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FiT programs for other renewable energy sources such as wind and PV. To date, 14 CSP projects with a total capacity of 1,170 MW have been short listed [15] to build a capacity of 1 GW in the envisaged pilot phase. The forecast budget for these is around RMB 30 billion (US$4.7 billion). Among these, 400 MW are based on parabolic trough, 470 MW on power tower and 300 MW on Fresnel collector technology. The outlook for investing in the Chinese CSP market is highly positive. The 13th Five-year National Development Plan provides for a total
Solar 0,2%
CSP capacity of 10 GW, more than double the current worldwide installed CSP capacity. The Plan supports investments in CSP plants through an assured FiT providing a solid foundation for the introduction of FRENELL’s DMS® system to the Chinese market. DMS® is perfectly suited to support Chinese legislators in reaching their ambitious goal in generating a clean, economic source of renewable energy. A techno-economic analysis by FRENELL for a standard 100 MW DMS® CSP power plant with 14 hour storage and a capacity factor of 44% demonstrates its keen commercial competitiveness not only in China’s current
Nuclear 2,3% Natural gas, bio-mass 3,8%
Wind 2,6% Hydro 16,8%
Coal 74,3%
Figure 26: Electricity production in China by source (2013)
Technology
Capacity
Linear Fresnel
300 MW
Parabolic Trough
400 MW
Power Tower
470 MW
Total
1,170 MW
Table 3: China’s projected CSP plants for the pilot phase [15]
Figure 27: DNI map of China [3]
electricity market but also well into the future. Figure 25 shows the levelized cost of electricity such a DMS® CSP plant can achieve at different project IRRs. At moderate IRR’s of 5%, FRENELL’s DMS® technology appears to be cost competitive with coal, providing China’s with a significant strategic option for its long-term energy planning. The economics of scale are unmistakeable in China. It is a large and growing market with significant potential to further extend the renewable energy portfolio by using DMS® CSP to lower China’s carbon footprint and dependency on fossil fuel imports.