a lot of data. We have our inspired database with patrons and so on but we also have historically produced this technology briefs where we're going to more detail about the technologies. We also what we do and we have actually one up coming. So we have 27 publications already available online freely for everyone to use, and we have one upcoming on digitalization of hydropower, but we also produce the innovation outlooks for some more forward looking reports, and we have so far four of them. The latest one being about electric vehicles smart charging. What we're looking to more detail in this technology, and we have one more pending. We're working on it right now, it's about thermal energy storage. Our key report or our latest and our flag, one of our IRENA's flagship reports is the so-called Innovation landscape report. I will take a little bit of time today to discuss about this. So I brought some copies of the report, not many though it's quite a heavy publication and I will tell you in a second why, but I do have three copies with me today. So you can have them for your own reference, perhaps also to share with colleagues if they are only three. You might find some valuable information in here, and in addition to this report, we are right now working on publishing the 30 key innovations that are in here and I will explain in a moment what they are. We're publishing one innovation landscape brief per innovation. So this means we have 30 innovations, 30 briefs. In addition to the big report, we have 30 of these little ones upcoming and it's quite a lot of work, but half of them are already available online, and I added the links at the end for your reference. With this work, we are proposing a systemic approach to innovation, and I will explain what we mean by that in a second. I'm just trying to show you a little bit quickly what we're doing and based on this framework that we developed, the so-called systemic innovation approach. This is a very general information that can be used in different ways more like a general framework. We're trying to also apply this in a very concrete case. So here I mentioned Sweden on the slide because in addition to our two-year work program, we can also receive request directly from member countries to work on specific topics. So in the case of Sweden, they have asked us to look into disruptive innovations, which might be relevant in their power system so that they can achieve their very ambitious policy targets until 2040 which is to have 100 percent renewable power in their system, and this is ongoing. So I was mentioning the knowledge products. The second stream that we are working on in the innovation team refers to events and partnerships, and here we can either participate in external events. So for example, we team up with other organizations, we contribute at their events or we co-organized these events together, sometimes even webinars, online debates and so on so forth, but what we also do, we also organize our own events. Every two years we organize the so-called Innovation Week and the next one will be in 2020, and we also had smaller versions of this events where we bring together in the same room policymakers, innovators, researchers for the civil society, can be anyone who can attend, listen, also participate in the panels. Then as part of the project I mentioned before, just as an example the Swedish Project, we also organize online workshops and in-person workshops so that we can bring policymakers in the same room to discuss about their common challenges and also how they can solve this through collaboration. I already touched a little bit about our work, but now I would like to go a little bit deeper in the topic and show you what exactly we're doing, what exactly we mean by innovation, innovation trends, and what is this new paradigm in the power sector that we're seeing or we expect to see in a different power systems across the globe. So I wonder some of you have read from IRENA documents and I wonder who's familiar with a remap or with the global renewable energy scenarios we're doing. Please raise your hands if that's the case. I see, yes. Not many, two, three good. So part of our work, this is not our team, not the team I'm part of, but our colleagues in Bonn, they work on this and some of the things that we're doing, we're looking into the future. No one has a crystal ball. There are many scenario out there, but basically what we see is that in order to achieve the Paris Agreement, renewables will have to play an important role. According to our latest estimates, this will be around 90 percent by 2050 combined with energy efficiency. So this is to say that we have a long way to go, there's a lot of things that we have to do to achieve this from where we are today, 2019. Of course, this is what I show here on the left-hand side is the share of renewables in the electricity generation and you can see actually solar PV in yellow and you can see in blue wind onshore and offshore. So this is quite significant, but of course this also has to be translated into its all capacity what you can see on the right-hand side. It has to be quite significant as well. Now, maybe some other key data points before we speak about innovation. There's the context, the Paris Agreement, the global scenarios, there are other dream goals we'll have to play. But there's also the cost reductions which play an important role. Again, I'm not sure how familiar you are with the work we're doing and the costing data that we are producing, but I can assure you that at least what you can see on the left-hand side of the chart is one of our mostly cited publications when we speak about the costs. Maybe