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Solar Solar Energy Technologies Program
                                              Energy Technologies Program



     U.S. Department of Energy
Concentrating Solar Power Subprogram
          Program Overview

           Thomas Rueckert
 Solar Program Operations Team Lead

              May 6th, 2010
      CSTP Conference - San Diego, CA
Solar Program Budget
Sub-Elements




                                                                                      Distributed Generation
                                                  Photovoltaics (PV)
                                                                                     - on-site or near point of use -



       DOE                                                             Market Transformation
       SETP                                                             System Integration



                                                 Concentrating Solar
                                                                                     Centralized Generation
                                                   Power (CSP)                          - large users or utilities -




U.S. Department of Energy Solar Energy Technologies Program
CSP Subprogram

   CSP Goals and Priorities
Vision:
         – Inexpensive power generated from CSP technologies is transmitted
           throughout the country to provide a significant percentage of the
           country’s electrical power, reducing the country’s emission of CO2 while
           creating millions of jobs.

Goals:
         – Competitive in intermediate power market by 2015-2017
         – Low cost thermal storage in support of the intermediate power market
           goal
         – Competitive in baseload power market by 2020

Priorities:
         – Lower cost through R&D
         – Develop low cost storage options
         – Lower cost by helping reduce barriers to deployment of projects

U.S. Department of Energy Solar Energy Technologies Program
CSP Goals for Utility Power




                                                                                           The goal of the
                                                                                           CSP sub-program
                                                                                           is make CSP
                                                              CSP LCOE with
                                                              standardized financial
                                                                                           competitive in the
                                                              assumptions                  intermediate
                                            
                                                                                           power market by
                                                                                           2015 and in the
                                                                                          baseload power
                                                                                           market by 2020.




U.S. Department of Energy Solar Energy Technologies Program
CSP Research and Development

  R&D is targeting technical obstacles in an effort to
  improve performance and reduce costs of CSP:

  Line Focus
  Research objectives: Optimize receiver and concentrator
   designs for higher temps, increase component suppliers,
   evaluate new heat transfer fluids, and create advanced
   evaluation capabilities
  Point Focus
  Research objectives: Improve engine reliability and system
  manufacturability and develop next-generation dish system
  designs; test new tower receiver panel and explore low cost
  heliostat options
  Storage
  Research objectives: Develop advanced heat transfer fluids
  for more efficient operation at high temperatures and test
  innovative designs for low-cost storage using sensible and
  latent heat options

U.S. Department of Energy Solar Energy Technologies Program
CSP Market Barriers
   Land Access
   Co-leading a programmatic environmental impact statement with the Bureau of Land
   Management to help make suitable federal land available for solar project development

   Transmission Access
   Working with DOE’s Office of Electricity, Western Area Power Administration, Western
    Governors’ Association, and states to identify best locations for transmission corridors

   Resource Assessment
   Improving satellite data, obtaining ground data from additional sites, forecasting

    Cost
    Without incentives, current cost for large-scale CSP power is prohibitively high

   Water
   Water resources are scarce in the locations that are otherwise optimal for CSP


U.S. Department of Energy Solar Energy Technologies Program
DOE’s Roadmap for CSP

                Technology                                    FY2008-FY2010                FY2011-FY2014                 FY2015-FY2020
                                                     Establish/expand U.S. supplier    Develop next-generation     Develop advanced
                                                     base through manufacturing        system capable of 450°C     collectors, receivers,
 Trough
                                                     initiative, optical testing to    operation integrated with   selective coatings, and
 Systems
                                                     optimize receiver and             molten-salt storage.        working fluids designed to
                                                     concentrator designs                                          operate at 550°C.
                                                     Evaluate new concepts (e.g.       Down-select best            Integrate high temperature
                                                     CLFR, distributed power tower),   options, support            CSP systems with advanced
 Advanced
                                                     test components, develop dish     prototype designs,          gas turbine/CC technology,
 Technology
                                                     technology designed for mass      identify key technology     reduce system cost through
 Systems
                                                     production                        improvement                 RD&D and manufacturing
                                                                                       opportunities.              initiative.
                                                     Develop thermocline thermal       Adapt storage system to     Develop advanced thermal
                                                     storage, evaluate two-tank        advanced technology         storage up to 550°C for
 Thermal
                                                     molten salt system, develop       design, address cost,       troughs and up to 1200°C for
 Storage
                                                     new storage medium and heat       performance, operation      advanced CSP/CC
                                                     transfer fluids                   and O&M issues              technologies.

