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heating has maintained a strong, commercial market presence, with 750,000 m2 of collectors being installed each year. Thus, many solar businesses have depended on the pool heating business for their livelihood. The key to stimulating these SWH markets has been policy incentives, as shown by data from overseas markets. The federal tax credit recently enacted by the Energy Policy Act of 2005 (EPAct 2005) should lead to stronger sales in the United States.2 Wholesale Electric Power Markets Using Concentrating Solar Power Concentrating solar power (CSP) technology was established around the turn of the century, most notably by John Ericsson’s work on solar-powered engines and reflectors. None of this work, however, led to a commercial product. Beginning in the 1970s, power plants using troughs, dishes, and towers were demonstrated in the United States and elsewhere, mostly supported by government funding. CSP troughs have had the most commercial success, with the Solar Electric Generating Stations (SEGS) projects in California reaching a capacity of 354 megawatts (MW). The first plant, SEGS-1, was completed in 1985, and all nine plants continue to operate today. SEGS-1 also hosted a short-term test of thermal storage that proved the concept of extending the versatility and increasing the capacity factor of the plants.3 Although the SEGS plants are still operating, the trough industry suffered a major setback in 1991 when Luz, the developer of SEGS, declared bankruptcy due to financial issues involving changes in tax laws and problems negotiating power purchase contracts for the SEGS plants. A recent renewal of CSP commercial activity has occurred in the United States and Spain, with U.S. plants under construction in Arizona (1 MW) and Nevada (65 MW). In the interim, the CSP industry has continued to build a small number of parabolic trough systems serving thermal loads such as domestic water heating for commercial and institutional applications. Significant progress has also been made on reducing both component costs and operating and maintenance (O&M) expenses associated with trough plants. Larger plants with larger power blocks will further reduce costs. Advanced thermal storage, using molten salt, has been demonstrated and can be used to provide the dispatchable power desired by the electric power industry. Cost of power from a new trough plant built today is estimated to be 12–14¢/kWh. Solar power towers were developed through a number of system configurations using various working fluids, including water/steam, air, sodium, and molten nitrate salts. The 10 MW Solar One power tower (a water/steam system) and its successor, Solar Two (a 10 MW molten salt system with thermal storage), demonstrated the technical feasibility of generating power 24 hours per day and established the feasibility and value of thermal storage. The 10 MW size was never expected to be a viable commercial-scale plant and, in fact, did not validate economic feasibility. And after successful experimentation, Solar Two was retired. The substantial investment needed to build a commercial-scale plant of 50–100 MW has been an obstacle to commercialization, and at this time, there are no plans for a U.S. plant. Spain is likely to be the first site of a commercial plant. Since the late 1970s, dish/engine technologies have seen several demonstrations and pre-commercial deployments, but as of yet, no significant market deployment has occurred. A prototype six-dish, 150-kW, small-scale power plant has been built with private funds and is now operating at the National Solar Thermal Test Facility (NSTTF) at Sandia National Laboratories. The prototype-plant experience successfully reduced the capital cost of these systems. A major objective of these systems is to gain operational experience to improve reliability and reduce O&M costs. In August 2005, Edison International, a subsidiary of Southern California Edison (SCE), Rosemead, CA, and Stirling Energy Systems (SES) of Phoenix, AZ, announced the signing of a 20-year power purchase agreement to develop a 500-MW dish/Stirling power plant. The plant, which includes an option to increase the size to 850 MW, is to be located 70 miles northeast of Los Angeles near Victorville, CA. Initially, SES will build a 1-MW test facility using 40 of the company’s 2 The Energy Policy Act of 2005, signed into law on August 8, 2005, establishes a 30% residential tax credit for PV and solar water heaters, to be capped at $2,000/system during the period of 1/1/06 through 12/31/07. 3 Thermal storage is not currently in use at SEGS-1. 3PDF Image | Solar Energy Technologies Program
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