With a stated aim of having some 2GW of capacity by 2020 the country is actively developing its CSP industry and looks set to show the rest of the world how things should be done.

By Alison Ebbage

Indeed the completed Ouarzazate plants will comprise three stages and generate some 500MW of power. The first stage, one CSP parabolic trough power plant with a capacity of one hundred and sixty megawatts (160 MW) and three hours of storage, attracted 18 applicants for the EPC contract which was eventually awarded to Saudi ACWA last January. It then outsourced various elements to a consortium comprised by Spanish companies SENER, Acciona, Aries and TSK. It will be developed on a build, own, operate and transfer (BOOT) basis. The Power Purchase Agreement (PPA) was signed last November 2012, construction began in May 2013 and the expectation is that this first phase will be complete and operational by late 2015.
Second phase
The second phase will add 300 MW and the prequalification process for the design, financing, construction, operation and maintenance is expected to be settled by the end of the year. The second phase is divided into two separate projects: a CSP tower project with a contemplated capacity of around 100 MW and a CSP parabolic trough project with a contemplated capacity of around 200 MW. Storage is expected to be included in both projects.
Cedric Philibert analysts at the International Energy Agency (IEA) expects the second phase to be relatively smooth. He comments: “Certainly the financing will not be an issue. Since the Arab spring investing elsewhere in the region has become unattractive due to stability issues. Therefore all the focus is on Morocco. Even if some sources such as the Clean Technology Fund (CTF) are exhausted the German government-owned development bank, KFW has already said it will invest. There’s also significant interest from other investors private and institutional.”

Next steps
Indeed the success of the Ouarzazate plants and the support given to the industry by the Moroccan government is beginning to reap rewards. A recent report by the Desertec Industrial Initiative (DII), ‘Economic Impacts of Desert Power’ shows that combined worth of renewables (PV, CSP and Wind), could be up to 5 per cent of the total value of goods produced in 2030 in Morocco - if the nation invests heavily in renewable energy. It also estimates that there exists an opportunity to create 35,000 job-years of employment in CSP and 23,000 job-years for PV for every EUR 1 billion invested. These jobs would involve both component manufacturing and plant construction, as well as operations and maintenance.
To this end Morocco has already begun training programs for careers in renewable energy, and is also actively seeking international partnerships to further develop the industry.
Most recently the German Aerospace Centre (Deutsches Zentrum für Luft und Raumfahrt; DLR) has announced its intention to establish a solar power research and test Centre in Morocco on behalf of the Moroccan Agency for Solar Energy (Masen). The long-term objective for this new centre is the continuing development of a competitive solar power industry by piloting and testing scale plants as well looking at which research and development work would add to the industry’s future.
Combining CSP and PV
Philibert thinks that going forward, the combination of PV and CSP will be key to the success of the Moroccan solar industry due to the low cost of PV and the value added by CSP’s storage capacity.
“The big lesson to be learnt going forward is that CSP is not the sole solution for Morocco. By day PV is the better solution and at peak time after dark the storage capacity of CSP comes into its own.” Philibert says that by removing fossil fuels and instead combining PV and CSP the overall cost of power production is less.

“The sensible solution is a mix of the two. This needs to be designed into the system and the country’s overall energy mix. In addition the storage capacity of CSP needs to be upped from its current three hours to something over five hours. This is very doable and is commercially viable without the need for subsidies that are currently provided,” he says.
Key to Morocco’s smooth track record has been governmental support and the creation of Masen. But now what needs to happen, according to Philibert, is the development of multiple small scale plants that will, in combination, make a significant contribution to the targeted 2GW of capacity.