Posted: Mon Jun 27, 2005 2:05 pm Post subject: Solar Peaker Plants - Just Waiting for Cells?
There is a name for power generation that works only during periods of high demand, and that means the hottest, sunniest days of summer.
The name is "Peaker Plant." Solar photovoltaic installations are Peaker Plants, and they should only be compared to other PEAKER PLANT technology. Nuclear power generation is "Baseload Generation." For that matter, so is Coal. Don't even try to compare baseload and peak generation costs and performance. They are not comparable.
Peaker plants are designed to pump out lots of electricity for a very short time. They are never designed to run continuously. Here is an example:
Chicago Peaker:
Cost: $120-$150 million
Maximum run-time per year: 1500 hours
Planned runtime per year: 1-2 hours/day, 5%-10% of the year (18-72 hours total PER YEAR)
Maximum output: 300 Megawatts
Peak price/megawatt for electricity (Year 2000) $6,000/MWh
The plant is expected to generate between 5,400 and 21,600 MWh/year.
Price/MWh needed to pay for the plant in 2 years: $13,888 (5,400 MWh) - $3,472 (21,600 MWh)
Let's look at what we can get if we spend the money on Solar Photovoltaic panels:
$150,000,000 spent on PV at $5.00/watt installed: = 30 Megawatt solar plant.
If the solar plant enjoys 250 sunny days each year, it will produce roughly 30,000 MWh/year, all during peak usage times.
It looks like roughly the same amount of power will be generated per year by the solar plant, but only 1/10th as much during peak times. We would need to invest $1.5 Billion to generate the same peak capacity - 300MW - as the natural gas fired peaker plant.
However, if we invested 1.5 billion, the solar plant would generate 300,000 MWh/year, with almost all of the power being generated at peak times (and electricity costs). Let's make a guess at the return:
300,000 MWh * $3,472/MWh = $1,041,600,000
Look like the solar plant could pay back in a year and a half given the lower estimate of peak power pricing.
This posting is for discussion only, not for real. It is a fantasy to suggest that 300 MW of photovoltaic cells are available for this purpose, and that would build only ONE peaker plant. The US has >hundreds< of Peaker Plants now and many, many more planned. The price for the power is also a guess - it would probably be lower, but even if it were 10 times lower there would still be a payback during the solar plant's lifetime. On the other hand, $5/watt is a high estimate for large-scale solar photovoltaic costs. If that cost were lower, payback would be faster. Finally, it goes without saying that the cost of natural gas and electricity will all go up in the future, making the solar plant even more cost-effective by comparison.
But imagine - if we could ramp up the production of solar cells, we could profitably generate peak power with them today. And we could replace or not build many natural gas fired equivalent systems today. Solar power is not waiting for cost-effective applications. This one exists today. We are just waiting for enough solar cells to be manufactured to make a difference.
If we invested billions in solar cell production capability, instead of spending the same capital on increasingly difficult to find oil and natural gas, we would be able to start shifting to solar power for this purpose "now."
As always, please point out any calculation errors....
Solar electric power plants (30-40 cents/KWh)
"Approximately 30 percent of Wisconsin plant’s non-coal capacity is provided by natural gas-burning peaker plants. However, they actually produce less than 5 percent of Wisconsin’s total electricity because they operate only during peak demand periods."
Global Green USA
"What we’re talking about is putting up enough solar to offset the need to turn on that peaker plant."
Joined: Feb 20, 2005 Posts: 2691 Location: Uppsala, Sweden
Posted: Mon Jun 27, 2005 4:52 pm Post subject:
Is this "Chicago Peaker" natural gas powered?
Anyways, solar must be compared with other "peaker plants", like hydro electricty (which is both base load and the ultimate peak load). Hydro electricity costs 2-3 cents per kWh. I believe solar power is about 15 times as expensive. _________________ Peak oil is not an energy crisis. It is a liquid fuel crisis.
Click on the last link under references to read about the Chicago Peaker.
Starvid wrote:
Anyways, solar must be compared with other "peaker plants", like hydro electricty (which is both base load and the ultimate peak load). Hydro electricity costs 2-3 cents per kWh. I believe solar power is about 15 times as expensive.
I'm not sure I follow all your figures, but I'm pretty sure something
isn't quite right in them.
