Solar Thermal Paired with Natural Gas

Wednesday, March 10th, 2010

Across 500 acres just north of West Palm Beach, the FPL Group is building the world’s second-largest solar thermal plant, with 190,000 mirrors:

But that is not its real novelty. The solar array is being grafted onto the back of the nation’s largest fossil-fuel power plant, fired by natural gas. It is an experiment in whether conventional power generation can be married with renewable power in a way that lowers costs and spares the environment.

This is (almost) exactly what I was discussing with respect to wind power recently. An intermittent alternative-energy plant can produce energy at near-zero marginal cost, but it can’t guarantee energy when it’s needed, while a natural gas plant can’t produce free energy, but it can produce energy right when it’s needed. (At least solar-thermal generation is naturally correlated with when people demand energy to run their air conditioners.)

Under the same ownership, I suspect we’ll see that a kW of “backup” natural gas capacity combined with a kW of seasonal solar capacity has very high capital costs for its sometimes-low, sometimes-high variable costs — so only questionable subsidies and mandates will make solar appear economical, as in Spain, where they agreed to buy solar power for $0.58/kWh.

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