solar pv - general useful info.pdf

7/27/2019 SOLAR PV - General Useful Info.pdf

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ISA SOLAR PV CONCLAVE 2008

A presentation

by

B. Venkateswara RaoGeneral Manager (Projects & Technical)

Indian Renewable Energy Development Agency Limited

September 29, 2008


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Power Scenario in IndiaPower Scenario in India

To meet the growing demand and shortages generation capacity needs

to be doubled by 2017 and increased 6 folds to 800 GW by 2031 - 2032

Installed Capacity : 145586 MW (As of July, 2008)

Share of RE : 12194 MW (8%)

Solar Power Plants Harnessed : 3 MWp

Average Electricity Shortage : 9.6%

Peak Shortage : 13.8 %

Access to Electricity (Rural) : 44% households


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Power SectorPower Sector ProjectionsProjections

Target for Capacity Addition during XI Plan ( 2007 2012) : 78578 MW

Target for Capacity Addition during XI Plan ( 2007 2012) : 14000 MW

(Renewable Energy)

GOI target Electricity for all by 2012

About 18000 remote villages to be electrified through RE

About 25% of remote villages i.e. 4500 villages form a very viable market.

Majority of villages spread across states like U.P., Uttarakhand, Chattisgarh,J&K, Jharkhand, Orissa and NER States where Solar PV would be the onlyRenewable Energy Resource.

Targets dur ing XI Five Year Plan (2007 2012)


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Power Sector at GlancePower Sector at Glance

Nuclear

3%

Renewable

9%

Hydro

25%

Thermal

63%

Thermal 91, 907

Hydro 35, 909

Renewable 12,400

Nuclear 4, 120 Renewable Energy (including Hydro) accounts 34% of the installed capacity in India


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Indian Renewable Energy ScenarioIndian Renewable Energy Scenario

Sector Potential Achievement

(As on 31.03.2008)

Wind 45000 MW 8757 MW

Small Hydro 15000 MW 2180 MW

Biomass Power/ 16000 MW 606 MW Bagasse Cogeneration 3500 MW 800 MW

Waste to Energy 2700 MW 55 MW

Solar PV 20 MW/sq.km 3 MW

Renewables : Total installed capacity 12400 MW

Target for Capacity Addit ion during XI Plan ( 2007 2012) : 14000 MW


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Solar PV Market Growth in IndiaSolar PV Market Growth in India

Sector-wise use of PV Modules (335 MWp aggregate capacity)

Others (40.5)

Telecom (22)

Power Plant (6)Pump (11)

Lantern (7.5)

Street Light (5.5)

Home Light (16.5)

Exports (225)

Sector-wise use of PV Modules (335 MWp aggregate capacity)


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Solar PV ProductionSolar PV Production

2752002007-08*

1551552006-07

103532005-06

75402004-05

Solar ModuleProduction (MWp)

Solar Cell Production(MWp)

Year

* Estimate


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Present Status of Solar PVPresent Status of Solar PV

Developers / Manufacturers in IndiaDevelopers / Manufacturers in India

PV Cells Mfg. Co. 9 Nos.

PV Module Mfg. Co. 21 Nos.

PV System Mfg. Co. 80 Nos.

Estimated Turnover Approx. Rs. 4000 crores


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MNRE Demonstration ProgrammeMNRE Demonstration Programme

ononGrid InteractiveGrid Interactive

Solar Power GenerationSolar Power Generation


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ObjectivesObjectives

Development & demonstration of mega-watt capacity gridinteractive PV Power generation in the country

Reduction in the cost of Solar PV / Thermal Power plants /systems

Reduction in the cost of electricity generation from grid

connected Solar PV Power plants

Demonstration Programme on Grid Interactive Solar Power Generation


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Implementation ArrangementsImplementation Arrangements

Project proposals will be considered by Ministry of New andRenewable Energy (MNRE) for approval on f i r st com e f i r st ser ve basis in accordance with guidelines of MNRE.

Project proposals will be considered on merit basis.

Projects set up by the developers on build, own and operate

basis in accordance with the guidelines of MNRE.



