AT A GLANCE

That’s the total surface area of Brazilian oil grants covered by a request for proposals to be launched in December. All of the grants are located on land. In September, Brazil also kicked off oil extraction from ultra-deep sea deposits.The offshore reserves, located 6,000 meters beneath the sea under a 1,000-metersalt layer, are estimated at 5 to 8 billion barrels of recoverable light crude oil. At present, Brazil's reserves total 14 billion barrels.

Technological advances are helping us meet a trio of challenges: rising demand, climate change, and the non-renewable nature of most energy, almost 70%of which emits greenhouse gases. We are entering an energy transition that we hope will lead us from

our present unsustainable situation to a more “carbon light” economy by 2050. Electricity and transportation are major targets for improvement.Electricity is not an issue in terms of primary energy resources, since it can be generated by nuclear power, renewable energies, natural gas and coal. On the other hand, it will require considerablecapital, whether for power generation or electricity transmission and distribution.Transportation is virtually dependent on oil (95%) and accounts for about 60% of total oil consumption. Here, the focus is primarilyon improving energy efficiency – of privately owned vehicles, the road transportation industry and dedicated fleets – to reduceconsumption and thus dependency on the OPEC oil producingcountries. Unconventional sources of oil, such as deep offshore oil or oil sands, are another path to dependency reduction. In these fields, significant progress in exploration and productiontechniques has pushed back the limits for reaching reserves that were, until recently, unusable. To achieve the diversification of energy supplies so necessary to the transportation sector, we needto develop new fuels – first generation biofuels now, second genera-tion biofuels later – such as lignocellulosic biomass or municipalwaste, or synfuels made with gas or coal, none of which competewith food applications. Ultimately, we can expect to see synergiesemerge between oil and nuclear power, with the latter helping to optimize energy-greedy oil production and refining operations. ■

“WE ARE ENTERING AN ENERGY TRANSITION”

EDITORIALBY OLIVIER APPERT,IFP Chairman and CEO(Institut français du pétrole)

2,000,000metric tons107,000km2

That's the threshold crossed for the first time on September 23, 2008 in the European carbon market, where CO2 emissions permits are traded under the KyotoProtocol. Daily trading averaged 1.251 million metric tons during the month of September, setting a new record and topping the monthly average for August by 47%.

CONTENTS

IN BRIEFResearch, environment, transportation: energy news clippings from Alternatives.

alternatives3rd quarter 2008

Publication Manager: Michel-Hubert Jamard.Editors: Thierry Piérard, Virginie Lepetit.Photos: Keith Wood/Gettyimages® (cover), IFP (p. 3),Larry Lee Photography/Corbis (p. 4), Jiri Rezac/ Réa(pp. 6-7), Étienne de Malglaive/Réa (pp. 6-7), Technip(pp. 8-9), Éric Nocher (p. 10), Paul Langrock/ Zénith-Laïf-Réa (p. 14), Lester Lefkowitz/Corbis (p. 15),Médiathèque RTE/Favier Gilles (p. 16), Hein van den Heuvel/ zefa/Corbis (pp. 16-17), Gina Le Vay/Gettyimages® (p. 17), Morgane Le Gall “Nature versus Technology” designed by Arik Levy and produced by Saazs (p. 20).Illustrations: Mr Suprême (p. 11), A. Dagan (p. 12).Design and production: : 8192

www.areva.com

18

DECODING

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15

10

19

PERSPECTIVES

Is the green bubbleabout to burst?

It bears no resemblance to the Internet bubble or real estate speculation. For Dr. Robert Bell, the future of renewable energies is assured. The technologies are continually improving and have practical applications.

KIOSK A selection of books and websites for more information on the topics discussed in this issue.

Electricity:hunting down line losses

Improving Europe’s power grids, whose weak interconnections and line losses consume excess fuel and emit more CO2, means maximizing energy efficiency and better flow management. A closer look.

VIEWPOINT

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Biomass:energy in the making

Wood, straw, agricultural residues, organic waste… biomass is everywhere you look. But the efficient use of this source of green electricity requires optimization of biomass collection and combustion processes.

FEATURE

EXTREME OIL 04

V

12CoverOffshore oil, such asat this oil platformin the North Sea,represents one thirdof world productiontoday.

✔

With the price of oil averaging four times more than in 2002 on an annual basis, exploration and recovery methods are improving by leaps and bounds. The result: a new race for black gold, with oil companies looking at deposits that, until recently, were considered impossible to operate. A tour of the new oil landscape.

Greenhouse gas reduction objectives in Europe

0

1,000

2,000

3,000

4,0004,244

1,320

4,151

979

3,924

1,388

3,602

849

1990 emissions

2006 emissions

Kyoto objective(2008-2012)

2020 objective, assuming the distribution of emissions between EU-15 and EU-10remains the same

■ EU-15 ■ EU-10

Source: Mission Climat - Caisse des dépôts.Data: European Environment Agency, June 2008.

Mt C

O2 e

q

CO2 emissions in the European Union 10 and 15, in metric tons equivalent of CO2.

The opinions expressed by the authors of articles in this magazine aretheir sole responsibility and do not necessarily reflect AREVA’s opinions.

ISSN 1637-2603In accordance with the French law of January 6, 1978 on DataProcessing and Civil Liberties, as amended by the law of August 6, 2004,any person has the right to request the correction or deletion of his or herpersonal data. This right may be exercised by letter posted to T.M.S.

Paper (novatech gloss) certified from mixed FSC and elemental chlorine-free pulp, ISO 9706, ISO 9001 and ISO 14001, as per EC directive98/638 on heavy metals content and EEC standard 89/109 regardingcontact with food. Environmentally friendly ink (100% plant-based).

© 2008 AREVACOM

Energy is our future,don’t waste it!

per barrel in Venezuela, and exceeds $40 inCanada; this compares with $5-8 for newconventional crude extraction projects in theMiddle East. The Athabasca and Orinoco oils are very dissimilar. A cold extraction process can beused for Orinoco oils. A diluting agent,�

Facing the potential depletionof their conventional fields,the oil companies are rushingtowards unconventionalcrudes. These are oils formed by dense, high-viscosityhydrocarbons that must be

made lighter and more fluid before they can be extracted cost effectively in sufficientquantity. Unconventional crudes also includeoil found in deep offshore fields. With theprice of crude still averaging 40% more thanlast year on an annual basis and four timeshigher than eight years ago, every method isbeing used to recover the black gold, even ifit means extracting oil from depths of morethan 2,000 meters or operating oil fields wherethe raw material is more tar than liquid.Operating these fields can help to push backPeak Oil, or the point in time when global oilproduction will begin to decline. First stop onour journey: Venezuela and Canada, worldchampions of extra-heavy crudes.

