sam baldwin | csp, pv and a renewable future

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CSP, PV, and a Renewable Future Institute for Analysis of Solar Energy George Washington University 24 April 2009 Sam Baldwin Chief Technology Officer and Member, Board of Directors Office of Energy Efficiency and Renewable Energy U.S. Department of Energy

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Page 1: Sam Baldwin | CSP, PV and a Renewable Future

CSP, PV, and a Renewable Future

Institute for Analysis of Solar EnergyGeorge Washington University

24 April 2009

Sam BaldwinChief Technology Officer and Member, Board of Directors

Office of Energy Efficiency and Renewable Energy

U.S. Department of Energy

Page 2: Sam Baldwin | CSP, PV and a Renewable Future

2

Energy-Linked Challenges• Economic— economic development and growth; energy costs

• Security— foreign energy dependence, reliability, stability

• Environmental— local (particulates), regional (acid rain), global (GHGs)

• Scale and Time Constants

Responses• CSP Technologies

– System Design– Growing Markets– Value of CSP– R&D Needs

• The Renewable Future– Technologies– Scale– Utility Integration– Policy & Incentives– Mobilizing Capital– Human Resources

Page 3: Sam Baldwin | CSP, PV and a Renewable Future

3

Nations that HAVE oil(% of Global Reserves)Saudi Arabia 26%Iraq 11Kuwait10Iran 9UAE 8Venezuela 6Russia 5Mexico 3Libya 3China 3Nigeria 2U.S. 2%

Nations that NEED Oil(% of Global Consumption)U.S. 24. %China 8.6Japan 5.9Russia 3.4India 3.1Germany 2.9Canada 2.8Brazil 2.6S. Korea 2.6Mexico 2.4France 2.3Italy 2.0Global ~85 MM Bbl/day

Source: EIA International Energy Annual

The Oil Problem

Page 4: Sam Baldwin | CSP, PV and a Renewable Future

4

Impacts of Oil Dependence• Domestic Economic Impact• Trade Deficit: Oil ~57% of $677B trade deficit in 2008• Foreign Policy Impacts

– Strategic competition for access to oil– Oil money supports undesirable regimes – Oil money finds its way to terrorist organizations

• Vulnerabilities– to system failures: tanker spills; pipeline corrosion; …– to natural disasters: Katrina; …– to political upheaval: Nigeria; … – to terrorist acts: Yemen; Saudi Arabia; …

• Economic Development – Developing world growth stunted by high oil prices; increases instability

• Natural Gas?– Largest producers: Algeria, Iran, Qatar, Russia, Venezuela– Russia provides 40% of European NG imports now; 70% by 2030.– Russia cut-off of natural gas to Ukraine

