Countries
having subsidy program like tax rebates, feed in tariffs etc. implement
solar farms. Due to availability of solar panel, solar inverters and
installation expertise, building a solar power plant is quite convenient
at present. On the other hand, the permits and regulations for building
a solar power plant or a solar farm vary from country to country and
region to region based on federal and state laws. Before building a
large scale solar power plant, lots of permitting steps need to be
passed. These requirements are comparatively less for building a smaller
solar power plants in the range of 5 MW. Basic steps required to build a
Solar Power Plant are given below:
Selecting the site:
Selecting a suitable site for building the solar power plant is
crucial. The site should be free from shadow and trees. The Area must
have easy access to the roads and the power grid.
Initial
Financial Analysis: Initial financial feasibility with information like
the solar insolation, land costs and interconnection possibility with
the power grid operator.
Land Acquisition: In this step, land acquisition starts through the transfer of ownership and leasing from government.
Engineering
Design/Selection of the Technology: An Engineering Layout is prepared
along with the Selection of the Technology and Vendors of Solar
Equipment.
Permitting: In this
step, various permitting procedures should be followed. This is specific
to an area and can be quite cumbersome. Permitting involves very heavy
costs forming almost 15-20% of the cost of a Solar Power Plant Project.
Power
Purchase Agreement: A Power Purchase Agreement (PPA) required to be
signed with the Power Utility who will buy the Electricity.
EPC
Selection: A Solar EPC Contractor or a System Integrator is selected.
In case an EPC Contractor is selected, then Solar Panels, Mounting and
Inverters needs to be purchased if the Contract is not a Turnkey One.
Financing:
Financing of the Solar Power Plant Project should be done. Solar Power
Plants require a high initial investment with very low operation and
maintenance costs. Typically, 60-80% of the Project is Debt Financed.
Testing and Connection to Grid: After building the Solar Power Plants, testing of the plant must be done before connecting to the Power Grid.
Ongoing
Operation & Maintenance: A Solar Power Plant has a life span of
25-30 years and requires less maintenance and monitoring. Solar
Inverters should be replaced after 10-15 years. In case a Solar Module
fails, it needs to be replaced as it degrades the performance of other
Solar Panels.
Building a solar power plant requires project
management and technical skills distinctive of an industrial project
with some unique features. The above steps are a simplistic procedure
for building a solar power plant. The process in fact requires in depth
and concrete execution skills. A solar power plant can be built in 3
months to 2 years depending on the permitting and the expertise
required.
This is quite different from the major sources of energy we use right now, namely fossil fuels. True, if we did use all of our fossil fuels, they would eventually one day be replenished. Oren Ahronson & Oren Ahronson But it takes the earth tens of thousands of years, maybe longer, to filter the carbon out of the atmosphere and put it back under the soil. Because this process takes so long, we consider that fossil fuels are non-renewable. No one alive now will ever see these energy sources put back in the ground.
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