                    Supporting Market Transformation Activities:
                    •    Support State and utility deployment efforts
                    •    Work with Loan Guarantee Program to adapt loan guarantees to industry business process
                    •    Work with BLM, State and local governments to mitigate land and permitting barriers
                    •    Provide resource assessment to industry and utilities
                    •    Provide analyses supporting CSP access to transmission
U.S. Department of Energy Solar Energy Technologies Program
DOE Funding for Concentrating Solar Power




                      120
                                                                                                            Solar Demo Zone
                      100
                                                                                                      Baseload FOA
                        80
                                                                                               Capital Equipment
Budget (Million $)




                        60
                                                                                           Storage FOA
                        40
                                                                                   CSP R&D FOA
                        20

                          0
                                     FY02            FY03            FY04           FY05      FY06   FY07    FY08   FY09   FY09-R   FY10   FY11




                     U.S. Department of Energy Solar Energy Technologies Program
Budget Distribution




U.S. Department of Energy Solar Energy Technologies Program
Budget Distribution

           120,000

                                                              $ 103 M
           100,000


                                                                         Demonstration Zone
             80,000
                                                                         Market & Analysis

                                $ 55 M                                   Mgm't & Facilities

             60,000                                                      Baseload FOA
                                                                         Storage
                                                                         Tower
             40,000                                                      Dish
                                                                         Trough


             20,000



                      0
                                        FY10                      FY11



U.S. Department of Energy Solar Energy Technologies Program
2010 Budget Activity Level ($55M)




    Mgm't &
    Facilities                                                                                   University
                                                                          Funding Recipients
      4%                         Demo &
                                 Deploy                         Trough
                                  12%                            25%

                                                                                                 Labs


                   Baseload                                                           Industry
                     FOA
                     27%                                           Tower
                                                                    8% Dish
                                                                         4%
                                                      Storage
                                                        20%




U.S. Department of Energy Solar Energy Technologies Program
Parabolic Trough Example

   50 MW AndaSol-1
   Parabolic Trough Plant w/ 7-hr Storage in Andalucia, Spain




U.S. Department of Energy Solar Energy Technologies Program
Power Tower Example

   Abengoa PS10 and PS 20
   Seville, Spain




U.S. Department of Energy Solar Energy Technologies Program
Dish Engine Example

   1.5 MW SES Maricopa Solar Dish Stirling System
   Peoria, AZ




U.S. Department of Energy Solar Energy Technologies Program
CSP 2007 and Storage Solicitations


 Lay the framework to exceed DOE goals through advanced CSP concepts
 •       Applicants may propose either an entire system or focus on a component of a
         CSP system.
 •       Objective is to identify and develop new approaches that could dramatically
         lower the cost of CSP.
 •       Enable new technologies to position CSP to be the economical solution for
         baseload national energy consumption post 2015

 Provide funding to develop thermal storage technology to increase the
    dispatchability of CSP technology within the electricity grid.
 •       Develop low cost, high temperature storage that enables trough technology to
         reach its 2020 cost goal.
 •       To achieve the goal, storage cost of less than $15/kWh thermal is desired with
         round trip efficiencies at or greater than 93%.

 Establish a United States based manufacturing infrastructure for low cost
    CSP trough components.
 •       Lower the cost of major components of a trough system and to establish
         manufacturing capability of those components in the United States.

                                                                                          15

U.S. Department of Energy Solar Energy Technologies Program
CSP Industry R&D Projects




U.S. Department of Energy Solar Energy Technologies Program   Slide 16
National Labs Research

     •      Goal: Support industry in development of CSP technology
               –     Build lab staff to enable research and development on near and mid-term
                     technology
               –     Add and improve lab facilities to support component prototype test and evaluation
               –     NREL and Sandia cooperate on most major programs and interact with industry as
                     a single lab (SunLab)

     •      Lab Budget: FY10 $19M, FY11 $20M (including CSP market transformation tasks)
               –     NREL - $9.7M,
               –     Sandia - $8.5M,
               –     Argonne - $0.85M

     •      Major Programs:
               –     Materials research in reflectors, receivers, storage media (NREL lead)
               –     Trough collectors, optical tools, development of standards (NREL lead)
               –     Towers: system analysis, heliostat & receiver development (Sandia lead)
               –     Storage: system concepts, (NREL, Sandia co-leads)
               –     Dish – support 25 kW dish Stirling project (Sandia Lead)
               –     PEIS – analysis of BLM land suitable for solar projects (Argonne lead)



