Edgar A. Gunther
Global PV Industry taking planes, trains, automobiles, and perhaps boats to Valencia for “the most important international Event in the field of Photovoltaics”.
The 23rd European Photovoltaic Solar Energy Conference and Exhibition (EU PVSEC) opens Monday, September 1, 2008 (Labor Day!), and runs through the Closing Ceremony at Noon on Friday, September 5, 2008, located at the Feria Valencia Convention and Exhibition Centre in Valencia, Spain.
While the Conference Dinner is booked, it appears Conference Registration is still possible. Per custom, the Welcome Letter has been emailed to Registered Conference Delegates and will also be included in the Conference Bag. Please consult the Overview on the venue and Practical Information for the layout of the Feria and information about Valencia.
Here’s the entire Conference Program Outline including:
In addition, EPIA (European Photovoltaic Industry Association) has organized the following Activities:
- EPIA Industry Area
- B2B Workshops
- Grid Parity – two words, many different meanings
- Development of Leading European Markets - Policy up-date
- New requirements for grid connection
- EPIA Beach Party
- Billed as an exclusive “invitation only” event on Thursday, September 4, 2008, after the close of the exhibition.
- EPIA Open Bar
- The EPIA Open Bar, a new tradition from Milan, returns Tuesday and Wednesday from 17:30 to19:00 (5:30 to 7:00 PM) to facilitate informal meetings, networking and relaxation.
About 600 exhibitors covering 48000 square meters of space have booked the Feria Valencia for the 23rd EU PVSEC. The Exhibition will is open Monday, September 1, 2008, through Thursday, September 4, 2008, from 09:00 to 18:00 (9:00 AM to 6:00PM). Best of all, visiting the 23rd EU PVSEC Exhibition is free with registration available onsite.
Here are the List of Exhibitors, Exhibition hall layouts, and mappings:
This year, the Becquerel Prize 2008 will be awarded at the Closing Session instead of the Opening Session (please see “22nd EU PVSEC Opens”). Maybe this will encourage more attendance on the last day of the Conference?
This YouTube video titled “Valencia” appears to be a bootleg from the official TURISMO VALENCIA Convention Bureau Download section with Videos, Digital Guides, and PDFs.
Edgar A. Gunther
Production is supposed to commence a quarter later in Q3 2008 (about now) as the company remains stealthy. There has been a dearth of news regarding RSI Silicon Products, LLC since RSI Silicon: Solar Grade Silicon from Pennsylvania (then Alabama) explained the RSI Silicon process. In fact, I missed an earlier article by Solarbuzz titled “RSI Silicon Products Nears Completion of Solar Grade Silicon Manufacturing Plant” from January 18, 2008, that has now been removed from their website. Google’s cache snapshot is here for as long as it lasts. Towards the end of the article, Solarbuzz said:
The major equipment items have been delivered to the 178,000 square foot Easton facility, and it is anticipated that production will ramp up during the second quarter of 2008 for full production in the third quarter.
In parallel, RSI Silicon Products has underway the development of a 17,500 ton per year plant in Childersburg, Alabama.
A member of RSI Silicon's team, Ed Boardwine, will be CEO of the Alabama subsidiary. He is the former President & CEO and part owner of SIMCALA, a large silicon manufacturer in Alabama which was sold to Dow Corning in 2003. Mr. Boardwine is currently helping to manage the startup of the Easton, PA plant.
Per RSI’s Current Status:
Dr. Steve Amendola, along with his experienced team, has commenced building the first plant. It is envisaged that production at the 1,000 metric tonne per annum plant based in Northampton County, Pennsylvania, will commence Q3 2008.
RSI anticipates completing a new plant in 2009 that will have a production capacity of 30,000 metric tonnes per annum, consisting of 6 new 5,000 tonne furnaces.
As I captured back in January 2008, RSI claimed:
Dr. Steve Amendola, along with his experienced team, has commenced building the first plant. It is envisaged that production at the 1,000 metric tonne (bold added) per annum plant based in Northampton County, Pennsylvania, will commence Q2 2008.
RSI anticipates completing a new plant in Alabama in 2009 that will have a production capacity of 24,000 metric tonnes per annum, adding a new 5,000 tonne furnace in 2010 and 2011.
