Industry Development Opportunities from Developing Concentrating Solar Thermal Power in Australia
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Industry Development Opportunities from developing Concentrating Solar Thermal Power in Australia Authors: Giselle Rampersad and John Spoehr Research program for Australian Renewable Energy Agency (ARENA) Australian Industrial Transformation Institute April 27, 2018 Industry Development Opportunities from developing Concentrating Solar Thermal Power in Australia Australian Industrial Transformation Institute College of Business, Government and Law Flinders University of South Australia 1284 South Road Tonsley South Australia 5042 www.flinders.edu.au/aiti URL:http://www.flinders.edu.au/aiti/ CAT: AITI201801 Suggested citation: Giselle Rampersad and John Spoehr. 2018. Industry Development Opportunities from developing Concentrating Solar Thermal Power in Australia. Adelaide: Australian Industrial Transformation Institute, Flinders University of South Australia. The Australian Industrial Transformation Institute (AITI) has taken care to ensure the material presented in this report is accurate and correct. However, AITI does not guarantee and accepts no legal liability or responsibility connected to the use or interpretation of data or material contained in this report. Contents EXECUTIVE SUMMARY ................................................................................................................................ 1 ACKNOWLEDGEMENTS ............................................................................................................................... 2 ABBREVIATIONS .......................................................................................................................................... 3 APPROACH .................................................................................................................................................... 4 1 AUSTRALIAN CAPABILITY AND CAPACITY TO ENGAGE IN THE CST INDUSTRY ...................... 5 1.1 CST VALUE CHAIN MAPPING ................................................................................................................ 5 1.2 STATE BASED CAPABILITIES IN THE CST VALUE CHAIN ............................................................................ 6 1.3 HELIOSTAT INDUSTRY ........................................................................................................................... 6 1.4 FABRICATION AND SUPPORT STRUCTURES INDUSTRY ............................................................................. 7 1.5 RECEIVER INDUSTRY ............................................................................................................................ 8 1.6 CONTROL AND INTEGRATION INDUSTRY ................................................................................................. 8 1.7 POWER BLOCK INDUSTRY ..................................................................................................................... 9 1.8 PUMP AND BOILER INDUSTRY .............................................................................................................. 10 1.9 CIVIL WORKS INDUSTRY ...................................................................................................................... 10 1.10 ENGINEERING PROCUREMENT AND CONSTRUCTION (EPC) INDUSTRY ............................................... 11 2 ENABLERS AND BARRIERS OF AUSTRALIAN BUSINESSES IN THE SUPPLY CHAIN .............. 12 2.1 LOCAL CONTENT AND INCENTIVES ........................................................................................................ 12 2.2 VISIBILITY AND COMMUNICATION .......................................................................................................... 13 2.3 RENEWABLE ENERGY HUBS: GRID CONNECTIVITY AND DEVELOPMENT APPROVALS .................................. 13 2.4 COST REDUCTION .............................................................................................................................. 13 2.5 CERTIFICATIONS AND SECONDMENT ..................................................................................................... 14 3 POTENTIAL ECONOMIC BENEFITS FROM AUSTRALIAN CST DEPLOYMENT ........................... 15 3.1 IDENTIFICATION OF SPILL-OVERS ASSOCIATED WITH THE GROWTH OF THE CST INDUSTRY ........................ 15 3.2 MODELLING THE ECONOMIC IMPACT OF THE CST INVESTMENT .............................................................. 16 3.3 METHODOLOGY CONSIDERATIONS ....................................................................................................... 16 3.4 CORE ASSUMPTIONS .......................................................................................................................... 16 3.5 MODELLING OF THE “BASE” CASE ........................................................................................................ 17 3.6 SUMMARY OF RESULTS – “BASE” CASE ............................................................................................... 18 3.7 MODELLING OF THE “NO REGRETS” CASE ............................................................................................ 20 3.8 SUMMARY OF RESULTS – “NO REGRETS” CASE ................................................................................... 20 4 COMMERCIALISATION OF NEXT GENERATION TECHNOLOGIES: PATENT ANALYSIS ........... 23 4.1 HELIOSTATS ...................................................................................................................................... 24 4.2 HEAT TRANSFER FLUIDS ..................................................................................................................... 25 4.3 SERVICE ELEVATORS FOR POWER TOWERS ......................................................................................... 26 4.4 TURBINES .......................................................................................................................................... 27 4.5 BOILERS ............................................................................................................................................ 28 4.6 MIRROR COATINGS ............................................................................................................................ 29 5 CST OPPORTUNITIES BY STATE ..................................................................................................... 30 5.1 SOUTH AUSTRALIA ............................................................................................................................. 30 5.2 VICTORIA ........................................................................................................................................... 30 5.3 NEW SOUTH WALES ........................................................................................................................... 31 5.4 QUEENSLAND .................................................................................................................................... 31 5.5 WESTERN AUSTRALIA ......................................................................................................................... 31 5.6 NORTHERN TERRITORY ...................................................................................................................... 31 5.7 TASMANIA .......................................................................................................................................... 31 6 CONCLUSION ........................................................................................................................................... 32 REFERENCES .............................................................................................................................................. 34 APPENDIX A: AUSTRALIAN ORGANISATIONS WITH POTENTIAL TO ENGAGE IN THE CST SUPPLY CHAIN ........................................................................................................................................................... 36 APPENDIX B: DETAILED ECONOMIC MODELLING RESULTS – “BASE” CASE .................................. 39 APPENDIX C: DETAILED ECONOMIC MODELLING RESULTS – “NO REGRETS” CASE .................... 45 i AITI (2018) List of Figures FIGURE 1: CST VALUE CHAIN............................................................................................................................ 5 FIGURE 2: INNOVATION NETWORK MAP OF POTENTIAL AUSTRALIAN PLAYERS IN THE CST VALUE CHAIN .................. 6 FIGURE 3: SUNDROP CST FARM, PORT AUGUSTA ............................................................................................ 15 FIGURE 4: ESTIMATED ECONOMIC CONTRIBUTION OF CST INVESTMENT – BASE CASE - CONTRIBUTION TO EMPLOYMENT - FTES .......................................................................................................................... 19 FIGURE 5: ESTIMATED ECONOMIC CONTRIBUTION OF CST INVESTMENT – NO REGRETS CASE - CONTRIBUTION TO EMPLOYMENT - FTES .......................................................................................................................... 22 FIGURE 6: HELIOSTAT APPLICATIONS ACROSS AUSTRALIAN STATES .................................................................. 24 FIGURE 7: TIMELINE SHOWING THE NUMBER OF HELIOSTAT IP APPLICATIONS IN AUSTRALIA ................................. 24 FIGURE 8: TOP IP APPLICANT COUNTRIES FOR HELIOSTATS ............................................................................... 24 FIGURE 9: HTF IP APPLICATIONS ACROSS AUSTRALIAN STATES........................................................................ 25 FIGURE 10: TIMELINE SHOWING THE NUMBER OF HTF PATENT APPLICATIONS IN AUSTRALIA ...............................