Cool Earth Solar

CPV technology

Solar systems based on CPV technology focus and magnify sunlight onto a small area of PV materials to produce energy. CPV systems use fewer material resources than traditional solar systems in an attempt to lower solar energy production costs. The end goal for the solar industry is to achieve grid parity, so that the cost of solar energy is on par, or below, the cost of energy from traditional fossil fuels.

Challenges CPV companies face include the need for large upfront capital investment to develop and deploy their solutions. CPV technology works only in direct sunlight, as diffuse light resulting from cloudy or overcast conditions cannot be concentrated. This limits the regions that are suitable for CPV-based solar plants.

Market opportunity for solar energy

There is rising demand for solar energy in the United States based on government clean energy mandates. Many states require energy supply companies to produce a specific portion of their electricity from renewable sources. As of July 2010, 29 states plus the District of Columbia have state-mandated renewable portfolio standards (RPSs), and another seven states have goals, of obtaining from 10 to 33 percent of their electricity from renewable sources. Utilities will rely on renewable energy companies to meet RPS mandates.