Comparing the stories, the production start has been delayed one quarter, the production capacity for 2009 has been increased by 6000 MT (metric tons), six (6) new submerged arc furnaces are being added, and Alabama is no longer specified as the location of the new plant.
Does this mean C. Edward Boardwine, the former Simcala CEO, is no longer part of the RSI Silicon Team or has the location of the new plant been changed? Simcala, Inc. was acquired by Dow Corning in 2003.
According to The Pennsylvania Bulletin public disclosure dated March 22, 2008:
48-307-062: RSI Silicon Products, LLC (3700 Glover Road, Easton, PA 18040) for installation of two electric arc furnaces and associated air cleaning devices (fabric collectors) at their facility in Forks Township, Northampton County. The facility is a non-Title V facility. The total PM emissions from the fabric collectors will be 2.0 tpy and shall not exceed 0.003 grain/dscf. The plan approval will include emission restrictions, monitoring, reporting and work practice requirements designed to keep the sources operating within all applicable air quality requirements.
RSI is installing two electric arc furnaces of unknown size at the Easton facility capped at 2 tons per year (tpy) of Particulate Matter emissions. The arc furnaces are used in the final step of RSI Silicon’s production process using Carbothermic Reduction to yield Solar Grade Silicon from the pure silica along with Carbon monoxide (CO) as a byproduct. Perhaps RSI’s website claims about Waste and Emissions:
RSI’s unique processing methods produce no harmful gases or polluting emissions.
are not quite accurate?
One metallurgical expert who read my last RSI Silicon process post and observed the final Solar Grade Silicon was tapped direct from the arc furnace said:
That would constitute the cleanest silicon arc furnace in history.
When I saw the news, Dow Acquires Rohm and Haas, Creating World’s Leading Specialty Chemicals and Advanced Materials Company, I wondered if RSI Silicon had long term contracts in place with Rohm and Haas Company or alternate sources for the chelating agent AMBERLITE IRA734 that is critical to removing Boron from their Sodium silicate solution? After all, The Dow Chemical Company is a majority owner of polysilicon oligarch Hemlock Semiconductor Corporation via the Dow Corning Corporation joint venture.
Although RSI Silicon acknowledged my requests for an interview this time, they chose to decline.
Edgar A. Gunther
Ramping new 25 MW (MegaWatt) production line in September 2008 Since Concentrix Concentrator PhotoVoltaic System achieves 23% Efficiency, Concentrix Solar GmbH announced the same High-efficiency FLATCON® technology enters industrial-scale production (Deutsch) last Friday, August 15, 2008. Concentrix is moving across the town of Freiburg im Breisgau, Germany, to a new 4000 square meter production and service space located in a portion of the former Spectral Lichttechnik building at the Auf der Haid industrial park.
Concentrix’s new factory will produce CPV (Concentrator PhotoVoltaic) FLATCON modules using an automated 25 MW production line leveraging two (2) years of experience operating their 1 MW pilot line. Concentrix claims “the infrastructure is already in place to step up production to 50 MW.” The new facility is expected to create 150 new jobs augmenting Concentrix’s fifty (50) or so employees.
With new production capacity in place, Concentrix is keen on expanding sales and will exhibit at the upcoming 23rd European Photovoltaic Solar Energy Conference and Exhibition (EU PVSEC) in Valencia, Spain. Regarding the new production facility, CEO Hansjörg Lerchenmüller said:
It means we can at last meet the strong demand for our systems. High-efficiency concentrator photovoltaic systems will play a key role in the sunbelt because high efficiencies are a key to lowering costs. We are certainly well prepared for the future and can now additionally take on large power plant projects in the 1 to 10 MW range.
Per two German articles, Sonne gebündelt and Concentrix zieht auf die Haid, Concentrix turned down a 30 to 50% capital investment incentive from the German state of Saxony to move their mass production east. Concentrix cited their existing supplier network, partners (such as Fraunhofer Institute for Solar Energy Systems), the attractiveness of Freiburg to future employees, and the immediate availability of the Spectral building as their rationale for staying put in Freiburg. Concentrix was said to be spending €2 million to alter the former Spectral building to suit their needs.
