Financial feasibility of concentrated solar power with and without sensible heat storage in hot and dry Indian climate

Abstract

The present work assesses the economic feasibility of Concentrated Solar Power plants employing 3 different technologies – PTC, SPT and LFR with two different plant capacities of 50 MW and 100 MW for Jodhpur (annual average DNI of 2237 kWh/m2). CSP plants are economically analysed both with and without thermal energy storage system (8 h of storage). System Advisor Model (SAM) software has been used for the study employing the recent regulatory policies as provided by the Central Electricity Regulatory Commission (CERC) in 2016. Financial parameters, namely Net Present Value (NPV), Discounted Payback Period (DPP), Payback Period (PBP), and Levelized cost of electricity (LCOE), have been calculated to get a crude economic comparison of the plants taken under consideration. CUF and annual generation of all the plants were observed to have increased when fitted with thermal storage. Highest NPV is 6940. 4 million ₹ (93.55 million $) for a 50 MW PTC plant with storage while the lowest LCOE calculated is 9.27 ₹ (0.125 $)/kWh for a 50 MW LFR plant without thermal storage. Findings of this study would enable an appropriate selection and installation of a solar project for the country's hot and dry climatic regions. Applied assessment methods can also aid the investors and decision-makers in better understanding the upcoming CSP projects' financial viability beforehand.