Technology and Market |

| Choosing Options in the Technology and Market Window
The Technology and Market window allows you to choose the technology and financing options for a new case, or to modify the options for the current case. The technology options determine whether the project is based on a photovoltaic, concentrating solar power, or generic fossil-fuel system. For each technology option, a different set of financing options is available, determining whether the project is a residential, commercial, or utility project. Solar Advisor displays a different set of input pages and variables based on the options defined on the Technology and Market window. If you are starting a new project, you should open a sample template that most closely resembles the configuration you are modeling instead of changing options in the Technology and Market window. Starting from a sample template helps to ensure that the values of input variables are reasonable for a given combination of technology and market. This is important because, due to the large number of input variables in the model, most analyses will depend on using default values for at least some of the variables. For some comparative analyses, it may be useful to change the technology or market options. For example:
• | To compare projects based on the same set of technology assumptions but using a different set of financing options. For example, to compare a 3 kW residential photovoltaic system with a 3 kW commercial photovoltaic system, you might start with the Residential Flat Plate System case from the Sample PV Systems template, modify input variables as needed to define a 3 kW system, and then create a copy of the case and change the market option to Commercial - Standard Loan. That would create two cases with the same set of technology assumptions, but with different financing options.
• | To compare projects that use the same set of financial assumptions but use a different technology. For example, to compare a utility-scale photovoltaic system to a utility-scale parabolic trough system, you might start with a case from the Sample Parabolic Troughs template and change the technology option to a photovoltaic option to preserve the financial options from the trough template.
Whenever you make changes in the Technology and Market window, verify the variables on each input page to make sure that they are appropriate for your analysis. To choose or modify technology and financing options:
1. | Open the Technology and Market window:
If you are working in an existing file, click Select Technology and Market. If you are starting from a new file, click New Project on the File menu.
2. | In the Technology and Market window, select a technology and financing option. See the tables below for descriptions of the options.
3. | Check Reset to Tech/Market-specific default inputs to populate variables on the input pages with the default values used in sample templates. This will replace any values that may have been saved in previous model runs and is the default option.
Clear Reset to Tech/Market-specific default inputs to use values stored from previous model runs. This is useful if you are switching between technologies and want to revert to input values that you saved in an earlier analysis.
4. | Click OK to return to the main window. Solar Advisor displays the technology and market option in brackets for your reference.
| Overview of Technology Options
The technology option you choose determines what kind of system Solar Advisor models for the current case. Photovoltaics Photovoltaic systems convert sunlight into electricity, based either on flat-plate photovoltaic modules or concentrating photovoltaic (CPV) modules. Photovoltaic systems can be modeled as residential, commercial, or utility projects. In Solar Advisor, photovoltaic systems are grid-connected and may or may not include storage batteries. The two options allow you to model the photovoltaic system using separate models for the module and inverter, or to model the entire system using a single model:
• | Component-based models represent the module and inverter as separate components, and allow you to choose from four module performance models (including a CPV model) and two inverter performance models.
• | The PVWatts System model represents the entire photovoltaic system using a simple set of parameters.
Concentrating Solar Power Concentrating solar power systems (CSP) convert solar radiation to thermal energy for use in a conventional steam generation plant. Solar Advisor models three types of CSP systems: Parabolic trough, power tower, and dish-Stirling systems.
• | Physical Trough System uses mathematical models that represent component geometry and energy transfer properties of a parabolic trough system.
• | Empirical Trough System uses a set of curve-fit equations derived from regression analysis of data measured from real systems to model parabolic trough systems.
• | Power Tower System (central receiver systems) models a field of heliostats that focus light on a central, tower-mounted receiver and drive a power cycle with or without storage.
• | Dish Stirling System models a field of dish-shaped collectors, each equipped with a dish-Stirling engine that converts solar energy into electricity.Concentrating solar power systems convert solar energy to heat to drive a thermal power plant.
Generic Fossil Systems Generic fossil systems convert a fuel to electricity. This simple model allows you to compare the energy costs of a fossil fuel based system with those of solar technologies using a consistent set of financial assumptions. Generic systems can be modeled as residential, commercial, or utility projects. Solar Water Heating Solar water heating systems use solar energy to heat water for domestic applications. Solar water heating systems can be modeled as residential projects.
| Overview of Financing Options
The financing options determine the set of variables that Solar Advisor displays on the Financing page, and whether or not the Utility Rate page is available. See the table below for details. Note. The electricity sales price is an input on the Utility Rate page for commercial projects with cash or loan financing. For utility and third-party ownership projects, the electricity sales price is a result reported as the first year PPA Price on the Results page. The Utility Rate page is not available for utility and third-party ownership projects. Residential Market Available for photovoltaic, generic fossil, and solar water heating systems. A small-scale project developed and owned by a residential homeowner with no depreciation tax deductions or investment return constraints. Residential projects sell electricity through a net metering agreement with an electric service provider at either a fixed rate or a rate based on a time-of-use pricing schedule defined on the Utility Rate page. The two residential financing options with parameters defined on the Financing page are:
• | Cash, where the total installation cost is incurred in year zero of the cash flow.
• | Loan or Mortgage, where a portion of the installation cost is incurred in year zero, and the rest is spread over the analysis period, with annual capital and interest payments.
Residential projects may or may not benefit from tax credits or payment incentives Commercial Market Available for photovoltaic, parabolic trough, dish-Stirling, and generic fossil systems. A mid-scale project developed and owned by a commercial entity that qualifies for a depreciation deduction under U.S. federal tax code. Commercial projects sell electricity through a net metering agreement with an electric service provider at either a fixed rate or a rate based on a time-of-use pricing schedule defined on the Utility Rate page. The two commercial financing options with parameters defined on the Financing page are:
• | Cash, where the total installation cost is incurred in year zero of the cash flow.
• | Loan, where a portion of the installation cost is incurred in year zero, and the rest is spread over the analysis period, with annual capital and interest payments.
The Third-party Ownership option is for a project that is installed, owned and operated by a party separate from the commercial entity that owns the property on which the project is installed. Third-party ownership projects sell electricity through a power purchase agreement with the property owner at a fixed price with optional annual escalation, are financed through a loan, and must meet a minimum internal rate of return target. The financing parameters and constraints are defined on the Financing page. The electricity sales price is reported as the first year PPA price in the Metrics table on the Results page. Commercial projects may or may not benefit from tax credits or payment incentives. Utility and IPP Available for all systems. A large-scale power generation project financed through a loan that sells electricity to an electricity off-taker through a power purchase agreement at a fixed price with optional annual escalation. Utility projects must meet minimum debt service coverage ratio and internal rate of return targets. Utility projects may or may not benefit from tax credits or payment incentives. No Financials Available for all systems except power tower. This option is for analyses of system performance that do not involve cost or financial modeling.