you heard this already and if not, probably you'll hear this in the master's or Professor [inaudible] class the cost for solar PV and wind have decreased significantly. They're becoming more and more cost-competitive year after year. I decided here to show you that in the past eight years, so this is more or less since IRENA was established, onshore wind, the levelized cost of electricity produced by onshore wind decreased by 35 percent that's quite a lot, but even more importantly for solar PV that 77 percent. So that's not nothing, that's quite an important learning core that we observed in this industry. Now, if we have this coupled with the fact that onshore wind and solar PV will have to increase in generation mix between today and 2050, we start to have some challenges. It's not so easy, right? We have cheap and easily available solar and wind resources but how do we integrate this into the system? This poses some challenges. Why? Because by definition solar and wind power are variable. So we have three key challenges that need to be addressed, and here, we're speaking about addressing the variability of this resources, integrating this very high shares of resources into the existing power systems and also this calls for unlocking the flexibility across the power system, and I will explain what I mean by that. Maybe before I move to the next slide, given what I've shown you so far, these two slides, there's a growing consensus that indeed in the ongoing transition solar and wind power will play a key role. So this is something that many people are working on for this reason. Now, how do we integrate solar and wind into power systems which are quite variable sources into our current system? What we did in the past two years I would almost say three years, we went out there and we looked at what's happening in the private sector, in different regions, in different countries, and tried to understand where is innovation coming from, what exactly is happening? What are the real case? So not just the, let's say theoretical examples but what is really happening on the ground? What do people do basically to help integrate renewables? What we discovered is that there are three key innovation trends that play a role in this transition. On the one hand, to unlock flexibility in the current power system, we see digitalization as being one of those trends. Now, I don't have to explain what digitalization is, I think but because this is also a trend that we observe throughout the economy. So this is not inherent to the power sector. But here, what we mean in the power sector specifically is that digitalization can help manage data, can help manage whether the assets, there will be more communication, faster response. So there are many advantages that come with this or many technologies that can be developed starting from this trend. The second one refers to decentralization, and again this is a trend we don't see it yet, so we talk a lot about decentralized energy resources but still systems are very centralized today. So this is more of a trend rather than a reality today, but we do see more electric vehicles, we see more new loads coming up online. The third one refers to electrification which again is a trend that we observe maybe not just for the sake of having more electricity demand, but this trend we observe it in the sense that the more renewables we having the system, the more capacity we need to install but then we'll have a problem of surplus in the system. So what do we do with that surplus? We can lose it or we can make use of it, and how do we make use of it and not lose the value? Well, one way would be to electrify other end-use sectors such as transport if we stick to this example. So having electric vehicles powered by renewable power, and one of the other advantages or maybe even more importantly of electrification with renewables is that we can decarbonize other end-use sectors which usually or let's say are not so easy to be decarbonized currently with the technology that we are having available at our hands. I think this is one of the charts I would like you to remember. Personally, I think it's quite an important one because I will show you many charts and many graphics and so on. But here, what you can see is where we see flexibility coming in the future. So today, for those of you who know a little bit something about the power sector, historically and conventional power systems, flexibility was coming from the generation side. So I don't know if you're familiar a little bit with the value chain of the power sector, but I guess you are and if you're not, you will be by the end of the semester. I'm pretty confident about that. But basically on the supply side, supply was following demand. Pretty simple. You come home, you turn the lights on. You don't really think about where your electricity is coming from, you just consume. I mean you, companies, industrial players, pretty much everyone. So the only variable for system operators was on the generation side, on the supply side in the value chain. But in the future, we'll see more and more if you want to unlock this flexibility across the system. We'll need flexibility also across the grids but also on the demand side. So this is why I think this is important and there are technologies to do so and I will explain this also little bit later. So here, I gave as an example what other flexibility sources there can be in the future other than generation. It can be interconnection, regional markets, power to X, power to hydrogen and so on and so forth. So what I'm trying to say here is that there is indeed a new paradigm. There's a call for change in the way