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Solar water heaters are a very simple way of saving grid electricity. Bangalore city has promoted<br />

the use of solar water heaters in a big way, and according to one estimate, it is resulting in a saving<br />

of 900 MW peak load! dclx<br />

China is the world leader in solar hot water systems, with 60% of the world’s capacity. It<br />

presently has nearly 27 million rooftop solar water heaters; the energy harnessed by these<br />

installations is equal to the electricity generated by 49 coal-fired power plants. In Europe too,<br />

rooftop solar water heaters are spreading fast. Cyprus is the per capita world leader, with 92% of the<br />

homes having solar water heaters. 15 percent of all Austrian households now rely on them for hot<br />

water. Some 2 million Germans are now living in homes where both water and space are heated by<br />

rooftop solar systems. In the United States, heating swimming pools was the dominant application<br />

of solar hot water till 2005. In 2006, federal subsidies were introduced, and since then installation of<br />

residential solar water and space heating systems has soared. dclxi<br />

b) Solar Thermal Concentrating Systems<br />

By using mirrors and lenses to concentrate the rays of the sun, solar thermal systems can<br />

produce very high temperatures – as high as 3,000 degrees Celsius. This intense heat can be used<br />

boil water and produce electricity. One of the greatest benefits of these solar thermal systems, more<br />

commonly known as Concentrating Solar Power (CSP) systems, is the possibility of storing the<br />

sun’s heat energy for later use, which allows the production of electricity even when the sun is no<br />

longer shining. Properly sized storage systems, commonly consisting of molten salts, can transform<br />

a solar plant into a supplier of continuous baseload electricity. CSP systems now in development<br />

will be able to compete in output and reliability with large coal and nuclear plants.<br />

CSP technology is best suited for the desert regions of the world – including desert regions<br />

in the southern United States, North Africa, Mexico, China and India. Typical CSP plants are of<br />

between 50 – 200 MW capacity. The first commercial CSP plants were built in the 1980s, but it is<br />

only in the last few years that capacity has expanded rapidly. The US is the world leader in installed<br />

CSP capacity. While it had only 430 MW in operation in 2009, approximately 7,000 MW are in the<br />

process of development, of which 3000 MW is expected to be operational by 2011. dclxii The<br />

European Renewable <strong>Energy</strong> Council expects total CSP installed capacity to exceed 1000 MW by<br />

2010 and 20,000 MW by 2020. dclxiii China has also announced plans to set up CSP power plants of<br />

2000 MW capacity over the next decade. dclxiv Large scale CSP plans have also been announced in<br />

Jordan, South Africa, United Arab Emirates, Egypt, Morocco, Mexico and several other<br />

countries. dclxv<br />

CSP costs are declining as technology improves and production increases. Existing CSP<br />

plants produce electricity for around 12 cents/kWh. These costs are expected to fall to below 6<br />

cents/kwh by 2015, dclxvi making it probably cheaper than conventional electricity for decentralized<br />

systems. Therefore, CSP-generated electricity is poised for a huge leap in the coming years. A study<br />

by 'Emerging <strong>Energy</strong> Research' (a leading provider of market intelligence on the global energy<br />

industry) projects cumulative global installed capacity of CSP to go up to 26,465 MW by 2020. dclxvii<br />

161

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