The markets that Island Renewable Energy have initially chosen are based on a combined rationale of:
- A sufficiently vast specific renewable resource;
- Pro-active regulatory and government supports for renewable power;
- A local appreciation of the internal market;
- An extensive working knowledge of the grid and planning systems.
The relevant isolation of the Canary Islands and subsequent high cost of fuel and energy intensity of desalination makes the volcanic archipelago a perfect location for sustainable and free wind power. The market is expected to need 6GW of electricity to satisfy demand. High wind speeds, and therefore high expected energy yields make for profitable wind farms, aided by the Spanish feed-in tariff.
Portugal has a void of 3GW wind power that is required to meet its 2020 targets. Cross party support for wind power and sufficient wind speeds makes Portugal a strong market for further growth. The attractive nature of the Portuguese market is illustrated by it having the 6th largest currently installed capacity in the EU.
Additionally, Portugal has a 1.35GW shortfall in solar powered energy to be fulfilled by 2020. Portugal has one of the best solar resources in Europe of between 1,800 and 3,100 hours of direct sunshine per year. This new market is likely to be bustling with CSP and Solar PV opportunities available at large, mini and micro scales of deployment.
Portugal supports both wind and solar power with generous feed-in tariff limits and longevity.
Island Renewable Energy has quickly assembled and expanded out Iberian team to capitalise on these opportunities. To date we have accumulated a considerably numerous pipeline split among wind and solar projects. With many more at an early stage, Portugal and Spain are expected to surpass initial pipeline targets.