Page 5: Sam Baldwin | CSP, PV and a Renewable Future

5

Oil Futures

0

5

10

15

20

25

30

1950 1960 1970 1980 1990 2000 2010 2020 2030

MM

Bb

l/D

ay

Demand

Domestic Supply

Imports

New Oil

CAFE

Ethanol

0

5

10

15

20

25

30

1950 1960 1970 1980 1990 2000 2010 2020 2030

MM

Bb

l/D

ay

Demand

Domestic Supply

Imports

New Oil

CAFE

Ethanol

0

5

10

15

20

25

30

1950 1960 1970 1980 1990 2000 2010 2020 2030

MM

Bb

l/D

ay

Demand

Domestic Supply

Imports

New Oil

CAFE

Ethanol

0

5

10

15

20

25

30

1950 1960 1970 1980 1990 2000 2010 2020 2030

MM

Bb

l/D

ay

Demand

Domestic Supply

Imports

New Oil

CAFE

Ethanol

Page 6: Sam Baldwin | CSP, PV and a Renewable Future

6

Oil Sources

• Constraints– Cost– Energy – Water– Atmosphere

0 50 100 150 200 250 300

Other

Czech Republic

Poland

South Africa

Germany

Australia

India

China

Former Soviet Union

United States

Coal Reserves World Total: 1,088 Billion Short Tons

2000 2010 2020 2030 2040 2050

5% 85.87% 9.13% 2016 2028

Mean=2022.669

Peak Year of ROW Conventional OilProduction: Reference/USGS

0.000

0.020

0.040

0.060

0.080

0.100

0.120

0.140

Mean=2022.669

2000 2010 2020 2030 2040 2050

Source: David Greene, ORNL

• Resources – Oil Shale

• U.S.—Over 1.2 trillion Bbls-equiv. in highest-grade deposits

– Tar Sands• Canadian Athabasca Tar Sands—

1.7 T Bbls-equivalent• Venezuelan Orinoco Tar Sands

(Heavy Oil)—1.8 T Bbls-equiv.– Coal

• Coal Liquefaction—4 Bbls/ton

Page 7: Sam Baldwin | CSP, PV and a Renewable Future

7

Potential Impacts of GHG Emissions• Temperature Increases

• Precipitation Changes• Glacier & Sea-Ice Loss• Water Availability

• Wildfire Increases • Ecological Zone Shifts• Extinctions

• Agricultural Zone Shifts• Agricultural Productivity

• Ocean Acidification• Ocean Oxygen Levels• Sea Level Rise

• Human Health Impacts

• Feedback Effects

U.S.: 5.9 GT CO2/yr energy-relatedWorld: 28.3 GT CO2/yr

Hoegh-Guldberg, et al, Science, V.318, pp.1737, 14 Dec. 2007

Page 8: Sam Baldwin | CSP, PV and a Renewable Future

8

Climate Change

– “We urge all nations … to take prompt action to reduce the causes of climate change …”.

– National Academies’ of Science, 2005: Brazil, Canada, China, France, Germany, India, Italy, Japan, Russia, United Kingdom, U.S.A.

• Joint Science Academies’ Statement: – “There is now strong evidence that significant global warming is occurring.”

– “…most of the warming in recent decades can be attributed to human activities.”

– “The scientific understanding of climate change is now sufficiently clear to justify nations taking prompt action.”

– “Long-term global efforts to create a more healthy, prosperous, and sustainable world may be severely hindered by changes in climate.”

– National Academies’ of Science, 2008: “Immediate large-scale mitigation action is required”

Page 9: Sam Baldwin | CSP, PV and a Renewable Future

9

New York City during the August

2003 blackout

Kristina Hamachi LaCommare, and Joseph H. Eto, LBNL

Costs of Power Interruptions

Page 10: Sam Baldwin | CSP, PV and a Renewable Future

10

Scale of the Challenge• Increase fuel economy of 2 billion cars from 30 to 60 mpg.• Cut carbon emissions from buildings by one-fourth by 2050—on top of

projected improvements.• With today’s coal power output doubled, operate it at 60% instead of 40%

efficiency (compared with 32% today).• Introduce Carbon Capture and Storage at 800 GW of coal-fired power.

• Install 1 million 2-MW wind turbines.

• Install 3000 GW-peak of Solar power.

• Apply conservation tillage to all cropland (10X today).

• Install 700 GW of nuclear power.

Source: S. Pacala and R. Socolow, “Stabilization Wedges: Solving the Climate Problem for the Next 50 Years with Current Technology”, Science 13 August 2004, pp.968-972.

Page 11: Sam Baldwin | CSP, PV and a Renewable Future

11

Time Constants• Political consensus building ~ 3-30+ years• Technical R&D ~10+ • Production model ~ 4+ • Financial ~ 2++ • Market penetration ~10++ • Capital stock turnover

– Cars ~ 15 – Appliances ~ 10-20– Industrial Equipment ~ 10-30/40+– Power plants ~ 40+ – Buildings ~ 80 – Urban form ~100’s

• Lifetime of Greenhouse Gases ~10’s-1000’s• Reversal of Land Use Change ~100’s• Reversal of Extinctions Never

• Time available for significant action ??

Page 12: Sam Baldwin | CSP, PV and a Renewable Future

12

Solar EnergySolar Energy

• Price of electricity from grid-connected PV systems are ~20¢/kWh. (Down from ~$2.00/kWh in 1980)

• Nine parabolic trough plants with a total rated capacity of 354 MW have operated since 1985, with demonstrated system costs of ~14¢/kWh.