If it were really true solar cells were substantially cheaper to provide
peak power, then the solar industry would be 50 or 100 times larger
than it is. There's no inherent reason, other than demand, that the
production of silicon inputs and cell production couldn't increase greatly.
I like the idea but it isn't so because the numbers doesn't (yet) permit it.
As demand for clean energy continues to grow, the solar industry forecasts millions of photovoltaic systems will dot the landscape by the end of the decade. However, a severe shortage of the silicon used in the systems threatens to dampen solar's growth.
[...]
Semiconductor manufacturers are able to outbid solar companies for the available silicon because the material makes up a much smaller portion of their production costs, Homan said. "We are getting into a pricing war" between industries, Homan said.
I'm not sure I follow all your figures, but I'm pretty sure something isn't quite right in them.
I hope not. I'm not trying to mislead anyone. If you can spot a problem (or even just have a question about any of the calculations) please let me know. Some of the numbers are hypothetical, like the price of peak power that would apply for the "Solar Peaker," but they are based on quoted numbers from the references.
JohnDenver wrote:
There's a shortage of silicon ...
There's a shortage of refined silicon. Plenty of impure raw material. The refining process is the bottleneck (sound familiar???) Thanks, JD, good to know the score on silicon even if it is not good news.
Here's one reason cells can't now be a lot cheaper than the peak plant.
The utilities know the numbers. If one wanted 300MW of solar cells,
they could get it within a year within current world production capacity
because they should be willing to pay a price up to the price of
the plant, which--if I take your numbers correctly--would be a lot higher
than the present market for the cells. The 300MW would be perhaps
one fourth the current world production capacity; I think you could get
a fourth by paying 50% more the present market price.
(Part of the issue is that peak can occur without the sun shining.)
Joined: Jul 18, 2004 Posts: 198 Location: S. Yorkshire, UK
Posted: Tue Jun 28, 2005 1:57 am Post subject:
Can you redo your calculation with sensible numbers?
$6000/MWh is an absurdity - a one day (8 May 2000) result of grid mismanagement and corporate corruption. To give an example - at that price it would cost you $1 to boil water for a cup of coffee.
Typical peak power prices are in the range $70-150 / MWh, with an average of about $100.
Joined: Feb 20, 2005 Posts: 2691 Location: Uppsala, Sweden
Posted: Tue Jun 28, 2005 5:06 am Post subject:
SolarDave wrote:
Starvid wrote:
Is this "Chicago Peaker" natural gas powered?
Click on the last link under references to read about the Chicago Peaker.
Okay, nat gas it is. Thanks for the pointer.
Quote:
Starvid wrote:
Anyways, solar must be compared with other "peaker plants", like hydro electricty (which is both base load and the ultimate peak load). Hydro electricity costs 2-3 cents per kWh. I believe solar power is about 15 times as expensive.
Yes, potential is the main problem for hydro power, most of the sweet spots are already taken. But how much of grid capacity needs to be peak load? In the US hydro is about 10 %, isn't this enough if you have a solid continent spanning grid (which the US does not have, I believe)?
In Sweden hydro is 45 % so we need no peak solar generation. I figure it will be most useful in sunny countries without much hydro, Australia maybe? _________________ Peak oil is not an energy crisis. It is a liquid fuel crisis.
There's a hierarchy of dependability from various peak power sources
and this is reflected in the cost a utility is willing to pay.
Near the top is the peak power plant. Below that is hydro -- the amount
available in the future will depend on water levels and to some extent
this will be known weeks or months into the future. Not enough time
to build new plants, but perhaps enough to scramble for other means
to provide peak.
Below those is solar. The ability to accurately predict whether the sun
will shine or not on a particular location is quite limited. Therefore this
mans of peak power will not merit the costs of those sources above it.
Even below that is wind. To use wind as a peak power source its
cost must be really low compared to the others because to assure
one unit of power will be available at a particular time, you must
have and pay for many.
The order is of course dependent of local conditions and one can imagine
somewhere on earth the sun alway shines or the wind always blows during
peak demand. Etc.
There's a hierarchy of dependability from various peak power sources
and this is reflected in the cost a utility is willing to pay.
Excellent points!
I recently discovered that in California, where we have considerable wind generation capacity, the contribution from solar is "counted" higher than wind during peak usage times.
Skip down to page 15 for a chart showing relative capacities of solar and wind, 466MW and 2,544MW respectively.
