The California Mojave Desert saw the reveal of the Ivanpah Solar Electric Generating System, still known as the next great thing in renewable energy. Covering about 3,500 acres along the California-Nevada line, this was a concentrated solar power technology (CSP) revolution. However, just over ten years on, technological advances in energy and changes in the market have rendered parts of the once-promising project ready for decommissioning.
Ivanpah harnesses the sun for energy using CPS technology
The Ivanpah plant used CSP technology. This groundbreaking approach culminated in 173,500 heliostats, which are mirrors mounted onto pylons that follow the sun, concentrating on boilers atop three 450-foot towers. The heat boiled water into steam, which drove turbines to create electricity.
At its peak, Ivanpah had a gross capacity of 392 megawatts, providing power to about 140,000 California homes each year as well as displacing 400,000 metric tons of carbon dioxide emissions annually. The project involved a joint venture between NRG Energy and BrightSource Energy and significant backing from the US Department of Energy, which issued $1.6 billion in loan guarantees.
Construction started in 2010 with engineering and construction firm Bechtel in charge of its construction, and the plant began operation in late 2013. The confident undertaking not only demonstrated CSP technology capability but also produced more than 2,700 construction and supply-chain jobs in 17 states.
Ivanpah’s challenge of balancing innovation with environmental concerns
Even so, Ivanpah encountered several hurdles. One major problem was its dependence on natural gas to back up energy generation, especially when there wasn’t enough sunlight. This reliance on the plant has created an increased burden on the environment, raising questions as to how environmentally focused this plant is.
The facility also faced environmental challenges, with reports of birds as well as desert (like the largest ever treasure under the California desert) tortoises being harmed by the extreme heat its mirrors produce. Over the years, they had to contend with the rapid advancement and decline in costs of photovoltaic (PV) solar technology. PV systems are devices that convert sunlight directly into electricity using solar panels, and they have become less expensive and more efficient than CSP systems.
This transition would be a growing problem for Ivanpah as it competed in a changing energy landscape. While acknowledging the innovative technology at Ivanpah, NRG Energy has further stated that photovoltaics technology has made tremendous strides in efficiency and cost since Ivanpah’s completion, and advances in battery storage have made for a more flexible and cost-effective module for reliable, clean energy production.
Shifting to cheaper renewables: PG&E ends contact with Ivanpah
Given these challenges, Pacific Gas and Electric Company (PG&E), which had long-term power purchase agreements with Ivanpah for two of its three units, assessed its power sources for potential cost reductions. In a deal with NRG Energy and the US Department of Energy, PG&E accepted the cancellation of these contracts, which were set to expire in 2039.
Customers are expected to save money because of this decision, which comes amid a national shift of utilities moving toward cheaper sources of renewable energy. Southern California Edison, which buys power from Ivanpah’s third unit, is also negotiating about the future of its contract.
According to NRG, the company will begin seeking approval from relevant state and federal officials to decommission affected units and site plans for photovoltaic energy production. Although no specific details regarding the decommissioning process and their respective costs have been given, this action marks a pragmatic adjustment in the face of changing energy dynamics.
The Ivanpah Solar Electric Generating System demonstrates how rapidly renewable energy technologies are evolving. It all started with an innovative ability to utilize solar power innovatively. However, the nature of technological change and market economics made it impossible. Some parts of Ivanpah are already being disapproved, which indicates a need for progressive change as well as improved goals for sustainability on the energy (like the US producing new energy) frontier.