Page 13: Sam Baldwin | CSP, PV and a Renewable Future

13

Photovoltaics

Source: EERE/STP

Page 14: Sam Baldwin | CSP, PV and a Renewable Future

14

Best Research-Cell Efficiencies

026587136

Effic

ienc

y (%

)

Universityof Maine

Boeing

Boeing

Boeing

BoeingARCO

NREL

Boeing

Euro-CIS

200019951990198519801975

NREL/Spectrolab

NRELNREL

JapanEnergy

Spire

No. CarolinaState University

Multijunction ConcentratorsThree-junction (2-terminal, monolithic)Two-junction (2-terminal, monolithic)

Crystalline Si CellsSingle crystalMulticrystallineThin Si

Thin Film TechnologiesCu(In,Ga)Se2

CdTeAmorphous Si:H (stabilized)

Emerging PVDye cells Organic cells(various technologies)

Varian

RCA

Solarex

UNSW

UNSW

ARCO

UNSWUNSW

UNSWSpire Stanford

Westing-house

UNSWGeorgia TechGeorgia Tech Sharp

AstroPower

NREL

AstroPower

Spectrolab

NREL

Masushita

MonosolarKodak

Kodak

AMETEK

Photon Energy

UniversitySo. Florida

NREL

NREL

NRELCu(In,Ga)Se2

14x concentration

NREL

United Solar

United Solar

RCA

RCARCA

RCA RCARCA

Spectrolab

Solarex12

8

4

0

16

20

24

28

32

36

University ofLausanne

University ofLausanne

2005

Kodak UCSBCambridge

NREL

UniversityLinz

Siemens

ECN,The Netherlands

Princeton

UC Berkeley

Source: NREL

40.8

19.9

Page 15: Sam Baldwin | CSP, PV and a Renewable Future

15

PV Shipments and U.S. Market Share

0

500

1000

1500

2000

2500

3000

3500

400019

90

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

ROW

Europe

Japan

U.S.

U.S. Market Share

Page 16: Sam Baldwin | CSP, PV and a Renewable Future

16

Trough Systems

Power Towers

Dish Systems

Concentrating Solar Thermal Power

Source: NREL

Linear Fresnel

Dish SystemsSource: EERE/STP

Page 17: Sam Baldwin | CSP, PV and a Renewable Future

17

Parabolic Trough Operation

Page 18: Sam Baldwin | CSP, PV and a Renewable Future

18

National Renewable Energy Laboratory Innovation for Our Energy Future

354 MW Luz Solar Electric Generating Systems (SEGS)Nine Plants built 1984 - 1991

Source: Mark Mehos, National Renewable Energy Laboratory

Page 19: Sam Baldwin | CSP, PV and a Renewable Future

19

1-MW Arizona Trough PlantTucson, AZ

Source: Mark Mehos, National Renewable Energy Laboratory

Page 20: Sam Baldwin | CSP, PV and a Renewable Future

20

64 MWe Acciona Nevada Solar OneSolar Parabolic Trough Plant

Source: Mark Mehos, National Renewable Energy Laboratory

Page 21: Sam Baldwin | CSP, PV and a Renewable Future

21

50 MW AndaSol One and TwoParabolic Trough Plant w/ 7-hr Storage, Andalucía

Source: Mark Mehos, National Renewable Energy Laboratory

Page 22: Sam Baldwin | CSP, PV and a Renewable Future

22

Abengoa PS10 and PS 20; Seville, Spain

Source: Mark Mehos, National Renewable Energy Laboratory

Page 23: Sam Baldwin | CSP, PV and a Renewable Future

23

US Projects Under Development

Source: Mark Mehos, National Renewable Energy Laboratory

424 MW 4503 MW

Page 24: Sam Baldwin | CSP, PV and a Renewable Future

24

International Projects Under Development

Source: Mark Mehos, National Renewable Energy Laboratory

658 MW 3180 MW

Page 25: Sam Baldwin | CSP, PV and a Renewable Future

25

National Renewable Energy Laboratory Innovation for Our Energy Future

Value of Dispatchable Power?Meets Utility Peak Power Demands

• Storage provides

– higher value because power production can match utility needs

– lower costs because storage is cheaper than incremental turbine costs

Solar ResourceHourly Load

0 6 12 18 24

Generation w/ Thermal

Storage

Page 26: Sam Baldwin | CSP, PV and a Renewable Future

26

StateLand Area (mi²)