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Targets and Generation based IncentivesTargets and Generation based Incentives

Support for maximum capacity up to 50 MWp (Maximum10 MW for each state) during 11th Five Year Plan.

Minimum of 1 MW and maximum of 5 MW can beallocated to a Developer.

Generation based incentive up to maximum of Rs.12/- perkWh for Solar PV Grid Power Plant (deducting powerpurchase rate which is distributed at notional value of

Rs.15/-).



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Accelerated depreciation benefit is not allowed whileavailing the incentives.

Third Party Sale, Banking and Billing of power is notpermitted.

The generation based incentive is available for maximumperiod of 10 years from the date of approval and regularpower generation from the project.

MNRE may announce a new policy by 31.03.2010 for thegeneration based incentives and guidelines which will beapplicable for all such proposals and projects.

Contd..

Targets and Generation based IncentivesTargets and Generation based Incentives



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Eligible OrganizationsEligible Organizations

All existing Registered Companies, Central /

State Power Generation Companies, Public and

Private Sector PV Project Developers

Individuals, NGOs, Financial Institut ions, Societies and other unorganized

investors are not eligible to participate DIRECTLY.



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Roles and ResponsibilitiesRoles and Responsibilities(For Grid Interactive Solar Power Generation Projects)(For Grid Interactive Solar Power Generation Projects)

Approval / Sanction of Projects byMNRE

Disbursement of generation based incentives through IREDA

Installation and Maintenance of the power plant by Project Promoter

Inspection and Monitoring of the Power Plant by the team of officials from MNRE / SNA / Utility / IREDA

Field Evaluation studies by MNRE through Professionals / Independent Organizations

Project loan can also be provided by IREDA



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Financing of Central / GridFinancing of Central / Grid

Connected Projects by IREDAConnected Projects by IREDA

Loan amount upto 75% of the total project cost

Minimum promoters contribution 25% of the total

project cost

Maximum loan repayment period upto 10 years

Interest rate 13.00% to 14.00% based on the riskassessment of the promoters / project

Eligibility criteria



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Eligibility Criteria for IREDA LoanEligibility Criteria for IREDA Loan

Public, Private Ltd. Companies, NBFCs and RegisteredSocieties.

Individual, Proprietary and Partnership Firms (with

applicable conditions).

State Electricity Boards which are restructured or in theprocess of restructuring and eligible to borrow loan fromREC/PFC).

Profit making applicants and with no accumulated losses.

No erosion in paid up equity share capital.



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Solar Photovoltaic TechnologySolar Photovoltaic Technology


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Highest Solar Cell Efficiencies (World)Highest Solar Cell Efficiencies (World)

Delaware University42.80.20GaAs (20 x)

Spectrolab40.70.40GaAs (500 x)

North Carolina University6.01.00OrganicSharp10.41.00DYE

Stuttgart University16.64.01Si Films

NREL19.51.00CIGS

NREL16.81.00CdTe

USSC13.50.27a-Si Triple Junction

SANYO12.71.00a-Si Single Junction

FhG-ISE20.31.00Si Multi Crystal

UNSW24.74.00Si Single Crystal

GroupEfficiency

%

AreaSq.cm.

Technology


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Contd..

Highest Solar Cell Efficiencies (India)Highest Solar Cell Efficiencies (India)

NPL10.50.03CdTe

IISC13.00.41CIGS

Jadavpur University8.70.98Si Films

Delhi University5.01.00Dye Sensitized

IIT, Kanpur3.00.50Organic Cells

IACS6.01.00a-Si/c-Si (nc-Si)

IACS11.51.00a-Si Multi JunctionIACS12.01.00a-Si Single Junction

Tata BP16.0100.00Multi Crystal

CEL19.764.00Single Crystal

GroupEfficiency

%

AreaSq.cm.

Technology


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National Solar MissionNational Solar Mission


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National Solar MissionNational Solar Mission -- ObjectivesObjectives

To deliver at least 80% coverage for all low temperature (


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Industrial Growth to meetIndustrial Growth to meet

requirement of Solar Missionrequirement of Solar Mission

Annual production capacity of about 2000 3000tonnes of poly silicon material and down the line siliconingot and wafer production facilities to be set up by 2012

and upgrade to 30,000 tonnes by 2017.

