Alternative Energy Grants - Sustainable Energy Development

Alternative energy incentives accelerate grid decarbonization via tax credits, rebates, net metering, and grants for solar, wind, storage, power electronics, microgrids, and smart grid upgrades, reducing LCOE and supporting EV charging infrastructure.

What Are Alternative Energy Incentives?

Incentives—tax credits, rebates, net metering—finance clean electrification, grid upgrades, and storage to cut costs.

✅ Lowers LCOE for solar PV, wind, and battery storage projects

✅ Supports grid modernization, smart inverters, and microgrid controls

✅ Enables EV charging, demand response, and power electronics R&D

Alternative energy incentives encourage companies to pursue non-fossil-fuel energy as a way to consume power. Different countries have different alternative energy incentive programs available for businesses and residences through country, state/province, or municipality levels. However, in this article, alternative energy incentives for business take the center focus. For background on definitions and technologies, see this overview of what constitutes alternative energy and typical market drivers.

In the U.S., two alternative energy incentives available are the investment tax credit and the production tax credit (both can be claimed on a taxpayer’s federal income tax return). A third incentive is a grant program that gives businesses opportunities to receive cash payments from the government for purchasing alternative energy property. Detailed federal and state guidance on credits is summarized in this resource on renewable energy tax credits for common project types.

The investment tax credit, the energy production tax credit or the federal energy grant cannot be claimed in tandem, meaning that a taxpayer can only choose one of these alternative energy incentives. Obviously care will need to be taken in deciding which alternative energy incentive will be best for a specific taxpayer.

Many businesses model total installed cost and depreciation using these alternative energy cost references before selecting an incentive.

While incentives are available They are available for both businesses and individuals; and they can be found at the federal, state and local levels, as well as with utility companies and product manufacturers. A concise primer on renewable alternative energy helps stakeholders align technologies with applicable programs.

1. Alternative Energy Incentives - Investment Tax Credit

A taxpayer can claim a tax credit equal to thirty percent of the cost of qualified eligible energy property placed in service. For credit calculations and eligibility nuances, consult this guide to alternative energy tax credits and common compliance pitfalls.

Property eligible for this alternative energy incentive are:

• Solar property,
• Geothermal property,
• Qualified fuel cell property,
• Stationary micro turbine property,
• Combined heat and power system property,
• Qualified small wind energy property, and
• Geothermal heat pump property

  The federal tax credit is not considered to be taxable income; however, the cost basis of the energy property will need to be reduced by one-half of energy credit claimed. The investment tax credit is also subject to an alternative minimum tax limitation. The credit cannot reduce a taxpayer’s regular tax below the taxpayer’s alternative minimum tax. Any unused credit can be carried back one year and forward twenty years. Case studies of successful deployments in solar, CHP, and wind are profiled among these alternative energy projects to illustrate basis and credit interactions.

  A percentage of the investment tax credit will have to be recaptured if the energy property is disposed of within five years of being placed in service.

2. Alternative Energy Incentives - Production Tax Credit

A taxpayer can claim a tax credit equal to a percentage (between .0075 cents and 2.1 cents per kilowatt hour) of energy generated from qualified energy resource property placed in service. The credit can be claimed for a ten year period starting with the date that the energy resource property is placed in service.

Eligible energy resources for this alternative energy incentive include:

• Geothermal or solar energy,
• Wind,
• Open-loop biomass,
• Closed-loop biomass,
• Marine and hydrokinetic renewable energy

   

• Small irrigation power,
• Qualified hydropower production, and,
• Municipal solid waste

  Unlike the investment tax credit, the cost basis of energy property does not have to be reduced by the production tax credit claimed. In addition, for facilities that generate electricity, there is no alternative minimum tax credit limitation for the first four years that a facility is placed in service.

  Similar to the investment tax credit, an unused energy credit can be carried back one year and forward twenty years.

3. Alternative Energy Incentives - Grant For Specific Energy Project Investments

This grant program offers cash payments to eligible taxpayers who place in service specific energy properties. Only taxpayers that are in a trade or business can qualify for this grant, which means that a residential energy-efficient property does not qualify. Application procedures and deadlines are outlined in these alternative energy grant resources for business applicants.

