NAVAL POSTGRADUATE SCHOOL MONTEREY, CALIFORNIA MBA PROFESSIONAL REPORT OPERATION SOLAR EAGLE: A Study Examining Photovoltaic (PV) Solar Power as an Alternative for the Rebuilding of the Iraqi Electrical Power Generation Infrastructure By: Curtis Austin, Ralph Borja, and Jeffery Phillips June 2005 Advisors: Ron Tudor, and Brad Naegle Approved for public release; distribution is unlimited. THIS PAGE INTENTIONALLY LEFT BLANK REPORT DOCUMENTATION PAGE Form Approved OMB No. 0704-0188 Public reporting burden for this collection of information is estimated to average 1 hour per response, including the time for reviewing instruction, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding this burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to Washington headquarters Services, Directorate for Information Operations and Reports, 1215 Jefferson Davis Highway, Suite 1204, Arlington, VA 22202- 4302, and to the Office of Management and Budget, Paperwork Reduction Project (0704-0188) Washington DC 20503. 1. AGENCY USE ONLY (Leave blank) 2. REPORT DATE 3. REPORT TYPE AND DATES COVERED June 2005 MBA Professional Report 4. TITLE AND SUBTITLE: OPERATION SOLAR EAGLE: A Study Examining 5. FUNDING NUMBERS Photovoltaic Solar Power as an Alternative for the Rebuilding of the Iraqi Electrical Power Generation Infrastructure 6. AUTHOR(S) Curtis Austin, Ralph Borja, and Jeffery Phillips 7. PERFORMING ORGANIZATION NAME(S) AND ADDRESS(ES) 8. PERFORMING ORGANIZATION Naval Postgraduate School (NPS) REPORT NUMBER Monterey, California 93943-5000 9. SPONSORING / MONITORING AGENCY NAME(S) AND ADDRESS(ES) 10. SPONSORING / MONITORING AGENCY REPORT NUMBER 11. SUPPLEMENTARY NOTES: The views expressed in this report are those of the author(s) and do not reflect the official policy or position of the Department of Defense or the U.S. Government. 12a. DISTRIBUTION / AVAILABILITY STATEMENT 12b. DISTRIBUTION CODE Approved for public release; distribution is unlimited 13. ABSTRACT (maximum 200 words) The purpose of this project is to examine the cost and feasibility of using photovoltaic solar power to assist in the rebuilding of the Iraqi infrastructure. The project will examine available solar equipment and technologies coupled with requirements for operation, installation and maintenance of such systems. The report begins with an analysis of the current state of the Iraqi infrastructure with special emphasis placed on identifying potential candidates for initial solar PV system installation. Next, the report addresses available commercial solar equipment and emerging technologies that enhance such systems. This section will address areas including installation, operation, maintenance, and durability. Finally, the report will conclude with a cost estimate for using solar PV systems in the rebuilding of Iraq. At the conclusion of the project, information will be available for decision makers to include as part of an operations order or to attach as an annex to an existing operations order. 14. SUBJECT TERMS Solar Power, Photovoltaic, PV, Rechargeable Batteries, Logistics, BA-5590, BB- 15. NUMBER OF 390, BB-2590, PVPC, Iraq, Power Grid, Infrastructure, Cost Estimate, Photovoltaic Power Conversion PAGES (PVPC), MPPT 187 16. PRICE CODE 17. SECURITY 18. SECURITY CLASSIFICATION 19. SECURITY 20. LIMITATION CLASSIFICATION OF OF THIS PAGE CLASSIFICATION OF OF ABSTRACT REPORT Unclassified ABSTRACT Unclassified Unclassified UL i THIS PAGE INTENTIONALLY LEFT BLANK ii Approved for public release; distribution is unlimited OPERATION SOLAR EAGLE: A STUDY EXAMINING PHOTOVOLTAIC (PV) SOLAR POWER AS AN ALTERNATIVE FOR THE REBUILDING OF THE IRAQI ELECTRICAL POWER GENERATION INFRASTRUCTURE Ralph Borja, Major, United States Army Jeffery Phillips, Major, United States Army Curtis Austin, NH-III, Department of Army Civilian Submitted in partial fulfillment of the requirements for the degree of MASTER OF BUSINESS ADMINISTRATION from the NAVAL POSTGRADUATE SCHOOL June 2005 Authors: _____________________________________ Ralph Borja _____________________________________ Jeffery Phillips _____________________________________ Curtis Austin Approved by: _____________________________________ Ron Tudor, Lead Advisor _____________________________________ Brad Naegle, Support Advisor _____________________________________ Douglas A. Brook, Dean Graduate School of Business and Public Policy iii THIS PAGE INTENTIONALLY LEFT BLANK iv OPERATION SOLAR EAGLE: A STUDY EXAMINING PHOTOVOLTAIC (PV) SOLAR POWER AS AN ALTERNATIVE FOR THE REBUILDING OF THE IRAQI ELECTRICAL POWER GENERATION INFRASTRUCTURE ABSTRACT The purpose of this project is to examine the cost and feasibility of using photovoltaic solar power