Solar Energy

Solar energy generation is divided into two main categories. Concentrating solar power (CSP) is the generation of electricity, using reflective devices, to concentrate solar energy to turn conventional turbines. CSP plants produce energy for as low as 12 cents per kilowatt hour; this cost is projected to fall further to 5 cents per kWh within ten years. CSP plants are especially common in Southern California, where they supply 354 MW of power in total. Many of these plants have operated for a decade or longer, and continue to produce electricity reliably.

The second branch of solar energy is photovoltaics, or PV. PV is the direct conversion of solar energy into electricity using solar panels. Currently, PV power is more expensive than CSP, but in 1995 the PV industry grossed over $350 million, and by 2000 the U.S. total sales of PV-generated power reached 600 MW. The Department of Energy has set a goal of reducing PV cost to $1.50 per watt by the year 2010.