The CPV Consortium has a landing page for the Website Under Construction along with a CPV Consortium Membership Application for those interested in joining.
Edgar A. Gunther
Securing silicon through long-term contracts, in-house production, and recycling. SolarWorld Secures Sustainable Solar-Grade Silicon Supplies Through In-House Production, Recycling and Long-Term Contracts with Renowned Manufacturers (Deutsch) was the news Tuesday, August 12, 2008. SolarWorld AG’s (FRA:SWV) wholly owned subsidiary, Deutsche Solar AG, secured an additional $580 million polysilicon contract with DC Chemical Co., Ltd. (SEO:010060) for delivery by 2016. At the same time, additional long-term wafer supply contracts worth over $350 million “were concluded with customers in Germany and China.”
SolarWorld plans for in-house solar grade silicon production are detailed in the above slide titled “Ramp up internal silicon capacity” from the July 2008 Presentation of the Chief Financial Officer. Both the Joint Solar Silicon GmbH & Co. KG and Scheuten SolarWorld Solicium GmbH joint ventures are developed and managed by the Sunicon AG subsidiary. The SolarMaterial subsidiary recycles silicon for SolarWorld.
Just last Friday, August 8, 2008, SolarWorld and joint venture partner Evonik Industries AG inaugurated the first Joint Solar Silicon GmbH & Co. KG (JSSI) production plant in Rheinfelden (Baden) Germany per SolarWorld AG: Start of Industrial Production of Solar-Grade Silicon (Deutsch) or Evonik and SolarWorld Open New Solar Silicon Plant—New Production Process with Impressive Energy-Saving Features. Evonik said the new solar silicon production process:
requires only 10 percent of the energy used by conventional processes and is more cost efficient. The integrated production facility consists of a monosilane production plant operated by Evonik and a second plant in which JSSi uses the chemical to produce solar silicon. The production capacity will initially be 850 metric tons of solar silicon per year.
Three reactors will be used to reach the 850 and later 1000 MT (metric ton) annual silicon production capacity. The total investment by Evonik (51 per cent) and SolarWorld AG (49 per cent) in the JSSI joint venture production facility was said to be in the coy double digit million Euro range (~$10 to $99 million).
Deutsche Solar AG CEO Prof. Dr. Peter Woditsch presented two slides about the JSSI process at the 2nd PV Industry Forum before Intersolar 2006. Please see the Picasa Slideshow below.
“Pyrolysis of SiH4 (monsilane) in tube reactor at 800°C”
Monosilane is decomposed in hydrogen resulting in the chemical vapor deposition of silicon on the tube reactor walls and a silicon powder byproduct. SolarWorld claims the deposition process is protected by four patents exclusive to the JSSI joint venture.
Per the JSSI website, the Evonik (was Degussa AG) and SolarWorld joint venture was formed way back on May 24, 2002. Evonik would supply silane to JSSI while SolarWorld contributed the silane decomposition in tube reactor process technology. Although SolarWorld has a number of patents related to solar grade silicon, monosilane, and trichlorosilane production processes, SolarWorld obtained an exclusive license to the JSSI silicon process technology from GT Equipment Technologies, Inc., now well known as recent IPO GT Solar International, Inc. (NASDAQ:SOLR). Here is the original press release:
GT Equipment Technologies, Inc. licenses groundbreaking silicon feedstock production technology to SolarWorld AG
and the international patent published by the World Intellectual Property Organization (WIPO):
(WO/2000/049199) METHOD AND APPARATUS FOR CHEMICAL VAPOR DEPOSITION OF POLYSILICON
I have no doubt significant research and development efforts were required by JSSI to commercialize this silicon deposition process over the last six years.
Greentech Media has a good post, Timminco Shares Fall on Production Delay, about their production challenges in the ramp up of solar grade silicon. I have not had a chance yet to listen to the conference call.
Edgar A. Gunther
Nearing 500 kWp (kiloWatt-peak) cumulative production? Friday, August 8, 2008, Sol3g, S.L. released “Sol3g produces its number 1000 grid” which should be up on the News (Español) section of their website soon. Sol3g states they completed their number 1000 (one-thousand) M40 Module grid from their factory in Terrassa (Barcelona) Spain (please see Sol3g inaugurates High Concentration PhotoVoltaics factory) back on July 15, 2008. Each M40 Module grid consists of fourteen (14) M40 Modules.