The grant is in lieu of the aforementioned alternative energy incentives, meaning that a taxpayer can apply for the grant or claim one of the business tax credits, but not both.

The following persons are not eligible to receive payment:

• Federal, state or local governments,
• Non-profit organizations,
• Cooperative electric companies.

   

  Property eligible for this alternative energy incentive are:

• Solar property,
• Geothermal property,
• Qualified fuel cell property,
• Stationary micro turbine property,
• Combined heat and power system property,
• Qualified small wind energy property, and
• Geothermal heat pump property

   

The cost basis on which the payment is based upon is its original cost and, which includes all costs. These costs, such as installation and cost of freight, are part of property’s depreciable basis.

The investment tax credit, which is similar to the above alternative energy incentive, the cost basis of the energy property has to be reduced by fifty percent of the grant received. In addition, to the extent that specified energy property is disposed of within five years of being placed in service a percentage of the grant will need to be recaptured.

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Alternative energy systems integrate solar PV, wind turbines, battery storage, and smart grids using power electronics, inverters, and microgrids to optimize reliability, grid integration, load management, and decarbonization in modern electrical engineering.

What Are Alternative Energy Systems?

Renewable power architectures using solar, wind, storage and power electronics for reliable grid-integrated electricity.

✅ Design with MPPT inverters, DC/DC converters, and protection relays

✅ Grid integration via PCC, power quality control, and harmonic mitigation

✅ Energy management: SCADA, EMS, forecasting, and battery SOC control

Alternative energy systems - What are solar power systems?

Solar electric technology, an adequate alternative energy system, takes sunlight and coverts it into electricity directly. The technology works best when the sun is at its peak, at which time it strikes the solar electric modules directly. Solar electric technology does not use the sun's heat to make electricity, but there are certain solar alternative energy systems that are used to heat water. Instead, this alternative energy system produces the electricity directly from the electrons that are freed from sunlight's interaction with semiconductor materials that are found in the solar electric cells. For a deeper overview of photovoltaic system types and performance, see this guide to solar power systems for additional context.

The basic building block of solar electric technology is the solar cell, which are then are wired together with other solar electric cells to produce a solar electric module. The power output on these modules ranges from about 10 watts to 300 watts. One or more solar electric modules connected to an inverter means that the solar electric alternative energy system is tied to the utility grid. The inverter switches the system's direct-current (DC) power to alternating current (AC). This current is what is compatible with the utility grid and it powers devices such as appliances, lights, televisions, and computers. This AC output integrates with household circuits as a reliable source of alternative energy power used by everyday devices.

Alternative energy systems - What are wind power systems?

Wind is air in motion, which comes from the sun. It's an overly abundant fuel source that doesn't harm the environment. The alternative energy systems for this renewable fuel source deflects or stops the wind, converting the wind’s kinetic energy into potential energy of pressure, thus create wind loads. These wind loads are harnessed by wind electric alternative energy systems such as wind turbines to create electricity. Because wind replenishes naturally, it is a prime example of renewable alternative energy that supports long-term decarbonization.

Here are some of the components that make up a wind turbine:

Ongoing advances in materials, controls, and siting practices are central to alternative energy development that improves turbine efficiency and reliability.

• Blades: Most of the wind turbines of this alternative energy sytems have three blades, though there are some with two blades. Blades range from 30 to 50 meters (100 to 165 feet) in length, with the most commonly-used sizes at around 40 meters (130 feet). A 40 meter LM glass-fiber blade for a 1.5 MW turbine weighs 5,780 kg (6.4 tons) and one for a 2.0 MW turbine weighs 6,290 kg (6.9 tons).

• Controller: There is a controller in the nacelle and one at the base of the turbine. The controller monitors the condition of the turbine and controls the turbine movement.

• Generators: Most wind turbines convert the mechanical energy generated from the wind turbine’s rotation into electrical energy using a single AC generator.

• Nacelles: The nacelle houses the main components of the wind turbine, such as the controller and the generator.

   

   

• Rotor: The rotor includes both the blades and the hub (the component to which the blades are attached).