150 billion barrels may be recoverable in CanadaThe term “extra-heavy crudes” refers to cer-tain types of oils, such as high-density crudesfrom Venezuela and crudes from the bitumi-nous sands of Canada. Strictly speaking, thebulk of extra-heavy oils is found in Venezuela,in the Orinoco Belt of the Orinoco River basin.Bituminous sands, on the other hand, arefound mostly in the Athabasca region ofAlberta, Canada. According to the French

Petroleum Institute, IFP, “the majority ofunconventional crudes are degraded crudesfound at shallow depths in loose, highly per-meable sands. These crudes have been alteredby water seepage and bacteria. The lightestmolecules were destroyed in the process, whilethe oil was artificially enriched in asphaltenesand resins. They also contain heavy metals,nitrogen and sulfur, which require special re fining treatment.”Using current production methods and re -covery rates (the amount of oil that can beextracted from the deposit) in the 20-50%range, Canada can claim 152.2 billion barrelsof recoverable reserves with these resources.That is second only to Saudi Arabia, whichhas 264.2 billion barrels in reserves1. At anaverage recovery rate of 10%, the Orinoco Beltcontains about 50 billion barrels of extra-heavycrude.The industrial development of these hydro-carbon deposits requires considerable capitaland expertise due to their extraordinary size.The average production cost for depositsunder development ranges from $20 to $30

An overview of challenges tied to energy

/ ISSUE 19 / ALTERNATIVES04

A platform in the far northOil companies looking for new resources are ready to pay top dollar to access as-yet unexploited territories. The far north of Norway,Russia and Alaska are the most coveted regions.

FEATURE

With the price of oil four times more than in 2002 on an average annual basis, exploration and recovery methods are improving by leaps and bounds. The result: a new race for black gold, with oil companieslooking at deposits that, until recently, were considered impossible to operate. A tour of oil’s new frontiers, from the oil sands of Canada’s FarNorth to the ultra-offshore depths of the Brazilian coastline.

05

✔

Oil companies looking for new resources are willingto pay top dollar to access as yet unexploitedareas, as they did for ultra-deep offshore fields in the Canadian Far North, or in sub-arctic regionssuch as Snovhit in Norway or Stockman in Russia.The Chukchi Sea deposits of Alaska are full of

promise in this respect. Nearly 15 billion barrels of recoverable oil reserves and more than 2 trillion cubic meters of natural gas are believed to be located in this area. Despite opposition from environmental associations, the U.S. administrationgranted hundreds of exploration permits in February.

Natural gas: the Alaskan dream

EXTREME OIL

Bituminous sands cost almost five times as much to extract as Middle East oilPrices required for profitable oil production, including costs associated with CO2 emissions

Bituminous sands 70

Arctic oil

Extra-heavy oil(Canada, Venezuela)

60

Ultra-deep offshore 40

40

Deep offshore 35

Middle East 15

Source: IEA, 2007.

in dollars per barrel

ISSUE 19 / ALTERNATIVES /

ISSUE 19 / ALTERNATIVES / 07/ ISSUE 19 / ALTERNATIVES06

�naphtha (the very light component of crudeoil) is injected into the bottom of the well andat the well head to facilitate oil flow and extrac-tion, which is also stimulated with pumps.Naphtha is used again to transport the crudeby pipeline to refineries some 200 kilometersaway.Athabasca crudes are practically solid; theyare extracted from wells or from open pitmines. Although oil companies identified thefantastic potential of this region decades ago,the operation of bituminous sand deposits isrelatively recent. The high cost of separatingthe oil from the sand was a barrier to the devel -opment of these deposits, since the price ofcrude didn’t cover operating costs. Fluctu- ating oil prices are not the only reason for theproliferation of this type of project in Canada:at long last, proven extraction processes arenow available to operate these deposits.

Bituminous sands: thirsty for waterTwo main mining methods are used for bitu-minous sands, depending on the depth of thedeposit and other features.The traditional open pit mining method,which requires enormous mechanical shov -els, is used in areas where the sands are lessthan 70 meters below grade. Huge trucks orconveyor belts move the sands to a process -ing facility that uses hot water to strip the oil, which is then recovered by dilution inlight crude. This process accounts for two-thirds of Canada’s production. It requires largequantities of water, which must be filteredafter use. The spent sands are stripped sever -al times and then returned to the mine.In the steam flooding method, steam is injec-ted into the sands through a horizontal well.The resulting heat decreases the viscosity ofthe oil, which is recovered in another well.This is expensive technology. Huge amountsof water and a lot of energy are needed tosupply the steam injected into the deposit.The process also generates large amounts ofgreenhouse gases. All of these factors raiseoperating costs. Environmental constraintsalso affect overall project economics. Thesteam flooding method will be subject to CO2

taxes, increasing the cost of the oil produced.Ultimately, operators will have to invest capitalto capture and sequester the gases produced.

✔ CanadaThis huge truck can carry400 metric tons of sandcontaining 200 barrels of oil.

✔ CanadaBituminous sand mine pitsare always very extensive,like this one operated by Shell Albian.

One third of world oil production is offshoreAnother oil frontier is located more than 1,500meters under the surface of the sea, whereoil is extracted from ultra-deep offshore fields.According to the French Petroleum Institute,IFP, offshore crudes of all typescurrently account for onefourth of the world's provenreserves and one third of glo-bal oil production. Ultra-deepfields (1,500 meters or more)represent only 3% of the world'sreserves and 0.5% of its production. Oil can now beextracted at depths eight timesgreater than the early offshorewells – from 312 meters in 1978 to 2,540meters in 2007 (see chart) – and the 2,700-meter threshold is expected to be crossed thisyear. Geologists are presently focusing on ahalf-dozen major basins: the Gulf of Guinea,the Gulf of Mexico, the northern part of theNorth Sea, the Brazilian and Australian coast-lines, and the China Sea. Enormous progresshas been made in offshore oil exploration andproduction, particularly in seismic research.Production rigs have also improved greatly.Initially, the fields were operated from fixed

rigs, which became taller and taller. Floatingsystems were used when the construction offixed platforms became impossible. Only adozen fields are operated at a depth of morethan 1,500 meters. Oil companies use float -ing production, storage and offloading

platforms (FPSO) mooredwith cables to ensure the sta-bility of the rig above the drillpoint, even in strong windsor currents.

Pipes: too heavy for their own good!Operating costs – exploration,development and production– have risen from about $10

per barrel in 2000 to as much as $20-30 today.Going to such extremes to look for oil is stillfar from easy. Deepwater projects are fraughtwith difficulties, stemming mostly from watertemperatures and equipment weight. Atdepths of more than 2,000 meters, traditionalpipes connecting the rig to the ocean floor areunable to support their own weight. Manu-facturers are working to develop pipes madewith metals that are lighter than steel, or withcomposite materials. Below 1,500 meters,water temperature is only 4°C. The oil is �

312 m

1978 1989 1991 1994 1997 1997 2000 Oct. 2007

Shell Conoco Petrobras Petrobras Shell Petrobras Petrobras Anadarko

Cognac, Gulf of Mexico, United States

Jolliet, Gulf of Mexico, United States

Marlim, Brazil

Marlim, Brazil

Marlim Sul, Brazil

Roncador, Brazil

Gulf of Mexico, at water vortex

Mensa,Gulf of Mexico, United States

Fixed platform

Tension leg platform

Semi-submersible platform

Semi-submersible platform

FPSO FPSO FPSOUnderwater connection from a satellite field

540 m

752 m

1,027 m

1,650 m

1,709 m1,853 m

2,540 m1 - Location

2 - Operator

3 - Rig

1

2

3 * * *

Only a dozen fields are operated at depths ofmore than

1,500 meters.

FEATURE

The depth of offshore operations has risen eightfold in 30 years

* FPSO: Floating Production Storage and Offloading platform.

