Photovoltaic Power Systems in Denmark

Abstract: The objective of this thesis is to analyze the development and diffusion of Photovoltaic Power Systems (PVPS’) in Denmark, identify drivers and barriers for further dissemination, and explore how the policy framework supports the diffusion of PVPS’’ and thus contribute to learning within this field. The focus is on grid-connected PVPS’, which are either used as an “add-on” device or integrated into the buildings. The high cost of the PVPS’, and consequently the high cost of the generated electricity together with a complex innovation system with many different actors, were identified to be the major barriers to a wider diffusion of the technology. Policy support is therefore needed to support involvement and commitment of many actors and support learning that can lead to a reduction in cost. This thesis applies a system approach to investigate the characteristics of the Danish PV system. The actors active today are identified and their involvement investigated. Moreover, the study approaches the potential for further cost reductions. To do so the distribution of cost is analyzed. It is assumed that the cost attributed to the PV module could be reduced due to learning and experience in producing PVs worldwide. It is also assumed that cost attributed to the implementation of PVPS’ will, to a larger extent, rely on experience in the implementation of PVPS’ in Denmark. The findings of this thesis show that the involvement of actors has developed over time in Denmark, however, further dissemination requires further development of knowledge. The analysis also shows large variations in cost distribution of costs related to the module and the implementation of the module. The cost related to implementation varies between app. 15 -50%; the higher figures relating to the building of integrated PVPS’. The results indicate that a relatively large part of future cost reductions will rely on learning related to implementation and learning processes within Denmark. This then indicates a need of national policy support. The findings further show that the current policy framework does support diffusion of PV, but also that none of the policy instruments are targeting building integrated PVPS’ specifically. This may cause potential barriers for dissemination of PVs in the future as integrated PVs may be a very important driver for PVs in the future to reach high acceptability. Moreover, PVs do not need to be more expensive than other types of innovative materials for facades. The research highlights the need for policy intervention related to the implementation of PVs, in order to support further cost reductions. Further research is needed to both to investigate this issue fully, and to define how different policy instruments can be applied to support the learning needed.