final report - Hochschule Trier
Transcription
final report - Hochschule Trier
FINAL REPORT Market Development for Solar Thermal Applications in Thailand (SolTherm Thailand) Implemented by The Joint Graduate School of Energy and Environment (JGSEE) King Mongkut’s University of Technology Thonburi International Institute for Energy Conservation (IIEC) and Institute for Solar Energy Systems (FRAUNHOFER ISE) July 2007 A project co-financed by the EU-Thailand Small Projects Facility ii STAFF The Joint Graduate School of Energy and Environment (JGSEE) King Mongkut’s University of Technology Thonburi Asst. Prof. Dr. Chumnong Sorapipatana Project Director/ Solar Expert Prof. Dr. –Ing. Christoph Menke Project Leader/ Solar Expert Prof. Dr. R.H.B. Excell Solar Expert Dr. Peter du Pont Solar Expert Asst. Prof. Dr. Sirichai Thepa Solar Expert Dr. Naris Pratinthong Solar Expert Dr. Surachai Sathitkunarat Project Manager Asst. Prof. Dr. Navadol Laosiripojana Project Associate Mr. Kofoworola , O.F. Project Assistant Ms. Kulakarn Suntornwat Project Administative Mrs. Kanyarat Nitheswitthayanukul Project Administative Ms. Montree Srilundai Project Administative Ms. Kanchana Augsonsom Project Administative Ms. Sirilak Ovarakul Project Administative International Institute for Energy Conservation (IIEC) Mr. Sommai Phon-Amnuaisuk Project Coordinator Ms. Sirikul Prasitpianchai Researcher Ms. Kullakant Chertchutham Research Assistant Institute for Solar Energy Systems (FRAUNHOFER ISE) Dr. Hans-Martin Henning Project Coordinator Dipl.-Phys. Edo Wiemken Solar Thermal Expert iii EXCUTIVE SUMMARY The Thai Solar Thermal Industry Outlook Solar Thermal applications in Thailand is currently limited to water heating application in the residential sector while the large market potential in the commercial and the industrial sector remains untapped. Presently there are approximately 15 to 20 active Solar Thermal (ST) companies in the market, however, only few companies have intensive experience and are capable of providing design and installation for large solar systems. The outlook of the Thai solar thermal market over the past recent years has been positive due to the recent fuel price escalation. It was estimated that the sales of solar water heater was around 6,800 m2 in 2005 and 8,500 m2 in 2006. The key local industry players estimate an average market growth of about 10% per year. The SolTherm Thailand Project the Market Development Solar Thermal Applications in Thailand project (SolTherm Thailand) is funded by the EU-Thailand Economic Cooperation Small Project Facility (EU-SPF) and jointly implemented by the Joint Graduate School of Energy and Environment (JGSEE), the International Institute for Energy Conservation (IIEC), and the Fraunhofer Institute for Solar Energy Systems (ISE). The project aims at identifying all related technical and non-technical barriers prohibiting the effective development of the SWH market in Thailand through detailed situation analysis, and developing a set of solutions, guidelines, measures and recommendations for related government agencies and industry stakeholders. The project also aims to enhance a mutual market access for existing European, Thai and EU-Thai joint-venture ST companies as well as stimulate and facilitate more EU-Thai partnerships and investments in ST technologies in Thailand. The SolTherm Thailand project activities were successfully implemented during the course of one-year project implementation, April 2006 – March 2007, and the project activities can be classified into two broad categories: 1. Information research and verification activities conducted through questioners, interview and site visits. 2. Information analysis and dissemination activities were organization of meetings and seminars throughout the project implementation. The project website (www.soltherm-thailand.net) has also been the key channel of information dissemination. To fulfill extensive information required, the project team comprehensively reviewed past studies and demonstration as well as undertook numerous field trips to twenty (20) commercial and industrial facilities in seven (7) larges provinces throughout the country. Additional 6 meetings/workshops were also organized to solicit more information and verify usefulness of the findings. iv Approaches Involved in the Project Activities With the aim to remove barriers for SHW market development, the project has conducted a through review of past studies and other project activities that have implemented in the past 25 years history of solar hot water market development in Thailand. The project team also further investigated and assessed technical barriers through a series of site visit to exiting installations. Non-technical barriers which involve policy measures and economical barriers were identified and analyzed when the project team conducted interview with financial institutions, policy makers, solar companies and customers. Research methodologies used in this project are listed below: x Review of past studies x Questionnaire through phone interview x Personal interview x Survey of potential sites x Visit to existing solar installations Major Findings The Thai Solar Water Heater Market and Industry Development of SWH in commercial application in Thailand was initiated by the government 25 years ago by installing SHW systems on public hospitals. The campaign has somewhat triggered the market that several private hospitals and hotels installed SWHs during that time. The equipments were mainly imported until 10 years later, local fabrication of solar collectors became a cheaper option, though less efficiency, to Thai customers. Origins of the solar collectors were mainly from Australia until recently the imported SHW parts and collectors have shifted to China, Germany and Israel. The CIF import values have been increasing over the past couple of years in line with rising of crude oil price in world market. The existing market of SHW in Thailand is relatively small and only limited number of SHW suppliers is available. Moreover, SHW is not a core business for most suppliers. A study by NEPO/DANCED reported that there were 12 companies involve the SHW market in 1995. After the economic crisis in 1997, there were only 9 companies could remain active. Our recent market survey found that currently there are approximately 20-25 companies operating in the market. Technical and Non-Technical Barriers - Technical barriers System design and sizing: many solar companies are small and sometime specialize in other area i.e. import. These companies often install solar systems without knowledge of proper system design and sizing resulting poor performance of the solar system that can not serve the actual hot water demand. Quality and selection of materials: wrong selection of materials that when soldering together cause corrosion and result in water leakages at joint and seeming of tank and pipes. Cheap material used in the system could also shorten the system life time. v Water quality: some areas of Thailand, well water are a major water supply for even tourist cities like Chiang Mai and Phuket. Sediments from water have been a major problem for solar hot water with open-loop configuration installed in these areas. Installation: small companies often hire installers which sometime do not have knowledge in solar water heater or even plumbing. Wrong installation mostly fails the solar system instantly in just days after first operation. In many cases, owners who have no technical knowledge are not aware that their systems are not operating. - Non-technical barriers High investment cost and long pay-back period: due to limited size of market, solar companies need to mark up cost at high price in order to cover for the company’s expense. The cost of SHW in Thailand is relatively high as compare to countries that have success solar hot water installations. Lack of quality control scheme: Thailand does not have sufficient standards, testing and certification or any other scheme that could control quality of solar water heater in the market. Poor quality of systems and improper installations lead to system failure and customers unsatisfactory and untrusting of the solar thermal technology. Lack of effective policy support from the government: the Thai government, from time to time, supported solar hot water in forms of demonstration and subsidies to limited number of systems. However, these financial supports did not link with quality control and only resulted in more solar systems failure. Other policies that can result in a more lasting and steady support to the market such as tax incentives and awareness campaign have not been introduced. Quality and Standard Issue Europe experience Quality of installation In European countries, safety requirements are imposed on mechanical and electrical components of solar thermal systems. As solar systems provide service hot water, hygienic regulation requires that water has to be regularly heat up to 60C to avoid Ella bacteria. Apart from training to designers, installers, manufacturers, and users that regularly offered for quality design and installation, some European countries e.g. Germany and Austria has specific trainings for “certified solar planner” and “certified solar installer” which extend regular planners and installers towards higher level of expertise in the solar thermal systems. The certification program in Germany is voluntary, however, the certified installers is required in France. Commercial simulation programs e.g. TSOL and POLYSUN are widely applied in the planning phase for the optimization of solar system. Test standards In the European countries, there are several independent institutes to perform mechanical load tests and performances tests on solar thermal collectors in accordance with national standards and European standards. Until 1994, a harmonization of European standards was carried out based on existing vi standards and recommendation e.g. ISO 9806. Current standards practiced for solar thermal collectors and systems are listed as follow: EN 12975 – Solar Collectors Part 1: General requirements; Part 2: Test methods. EN 12976 – Factory Made Systems Part 1: General requirements; Part 2: Test methods. TS 12977 – Custom Built Systems Pat 1: General requirements; Part 2: Test methods; Pat 3: Storages In some European countries, standards are tied to public funding scheme i.e. only collectors tested according to the EN 12975 are approved for funding in Germany. Quality label and certification In 2003, a uniform European quality label for solar thermal products, the Solar Keymark, was established as a tool for customers to easily identify quality solar thermal products. After the initiation, there are more than 100 Solar Keymark licenses issued to qualified products, an indication of successful quality scheme. Furthermore, Germany is considering connecting its public funding for solar thermal to the quality label. More information on the Solar Keymark and approved certification laboratories may be found at the website if the European Solar Thermal Industry Federation (ESTIF) www.estif.org. Thailand experience Quality of installation The lack of training courses to system designers, installers, manufacturers, and users in Thailand has resulted in slacked quality of installation. Our project survey of existing systems installed in many hotels found that many systems are wrongly configured i.e. most of the storage tanks are placed in horizontal position instead of a vertical position that allow stratification. Open looped configuration is often applied to minimize investment cost; however, poor quality of water has caused corrosion in tanks. Most systems are also lack of safety components such as air vent and weather protection for pumps. The percentage of system failure shortly after installation in Thailand is remarkably high. It is recommended that Thailand initiates a program for improving local knowledge and capacity and raises the awareness of quality installation to prevent more solar thermal systems failure in the future. Equipment standards In Thailand, there is a standard related to solar thermal collector issued by the Thai Industrial Standard TIS 899-2532. However, it is clear, that the standard is being applied to local and imported collectors available in the market. Test standards There are 4 test facilities for indoor and outdoor solar thermal collector the following academic institutions. 1) Asian Institute of Technology (AIT) 2) King Mongkut’s University of Technology Thonburi (KMUTT) 3) School of Renewable Energy Technology (SERT), Phitsanulok 4) Chiang Mai University (CMU) vii The test facilities are not continuous in operation due to the low national production level of collectors and commitments from manufacturers. Quality label and certification Presently, quality label and certification for solar thermal are not available in Thailand. Economic and Financial Feasibility Economic of solar thermal system Criteria for design and optimization of solar thermal systems which is crucial for the economic viability of solar hot water are Solar radiation: Thailand has an average solar radiation at 4.5-4.7 kWh/m2 per day which is higher than the economic profitability figures for solar thermal systems. Monsoon season cause seasonal variation of solar energy that should be taken into account when designing a solar system Load pattern and continuity of demand: applications that have demand during daytime and operate all year round gain most economic benefit. Some industrial applications fall in this criterion that could have return on investment as soon as 3 years. Working temperature and types of collectors: working temperature below 70C can use low-efficiency collectors that are economically suitable for solar systems. Three types of solar collectors available in Thailand are unglazed, flat plate and evacuated tubes can be used at this working temperature. Solar fraction: solar fraction is a percentage or portion of annual energy demand meet by solar energy. It is recommended that solar systems are design not higher than 60% of solar fraction for the most cost effective implementation. Pay back period A market survey by the SolTherm-Thailand project team reported that average system cost for domestic SHW is 29,000 baht/m2 and 23,000 baht/m2 for large systems in commercial and industrial applications. The pay back periods for solar systems are varied depends on types of fuel replaced and applications. Calculation of pay back periods based on the survey system cost and the current fuel prices are shown in the table below. Table E.1 Pay back period for difference fuel types in 3 applications Pay back periods (years) Sectors Electricity LPG Fuel Oil Residential 5-6 Commercial 3-5 7-8 6-8 Industrial 4-8 Sensitivity analysis There are several economic factors that have impacts to year-to-positive cash flow or pay back time. Analysis of the impacts lead us to more understanding of how pay back time can be shorten to an acceptable range among Thai investors and what financial measures are needed to achieve the target. Three parameters are viii selected for the analysis: energy delivered from solar system, initial cost and annual operating cost. Results from sensitivity analysis show that reduction of initial cost has the most impact to pay back time. The only case that the solar system can pay back within 4 years is replacing electric heater in hotel applications. Other applications require more than 4 years for return on investment. In order to achieve 5 years target pay back time, a reduction of system cost are needed as 30% of residential and 50% of the present cost of commercial and industrial systems. Potential of Solar Water Heater in Thailand Energy demand at low-medium temperature (60-150C) in 3 economic sectors in Thailand is estimated around 1,200 ktoe/year, a 1.9% of the total final energy consumption in Thailand in 2005. Assuming market penetration for solar water heater are 20% in residential and commercial sectors and 10% in industrial sector, a potential market size is estimated at 1.5 million square meter of collector area. Table E.2 Technical and economical potential of solar thermal energy in Thailand Sectors Residential Commercial Industrial Total Energy demand in low-medium temperature (ktoe) 314 18.5 874 1,206.5 % penetra -tion 20 20 10 Potential of solar hot water (ktoe) Electricity (GWh) LPG (kg) 62.8 3.7 87.4 153.9 730.36 12.91 2,158,333 743.27 2,158,333 Fuel oil (liter) 92,856,232 92,856,232 Collector area (m2) 608,637 22,872 847,052 1,478,561 The economic potential of 1.5 million m2 of solar collector can save energy approximately 153 ktoe and 500,000 tons of carbon emission can be avoided per year. Solar Thermal Related Policies and Measures Many energy and