U.S. Department of Energy Solar Energy Technologies Program                                       Slide 17
Baseload Solicitation
  (TBD awards Feb 2010)
 Goal: develop CSP system capable of competing in the baseload power market by 2020 to
     displace coal, a major source of CO2 emissions
 Budget: $15M in FY11, $15M in FY12, $52M total over 4 years
 Program Controls: each award broken into 3 phases (feasibility, engineering
     design, prototype test/evaluation) with a stage-gate review at end of each, peer review
 Strategy:
 – Systems must have a capacity factor of 75% (10+ hours of storage)
 – Cost of competing power estimated at 8-9 cents/kWh (assuming restriction on coal
     emissions requires sequestration that raises cost of coal power)




U.S. Department of Energy Solar Energy Technologies Program                               Slide 18
CSP Demonstration Solicitation &
 Site Selection (TBD awards Oct 2010)

   Goal: demonstrate innovative CSP technologies that lowers the cost of power or adds
       capability to CSP systems (e.g. storage) at a scale that shows viability to financial
       community
   Budget: $1M in FY2010, $50M in FY2011, $150M total over 6 years
   Program Controls: two-phases possible for each award (small demos of 1-10MW each, and
       full scale demos up to 250MW each) with a stage-gate review at end of phase 1; peer
       review by bankers, utilities, and independent engineering companies
   Strategy:
   – DOE, in cooperation with BLM, select site for demonstrations
   – DOE will cost-share small demonstrations that could be located at the DOE site or an
       industrial site
   – Small demonstrations that pass the stage-gate and peer review could go to full-scale
       demonstration at the DOE site.
   – DOE will provide site infrastructure and coordinate access to transmission for the full-
       scale demonstrations
   – DOE will not cost share in the full-scale demonstrations. Industry will be responsible for
       obtaining power purchase agreements, obtaining financing, constructing, operating and
       maintaining the demonstrations.


U.S. Department of Energy Solar Energy Technologies Program                               Slide 19
CSP Demonstration Solicitation & Site
  Selection

   Justification:
             – In order for CSP systems to compete for utility PPA’s, they are large (>100MW) and
               expensive (>$500M)
             – Banks are hesitant to loan money to CSP developers using technology that has not
               been demonstrated and proven to work as predicted.
             – This activity is meant to bridge the gap between lab prototype and commercial
               product, without which the CSP industry would not be able to compete in U.S. power
               markets without subsidies.
             – Collaborations with the DOE Loan Guarantee Program, financial
               community, utilities, state transmission entities, WAPA, and BLM .

       Policy: Building the full-scale CSP
       demonstration systems would be
       helped by their being eligible for DOE
       Loan Guarantees and the 30%
       Treasury grant. This may require the
       extension of both of those programs.




U.S. Department of Energy Solar Energy Technologies Program                                 Slide 20
Thank You




                                                              CSP Subprogram
                                                              Solar Energy Technologies Program
                                                              U.S. Department of Energy




                                                              Contact:
                                                              thomas.rueckert@ee.doe.gov




U.S. Department of Energy Solar Energy Technologies Program

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US DOE funding and cost targets for CSP

