Making concentrated solar power competitive with coal: The costs of a European feed-in tariff
The European Union has yet to determine how exactly to reach its greenhouse gas emissions targets for the future. One potential answer involves large-scale development of concentrated solar power (CSP) in the North African region, transmitting the power to Europe. CSP is a relatively young and little utilized technology and is expensive when compared to other methods of generation. Feasibility studies have shown it is possible to generate enough power from CSP plants in Africa to spearhead the EUs climate goals. However, the costs of such a project are less well known. Currently, CSP must compete with low cost coal-fired electricity plants, severely hindering development. We examine the possible investment costs required for North African CSP levelized electricity cost to equal those of coal-fired plants and the potential subsidy costs needed to encourage growth until the technologies reach price parity. We also examine the sensitivity of investment and subsidies to changes in key factors. We find that estimates of subsidy amounts are reasonable for the EU and that sensitivity to such factors as perceived risk and learning rates would enable policy-makers to positively influence the cost of subsidies and time required for CSP to be competitive with coal.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Junginger, M. & Faaij, A. & Turkenburg, W. C., 2005. "Global experience curves for wind farms," Energy Policy, Elsevier, vol. 33(2), pages 133-150, January.
- McDonald, Alan & Schrattenholzer, Leo, 2001. "Learning rates for energy technologies," Energy Policy, Elsevier, vol. 29(4), pages 255-261, March.
- Kevin Ummel & David Wheeler, 2008. "Desert Power: The Economics of Solar Thermal Electricity for Europe, North Africa, and the Middle East," Working Papers 156, Center for Global Development.
When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:38:y:2010:i:6:p:3089-3097. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.