Solar Capacity (GW)

Solar Generation Capacity (GWh)

AZ 19,279 2,468 5,836,517CA 6,853 877 2,074,763CO 2,124 272 643,105NV 5,589 715 1,692,154NM 15,156 1,940 4,588,417TX 1,162 149 351,774UT 3,564 456 1,078,879

Total 53,727 6,877 16,265,611

Concentrating Solar PowerU.S. Southwest

Cost Reduction Potential– Estimates from Sargent & Lundy and WGA

Solar Task Force indicate CSP costs can go below 6 cents/kWh assuming R&D and deployment.

Factors Contributing to Cost Reduction– Scale-up ~37%– Volume Production ~ 21%– Technology Development 42%

Direct-Normal Solar Resource for the Southwest U.S.

Map and table courtesy of NREL

Filters:Transmission>6.75 kWh/m2dEnvironment X Land Use XSlope < 1%Area > 1 km2

5 acres/MW27% annual CF

Page 27: Sam Baldwin | CSP, PV and a Renewable Future

27

CSP R&D Opportunities• CSP Solar Field R&D:

– Accounts for ~50-60% of capital cost– High-performance long-life low-cost reflectors with self-

cleaning or hydrophobic coatings; Increase optical accuracy and aiming.

– Receiver: Stable, high temperature, high performance selective surfaces.

• CSP Thermal Storage:– Accounts for ~20-25% of capital cost– Stable, high temperature heat transfer and thermal

storage materials to 600C (1200 C for advanced technology), with low vapor pressure, low freezing points, low cost ($15/kWth) , appropriate viscosity & density, etc.

• Advanced CSP Systems:– Power block accounts for ~10-15% of capital cost; 37.6%

efficiency– Brayton Cycles for higher temperature, higher efficiency

• Fuels:– High-temperature thermochemical cycles for CSP

production—353 found & scored; 12 under further study; Develop falling particle receiver and heat transfer system for up to 1000 C cycles. Develop reactor/receiver designs and materials for up to 1800 C cycles

Page 28: Sam Baldwin | CSP, PV and a Renewable Future

28Source: Building Technology Program Core Databook, August 2003. http://buildingsdatabook.eren.doe.gov/frame.asp?p=tableview.asp&TableID=509&t=xls; Annual Energy Outlook 2008.

Often Forgotten Solar

Space Heating27%

Lighting21%

Water Heating14%

Space Cooling12%

Refrigeration8%

Computers2%

Ventilation3%

Appliances7%

Electronics6%

Buildings: Total Primary Energy

38.9 quads(2006)

BUILDINGS• Passive Solar Design• Daylighting• Solar Water Heaters• Active Solar Heating/Cooling

INDUSTRY• Industrial Process Heat• Solar Water Heaters• Daylighting

Industry: Total Primary Energy

Agriculture8%

Forest Products11%

Chemicals19%

Petroleum24%

Steel6%

Aluminum2%

Metalcasting1%

Other26%

Mining3%

32.7 quads(2006)

Page 29: Sam Baldwin | CSP, PV and a Renewable Future

29

A Renewable Future• Power: (Energy Information Administration)

– 2007: Total: 3900 TWh; Fossil: 3000 TWh; Nuclear: 800 Twh; RE: 350 Twh Wind: 26 TWh Solar: 0.5 TWh

– 2030: Total: 5000 TWh

ISSUES:• HOW FAR?• HOW FAST? • HOW WELL? • AT WHAT COST?• BEST PATHWAYS?• Efficiency

• Renewable Energy– Biomass Power– Geothermal– Hydropower– Ocean Energy– Solar Photovoltaics / Battery Storage– Solar Thermal / Thermal Storage / Natural Gas

Solar: 2000 TWh/y 1500 GW 40 GW/y– Wind / CAES / Natural Gas

Wind: 2000 TWh/y 600 GW 15 GW/y• Transmission Infrastructure/Smart Grid• End-Use Systems

– Smart End-Use Equipment (dispatched w/ PV)– Plug-In Hybrids/Smart Charging Stations