  • 1. Solar Solar Energy Technologies Program Energy Technologies Program U.S. Department of Energy Concentrating Solar Power Subprogram Program Overview Thomas Rueckert Solar Program Operations Team Lead May 6th, 2010 CSTP Conference - San Diego, CA
  • 2. Solar Program Budget Sub-Elements Distributed Generation Photovoltaics (PV) - on-site or near point of use - DOE Market Transformation SETP System Integration Concentrating Solar Centralized Generation Power (CSP) - large users or utilities - U.S. Department of Energy Solar Energy Technologies Program
  • 3. CSP Subprogram CSP Goals and Priorities Vision: – Inexpensive power generated from CSP technologies is transmitted throughout the country to provide a significant percentage of the country’s electrical power, reducing the country’s emission of CO2 while creating millions of jobs. Goals: – Competitive in intermediate power market by 2015-2017 – Low cost thermal storage in support of the intermediate power market goal – Competitive in baseload power market by 2020 Priorities: – Lower cost through R&D – Develop low cost storage options – Lower cost by helping reduce barriers to deployment of projects U.S. Department of Energy Solar Energy Technologies Program
  • 4. CSP Goals for Utility Power The goal of the CSP sub-program is make CSP CSP LCOE with standardized financial competitive in the assumptions intermediate  power market by 2015 and in the  baseload power market by 2020. U.S. Department of Energy Solar Energy Technologies Program
  • 5. CSP Research and Development R&D is targeting technical obstacles in an effort to improve performance and reduce costs of CSP: Line Focus Research objectives: Optimize receiver and concentrator designs for higher temps, increase component suppliers, evaluate new heat transfer fluids, and create advanced evaluation capabilities Point Focus Research objectives: Improve engine reliability and system manufacturability and develop next-generation dish system designs; test new tower receiver panel and explore low cost heliostat options Storage Research objectives: Develop advanced heat transfer fluids for more efficient operation at high temperatures and test innovative designs for low-cost storage using sensible and latent heat options U.S. Department of Energy Solar Energy Technologies Program
  • 6. CSP Market Barriers Land Access Co-leading a programmatic environmental impact statement with the Bureau of Land Management to help make suitable federal land available for solar project development Transmission Access Working with DOE’s Office of Electricity, Western Area Power Administration, Western Governors’ Association, and states to identify best locations for transmission corridors Resource Assessment Improving satellite data, obtaining ground data from additional sites, forecasting Cost Without incentives, current cost for large-scale CSP power is prohibitively high Water Water resources are scarce in the locations that are otherwise optimal for CSP U.S. Department of Energy Solar Energy Technologies Program
  • 7. DOE’s Roadmap for CSP Technology FY2008-FY2010 FY2011-FY2014 FY2015-FY2020 Establish/expand U.S. supplier Develop next-generation Develop advanced base through manufacturing system capable of 450°C collectors, receivers, Trough initiative, optical testing to operation integrated with selective coatings, and Systems optimize receiver and molten-salt storage. working fluids designed to concentrator designs operate at 550°C. Evaluate new concepts (e.g. Down-select best Integrate high temperature CLFR, distributed power tower), options, support CSP systems with advanced Advanced test components, develop dish prototype designs, gas turbine/CC technology, Technology technology designed for mass identify key technology reduce system cost through Systems production improvement RD&D and manufacturing opportunities. initiative. Develop thermocline thermal Adapt storage system to Develop advanced thermal storage, evaluate two-tank advanced technology storage up to 550°C for Thermal molten salt system, develop design, address cost, troughs and up to 1200°C for Storage new storage medium and heat performance, operation advanced CSP/CC transfer fluids and O&M issues technologies. Supporting Market Transformation Activities: • Support State and utility deployment efforts • Work with Loan Guarantee Program to adapt loan guarantees to industry business process • Work with BLM, State and local governments to mitigate land and permitting barriers • Provide resource assessment to industry and utilities • Provide analyses supporting CSP access to transmission U.S. Department of Energy Solar Energy Technologies Program
  • 8. DOE Funding for Concentrating Solar Power 120 Solar Demo Zone 100 Baseload FOA 80 Capital Equipment Budget (Million $) 60 Storage FOA 40 CSP R&D FOA 20 0 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY09-R FY10 FY11 U.S. Department of Energy Solar Energy Technologies Program
  • 9. Budget Distribution U.S. Department of Energy Solar Energy Technologies Program
  • 10. Budget Distribution 120,000 $ 103 M 100,000 Demonstration Zone 80,000 Market & Analysis $ 55 M Mgm't & Facilities 60,000 Baseload FOA Storage Tower 40,000 Dish Trough 20,000 0 FY10 FY11 U.S. Department of Energy Solar Energy Technologies Program
  • 11. 2010 Budget Activity Level ($55M) Mgm't & Facilities University Funding Recipients 4% Demo & Deploy Trough 12% 25% Labs Baseload Industry FOA 27% Tower 8% Dish 4% Storage 20% U.S. Department of Energy Solar Energy Technologies Program