Alternatives: What are themain technical limitations to exploiting unconven -tional deposits?Thierry Pilenko:We have to find solutions for the extreme conditions present in ultra-deep waters,such as temperature and pres-sure. But the magnitude ofthe projects on an economic,environmental and humanscale also raises crucialconcerns. How does one minethe oil sands of Canada whilelimiting CO2 emissions? Howdoes one sustain local econom -ic development in producercountries? How does oneadapt solutions proven in theGulf of Mexico to environ-ments as demanding as thoseof the Arctic Circle? Duringthe design phase, how doesone factor in pressures on the equipment market,or the availability of qualified

personnel for onshore facilityconstruction in some regionsof the world?

On the technical level, isthere anything we don’tknow how to do yet?T. Pilenko: We know how to drill 3,000 meters belowsea level, but we still don’tknow how to pump the oil.Another example: we’re wellversed in synfuel productionprocesses – GTL (gas toliquid), CTL (coal to liquid),etc. – but we have yet toachieve fully satisfactoryenergy yields. I am convincedthat research and develop-ment will take us beyond our present limitations. Forexample, we’ve developedsolutions that will make itpossible to liquefy natural gas at sea, turning resourcesthat weren’t exploitablebefore to good use.

How many more years willtechnical advances contin -ue to push back Peak Oil?T. Pilenko: Innovation has enabled us to push backthe decline in the North Seaby ten years or so. And weshouldn’t forget that only 30 to 40% of all oil depositsare actually exploited. Exploitable reserves wouldpractically double at a recov -ery rate of 60%. Upstream,the advances in seismicresearch are helping us to discover deposits that weren’tvisible before, as happened inBrazil recently. The issues areinescapable over the relativelylong term for all non-renew -able natural resources, whichby definition are finite. And in them converge scientific, technical, societal,economic and geopoliticalconsiderations. ■

Thierry Pilenko is Chairman and CEO of Technip, a world leader in engineering, technologies and projects in the oil, natural gas andpetrochemicals fields. Technip designsand manufactures flexible flowlines and platforms, and has a dedicated fleet of specialized vessels for subsea construction and pipeline installation.

EXPERT OPINIONTHIERRY PILENKO

/ ISSUE 19 / ALTERNATIVES 09ISSUE 19 / ALTERNATIVES / 08

FEATURE

� pumped at temperatures of 80 to 100°C,and must be kept as hot as possible to pre-vent paraffin or hydrate buildup in the pipes.The pipes must therefore be kept at strictlycontrolled temperatures and pressures.How deep can oil extraction go? Because thedeepwater oil fields being explored are increas -ingly smaller, scattered, or far from shore, oil companies are faced with new challenges.Oil quality can vary. It is often heavier and moreviscous, and is sometimes deposit-prone.

Ultra-deep fields: the new frontierNot all ultra-deep fields are found offshore.While there are no oil fields in operation todayat depths of more than 5,600 meters, manygeologists believe that additional oil and gasreserves lie even deeper (6,000 to 8,000meters underground) in specific geologicconfigurations, such as the piedmont areasof the Andes or Central Asia, in major river

deltas such as the Niger, the Mississippi, theVolga and the Ural, or beneath ancient basinsin the North Sea, Algeria or the Middle East.Such deposits represent a colossal challengefor engineers. Pressures and temperatures arevery high at such depths2, and existing toolsand methods are either unsuitable or com-pletely ineffective. At depths of more than4,000 meters, exploration is difficult anddrilling is very expensive. Nonetheless, gas isbeing pumped in the North Sea from approxi-mately 5,500 meters below the ocean floor in the Glenelg, West Franklin and Elgin Franklin fields, at temperatures approaching200°C. This is a feat, since electronics havea short lifespan above 170°C. Obviously,drillers must use different equipment underthese circumstances. Also, the deeper the geo-logic strata, the poorer the seismic image, asimage quality deteriorates with distance.Technological advances continue to pushback Peak Oil. Oil may be a fossil fuel in finitequantity, but the age of oil is not over yet!Every day, oil company engineers look fornew ways to postpone the terminal decline,so that the oil we cannot recover today willbe accessible in the future. This is a must ifwe are to continue to provide power to somesectors which, unlike the fuel sector, have notyet found an industrial-scale substitute forblack gold. ■

@�• U.S. Energy Information Administration (EIA):www.eia.doe.gov• Institut français du pétrole (French Petroleum Institute): www.ifp.fr• Bulletin de l’Industrie pétrolière (Petroleum Industry Bulletin, in French):http://aspofrance.viabloga.com/files/PRB_BIP_22Jan2008.pdf• International Energy Agency - Oil Market Report:http://omrpublic.iea.org

ONLY ONE THIRD OF ALL OIL DEPOSITSare actually exploited

When oil and nuclear powerwork well together

The rush for Canada’s bituminous sandsis a boost for nuclear power. Enormousquantities of power are needed to heat thesands to extract the oil. The current sourcesof power – gas- and oil-fired plants – relea-se large quantities of CO2 and are thus amajor source of pollution. In early 2008,Bruce Power, a private nuclear utility thatsupplies one fifth of Ontario's electricity,applied for a license from the CanadianNuclear Safety Commission (CNSC) to buildfour nuclear power plants in Alberta. Theapplication follows a decision by theCanadian federal government to prohibitthe construction of new coal-fired plantsbeginning in 2011, unless their green-house gases are captured and sequesteredunderground. That requirement increasesthe cost of the megawatt-hour from coalby 50% compared with nuclear power,according to Bruce Power CEO DuncanHawthorne.

At current consumption levels, oil reserves are expected to last about 40 years. Gas reserves are estimated at 65 years.But each additional percentage point in recovery postpones the deadline by two years.

According to the BP StatisticalReview of World Energy, there are1.39 trillion barrels of proven oil

reserves1. This compares with one trillionbarrels consumed since the beginning of theoil era. Reserve estimates have risen con -stantly, thanks to the discovery of new de -posits and, more recently, the extraction offrontier oils. Another opportunity exists topostpone Peak Oil: increasing the recoveryrate at existing fields is as good as discov -ering a new deposit.Approximately 35% of the oil in the groundis recovered, meaning that an average of twobarrels of oil is left in the ground for eachbarrel brought to the surface. Exploiting afield to the maximum requires advancedrecovery techniques. The primary recoveryrate from light crude deposits (the percen-tage of oil surging naturally to the wellhead) is often about 25%. Even in liquidform, oil contains dissolved gases that arereleased when the reservoir's pressure dropsdue to drilling, or when oil surges to the sur-face. Operators always try to regulate thepressure of the reservoirs and the output ofthe wells to extract the oil and the dissolvedgases simultaneously and for as long aspossible.Significant progress has also been made inall methods of secondary recovery. Solutionsto increase the recovery rate include theinjection of gas or water into the reservoir.As Nathalie Alazard-Toux, Director ofEconomic Studies at the Institut français dupétrole, explains, “each additional percen-tage point in recovery for all known depositsincreases global reserves by two years.” An

additional 10% in the recovery rate – admit-tedly a very favorable scenario – wouldrecover 600 billion additional barrels fromglobal reserves.Tertiary recovery begins when a depositapproaches the end of its operating life. Theviscosity of the oil is lowered by injectingpolymers, carbon dioxide or steam into thedeposit. In situ burning is another method:some of the oil is burned in the deposit itselfto heat the surrounding rock. The heaviestoil components are burned in the process (5 to 10% of the crude content). The tempe-rature reaches 600-800°C, pushing the oiltowards the production wells. ■

when will it happen?PEAK OIL:

1. Including bituminous sands.

✔Spar platform inthe Gulf of Mexico.