The domestic manufacturing capacity for solar cells andmodules to be increased from the present level of about110 MW to more than 5 GW by 2017.

Achieve cumulative PV module production of 800 MWduring the 11th plan and another 2 GW during the 12th

plan period.

National Solar Mission


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PV Road MapPV Road MapEfficiency Targets towards 2022Efficiency Targets towards 2022

47 (50)39 (45)28 (32)--GaAs Conc. solarcell

12-17 (25)8-10 (15)(5-10)(2-5%)Dye/organicnano based solarcell

19 (22)

21 (25)

14 (16)

15 (20)

10 (13)

10 (15)

CdTe (10%)

CIGS (13%)

Polycrystallinesolar cell

16 (20)12-14 (16)8 (13.5)5-6%* (10-12%)

*Pilot Plant

Thin-film siliconsolar cell

24 (26)23 (25)19 (22)13-16% (19.7%)Crystalline siliconsolar cell

2021-222017-182011-12

Conversion Efficiency Target(%)

Present StatusProduction (R & D)

Type of SolarCell


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Effects of R&DEffects of R&D -- Cost of Solar PVCost of Solar PV

70110170PV System price Rs./Wp

(low storage, hybrid)

80120185PV System price Rs./Wp(with storage)

60100160PV System price Rs./Wp(No storage)

3060120PV Module price Rs./Wp

202220172012Technology


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Issues & Challenges for developmentIssues & Challenges for development

of Large Scale Solar Power Plantsof Large Scale Solar Power Plants

Project DevelopersProject DevelopersNeeds long term

commitment & purchase

of power to achieve cost

reduction

FinancierFinancierneeds technology

demonstration viability of

the Project

DeveloperDeveloperNeeds proof of

technology expenditureon demo projects

DemonstrationDemonstration

ProjectsProjectsInitial cost i s high

UtilityUtilityHesitate to go for long term

commitment for PPA and

awaiting better prices

Cost reductionCost reduction

is possible only by massproduction of s ystem and

large capacity pl ants

How to breakHow to break

this viciousthis vicious

circle?circle?


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Suggestions to overcome barriersSuggestions to overcome barriers

Developers may be large companies i.e. utilities &corporations

Ownership by utilities, if possible

Price escalation clause at least equal to inflation ratelinked to cost of living

Longer PPA about 25-30 years i.e. life of the system

Favourable Govt. policies including incentive package etc.

New technology development


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Technology: Solar Flat Plate PV SystemTechnology: Solar Flat Plate PV System

Status Fixed or tracking crystalline or multi-crystalline flat plate: fully

commercial

Thin film flat plate: early commercial

Over 250 systems installed worldwide larger than 1 MW; 7 systems

over 10 MW

Largest is 20 MW in Germany 15 MW system at Nellis Air Force Base, Nevada

8.2 MW System at Alamosa, CO

Environmental Footprint

Acres/MW- Fixed Orientation silicon 7.5 acres per MW

- One axis tracking silicon 9.5 acres per MW

- Fixed orientation thin film 10 acres per MW

Lower water usage (washing), no air emissions


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Technology: Solar Flat Plate PV SystemTechnology: Solar Flat Plate PV System

Load Matching and Storage

As available

Subject to rapid transients with cloud passage

No storage in currently proposed systems

Future storage to mitigate transients?

Potential for Cost Reduction

Increased deployment / manufacturing

Maturity of low cost / medium efficiency thin film

Reduction of tracking costs

Suppliers Large number of domestic and international suppliers

Contd..


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Technology: Solar Concentrating PV SystemTechnology: Solar Concentrating PV System

Status Some suppliers offerings can be considered pre-commercial

Other supplier offerings are demonstration or conceptual

Environmental Footprint Currently above 5.5 acres/MW, decreasing to 4.5 acres/MW with higher

efficiency cells

Low water requirement (washing); no air emissions

Load Matching and Storage As available

Subject to rapid transients with cloud passage

No storage in currently proposed systems

Future storage to mitigate transients?