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| Photo Credit: Sol3g, S.L. |
Now on the specification side, the Sol3g press release claims a single M40 Module has:
An efficiency up to 24% and 35 W of power can be achieved under standard conditions: 1000 W/m2 direct normal irradiance and 25ºC cell temperature.
Using the standard High Concentration PhotoVoltaic (HCPV) test conditions, the M40 Module Product Data Sheet specifies 30W (Watt) Power @850W/m2 (Watts per meter squared) DNI (Direct Normal Irradiance) for a Class A binned module. Using the 30W module power figure and assuming all modules are Class A:
(30W) (1000 M40 Module grids) (14 M40 Modules) = 420 kWp cumulative production
versus the 490 kWp cumulative production result with the 35W Power @1000W/m2.
It is clear the Flix Solar deal (please see Sol3g lands 800kW High Concentration PhotoVoltaic deal with Flix Solar) used the 30W power specification when ordering their required 26,880 M40 Modules. I expect the Sol3g Terrassa factory will be humming in August 2008 completing the balance of M40 Modules required for the Flix deployment which was slated for completion by the end of that month. Then Sol3g will still need to produce modules for the 400 KW installation awarded to Sol3g by ISFOC in Castilla La Mancha or please see ISFOC Awards 1.3MW of Concentrator PhotoVoltaic power plants.
Regarding future production capacity, Sol3g said:
The future plans of the company are to increase the production capacity up to 10 Mw/year for the end of 2008 and to maintain an intense work of investigation and development to continue leading the world-wide market of HCPV systems.
While this is consistent with the announced plans of Sol3g, Sol3g said:
The Flix project will be the largest task carried out by Sol3g since its beginnings in 2004. Alter (After) the factory opened, last January, Sol3g has increased its production capacity, and by the end of 2008 the company expects to increase this to 3MWp.
back in May 2008 with Sol3g lands 800kW High Concentration PhotoVoltaic deal with Flix Solar. I will seek to clarify this aberrational point with Sol3g.
So what is the deal with Solar Power 2008 renaming itself Solar Power International? Per Solar Power Conference and Expo, Reflecting Global Scope and Growth, Becomes Solar Power International, Rhone Resch, president of SEIA said:
As the U.S. solar energy industry has grown, this conference has become an essential event for global solar energy companies that want to do business in the thriving U.S. market. The strong influx of international attendees is an indication of America’s potential to attract investment, create more green-collar jobs and regain our leadership position.
Whatever this rose may be called, this is a regional conference event for national and international companies focused on penetrating and growing solar markets in the United States.
Edgar A. Gunther
Polysilicon production to begin mid 2009. Last Thursday, July 31, 2008, Nitol Solar Limited and the International Finance Corporation (IFC), one of the five institutions comprising The World Bank Group, announced a $50 million equity investment and $25 million loan by IFC to Nitol Solar per the dueling press releases:
Nitol Solar and IFC Announce Strategic Investment
IFC Supports Solar Cell Technology in Russia, Helping Alleviate Global Shortage
The Summary of Proposed Investment notes the investment will facilitate construction of Nitol Solar’s $450 million polysilicon manufacturing plant with 3700 MT (metric ton) per year annual capacity. The Nitol Solar plant is located in the Usolie-Sibirskoe, Irkutsk region, Russia, per my earlier post, From Siberia with Polysilicon.
The IFC investment follows the March 13, 2008, Nitol Solar and Suntech Announce Strategic Investment expanding upon the original Suntech Announces First Phase Polysilicon Supply Agreement with Nitol Solar. In this agreement, Suntech Power Holdings Co., Ltd. (NYSE:STP):
will acquire newly issued ordinary shares comprising a minority interest in Nitol Solar Ltd. for a total consideration of up to $100 million, subject to the satisfaction of certain conditions.
Later, Nitol Solar and Suntech Expand Polysilicon Supply Agreement again resulting in a substantial increase in the polysilicon committed volumes to be supplied between 2009 and 2015 to Suntech and:
Suntech has already paid the first $33 million installment of this investment to Nitol Solar.
