World-Wide Market at $100 Billion Solar for our Nations Energy Independence Stephen Levy.

World-Wide Market at $100 BillionSolar for our Nation’s Energy Independence

Stephen LevyStephen Levy

Solar can supplement base plants during sunny daytime

It can be integrated into new housing roofs

It can lower your energy bill It cannot replace base plants It’s power cannot be saved without

separate storage It is not a panacea

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Data from data collected at airport over 10 year period

Jan Mar June Sept Dec

Solar isolation averagedover 10 years

Variance X10

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4

years

50%50%

66%%

Efficiency 15%15%

Data from Piper Jaffray Estimates

Present Thinking

2.7 GW

Cheaper solar: This solar concentrator uses mirrors and lenses to focus light, reducing the amount of semiconductor material needed and cutting costs. The rectangular module is mounted with the same hardware as conventional flat solar panels. Credit: Soliant Energy, Inc. Patent Pending

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Thin Film PV Manufacturing Cost

0

0.5

1

1.5

2

2.5

3

3.5

0 5 10 15 20

% Efficiency of PV panel

Do

llar

s p

er w

att

$200/m2

$150/m2

$100/m2

$50/m2

a- Si, CdTeSi-film

CIS

goal

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Installing Ovonics Solar Ribbon

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04/10/23Created by Stephen Levy13

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For one factory World production

Panel Costs per Wp a-Si CdTe CIGS

Conversion efficiency 7% 11% 12%

Superstrate or substrate $ .071 $ .045 $ .041

Active layer

Depreciation & operations $ .065 $ .034 $ .038

Thin-film materials (75% util) $ .005 $ .023 $ .083

Packaging of panels $ .161 $ .103 $ .094

Manufacturer’s gross margin $ .300 $ .210 $ .260

Total Panel Price per Wp $ .60 $ .42 $ .52 

Study of Potential Cost Reductions Resulting from Super-Large-Scale Manufacturing of PV Modules Ken Zweibel (Technical Monitor) authors Marvin S. Keshner of HP and Rajeewa (Rajiv) Arya of Arya International, Inc.

Sub-contract No. ADJ-3-33631-01, October 2004

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0.0

40.0

60.0

80.0

100.0

120.0

140.0

Cost of solar PV Panels per watt

Inve

rter

co

st a

s %

So

lar

Pan

els

20.0

$1.00$2.00$3.00$4.00$5.00

Present Inverter Cost per watt is $0.707According to the referenced paper*, the cost of the inverter should be $0.120 per watt

*Study of Potential Cost Reductions Resulting from Super-Large-Scale Manufacturing of PV Modules

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Assumptions: Retail kWh rates, 2% annual rate escalation, 6%cost of capital, 30y asset life, 33% installation cost subsidy

Ref: “DESIGN CONSIDERATIONS AND IMPLEMENTATION OF VERY-LARGE SCALE MANUFACTURING OFCIGS SOLAR CELLS AND RELATED PRODUCTS” J. R. Tuttle, T. Schuyler, E. Choi, and J. Freer, DayStar Technologies, Inc.,

Installation Cost ($/W)

Years toPayback

Present Value of Investment ($/W)

$5 16 $0.74

$4 12 $1.05

$3 9 $1.36

$2 6 $1.67

$1 3 $1.98

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Sun powers the photovoltaic modules

Power electronics control the power into the house and gases into the tanks

Water through the cells electrolyzes the water (18% efficiency demonstrated)

Hydrogen and oxygen collected and stored in tanks

At night, hydrogen and oxygen pass into the fuel cell reforming the water, creating electric power and heat

Shortages can be supplied by the electric utility

Solar roof

Oxygen Hydrogen

waterFuel Cell

Electronics

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Oxygen Hydrogen

water

Electronics

Fuel Cell

Recharge car overnight

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200 all-electric cars in a employee parking lot could supply 100 avg. homes with electricity for 3 days

Electric Utility

Scenario 1 - status quo which is buying off shore Cost $8,000. Per home*

• 10,000,000 homes would be $80 Billion• $60 Billion would go offshore

Scenario 2 - success at home Cost $6,000. Per home**

• 10,000,000 homes cost $60 Billion• funds remain here; we export

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Assumption: Energy Costs Rise, PV Becomes Attractive

Installing a 6 kW system* based on purchase price of $6,000. plus $2,000. for transportation, resellers** based on purchase price of $6,000

o Suntech Power has begun construction on a thin film R&D andSuntech Power has begun construction on a thin film R&D and manufacturing facility in Caohejing Hi-tech Park in Shanghai, manufacturing facility in Caohejing Hi-tech Park in Shanghai,

China. China.

oThe first phase of the new plant is expected to begin operation in The first phase of the new plant is expected to begin operation in 2008 reaching 50MW of thin film solar cell production capacity in 2008 reaching 50MW of thin film solar cell production capacity in 2009. 2009.

oSuntech currently projects a solar conversion efficiency of 6% to Suntech currently projects a solar conversion efficiency of 6% to 9% and an initial production cost of $1.20 per watt (based on 6% 9% and an initial production cost of $1.20 per watt (based on 6% solar conversion efficiency. solar conversion efficiency.

oThin film modules will be nearly 6 square meters in size.Thin film modules will be nearly 6 square meters in size.

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QUARTZ

A major ingredient of the Spruce Pine rock is quartz. Through the years, quartz was always discarded as waste. Now it is recovered through froth flotation.

Comprising about 25% of the rock, the quartz has now become one of the most strategic minerals of the entire world. Because of its extreme purity, it is used in several critical process steps during the manufacture of computer semiconductors (chips). At present, no other quartz in the world can match the processed quartz purity from the Spruce Pine District.

EVERY computer chip in the world uses Spruce Pine quartz in its manufacturing process.