OIL DENSITY:Oil density is expressed in degrees of API gravity, a measure of the American Petroleum Institute. Oilis “light” at an API gravity of greater than 31.1°,“medium” if it is 22.3° to 31.1°, “heavy” if is it 10°to 22.3°, and “extra-heavy” if it is less than 10°. By way of comparison, North Sea Brent sweetcrude, the standard for oil traded in London, is a light oil with an API gravity of 38°.w

ord

for

wor

d

1. BP 2008 Statistical Review.2. At a depth of 4,500 meters, the temperature is about 150°Cand the pressure is 500 bar. Beyond 6,000 meters, the tempera-ture is around 300°C and the pressure is 1,000 to 1,500 bar.

VIEWPOINT

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ISSUE 19 / ALTERNATIVES /11/ ISSUE 19 / ALTERNATIVES10

IS THE GREEN BUBBLE ABO UT TO BURST?

We’re at the beginning of a period similar to what the French call ‘the Glorious Thirties’.”

prepared to announce specific goalsfor 2009-2011.The landscape was different for thephotovoltaic sector. Price/earningsratios, or the ratio between a com-pany’s market capitalization and itsearnings, were soaring just beforethe crash. In July, U.S. companiesFirst Solar and SunPower had P/Eratios of 100 and 255 respectively.These levels are consistent with aspeculative bubble. On October 23,their P/E ratios had dropped to 42 and 52.

Recent technical innovationsare very promisingFinancial experts continually citethese P/E ratios to compare what ishappening in renewable energiestoday with the Internet bubble. Theyforget that photovoltaic cell manu-facturers doubled their sales eachyear before the crash. In my opinion,it’s completely wrong to believe thatevery new technology eventuallymeans that the bubble must burst.This is far from the truth. Some tech-nologies do in fact change the worldin which we live. Renewable ener-gies fall into this category. The onlyquestion now is whether the tech-nologies being offered by companiescan meet our needs today, not thosewe might have in forty years – or evenin ten years. In this respect, fuel cellsdon’t have a very bright future. Notonly is the technology too expensive,it needs coal, oil or natural gas toproduce the hydrogen it uses as fuel.

ZOOMRecent financialbubbles• The Internet and telecom bubble burstafter five years of euphoria, from 1995 to 2000. The first signsof the bubble appearedin 1995, when the stockprice of Netscape tripled on the first dayof trading after the initial public offering.Investors went on tobuy up new technologystocks indiscriminately,regardless of the company’s revenue or profits, which wereoften zero.• The subprime crisis. A real estate bubblesucceeded the Internetbubble in 2000. A lot of investors, a lot of money to invest,easy credit (the now infamous subprimeloans)… all the ingre-dients were there forsoaring real estate prices in the UnitedStates during the firstyears of the century.The bubble deflatedabruptly in 2007, triggering a global crisis.

“

Wind power doesn’t have this prob -lem, and the main obstacle tophotovoltaic solar energy will soondisappear, with the price of silicon,the main component of solar cells,about to drop. At least, that’s whatthe CEO of Q.Cells said to theFinancial Times in late June, predic-ting that the market would be awashwith silicon. Soon, we’ll also be ableto store electricity on a large scale,which is necessary to make up forthe intermittent nature of green ener-gies. NGK Insulators of Japan is nowcapable of manufacturing sodium-sulfur batteries that can store largeamounts of electricity. I think this willcause renewable energies to take off completely and even to surpass nuclear power. Just take a look atthe wind power projects announcedby developers in recent months. Oneof them, Mesa Power, is about tobuild 4 GW of generating capaci-

ty on a single site in Texas, to becompleted by 2014. The project is expected to cost $10 billion, or$2.50 per GW. This is a rather attractive capital outlay comparedwith more capital-intensive projectslike nuclear power plants. Will thisgive wind power an edge in the current economic crisis? Only timewill tell.

America is switching to hybridsBiomass has a bright future as well.Installed capacity quadrupled lastyear, if one includes energy fromwaste incineration and biogas fromtreatment plants. These resourcesalso offer a response to rising fuelprices. First-generation ethanol fuel is available, and the controver-sy over the use of corn as fuel or asfood is overblown, in my opinion.But second-generation ethanol made

It bears no resemblance to the Internet bubble or recent real estate speculation. For Dr. Robert Bell, author of The Green Bubble, the future of renewable energies is assured. These technologies are continually improving, producing practical applications and laying the foundations of our future.

With some 55billion eurosi n v e s t e dworldwide in 2007, in-c l u d i n g 46% in wind

power2, the green energy market has surpassed investment in theInternet and will soon overtake thatof the telecom market. While the fi-nancial crash of the fall of 2008 mayslow things down, there can be nodoubt that the market is close to itspeak. A speculative bubble is un -avoidable at the end of the game:financial markets in the United Statesalways generate unsustainable bub-bles. But we’re not there yet. Farfrom it! Hedge funds liquidated their“green investments” to raise cash inOctober 2008, causing an even har-der crash for these stocks than forthe rest of the market. But they’ll rebound quickly. I don’t expect tosee a “green bubble” in the next fewyears, at least not to the extent ofthe Internet and telecom bubble ofthe nineties. The main differencetoday is that demand for green ener-gy is real, rising, and a growth enginefor manufacturing and production.And demand for wind turbines isstill growing. In fact, it has been sostrong that the industry’s backlognow represents two years of produc-tion – or at least, it did before thefinancial crisis. Since then, Gamesa,a wind turbine manufacturer, hashalted production and is no longer

Robert Bell is Chair of the Department of Economics at Brooklyn College, New York. In his previous books, Dr. Bellexplained how new technologies tend to fuel speculation. He authoredThe Green Bubble1 in February 2007,giving his explanation for thestampede towards renewableenergies. For him, climate changewill turn our economies upside down. We are about to enter an era of intense capital investment and speculation surrounding greenenergy. But the growth is notwithout basis, because it is thesetechnologies that will free us of our dependency on oil.

THE OPINION OF ROBERT BELL

with cellulosic ethanol (producedwith the entire plant) is the real keyto a transition to electric vehicles.Because hybrids are clearly the so-lution for the future. I truly believethat in ten to fifteen years more than70% of all automobiles in the UnitedStates will be hybrids. The exact tim -ing of the switch depends ongovernment action, but we’re headedin that direction. Climate changecombined with the economic crisisgives governments a tremendousopportunity to push in this direc-tion, no matter what the price of oil may be. We’ve seen this al ready:for the second year in a row, gasoline consumption was down4% in California in 2007. This trendwill continue.All of these technologies are just entering a period of growth. We’renot on the eve of a green bubble,but rather at the start of a period similar to what the French call “theGlorious Thirties”. This may not prevent crises from happening, orperiods of recession, but the gen -eral trend will be upward. Greenenergies are laying the foundationsof true industrial growth. ■