Besides Suntech, Nitol Solar has announced polysilicon deals with ersol Solar Energy AG (see ersol and NITOL Group sign Polysilicon supply Letter of Intent), Motech Industries, Inc., Trina Solar Limited, and Evergreen Solar, Inc.
On the technical front, Nitol Solar produced first industrial batch of Polysilicon claims the first batch of polysilicon produced from the plant is suitable for manufacturing solar wafers per testing by the Evans Analytical Group (EAG Limited, LON:EAG). Suitability of the polysilicon for monocrystalline silicon wafers is not specified.
Although Nitol Solar delayed their IPO (Initial Public Offering) in February 2008 (see Russia's Nitol Solar postpones IPO- source) because of market conditions, they have rounded out their Management Team, Board of Directors, and Scientific Counsel with international talent.
I noticed a bit of revisionist history in Nitol Solar’s previous press releases. An over enthusiast marcom or public relations team updated all prior references from the “Nitol Group” to “Nitol Solar”. I wonder if the IFC will help Nitol Solar rectify these fine corporate governance points since the:
IFC is also working with Nitol Solar to enhance its environmental and social practices and assist the company by implementing international best practices in corporate governance.
And don’t forget Nitol Solar =is= a polysilicon reactor customer of the Class Action suited GT Solar International, Inc. (NASDAQ:SOLR) per GT Solar Signs $49M Polysilicon Reactor Contract with Nitol Group or the revised Nitol Solar and GT Solar Signed $49M Polysilicon Reactor Contract.
Edgar A. Gunther
50 MT (metric ton) Pilot Production ramping in the first quarter 2009 As of late, Peak Sun Silicon Corporation has been basking in the peak Intersolar North America 2008 and Oregon news with:
I learned more About Peak Sun Silicon when I ran into their stand at Intersolar in San Francisco.
Peak Sun Silicon will produce granular polysilicon utilizing a unique tribromosilane (SiHBr3) or TBS based continuous manufacturing process operating near atmospheric pressure and lower temperatures with improved energy efficiency. Per this Schumacher Bromosilane Process description:
The SBP process change from conventional polysilicon approaches is from an open-loop, batch, high temperature process, to a closed-loop (environmentally friendly), continuous, low temperature process. This innovation is accomplished by changing the silicon chemistry from a chlorine base to a bromine base (tribromosilane or "TBS"), and use of a "fluid bed" ("FB") deposition reactor with continuous recycle of by-products.
The Peak Sun Silicon Granular Feedstock Specification describes their Electronic Grade polysilicon with 10N (ten nines) purity as uniform dense spherical-bead sized 1mm granules perfect for continuous silicon solar wafer growth processes
On February 28, 2008, Peak Sun Silicon held a ground breaking ceremony for their new headquarters and polysilicon production facility located in Albany, Oregon, near Millersburg. Per the press release Peak Sun Silicon Breaks Ground on Polysilicon Facility in Millersburg, Oregon:
Phase I construction will include a 5,000 square foot chemical purification building and a 5,000 square foot electronics grade polysilicon processing building.
Phase I is now expected to ramp 50 MT per year of pilot polysilicon production capacity in the first quarter of 2009 using tribromosilane produced on-site. Millersburg plant will make polysilicon for chips in solar panels reports the estimated construction cost is about $29 million, up from about $18 Million in Silicon maker picks Millersburg site and will employ 50 workers to start. As part of Peak Sun Silicon Secures Series A Funding for Polysilicon Manufacturing Plant, the total amount of Series A funding is not disclosed, but the mix of debt, equity, and tax incentives includes a $14 million loan under the Energy Loan Program administered by the Oregon Department of Energy.
In Phase II, Peak Sun Silicon plans to ramp polysilicon production capacity to 5000 MT per year in 2012 and bring online an additional 5000 MT per year capacity in 2013 for a total of 10000 MT per year. Peak Sun Silicon expects Phase II will require $700 million in capital investment and increase employment to about 500.
