Off-Grid Solar in the Mining Sector – Can Renewable Energy Reduce your Operating Costs?

摘要

Australia’s mining sector faces challenges to its competitiveness; operating costs are being adverselyrnaffected as a result of volatile commodity prices and growing international market pressures.rnDiesel fuel-generated power used in typical remote mining projects is generally reliable and quick-todeploy;rnhowever it is ongoing expensive operating cost.rnMany mines and communities in remote locations source electricity from diesel generation, and oftenrnpay over $300/MWh in fuel and carbon only (i.e. excluding CAPEX). These costs are expected to risernover time and are vulnerable to price shock events or supply chain interruptions in internationalrnmarkets.rnSolar photovoltaic (PV) and other renewables can be integrated with existing diesel units to provide arnhighly reliable power supply. Such renewables now provide a cheaper source of electricity whilernmaintaining the mining industry’s stringent reliability requirements; some renewables are nowrncheaper than diesel power — supplying electricity at approximately $226/MWh.rnAlso, significant funding and concessional rate financing have recently become available to supportrnthe development of remote solar-diesel (or solar-wind-diesel) hybrid systems, including:rn1.up to $2.2 billion of as-yet uncommitted grants through the Australian Renewable EnergyrnAgency (ARENA) and is now seeking mining industry partners,rn2.up to $10 billion of concessional financing for emerging renewable technologies through thernClean Energy Finance Corporation (CEFC) and this commences July 2013,rn3.ongoing revenue support through the Renewable Energy Target scheme, andrn4.other regional support programs administered by various governments.rnThis paper explores:rn1.the business case for renewables – what applications and when to consider them,rn2.the potential operating cost savings if solar was integrated,rn3.the technical challenges and common pitfalls, and how to overcome them, andrn4.the upfront investment costs and whether the site is eligible for Government subsidy programs.