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Economic Impacts of NREL CA Solar Benefits CSP in California In general, goods and services purchases for O&M are assumed to be from in- state sources. It was assumed that all miscellaneous costs and service contracts were southern California based. Water costs are split nearly evenly between raw water costs and chemicals. Black & Veatch has assumed 100 percent of the raw water costs are spent in southern California, while 50 percent of the chemicals are produced in California. Spares and equipment, solar field parts, and capital equipment costs were assumed to be 50 percent southern California based. 5.2.2 Costs Versus Deployment Year To simplify the economic impacts analysis, Black & Veatch grouped the deployment scenarios into four “buckets,” which contain the following years: • 2008, 2009, 2010. • 2011, 2012, 2013. • 2014, 2015, and 2016. • 2017, 2018, and 2019. Black & Veatch used this approach because any difference in plant costs between years due to inflation is not within the accuracy of the cost estimates. Therefore, any gains in granularity in study results are not significant because of the confidence in the cost estimates. 5.3 Base Case Economic Impacts Analysis Results Black & Veatch estimated the direct and indirect impact of the development of the reference parabolic trough CSP plant, described in Section 2.1, in southern California with an on-line date in 2008. This section provides the base case analysis. A sensitivity analysis is discussed in Section 5.4. Table 5-7 shows that constructing one 100 MW CSP plant has a direct impact to Gross State Output of over $150 million and an indirect impact of over $470 million. The table also shows that about 455 job-years of direct employment are created during the construction of the facility, which equates to over $51 million in direct earnings. The table also shows that the plant results in about 38 permanent jobs directly created by the operation of the plant; another 56 jobs are indirectly created by the operation of the plant. Table 5-8 shows the total (direct plus indirect) economic impact per 100 MW of CSP, combined cycle and simple cycle combustion turbine plants. Table 5-8 shows that the total construction impact of CSP on gross state output at about $626 million per 100 MW is significantly larger than that for combined cycle or simple cycle combustion turbine plants at about $64 million per 100 MW and $47 million per 100 MW, respectively. The primary reason for this is the much larger total installed cost of the CSP plant, which is estimated to be $4,600 per kW in 2008 compared to the combined cycle April 21, 2006 5-10PDF Image | Economic, Energy, and Environmental Benefits of Concentrating Solar Power in California
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