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Although renewable energy development will be hindered by a persistent electric generating capacity surplus and lower power prices in the Southwest through the end of the decade, we believe that the attributes of renewable energy such as power at a guaranteed price and zero air emissions will continue to stimulate investment in new projects. With the assistance of policy initiatives that contain cost- and risk-reduction measures for investments in Concentrating Solar Power, the technology has the potential to reach cost competitiveness by the end of the decade. However, in the absence of such policy initiatives, new utility-scale solar power projects in the Southwest--or elsewhere in the country--are unlikely.

Brighter Than a Hundred Suns: Solar Power for the Southwest; Period of Performance: November 20, 2001 to October 31, 2002