SolarReserve's Crescent Dunes Project Takes "Huge" Step

California-based solar developer SolarReserve has completed construction on a solar power tower at its flagship solar farm in Nevada, the company said Thursday.

Located in Toponah, Nevada, the Crescent Dunes Solar Energy Plant, which will employ concentrated solar power (CSP) technology, is expected to be the largest of its kind in the world -- capable of producing up to 110 MW of solar energy.

The solar tower is one of the main features of a CSP solar farm, as all of the sun's rays reflected by mirrors, called heliostats, are aimed at the tower where they are used to heat molten salt which create the steam to drive a turbine. So, finishing the 540-foot solar tower is a major first step toward completion of the project.

"Not too many of these have been built, so we have just achieved a huge milestone," said Brian Painter the project's Site Manager.

“Completion of the solar power tower is a significant milestone not only for SolarReserve and our plant, but also for the solar energy industry as a whole. This project is on track to bring American innovation to fruition and is already creating jobs,” said Kevin Smith, CEO of SolarReserve.

Specifically the progress of Crescent Dunes is good news for America's CSP market which has suffered a difficult year. The past year has witnessed solar project developers in the U.S. abandon CSP technology for less expensive PV technology.  And in the case of SolarMillenium, the current state of the CSP market pushed it to pull out of the U.S. completely (and shortly after filed for bankruptcy protection).

SolarReserve itself entered the PV market, announcing in December 2011 that it had been awarded two 75 MW photovoltaic contracts by the South African Department of Energy.

Nevertheless, Crescent Dunes has been slowly marching on. After receiving a $737 million Department of Energy loan guarantee in May 2011, SolarReserve closed project financing and broke ground on construction.

One of the advantages CSP technology has over photovoltaic (PV) technology is its ability to store energy for up to 15 hours. In his announcement, Smith reiterated the advantages of CSP technology saying:

“Our U.S.-developed technology has the ability to store energy for 10-15 hours and solves the issue of intermittent power generation to the grid, the number one limitation to other solar and wind renewable energy technologies. We can deliver electricity ‘on demand’ the same way a coal, natural gas or nuclear fuelled plant does – but without emitting any harmful pollution or hazardous materials – providing a genuine alternative to conventional power generation.”

According to Painter, the project's next phase will focus on building the molten salt storage tanks followed by the construction of foundations for the heliostats this summer.

Not only is the CSP market watching Crescent Dunes' progress closely but so are those who are both attacking and defending the Obama Administration's loan guarantee program. With $747 million of public money on the line, it seems the entire country should be monitoring the project.