General Framework

• The European Directive on Electricity from Renewable Energies (RE) has been definitively adopted in September 2001. It sets the contribution of the renewable energies for France which should increase from 15% in 1997 to 21% in 2010;
• The National Scheme for the Improvement of Energy Efficiency (PNA2E) has been implemented by ADEME upon the government’s request. The implementation of the FIDEME special fund (listed in the PNA2E) for subsidies granted to the SMEs will only become a reality in 2002, and only after obtaining the agreement of the European Commission;
• New purchasing rates have been proposed in October 2001 by the Ministry of the Industry for photovoltaic electricity: 0,15 EUR per kilowatt-hour in mainland France and 0,30 EUR per kilowatt-hour in the overseas departments and Corsica. These are regions where electricity is expensive to produce;
• In December 2001, EDF, the electricity company has officially presented, “Agenda 21,” which defines the guiding principles of its actions and its decisions, thus making sustainable development a major strategic orientation. Renewable energies will have a part in this policy;
• Within the framework of the “Electricity Utility Company Modernization” law, a regulating authority has been established: the Electricity Regulation Commission (CRE). It has the task of monitoring the opening of the electricity market in view of guaranteeing fair competition and overseeing to service quality and electricity costs.

Within such a context, the French Agency for Environment and Energy Management (ADEME) has been able to strengthen the photovoltaic solar electricity (PV) promotion that the government has entrusted it with. Together with its financing partners, ADEME is preparing the launch of a new 5-year programme aiming at the implementation of 15 MW of grid-connected photovoltaic systems integrated into the buildings and involving a financial support on investment for 2002.
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The ADEME Programme

The research and technology development (RTD) actions undertaken by the industrial and public partners are designed for cutting the manufacturing costs of the different components and increasing their performance and quality.

In order to open the markets, ADEME’s policy consists of providing, together with other partners, financial subsidies, specific technical and economical information and training for two types of applications:

• The photovoltaic system installations in isolated sites outside the electrical networks, in cooperation with the FACÉ fund, the regional authorities, EDF, etc.;
• The installation of photovoltaic systems integrated into buildings and connected to the grid: firstly, within the framework of a demonstration project financed by the European Commission and after, based on this experience, as part of a more ambitious programme of installation of grid-connected “photovoltaic roofs” which will be operational in 2002.

Research and Development

• Materials and processes for the industrial manufacturing of multicrystalline silicon photovoltaic cells: "PV–16" project (Photowatt International in co-operation with the public laboratories of the CNRS);
• Materials and manufacturing processes of thin film photovoltaic cells: 1) Monocrystalline silicon film: " Succes " project (Cea-Genec and INSA Lyon). 2) Heterojunctions based on amorphous and crystalline silicon: " Hermes " project (Cea–Genec and CNRS). 3) Cells based on Cu-In-Ga-Se prepared by electrodeposition: " Cisel " project (EDF-EMA, CNRS and Saint-Gobain Recherche). 4) Cells based on organic polymers (Cea-Lco, CNRS and Universities);
• Engineering of photovoltaic systems: management and control of the energy flows, converters, inverters (Apex Bp solar, Total Énergie, Transénergie, Cea-Genec, Armines, CNRS) ;
• Storage batteries adapted to photovoltaic applications: charge/discharge protocols, monitoring of ageing, reliability test, measure of the charge conditions (Ceac, Apex Bp Solar, Cea-Genec, CNRS) ;
• Multisource, stand alone village electrification systems for individual uses, water pumping (Transénergie, Total énergie, Armines, Cea-Genec) ;
• Accompanying studies on tests, return of field experiences, global management of the of PV systems network, granting of a concession, reliability of the systems and development of standards (Cea-Genec, Armines, PHK, IED, FONDEM, SERT, Costic, etc.).

The French Atomic Energy Agency (CEA) has shown a voluntarist policy in the field of renewable energies through the creation of a programme dedicated to the new technologies of energy. The Genec laboratory (Genec) has integrated into its mission new research works on photovoltaic cells (see above) and has increased its headcount. The close collaboration established between the public research establishments CEA and CNRS on these new projects are giving a new impetus to the French photovoltaic research.

For its part, in June 2001, the CNRS has concluded the ECODEV multidisciplinary research programme on energy and the environment, and began a discussion on how to pursue its involvement in the photovoltaic sector.

The “Électricité de France” Company has been mobilizing on two activities. The research works on the Cu-In-Se thin films obtained by electrodeposition in cooperation with Saint-Gobain Recherche and the CNRS, and the International Standardization File. For the latter, since the “ Technical Specifications for the Use of Renewable Energies in Rural Decentralised Rural Electrification “ have been recognized as publication IEC-PAS 62111 of the International Electrotechnical Commission (IEC), a group for coordinating the technical committees IEC/TC82 (photovoltaic electricity), IEC/TC21 (storage batteries) and IEC/TC88 (wind energy) has been established in order to create the IEC 62257 Standard in this field.
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Implementation

• ADEME
  In order to allow a coordinated action of the different public players in the photovoltaic sector, the ADEME has implemented outline agreements with the CEA, the CNRS and EDF.
  As far as the subsidies provided for opening the market are concerned, the ADEME relies on partners such as the regional authorities with which State-Region plan contracts have been signed that include commitments in the renewable energies promotion programme.
  The main sources of public financing that allow the installation of photovoltaic systems, are primarily the FACÉ fund and the Tax Exemption Law in the overseas departments. In addition, the complementary supports provided by the regional authorities, the ADEME, the European Commission and EDF (isolated sites in "urban scheme" which includes a subsidy lower or equal to 40 % of the cost of the installed system). The subsidy granted by the FACÉ fund is equal to 70 % of the cost of the installed PV system. The number of cases submitted to the FACÉ fund selection committee for the isolated sites in 2001 has declined against the previous year. This is due to saturation of the potential market. The average cost of the PV systems installed has decreased at 18-20 EUR per watt. The photovoltaic power installed and benefiting from the tax reductions entitled by the tax exemption law in the overseas departments (DOM) remains stable: about 800 kW per year.
  For the grid-connected photovoltaic systems, the Hespul users’ association still acts as a driving force in the promotion of projects that receive the financial support of the European Commission, the regional authorities and the ADEME: there has been about 300 kW installed during 2001, at an average cost of 7 EUR per watt. On the other hand, also during 2001, the ADEME prepared an aid system aiming at the dissemination of grid-connected photovoltaic systems. This system should be operational in 2002. In this context, photovoltaic systems will be the subject of two types of support granted by the ADEME:
  • Either for support of selected projects within the framework of European tenders restricted to 4,6 EUR per watt (basic grid-connected PV system) and 6,1 EUR per watt (grid-connected system with safety storage)
  • Or within the framework of a subsidy, in the absence of European Commission financing on tenders, equal to 4,6 EUR per watt which could be increased to 6,1 EUR per watt in the case of a grid-connected PV system with safety storage. These levels should be taken as all public subsidies included. In mainland France, these aid rates will decrease as of 1 January 2005, at 3,8 EUR per watt (basic grid-connected) and 4,9 EUR per watt in the case of a grid-connected PV system with safety storage. A power ceiling will be applied, that is to say 5 kW for individuals and 30 kW in the community/tertiary sector. Beyond these ceilings, a case-by-case analysis will be carried out. The specifications established by the ADEME will determine the design, size and installation rules, as well as specific safety rules and technical measures for integration into the building, which is to be taken into account.
  In any case, for the overseas departments, these aids will be granted, in the competitive sector, within the limits of the aid rate admitted by the local authorities (department counsels, regional authorities) calculated on the basis of the accepted costs and raised by 10% for the SMEs.
  In continuing its role in information dissemination, the ADEME brought together all the players in the photovoltaic industry in France during two technical seminars: in June and in November 2001 at Sophia Antipolis, where 160 people became acquainted with projects now under way: field operations, specific R&DT studies and projects. The ISIS database, which includes the financial, technical and sociological data relating to the systems installed with the FACE public fund, has been presented to the profession. The ADEME has published two booklets in 2001: 1) a bilingual guidebook containing recommendations on “The Protection of Photovoltaic Installations Against Lightning.” This guidebook will fuel the discussions of the working group (Task) 3 of the International Energy Agency (IEA) Photovoltaic Power System Cooperation Programme and should become, after possible amendments, a guidebook with an international scope; and 2) an illustrated booklet on the “Applications of Photovoltaic Solar Energy,” which describes the different uses of photovoltaic systems and includes technical and financial indications designed for local communities.

• Hip-Hip Demonstration Project
  The "Hip-Hip" project benefits from the support of the European Commission: its aim is to install 500 kW of photovoltaic systems integrated into buildings and connected to the grid in each of the six participating European countries (www.hip-hip.net). In France, the players are Photowatt, EDF, Total Énergie, Apex Bp Solar, CSTB (Scientific and technical Centre of the Building industry), Genec, Hespul, Transénergie, IED and Sunwatt. In 2001, the power of the projects that has been subject to a participating agreement in France was 220 kW.
  The majority of the installations are on slope roofs. They are broken down in equal share between new and old buildings and industrial and private buildings. The project is advancing according to the planned time schedule but the installed costs targeted at the end of the project had to be revised on the up side at 5,45 EUR per watt instead of 5,00 EUR per watt since the partners supplying the photovoltaic modules could not achieve the cost objectives initially set.
  The work groups, which were the subject of studies between the partners, were: end-user issues, impact of the grid, non-technical barriers, certification of the systems integrated into buildings. The experience gained during the HIP-HIP project will be used as a basis for the new programme that the ADEME envisages to launch in 2002.

• Électricité de France
  In 2001, EDF launched the ACCES (Access to Electricity and to Services) programme. ACCES consists of developing and implementing a group of profitable decentralized rural electrification projects in developing countries villages remote from the grid. Each project will lead to the creation of a DSC (Decentralized Services Company); a local structure for the exploitation of the services provided to the concerned populations. This resorts to local and renewable energies among which photovoltaic power is preferred. By year-end 2003, the ambition of ACCES is to allow access to electricity from more than 300 000 people within a selection of countries.
  It should be recalled that in June 2000, the ADEME and EDF have signed a new outline agreement with a three-year duration, which aims at encouraging the development of energy efficiency, environmental quality and renewable energies. The agreement has raised 85 million Euros and is financed at parity by both partners.

Industry Status

• Photowatt
  In 2001, this company defined new objectives together with its new management team. The production of photovoltaic cells was 13,4 MW in 2001 and the production rate at the year’s end was 20 MW per year. The goal set is to reach a production level of 32 MW of photovoltaic cells per year in 2004. New manufacturing processes of cells emanating from the " PV-16 " R&TD project supported by the ADEME will be integrated into the production tool which will produce photovoltaic cells of a larger size (up to 15 cm x 15 cm), thinner (thickness smaller than 200 µm), with a better conversion efficiency (14% to 15%) and at a better direct production cost (under 1,2 EUR per watt).
• Free Energy Europe
  This company manufactures about 500 kW of amorphous silicon modules with a stabilized power of 2 W, 4 W, 6 W and 12 W as well as several types of systems designed for rural electrification. New 19 W modules using tandem junctions have been tested in view of meeting the IEC 61646 International Standard requirements before being launched on the market as early as 2002.
• Total Énergie and APEX BP Solar
  These two photovoltaic companies specialize in the development of components and the sale of turnkey systems. They are closely involved in the ADEME's promotion policy together with their subsidiaries in the overseas departments and territories.

Market Development

The peak power of the photovoltaic systems installed during the year 2001 was about 2 MW which brings the total operational capacity in France to 13 MW; of which almost 1 MW is part of grid-connected photovoltaic systems. However, the results for 2001 remain modest for the rural electrification projects outside the grid benefitting from a FACÉ fund financing. A decrease in the number of electrification projects can be observed, as most of the sites that could benefit from public aids have already been equipped. The new programme of dissemination of grid-connected PV systems prepared by the ADEME for 2002 will enhance the photovoltaic activity.
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Future Outlook

The RTD effort has been pursued through a commitment on the new technology projects relating to the photovoltaic cells. The PNA2E national scheme, the European directive and the new photovoltaic solar electricity purchasing rates have allowed the ADEME to envisage new types of financial aids which should permit the launch of a dissemination programme of the photovoltaic applications connected to the grid. The installation, over 5 years, of 15 MW of grid-connected PV power systems is the goal set by the ADEME but the programme will only be launched in 2002. This new initiative has received a warm welcome from the photovoltaic industry.
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Further reading about France

• France - Country information