Patents and Process advantages
While the original Schumacher Bromosilane Process patent is over 30 year old:
United States Patent 4,084,024 April 11, 1978
“Process for the production of silicon of high purity”
a newer patent invented by Lloyd Woerner and Edward Moore for the J.C. Schumacher Company innovated the low temperature, closed loop process:
United States Patent 4,318,942 March 9, 1982
“Process for producing polycrystalline silicon”
Additional process reports are available from the NASA Technical Reports Server (NTRS):
The production of solar cell grade silicon from bromosilanes
Closed-Loop Process Yields Ultrapure Silicon (abstract only)
According to the Peak Sun Silicon presentation by President and CEO John C. Schumacher, Ph.D. (see Resume), at the Photon Expo in Munich, Germany, on April 2, 2008, the Schumacher Process for producing silicon has the following advantages:
- Environmentally sound -- effluent recycled 100%
- Low carbon emissions – 61 pounds CO2/kg
- Energy efficient – 50kWh/kg total heat load (“THL”)
- Low temperature – 850 oC maximum
- High Yield – dust free
- Efficient use of materials -- closed loop process
- Zero explosive polymer formation in exhaust
- Fluid Bed Product & Synthesis Reactors
- High purity – raw material impurities purged from recycle
Peak Sun Silicon also manufactures high purity Phosphorus Oxychloride (POCl3) used as an N-Type dopant for silicon solar wafers.
The Solar Jobs Rising in Oregon article tips three big solar companies are considering the Oregon Solar Forest for manufacturing facilities and one existing company is planning an expansion. Code names Project Ark (Sanyo?), Project Harvester, and the big one Project Tahoe are used to disguise solar companies considering Oregon for manufacturing sites.
Edgar A. Gunther
Focus on Feed-in Tariffs (FiT) at the state level for solar.
[San Francisco, California USA]
On the eve of Intersolar North America 2008, Monday, July 14, 2008, I managed to attend the 1st Solar Symposium sponsored by the German American Chamber of Commerce (GACC), California Branch. Although the 1st GACC "Solar Symposium" Fully Booked - International Audience Expected, I was able to jump from the wait list to an attendee despite my over aggressive accreditation tactics.
Before lunch, SEIA (Solar Energy Industries Association) President Rhone Resch presented “The US Prior to the 2008 Presidential Elections - Status and Perspectives of Solar Promotion on a Federal Level”. The ITC (Investment Tax Credit) myopia continues as HR 6049 is supposed to be coming up for another vote in the Senate soon. There was no mention of the first national Feed-in Tariff bill, HR 6401 Renewable Energy Jobs and Security Act, introduced by U.S. Representative Jay Inslee (D-WA). Please see PVSC 33 Opens and Feed-in Tariffs: Solar FiT for the USA for related posts.
In the afternoon, the Panel Discussion, "International Perspectives: What are the Most Promising Incentives to Develop the US Solar Market", tackled opposing views on the status quo of rebates and ITCs versus the market proven German Feed-in Tariff model. The panel was moderated by:
- V. John White, Executive Director / CEERT, CENTER FOR ENERGY EFFICIENCY AND RENEWABLE TECHNOLOGIES
and included:
Adam Browning kicked off the discussion with his presentation, "US Solar Market - Policy Drivers". In his opening, Mr. Browning said:
When it comes to Energy policy much of it is lead at the state level rather than at the Federal level. Most of the most critical electricity related rules and regulations are set at a state level.
This observation was echoed by many panelists who advocated activity at the state level over complex and protracted energy policy legislation at the Federal level.
However, a misleading comparison of Rebate programs with net metering versus the Feed-in Tariff model is shown in the slide above titled “Avoided Utility Purchases with Marginal Incentives vs. Feed-in Tariffs”.
Adam Browning said:
…From a policy maker’s perspective we are looking at what is the amount of public funds, the above market cost, that they are going to need to have to provide to a program in order to make that program work, give a financially interesting proposition to people who want to go solar.
Under this particular model, most of the value comes from avoided utility purchases and you give an incentive that is just the marginal difference to get to an economically interesting proposition.
Under a Feed-in Tariff, you must provide the full value of that electricity and from the policy maker’s perspective that often looks like a much larger amount which makes it harder to do.
This perpetuates Adam Browning’s flawed Feed-in Tariff versus Marginal Incentive article refuted by Michael Hoexter in Feed-in Tariffs: Getting off the Renewables Roller Coaster, both found at RenewableEnergyWorld.com.
