Thin film, silicon, concentrated solar power (CSP), concentrated photovoltaics (CPV), ... These are just some of the terms demonstrating that solar technologies are rapidly entering the electricity system in countries such as the United States, Spain or Australia. Furthermore, the largest improvements, which will bring generation cost closer to competitive prices are just around the corner. This webinar is dedicated to utility scale and baseload solar technologies: CSP and CPV. What is the status of these technologies, their improvement potential and perspectives for the future? What are the running projects and expectations in terms of market development? How is the levelized energy price expected to evolve in the near future to reach grid parity? Additionally, more practical aspects will be presented, as the conditions required by a CSP project to be viable or the keys to successfully finance the project. After this briefing presentation, a discussion with participants will be launched on questions such as storage capabilities and system operation. Other questions from attendees are welcome to guide the discussion.

1. June 08 Bulk Solar Power Generation : CSP and CPV technologies Fernando Nuño European Copper Institute [email_address]

3. Solar resource available : much more than we need The Earth receives from solar radiation in 10 days as much energy as the known fossil reserves

4. Solar roadmap – Increasing role in the coming years

5. Where does concentration technology make sense? Annual Direct Normal Irradiation Source : NASA

6. Where does concentration technology make sense? Source : Schott Solar

8. Why solar energy fits well in hot climates Spanish average load profile vs average irradiation Source : Red Eléctrica de España

10. Solar technologies and market share

13. CSP Technology overview Parabolic Troughs Parabolic Dishes with Stirling Engine Central Tower Fresnel Concentrators

14. CSP Technology review Parabolic Troughs Structure Parabolic Mirror Receiver

15. CSP Technology review Parabolic Troughs Solar Field Power Block

16. CSP Technology review HFT (Heat Transfer Fluid) Technology in commercial operation Parabolic Troughs Melted Salts Hot Storage Solar Field Melted Salts Cold Storage Steam Generator Steam Turbine Superheated Steam (100 bar, 380ºC) Reheated Steam (17 bar, 371ºC) Condenser Pre-heater Re-heater Oil Expansion Tank Deaerator Oil 395ºC Oil 295ºC

19. CSP : Project Development – Site issues Typical configurations Solar Field Power Block

21. CSP : Project Development – Engineering, Procurement & Construction Preliminary Basic Engineering Basic Equipment Purchase Construction contracts In-Depth Engineering Supply of equipment - Construction Commissioning and test period Execution period : 24 months Maturing + Execution period : 36 - 44 months

22. CSP : Project Development – Grid Access Guarantee: 20 €/kW Request to recognition of dispatchability RE – PO 08/2007 (see next slide) Request for Access to the grid TSO provides the conditions for grid access Spanish System Project Developer presents its project Project Developer asks for connection point TSO provides connection point

25. CSP - Project Development – Storage optimisation

26. CSP - Project Development – Contractual structure and Project Finance CONTRACTS Engineering Procurement & Construction (EPC) Turn Key Contract Separated Packages negotiated by Project Developer Operation & Maintenance Grid Connection Fuel Procurement

28. CSP - Project Development – Contractual structure and Project Finance Contractual Structure Project Developer Financial Entity Legal Advisor Technical Advisor Insurance Advisor Environmental Advisor Turn Key Main Contractor Solar Field Thermal Storage Power Block Civil Work Electrical Systems PROJECT Fuel O&M Insurance Electricity Sales

41. CPV - Advantages No water needs Time to Operation Less sensitive to hot climates Modular / Scalable

45. CPV – Components: Concentrator - Technologies Lens Mirror Low Concentration Cassegrain

46. CPV – Components: Concentrator - Technologies Central tower CPV Developed by Solar Systems in Australia

49. CPV – Area reduction For the same surface, almost 50% more installed power To reach the same power, 30% less need for materials

50. CPV – Cost reduction expectations Investment costs to be cut by 3 in 10 years Source : Concentrix

51. CPV – Cost reduction targets

52. CPV – Market growth – some examples EMCORE

53. CPV – Market growth – some examples GUASCOR FOTON

54. CPV – Market growth – some examples SOL 3G

56. Comparative CSP - CPV 2 2 2 – 2,5 (more if storage) 2,5 – 3 (more if storage) Land use (Ha / MW) No water No water Similar to parabolic trough 6 m3/MWh Water consumption No Possible (any fuel) Possible (any fuel) Possible (any fuel) Hybrid design No ? Thermal : Possible Thermal : Possible Integrated Storage Yes, with huge amounts of MW available in coming years Only prototypes Soon Yes Commercially available Current : 25 % Soon : > 30 % 31% 23% 21% System Efficiency (electricity / solar) PV effect, no thermal 700ºC 600ºC 395ºC Operating Temperature 10 kW – 20 kW per tracker. Scalable 5 – 40 kW per dish. Scalable 20 – 100 MW 20 – 300 MW Power Range CPV Stirling parabolic dish Central tower Parabolic troughs

57. Comparative CSP - CPV 120 – 150 €/MWh in South Europe. Lower in sunnier locations In line with parabolic troughs In line with parabolic troughs 200 €/MWh in South Europe. Lower in sunnier locations Expected LCOE by 2020 300 €/MW in Souht Europe. Lower in sunnier locations ? ? 260 €/MWh in South Europe – 180 €/MWh in MENA Current LCOE (Levelized Cost of Energy) 6 – 7 €/W 14 €/W 4 – 6,5 €/W 4 – 6 €/W (according to storage size) Current investment cost CPV Stirling parabolic dish Central tower Parabolic troughs

59. Thank you!