  • 12. Parabolic Trough Example 50 MW AndaSol-1 Parabolic Trough Plant w/ 7-hr Storage in Andalucia, Spain U.S. Department of Energy Solar Energy Technologies Program
  • 13. Power Tower Example Abengoa PS10 and PS 20 Seville, Spain U.S. Department of Energy Solar Energy Technologies Program
  • 14. Dish Engine Example 1.5 MW SES Maricopa Solar Dish Stirling System Peoria, AZ U.S. Department of Energy Solar Energy Technologies Program
  • 15. CSP 2007 and Storage Solicitations Lay the framework to exceed DOE goals through advanced CSP concepts • Applicants may propose either an entire system or focus on a component of a CSP system. • Objective is to identify and develop new approaches that could dramatically lower the cost of CSP. • Enable new technologies to position CSP to be the economical solution for baseload national energy consumption post 2015 Provide funding to develop thermal storage technology to increase the dispatchability of CSP technology within the electricity grid. • Develop low cost, high temperature storage that enables trough technology to reach its 2020 cost goal. • To achieve the goal, storage cost of less than $15/kWh thermal is desired with round trip efficiencies at or greater than 93%. Establish a United States based manufacturing infrastructure for low cost CSP trough components. • Lower the cost of major components of a trough system and to establish manufacturing capability of those components in the United States. 15 U.S. Department of Energy Solar Energy Technologies Program
  • 16. CSP Industry R&D Projects U.S. Department of Energy Solar Energy Technologies Program Slide 16
  • 17. National Labs Research • Goal: Support industry in development of CSP technology – Build lab staff to enable research and development on near and mid-term technology – Add and improve lab facilities to support component prototype test and evaluation – NREL and Sandia cooperate on most major programs and interact with industry as a single lab (SunLab) • Lab Budget: FY10 $19M, FY11 $20M (including CSP market transformation tasks) – NREL - $9.7M, – Sandia - $8.5M, – Argonne - $0.85M • Major Programs: – Materials research in reflectors, receivers, storage media (NREL lead) – Trough collectors, optical tools, development of standards (NREL lead) – Towers: system analysis, heliostat & receiver development (Sandia lead) – Storage: system concepts, (NREL, Sandia co-leads) – Dish – support 25 kW dish Stirling project (Sandia Lead) – PEIS – analysis of BLM land suitable for solar projects (Argonne lead) U.S. Department of Energy Solar Energy Technologies Program Slide 17
  • 18. Baseload Solicitation (TBD awards Feb 2010) Goal: develop CSP system capable of competing in the baseload power market by 2020 to displace coal, a major source of CO2 emissions Budget: $15M in FY11, $15M in FY12, $52M total over 4 years Program Controls: each award broken into 3 phases (feasibility, engineering design, prototype test/evaluation) with a stage-gate review at end of each, peer review Strategy: – Systems must have a capacity factor of 75% (10+ hours of storage) – Cost of competing power estimated at 8-9 cents/kWh (assuming restriction on coal emissions requires sequestration that raises cost of coal power) U.S. Department of Energy Solar Energy Technologies Program Slide 18
  • 19. CSP Demonstration Solicitation & Site Selection (TBD awards Oct 2010) Goal: demonstrate innovative CSP technologies that lowers the cost of power or adds capability to CSP systems (e.g. storage) at a scale that shows viability to financial community Budget: $1M in FY2010, $50M in FY2011, $150M total over 6 years Program Controls: two-phases possible for each award (small demos of 1-10MW each, and full scale demos up to 250MW each) with a stage-gate review at end of phase 1; peer review by bankers, utilities, and independent engineering companies Strategy: – DOE, in cooperation with BLM, select site for demonstrations – DOE will cost-share small demonstrations that could be located at the DOE site or an industrial site – Small demonstrations that pass the stage-gate and peer review could go to full-scale demonstration at the DOE site. – DOE will provide site infrastructure and coordinate access to transmission for the full- scale demonstrations – DOE will not cost share in the full-scale demonstrations. Industry will be responsible for obtaining power purchase agreements, obtaining financing, constructing, operating and maintaining the demonstrations. U.S. Department of Energy Solar Energy Technologies Program Slide 19
  • 20. CSP Demonstration Solicitation & Site Selection Justification: – In order for CSP systems to compete for utility PPA’s, they are large (>100MW) and expensive (>$500M) – Banks are hesitant to loan money to CSP developers using technology that has not been demonstrated and proven to work as predicted. – This activity is meant to bridge the gap between lab prototype and commercial product, without which the CSP industry would not be able to compete in U.S. power markets without subsidies. – Collaborations with the DOE Loan Guarantee Program, financial community, utilities, state transmission entities, WAPA, and BLM . Policy: Building the full-scale CSP demonstration systems would be helped by their being eligible for DOE Loan Guarantees and the 30% Treasury grant. This may require the extension of both of those programs. U.S. Department of Energy Solar Energy Technologies Program Slide 20
  • 21. Thank You CSP Subprogram Solar Energy Technologies Program U.S. Department of Energy Contact: thomas.rueckert@ee.doe.gov U.S. Department of Energy Solar Energy Technologies Program