we operate current power systems with more renewable. So the systems were created for fossil fuels. This is how it's been done historically. This is how it's still done today. So to have more renewables, we have to rethink the whole system. What I have not shown here but I can explain is that this is let's say, the way we see going forward. So there will be digitalization pretty much everywhere. There will be communication between the assets connecting to the grid. You see in addition to the conventional generation, we'll have more wind, more solar. We'll have a lot of information flow at the grid level, at the demand side, at the supply side. We'll also see I think you can see it on the right-hand side. Distributed generation will have smart meters, smart charging for electric vehicles. So there are many things, many technologists being connected. What I didn't show and I said that I promised to explain is that historically, we had energy flowing from the generation to the consumer side. The monetary flow was in the opposite direction. So consume, pay. In the future, we'll see a more complex picture, meaning electricity flow, monetary flow but also the data flow will be directional. Now, what do we do with all of this? Now, this is all nice and good. So how do we take it from here? I was saying that in the past two years, we tried to understand what is happening. For I think over two years, we looked at what are the innovations, what are the pilot projects that are being trialed, being tested. Real-life examples that can help to integrate variable renewables. So I think by now maybe it should be clear that when I'm talking here about innovations, we mean really innovations to integrate variable renewables. So it's very specific to wind and solar because it's a more variable, they are more abundant. Other technologies mature. In most of the markets we're looking at, the costs are falling. So this is why this issue becomes more crucial. So I showed you the report and this is what we did. So we have 200 examples based on which we came up with this framework. In the report, you can find more details about pretty much. Every single innovation, every single solution has a real-life example with data on the impact it can have on the power system, who is doing it, where, at what level, is it city level, is it company, is it at national level and so on and so forth. So this is the landscape and what you can see, you can't see the innovations yet but I will show you this in a second. But we clustered all of these across four innovation dimensions. So the first one refers to enabling technologies. What do we mean by that? When we speak about technology, we speak about power generation technologies like solar onshore or offshore wind and then solar PV. Just to give one example. But in order to integrate this to the power system to the grid, we need other technologies. This is not enough just to have solar PV installed on your rooftop and that's it. So this is not enough. So here, we're speaking about enabling technologies and we have clustered this into digital technologies. We also have innovations referring to new grids, also to dispatchable generation, electrification of end-use sectors, and storage. So this is what you can see up in blue. Then the second dimension, the second innovation dimension that we have observed as emerging refers to the business models. So it's not just enough to have the innovations, put them in place with let's say all the enabling technologies. But there's more needed to unlock some of that flexibility especially when we speak about the demand side. So there we have business models referring to consumer empowerment and also to the supply of renewable energy. Then there are two more dimensions. One refers, so here below you can see in red, refers to the market design and more generally to regulation, where there's no market in place. On the one hand, we speak about retail and on the other hand about wholesale markets. The fourth dimension refers to system operations. So how do system operators change in the way or how do their roles change rather. How do their procedures change when they have to deal all of a sudden or even more progressively with more variables in the system. Here we talk for example about grid reinforcement deferral, accommodating the uncertainty that comes with this resources and also how to operate this large amount of distributed energy resources. By distributed energy resources, we mean as I was saying, all these resources that are connected at the distribution grid like electric vehicles, heat pumps, solar PV which is decentralized basically on your rooftop if you have a house with a solar installation on top of it. This is another way to put it. So these are the 30 innovations clustered across these four dimensions that I mentioned before. What I showed you before was across digitalization technologies on the one hand, I was mentioning the retail innovations and so on. Here you cannot see this titles but basically let me see. Yes, six, seven and eight here. So here a bit higher up. You see Internet of Things, artificial intelligence, and big data and block chain. So this is what we mean when we speak about digital enabling technologies. You see the batteries higher up and then you see electric vehicles smart charging, renewable power to heat, renewable power to hydrogen. So this are all from our point of view, enabling technologies to integrate more VRE. When we speak about business models, we speak about aggregators. I think this is not something new to you. Pure-to-pure electricity trading, energy as a service, community ownership models, pay-as-you-go models. Again, if you'd