1. The Green Bubble, Robert Bell, Abbeville Press,2007.2. Data from SEFI, New Energy Finance.

/ ISSUE 19 / ALTERNATIVES

A guide exploring a natural phenomenon, a technology, a mechanism…VV DECODING

Biomass is back on the politicalagenda. In mid-June of this year,the French government gave thisrenewable energy a boost by select-ing twenty-two projects to generate

power and heat with biomass… though thedecision came a year and a half after therequest for proposals! The plants, to be com-missioned by 2010, will be located in elevendifferent regions and will consume energy from organic plant matter. The power gener-ated will be bought at a firm price of 128 eurosper megawatt-hour. Most of the fuel will comefrom forest and paper industry waste, but strawand even grape pomace will be used in somecases. The plants will have a combined gen-erating capacity of 300 MWh, raising France’sinstalled biomass capacity to a total of 700 MWe. A drop of water in the ocean in theoverall scheme of France’s electricity!It is true that France has long neglected biomass. In 2004, electricity generated frombiological resources represented a mere 1.74 TWhe in France, just 0.3% of its powerconsumption. This will rise to 0.6% once thenew plants have come on line. The trend is thesame in all of the EU’s 27 member states,according to Eurostat, the statistical office of

the European Communities: the amount ofelectricity generated from biomass (includingbiogas, municipal waste and wood) has practically doubled in six years, rising from 40 to 80 TWhe between 2000 and 2005. Thisis an improvement, but it still only represents2.5% of the electricity supplied to Europeans.On a global scale, biomass contributes just 1%of total electric power generation.Yet biomass is an energy resource found allover the world, whether as agricultural waste,wood chips, or dried treatment plant sludge,to name but a few. Biomass power plants have managed to gain a foothold mainly incountries that produce large volumes of organic waste, including waste from the paper and agri-food industries, householdrefuse, and biogas from the fermentation oftreatment plant sludge. At the top of the list:the United States, which generated 56 TWh of biopower in 2005, and Brazil, which favorsbagasse from sugar cane and biogas from distillery effluents. Generating electricity from biomass is avery simple process. It works on thesame principle as any other thermalpower plant operating with coal or heavy fuel oil. Like those �

ISSUE 19 / ALTERNATIVES / 1312

ENERGY IN THE MAKINGBIOMASS:

Wood, straw, agricultural residues, organic waste… biomass is everywhere you look. But the efficient use of this source of greenelectricity – the world’s second largest renewable energy source –requires optimization of biomass collection and combustion processes.

How a biomass plant worksLike other power plants, a biomass plant burns fuel. Instead of fossil fuels, it burns plantor animal residues and by-products: wood, straw, agricultural residues, organic waste,etc. Burning these fuels produces steam that drives a turbine connected to an electricgenerator. The turbine-generator combination, turning at very high speed, generateselectricity.

1. Collection and preparationBiofuels can rarely be used in their natural state.More often than not, they contain too much water and are too diverse to be used in an industrial boiler. Once the wood, straw, agricultural residueor organic waste has been collected, it is processedand mixed for optimum boiler operation.

3. BoilerInside the boiler, pressurized cold water flows through a series of tubes. The heat released by combustion is used to heat the water flowing throughthese tubes, turning it into superheated steam.

4. Turbine and electric generatorThe pressurized steam drives a high-speed turbine. The turbine in turn drives an electricgenerator, producing electricity in the form of alternating current. A transformer raises the voltage of this current so that it can becarried over the high voltage power grid. When the steam exits the turbine, it is converted back into water by a condenser and sent back to the boiler.

2. Combustion chamberPre-mixed biomass fuel is burned in the combustionchamber, releasing heat. The lower heating value (LHV, or amount of heat released during combustion)varies according to the material and its moisturecontent: 4.9 kWh/kg for wood pellets, 4 kWh/kg for straw, and 2.5 kWh/kg for wood.

� hydrocarbons, organic biomass matterconsists mainly of hydrocarbon molecules,including carbon and hydrogen. The bondbetween carbon and hydrogen breaks downduring the combustion process, allowingthe atoms to combine with oxygen in theair to form CO2, steam (H2O) and especiallyheat. The heat is used to produce pressur -iz ed steam to drive electric turbines (seediagram, pages 12 & 13).If the process is so simple, then why isn’tbiomass massively employed to generateelectricity? First of all, it produces a smallamount of heat from combustion comparedwith fossil fuels such as coal, oil and nat-ural gas. For example, a metric ton of woodrepresents 0.3 metric tons of oil equivalent,only one third of the energy contained in a

metric ton of fuel oil. And wood is one ofbest fuels biomass has to offer! Anotherproblem lies in the size limits of biomassplants compared with coal-fired plants, pre-venting them from achieving the sameeconomies of scale. The electrical efficiencyof a small biomass plant is 30% at best(35% with the best available technologies),whereas coal-fired plants achieve about45% efficiency and combined-cycle gas-fired plants hit the 55% mark.Another problem is the varying composi-tion of straw, wood or waste fueling theboiler, calling for robust, adaptable burn-ers, grates and fluidized beds. Either that,or the fuel has to be converted to producestandardized fuel such as wood pellets ordried sludge, which only ups the price ofthe fuel even more. Converting forest wasteinto wood chips, for example, costs 40 to 50 euros per MWh of heat, whereasunprocessed sawmill residue costs 10 to 20euros for the same MWh. Another obsta-cle to developing biomass for powergeneration is the problem of collecting theraw materials from far and wide. Becauseof this, recently built biomass power plantshave been co-located with the industrialsites that produce the organic residues thatfuel them.

In addition to solid biomass, biogas can beused to recycle liquid or wet waste that isdifficult to transport. Biogas is produced bythe digestion of wet biomass such as treat-ment plant sludge and animal dung (pigslurry), or of liquid biomass such as waste-water containing sugar or starch from theagri-food industry. Bacteria break down theorganic compounds in an oxygen-deprivedenvironment during the digestion process,producing biogas containing 40% to 70%methane. The methane can then be usedto fuel a gas-fired plant. This is one of thebest configurations there is, since the bio-mass comes directly from the final waste.It’s a good illustration of the “waste towealth” concept, which consists of recy-cling waste to produce energy. Biomass hasbeen used for heat and energy since thedawn of mankind, and has an importantrole to play in the global energy mix. ■

DECODINGVV PERSPECTIVES

ISSUE 19 / ALTERNATIVES / 15

Power generators aretrying a plethora of technical innovations to maximize energy efficiency and reducegreenhouse gas emissionsas the planet's temperaturecontinues to rise. Part andparcel of these efforts:improving power grids,where weak interconnec-tions and line lossesconsume even more fuel and emit more CO2. An inside look.

Insight into the energy outlook for the future

Power generation represents a little less than half of all CO2 emis-sions (41%, to be precise), mainlybecause of fossil fuels’ dominantrole, especially coal. This contri-

bution is expected to increase to 44% by2030 as electricity demanddoubles1. Supplementingprogress on CO2 emissionreduction, engineers areactively working on pro-grams to improve theenergy supply chaindownstream – the inter-connections within andbetween transmission systems (see “word forword”) – where better power flow manage-ment and reductions in line losses offer majoropportunities for productivity gains. Such gainswill have the effect of reducing the amountof electricity to be produced upstream by eliminating its dissipation as useless heat inconductors, transformers and switchgear.

Eliminating bottlenecksElectricity travels from one point to anoth -er following the path of least resistance.