V. John White said:
Despite all the noise from California, if I may be blunt, the truth of the matter is 95% of all renewable megawatts in this state were built in that period (1980’s). In the entire 15 years since then, most recently since the 2002 passage of the Renewable Portfolio Standard, the 20% standard by 2017 which has since now been advanced to 2010. We are not much closer to that goal than where we started. We have In fact lost ground from about 12% to 11%.
Professor Eicke Weber said:
I think our goal should be exactly like you (John White) said; the fastest possible introduction of the largest possible quantity of renewable energy.
And now let me again make my pledge why the Feed-in tariff works, the German model. The reason is it is not based on people who like PV and who are happy to get a tax credit to get a lower priced PV; this is nice, and nobody would be against it. But the key issue is to provide an interesting investment proposal, a business plan, so that anybody can sit down and say my roof has this size I can produce 5kW (kilowatt) of PV. It means at the end of the day when I have paid down the system I get each month a paycheck.
Net metering is wrong. Net metering is the wrong way. Net metering means the best you can achieve is bringing your utility bill to zero. And this is just against what we all try to do on the energy savings side.
Energy efficiency and conservation efforts do not scale with net metering as noted in my AB 1920: California bill goes beyond Net Metering post.
John Geesman said:
As a consequence, I don’t think it’s too much of a stretch in terms of normal governmental authority to see the logic of Feed-in Tariffs. Now there are those that will differ. They will say that’s delegating to the states an awful lot of authority. I’m here to tell you in my adult lifetime, national energy policy as much as I have known about it, has almost consistently been headed in the wrong direction. And I put a lot more comfort in seeing those decisions made by the states.
Although I’m not sure when he arrived, John Garamendi, Lieutenant Governor of California, was intensely interested in the afternoon panel discussion and closed the symposium with a speech waxing fluent about Feed-in Tariffs. Lieutenant (Lt.) Governor Garamendi said:
I like what Germany has done with its Feed-in Tariffs; they apparently worked. We could try all kinds of models, but it seems to me we start with a model that works.
He encouraged the panelists to reach a consensus and work to get a FiT policy in place for California. The Lt. Governor Garamendi also observed California policies at the city, county, and state levels need to be integrated and aligned to achieve the goal of transitioning from fossil fuels to clean, renewable energy.
Last year when I asked the Lt. Governor about Feed-in Tariffs for renewable energy at the 2007 CCTO Competition (please see California Clean Tech Open 2007 Kick-off Event Wrap up), they were not at forefront of his considerations. 1st “Solar Symposium” of the German American Chamber of Commerce an Immediate Success has additional quotes and the GACC’s perspective.
Although they claimed to have FiT policy efforts, CALSEIA (California Solar Energy Industries Association) did not respond to my requests for details about their proposed approach to a California Feed-in Tariff for solar.
California has an immaculate convergence of great solar resources, sustainability and environmental awareness, renewable business ventures, and progressive political support to Go Big Solar driven by a German style Feed-in Tariff. Is a foolish name change to Freedom Tariff or Energy Independence Tariff needed before we can adopt sound renewable energy policy as our own?
Edgar A. Gunther
[San Francisco, California USA]
Dow Corning and REC Silicon Videos and select Presentation slides.
As part of the North American Photovoltaics Advanced Manufacturing Technology Conference: Bulk Silicon at Intersolar, here is a video of the presentation:
Silicon and Silicone: Addressing Critical Needs Throughout the PV Value Chain
Dr. Gaetan Borgers, Global Industry Director, Dow Corning Solar Industry
Focusing on Dow Corning’s Upgraded Metallurgical (UMG) Silicon developments, Dr. Borgers said:
By end of last year, we have gone from 1000 to 3000 metric tons of capacity. And the important thing I want to highlight here is that we did that in less than a year. And I think that’s proving one of the benefits of metallurgical silicon which is that you can bring additional capacity quickly.
Dow Corning is considering large UMG capacity expansions after the next generation material is launched.
After some production delays, the PV-1201 market launch is now expected in the fourth quarter of 2008. Dow Corning claims PV-1201 will permit blend ratios of 25% (percent) or better with polysilicon. As shown in the roadmap, an even purer material with greater than 80% blend ratios is expected in 2009 or 2010.