Then skip to page 20. Wind "base" generation capacity during peak grid usage times is derated to 100MW. During peak grid loads, the much smaller installed capacity of solar is considered to be four times as large.
This shows how complex the energy generation problem becomes with "unreliable" power sources such as solar and wind. There are lots of documents on the www.caiso.com site dealing with the "problems" created by wind generation in California. If solar were larger, I am sure there would be similar "problems." Nothing is as easy as simply "pouring on the coal" to get more power when you need it. Or oil. Or uranium. But all that will have to change....
But how much of grid capacity needs to be peak load?
I'm sure it varies state-to-state, but in California it's roughly a third, which is roughly 20,000 MW.
The bottom two-thirds could be something nice and stable like nuclear running at 90% capacity 24x7, but the top third is crying out for an alternative to more and more gas turbines. Huge potential for solar, if the pieces come together.
Joined: Jun 28, 2005 Posts: 39 Location: Oil Patch
Posted: Tue Jun 28, 2005 9:30 pm Post subject: Solar Peaking Plants
You may want to investigate the SEGS Plants that were built near Kramer Junction California in the late 80's and early 90's. These were solar linear trough thermal plants with the following outputs: (The best that I can remember...)
SEGS 1 and 2 = 10 MW each
SEGS 3, 4, 5, 6, 7 = 30 MW each
SEGS 8, 9 = 80 MW each
and if it had been completed SEGS 10 would have been 160 MW.
I dont know of the status of these plants at present - they were designed by LUZ Corp . They operated on solar during the day and natural gas at night or low light conditons in the Mohave desert.
This is close to the 300 MW that you were discussing but at a much higher efficiency than a PV Plant. PV requires inverting DC to AC and there some losses here as well as the lower efficiency of PV compared to Solar thermal.
Not that I dont think that PV intertie is bad idea- but 300 MW of roof top solar PV would be more efficient than centralized PV Power- no line losses.
The first photo in the message titled "Solar Growing like Weeds" is one of the SEGS (Solar Electric Generating Stations) . At this point in time it is almost 20 years since the first one was constructed.
Joined: May 02, 2005 Posts: 3277 Location: at the convention
Posted: Tue Jun 28, 2005 10:01 pm Post subject:
There are no technological barriers to prevent PV manufacturing from following a normal production profile leading to commoditry status. Up until now, the barriers have been market manipulation by enegy producers in the form of a market flooded with cheap oil, suppressing demand for PV.
Now that geology has wrested the primary manipulation tool from OPEC and the Majors (yes, I lump them together, the stains are still visible), demand will be able to follow it's natural course, and PV can take it's natural place in the market.
Be careful you don't read into my post what is not there. No where did I suggest PV can replace oil, nor did I suggest it would even come close. (why am I eggshell walking for doomers?..good grief!) All I am saying is that the kwh rate can drop substantially in real $ cost, and will, if circumstances allow. Germany and Japan are fortunately helping drive production by driving demand. _________________ "Don't ever become a pessimist... a pessimist is correct oftener than an optimist, but an optimist has more fun, and neither can stop the march of events."
Robert A. Heinlein
Can you redo your calculation with sensible numbers?
The referenced article about the "real" peaker plant states a 2 year payback for a $150 million investment.
My numbers are based on that. Admittedly, their calculations are based on turning the peaker plant on and off at just the right moments to capture the greatest ROI. I am assuming the solar peaker would be on at roughly the same times. Based on that, a 300MW solar peaker would generate the same revenue as a 300MW natural gas plant for the same run times. The solar peaker would also be on during all other sunny and even not-so-sunny hours. There is no reason to turn it off, unlike the polluting, inefficient natural gas peaker. That additional energy generation would help offset the solar peaker cost, which would be an order of magnitude larger. Even if all the additional solar generation (and we are talking 250 days of generation minus the 72 peak hours) generated no additional revenue whatsoever the solar peaker would pay back in 20 years. We know it would be less than that.
It is really quite a complex calculation and it would involve integrating power costs across daylight hours to arrive at the value of generated power for the solar peaker on a typical sunny day. It's beyond me both factually and mathematically, so I used the bounds of the gas fired plant (which the power company calculated) as the basis for my estimates. My numbers are as good as theirs (unless of course I made a mistake).
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