Communications & high tech

Technology development potential for solar thermal electricity (STE)

Solar Thermal Electricity (STE) comprises various technologies that convert concentrated solar radiation into heat to produce electricity. Mirrors focus direct solar radiation onto special receivers, in which fluids are heated up beyond 400°C. This heat is converted into mechanical energy by means of a thermodynamic cycle and then into electricity by the alternator.

Growth drivers
After over 20 years of successful operations, STE is now entering a commercial ramp-up phase with several large scale projects around the world of approximately 50MW. Growth drivers for this energy source include increasing demand for renewable energy sources (RES), and a unique value proposition when compared with other energy sources:

Predictability and reliability of production
Dispatchability due to proven and highly cost efficient storage and potential plant integrated back-up firing
Grid stability due to the inertial features of STE power blocks
Cost competitiveness against other renewable energy sources
Large-scale deployment and energy on demand
Long-term supply security and independence from oil and gas prices
High share of local content

High level STE industry roadmap

Cost reduction
A joint study by the European Solar Thermal Electricity Association (ESTELA) and A.T. Kearney found that STE has the potential for electricity generation cost savings of up to 30% by 2015 and up to 50% by 2025, based on efficiency improvements and scale. STE will then reach competitive levels with conventional energy sources. Additionally, STE can complement a portfolio of renewable energy sources as a peak to mid-load provider, as a substitute to conventional sources.

Job creator
For countries where STE is an option, the deployment of STE plants can drive domestic economic development via local manufacturing and operation. In a best-case scenario of up to 100 gigawatts (GW) of global installed capacity in 2025, there is potential job creation of 100,000 to 130,000 new jobs. Of these, 45,000 would be permanent, full-time jobs in operation and maintenance.

Solar Thermal Electricity 2025:
Clean electricity on demand: attractive STE cost stabilize energy production
This joint study by the European Solar Thermal Electricity Association (ESTELA) and A.T. Kearney produced an industry roadmap. The study is a collective effort to assess STE’s competitiveness and to create a common understanding within the industry about the current status and expected evolution of the technologies.
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Solar thermal electricity (STE) reaches marketability – generation costs can be reduced by more than 50 percent by 2025
29 June 2010
A joint study by A.T. Kearney and the European Solar Thermal Electricity Association, ESTELA, shows the growing mid-term potential of STE to progressively substitute conventional energy sources and complement the renewable energy sources portfolio with a cost-competitive dispatchable solution.
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