Energy flows are scattered as a result, gen -erating operating losses proportional to wheel -ing distances. In turn, more primary energymust be burned in power plants, producingadditional CO2 emissions in the case of oil,gas or coal-fired plants. This is another rea-

son why improving inter-connections and transmis-sion infrastructure hasbecome a priority. Thegoals are to reduce losses,save fuel and lower CO2

emissions by optimizingpower flows, and to eli-minate the notorious bot -

tlenecks capable of turning minor mishapsinto full-fledged blackouts causing stag geringfinancial and energy losses.

Power systems are alreadysaturatedAs demonstrated by the 2003 blackout inItaly and the November 2006 outage in Nor-thern Germany, which affected almost 10%of the power supply in the western part ofthe continent, European grids participating inthe UCTE2 are vulnerable and their energy�

14 / ISSUE 19 / ALTERNATIVES��

(( ((

An accumulation of minor mishaps

can trigger a blackout.

“”

✔ A field of high voltage lines2.5% of the electricity transmitted over this type of line is lost due to power dissipation (the Joule effect).

ELECTRICITY:hunting down line losses

✔ Nawaro® biogas power plant in Penkun,GermanyThis is the largest plant of its kind in the world; 40 separate facilities cover more than 20 hectares [about 50 acres].Electric power plants using

biomass do not release greenhouse gasesFalse: The combustion of organic matter always emits CO2 and water. In fact, electricity generated with wood releases 1.5 metric tons of CO2

per MWh, or three times more than a com-bined-cycle gas plant. However, these CO2 emissions are part of the natural carbon cycle responsible for the green-house effect that enabled life to developon Earth. Without the atmosphere, theaverage temperature on Earth would be -18°C instead of +15°C. In the case of biomass, since the atoms are reab-sorbed during plant growth, the CO2

footprint of industrial uses of biomass is considered neutral, as long as naturalresources are used rationally.

TRUE OR FALSE?

BIOGAS PLANT: A plant in which wet or liquid biomass (treatment plant sludge, pig slurry, etc.) is converted into methane by anaerobic digestion. The methane is thenconverted into usable energy (electricity, heat).

ANAEROBIC DIGESTION: The decompositionof organic compounds in an oxygen-deprivedenvironment through the action of bacteria. The bacteria produce biogas consisting mainly of methane (CH4), which can be used as fuel.

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@�• How biomass plants work:http://www.edf.com/html/panorama/production/renouvelable/biomasse/fonctionnement.html• A primer for electric power generation

with biomass:http://www.iea.org/textbase/techno/essentials3.pdf

� efficiency is patently lacking. Grid vul-nerability and poor energy efficiency are infact two sides of the same coin: each majorgrid disruption increases primary fuelconsumption, thus raising costs and boost -ing greenhouse gas emissions. In the pri -ority interconnection plan it submitted tothe European Council and Parliament inJanuary 2007, the European Commissionindicated that, at its current levels of infra -structure spending, the EU would not beable to establish a true single market forelectricity that would help achieve its CO2

emission reduction goals. For instance, theEU would not be able to add the neces-sary power generation from renewable sour-

ISSUE 19 / ALTERNATIVES / 17

PERSPECTIVES

/ ISSUE 19 / ALTERNATIVES16��

ces because it is too vulnerable to pro-duction fluctuations. Prices would remainhigh due to grid saturation and the con -tinued operation of inefficient productioncapacity in each of the energy regions withinsufficient interconnections. The risk oftemporary supply interruptions will remainhigh if power systems continue to operateat their physical capacity limits year afteryear. Lack of coordination in communica-tion procedures and a still incomplete Euro-pean grid management system couldamplify the consequences of any major dis-ruption (see Zoom below).

Rising use of decision supporttools by grid operatorsUnder these circumstances, the most urgentdecisions are obviously political ones, par-ticularly as regards funding for grid up -grades. In the meantime, R&D programsoffer promising prospects for improvement.First, information technologies are now pro-viding a number of tools for real-time gridoperations. These tools offer immediateoperational support for decision-makingunder both normal and off-normal opera-ting conditions, helping to maintain the sta-bility and balance of flows. These include

Wide Area Management Services (WAMS),which are improving coordination betweenoperators using enhanced capacity chartvisualization and third-party grid intelli-gence systems relying on next-generationdata processing equipment. Other systemsare energy trading tools, which match sup-ply with demand and monitor changes ingenerating costs in real time. Still othersinvolve the use of forecasting methods fromthe world of finance. Together, these toolswill allow operators to coordinate emer-gency response and, more generally, to opti-mize overall grid efficiency.

Substantial savings from veryhigh voltageThe development of power electronics andsemi-conductors such as thyristors makesit possible, and often desirable, to imple-ment very high voltage direct current sys-tems (VHV-DC) wherever there is an advan-tage in doing so.Today, the majority of European high vol-tage lines, such as those in France, carrytriphase alternating current at 225 kV and

400 kV. This system is flexible and makesit easy to adapt the voltage upstream usingtransformers to meet the needs of finalusers. But this comes at a cost: the Jouleeffect produces significant line losses pro-portional to the wheeling distance (seebox). In addition, reactive power3 mustbe offset when electricity is transmitted asalternating current, impacting its energyefficiency. The footprint is also larger, as

((((

is the cost of infrastructure (three cablesare required to transmit triphase current).Moreover, overhead lines are often a sourceof conflict with local residents and raiseenvironmental issues. All in all, thecost/benefit ratio decreases as the distanceincreases.In contrast, VHV direct current can carryup to 800 kV with very small line lossesover distances of several thousands of kilo-meters, as in Brazil, India and China. Forshorter distances, as in Europe, VHV wouldhelp eliminate bottlenecks at the borderby creating “power line superhighways”,ensuring voltage stability while promotingexchanges between national grids. In prac-tice, the preferred solution would be toreplace weak links in the grids or thosewith sub-par performance with new VHVdirect current infrastructure that couldtriple transmission capacity while sharp -ly curtailing line losses and ensuring vol-tage stability. At identical footprint, andif only in the cross-border areas of theUCTE, benefits expected from power flowimprovement include a 10% reduction infossil fuel consumption, representing some16 billion euros per year, and a reductionin annual CO2 emissions equivalent to100 million tons!New technologies such as superconduc -tivity (see box below) may also contributesignificant improvements eventually, albeitfor limited applications. For now, VHV isclearly a mature solution capable of meet -ing two of our major challenges: maintain -ing interconnection stability in the Euro-

@�To learn more, read previous articles on the Alternatives websitewww.alternatives.areva.com

• “The energy highways”, Feature, Alternatives no. 10

• “Electrical power systems: balancing supplyand demand”, Feature, Alternatives no. 11

• “Alternating and direct current: the dynamicduo”, Decoding, Alternatives no. 12

16

At dawn on September 28, 2003, an electric arc formed between a power cable and a tree in Switzerland. Poor communications betweenSwiss and Italian operators plunged Italy into darkness for several hours. The cost of this outage: almost 13,000 megawatts, or the power output of 10 nuclear reactors!

ZOOMThe cost of a blackout…

In France, line losses from Joule effect powerdissipation on high voltage lines (50 kV ormore) and very high voltage lines (225 kV–400kV) averaged 2.5% of total power consump-tion in 2006, or approximately 11.5 TWh peryear4. The loss rises to 32 TWh when themedium voltage and low voltage grids5 areincluded, i.e. 5.8% of all electricity used in thecountry. Based on an annual average spot rateof 49 euros per MWh for baseline productionon the PowerNext international market, more than 1.5 billion euros were dissipateduselessly as heat and 2.88 million tons ofCO2 were generated needlessly (all productionmodes combined), even though France pro-duces the least amount of emissions per kWhof electricity in Europe, next to Sweden.