4100 Bmiles in 2030 3 miles/kWh ([email protected])1400 TWh/y

CHALLENGES• Efficiency Improvements.• Supply R&D: PV, CSP,

Wind.• Storage R&D: CAES,

Thermal, Battery.• Materials Supply• Grid Integration• Manufacturing Ramp-up;

Supply-Chain Development• Policy• Training

Page 30: Sam Baldwin | CSP, PV and a Renewable Future

30

Energy Efficiency: 1970-2007

Efficiency; StructuralChange:Total 106.8

New SupplyGas 1.8QRE 2.8Nucl 8.2Oil 10.3Coal 10.5Total 33.8

U.S. Energy Consumption

0

50

100

150

200

250

1950 1960 1970 1980 1990 2000 2010

Qu

ad

s

U.S. Energy Consumption

U.S. Energy Consumption atconstant 1970 E/GDP

Page 31: Sam Baldwin | CSP, PV and a Renewable Future

31

0

200

400

600

800

1000

1200

1400

1600

1800

2000

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Year

1972, first oilprice shocks.

1974, California AuthorizesEnergy Efficiency Standards.

1977, first California

standards take effect.

Average 1980 model had19.6 Cu. Ft. of capacity, and

used 1278 kWh per year.

By 1993, a typical model had 20.1 Cu. Ft. ofcapacity, featured more through-the-door services

like ice and water, and used 48% less energy thanthe 1980 models.

1986, Average UEC when first

US Standard is negotiated

(1074 kWh)

1990, First US Standard takeseffect (976 kWh)

1993, Updated US

Standard (686 kWh)

LBNL Projections

-9%

-36%

-56%

2001, Second Update ofUS Standard (476 kWh)

Average 1961 model hadapproximately 12 CU. Ft. of

capacity and used 1015 kWh

per year.

U.S. Refrigerator Energy Consumption(Average energy consumption of new refrigerators sold in the U.S.)

Source: LBNLSavings: ~1400 kWh/year * $0.10/kWh *100 M households = $14 B/year

Page 32: Sam Baldwin | CSP, PV and a Renewable Future

32

Oil Supply, Demand, Options in 2030

0

5

10

15

20

25

30

Mill

ion

Bar

rels

/Day

IMPORTS

DOMESTIC

OIL SUPPLY OIL DEMAND

ELECTRICITYRES. & COM.

INDUSTRY

MISC. TRANSPORTAIR

TRUCKS

LIGHTDUTYVEHICLES ETHANOL

EFFICIENCY

OPTIONS

PHEV-20

FCVs

BIOPRODUCTS

EVs

PHEV-40

BIODIESEL/FT

BIO-JET A

Oil Supply, Demand, Options in 2030

0

5

10

15

20

25

30

Mill

ion

Bar

rels

/Day

IMPORTS

DOMESTIC

OIL SUPPLY OIL DEMAND

ELECTRICITYRES. & COM.

INDUSTRY

MISC. TRANSPORTAIR

TRUCKS

LIGHTDUTYVEHICLES ETHANOL

EFFICIENCY

OPTIONS

PHEV-20

FCVs

BIOPRODUCTS

EVs

PHEV-40

BIODIESEL/FT

BIO-JET A

Oil Supply, Demand, Options in 2030

0

5

10

15

20

25

30

Mill

ion

Bar

rels

/Day

IMPORTS

DOMESTIC

OIL SUPPLY OIL DEMAND

ELECTRICITYRES. & COM.