Potential for Cost Reduction Costs not sufficiently developed for benchmarking

Mass Production

Increased cell efficiency (less collector area required)


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Crystalline silicon flat plate PV are commercial

technologies

- They have moderate opportunity for cost reduction

- They are low risk

Thin Film PV

- Potential for low costs, but reasonable efficiencies mustbe reached at that low cost

- Watch out for balance of plant and area-related cost

Concentrating PV- High efficiency multi-junction cells will cut costs- Will be competitive in future

Status and Viability of variousStatus and Viability of various

Solar PV TechnologiesSolar PV Technologies


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Important Steps in establishingImportant Steps in establishing

Central Solar Power ProjectsCentral Solar Power Projects

Identification of Energy Resource Zones especially w.r.t.Solar Power Projects

Creation of conducive policy atmosphere- Lease of land at concessional price

-To provide all necessary clearance includingestablishment of plant & transmission lines

- Long range planning & clear road map for 10-20 years

Establishment of transmission lines- To provide necessary land / forest / local clearance


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Incentives / Tax Credits and Financing- Upfront tax credits / income tax rebates

- Quasi equity / least cost credits

- Sub ordinate debit

- Production linked incentive for longer period

- To enable long term PPAs approx. 25-30 years

Favourable local / state policies- Land clearances

- Attractive purchase tariffs for solar power from state

agencies etc.

Contd..


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Identification of Technology

- Based on efficiency / stability / suitability / viability /

cost effectiveness

Exploration of Hybrid Systems

- Suitable Thermal storage options

Contd..

Ensure good operation & maintenance of power plants

- Manpower training

Participation of Utilities, Equipment Manufacturers,Financial Institutions / Banks on joint partnership


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To create green cess / pool fund to provideincentives to C&P

Innovative financing methods

- Equity Participation- Longer repayment period- Balloon repayment etc.

Contd..

Explore foreign funds at concessional cost


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Solar PV Power vs. Diesel PowerSolar PV Power vs. Diesel Power

It is a viable option provided -

Availability of low cost funds for Solar PV and long-termrepayment

Matching of Day time load

Availability of maximum depreciation benefit in the first year

Consideration of life cycle cost and savings

Consideration of environmental benefits

Possible to set up Central Solar PV Station in remotelocations with reasonable transmission charges and also forself-consumption of power by the same industry


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Cost Reduction AttemptsCost Reduction Attempts Solar PVSolar PV

Process yield to be increased from 96% to 98% through use oflaser cutting and cell testing machines

Optimization of lamination cycle for better results

EVA formulation being optimized

Dispensing with module frames but modifying mountingstructures

Edge-sealing to decrease the probability of moisture ingress

Use of pyramidically textured front glass for opticalenhancement

Handling of thin and fragile cells improved with minimalbreakages


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To reduce cost of manufacturing of basic raw material.

To improve the module efficiencies between 30% 50% beyond2030.

Consumption of Poly Silicon to reduce from 5 g/Wp to 2 g/Wp by2030.

Cost of Cyrstalline Silicon to reduce from US$ 1.3/Wp to US$ 0.4Wp by 2020.

To reduce cost of power generation by optimum systemconfiguration.

For spawning a thriving solar market, the technology needs to becompetitively cheaper.

Contd..

Cost Reduction AttemptsCost Reduction Attempts Solar PVSolar PV


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Solar Financing ChallengesSolar Financing Challenges

Upfront Capital Cost

Central Govt. policies / tax incentives / rebates / generation linkedincentives

SEB Purchase of Power Costs

Long Term PPA

Technology Upgradation

Availability of Green Cess / Lower Cost of Funds

Transmission issue for large power plants

Feed-in tariff / Net metering for longer period at guaranteed rate

Renewable Energy Certificates

Need to develop a supply chain that can bring efficiencies to thesystem, from design to delivery and ultimate service in the field.

Focus on market based incentive to force the manufacturers toinvest in efficient supply chain.


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Thank you

Indian Renewable Energy Development Agency LimitedCore 4 A, India Habitat Centre,

Lodhi Road, New Delhi 110003, IndiaEmail :[email protected]

Website:www.ireda.in

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