Long considered a lab experiment, super-conductivity has been implemented on a production scale for the first time in aspectacular project: a 600-meter, 138-kVunderground cable was installed in New YorkCity to transmit triphase current without heatdissipation or line losses. This feat was madepossible by a so-called “high temperature”superconducting cable (-200°C, compared withabsolute zero of -273° C) made with bismuth

and cooled with liquid nitrogen in an airtight sheath. The cable can transmit three times more electricity than an equiva-lent copper cable. But the prohibitive costof this technology confines it to high-densityurban environments requiring large quanti-ties of power (New York City has one of the highest concentrations of air conditioningunits in the world), where the cost of realestate is highest.

Line losses: unnecessary, expensive kilowatts that add to pollution

First industrial application of superconductivity

✔ Dambron-Villejust,FranceRepairing a 400-kV line protection cable.

pean Union and reducing greenhouse gasesin the power generation sector. A thirdchallenge would be to invest in this typeof infrastructure. But that’s for nationalgovernments to decide... ■

1. OECD-IEA, 2006, World Energy Outlook.

2. The Union for the Coordination of Transmission of Electricity(UCTE) was created in 1951 to promote grid interconnection inWestern Europe. It was the first step towards economic integra-tion in Europe, even before the European Coal and SteelCommunity (CECA).

3. Reactive power is needed to operate inductive equipment suchas engines, transformers, fluorescent lamps and energy-savinglight bulbs. It increases load on the grid and requires relay stations.

4. Source: RTE 2007.

5. RTE/Technical results – French electricity supply industry 2006.

INTERCONNECTION:Connection between two national power grids or, in some cases, regional power grids, which are generally synchronous (50 or 60 Hz). Direct current is needed toconnect two asynchronous grids, which ismore complex and costly to implement.

TRANSMISSION:The transmission of electricity from the power plant (nuclear, thermal, hydro, etc.) over long distances and on very high voltage, interconnected grids.

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/ ISSUE 19 / ALTERNATIVES18

Seawater desalination: riding the waves

ENVIRONMENT

DEVELOPMENT

IN BRIEF��

The ultimate encyclopedia on energy

BOOKS

Following on from the 2003 version, AREVA’s “little red book”, written by itsemployees, reflects the new global energy context. Through a clear des-cription of the fundamentals of nuclear technologies and their applica-tions, this handbook gives the reader all the facts needed to assess theadvantages and understand the stakes behind the nuclear power “revi-

val”: global warming, proliferation, the vulnerability of fossil fuel supplies, the skyrocketinggrowth of energy demand in emerging economies... Completely sidestepping controversy andbias, the well-illustrated, educational handbook and its companion DVD make it easy to findinformation and provide full summaries of key points worth knowing and remembering.

CO2 and ocean acidityWhat is the biggest carbon sinkin the world? It’s not our virginforests but our oceans, whichrepresent over two thirds of thecarbon dioxide transfers with theatmosphere. This balance is justas fragile as that of our climate.Since the start of the industrialrevolution, our oceans have ab -sorbed 120 billion metric tons ofCO2. The excess carbon dioxide dissolves in our seas and oceans, raising acidity levels. And then

what happens? The EPOCA project launched by the EU last June inNice is setting out to answer thatquestion. With a 16.5-million eurobudget over four years, the 27project partners – including theCNRS and the CEA – will be study -ing the impact of acidification on marine ecosystems and micro-organisms, particularly planktonand mollusks, whose calcareousskeletons are very sensitive towater acidity. ■

��

19ISSUE 19 / ALTERNATIVES /

www.planete-energies.com Website in French and English //

This educational website – or should we say encyclopedia – by the French group Total offers “everything you need to knowabout energy”. It sounds ambitious, but Total delivers on its

promise, offering a wealth of information in a user-friendly, ergonomic format. Computer graphics are used widely, and there are numerous videos. The quality of the graphics is first-rate in terms of both simplicity and clarity. The same level of quality applies to the commentary, which is also available in text form upon request. Last of all, links to related topics – sustainable development, energyefficiency, expert opinions, etc. – offer a never-ending wealth of information. This website alone could provide in-depth coverage of the topics discussed in this issue of Alternatives. A real treat!

This year, some of the drinking waterin Barcelona actually came from thesea. Container ships from Marseilleand Southern Spain supplied waterto the drought-ridden capital of Cata-lonia, but this was perhaps the firstand last time. As early as 2009, thecity will quench its thirst in the sea.By this time next year, a huge sea-water desalination plant will havebeen built by Degrémont (Suez Envi-ronnement) to supply the 1.3 millionpeople living in the Barcelona region.And this is not at all exceptional!Though the 51 million cubic metersof desalinated water produced world-wide represents less than 1% of the

world’s total water consumption,almost half of the planet’s popula-tion lives on the coast. The numberof countries betting on seawaterdesalination is multiplying. Leadingthe way is the Persian Gulf, whichalready has huge plants that producehalf of the world's desalinated water.But Asia, Europe, Australia and theUnited States are not far behind.Worldwide, desalinated water vol -umes are growing by 15% each year.More than 100 million cubic metersof seawater will have been conver-ted into drinking water by 2015,according to analysts from GlobalWater Intelligence. ■

Everything you always wanted to know about biomass

www.nrel.gov/biomassWebsite in English //

The U.S. National Renewable Energy Laboratory (NREL)website is probably one of the most comprehensivesources of information on biomass, with detailed

content on currently available technologies and how they perform, and a variety of links to other sites, both public (such as the Department of Energy’s biomass section, http://www1.eere.energy.gov/biomass/index.html),or private. The “Student Resources” tab (via http://www.nrel.gov/learning)gives a number of interesting examples and describes different biomasstechnologies in a very educational manner, associating them with university-based programs.

The hard line in sustainable development http://geoconfluences.ens-lsh.frWebsite in French //

Robert Bell takes fiendish (yet always very well-informed)delight in debunking fashionable paradigms as well as blunders,fads and even the occasional sham in the choice of technologies.

It’s well worth taking a look at this aptly-named site. For “Geoconfluences” is indeeda gateway with a geographical approach to a range of themes, including sustainabledevelopment. Though the site was designed by academics, hence its no-nonsenselayout, it is nevertheless very easy to navigate. It will help you understand the geographical dimension of sustainable development in all its facets: scientificreports, documentation, glossary, know-how, interactive geography, resources, references to programs, and the latest in international science and technology. The only thing left to hope for is an English version.

Journey to the center of the electric gridwww.rte-france.comWebsite in French and English //

RTE, France’s transmission system operator, has given itswebsite a more European angle. Now in French and English,the website provides a very detailed yet surfer-friendly

description of its operations within a European context, and includes in particulara brief but clear summary of its role in the Union for the Coordination of Transmission of Electricity (UCTE). Technical aspects, such as the development and maintenance of the power grid or its interconnections with neighboringcountries, are covered as thoroughly as societal issues, illustrating heightenedawareness of environmental and health concerns.In the same spirit, RTE launched the website for the RTE Foundation(http://www.rte-france.com/FondationRTE/an/accueil.jsp), created in January 2008.But it has not neglected its key mission: to provide load curves in real time and long-term power consumption forecasts. The more you click, the more you’ll see just how complex it is to adjust supply to meet demand.