greenhouse gas reduction related policies are results of national and international commitments to reduce energy and greenhouse gas to the target goal such as a recent European Council meeting has announced a target to increase a share of renewable energy to 20% of primary energy consumption in Europe by 2020. To achieve the objectives, there are measures being implemented as follow: x Financial incentives such as subsidies and grant are mostly needed to boost up the market at the initial phase. A success case of growing solar market in Greece has shown the influence of the subsidy measure. x Tax incentives e.g. tax credit and import duty exemption can help bring the cost down particularly for imported products. The classifications of solar water heater components that are currently grouped together with other electric equipments have made it difficult to exempt import duty. The Thai Customs Department has recommended that solar water heater should have a separate code; however, this would require changes at a global level. Importers of solar products in Thailand pledge that should the import duty be exempted, the cost of solar system can be lower as much as 20%. ix x x x x x Regulations are often tied to building code such as mandatory installation of solar water heater in new buildings. A sample of success implementation of the measure is Israel where solar water heater is required for buildings higher than 27 meters. Quality assurance can ensure sustainable growth of solar thermal market. Standards and testing requirements can be tied to government incentives to assure that only quality systems will be installed. Success cases are Germany, Austria and Israel. Demonstration projects can effectively promote solar thermal systems in the country or area that have low acceptance of the technology. Research and development is available in many countries, mostly through academic or research institutions to improve efficiency of solar collector and innovative design that could ultimately lower the cost of the technology. Awareness campaign in raising concern of the energy cost saving and greenhouse gas reduction can bring attention from public and remove the misconception of technology ineffectiveness. Key Recommendations To establish a sustainable solar thermal market in Thailand, the following policies are recommended. Policy measures 1. Quality assurance 2.Financial incentives 3.Awareness campaign 4. Demonstration Addressed problems - Substandard quality of materials Measures / Schemes -Training for manufacturers - Improper design and sizing -Training for system designers - Training for installers - Training for users - Subsidy for investment cost. - Quality of installation - Lack of maintenance - High investment cost - Long pay back period -Tax incentives i.e. credit for income tax, corporate tax -Tax exemption i.e. import duty, VAT - Unaware of cost effective energy -Awareness campaign saving potential through advertisements – Misconception of the technology and other media. - Unaware of technological - Demonstrations of solar potential hot water systems in different applications x CONTENTS CHAPTER TITLE STAFF EXECUTIVE SUMMARY CONTENTS LIST OF FIGURES LIST OF TABLES Page ii iii x xii xv 1 PROJECT OVERVIEW 1.1 RATIONALE 1.2 PROJECT TASKS AND ACTIVITIES 1.3 FOLLOW-ON ACTIVITIES AFTER COMPLETION 1 1 1 3 2 THE THAI SOLAR WATER HEATER INDUSTRY 2.1 MARKET OVERVIEWS 2.2 SWH SYSTEM COMPONENT 2.3 MARKET CHARACTERISTICS AND SUPPLY CHAIN 4 4 13 17 3 BARRIERS 3.1 INTRODUCTION 3.2 MAIN TECHNICAL BARRIERS 3.3 OTHER TECHNICAL BARRIERS 3.4 NON-TECHNICAL BARRIERS 3.5 SUMMARY OF BARRIERS 20 20 23 25 26 26 4 QUALITY AND STANDARDS 4.1 QUALITY OF INSTALLATION 4.2 EQUIPMENT STANDARD 4.3 STANDARD TESTING 4.4 QUALITY LABEL AND CERTIFICATION 4.5 OPTIMIZATION OF STANDARD AND SOLAR THERMAL TESTING CENTER IN THAILAND 28 28 33 37 41 44 5 ECONOMIC AND FINANCIAL 5.1 ECONOMIC OF SOLAR THERMAL SYSTEM 5.2 PAY BACK PERIOD 5.3 SENSITIVITY ANALYSIS 47 47 54 57 6 FINDINGS FROM SELECTED SITE VISITS 6.1 FACULTY OF NURSING, KHON KAEN UNIVERSITY 6.2 WHALE HOTEL 6.3 THAI-DENMARK DAIRY FACTORY 60 60 61 65 xi CHAPTER TITLE 6.4 PATONG MERLIN HOTEL 7 8 9 Page 72 POTENTIAL OF SOLAR WATER HEATER 7.1 POTENTIAL APPLICATIONS FOR SOLAR THERMAL TECHNOLOGY 7.2 ENERGY SAVING POTENTIAL 7.3 MARKET POTENTIAL 7.4 CARBON EMISSION REDUCTION POTENTIAL 76 76 POLICY AND FRAMEWORK 8.1 INTERNATIONAL POLICY 8.2 DIFFERENT POLICY ACCOMPANYING MEASURES HAVE BEEN APPLIED SO FAR ON AN INTERNATIONAL LEVEL, TO ACCELERATE THE MARKET GROWTH OF SOLAR THERMAL APPLICATIONS 8.3 RECOMMENDED POLICY AND FRAMEWORK 87 87 94 100 CONCLUSION 103 APPENDIX A. TRIP REPORTS B. RECOMMENDED STANDARD FOR THAILAND C. THAI INDUSTRIAL STANDARD FOR FLAT PLATE SOLAR COLLECTOR (TIS 899-2532) D. REMARKS ON ECONOMIC ASSESSMENT 77 83 85 104 134 154 156 xii LIST OF FIGURES FIGURES 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 3.9 4.1 4.2 4.3 4.4 4.5 4.6 4.6a TITLE Non-Electric Heater Trade Flow for Thailand during 19901996 Non-Electric Heater Trade Flow for Thailand during 20012006 Glazed Flat Plate Collector Evacuated Tube Collector Storage Tank – Thermosyphon System Different Storage Tank Designs in Force Circulation Systems Storage Tanks in a Closed-Loop Force Circulation System Service and Product Flow Diagram within the SWH Market in Thailand Picture of a neglected solar system In Thailand Quality measures are required at different levels in the installation of a solar thermal hot water system. Example of solar thermal system layouts for large hot water preparation systems with an additional reservoir in order to have always a sufficient amount of domestic hot water free of legion Ella by minimizing the demand on auxiliary heating energy. The layouts were developed within the large German demonstration programme ‘Slolarthermie2000plus’. Figures extracted from ‘Grosse Solaranlagen zur Trinkwassererwärmung’, German BINE information service, Info III/2002 Typical layout of Thai large solar thermal systems for hot water preparation, found during the site visits within the SolTherm project Left: air vents are a rare item in the visited installations. The lack of air vents may cause serious maintenance and service problems. Right: typically, the insulation of the ducts shows signs of disintegration already in systems, installed a few months ago only. Probably, under the Thai climatic conditions, encasing the insulation with jackets is more appropriate in order to avoid thermal losses Internal corrosion of a flat-plate collector due to water penetration. The corrosion is forced, if no ventilation holes in the collector frame are existing and the wetted insulation causes a permanent wet atmosphere in the collector. Photo taken at a collector System of the River Hotel, Bangkok, equipped with Chromagen collectors (Israel) Broken control unit and wrong temperature control installation System control unit MES from the German company PAGE 9 9 15 15 16 16 16 18 25 29 30 31 32 33 34 35 xiii FIGURES 4.6b 4.6c 4.6d 4.7 4.8a 4.8b 4.9 4.10 a 4.10 b 4.11 4.12 4.13 5.1 5.2 5.3 5.4 5.5 5.6 6.1 6.2 6.3 TITLE Paradigma for large solar thermal plants. Also available: remote control for the unit Programmable system control unit UVR 1611 from the German company TA System control unit UVR 1611 from the German company SOREL GmbH. System control unit Thermius from the Danish company AllSun A/S Components of the TS 12977 – Custom Built Systems. Figure from German BINE information service, Info II/2001. Outdoor solar thermal collector test facility at Fraunhofer ISE (part of the Test Centre for Solar Thermal Systems). Left: tracking rig for computer controlled automated collector tests; right: mechanical load test facility Indoor solar thermal collector test facility at Fraunhofer ISE (part of the Test Centre for Solar Thermal Systems) for collectors with liquid heat transfer medium and for air collectors.Between collector and lamp array, an artificial aircooled sky area is installed Experimental test system SERT experiment CMU experiment The European Solar Keymark quality label for solar thermal products Overview on the steps, necessary to obtain the European Solar Keymark quality label for solar thermal products. Described by the Solar Thermal Test Center at Fraunhofer ISE, one of the certified test institutes in Germany The success story of the European Solar Keymark. Since October 2006, the number of keymark licenses has grown to approx. 100 items Solar radiation in Bangkok, Phuket, Chiang Mai and Khon Kaen Optimum collector area determination from the slope of the Vs AC thermal performance curve Solar fraction and number of solar collectors A comparison of system efficiency and tank sizes Load profile for typical hot water demand in Thai hotels Effect of increasing the value of the parameter Schematic diagram of SHWS at faculty of nursing, (1) collector arrays, (2) the sediment deposited inside the collector, (3) pipe connection, (4) auxiliary heater, (5) water draining system, (6) insulation on pipes Collector array and vertical storage tanks Schematic diagram of SHWS installed at Whale hotel PAGE 35 36 36 38 39 39 40 41 41 41 43 44 48 50 51 51 52 58 60 61 62 xiv FIGURES 6.4 6.5 6.6 6.7 6.8 6.9 6.10 6.11 7.1 7.2 7.3 7.4a 7.4b 7.5 8.1 8.2 8.3 8.4 8.5 TITLE The system components for the building B at Whale hotel, upper left: collector array, a few of collectors show internal corrosion. Upper right: storage tanks of which steel jacket disintegrated. Lower left: the temperature gage seems to be out of order as it indicated the temperature of water at 5 oC. Lower right: the setting point for controlling the system is not clear. Three HFO-boilers (7 bar each) of the dairy factory. The preheat oil tank is located between the boiler no.1 and no.2 Overview of processes of dairy products, pasteurized milk, UHT milk drink and pasteurized fermented milk drink Simplified sketch of the process heat supply system at the Diary Farm One of the possibilities to apply solar heat for fuel saving by pre-heating the condensate from 80°C to any higher temperature is indicated (dotted). Simplified sketch of the process heat supply system at the Diary Farm One of the possibilities to apply solar heat for fuel saving by pre-heating the fresh water from ambient temperature to 70 oC (dotted) Patong Merlin Solar water heater system diagram Electric and water consumption in January 2006 at Patong Merlin T-Sol® analysis of solar system in building#2 of Patong Merlin hotel Trends of final energy consumption by economic sector (DEDE 2005) Energy consumption in manufacturing sub-sector in 2005 (DEDE 2005) Daily peak demand of electricity in 2000 – 2004 Potential market of SHW Current market share SHW market growth scenarios Solar Thermal market in europe: cumulated capacity in operation (red line, right axis) and annual growth (white line, left axis). in 2005, the cumulated capacity in operation was approx. 11000 mwth, with a growth in 2005 of approx. 1500 mwth Share of the annual growth in 2005 (approx. 1500 MWth) by country Share of the cumulated capacity in operation in 2005 by country and per 1000 capita The independent Test Centre plays a central role in the quality chain of solar thermal installations Self-perpetuationg positive and negative market development PAGE 64 66 67 69 70 73 74 74 78 78 81 83 83 84 92 93 93 97 100 xv LIST OF TABLES TABLE TITLE PAGE 2.1 Imported Product Items Covered by HS 8419.190.001 in Thailand during the 1990-1996 period (Thousand Baht) 6 2.2 Imported Product Items Covered by HS 8419.190.001 in Thailand during the 2001-2006 period (Thousand Baht) 6 2.3 2.4 2.5 2.6 2.7 2.8 4.1 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 6.1 6.2 6.3 6.4 6.5 7.1 7.2 7.3 7.4 Exported Product Items Covered by HS 8419.190.001 in Thailand during the 1990-1996 period (Thousand Baht) Exported Product Items Covered by HS 8419.190.001 in Thailand during the 2001-2006 period (Thousand Baht) Compilation of Solar Water Heater Suppliers in Thailand, 1985 – 2006, Sorted by Year involved in the Thai SWH Mar Generic Types of Solar Thermal Collectors Choices of Piping in SHW Systems Components and Accessories in a SWH System and Availability of Domestic Supply Comparison Test Condition between ASHRAE Australian and Thai Energy produced by 3 types of collectors for water at 60°C Review of Existing Installation and proposed optimized design A Market Survey of Domestic solar hot water system cost in 2007 A market survey for cost of Solar System in Commercial application Solar system cost breakdown in percentage of total cost in commercial applications Pay back periods of solar thermal system for each sector Country comparison for pay back periods of DSHW Sensitivity Analysis for Year-to-positive cash flow Pay back periods for the reduction of initial cost The SHWS of Whale hotel Input parameters for calculating energy saving by preheating fresh water (the possibility 4) The simulation results obtaining from T-Sol program Solar hot water systems in Patong Merlin hotel Summary of Patong Merlin simulation results Potential applications for solar thermal energy Temperature of industrial heat processes Fuel consumption of manufacturing sub-sector in 2005 (unit: ktoe) Daily hot water demand in commercial sector 7 8 11 13 17 19 46 49 53 54 55 55 56 56 58 59 62 71 71 72 75 76 77 79 80 xvi TABLE 7.5 7.6 7.7 7.8 8.1 8.2 TITLE Energy demand in low-medium temperature Potential of solar water heater A comparison of investment cost and carbon emission avoided Potential of carbon emission reduction from using solar thermal energy Summary of policy measures for SHW implemented in several countries. Recommended policy measures for sustainable development of solar thermal in Thailand PAGE 81 82 85 86 94 102 1 1 PROJECT OVERVIEW 1.1 RATIONALE Solar Thermal energy (ST) is the simplest and most efficient form of renewable energy available today. When solar energy is used for on-site heat generation, the system efficiency is much greater than converting solar energy into electricity and then delivering through the power grid for the same end-use heating applications. Situated in a tropical zone, Thailand has favorable conditions and significant potential for utilizing solar water heating (SWH) compared with many other regions. Based on past studies, annual mean daily global solar radiation in Thailand is between 4.5 kWh/m2/day in winter and 4.7 kWh/m2/day in summer. Despite the significant potential, the overall SWH market size is still small and underdeveloped due to different obstacles and Thailand has not been able to capitalize this cost-efficient and reliable solar energy source, particularly in the commercial and industrial sector. In recognition of the existing market potential, the Market Development Solar Thermal Applications in Thailand project (SolTherm Thailand) was initiated to identify all related technical and non-technical barriers prohibiting the effective development of the SWH market in Thailand through detailed situation analysis. SolTherm Thailand is funded by the EU-Thailand Economic Cooperation Small Project Facility (EU-SPF) and jointly implemented by the Joint Graduate School of Energy and Environment (JGSEE), the International Institute for Energy Conservation (IIEC), and the Fraunhofer Institute for Solar Energy Systems (ISE). The project aims at developing a set of solutions, guidelines, measures and recommendations for related government agencies and industry stakeholders. Moreover the project also directly enhance a mutual market access for existing European, Thai and EU-Thai jointventure ST companies as well as stimulate and facilitate more EU-Thai partnerships and investments in ST technologies in Thailand. Additional benefits resulting from the project actions include establishment of appropriate supporting schemes for the Thai SWH market, such as SWH Industry Association and National SWH standards for equipments, designs, installations and services. All these project outputs will essentially and eventually facilitate bi-lateral trades between EU and Thailand. 