like to learn more about this, there's more information available for everyone to read and learn more about this. When we speak about the market design, we speak more about increasing the granularity. So the time granularity and increasing the space granularity in markets. We also speak about ancillary service, markets, and capacity markets and also you are not familiar with this term, that's okay. If you think some of the classes [inaudible] , check curriculum you will learn about them. I know these are topics which are covered as well this masters. Then in the system operation, we mainly speak about the evolving role of the DSOs, how there will be more interaction and cooperation needed between TSOs and DSOs. So distribution system operators and transmission system operators. But also how to make use of advanced weather forecasting tools to reduce the uncertainty that comes with these two technologies with solar and wind. But also ways to operate the existing hydropower plants in a more innovative way to provide more flexibility. We also have two other innovations that we speak about in system operation. That's virtual power lines and dynamic light rating. Now, we don't want you to go into detail because we won't have time to do this. So I have 15 more minutes to cover all my slides before I open for questions. This is what I would like you to take as well home with you is that there are ways to look at innovation very specifically in a given context. That there are ways that we can apply this to actually make this transition come to life. Now one of the, no, this is all nice and good, right? We have 30 innovations, it's nice. We have examples. So what do we do with this? So one way to go about this after we have, let's say, provided this concept is to say it's not enough just to look at one innovation. Okay, we'll look at Blockchain or look at artificial intelligence, or look at [inaudible] to hydrogen or electric vehicles more charging. What's important is to look at them in a systemic way. So what we're saying here is that enabling technologies create opportunities to operate a system in new ways. So this is the first, let's say the first loop. But then the question is, okay, how do we monetize the value that's being created with these technologies? So there are two ways, either the market and the regulation allows it, in which case that's all good, right? We have a new business case and with this additional revenues that are being created, we can invest in new enabling technologies, and the virtuous loop is being closed. But in the case where we don't have a market or we don't have the regulation in place, we would need to adapt to that in order to leave space for new business models to be created in order to monetize this value. So this is just a way to say simply that it's not enough to just look at one innovation, but we have to look at all of them across the four different dimensions, to actually come up with a meaningful solution. So now I'm speaking about solution. This is a very simple concept showing the four dimensions I mentioned, right, with innovations. By combining them, by creating synergies between them, we can come up with what we call innovative solutions. What we have done also in this report, which you can have a look at, is we have proposed 11 predefined solutions. But here it's important to say there's no one size fits all. So it does start just theoretical, predefined solutions and we looked at examples also where these are being implemented. But the idea is that for every single power sector, power system, an exercise like this would have to be run to see how all of these would make sense together, all of these innovations. So these are the 11 predefined solutions that we are write more extensively in our report, and I wanted to show you, let's see how much time I have. Maybe I'll just present one of them so that I have enough time to also answer some questions. But I prepare for today three solutions to show you how this works, at least conceptually, the way we're working on this. So I choose one; grid flexibility solution referring to interconnections and regional markets. As flexibility providers, one on the demand side and one system wise. So this is how one solution would look like, when we speak about interconnections and regional markets as flexibility providers. We would need to have regional markets in place, yes. But then we would need to also increase the time granularity markets combined with other enabling technologies such as digital technologies. So AI in this case blockchain in the future maybe, this is not done yet, not at continental level and Internet of things. There are many things hidden behind this terms, which again, for time reasons, I won't be able to go behind to go into detail and explain the concepts behind them. But it's also to say that algorithms basically help run markets at a regional scale. Now one example, which you might know is in Europe. So in Europe, the single day-ahead markets, which means trading electricity one day before physical deliveries, meaning trading today in order to deliver electricity tomorrow, covers 23 countries. So this is one of the regional markets example that we're giving as one example of where it's being implemented, and with the same algorithm basically that is operating this markets. There are additional 14 countries today that are trading electricity in the intra-day time frame, meaning we're trading electricity now, which will be delivered an hour later. This can happen from Sweden to France. Although they don't have any physical border, provided, of course, certain conditions are met. So this chart is also showing that there was