Have Europeans really changed their habits? Are industry effortsstarting to pay off? Or was it justthe mild winter weather? Whateverthe case, EU energy consumptionremained stable from 2005 to 2006according to Eurostat, the EU statistical office. The EU-27 con -sumed 1.825 billion metric tons ofoil equivalent (MTOE), according to a report published in early June

2008. That figure neverthelessrepresents a 7% increase in energyconsumption since 1996. It is also unfortunate that only 14% of the energy consumed comes from renewable sources. The 2007 figures have yet to be issued, but we all know what the EU is targeting: a 20% share of the energy mix for renewables by 2020. ■

Have Europeans come to their senses?

ENERGY CONSUMPTION

✔ Submersion of a sensor designed to monitor pressure, temperature, salinity, fluorescence, etc.

PHOTOVOLTAIC SOLAR ENERGY

Plastic instead of mirrorsCan one capture the sun in a plastic thread? That’s what lumi-nescent solar concentrators (LSC)are setting out to do. These newdevices have been developed byseveral laboratories across theglobe, most notably at the Massa-chusetts Institute of Technology,which has just published its resultsin the renowned journal Science.LSCs offer an alternative to themany mirrors used to focus solarenergy on photovoltaic cells, which

are both fragile and expensive.Consisting of a plastic matrixcontaining trace dyes, LSCs do nothave such problems. The dye mole-cules absorb solar rays and trans-mit them to the photovoltaic cellvia the plastic thread, just like opti-cal fibers. With this breakthrough,researchers believe they will beable to triple the efficiency of solarcells. Before this can happen, theymust work on the dye compositionto prevent energy losses. ■

Two friends make a crazy bet: to “think differently about energy” by lear-ning all about the solutions to harness energy around the globe – in lessthan six months! These two former students from France's prestigious ÉcolePolytechnique met with promoters of the most innovative energy applica-tions. Their adventure reads like a novel: 17 countries on 4 continents, from

Norway to Brazil, interesting characters, colorful dialogue, astonishing tales… alwayswhile trying to understand and explain. Each meeting is turned into a case study: technol -ogy, economy, environment, society, etc. The criteria for energy solutions are explainedin their local context. Both adventure-seekers and educators, Blandine and Elodie havetargeted a very broad public: from 12 to 120 years, or anyone who has the curiosity of the young at heart!

A comprehensive guide to nuclear energyAll about nuclear energy, from Atom to Zirconium

Published by Éditions AREVACOM – 175 pages, with DVD. Sent on request to AREVA, Corporate Communications Department – 33, rue La Fayette – 75009 Paris – France

Pioneering minds that see and create energy differentlyLe Tour du monde des énergies (Energy around the world)

– Blandine Antoine & Élodie Renaud – Published by Éditions JC Lattès – May 2008, 428 pages, 19 euros

© Image Courtesy/Nicolle Rager Fuller, NSF.

KIOSK Read, view, discover

INTERNET FOR MORE INFORMATION ON TOPICS DISCUSSED IN THIS ISSUE

© John Pusceddu/CNRS Délégation Côte d’Azur.

EResearch and energy: innovating for the future…Where will our energy come from in the future? We already know that a combination of different resources and technologies will be needed. Fossil fuels, renewable energies, nuclear power… all will contribute to meeting growing demand. In addition to these existing resources, innovative initiatives to create or recover energy are proliferating in universities, laboratories and research centers. No single one of these is likely to be a solution for producing massive quantities of energy, but together they could constitute a viable alternative. The anniversary issue of our magazine, alternatives 20, will feature a panorama of ideas for the energy of the future, including some surprisingor even outlandish concepts.

E

Your question is quite timely. Itseems that a very promising solu-tion is emerging in Germany, whichis on the cutting edge in windpower. To offset the irregular aspectof this renewable energy, an engi-neer at Bochum University has suggested coupling wind turbinesto hydroelectric plants fed withpumps.The idea is to use the surplus powergenerated by wind turbines, i.e.power that is not fed to the grid, topump water from a lower basin of

the dam to the upper reservoir.Conversely, water would be releasedfrom the reservoir to operate a turbine and generate electricitywhen the wind is insufficient tomeet demand for power.This eco-efficient coupling betweenwind power and hydropower wouldreduce the use of conventional ener-gies habitually used to offset windirregularity – natural gas, coal andfuel oil – by almost 80% in the win-ter and up to 90% in the summer.

Coupling wind and hydro power Has anybody ever thought of using variable-speed wind turbines to move water? Wind turbines are particularly inefficient because the power grid runs at 50 Hz, limiting turbine speed. On the other hand, waterturbines ─ between two dams, for example ─ would not necessarilyoperate at constant speed. For some dams, the use of wind turbines islimited to certain areas (Venturi effect). Even without a wind turbinepump, it should be possible to use a separate, variable frequencypower system that would continuously supply one or more pumps byautomatically coupling turbines to a reservoir. Pumping the waterupstream would help maintain the dam’s energy inventory. Is this ideaalready catching on?Laurent Cayssials

Demand for uranium has exceededsupply since the end of the eight -ies. Mine production covers 64%of the needs of the 435 commer-cial reactors connected to the gridworldwide, or about 66,500 metrictons of uranium each year. The restcomes mainly from defense inven-tories – in the wake of the 1994disarmament agreements betweenthe United States and Russia – andfrom used fuel recycling (MOX) andprivate inventories. With world-wide nuclear power generationexpected to double by 2030, this

chronic deficit will not abate any-time soon.In addition, trading companies andinvestment funds speculate on thespot price of uranium in anticipa-tion of a “revival” of nuclear powerand the construction of new powerplants around the globe – in Europe,the United States, Asia, SouthAfrica, etc. This helps boost thebase price of multiyear contracts.Current prices also reflect the mas-sive capital expenditures involvedin developing new deposits.

Uranium, plentiful but expensive…Why have we seen such an increase in uranium prices over the lastfew years when:1/ uranium resources are sufficient for centuries to come;2/ unlike oil, uranium deposits are well distributed on the planet;3/ new technologies, such as MOX fuel, can conserve resources;4/ the geopolitical context is benign.Christian Amargier, 69100 Villeurbanne, France

Well behind nuclear power, whichaccounts for nearly 77% of France’spower generation, fossil fuels areused to fuel combustion plants(“conventional” thermal powerplants), mostly to produce peakpower. In 2007, thermal powergenerated 10.7% of France’s elec-tricity (544.8 TWh). Coal represen-ted the bulk of this production

(39.4%), followed by natural gas(36.6%) – which has made signi-ficant gains with the developmentof cogeneration – and finally fueloil (8.9%)Thermal power peaked at 15% oftotal power generation in Decem-ber 2007, the coldest month of theyear, and was down to 6% of totalproduction in August.

Thermal power for peaksCould you tell us how much of France’s electricity is generated by fossil fuels?Richard Delaite, student teacher (question received by e-mail)

(Source: World Nuclear Association, NEA/OECD).

(Source: Bochum University).

✔ The first light-emitting glassThe sculpture was realized with the first light-emitting glass Planilum that Saazs developed withSaint-Gobain Innovations. It provides 50,000 hours of light, or 20 years of use under normal conditions.

Answers… to your questions

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