1.2 PROJECT TASKS AND ACTIVITIES With the overall objective to remove informational and other unidentified barriers that are inhibiting the effective development of solar thermal market in Thailand, the specific objectives of the project actions are: x To identify related technical and non-technical barriers to the development of the industrial solar thermal technology market in Thailand and to illustrate potential solutions to the barriers. x To determine potential technical, economic and environmental gains from commercial and industrial solar thermal technologies x To analyze the technical and economical feasibility of solar energy in selected commercial applications and in certain industrial processes x To develop a list of possible demonstration sites for future activities x To assess the market size of solar thermal technologies in the Thai industrial and commercial sector 2 x x x x x x To learn from successful European experiences to introduce solar thermal systems in the commercial and the industrial sector To develop a set of solutions, guidelines, measures and recommendations for policymakers, regulators and businesses which would lead to future appropriate supporting scheme, regulatory frameworks and standards for the Thai market To facilitate an initial dialogue on problems and solutions among key stakeholders To create awareness and introduce solar thermal energy to stakeholders through workshops with potential customers and solar system providers (manufacturers) and independent solar experts To strengthen and reinforce ties between stakeholders in the solar thermal industry in Thailand To build a network between European and Thai Solar Thermal Industries To meet the project overall and specific objectives, the project team implemented different project tasks and activities in four phases within the proposed one-year implementation timetable (April 2006 to March 2007) as follows: 1.2.1 Phase I: Seeking Stakeholder Support The first phase aims to inform the existing market players about the project actions and to assure that all project activities will be in a complementary manner to the overall development of the new market segment of the domestic solar thermal industry. The project task in this phase includes: x Task 1: Inception Meeting and Establishment of the Project Advisory Committee Through this task, the project team has informed relevant government agencies and industry stakeholders about the project actions, and established the project advisory committee whose members will provide opinions and comments to improve project methodologies and activities as necessary. 1.2.2 Phase II: Assessing Market Potential The second phase provides an estimate of the size of the potential market for industrial and commercial solar thermal technologies and will determine potential demonstration sites where technical and economical aspects are feasible. The project tasks in this phase consist on Task 2 and 3 as follows: x Task 2: Review of Existing Reports/Project activities and European Experience in Developing Industrial Solar Thermal Market The EU-Thai project team thoroughly reviewed existing reports produced by government and private sector in promoting industrial and commercial solar thermal applications in both Europe and Thailand. Experiences and lessons learned were utilized by the project team throughout the project implementation period. x Task 3: Industry and Commercial Sub-Sector Review Through semi-structured questionnaires, the project team conducted interviews selected commercial and industrial end-users as well as government agencies to assess the potential market size and future growth. 3 1.2.3 Phase III: Understanding Market Characteristics The third phase will provide understanding of supply chain and decision-making process which is important to policy makers and industry on how to enhance the industrial solar thermal market. The project tasks in this phase consist on Task 4 and 5 as follows: x Task 4: Review of Supply Chain and Regulatory Frameworks The project team utilized personal meeting, focus groups and round table meeting technique to gather information on supply chain and regulatory frameworks. The team organized such activities for two target groups: one for government agencies and authorities, and one for the solar thermal industry. x Task 5: Market Survey and Site Visits The project team performed site visits to twenty (20) commercial and industrial facilities in 7 larges provinces throughout the country. Findings from the site visits help verify outcomes of Task 2, 3 and 4 and essentially serve as the main inputs for preparation of the final report. 1.2.4 Phase IV: Information Analysis and Dissemination The final phase will utilize project findings to stimulate dialogue between key stakeholders as well as encourage better industry and public-private coordination. The project tasks in this phase are captured below: x Task 6: Detailed Analysis and Report Preparation The outcomes and findings from the previous tasks were consolidated together for the preparation phase of the final report. x Task 7: Information Outreach and Training The project team regularly informs the related government agencies and industry stakeholders the progress and outcomes of the project implementation. The outreach activities have been undertaken through the Internet-based Solar Thermal Information Clearinghouse for Thailand, www.soltherm-thailand.net as well as training and information dissemination workshops and meetings. The project team organized a total of 6 meetings/workshops during the one-year project implementation period. 1.3 FOLLOW-ON ACTIVITIES AFTER PROJECT COMPLETION Following the completion of project activities in March 2007, the SWH suppliers in Thailand agreed in principle to pursue the initiative on establishment of the Thai Solar Thermal Association to continue the future SWH promotional activities and maintain the momentum established by the project. In addition, the Department of Alternative Energy Development and Efficiency, DEDE, under the Ministry of Energy, Thailand is planning to establish ten (10) demonstration project to substantiate the technical and economic feasibility and to stimulate replication of SWH applications in the hotel sector in Thailand. 4 2. THE THAI SOLAR WATER HEATER INDUSTRY 2.1 MARKET OVERVIEWS 2.1.1 Past and Present The solar water heater market in Thailand was probably triggered by the government initiative in 1982 when the Department of Alternative Energy Development and Efficiency (DEDE), formerly known as the Department of Energy Development and Promotion (DEDP), installed 352 square meters of flat plate collectors in 6 hospitals, 1 hotel and 1 small 1 industry . The initial phase ended in 1984 and ownership of those solar water heater systems was transferred to respective entities responsible for management of those premises. In the early 90s, the solar water heater market in Thailand picked up its momentum and more than 10 solar water heater suppliers existed in the market. The solar water heater market in Thailand in the 90s was dominated by imported products from Australia, Germany and Israel. The local manufacturers were also available but unable to capture significant market share. All suppliers of solar water heaters whether imported or domestically manufactured or assembled provide installation and maintenance services to customers. The key end-use sectors were limited to the upper-income residential sector and the commercial sector (hotel and hospital). DEDE also resumed its solar thermal promotion in 1994 with the focus on technical support and capacity building for end-users particularly in the commercial sector, i.e. hotels and hospitals. The study conducted in 1996 by DEDE estimated that the total installation of flat plate collectors in Thailand until 1996 is about 50,000 m2. The study also cited that in 1996 alone, Solar Water Heater (SWH) systems of a total collector area of 4,150 m2 was installed in Thailand, of which 2,740 m2 were installed in residential households and the rest 1,410 m2 was installed in hotels and hospitals. In the late 90s, the solar water heater market in Thailand rapidly declined for two main reasons, i.e. 1) the 1997 Asian economic crisis dramatically hampered new investment in the commercial and residential sector, and 2) quality and durability of solar water heater systems were tarnished by incorrect designs and poor workmanship during installation and maintenance. In 1998, the Thai government introduced a financial incentive scheme to spur the utilization of solar water heater in the residential sector. The scheme however was not able to deliver significant impacts on the overall solar water heater market in Thailand and it was discontinued 1999. Following the initial 15-year of solar water heater market in Thailand, only a few suppliers established in the early 90s were able to survive this roller coaster trend after the year 2000. However, the total number of suppliers in the solar water heater market in Thailand has been relatively constant as new importers and manufacturers have been established to respond to the new demand emerged from new investments in the commercials sector, specifically in the hotel industry. It is important to note that in addition to Australia and EU member countries, 1 Country Paper for Thailand, Amnuay Thongsathitya, Director Energy Research and Development Branch, Financing and Commercialization of Solar Energy Activities in Southeast Asia, Kunming, Yunnan Province, China, 26-30 August 1996. 5 specifically Germany and Israel, China has become one of main country of origin for solar water heater products imported to Thailand by companies established after 2000. Although the solar water heater technologies have been promoted in Thailand for almost 25 years, the overall market size is still relatively small and immature. Most solar water heater companies in Thailand (importers and manufacturers) employed only traditional direct-marketing strategy to sell their products. The government support in the solar thermal industry is very minimal and considered to be in significant. Key barriers that hamper new investments and large-scale replications of solar water heater technologies in Thailand will be explored in this report and some pertaining to market structures and supply chain will be highlighted in this chapter. 2.1.2 Trade Flow In the 90s, solar water heater products in Thailand were dominated by imports from 2 Australia. Based on an assessment conducted by CEERD in 1998, about 9 companies supplied systems of different make through import and local fabrication. Of which 4 companies supplies the Australian products capturing over 60% of the total market share. After the Asian economic crisis, products imported from EU member countries, specifically Germany and Israel, have gained their momentum due to stronger local presence. Chinese made solar collectors have also been making their penetration to the Thai market with competitive costs offered. Similar to other countries adopting international harmonization code (HS), all solar water heater systems and components import and export statistics in Thailand are covered by HS 3 8419. However the definition of the HS 8419 is quite broad , and, specifically, in Thailand, solar water heaters together with other non-electric heater products are covered by “8419.190.001- Other”. Table 2.1 to 2.4 presents import-export statistics in Baht 4 (CIF value ) during the period of 1990 – 1996 and 2001 - 2006 of HS Code “8419.190.001- Other”. It should be noted that there is an ongoing effort to distinguish solar water heaters from other non-electric products under the same HS heading so that appropriate tariff for this renewable energy product can be proposed accordingly. 2 Assessment of Potential Use of Solar Thermal System in Thailand, Center for Energy-Environment Research and Development (CEERD), Asian Institute of Technology (AIT) 3 Harmonization Code 8419.190.001 - Other: "Machinery, plant or laboratory equipment, whether or not electrically heated (excluding furnaces, ovens and other equipment of heading 85.14) for the treatment of materials by a process involving a change of temperature such as heating, cooking, roasting, distilling, rectifying, sterilising, pasteurising, steaming, drying, evaporating, vaporising, condensing or cooling, other than machinery or plant of a kind used for domestic purposes; instantaneous or storage water heaters, non-electric." 4 CIF = Cost Insurance and Freight 6 Table 2.1 Imported Product Items Covered by HS 8419.190.001 in Thailand during the 1990-1996 period (Thousand Baht) Country 1990 1991 1992 1993 1994 1995 1996 Australia 6,976 1,186 3,305 2,750 6,396 5,234 1,835 Austria 0 0 0 0 0 0 218 Belgium 0 40,631 0 0 0 3,488 0 Canada 0 11 0 0 209 0 0 Denmark 9 0 207 262 0 1,050 773 France 38 32 1,041 0 0 48,169 151 Germany 1,832 329 3,514 224 3,089 2,900 2,096 Hungary 0 79 0 0 0 0 0 Iceland 0 0 0 0 0 1,146 0 India 0 12 0 20 514 2,532 0 Israel 436 720 0 0 633 697 0 Italy 0 0 0 0 340 1,443 3,158 Japan 6,473 3,583 2,049 9,502 2,280 13,327 2,201 Netherlands 0 0 0 28 0 0 0 Norway 0 0 0 0 62 0 0 Philippines 0 0 0 0 0 0 1,057 S. Korea 0 31 13 0 0 129 0 Singapore 0 43 0 7 0 9 0 Sweden 0 17 0 6,740 1,390 0 0 Switzerland 47 39 0 57 132 30 0 Taiwan 201 2,375 1,748 0 4,039 1,394 4,786 UK 384 0 0 0 2,815 5,108 4,626 Ukraine 0 0 0 0 128 0 0 USA 3,295 3,962 4,321 11,128 8,957 26,036 3,612 Total 19,691 53,049 16,198 30,717 30,985 112,692 24,513 Source: Assessment of Potential Use of Solar Thermal System in Thailand, Center for Energy-Environment Research and Development, Asian Institute for Technology (AIT), 1998 Table 2.2 Imported Product Items Covered by HS 8419.190.001 in Thailand during the 2001-2006 period (Thousand Baht) Country Austria Australia Belgium Brazil Canada China Germany Denmark Spain France UK Hong Kong Hungary Israel India Italy Japan 2001 0 14,625.78 5,313.45 0 0 1,175.55 2,465.11 1,197.71 0 0 242.53 27.13 0 255.76 8,263.04 1,146.95 2,627.41 2002 0 471.45 0 0 0 689.91 4,010.98 0 0 0 337.12 102.52 0 105.14 85.99 797.99 4,952.31 2003 0.37 6,211.27 24,291.93 116.22 0 22,857.73 2,204.82 617.23 0.79 0 2.51 85.29 0 0 5,089.24 357.82 43,374.74 2004 0.61 2,436.92 0 10.76 3,230.93 1,830.18 1,036.11 0 0 165.06 1,324.98 87.47 0 0 4.11 238.07 19,238.40 2005 0 1,642.58 0 8.02 112.71 5,279.56 3,934.37 3,045.62 0 8,546.03 2.05 0 6.64 1,171.99 2,407.11 145.00 38,395.90 2006 670.36 59.56 0 0 0 12,356.94 6,944.19 0 57.40 297,984.39 1,031.53 172.70 0 6.63 940.32 1,895.95 32,519.59 7 Korea, DPR 0 Korea, R 443.10 Mexico 1,441.07 Malaysia 178.10 Norway 0 Netherlands 0 Sweden 972.99 New Zealand 19.42 Singapore 384.53 Slovakia 0 Sri Lanka 404.56 Switzerland 0 Taiwan 1,883.25 Turkey 0 UAE 0 USA 4,096.13 South Africa 0 Total 47,163.57 Source: http://www.customs.go.th 0 669.85 48.94 379.89 0 5,430.47 8.67 0 290.66 0 0 45.69 10,845.00 13.32 0 2,467.63 0 31,763.95 49,826.64 1,109.87 0 11,309.31 0 563.59 40.47 0 2,887.65 0 11.77 400.60 2,477.75 0 0 4,345.06 0 178,182.67 0 262.32 235.93 5,120.88 0 0 22.42 0 7,851.93 0 0 0 3,813.99 29.46 0 3,329.04 0 50,269.53 0 1,252.45 0 1,549.75 0 10,715.86 0 0 525.91 0 0 867.63 4,481.50 0 1.40 4,813.12 10.17 88,915.38 0 457.62 0 23.91 1,260.63 0 7.50 0 23,283.47 1,779.81 0 0 13,349.80 216.28 0 16,270.85 0 411,289.41 Table 2.3 Exported Product Items Covered by HS 8419.190.001 in Thailand during the 1990-1996 period (Thousand Baht) Country 1990 1991 1992 1993 1994 1995 1996 Australia 25 0 0 0 0 0 0 Barbados 29 0 0 0 0 0 0 Central Africa 0 2 0 14 0 0 0 China 0 0 0 800 0 93 0 Denmark 0 0 0 0 10 4 0 France 0 0 0 0 4 0 0 India 0 0 0 0 0 0 236 Indonesia 30 0 0 101 0 0 0 Japan 0 12 0 0 714 12 0 Laos 8 89 13 148 371 187 196 Malaysia 398 0 0 0 0 199 617 Myanmar 37 0 0 11 0 74 0 Cambodia 0 0 0 0 0 0 118 Pakistan 0 259 0 0 0 0 0 Philippines 9 0 0 0 0 0 0 Singapore 11 0 8 2,219 1,241 0 13 USA 0 0 1 0 0 534 0 Vietnam 0 917 85 0 83 413 0 Total 547 1,278 106 3,293 2,423 1,516 1,179 Source: Assessment of Potential Use of Solar Thermal System in Thailand, Center for Energy-Environment Research and Development, Asian Institute for Technology (AIT), 1998 8 Table 2.4 Exported Product Items Covered by HS 8419.190.001 in Thailand during the 2001-2006 period (Thousand Baht) Country 2001 Australia 0 Bangladesh 107 Bhutan 0 Cambodia 22 China 43 Egypt 0 Hong Kong 15 India 261 Indonesia 107 Japan 580 Korea DPR 0 Korea R 0 Lao Republic 641 Malaysia 2 Maldives 0 Myanmar 1,798 Netherlands 18 New Zealand 0 Nigeria 0 Philippines 816 Singapore 0 Sri Lanka 0 Taiwan 0 UAE 0 UK 0 USA 3,079 Vietnam 359 Total 8,058 Source: http://www.customs.go.th 2002 1 0 0 192 50 0 0 90 138 642 0 0 76 0 6 495 181,580 0 603 0 234 0 0 8 0 7,762 63 193,023 2003 429 0 0 2 184 0 0 2 0 0 0 0 243 124 1 390 19,825 414 0 78 552 0 0 0 0 533 24,984 47,794 2004 0 139 0 241 1,219 201 48 1,774 623 0 0 0 2,193 43 25 300 0 0 0 0 3,083 0 150 0 0 180 4,004 14,326 2005 0 0 499 331 23 0 1,861 0 0 30 1,673 1,114 998 5,125 1 0 0 0 0 198 748 35 0 1,502 109 2 112 14,590 2006 0 2 0 2,971 283 0 0 0 0 307 0 2,978 990 10,583 0 564 0 130 0 841 1,258 59 54 152 198 84 1,518 23,067 The broad classification of non-electric instantaneous or storage water heater makes it difficult to estimate trade figures of SWH for Thailand. The available statistical data given in the above Tables, however, indicated that key SWH trading partners for Thailand are mainly from Europe, North Asia, North America and Australia, as illustrated by trade flow in Figure 2.1 below. Based on the market development status in countries in those key trading partner regions, it is very likely that imported SWH products in Thailand have their origins in Australia, China, Japan, Germany, Israel and USA. The import statistics also indicate that country of origins have been shifted from Australia and some European countries during 1990-1996 to specifically China, Germany and Israel during 2001-2006. It should also be mentioned that CIF import values have been increasing over the past couple years in line with rising of crude oil price in the world market. 9 Figure 2.1 Non-Electric Heater Trade Flow for Thailand during 1990-1996 Figure 2.2 Non-Electric Heater Trade Flow for Thailand during 2001-2006 10 2.1.3 Solar Water Heater Suppliers The existing market of solar water heater is relatively small in Thailand and only limited number of SWH suppliers (importers, assemblers and manufacturers) is available to serve emerging demand majority in residential and commercial sector. It is important to note that SWH is normally not the core business of these SWH suppliers in Thailand, and classification of these SWH suppliers as importers, assemblers and manufacturers is made based on how they supply solar collectors as other system components are either locally made or purchased from other suppliers. Most of SWH suppliers in Thailand are already in the business of providing either water heating solutions or solar energy technologies for residential, commercial and industrial enduse, and SWH is an additional business line offering to their customers. There are also few Thai companies set up with core business on SWH and most of these are small importers. Given the limited SWH market size in Thailand, the existing SWH suppliers must offer onestop-service for their customers, meaning all designs, equipment sourcing and selections, installations and maintenance. Unfortunately many suppliers do not have sufficient capacity to provide such one-stop-service requirement and this, hence, has resulted in poor performance and durability of relatively expensive SWH systems in Thailand. The market assessment conducted for NEPO/DANCED reports that there were 12 companies involved in the SWH market in 1995, but 3 importers were severely affected by the 1997 economic crisis and only 9 companies were left active in 1998. However, based on industry interviews and market observations, more companies have become active in the Thai SWH market after the year 2000 to respond to existing and emerging demand in the residential and commercial sector due to rising crude oil price in the world market. Table 7 shows a full compilation of companies involved in SHW in Thailand since 1985. As the total SWH market size in Thailand is still limited, the market demand is therefore not consistent. Most local SWH suppliers in Thailand need utilize their other business lines to cover their operating expenses when SWH demand becomes diminished. This scenario makes many importers with SWH as their core businesses went into deep trouble during the 1997 economic crisis and approximately 50% of all SWH suppliers were able to survive that downfall. After 2000, the Thai SWH market began to experience a new wave of SWH suppliers, both local manufacturers and importers from China and Germany, and most of them are still active in the market. As also shown in Table 7, most SWH importers in the Thai market in the 80s and 90s imported their collectors from Australia and Germany where domestic SWH markets are mature with a number of manufacturers. During the early development stage of the Thai SHW market, imported solar collectors, mostly from Australia, were able to capture a large market share, over 80%, and SWH was considered as the premium product for medium- to high-income families due to their high investment cost. Imported SWH products from European countries (mostly from Germany and Israel), and China have been able to strengthen their market positions. In general, German SWH product importers have better technical capacity and are able to serve both residential and commercial customers. For Chinese SWH product importers, only the large ones have sufficient technical capability to serve more technical intensive commercial sector demand. Most small Chinese product importers have focused on the residential sector. 11 Table 2.5 Compilation of Solar Water Heater Suppliers in Thailand, 1985 – 2006, Sorted by Year involved in the Thai SWH Market No. Name 1 2 3 Boonyium & Associates Limited Bermuda Thai Co. Ltd Forbest Co., Ltd. 4 Pranee Tech Co. Ltd. 5 6 7 8 Intertech Sales and Service Solarnet Co. Ltd. Solar Trading Co. Ltd. Water System and Service Co., Ltd. 9 10 11 12 13 15 B.B. Business Pattaya Co., Ltd. Poomipat Co. Ltd. Scandinavian Pacific Co. Ltd. Heritage Co. Ltd. Grand Technology Co. Ltd. J-7 Engineering Co., Ltd 16 17 18 Electricity Generation (EGAT) Force Link Co., Ltd. Infratech Engineering & Services Co., Ltd. Solason Solar Energy (Thailand) Co., Ltd. SMT Hitech Ltd., Part. Solar Solutions Co., Ltd. 19 20 21 Type of Supplier SWH Marketing since Brand Country of Origin Status To Date (2006) Inactive Active Active Remark I M I 1985 1985 Thailand China UK I 1985 Bermuda Super Everhot (China), Heatrae Sadia (UK), Rycroft (UK) Solahart Stiebel Eltron Solar Lee Australia Germany Canada Active Formerly known as Pranee Phan Co., Ltd. I I M M 1988 1990 1990 1990 Sole Alpha Edwards Solar-mix Solar Ultra Australia Thailand Thailand I I I M I I, M 1992 1992 1992 1992 1993 1997 2000 2000 Australia Australia Australia Thailand Israel Thailand Australia Thailand China Australia Active Inactive Inactive Active Inactive Active M I I Edwards Solahart Edwards Heritage Geysor Ecotech (Thailand) Rheem (Australia) EGAT Sunlink Edwards I 2000 Solar Plus China Active M, A I 2001 2002 Sun Flexi-Line, Thailand Germany Active Active Inactive Inactive Inactive Active Active Active Active formerly known as Solar Ultra Co. Ltd. 12 No. M M, A 24 Sunluck Solar Power Co., Ltd. Chuchuay Trading Group Co., Ltd. ENVIMA (Thailand) Co., Ltd. SWH Marketing since 2002 2003 I 2003 ENVIMA Solar Technology 25 26 BNB Inter Group Co., Ltd. Leonics Co., Ltd. M, A I 2003 2003 Solar Bank Apricus 27 28 NTP Techno Co., Ltd. Siamsolar and Electronices Co., Ltd. Thai Advance Save Energy Ltd., Part. ARC Siam Solar Co., Ltd. Century Sun Co., Ltd. I I 2004 1993 Rhein Series Solarson China (Germany design) Thailand China (under Australian management) China China I 2004 NEWGOT SOLAR China Active I I, A, M 2005 2005 Schueco Century Sun Germany China Thailand Denmark Active Active 22 23 29 30 31 Name Type of Supplier Brand Suntech Country of Origin Thailand Thailand Status To Date (2006) Active Active Active Active Active Active Active 32 Forefront Foodtech Co., Ltd. I 2006 Active 33 Sunpower Asia Co., Ltd. I 2006 Sunpower Active 34 Pro Solar Group Co., Ltd. 2007 Active Note: I: Importer, M: Manufacturer, A: Assembler/Fabricator Source: 1) Assessment of Potential Use of Solar Thermal System in Thailand, Center for Energy-Environment Research and Development, Asian Institute for Technology (AIT), 1998 2) www.SolTherm-thailand.net Remark 13 2.2 SWH SYSTEM COMPONENTS Various types of solar thermal technologies and configuration designs are commercially available to provide heat and hot water for residential, commercial and industrial end uses. This section of the project report covers only the most widespread solar thermal technologies and components which are equipped in the SWH systems commonly used in Thailand including types of solar collectors, storage tanks, piping and system accessories such as circulation pumps and temperature sensors. Solar Collector The component of solar water heating systems which absorbs the solar irradiance is called collector. Collectors used in solar water heating system are available in different configurations with different techniques to collect solar energy (see Table 2.1). However, the most widespread solar collectors in Thailand include Unglazed Flat Plate Collector, Glazed Flat Plate Collector and Evacuated Tube. Table 2.6 Generic Types of Solar Thermal Collectors Configuration Picture Collector Solar Pond N/A Operating Temp qC 30-70 Unglazed Flat Plate 40-60 Glazed Flat Plate 60-120 Evacuated Tube 50-180 Fix Concentrated 100-150 14 Configuration Picture Collector Parabolic Trough Operating Temp qC 150-350 Parabolic Dish 250-700 Central Receiver 500-3000 Unglazed Flat Plate Collector Unglazed flat plate collectors consist simply of an absorber with flow passages and have no covering glass (glazing), insulation, or expensive materials such as aluminum or copper and can attain a temperature as high as 32 Cq above ambient. This type of collectors is less efficient in retaining solar energy when outdoor temperatures are low, but are quite efficient when outside temperatures are close to the temperature to which the water is being heated. They are highly suitable for swimming pool heating and other uses that require only a moderate increase in temperature and are most commonly used in warmer areas. In warm climates, low temperature collectors are sometimes used in hybrid systems that heat a pool in the winter and supplement domestic water-heating in the summer, when pool heating is not needed. Glazed Flat Plate Collector Glazed flat plate collectors are most commonly used in the residential and commercial sector in Thailand. The collector plates are coated with a non-reflective mat back (or dark blue) paint and are always covered by a glass or plastic cover glazing to trap heat waves. The working fluid absorbs the heat energy collected by the flat plates through tube walls. They normally attain temperature as high as 120 qC. The special coatings on the absorber maximize absorption of sunlight and minimize re-radiation of heat. Gaskets and seals at the connections between the piping and the collector and around the glazing ensure a water tight system. 15 Figure 2.3 Glazed Flat Plate Collector For the residential sector, the natural circulation (Thermosyphon) system is commonly used with the typical size of each collector about 2 m2 with 160 liters storage. The typical size collectors can be connected into an array to serve large hot water demand in large residential or even in commercial buildings, e.g. hotels and hospitals. An array of flat plate collectors could be designed as a thermosyphon or force-circulation system depending upon demand profiles and designers. Evacuated Tube Collector Evacuated glass tube collectors are used to house the absorber with sealed pipe connection. These tubes have improved geometry and thermal insulation to achieve higher temperature than in the case of flat plate collectors. Evacuated tube collectors can be designed to attain higher operating temperature (50-180qC). They may use a variety of configurations, but generally encase both absorber and tubes of working fluid in a vacuum glass tube for high level of insulation. These are most efficient collector types for cold climates with low level diffuse sunlight. They are often used in the commercial and industrial sector where hot water at high temperature is essential. They can be mounted either on a roof or on the ground, but they need to be protected from severe environment or objects that may cause damages. This type of collectors is becoming popular over the recent years even in the residential sector in Thailand given ability of manufacturers to bring down the production cost. Figure 2.4 Evacuated Tube Collector Storage Tanks Storage tank is one of the key components in SWH system as it enables hot water supply when solar energy is not available. Storage tanks used in SWH systems in Thailand are 16 generally low pressure storage tanks. Tanks equipped with the natural circulation (thermosyphon) systems are virtually 100% made of stainless steel and insulated with polyurethane or fiberglass. Capacity of each storage tank in thermosyphon systems in Thailand ranges from 160 liters to 1,000 liters depending upon hot water demand and building structure. These thermosyphon storage tanks may be equipped with electric water heaters to maintain water temperature at a required level. Figure 2.5 Storage Tank – Thermosyphon System Storage tanks in the force circulation system are generally much larger than those in thermosyphon systems with capacity up to 10,000 liters depending upon hot water demand. Designs of storage tanks in the force circulation system are more sophisticated with three main configurations as shown in Figure 4. Figure 2.6 Different Storage Tank Designs in Force Circulation Systems Storage tanks in the force circulation system can be made of both stainless steel and normal steel. Although virtually 100% of storage tanks fabricated and installed over the past 15 years in Thailand are made of stainless steel, corrosions have been noticed in many installations during site visit activities in this project. Auxiliary or back up heaters typically equipped with storage tanks in the force circulation system are typically electric water heaters, especially in the single storage tank design. In the two storage tanks design, auxiliary heating systems are more flexible as LPG or heavy fuel boiler or even waste heat recovery systems can be used to provide back-up. Figure 2.7 Storage Tanks in a Closed-Loop Force Circulation System 17 Piping Piping in solar water heating systems in Thailand can be divided into three major parts, i.e.: 1) piping interconnected solar collectors within an collector array; 2) cold water supply piping, and; 3) hot water supply piping. Piping choices which are available and commonly used in Thailand for SWH systems include galvanized iron (GI), copper, stainless steel and plastic. Summary of piping choices are shown in Table 2.7 below: Table 2.7 Choices of Piping in SHW Systems SWH System Section Collector Interconnection Cold Water Supply Hot Water Supply Available Choices of Piping Copper, stainless steel, GI Copper, stainless steel, GI, Plastic Copper, stainless steel, GI Normally choice of piping is typically pre-determined by designers and investment budget. However, the most widely used piping for solar water heating systems, particularly small thermosyphon systems, is copper tubing. Copper tubing is also the primary choice for connection between collectors within an array. Piping that carries potable water may be copper, galvanized iron, or stainless steel. Plastic piping, PVC or PE, can also be found in cold water supply section of the systems. Water Circulation Pumps Water circulation pumps are required only in the case of forced circulation system where gravity or natural convection is insufficient to provide the amount of water flow required. Capacity of the pumps in the solar water heating system is chosen based on the head and flow rate. The head of a pump is the pressure it has to overcome - both the vertical height that the liquid must be pumped and the friction of the liquid against pipe walls. Frictional head loss is no significant except in very large piping systems. Virtually 100% of water circulation pumps used in SWH systems in Thailand are imported with variety of brands, materials and specifications. 2.3 MARKET CHARACTERISTICS AND SUPPLY CHAIN This section will review the overall characteristics of service and product flow within the SWH market in Thailand which will enable thorough understanding on how market works and different stakeholders involved in supply-side and demand-side. The overall service and product flows within the SWH market in Thailand are respectively illustrated with orange and blue lines in Figure 2.8 below. Each blueish green rectangular box represents key stakeholder providing products or services. It should be noted that Figure 2.8 does not include government regulatory frameworks and standards related to SWH products and systems as only voluntary product performance standards are available in Thailand. 18 Figure 2.8 Service and Product Flow Diagram within the SWH Market in Thailand Basically flows of service and product within the SWH market in Thailand are divided into 3 phases; i.e. 1) Design phase; 2) Procurement and Installation phase, and; 3) Maintenance phase. For any small capacity SWH systems, the design phase is normally bypassed as standard sizes are already available for end-user selections, especially thermosyphon systems. Larger SWH systems in the commercial sector normally encompass all 3 phases in every market transaction. 2.3.1 Service Flow Three (3) major stakeholders involve in the flow of services in the Thai SWH market are engineering/consulting firms, SWH suppliers and end-users. The engineering/consulting firm involvement in the residential sector is very limited as system design and sizing services are normally provided by SWH suppliers themselves. In the commercial sector, involvements of the engineering/consulting firms are depending upon end-users as well as technical knowledge and know-how of SWH suppliers. In the industrial sector, end-users may involve in the design and installation phase as most industrial end-users are able to contribute their experience and direct involvement in production processes. The service flow diagram above clearly depicts that, in Thailand, SWH suppliers are the key to quality service delivery in each phase of market transactions. However, there is no government agency or industry association to control quality of services in each phase. Moreover, end-users are probably not fully aware of important of quality service to SWH system performance and lifetime. The poor quality and intermittent service have been an issue in the Thai SWH market and apparently one of the major causes of negative perception by end-users in both residential and commercial sector. 2.3.2 Product Flow SWH products and system components are mostly channeled through SWH suppliers (importers and manufacturers). For Thai manufacturers of solar collectors, most system 19 components and accessories, except differential temperature sensors and special requirement circulation pumps, can be locally purchased from major hardware stores throughout the country or can be specifically ordered directly from local manufacturers and fabricators. These components include tempered glass for glazed flat plate collectors, various sizes of copper tube, GI or stainless steel piping, stainless steel storage tanks, polyurethane or fiberglass insulation, etc. Solar collector importers, especially small thermosyphon systems, would apparently require only domestic support in piping installation. Table 8 lists components and accessories required by a SWH system and availability of domestic suppliers and/or fabricators. Table 2.8 Components and Accessories in a SWH System and Availability of Domestic Supply SWH Components / Accessories Solar Collector Evacuated tubes Tempered Glass (for solar collector) Copper tubing/piping GI piping Plastic piping Stainless Steel piping Insulation Small Storage Tanks (< 600 liters) Large Storage Tanks (> 600 liters) Circulation Pump Differential Temperature Sensor, electrical apparatus and other controllers Valves and Gauges Domestic Manufacturers Domestic Fabricators Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Import Yes Yes Yes Yes Yes Yes Although most SWH system components and accessories are locally available for SWH suppliers, one of the key problems in Thailand is that product standards which are appropriate for SWH applications have not yet been recognized by designers, manufacturers, SWH suppliers and even end-users. In many cases sub-standard components and accessories have been integrated into the system with high quality solar collectors, and this incorrect combination has severely affected and shortened the SWH system lifetime. 20 3 BARRIERS 3.1 INTRODUCTION The listed barriers describe the problems encountered and perceived towards a “self-sustaining steadily growing solar thermal market in Thailand” The description of barriers is based on: 1. A review of implemented solar thermal systems in Thailand during the last two decades 2. A review of past studies on this subject (mainly four in the last decade) 3. Several site visits to various solar sites during the EU SolTherm project (see as well site visit reports in the annex) Earlier studies and reviews on the solar thermal applications in Thailand resulted in the following statements concerning barriers and problems encountered: 1. In 1997 the DEDE’s site visits revealed four main barriers to long-term operational success. a. Firstly, the systems had largely been designed and installed without necessary technical expertise and knowledge of SWH systems. b. The SWH products themselves were not standardized so that even if there were communication between different SWH operators, no meaningful comparisons could be made from which to effectively problem solve or draw informative conclusions. c. Also, no regular maintenance of the system seemed was scheduled to ensure that problems were diagnosed and fixed effectively. d. Lastly, in some areas of Thailand it is necessary to purify the water before it is run through the SWH system and when needed this was sometimes overlooked. 2. According to a study by Martin Vis in 2000, Thailand experienced a long period of SWH system breakdowns because suppliers of the systems were unreliable in repairing them. 3. Additionally, a KMUTT study suggested that lack of knowledge of the everyday use of the systems inhibited their long-term success, and that there was simply no staff to provide the systems’ required maintenance. 4. In 2000 ISE, Fraunhofer Institute, one of the partners in this EU project as well, undertook another study on the solar thermal market in Thailand and found the following main barriers: 21 Constraints for the Dissemination of Domestic Solar Water Heating Systems The main constraints to the dissemination of domestic solar water heating systems are: x The financial viability of domestic solar water heating systems is low. x There is no structure of distributors and skilled installers available. x Domestic solar water heating systems have a very low reputation in Thailand, due to two facts: - owners of solar water heating installations often do not have the habit to care about the systems and, as result, collectors are covered with dust within a short time, which brings system efficiency down, - as a result of the lack of infrastructure with regard to distributors and skilled installers, system service and maintenance often is not available. x In contrast to electric water heating systems, solar water heating systems require a hot water distribution system which normally cannot be installed in existing buildings, consequently domestic solar water heating system are mainly installed in new buildings. x The heat generation from solar power is not reliable. A backup should therefore be installed in order to guarantee the hot water supply even during periods of low solar gains. However, most manufacturers realised this and install either an electrical backup heater or use the waste heat of a chillers as backup heat source. x There are no national standards for tests and, as result, no data to compare the performance of different products are available. Constraints for the Dissemination of non-residential Solar Water Heating Systems The constraints for the dissemination of non-residential solar water heating systems are more or less the same as those for domestic systems. The lack of skilled designer and computer design tools, in particular, is a limiting factor for the distribution of large scale water heating systems for non-residential applications. Another observation made during the visits to several installations was that most of the installed collectors were completely covered with dust, sometimes the glass panes were broken and the collectors were corroded completely in some systems. In other words, the owners do not care about the installations, most of them even do not notice that the system does not work any more because non-residential systems have a compulsory backup system and hot water is available without solar assistance. This might be a crucial point for the dissemination of non-residential solar water heating systems. A promotion programme should therefore include conditions like those described below to assure system service and maintenance. The “Vicious Solar Thermal Circle” in Thailand The general problem with the solar thermal market in Thailand was that it was in a negative vicious circle: 1. Reputation and performance expectation of solar thermal application is low. 22 2. Therefore customers are not willing to spend a lot of money for planning, installation, good quality of components, control and monitoring of the system. 3. Suppliers offered inferior components, sub-optimal designs, little warranty and hardly any maintenance to meet the financial requirements/limits of the customers. 4. Measurement equipment to prove energy saving was never installed. 5. Many customers did not even care about the system on their roof, so they did not know if something went wrong, as the back-up system still was providing the necessary hot water. 6. Customer had hardly any interest in regular maintenance of the system and if the supplier were asked they did not to come to fix the problem, as warranty time was expired, it was too short (6 months) anyway and additional service was not factored into the investment costs and maintenance contract were not signed. 7. This situation lead to deteriorated, non-functioning installed solar systems often working unsatisfactorily: a. low performance of the system, b. leakages in the piping and the collectors c. and non-functioning of the control systems d. clogged piping due to non-purified water etc. were leading to unsatisfied customers in the long run. 8. The consequence was: The image of solar thermal systems was getting even worse! The general perception about solar thermal systems in Thailand is: => The investment cost is too expensive! => It is not economical! => It is not reliable! => It requires too much maintenance! This image of solar thermal applications in Thailand is the consequence of the negative development in the last 20 years! How could it happen? 1. The early systems installed had inferior material and were not properly designed, as once aimed to make it “cheap” and partly as solar thermal technologies were not developed in the early days. (In Europe technology was inferior as well at that time.) 2. Regular maintenance and warranty was not provided and customers did not understand the system concept. 3. Monitoring and measurement of achieved system performance and achieved energy saving was never done. If data were recorded they were not analyzed later. 4. Customers got disappointed as realized systems did not hold the promises given before by the suppliers. That led to a disappointment. 5. Once a major component failed, like the controller, it was not replaced and the whole system was dismantled or abandoned. 6. The consequence was another “solar ruin” on the roof, which made the image of solar systems even worse. 7. The government undertook very limited activities to overcome this problem. Hardly any awareness, training and research were initiated and supported. 23 8. The research intuitions “lost” interest in the subject in the late eighties 9. Companies in the sector dropped out as market size was reducing 10. Most systems still sold were according to the method: “sell it and forget the customer”, like a consumer good. 11. The result is that the negative image of solar thermal applications spread out and many institutions, companies lost their interest in that energy field. 12. The consequence is that the market for solar application is stagnating or even shrinking, which leads to negative growth of the market. 13. Cost reduction for solar systems could not be achieved in such a market, as solar systems were “made by demand”. This kind of development of a solar thermal market happened the same way in Europe and other countries as well. It was the “normal” development path for this energy technology in the eighties and early nineties. But the main point is: How to break this vicious circle and how to move it to a positive circle, which leads in the long run to a self-sustaining growing solar thermal market, as in many other countries in Europe or Israel. How could it happen, that Germany has a steady growing market of more than 1 Mio. m²/a despite the fact, that solar systems in Germany are expensive, the pay-back period is between 10 -15 years and sunshine is half of that in Thailand? The answer is in chapter 8, where we deal with adequate policy that makes the changes possible. Before we come to this in the later chapters, we like to describe the various barriers encountered here in Thailand, as they show what has to be done to improve the situation and to come to a positive circle concerning solar thermal applications. The main barriers had be mentioned already in early studies, cited above, but in the following we try to look at it in a more systematic way to show what has to be done to change the “vicious circle” to a “positive upward oriented circle” 3.2 MAIN TECHNICAL BARRIERS The technical barriers can be defined along the planning, installation and operation process of solar thermal systems: 1. The knowledge for correct planning, design, selection of appropriate components and material as well as correct installation of solar systems is not available with the suppliers/manufactures of solar thermal systems - The sizing of the solar system is done based on “rules-of-thumb” and not based on measurement of the actual hot water demand. - The sizing of the components and the optimization of the system is not done by using a dynamic simulation software. - The final design of the system is done without “good practice engineering”, like sizing of pipes, heat exchangers etc. - Corrosion aspects are neglected by selecting wrong material and combining material, that should not be used together. - Used material and components are of inferior quality and do not perform on the long run. - Problems of sediment in pipes and solar collector resulting from poor water quality were not considered in system design (open primary solar loop) 24 - The knowledge of correct installation process is missing. - Basic rules for installation of systems are neglected or are not know (vertical or horizontal storage, fixing point for back up system too low, etc.). Example: - See as well “Conditions of typical Thai large commercial solar hot water systems” described in chapter 4.1 (Quality of installations) - See as well chapter 6 case studies, where individual solar systems visited are described - See as well site visit reports in the annex, which give a detailed description of individual solar systems visited. Reason for this is: - A lack of training and a lack formal education for the suppliers/manufacturer. - Non- engineering companies have entered the solar thermal market and do not know the standard practice of detail engineering for such systems. - The suppliers are not willing to invest in the purchase of a simulation software (less than 1000 US$). - Some materials for installation and repair such as insulation or controllers are not available in local hardware stores, so they do not get replaced. - Lack of skilled technicians for proper installation, repair and maintenance. - Solar thermal technology is considered a “simple” low technology, so the supplier and the technician did not care too much about the technical requirements and standards to be applied. - Customers did not request “high” technology standards, as they were only interested in a “low” investment costs. They did want to save energy, but even more they wanted to save investment costs. They were not willing to spend more as they did not trust the systems offered. Consequences are: - Inferior design, under- or over sizing of the components, which lead to underperformance of the system. - Investment costs are relative too high for the performance of the system - The predicted pay-back period for the investment is not achieved. - Low performance of the system and mal-functioning systems after a short time. - Finally unsatisfied customers. 2. Neither many customers nor most of the suppliers cared for the solar systems during operation in an adequate way. 3. No monitoring and measurement equipment is installed to monitor status and document “saved” energy 4. High maintenance costs due to climate conditions and non appropriate technical material. For instance, the degradation of rubber seal and water deposits were most common in a solar water heating system. These problems caused water leaking and damages in water pipe and water tank - particularly corrosion - and could happen within 2-3 years of installation. Reason: - As indicated in earlier studies( see above) many collector arrays were covered with thick dust as they were not cleaned, piping systems were leaking and not repaired, non-functioning control systems were not replaced, etc. - Inappropriate material and components used in the installation. 25 - Not to install measurement equipment: To save investment costs and customer are not willing to pay for this equipment as they were not convinced to need it! Consequences are: - Customers and suppliers do not know if the solar system is still operating and if is still operating, what is the performance of it. So nobody can tell, if the predicted pay back period for the investment is achieved or not. This gives room for “feelings” like: I think I save energy or the system does not work and solar thermal applications are too costly. - As long as there is no systematic and consistent monitoring of performance introduced in as many as possible solar systems, there is no chance to reverse this perception and come up with concrete data and reliable figures, how much kWh of fuel energy per m² of collector has saved in one year. Figure 3.9 Picture of a neglected solar system In Thailand 3.3 OTHER TECHNICAL BARRIERS 1. In residential applications no central hot water system exists. Typical Thai houses and buildings are not designed for hot water service (only cold water pipe and single way water tap). 2. Low hot water demand in domestic sector and in low budget hotels. Therefore this customers group is not suitable for solar thermal systems in Thailand => In this energy sector (existing residential houses and low budget hotels) solar water systems can hardly be introduced. 3. Lack of Early Integration of SWH into Building Design. As a solar water heater system requires a precise piping work, the system must be brought in the early stage of the building construction so that necessary hot water pipes could be properly designed and installed. It could be very complicated, costly and thus not convinced to install the systems for existing buildings where 26 no hot water pipes are available (in houses) or hot water supply systems is not centralized in the case of commercial buildings. 3.4 NON-TECHNICAL BARRIERS 1. Relative high investment costs for solar thermal systems compared to electrical heater or LPG boilers, lead to pay-back periods, which are sometimes higher than accepted by customers. (See as well chapter 5 economical and financial aspects) 2. Missing standards for collectors and systems performance lead to a nontransparent market. The performance of “cheap” components and of “expensive” components can not be compared. The consequence is that the selling of the solar systems is done mainly over the prize, regardless of their performance. This leads to a decrease of quality of the components offered over the time. (see as well chapter 4.2. equipment standards) 3. Testing of components and systems is hardly done, so the performance of the different collector systems can not be measured and compared. (see as well chapter 4.3. standard testing) 4. Quality labels and certification does not exist, so the quality of products can not be recognized in the market (see as well chapter 4.4. Quality label and certification) 5. Lack of financial incentives by government. In Thailand there is no financial support for the installation of solar water heater (see as well chapter 8 policy and framework) 6. Lack of awareness. There is hardly any awareness activities, demonstration activities and promotion activities for solar thermal applications in Thailand. Customers do not know the benefit of the systems or are wrongly informed by perceptions or bad experience of old systems installed 20 years ago. 7. Lack of a long term policy to promote solar thermal applications. So far it does not exist. There is hardly any interest in this renewable energy by the government so far. 3.5 SUMMARY OF BARRIERS To summarize the main barriers: 1. Lack of technical expertise by suppliers to design and install solar thermal systems 2. Lack of quality of installed material and components 3. Lack of maintenance during operation 4. Lack of monitoring and evaluation of system performance during operation 5. Lack of standards for components and systems 6. Lack of testing facilities for components and systems 7. Lack of quality labels and certification 8. Lack of awareness by customers for their installed solar systems 9. Lack of financial incentives 10. Absent of adequate government policy to support the development of a solar thermal market in Thailand 27 To reverse the “vicious circle” to a “positive self-sustaining growing circle” it is necessary to tackle as many as possible of the listed 10 barriers. It is necessary to systematically deal with these identified barriers and to design an adequate program and to promote the private sector companies currently in the market, that want to improve the quality of their products offered and want to overcome the negative image of solar thermal systems in Thailand. This EU SolTherm project was a first step to identify the barriers and to revitalize the solar thermal market in Thailand. The first response by the manufactures and suppliers is very positive, but as this project lasted only for one year not all barriers could be tackled and it is expected that the respected government agency DEDE will take up the points identified in this project and develop it further in a systematic way. 28 4 QUALITY AND STANDARDS 4.1 QUALITY OF INSTALLATION A certain quality level of the system components and of the system installation of a solar hot water system is a pre-condition in order to guarantee an appropriate and optimized function of the system. The optimized operation of a solar hot water system is essential to the success of this technology, since the comparatively high first cost of a solar system requires special attention to a maximized exploitation of the available solar radiation. This holds especially for custom made large solar thermal plants with forced loop and collector areas > 20 m². Of course, national requirements on the performance and on the mechanical and electrical safety of the system components and on the hygienic quality of the delivered product – in this case in general hot water - have to be fulfilled as well. Above these safety requirements, the quality of the solar thermal system begins with the planning of the system and ends with the capability of the end-user, to assess the energetic gains and the economic and environmental benefits. Thus, quality of the installation addresses - the quality of the planning and installation process: here, an appropriate ‘solar’ training of planners and installers is required. The training should include beside technical system aspects also design and sizing methods with respect to the given hot water load profile. Beside, clear recommendations on maintenance and troubleshooting to the end-user should be given. Parts of the planning and installation quality are also service availability and warranty on the installation. - the quality of the system components and of the system control. A special training of the manufacturer may be helpful in order to increase the life time of the components with respect to corrosion, leakages, etc. by applying appropriate materials. An important measure to increase the exploitation of the solar energy is an advanced system control, which may also include an eye-catching display of system malfunctions as well as providing information on the system status and gains to the end-user. - available national standards or adapted international standards, independent test facilities and certification schemes in order to guarantee a defined quality level of the components. The standardization procedure one the one hand defines a certain quality level of the components, on the other hand the thermal performance of a specific the collector is more comparable to other products due to the uniformed test procedures. A further step may be including the production quality and certification of the manufacturers according to a keymark scheme. - a certain awareness of the end-user or system operator in order to assess the benefits and the reliability of the solar thermal system. This awareness may be achieved through end-user information campaigns or the like. The summarize of quality measures, necessary to for a successful working solar system is shown in as below. 29 Planner Installer Quality of planning & design Quality of installation Quality of service TRAINING Manufacturer System Quality of components Standards Quality of control Quality of information User / operator Assessment of gains, benefits and reliability Figure 4.1 Quality measures are required at different levels in the installation of a solar thermal hot water system. In some European countries, e.g., Germany and Austria, training courses for ‘certified solar planner’ and ‘certified solar installer’ are offered in order to extend the experience of regular planners and installers toward solar thermal installations. A broad assistance is given here by non-profit associations on renewable energies like the DGS (German Society for Solar Energy) with approx. 3000 members in Germany and the AEE (Austrian working group renewable energy) in Austria. Both organizations organize seminars, workshops, publications, journals and planning/installation guidelines. The journals and publications are also an important information source to raise the awareness of the enduser of the solar installations. Although in Germany no extra solar qualification for installers is formal required, the participation on training courses is high with positive effect to the installation quality. In France, only installers qualified by training courses organized from ADEME, the French Environment and Energy Management Agency, are allowed to install solar thermal systems. 5 Commercial available simulation software, e.g., TSOL and POLYSUN is widely applied in the planning phase to design and size the system with respect to the typical meteorological site conditions, orientation of the collector array and to the typical hot water consumption profile. 5 Typical commercial software for the design and sizing of solar thermal systems is presented in the 1st SolTherm Thailand Newsletter (April-June 2006) 30 Solar buffer storage reservoir Auxiliary heater Source Solar buffer storage reservoir Auxiliary heater Source solar pre-heating storage Figure 4.2 Example of solar thermal system layouts for large hot water preparation systems with an additional reservoir in order to have always a sufficient amount of domestic hot water free of legion Ella by minimizing the demand on auxiliary heating energy. The layouts were developed within the large German demonstration programme ‘Slolarthermie2000plus’. Figures extracted from ‘Grosse Solaranlagen zur Trinkwassererwärmung’, German BINE information service, Info III/2002, Source: www.bine.info. In central Europe, the market share of solar thermal systems with additional heating support for building space heating increases slowly. Additionally, the hygienic requirements on the domestic hot water quality demands for specific system designs, in order to avoid an extended growth of legion Ella bacteria. For this reason, the water has to be heated regularly up to at least 60°C. Consequently, the system design for large systems turns a little more complex with the installation of an additional small reservoir storage, which is heated by an auxiliary heater if necessary, allowing still using a maximized stratification of the solar storage and thus a high exploitation of the solar thermal collector. Figure 4.2 presents possible configurations for a large solar hot water system (without space heating support), but other solutions are applicable as well. 31 During the site visits of Thai large commercial solar hot water systems (details of the site visits are outlined in section 9.3), it was obvious that the quality in all above mentioned steps and levels in a solar hot water system installation was not assured in most of the systems. A typical layout of the systems is shown in Figure 4.3. The solar collector is connected to a buffer storage by a forced loop. Typically, the buffer storage is fed by an open feed storage, located at the highest roof level. An auxiliary heater, in general an electrically driven heater, is connected to the buffer storage. In most installations, the solar buffer storage is mounted horizontal instead of vertical, thus the stratification in the storage is low and the solar collector yield is not optimized. Additionally, the auxiliary heater is positioned often below the hot water entrance from the collector, which is another source for a non-optimized collector operation. Feed storage Flat-plate Collector 70 m² Consumption Electricity heater 4 m³ Supply Circulation Figure 4.3 Typical layout of Thai large solar thermal systems for hot water preparation, found during the site visits within the SolTherm project. The concept of open loop systems leads on the one hand to lowest investment cost, on the other hand, the danger of corrosion in the collector and solar hot water storage is high, depending on the local quality of the supply water. Alternatively, the collector and the solar storage may be designed as closed system and connected via a heat exchanger to the second storage, which contains the auxiliary heater and is connected to the supply grid. The closed solar loop may then operate at higher temperatures as well. Other topics related with the hot water distribution system in the building: installation of mixing taps, in order to allow in general higher temperature levels than approx. 40°C to 50°C (and to avoid rising problems with bacteria, e.g., legion Ella). Furthermore, the planners and installers should be trained for more awareness on the quality of the installation, such as safe system operation (air vents, weather protection for pumps) and for an optimised energy yield from the system (complete insulation, jackets, advanced control with meters, proper position of temperature sensors, etc.). 32 Figure 4.4 Left: air vents are a rare item in the visited installations. The lack of air vents may cause serious maintenance and service problems. Right: typically, the insulation of the ducts shows signs of disintegration already in systems, installed a few months ago only. Probably, under the Thai climatic conditions, encasing the insulation with jackets is more appropriate in order to avoid thermal losses. The service and maintenance for solar hot water systems may be subject to improvements. This includes extended warranty periods for the delivered system as well as clear instructions for maintenance or regularly maintenance by the manufacturer/installer for at least 5 years. In the commissioning, the energy yield of the system should be monitored within a few days (with mobile monitoring equipment) in order to assess the performance and reliability of the system. A list of providers for spare part of both, hydraulic equipment and control equipment, may be handed over to the operator. Alternatively, special companies may rise up, working mainly in the field of commissioning, service and maintenance of solar hot water systems, independent from the life time of the installing companies. Training is also recommended to the operating personnel of the large solar thermal plants: the operating personnel has to be provided with more information on the surveillance of the solar system, e.g., to estimate the solar heat contribution to the overall heat demand, to check the reliability of the components on a regular basis, to obtain knowledge on information sources on solar hot water systems, etc. In general, the operators and managers of hotels, hospitals etc. should be more aware on the achieved economic and environmental benefits of the existing solar hot water application. These figures are not really available yet, but important to stimulate improvements in the reliability of the system on the one hand, and to assess the potential of solar hot water preparation in the commercial sector on the other hand, thus contributing to a positive image of solar thermal systems in Thailand. 33 4.2 EQUIPMENT STANDARD The central component in a solar hot water system is the solar thermal collector. In the past, most of the collectors in the Thai systems are imported from Australia, Israel, and China and to a minor degree from European countries. Collectors, produced in Thailand, have a small market share. Nowadays even the solar collector has still imported but the local made solar collector shares the market of 60 percent. The collectors, imported from Australia and Israel often are produced and tested according to their national Standards or according to the European Standards EN 12975,1/2. For collectors imported from China, the Standard is not documented. The collectors imported from China are mainly vacuum tube collectors; systems equipped with these collector types have not been among the visited systems. In Thailand, for solar thermal flat plate collectors the Thai Industrial Standard TIS 899-2532 exist, but it is not clear, if the national produced and imported collector types have been evaluated, whether they fulfill the TIS requirements or not. The quality level of the collectors in the visited plants covers a wide range. In installations more than 10 years old or more, the glass cover was separated into two sections, which has caused tightness problems and forces water penetration into the collector. The old collectors often consist of a steel frame and steel absorbers were used as well. Consequently, corrosion of the absorber and of the frame was often detected. In the national products, tempered glass seems to be not often applied; old collectors with broken glass covers contain dangerous sharp-edged glass fragments. Figure 4.5 Internal corrosion of a flat-plate collector due to water penetration. The corrosion is forced, if no ventilation holes in the collector frame are existing and the wetted insulation causes a permanent wet atmosphere in the collector. Photo taken at a collector System of the River Hotel, Bangkok, equipped with Chromagen collectors (Israel). As a general problem appears the improperly preparation of most collectors for water penetration, caused either through internal leakages or due to untight sealings: the insulation in the collector, mainly consisting of mineral wool, turns wet without a chance regeneration and thus degrades, causing increasing thermal losses of the collector. If 34 water penetration cannot be avoided by sure, the preparation of the collector frame with ventilation holes and with water-resistant insulation material (e.g., closed-pored) may be an appropriate measure for use at humid sites like in Thailand. The general appearance of newly installed collectors is more favorable. The collector frame is made preferably of aluminium, the absorber is produced from aluminum as well or made of copper. Imported products are mainly equipped with safety glass cover (tempered) or even with low absorption solar glass. The solar buffer storages are often not designed for an optimized exploitation of the collector system, stratified storages are not common in Thailand. The current design of the horizontal positioned storages in large solar thermal plants seems to be deduced from the small solar thermal syphon hot water systems. The development of adequate solar thermal storages and a properly integrated auxiliary heater can contribute to an increase of the overall efficiency of the system. Beside the collector and buffer storage, a well designed system control is essential for the overall operation of the system. In most of the systems, the control is an unattended component in the installation. At the visited plants, the original temperature control device of the pump control often was broken and due to missing spare parts, a timer controlled pump operation was installed. There is nearly no information on the achieved solar thermal gains and on the electricity input. Figure 4.6 Broken control unit and wrong temperature control installation. For large commercial operated solar thermal systems, advanced control units should be applied, providing information to the system operator with respect to - monitoring of achieved solar thermal gains - monitoring of auxiliary energy input (e.g., electricity demand for heater element) - monitoring of set temperatures and operation temperatures - fault diagnostics Several micro-controller based control units are on the market available, a small arbitrary excerpt is shown in Figure 4.6. Control units of this standard are supposed to be not available on the Thai market yet, but advanced control units, combined with an appropriate training of the installer and operator may be a pre-requisite for the further success of solar thermal systems in Thailand. 35 Figure 4.6a System control unit MES from the German company Paradigma for large solar thermal plants. Also available: remote control for the unit. Figure 4.6b Programmable system control unit UVR 1611 from the German company TA. 36 Figure 4.6c System control unit UVR 1611 from the German company SOREL GmbH. Figure 4.6d System control unit Thermius from the Danish company AllSun A/S. 37 4.3 STANDARD TESTING In the European countries, several independent institutes exist to perform mechanical load tests and performance tests on solar thermal collectors according to national Standards and European Standards. The foundation of test centers was driven by the awareness that missing standards - increases the differences in the comparability of the component performance and thus complicates the estimation of system yields, especially in the planning phase - complicates the export of the collectors - does not increase the confidence of the potential customers into solar thermal components. Consequently, the missing of comparable Standards lead in the past to a lack of reliance on solar thermal systems, caused time-consuming procedures to estimate the performance and thus did not contribute to the cost-effectiveness of the systems. The situation improved, when in 1994 a harmonization of European Standards by the European Committee for Standardization CEN was carried out. As a result, European wide Standards and Test procedures for solar thermal collectors and systems have been established since then. They were developed on base of existing national and international Standards and Test recommendations, e.g., ISO 9806 (which still is a worldwide valid Standard) and have been extended to dynamic test methods and additional criteria for reliability and durability. It is essential that the European Standards are maintained in regular intervals of at least five years according to further improvements in the technology. The following Standards concerning solar thermal collectors and systems currently exist: EN 12975 – Solar Collectors Part 1: General requirements; Part 2: Test methods. EN 12976 – Factory Made Systems Part 1: General requirements; Part 2: Test methods. TS 12977 – Custom Built Systems Part 1: General requirements; Part 2: Test methods; Part 3: Storages The latter one is currently in the status of a technical specification (preliminary Standard, former: prEN, ENV). The Standards have been widely accepted in between in many European countries. In Germany, only collectors tested according to the EN 12975 are approved for public funding schemes. The situation is similar in France, where the French Environment and Energy Management Agency ADEME is responsible for the approval of solar thermal components. Only collectors, tested according the European Standard in combination with additional national requirements, are accepted for installation. Currently, the collector Standard EN 12975 is the most important Standard considering large scale solar thermal systems. Whereas part one of the Standard outlines general requirements on the materials, design, durability and reliability of solar thermal collectors with reference to the required test methods of part two, test criteria and test methods are described more in detail in part two (Test Methods). The main tests required in part two are: 38 - Reliability testing Internal pressure test for absorber High temperature resistance test Exposure test Thermal shock test (external and internal) Rain penetration test (glazed collectors only) Mechanical load test Freeze resistance test Stagnation temperature test Final inspection optional: impact resistance test (e.g., due to hailstones) - Thermal performance testing (collectors with liquid heat transfer medium) Glazed / unglazed collectors under steady state conditions Glazed / unglazed collectors under quasi-dynamic conditions - Annex Schemes for durability and reliability tests Report sheets Moreover, the preliminary Standard TS 12977 may become important in the near future, since this Standard combines the component testing with system simulation approaches (CTSS method) for an overall performance prediction of the system. The Standard is flexible for the application to different system configurations, such as solar combi systems (domestic hot water preparation and heating support). The central part of the Standard is thus - CTSS method (Component Testing – System Simulation) Separate testing of collector (according to EN12975), storage and control unit (TS 12977) Total system performance prediction with parameters derived from the component tests and using an appropriate simulation tool (e.g., with TRNSYS) The main components of TS 12977 is shown in Figure 4.7. Collector EN 12975-1 EN 12975-2 hot water Aux. heater controller Storage TS 12977-3 Controller TS 12977-2 annex B supply water Figure 4.7 Components of the TS 12977 – Custom Built Systems. Figure from German BINE information service, Info II/2001. 39 Various test facilities, operated by independent organizations, exist throughout Europe. One of the German test facilities for example, certified by the German DIN CERTCO certification body, is the Test Centre for Solar Thermal Systems, operated at Fraunhofer ISE. Figure 4.8 shows some of the equipment for testing collectors at this centre. Figure 4.8a Outdoor solar thermal collector test facility at Fraunhofer ISE (part of the Test Centre for Solar Thermal Systems). Left: tracking rig for computer controlled automated collector tests; right: mechanical load test facility. Figure 4.8b Indoor solar thermal collector test facility at Fraunhofer ISE (part of the Test Centre for Solar Thermal Systems) for collectors with liquid heat transfer medium and for air collectors. Between collector and lamp array, an artificial air-cooled sky area is installed. In Thailand, test facilities for indoor and outdoor solar thermal collector tests have been developed at Asian Institute of Technology (AIT), King Mongkut’s University of Technology Thonburi (KMUTT), School of Renewable Energy Technology (SERT) in Phitsanulok province and Chiang Mai University (CMU). The test facilities are not continuous in operation due to the low national production level of collectors and due to 40 missing commitments for manufacturers, to apply performance and reliability tests at national certified test institutes. An interesting outdoor collector test method was developed and described by Prof. Supachart Chungpaibulpatana at AIT, Bangkok in 1988. He developed a dynamic test method, especially adapted to the prevailing meteorological conditions in Thailand called a transient test method. In contradiction to the standard collector performance tests with tracked systems, requiring periods with continuous high radiation level for days, his method requires a more simple fixed test rig and focuses on a special evaluation algorithm, allowing performance tests during periods including overcastted sky as well. A simple one-node heat capacitance model is used to characterize the collector thermal performance. In the experiment, the collector inlet and outlet are connected in a closed circuit by a tube equipped with a circulating pump and the fluid inside the whole system is circulated at a very high flow rate. Figure 4.9 shows a sketch of his test facility. For the establishment of certified national solar thermal test centers it would be of interest to activate the dynamic test method and to evaluate the test results with tests on existing equipment for stationary thermal performance tests. For this reason, a solar collector sample may be circulated to the different test facilities, and the test results are to be compared finally in order to assess the precision of the test methods and to increase the performance test quality. Figure 4.9 Experimental test system Source: Supachart Dissertation, Asian Institute of Technology, Bangkok, Thailand Chungpaibulpatana (1998), Non-Steady State Method for Testing Flat-Plate Liquid-Type Solar Collector Performance, PhD There are many experiments by using the Solar Simulator and Outdoor Test in KMUTT such as “Development of Testing Method for Domestic Solar Water Heating System” by Ms. Sawitri Chuntranulak and Prof. Prida Wibulswas. The researchers from SERT studied entitled “A Study of Suitable Meteorological Condition for Solar Collector Performance Testing for Thailand” as the Figure 4.10 a. In addition, CMU researchers have studied on the performance of solar collector in the north region of Thailand as shown in the Figure 4.10 b. 41 Figure 4.10 a. SERT experiment b. CMU experiment 4.4 QUALITY LABEL AND CERTIFICATION In the following, the European approach on a quality label and corresponding certification process for solar thermal products is outlined. In 2003, a uniform European quality label for solar thermal products, the Solar Keymark, was established as a further measure to market solar thermal products more easy throughout Europe with one European quality mark. For this reason, a new European harmonized certification scheme has bee drawn up for solar thermal collectors and solar thermal system components. This certification scheme is based on the above described product standards EN 12975 and EN 12976. As soon as TS 12977 has moved from the preliminary status into an obligatory EN 12977, this standard will be integrated into the solar keymark as well. Figure 4.11 The European Solar Keymark quality label for solar thermal products. Briefly outlined, the procedure to obtain the solar keymark is as follows: - the manufacturer is committed to establish a quality system, comparable to the level of EN-ISO 9002; - a sample of the component to be labeled (e.g., collector or factory made system) is selected by an approved organization from the manufacturers running production charge and is tested according to the valid Standards (EN 12975, EN 12976). This is done once; - the production process and production line is inspected regularly in annual intervals; - the labeled product is physically inspected in intervals of two years. 42 Only those solar thermal products are certified with the keymark, which were successfully tested by a testing laboratory, approved by the CEN Certification Board and 6 by DIN CERTCO (Germany) , CERTIF(Portugal), ELOT (Greece), etc. Approved European test institutes, which can perform the keymark lablleling for collectors on behalf of the certification bodies are for example (non-complete): Austria: Österreichisches Forschungs- und Prüfzentrum Arsenal Ges. mbH, Vienna Switzerland: Institut für Solartechnik SPF, Hochschule für Technik, Rapperswil Spain: CENER-CIEMAT, Centro Nacional de Energías Renovables, Sarriguren Greece: NCSR Demokritos, Solar & other Energy Systems Laboratory, Attikis Italy: ENEA, Italian Agency for New Technology, Energy and Environment, Research Centre TRISAIA, Rotondella Portugal: INETI, Instituto Nacional de Engenharia,Tecnologia e Inovacao, Lisboa France: CSTB, Centre Scientifique et Technique du Batiment, Sophia-Antipolis In Germany, test institutes which can perform the keymark labelling on behalf of DIN CERTCO are Universität Stuttgart, Institut für Thermodynamik und Wärmetechnik, Stuttgart, [email protected] TÜV Immissionsschutz und Energiesysteme GmbH,Testzentrum Energietechnik, Cologne, [email protected] ISFH – Institut für Solarenergieforschung GmbH, Hameln, [email protected] Fraunhofer Institut für Solar Energiesysteme (ISE), Freiburg, [email protected] IZES Institut für ZukunftsEnergieSysteme, Hochschule für Technik und Wirtschaft, Saarbrücken, [email protected] 6 DIN CERTCO is the German certification organisation of TÜV Rheinland Group and of DIN, the German Institute for Standardisation. 43 Figure 4.12. Overview on the steps, necessary to obtain the European Solar Keymark quality label for solar thermal products. Described by the Solar Thermal Test Center at Fraunhofer ISE, one of the certified test institutes in Germany. Source: www.kollektortest.de. Actual information on the Solar Keymark and approved certification laboratories may be found at the web site of the European Solar Thermal Industry Federation ESTIF (www.estif.org). The strong increase of solar keymark licenses (Figure 4.13) indicates the success of the labeling. Until October 2006, about 100 licenses have been distributed. The number does not correspond to the number of companies, since one company can apply more than one keymark to different products. Another expression of the success of the keymark is the intention in Germany, to connect in the near future the public funding for solar thermal collectors with the solar keymark instead of the EN Standards only. 44 Figure 4.13. The success story of the European Solar Keymark. Since October 2006, the number of keymark licenses has grown to approx. 100 items. Source: ESTIF. 4.5 OPTIMIZATION OF STANDARD AND SOLAR THERMAL TESTING CENTER IN THAILAND Site surrey of solar water heating system in Thailand found that main problems of water heating system are originated from: Maintenance technicians lack of knowledge and understand in operating the solar water heating system Misconception that where hot water is available, the system still operates No consideration of depreciated equipment including its efficiency in producing hot water Therefore, a lack knowledge and understand in solar water heating system results in problems as follow: 1. Hot water temperature is not satisfied as a result of: Incorrect direction and tilt angle of the solar collector The solar collector is shaded by other objects such as a bill board The solar collector is deteriorated , e.g. the peel off of the black color at the absorber plate , the broken transparent cover plate , and a formation of dirt at the transparent Leakage of pipe in the solar collector Solar collector area small Hot power pipe should be insulated ( It was found that there was no insulation for pipe and joint ) A flow of hot water is obstructed by rust and dregs. Water pressure is insufficient Cold water is left over during the night time. There is a problem with water pumping system. This is because of insufficient pumping pressure, non – stop operation and a malfunctioned installation. 