a gradual process. So we don't arrive to such a big market overnight. But today, this is how it looks like. So it's one of the most advanced ones, if not the most advanced in the world and it can act as a flexibility provider in the sense that if we look at Denmark, which is often given as an example of very high shares of wind in the system. Denmark would not have been able to have so high shares if there were not the interconnections in place with the neighboring countries. So I think it's also important sometimes to keep in mind when we look at national level. If there's also regional wider a market and how that plays a role in that. The second example, quickly, on the demand side, we can aggregate distributed energy resources and to provide services to the grid. So if all of us tomorrow have all of a sudden electric vehicles, we plug them in. We all have our heat pumps at home and we all have all smart homes and smart connected devices, then I think the DSO would have a problem. Because we are going to be a burden to the system. But if we couple this with smart technology, with digital technologies, with aggregators and so on, so forth. We can act, we, I mean, we many smaller generation units or consumption units can also provide services to the grid. So this is just to say that very quickly. How can this be done? There are many services. Again, I won't have the time to go into detail, but basically, if we look just at electric vehicles smart charging, there are services that could be provided by aggregation both to the DSO, to the CSO, to the DSO and to the TSO. One of the enabling factors here would be to allow for stack revenues from these activities. The third example refers to Power-to-X. Here we mean renewable power to hydrogen and renewable power to heat. If we combine, today it's more difficult because the technology is still being trialed. There are not so many pilot projects out there, but there are some. But these solution has the potential to provide flexibility across the entire system. So for example, all the renewable power that is not being consumed immediately could be stored later by a hydrogen and then traded later consumed or can help electrify industry or the transport. Here may be, before I get to that, when we speak about power to heat, we mean two different systems. On the one hand, the centralized heating system and also the decentralized one. Again, here we make the difference of where it is connected to the grid. If it's on the TSO or the DSO level. I promise you this is the last very dense chart I'm showing today. When we speak in the same example, Power-to-X. When we speak about power-to-hydrogen. Again, we're not there yet, but the renewable hydrogen has, we see that there are many applications in there and we can electrify and the sectors I was mentioning, it can be shipped so we can avoid investing in very expensive grid reinforcements. Of course, we speak about the fuel cell car and just for the anecdote. Today there are 100th. Not yet, but they are 70, just an example, there are 70 fuel station, hydrogen fuel stations in Germany. So basically, unfortunately you can't buy yet fuel cell car, but if you're lucky enough to drive one, which I had a chance a couple of months ago. You can go and feel it. It's quite amazing because you read about these things, but these things are happening somewhere on the world. So it's very tangible when you do it. Also for the anecdote, only as an anecdote, recently I saw that in France. For example, there's a company who is selling hydrogen bikes. I mean, we see all sorts of things out there. So there is lot of potential there are projects out there. So maybe just keep this in mind next time you hear or read about innovations. So this is it for the contents for now, but I want to bring two more things to your attention. Maybe the most important one for you is the IRENA Youth Event. IRENA will engage more with the next generation. We will have our first official youth events taking place in January, 2020, in Abu Dhabi. There's right now a call for application, the deadline is actually the 15th of October at midnight, Abu Dhabi local time. The idea here is to show case examples of stories of young people who have connected renewables with other socioeconomic factors successfully. So when we speak about socioeconomic factors here would mean gender, education, equity, and energy access. Here we encouraged quite a lot, youth from the least developed countries, from the small island developing countries, and more generally from developing countries to apply. So if you have a project in mind, have a look. Maybe you will apply, spread the word. Maybe you know someone who has done something about this and who knows? Maybe we'll meet each other in January in Abu Dhabi. So here's the link, I think the presentation will be available afterwards. So don't worry if you don't have written down the link. What I also brought today is some further reading. So please help yourself. So this is the report. Here are just three copies of it. I also provided the links to the innovation briefs for the market design and the enabling technologies once. The other two are coming up soon in the next couple of months. But I also wanted to bring to your attention just two, there are many more, of course, if you check our publication website. But the innovation outlook on smart charging, so I put the link here as well and the hydrogen publication, where we'll look into more detail into the applications of renewable hydrogen for the power sector transformation. With this, I thank you very much for your attention, this was my last slide and the floor is now yours for questions. Thank you.