   

   

• Towers: The towers are usually tubular steel at varying heights starting at about 60 to 80 meters (about 195 to 260 feet). There are some towers with heights around 100 meters (330 feet).

Alternative energy Systems - What are geothermal power systems?

Geothermal technology, an alternative energy system that doesn't hurt the environment, produces electricity from hydrothermal (hot water/steam) resources. Hydrothermal resources at high temperatures (between 300 and 700 degrees Fahrenheit) can be used to make electricity. These high-temperature resources may originate from either hot water wells or dry steam wells. These resources can be used by drilling wells into the earth and, at that point, piping the steam or hot water to the surface. Geothermal wells are one to two miles deep. Geothermal stands alongside solar, wind, and other forms of alternative energy that leverage naturally replenished resources.

In a dry steam power plant, the steam from the geothermal reservoir is connected from a well to a turbine generator to make electricity. In a hot water plant, some of the hot water is turned into steam. The steam powers a turbine generator just like a dry steam plant. Then, when the steam cools, it turns into water and goes back into the ground to be used over again. These closed-loop practices exemplify the principles behind what is alternative energy in practical power generation.

Alternative energy systems - What are wave power systems?

Wave power plants are rare because waves aren't produced on a consistentent basis. However, if harnessed, wave production can supply an adequate amount electricity. This electricity production starts with wave energy converters (WEC), which converts wave energy into mechanical energy, and then uses a power take-off system to generate electricity. The power is generally taken using a turbine driven by pressurized air, pressurized oil, or pressurized water. Many coastal pilot sites evaluate device survivability and grid integration through targeted alternative energy projects across diverse sea states.

There are three categories of wave energy converters, an environmently-friendly alternative energy system, based on how they capture the mechanical energy:

• Point absorbers are devices whose surface area is very small in comparison to the wave length of ocean waves.

   

• Attenuators are relatively long devices that are placed parallel to the general direction of wave travel.

   

• Terminators are placed a certain way, so that they can absorb energy from the wave.

   

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Biomass energy converts organic feedstocks into renewable power via combustion, gasification, and anaerobic digestion, enabling CHP systems, grid integration, carbon-neutral generation, improved thermal efficiency, and dispatchable biofuels for resilient electrical infrastructure.

What Is Biomass Energy?

Biomass energy produces electricity from feedstocks through combustion or digestion, enabling CHP and grid reliability.

✅ CHP raises electrical efficiency to 70% with heat recovery

✅ Gasification feeds syngas to turbines or SOFC for power

✅ Dispatchable output supports frequency and voltage stability

Biomass energy comes from biomass feedstock (crops and residues, farm animal wastes, industrial wood, etc.). The heat from this substantial renewable resource can generate electricity, fuel and other forms of energy. It has been estimated that just one eighth of the total biomass energy produced annually could provide all of humanity’s current demand for energy. For a deeper overview of how biomass fits within the clean energy landscape, see this guide on biomass renewable energy and its practical applications today.

Some forms of biomass fuels (or biofuels), derived from biomass feedstock, can be solid, liquid, or gas. Kitchen scraps, sewage, the leftovers of the food processing industries, paper, sawdust, and lawn clippings are some of the available biomass energy sources. Biomass energy has received a lot of attention because an opportunity to convert waste into something very valuable has presented itself. These pathways are often discussed alongside other forms of alternative energy that leverage different feedstocks and conversion methods.

Biomass Energy – How can we use it?

Biomass energy can be converted to generate electricity, fuel vehicles and heat buildings using biofuel technologies. At the moment, biomass energy sources used in power plants include agricultural and farm residues, food processing residues, wood residues and methane gas from land fills. Biomass energy producers hope to significantly expand the supply of biomass energy by using trees and grasses as well. In power markets, biomass can contribute to renewable electricity portfolios alongside wind and solar resources.

Currently, there are more than 350 biomass energy plants generating 7,000 megawatts of biomass power in the United States. The producers who own these plants are quite diverse; they range from the electrical utilities, independent power producers, the wood manufacturing industry, and the pulp and paper industry. Such facilities are part of broader trends in renewable power generation that emphasize reliability and grid integration.

Biomass energy is considered a renewable energy source because it can replenish itself (regrown), unlike fossil fuels such as coal and oil, which when used, are gone. And, unlike coal and oil, biomass energy is an alternative energy source because it doesn’t hurt the environment with harmful chemicals, such as carbon dioxide, which cause greenhouse gas emissions (GHG). Using renewable biomass resources not only reduce greenhouse gases, but they also reduce air pollutants and landfill wastes. This classification aligns with definitions of alternative energy that prioritize low emissions and resource sustainability.

As policies evolve, many jurisdictions frame biomass within broader renewable alternative energy strategies that support decarbonization goals.

Biomass Energy in Today’s Marketplace

Within the spectrum of renewable energy sources, biomass competes and collaborates with wind, solar, and hydro depending on local resource availability.

• High costs in handling and transportation, as well as high moisture content, have long outweighed the low price of biomass energy feedstocks. Fuels that are filled with moisture are hard to burn properly and heat release is slow and hard to control. However, fuel upgrading options, such as pelletization and drying remedy this situation, thus making biomass energy more economically attractive.
• Biomass energy can also make be useful in blending and co-firing applications with coal because of the low SO2, NOx, and metals emissions from biomass energy fuels, and their CO2 neutral status.

Biomass Energy – Benefits of Cogeneration

Cogeneration, the practice of producing both electricity and useful heat, is a great way of improving energy efficiency. Some sawmills, for example, use a lot of heat from boilers powered by biomass energy to supply energy to their kiln-drying operations. But any extra heat can help gasify biomass energy fuels so they can be used in a gas turbine, which is more efficient than a simple steam boiler. Additional savings can be produced by using combined cycle technology, which takes additional waste heat from the gas turbine to give power to a steam-driven turbine.

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Alternative energy tax credits reduce CAPEX for solar PV, wind turbines, battery storage, EV charging, and high-efficiency HVAC, with IRS incentives, rebates, and depreciation accelerating power electronics upgrades and grid integration for clean energy projects.

What Are Alternative Energy Tax Credits?

Fiscal incentives lowering costs for EE-led renewable systems, backing PV, wind, storage, and grid modernization.

✅ Eligible assets: PV inverters, wind generators, BESS, EVSE

✅ Requires NEC, IEEE 1547, UL 1741, and interconnection compliance

✅ Boosts CAPEX ROI via ITC, PTC, MACRS, transferable credits

How can I earn money using alternative energy? New financial incentives are available to homeowners and businesses for a number of alternative energy and energy efficiency measures. For a broader overview of current programs, see the resource at alternative energy incentives which summarizes eligibility and timelines.

• Alternative energy tax credits for residential and commercial photovoltaics, solar water heating systems, geothermal heat pumps, and other renewable technologies.
• Alternative energy tax credits for homeowners for energy efficiency improvements to existing homes.
• Alternative energy tax credits for builders of highly efficient new homes.
• Alternative energy tax deductions for owners or designers of highly efficient commercial buildings.
• Alternative energy tax rebates for energy efficient appliances

   

  Alternative Energy Tax Credits Using Solar and Renewables For Residential Homes

  If you're new to the space, this concise primer on what is alternative energy helps frame the technologies covered in this section.

  For new and existing homes, alternative energy tax credit limitations have been removed by some country's governments for many alternative energy systems including geothermal heat pumps, solar water heaters, solar photovoltaics, small wind energy, fuel cells and microturbine systems. Qualified products can receive an alternative energy tax credit equal to 30 per cent of their cost. Many homeowners start by reviewing the latest renewable energy tax credits before requesting contractor quotes.

  Some examples of alternative energy tax credit qualified products are:

  When weighing options like PV and solar thermal, this overview of alternative energy solar power clarifies system types, site suitability, and typical payback periods.

• Solar water heating systems property certified by the Solar Rating and Certification Corporation (SRCC) which provide at least 50 per cent of the system demand.
• Photovoltaic systems which provide electric power for the residence.
• Wind energy systems which provide 100 kW or less electric power to the residence.
• Geothermal heat pumps which satisfy the ENERGY STAR criteria.
• Fuel cells with a capacity = 0.5 kW and efficiency = 30 per cent.
• Microturbines with a maximum capacity of 2,000 kW and a minimum efficiency of 26%.

  Alternative Energy Tax Credits For Existing Homes - Energy Efficiency

  To align upgrades strategically, compare technologies using this guide to renewable alternative energy so your efficiency measures complement future renewable additions.

  Qualified products receive an alternative energy tax credit of 30% of their cost, up to the $1,500 limit.

  Some examples of alternative energy tax credit qualified products are:

• Insulation material which meets 2009 IEEC and amendments.
• Exterior windows with SHGC = 0.30 and U-factor = 0.30.
• Exterior doors with SHGC = 0.30 and U-factor = 0.30.
• Furnaces using natural gas or propane with an AFUE = 95.
• Geothermal heat pumps (Not subject to $1,500 cap):
• Hot water boiler with natural gas, propane, or oil furnace and AFUE = 90 per cent.
• Advanced main air circulating fan used in natural gas, propane, or oil furnace that uses no more than 2% of the total annual energy use of the furnace.
• Water heater using natural gas, propane, or oil with EF = 0.82 or a thermal efficiency = 90%.
• Water heater using an electric heat pump with EF of 2.0 or greater.
• Biomass stoves with efficiency rating of at least 75 per cent and used to heat a home or heat water.

   

  Alternative Energy Tax Credits For Commercial Buildings

  Owners or tenants (or designers, in the case of publicly-owned buildings) of new or existing commercial buildings may qualify for a tax deduction of up to $1.80 per square foot. The buildings must be constructed or reconstructed to save at least 50 per cent of the heating, cooling, water heating, and interior lighting energy cost of a building that meets ASHRAE Standard 90.1-2001.

  Each of the three energy-using systems of the building — the envelope, interior lighting system, and heating and cooling system — is eligible for one third of the incentive ($0.60/ft) if it meets its share of the whole-building savings goal. Case studies of compliant facilities can be found among curated alternative energy projects that detail design choices and savings outcomes.

  Software meeting federal tax laws for accuracy and consistency determines projected energy savings. Third party inspectors review the plans and verify building parameters to determine compliance.

  Alternative Energy Tax Credits For Businesses

  The business investment tax credit varies from 10% to 30% depending upon they type of system installed. This alternative energy tax credit is possibly available to businesses that purchase solar water heaters, solar photovoltaics, small wind energy, geothermal heat pumps, fuel cells and microturbine systems.

  Combined Incentives For Alternative Energy Tax Credits

  In many cases, multiple tax incentives may be claimed. In the case of a new home for example, the builder may claim credit for the high efficiency home and the homeowner may claim tax credits for solar hot water, photovoltaic, and fuel cell systems. Other financial incentives, such as local utility rebates, further reduce the cost of building or owning a solar and energy efficient home. To supplement credits and rebates, many jurisdictions also offer targeted alternative energy grants that can further reduce upfront costs.

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Alternative energy grants fund renewable energy R&D, power systems upgrades, and grid modernization, supporting solar, wind, microgrids, battery storage, high-efficiency inverters, and electrification projects for utilities, manufacturers, and engineers, focused on decarbonization and smart grid.

What Are Alternative Energy Grants?

Grants that fund renewable power systems, grid upgrades, and storage for electrical engineering projects.

✅ Funds power electronics, inverters, and grid-integration R&D

✅ Supports microgrids, DERs, and smart grid reliability projects

✅ Covers feasibility studies, prototypes, and pilot deployments

Alternative energy grants - Wind, solar, geothermal and other alternative energy soures are the new "in" to replace forms of energy that harm the environment such as fossil fuels, so both Canadian and the U.S. governments are giving alternative energy grants (free conditional money) to individuals, businesses and local governments to promote the use and development of alternative energy sources. Here are three alternative energy grants currently offered by the U.S. government. For broader context on the field, the overview at what is alternative energy explains key terms and categories clearly.

Alternative Energy Grants - Energy Efficiency and Conservation Block Grant (EECBG) Program

These alternative energy grants help eligible entities in beginning their conservation and energy efficiency strategies. For those interested in applying for these alternative energy grants, they must have reduced their fossil fuel emissions, reduced total energy usage and improved energy efficiency within the company. Furthermore, those eligible must develop and implement an energy efficiency and conservation strategy with the assistance of a third-party technical consultant. Also, eligible entities must conduct regular residential and commercial building energy audits to monitor results and financial incentive programs (loan programs, rebate programs, waive permit fees) with the goal of improving energy efficiency must be in place. Other requirements are also required to be eligible for this alternative energy grant. To identify complementary rebates and policy tools, agencies can review alternative energy incentives relevant to their jurisdiction for alignment with EECBG goals.

Alternative Energy Grants - State Energy Program

Ultimately, provinces and states are expected to lower their overall fossil fuel carbon emissions so that the use of alternative energy sources can become more prevalent. Financial support, in whole or in part, may be provided for salaries, materials, and supplies, equipment, travel, publication costs, and services required for deployment of alternative energy activities and initiatives. The states energy program goes to competing states for funding to implement activities relating to a number of programmatic areas such as building codes and standards, alternative fuels, industrial efficiency, building efficiency, and alternative energy technologies. Many states layer alternative energy tax credits on top of SEP funds to catalyze private investment.

Alternative Energy Grants - Rural Energy for America Program (REAP)

The REAP program provides alternative energy grants to rural small businesses & agricultural producers for the purchase & installation of alternative energy systems in rural areas. Alternative energy grants are limited to 25 per cent of the project cost or $500,000 – whichever is less. Alternative energy grant applications of $20,000 or less are greatly favored in the competitive, selection process. Projects needing larger grants can improve their chances by simultaneously seeking a REAP guaranteed loan. For the loan seekers, the details are the same as the aforementioned alternative energy grant, but provides 60 to 85% per cent loan guarantees to commercial lenders financing such projects. Loans up to $25 million can be guaranteed. Combination grant and guaranteed loan assistance up to 75 per cent of total project cost; such “combo” proposals may improve a project’s access to grant assistance and speed approvals. Prospective applicants can benchmark typical capital and O&M figures using resources on alternative energy cost to prepare stronger pro formas.

Case studies of farm-scale solar, wind, and efficiency upgrades in the alternative energy projects library illustrate successful REAP financing structures.

Alternative Energy Grants - State Energy Special Projects

The State Energy Program aims to develop and deploy energy efficiency and alternative energy technologies and practices. The State Energy Program (SEP) makes it possible for states in the U.S. to design and carry out energy efficiency and alternative energy programs tailored to their State-specific needs, while contributing to national energy priorities. The State Energy Program enables the States to address both national energy initiatives and local energy priorities through two funding mechanisms: alterntive energy formula grants and Special Projects grants. States utilize these funds to design and implement energy projects tailored to meet community needs, economic conditions, individual energy situations, and climactic variations. SEP Special Projects funds are awarded on a competitive basis to States from each of the four end-use sectors (buildings, industrial, power technologies, and transportation) and the Federal Energy Management Program (FEMP) for cost-shared technology projects. Special Projects often accelerate alternative energy development by targeting pre-commercial demonstrations and regional testbeds.

For program designers seeking cross-sector approaches, curated alternative energy solutions can inform competitive proposals and stakeholder engagement plans.

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Alternative Energy Solar Power converts sunlight via photovoltaics into electricity using PV modules, inverters, MPPT, and battery storage for grid-tied systems, microgrids, and off-grid resilience, improving efficiency, reliability, and decarbonization.

What Is Alternative Energy Solar Power?

A renewable electrical system converting solar irradiance to AC via PV modules, MPPT inverters, and optional storage.

✅ PV arrays generate DC; power electronics regulate voltage and current.

✅ Inverters with MPPT perform DC–AC conversion, grid sync, and protection.

✅ Battery storage and EMS enable peak shaving, backup, and microgrid control.

Alternative energy solar power is, perhaps, the first energy source that comes to mind when most people think of alternative energy sources, but — unlike wind — alternative energy solar power is still a long way from being considered a mainstream source of electricity generation. In fact, it accounts for less than one per cent of the world’s electricity production. For readers new to the topic, what is alternative energy clarifies key definitions and the role solar plays among emerging options.

Two main ways to harness the sun's energy to generate alternative energy solar power include: photovoltaic (PV), where solar cells directly convert sunlight into electricity, and solar-thermal power. PV is a proven alternative energy solar power technology that is most appropriate for small-scale applications to provide heat and power to individual houses and businesses. Sunlight falls on a layer of semiconductors, which excites electrons. This, in turn, creates an electrical current that can be transmitted via electrical cables to serve useful applications. Alternative energy solar power solar PV cells are already cost effective for powering houses and businesses in some regions. As with alternative energy wind power, costs have reduced in the past few years thanks to technological developments. But, unlike alternative energy wind power, however, large scale electricity production using alternative energy solar power costs about 22 cents per kilowatt-hour, significantly more expensive than its fossil fuel generation competitors and nuclear power. Comparative cost and performance data across technologies are summarized in alternative energy power, which details where PV is most competitive.

Solar-thermal energy is a completely different technology. It collects and concentrates the sun's rays to heat up fuel such glycol or any other liquid that heats up easily. The heat trapped within this medium is then used transferred through a heat exchanger so that heated water can be used for regular hot water applications like bathing and space heating and heating swimming pools, etc. Fossil fuels are sometimes used as a back-up to heat the water in the boiler if the sun is not shining and cannot heat the system. There are three different methods for concentrating the sun’s rays:

• Parabolic Trough — This method uses long, parallel rows of glass mirrors in the shape of a trough to concentrate the sun’s rays directly at the “absorber tube," which is often filled with oil, to achieve maximum effect.
• Power Tower — Similar in principle to parabolic-trough technology, the mirrors are placed in a circular pattern. At the center of the circle is a tower, at the top of which is a receiver filled with water, air, liquid metal or molten salt that moves to a power block and is used to power a steam turbine.
• Parabolic Disk System — In this system, dishes rather than troughs are used to concentrate the power of the sun.

To see how these concentrating approaches integrate with storage, controls, and grid interconnection, alternative energy systems offers design-level guidance for practitioners.

Advantages of Alternative Energy Solar Power

In spite of its cost versus other sources of energy, alternative energy solar power is attracting interest due to the following:

• Alternative energy solar power makes use of a renewable natural resource that is readily available in many parts of the world.
• The process used to generate alternative energy solar power is emission-free.
• Costs have greatly reduced thanks to technological advances in solar power technlogy to a point that it can compete with fossil fuel alternatives in specific circumstances.
• The technology is scalable in that it can be used for domestic heating purposes or on a larger scale for commercial electricity generation, as solar water heaters are an established technology, widely available and simple to install and maintain.

For a deeper dive into real-world performance benefits, case studies in advantages of solar power highlight emissions reductions and lifecycle savings.

Disadvantages of Alternative Energy Solar Power

The biggest barriers to increasing alternative energy solar power generation are the cost, the amount of land required for large-scale electricity production, and the intermittent nature of the energy source. In terms of the latter, thermal systems do not work at night or in inclement weather. Storage of hot water for commercial or domestic use is simple because only insulated tanks are needed, but further technology advancements are required to improve storage for the higher-temperature liquids required to generate electricity on a large scale and storage of the electricity itself. Emerging roadmaps in alternative energy solutions discuss thermal storage media and hybrid configurations that mitigate intermittency challenges.

Outlook for Alternative Energy Solar Power

Although alternative energy wind power is more economical and has been more widely adopted for large-scale power production than solar energy, solar energy is the most flexible in scale and application. It also is widely available and an environmentally benign source of alternative energy. Broader market drivers and renewable policy trends are tracked under renewable alternative energy, providing useful context for long-term solar adoption.

It is currently a $7 billion per year business that is growing at 40 per cent per annum. As part of the wider clean-energy portfolio, the taxonomy in forms of alternative energy situates solar alongside complementary technologies.

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