to assist in the rebuilding of the Iraqi infrastructure. The project examines available solar equipment and technologies coupled with requirements for operation, installation and maintenance of such systems. The report begins with an analysis of the current state of the Iraqi infrastructure with special emphasis placed on identifying potential candidates for initial solar PV system installation. Next, the report addresses available commercial solar equipment and emerging technologies that enhance such systems. This section addresses areas including installation, operation, maintenance, and durability. Finally, the report concludes with a cost estimate for using solar PV systems in the rebuilding of Iraq. At the conclusion of the project, information will be available for decision makers to include as part of an operations order or to attach as an annex to an existing operations order. v THIS PAGE INTENTIONALLY LEFT BLANK vi TABLE OF CONTENTS EXECUTIVE SUMMARY .....................................................................................................1 I. INTRODUCTION........................................................................................................7 A. PREFACE.........................................................................................................7 B. RESEARCH OBJECTIVES...........................................................................8 C. RESEARCH QUESTIONS.............................................................................9 II. IRAQI INFRASTRUCTURE ...................................................................................11 A. GENERAL GUIDELINES FOR INFRASTRUCTURE REBUILDING................................................................................................11 B. BACKGROUND ............................................................................................13 C. COALITION EFFORTS TO BEGIN THE RECONSTRUCTION PROCESS .......................................................................................................15 1. Managing the Funds Earmarked for Rebuilding ...........................16 2. Initial Assessments of Iraq’s Infrastructure Needs ........................18 3. The Restore Iraqi Electricity Program............................................20 4. Power Overview and Distribution Policy ........................................20 D. U.S. ENGINEERS ACTIONS UPON ENTERING IRAQ ........................21 E. INCREASE OF ELECTRICAL POWER REQUIREMENTS AND CAPABILITIES.............................................................................................23 1. Increased Use of Electrical Appliances............................................24 2. Cost of Insurgent Attacks..................................................................25 3. Security Premiums.............................................................................27 F. UNANTICIPATED CHALLENGES AFFECTING REBUILDING........29 1. Increased Needs in School Systems ..................................................29 2. Maintainability of U.S. Improvements ............................................29 III. SUCCESSFUL IMPLEMENTATION OF SOLAR POWER...............................31 A. USE OF PHOTOVOLTAIC TECHNOLOGY...........................................31 B. TRENDS IN OFF GRID AND ON GRID SYSTEMS................................33 C. CASE STUDIES.............................................................................................36 1. Grid Connected Implementation......................................................36 a. Sacramento Municipal Utility District (SMUD)....................36 b. Australia ..................................................................................37 2. Off-Grid Implementation..................................................................38 a. Mexico .....................................................................................38 b. South Africa ............................................................................40 D. SUCCESSFUL SOLAR IMPLEMENTATION CONCLUSION .............41 IV. SOLAR PV SYSTEMS FOR IRAQ.........................................................................43 A. INSTALLATION CONFIGURATIONS.....................................................44 1. On-Grid Solar Power System ...........................................................45 2. Off-Grid Solar Power System...........................................................46 vii 3. Hybrid Solar Power System..............................................................47 B. SOLAR TECHNOLOGY’S POSITIVE AND NEGATIVE ATTRIBUTES................................................................................................48 C. VULNERABILITY