Later at the Solar Materials, Equipment & Technology (SMET) Conference, I also videoed the Renewable Energy Corporation ASA (OSL:REC) REC Silicon division presentation:
Overview of Silicon Production and Capacity
Gøran Bye, Executive VP, REC Silicon
REC does not believe the strong growth of polysilicon availability will result in immediate oversupply because:
- Almost all REC polysilicon capacity is contracted under Prepaid or Take or Pay (TOP) terms, and it will be paid.
- Polysilicon inventories are nonexistent
- Huge underutilized downstream capacity exists
Continuing, Gøran Bye said:
In addition to that, if we do believe in the solar story, and we do believe that cut wafers will be an important part of that in the future, there is a significant additional capacity that is needed by (?) 2020.
If the cut wafer part of the industry continues to grow with about 33-35% per year, there will be a need for 800000 (metric) tons of polysilicon in 2020.
Thin Film Photovoltaics has emerged as a key driver for monosilane gas demand growth as overall demand has almost doubled from 1600 MT (metric tons) in 2006 to 3000 MT 2008. While production capacity is far larger than merchant market silane gas demand, most silane is used by REC and MEMC Electronic Materials, Inc. for internal polysilicon production. There may be a supply pinch in 2008, but this will be an inventory and logistics issue only.
REC plans to support the growth of the merchant silane market and maintain their market leading production and sales position through long term contracts with their gas distribution customers.
Start of something big
REC Silicon’s ambition is to maintain their market position as the photovoltaic industry continues to experience tremendous growth per the above slide (a bit different from the one shown in REC Group Capital Markets Day 2008). Their next production facility is expected to be up to four times as large as the new Moses Lake facility to achieve the scale required for competitive low cost polysilicon production. REC Silicon is also evaluating silane production capacity expansion dedicated to supplying the merchant market.
And the next day, Friday, July 18, 2008, REC announced “Secures NOK 5 billion in silane sales contracts” and said:
REC Silicon, the world's largest producer and seller of monosilane gas, has signed a number of new long-term agreements with existing customers (major gas distributors) for the supply of monosilane gas (SiH4).
REC claims monosilane gas deliveries are already underway at average sales prices about 15% higher than prior market pricing. These contracts represent all the monosilane capacity REC plans to allocate to the merchant market through 2009 with additional volumes in 2010 through 2014 dependent on end user demand growth.
I presume longtime REC customer and partner, Air Products & Chemicals, Inc. (NYSE:APD), is among the existing customers securing long term silane gas supplies for their photovoltaic, semiconductor, and flat panel display end customer base?
Edgar A. Gunther
Exhibition and Press Conference Update
The Intersolar North America 2008 Exhibition opened yesterday, Tuesday, July 16, 2008, at a prompt 10:00AM. In lieu of a delayed post about the German American Chamber of Commerce sponsored 1st Solar Symposium (updated with select presentations), I opted to share the experience of visiting the Intersolar Exhibition with two Picasa slideshows.
Intersolar North America expects about 13,000 registered attendees for the inaugural tradeshow. These attendees consist of Intersolar only and SEMICON West registrants expressing an interest in Intersolar. The Exhibition features 210 exhibitors and is a manageable size this first year. A few companies missing from the Exhibition included: Evergreen Solar, First Solar, Q-Cells, Schott Solar, and PHOTON International (Solar Verlag).
Strange but true…
The Panasonic stand is hawking the sale of their Plasma Display Laboratory in Highland, New York USA. I can only presume they feel the facility can be retrofit for thin film solar production with minimal effort. The 93000 square foot building has 34330 square feet of Class 100 Clean Room Space and resides on a 6.3 acre site.
I have thus far commuted on the train (Caltrain) to San Francisco each day for Intersolar. Things were going like clockwork until this morning when my express train turned into a local because of system delays. When I was reviewing my commute options, I stumbled on this news, BART goes solar, saving a projected $3.4 million over 20 years. BART (Bay Area Rapid Transit) is a subway or light rail system serving the San Francisco Bay area. SunEdison, LLC was awarded the $3.8 million contract to install a solar panel canopy at one of BART’s Orinda Station parking lots.
In addition, EPIA (European Photovoltaic Industry Association) has organized the following Activities:
