Introduction:
Syria’s energy sector is experiencing one of its most difficult periods in decades, due to the significant deterioration of the electrical infrastructure during the years of war and the decline in gas and fuel production needed to operate conventional power plants. This situation has led to a wide gap between supply and demand, resulting in prolonged power outages, high operating costs, and immense pressure on the national economy, including the agricultural and vital industries sectors. In light of this reality, renewable energy sources, including wind power, become a strategic option to help bridge the gap and alleviate pressure on the electrical grid, in addition to their role in supporting the reconstruction phase. Wind projects are characterized by low operating costs, rapid implementation, and the ability to provide stable energy in the long term if supported by energy storage facilities and integrated with other energy generation sources. This increases the sustainability of electricity supplies, achieves greater balance in the electrical grid, and reduces the demand on traditional electricity generation sources.
Wind Energy Potential in Syria, Promising Areas and Technical Capabilities:
Syria is among the countries with good wind potential in the Middle East. Previous studies, including the National Wind Atlas, 1989 and measurement campaigns conducted between 2004 and 2006, have shown annual wind speeds ranging from 7.5 to 9 m/s at a height of 40 m A.G.L, increasing to more than 10 m/s at heights between 80 and 100 m A.G.L, according to the Global Wind Atlas.
Key Promising Areas for Large-Scale Wind Projects:
- The wind corridor extending from Homs to the banks of the Euphrates River deep in the Syrian Desert, specifically the northern slopes of the Palmyra Mountains, in addition to Al-Dahik mountain area near Al-Sukhnah. These areas possess the highest wind potential in the country, with relatively open topography and low turbulence levels, according to the Global Wind Atlas. This area also includes Al-Bal’as mountain region northeast of Homs.
- Qatina and Sindiana areas in the western Homs countryside.
- Southern areas such as Al-Hijana (Damascus countryside), Ghabaqib (Daraa countryside), and Al-Arab mountain region (As-Suwayda countryside).
- Some areas in the north, such as the Bab al-Hawa area in (Aleppo countryside) and some areas northwest of Idlib city.
This geographical diversity allows for the development of projects with a capacity exceeding 2 gigawatts in the coming years, provided the legislative and financial environment is available.
The Legislative Framework and Government Incentives:
- Syria has issued several laws supporting renewable energy, most notably:
- Electricity Law No. 32 of 2010, which allows the private sector to generate and sell electricity.
- Renewable Energy Law No. 50 of 2019, which provides customs and tax exemptions and defines tariff mechanisms.
- The Feed-in Tariff, which was established for small and medium-sized projects but remains insufficiently clear regarding large projects (Utility-Scale).
- The strengths of this framework include allowing investors long-term ownership and operation and significant customs exemptions. There is also a clear government desire to support renewable energy projects. However, this framework is criticized for the lack of a clear tariff for large-scale wind farms (utility-scale), the absence of an effective payment guarantee mechanism, and the need to update the laws to align with current international investment practices.
Key Challenges Facing Investors:
- Challenges in wind resource assessment and a lack of an up-to-date measurement network: One of the most significant challenges facing investors in Syria’s wind energy sector is assessing wind resources and the absence of up-to-date and comprehensive measurement network. Most available data relies on very old measurements or limited measurement campaigns conducted in previous periods, making it difficult to get a clear picture of the wind resources at the targeted areas. This lack of data means that investors may face challenges in properly and reliably assessing project feasibility, thus increasing the level of risk when making investment decisions. Therefore, developing an up-to-date wind measurement network and expanding the scope of reliable measurement data is vital and a key factor in reducing risks and uncertainty and encouraging investment in this sector.
- Geopolitical Risk Challenges: The unstable political environment (despite its recent improvements) forms a major obstacle for large international investors, particularly when it comes to securing capital insurance and project implementation
- Financing Challenges: Wind projects require substantial investments (US$1-1.3 million per megawatt). The lack of international funding and the sanctions restrictions that have not yet been fully lifted make obtaining low-cost financing complicated.
- Challenges of electrical interconnection: The weak grid in many areas and the need to build new transmission lines at various voltage levels, especially 66 kV and 230 kV, coupled with low short-circuit current levels, impose additional constraints. Low short-circuit current levels mean that the grid’s ability to withstand sudden fault currents is limited. This affects the grid, making it require additional reinforcements such as reactors or capacitors in substations to improve voltage stability, or the construction of additional transmission lines. As for the wind farm itself, it needs advanced protection systems such as circuit breakers and fault-ride-through systems to ensure stability. In addition, technologies such as SVC (Static Variable Volume Compensator) or the more advanced STATCOM (Static Synchronous Compensator) are used in wind farms to compensate for power fluctuations and prevent effects like voltage flickering, thus ensuring grid stability and protecting the farm from rapid fluctuations.
- Logistical challenges: These include transporting wind turbine components (especially towers and blades) and securing the necessary equipment. This all requires suitable infrastructure, roads, and specific equipment and machinery.
- Operating and maintenance cost challenges: One of the main challenges that investors in the Syrian wind energy sector may face is the issue of high operating and maintenance costs. Although wind energy is a competitive long-term option, the costs of periodic and corrective maintenance of key components (such as blades, gearboxes, and other components) in addition to operation costs, can represent 20% to 30% of the total cost of electricity production over the project’s investment life. In addition, Syria’s relative distance from the countries that manufacture turbine components adds extra logistical costs, increasing the burdens related to operation and maintenance. This means that ensuring the availability of spare parts and maintenance services may take longer and cost more, especially since it may involve partial production shutdowns while spare parts are secured and maintenance work is carried out. This is an additional challenge that must be considered and factored into economic feasibility calculations.
Competitive Advantages of Wind Energy Compared to Other Energy Sources:
- Low Cost of Production (LCOE) compared to diesel, fuel oil, and gas.
- Rapid Implementation: 12-24 months for fully commissioned wind farm, depending on its size.
- High productivity in suitable locations, where capacity factors can reach values ranging from 35-45% in some sites.
- Independence from fossil fuels, which reduces pressure on the balance of payments.
- It requires significantly less land (per megawatt) compared to solar energy.
The limited availability of gas and the uneconomical use of diesel and fuel oil increase the competitiveness of wind energy, especially since it is a clean and renewable resource.
Proposed measures to facilitate financing for wind energy projects:
- Adopting BOO (Build-Own-Operate) projects with government guarantees.
- Regional partnerships with countries that have leading companies, such as Turkey, Saudi Arabia, Qatar, and China.
- Joint investment funds that combine local and foreign capital with foreign expertise and develop local expertise.
- Linking projects to industrial zones, where possible, to ensure the sale of the generated energy. This often guarantees a permanent buyer (off-taker), ensuring the investor sells a larger share of the generated energy, thus mitigating the risks associated with unsold energy or selling it at unstable prices.
- Providing sovereign payment guarantees and expanding the role of local banks. These guarantees, offered to investors or financiers by the government, assure them that in the event of default and the project operator’s inability to pay, the government will intervene and settle the outstanding dues. This reduces investment risks through financing and encourages investment in this sector. On the other hand, this will also incentivize local banks to play a larger role in renewable energy projects, including wind energy projects, by providing full or partial financing.
Adopting a variable tariff mechanism linked to the dollar. This will reduce exchange rate risks.
Analysis of Results:
- The significant electricity deficit makes wind energy a necessity, not a luxury.
- Historical measurement records, the National Wind Atlas, and the Global Wind Atlas confirm the existence of good and viable wind resources for investment.
- To address the challenge of assessing wind resources, a new national measurement network can be established. This network should utilize a combination of LiDAR devices and a number of standardized measurement towers, adhering to relevant international standards, at carefully selected locations. The data should be centrally managed through a clear Quality Assurance/Quality Control (QA/QC) program. This will enable the development of an up-to-date and reliable database, enhancing investor confidence, increasing the attractiveness of wind energy projects, and reducing their risks.
- Legislation is encouraging but needs radical updating to accommodate large-scale projects.
- Geopolitical and financing challenges are the biggest obstacles, but geopolitical challenges are expected to decrease in the very near future as the country moves rapidly towards political stability. Financial challenges can be overcome through regional partnerships and adoption of modern financial models.
Wind energy offers a good balance of cost, return, and sustainability in light of the current conditions in Syria.
Conclusion:
Despite the challenges, Syria has a real opportunity to make wind energy a cornerstone of its energy sector reconstruction. Wind resources are plentiful, technology is available, and costs are lower than ever. If the legislative framework is updated, the investment climate is improved, sanctions are completely lifted, and international financing is made available, Syria can gradually transition from a crippling electricity crisis to a sustainable and efficient electricity sector. The future of investment in wind energy in Syria is an economic and strategic choice linked to the future of reconstruction.