INDUSTRY

MISC. TRANSPORTAIR

TRUCKS

LIGHTDUTYVEHICLES ETHANOL

EFFICIENCY

OPTIONS

PHEV-20

FCVs

BIOPRODUCTS

EVs

PHEV-40

BIODIESEL/FT

BIO-JET A

Page 33: Sam Baldwin | CSP, PV and a Renewable Future

33

Plug-In Hybrids• Battery Storage, Power

Electronics, System Int.• A123 -- Nano-Structured

Iron-Phosphate Cathode.• Wind 200 GW 450 GW

50% Travel <25 mi./day; 70% <40 mi./day

0%

3%

6%

9%

12%

15%

<=

5

5-10

10-1

5

15-2

0

20-2

5

25-3

0

30-3

5

35-4

0

40-4

5

45-5

0

50-5

5

55-6

0

60-6

5

65-7

0

70-7

5

75-8

0

80-8

5

85-9

0

90-9

5

95-1

00

100-

105

105-

110

110-

115

115-

120

120-

125

125-

130

130-

135

135-

140

140-

145

145-

150

>15

0

Mileage Interval

Fre

qu

en

cy

0%

20%

40%

60%

80%

100%

Cu

mu

lati

ve

Fre

qu

en

cy

FrequencyCumulative Frequency

Source: 2001 National Household Travel Survey

50%

70%

25 m

i.

40 m

i.

Page 34: Sam Baldwin | CSP, PV and a Renewable Future

34

Wind Energy

• Cost of wind power from 80 cents per kilowatt-hour in 1979 to a current range of ~5+ cents per kWh (Class 5-6).

• Low wind speed technology: x20 resource; x5 proximity• >8000 GW of available land-based wind resources• ~600 GW at $0.06-0.10/kWh, including 500 miles of Transmission.• Offshore Resources. • Directly Employs 85,000 people in the U.S.

U.S. Wind Market Trend

0

1000

2000

3000

4000

5000

6000

1980 1984 1988 1992 1996 2000 20040

10

20

30

40

50

60

70

80

90

100

Capaci

ty (

MW

)

Cost

of

Energ

y (c

ents

/kW

h*)

0

1000

2000

3000

4000

5000

6000

1980 1984 1988 1992 1996 2000 20040

10

20

30

40

50

60

70

80

90

100

Capaci

ty (

MW

)

Cost

of

Energ

y (c

ents

/kW

h*)

9245 MW (End of 2005)

11,600 2006

~16,800 2007

Source: EERE/WTP

~25,500 2008

Page 35: Sam Baldwin | CSP, PV and a Renewable Future

35

Typical Rotor Diameters

.75 MW 1.5 MW 2.5 MW 3.5 MW 5 MW

50m (164 ft)

66m (216 ft)

85m (279 ft)

100m (328 ft)

747

120m (394 ft)

Boeing

Wind Energy

GE Wind 1.5 MW

Source: EERE/WTP

Source: S. Succar, R. Williams, “CAES:Theory, Resources, Applications…” 4/08

Page 36: Sam Baldwin | CSP, PV and a Renewable Future

Geothermal Technologies

• Current U.S. capacity is ~2,800 MW; 8,000 MW worldwide.• Current cost is 5 to 8¢/kWh; Down from 15¢/kWh in 1985• 2010 goal: 3-5¢/kWh.

Page 37: Sam Baldwin | CSP, PV and a Renewable Future

37

A Renewable Electricity Future?Photovoltaics

Concentrating Solar Power (CSP)

Smart Grid

Distributed Generation

Plug-in Hybrids

c-Si Cu(In,Ga)Se2

500x

Wind

Page 38: Sam Baldwin | CSP, PV and a Renewable Future

38

Materials

Material World Production

Material at 20 GW/y

% Current Production

Indium 250 MT/y 400 MT/y 160%

Selenium 2,200 MT/y 800 MT/y 36%

Gallium 150 MT/y 70 MT/y 47%

Tellurium 450 MT/y (2000 MT/y unused)

930 MT/y 38% (of total)

Cadmium 26,000 MT/y 800 MT/y 3%

• Commodity Materials– Steel, Cement, Glass, Copper– Silicon

• Speciality Materials– CIGS, CdTe, others.– Lithium; Cobalt; Ruthenium

• Responses– Supply chain development

– Efficiency; Substitution (LiFePO4)

Page 39: Sam Baldwin | CSP, PV and a Renewable Future

39

Grid Integration• Assess potential effects of large-

scale Wind/Solar deployment on grid operations and reliability:

- Behavior of solar/wind systems and impacts on existing grid

- Effects on central generation maintenance and operation costs, including peaking power plants

• Engage with utilities to mitigate barriers to technology adoption

- Prevent grid impacts from becoming basis for market barriers, e.g. caps on net metering and denied interconnections to “preserve” grid

- Provide utilities with needed simulations, controls, and field demos

• Develop technologies for integration:- Smart Grid/Dispatch.

• Barriers: Variable output; Low capacity factor; Located on weak circuits; Lack of utility experience; Economics of transmission work against wind/solar.

• ISSUES– Geographic Diversity– Ramp Times– Islanding– System Interactions

Page 40: Sam Baldwin | CSP, PV and a Renewable Future

40

Policy: Federal / State• Technology Transfer: Partnerships; Solicitations; SBIR; Growth Fora; Incubators; IP • Investment Tax Credit (ITC): solar, fuel cells, geothermal, microturbines

– 30% credit for solar• Depreciation: Modified Accelerated Cost Recovery System—5 year class• Production Tax Credits• Renewable Portfolio Standards• Net Metering• Property & Sales Tax Exemptions

– WGA Task Force: Exempt early CSP plants from state sales and property taxes; Encourage 30 year PPAs; Foster large-block purchases

• Systems Benefit Charges• State & Local Bonds• Permitting: Streamline, as approp.• Codes & Standards• Education & Certification• Public Outreach

• ISSUES– Planning Horizons– Targeting Incentives/Buy-down– Renewable Electricity Standards– Carbon Policy?

0

1000

2000

3000

4000

5000

6000

1999 2000 2001 2002 2003 2004 2005 2006 2007

Annual Wind Installationsw/wo Production Tax Credit

No PTC

No PTC

No PTC

Page 41: Sam Baldwin | CSP, PV and a Renewable Future

41

State Renewable Portfolio Standards (RPS)

NV: 20% by 2015

HI: 20% by 2020

TX: 5,880 MW (~5.5%) by 2015

CA: 20% by 2010

CO: 20% by 2020

NM: 20% by 2020

AZ: 15% by 2025

MN: 25% by 2025(Xcel 30% by 2020)

WI: different req. by utility. Goal: 10% by 2015

NY: 24% by 2013

ME: 40%by 2017

MA: 4%by 2009

CT: 23% by 2020

RI: 16%by 2019

PA: 8% by 2020

NJ: 22.5% by 2021

MD: 20% by 2022

DC: 11% by 2022

MT: 15% by 2015

DE: 20% by 2019

IL: 25%by 2025

WA: 15%by 2020

OR: 25% by 2025

NH: 23.8%by 2025

VA: 12% by 2022

VT: 10% by 2012

RPS

RE GoalMO: 11% by 2020

NC: 12.5% by 2021

Sources: Union of Concerned Scientists and NREL

ND: 10% by 2015

UT: 20% by 2025

IA: 105 MW (~2%) by 1999

SD: 10% by 2015

OH: 12.5% by 2024

Page 42: Sam Baldwin | CSP, PV and a Renewable Future

42

Mobilizing Capital

• Investment (notional numbers)

– Wind @ 15 GW/y ~$27 B/y – Solar @ 38 GW/y ~$70 B/y – Total $100 B/y

• Offsets – Fossil @ 770/40 ~$60 B/y – Fuel ~$x B/y

• Issues– How to best mobilize capital

with the most leverage at the minimum public expense?

Page 43: Sam Baldwin | CSP, PV and a Renewable Future

43

Human Resources: Solar DecathlonHuman Resources: Solar Decathlon

Carnegie Mellon; Cornell; Georgia Tech; Kansas State; Lawrence Technological University; MIT; New York Institute of Technology; Pennsylvania State; Santa Clara University; Team Montreal (École de Technologie Supérieure, Université de Montréal, McGill University); Technische Universität Darmstadt; Texas A&M; Universidad Politécnica de Madrid; Universidad de Puerto Rico; University of Colorado – Boulder; University of Cincinnati; University of Illinois; University of Maryland; University of Missouri, Rolla; University of Texas, Austin.

ArchitectureEngineeringMarket ViabilityCommunicationsComfort

AppliancesHot WaterLightingEnergy BalanceGetting Around

Source: STP

• Issues– At $100K/cap, $100B/y 1 M Jobs– How can this scale be ramped up to quickly?– How can quality control best be maintained?– What outreach to state/local level will be most effective?

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