45 2. 3. 4. 5. The insulator of the hot water storage tank is not in good condition and the size of the size of storage tank is not suitable to the application. Failed installation of temperature controller , low temperature control and leakage Hot water is not available during the day time because: There is cold water left over in the pipe during the night time. Piping insulator is deteriorated. Additional heater is out order or the controlled temperature is too low. Insulator of hot water storage tank is degenerated Noise from solar water heating system: Vibration of water piping due to blockage inside the pipe. Pipe was not well-installed. Joints were lose No lubrication for “bullet” of the pump Water leakage due to: Joints, valves or leakage of the pipe. Leakage was often found at the joints of solar collector and hot water pipes due to the pipe expansion. High demand of electrical load due to: A problem is occurred from the storage tank situated at the lower level than it should be or there is a reverse flow of cold water in the solar collector to the storage tank. An additional heater works at all time. The temperature is much higher than the temperature required Problem found from surveys hospitals and hotel such as : 1. In satisfied operating temperature 2. Damaged solar collector 3. Rusty storage tank 4. Damage joints 5. Damage insulation 6. Malfunctioned additional heater 7. Obstruction from dregs 8. Too much dust 9. Motor of the hot water pump From problems because at produce equipments have not the quality testing to solar collector industrial product standard (TIS 899-2532) 1989 and solar water heater for domestic uses (TIS 1507 – 2541) at 1998. 46 Table 4.1 Comparison Test Condition between ASHRAE Australian and Thai Detail 1. Solar Radiation (W/m2) 2. Ambient temperature (ºC) 3. Wind velocity (m/s) 4. Pressure Differential between water in and out collector (kPa) 5. Equation of efficiency of solar collector ASHRAE More than 790 ± 32 Australian More than 790 ± 32 less than 30 less than 30 Thai More than 600 less than 30 2.0-4.5 ± 0.5 2.0-4.5 ± 0.5 2 ± 0.5 3.5 3.5 - K )5 ¬ªWD H 8 / 7L 7D º¼ K K 8 7 L 7H , W K )5 ª¬WD H 8 / 7L 7D ¼º 47 5 ECONOMIC AND FINANCIAL 5.1 ECONOMIC OF SOLAR THERMAL SYSTEM Economic viability is crucial to development of solar thermal market. Above all barriers that have hindered the market growth, high cost of solar systems has been a major cause that shun potential users from its environmental benefits and energy cost saving. While there is no general guideline or proven records of how solar thermal systems save energy available to public, leave the customers only information source to suppliers who sometime are new to the technology as well. In this chapter, we will outline some of the criteria that make the solar thermal systems’ economic feasible. Solar thermal systems generally have high first cost and low operating cost. The initial cost of solar system can be minimized by proper sizing system’s main components which are collectors and tanks to the optimum size that delivers energy at the average demand. A system that design at full load may be oversize for applications that have seasonal demand. For example, hotels have low hot water demand during low tourist season. A system that design to serve full load would be too large when the hotel has only half of the occupancy rate in low season. It is recommended that users measure their hot water consumption for at least one year in order to understand their actual demand for proper sizing for solar thermal systems. Solar thermal system performance associates with quality of installation, solar radiation, type of collector, and maintenance. A good installation can greatly increase the system efficiency which means more energy produced and more positive cash flow that shorten the pay back period. Regular maintenance can extend the system lifetime and increase life cycle cost saving. Below outline some of the criteria for design and optimization of solar thermal systems. 5.1.1 Solar radiation Thermal performance of solar system is determined by solar radiation, ambient temperature, and heat losses from collectors, storage tanks and pipes. As heat losses can be prevented by good insulation, system performance is primarily influenced by solar radiation. Thailand has an average global solar radiation at 4.5-4.7 kWh/m2 per day with seasonal fluctuation within ±20% of the average value. Although annual solar gain is higher than the economic profitability figure as compare to countries in higher latitudes, Thailand solar radiation is affected by tropical monsoon. Applications which demand occurs during monsoon season are less suitable for solar thermal systems. For example, manufacturing of canned agricultural products, large quantity of hot water is needed to make syrup and containers washing. However, as some fruit and vegetable are harvested during this time of the year, solar system can not economically providing heat source in this agro sector. As shown in Figure 5.1, Phuket daily global radiation is highest during the first quarter of the year and lowest during the monsoon months in the second half of the year. Chiang Mai and Khon Kaen, although peak radiation is lower, the solar radiation is relatively constant throughout the year. In understanding seasonal variation of the energy source, solar thermal system can be design to properly serve heat demand throughout the year with least investment cost. 48 MJ/m 2-hr Bangkok hourly global radiation Bangkok Daily global radiation 2 MJ/m 20.00 3.00 2.50 19.00 2.00 18.00 1.50 17.00 1.00 0.50 16.00 0.00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 15.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec hour (a) Bangkok hourly global radiation 2 MJ/m -hr (b) Bangkok daily global radiation Phuket hourly global radiation 3.00 2 MJ/m Phuket daily global radiation 21.00 2.50 20.00 2.00 19.00 1.50 1.00 18.00 0.50 17.00 0.00 16.00 Jan 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Hour (c) Phuket hourly global radiation MJ/m 2-hr Chiang Mai hourly global radiation (d) Phuket daily global radiation 2 MJ/m Chiang Mai daily global radiation 20.00 3.00 2.50 15.00 2.00 1.50 10.00 1.00 5.00 0.50 0.00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 hour (e) Chiang Mai global radiation MJ/m 2-hr Khon Kaen hourly global radiation 0.00 Jan Jul Aug Sep Oct Nov Dec (f) Chiang Mai daily global radiation 2 MJ/m 3.00 25.00 2.50 20.00 2.00 Feb Mar Apr May Jun Khon Kaen Daily global radiation 15.00 1.50 1.00 10.00 0.50 5.00 0.00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 0.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec hour (g) Khon Kaen hourly global radiation (h) Khon Kaen daily global radiation Figure 5.1 Solar radiation in Bangkok, Phuket, Chiang Mai and Khon Kaen 5.1.2 Load pattern and continuity of demand The most suitable application for solar thermal is when the demand occurs during daytime and operation is continuous all year round. Residential and commercial applications have hot water demand in the morning and evening hours, thus require storage tank that increase the system cost. Some applications in industrial sector can integrate solar thermal system directly into the existing process. 49 5.1.3 Working temperature and types of collector With weather condition in Thailand, applications that require temperature below 70°C can use low cost, non-concentrated or lower efficiency collectors. Typical temperature required for hot water demand in residential and commercial applications and water feed to boilers in industrial application is around 50-60°C, this temperature level can be served by flat plate or evacuated tubes collectors typically sold in Thailand. Table 5.1 shows a comparison of energy produced from 3 types of collectors; unglazed, flat plate and evacuated tubes using simulation from a software tool, T-Sol®, to simulate performance of solar collectors under weather conditions in 4 major cities representing 4 regions in Thailand (central, north, northeast, and south). The energy produced is in the range of 1,000-1,300 kWh/m2 for water temperature demand at 60°C which shows that at low temperature, efficiency of collector is not a key factor. Users should select the most cost effective collectors according to demand temperatures. Table 5.1: Energy produced by 3 types of collectors for water at 60°C Weather data Bangkok Chiang Mai Khon Kaen Phuket 5.1.4 Unglazed 1,134 1,052 1,078 1,057 kWh/m2 Flat plate 1,237 1,218 1,193 1,173 Evacuated 1,312 1,308 1,264 1,243 Solar fraction Solar fraction is a percentage or portion of annual energy demand meet by solar energy. A hundred percent solar fraction means that all of the energy demand is supplied by solar system. However, larger size of solar system requires higher investment cost. Proper solar fraction that uses least investment cost while gives highest performance is the key to economic viability for large solar thermal systems. F-chart method is generally used for the analysis for an optimum size of solar collector and tank. From Duffie and Beckman (1991), the optimum collector area can be determined by plotting the solar fraction to the annual thermal performance. The optimum area is where the slope of thermal performance is P2CA/P1CF1L. wf wAC P2 C A P1C F 1 L Equation 5-1 Where g = fraction of solar energy to annual heat load Ac = collector area P1 = ratio of the life cycle fuel cost savings to the first year fuel cost savings P2 = ration of the life cycle expenditures incurred because of the additional capital investment to the initial investment CF1 = first year fuel cost without a solar system 50 Figure 5.2 Optimum collector area determination from the slope of the g Vs AC thermal performance curve. From Duffie and Beckman (1991). The analysis use life cycle cost method which takes into account all future expenses. The method provides a means of comparison of future costs with today’s costs by discounting all anticipated costs to present worth value. Detail of the analysis involves complicated mathematic equations. Alternately, we use software tools that can perform the economic analysis. Two simulation software tools are used in this study, Retscreen£, developed by Retscreen International Clean Energy Support Center, Natural Resource Canada and TSol£, developed by Dr. Valentin EnergieSoftware GmbH. Both of the software gives similar results when simulate with the same parameters. Only T-Sol£ gives more graphical results in technical analysis while Retscreen£ accommodates more in the economic details. Using T-Sol£, results of simulation for a hotel (100 guestrooms, double occupancy) are shown in Figure 5.3 and Figure 5.4. Storage tank size 1000, 3000, and 5000 liters are compared for the least solar collectors required to achieve solar fraction at 60%. 51 Figure 5.3 Solar fraction and number of solar collectors The simulation shows that at 60% solar fraction, 3,000-liter and 5,000- liter systems require only 50 solar collectors while 1,000 liter tank system needs nearly 70 collectors to achieve the same solar fraction. As larger number of collectors gain higher solar fraction, however, the incremental of heat gain is not linear. After 70% of solar fraction, the system yield only 20% more with double the number of collectors. Therefore, the solar fraction at 60% is mostly recommended for cost effectively implementation of solar thermal systems. Since system cost is largely determined by the size of solar collector and storage tank. A small tank may cost lower but the system would require larger number of collectors while a larger tank may cost more but require less collectors. Designers should be cautious in cost comparison for the optimum size of tank and collectors. Design results of the 3 tank sizes are compared in Figure 5.4. Systems with 3,000 and 5,000-liter tanks yield similar system efficiency and number of collectors. Selection of system sizes is to be decided by cost comparison between the 2 systems Figure 5.4 A comparison of system efficiency and tank sizes Based on our survey to existing solar hot water systems in hotels, most of the systems were design at 90-100% solar fraction. System installed in hotels during 1986-1988 cost approximately 8,000 – 10,000 Baht/m2 of collector area. More recent installations during 1990’s cost were between 17,000 – 18,000 Baht/m2. 52 Table 5.2 shows economic analysis for 3 solar hot water systems. Two systems installed in 1987 and 1988, and another system installed in 2003. Since there is no record of actual hot water consumptions, the economic analysis shown here is based on simulations with typical load profile for hotels in Thailand. 1) Hot water demand is 100 liters/room/day for double occupancy. 2) Room occupancy rate is 70%. 3) Hotel annual hot water demand is based on Thai tourist season as shown in Figure 5.5. (a) Daily load profile (b) Annual load profile Figure 5.5 Load profile for typical hot water demand in Thai hotels Simulation results show that all of the three systems have solar fraction nearly 100% resulting in the high investment cost and pay back periods nearly 10 years. When simulate system performance for solar fraction at 60% and assume system costs were proportion to the number of collectors, pay back period for the optimized design could be minimized to 5 years for replacing electricity and 8 years for LPG. It should be noted that hotel 1 and 2 installed solar systems nearly 20 years ago. The costs of systems and price of electricity were of those during that time. 53 Table 5.2 Review of Existing Installation and proposed optimized design System Location Year of Installation Annual solar irradiation Collector type Collector efficiency Collector annual Solar gain Number of collectors Storage volume Hot water demand Type of fuel Annual fuel saving Solar fraction Fuel price Investment cost Net present value Pay back period Hotel 1 Hotel 2 Hotel South 1988 1,711.76 kWh/m2 Flat plate 70% 499 kWh/m2 60 8,000 liter 4,000 liter/day Electricity 51,298 kWh 98.9 % 1.7 Baht/kWh (in 1988) escalation 3%/year 960,000 Baht 2,210,473Baht 10 years Northeast 1987 1,895.71 kWh/m2 Flat Plate 70% 988 kWh/m2 45 8,000 liter 3,500 liter/day Electricity 55,518 KWh 97.8% 1.7 Baht/kWh (in 1987) escalation 3%/year 800,000 Baht 1,545,988 Baht 8 years North 2003 1,970.49 kWh/m2 Flat Plate 75.5% 1,176 kWh/m2 48 10,000 liter 6,500 liter/day LPG 8,760 kg 94.6 % 16.5 Baht/kg 1,680,000 Baht 2,473,157 Baht 10 years Proposed size of solar system for optimum investment Solar fraction Number of solar collectors Investment cost Pay back period 60.1% 18 256,000 Baht 5 years 58.8% 14 248,888 Baht 5 years 62% 24 840,000 baht 8 years 54 5.2 PAY BACK PERIOD For commercial and industrial applications, solar water heater is considered as an auxiliary heat source to conventional heating system. Businesses invest in the solar system anticipate to the future conventional fuel cost saving. While least cost analysis should be performed for the optimum investment to the energy deliver, conventional fuel cost savings indicate return on investment of the solar system. The initial investment cost is mostly associated with cost of the solar system to meet with the annual loads in supplemental to conventional fuel. Operating cost, fuel cost and system maintenance is considered negative cash flow and the energy produced from the solar system is accounted for revenue generated. The initial cost of solar water system in Thailand is relatively high as compare to other countries. Low annual turnover of the solar companies due to low sell volume has driven solar companies to mark up high price on the products in order to cover for company expenses. Domestic hot water system cost approximately 29,000 baht/m2. Locally produced flat plate collectors system cost lower than imported products and Chinese evacuated tubes collectors cost similar to local flat plate collectors. The solar systems sold during the year 2000 cost around 35,000 Baht for the same specification, a nearly 10% increase of the domestic system price. Table 5.3 A market survey of domestic solar hot water system cost in 2007 Domestic SHW Collector Tank Cost (Baht) Installation VAT 7% Total Cost/m2 Local 1 2.16 m2 160 liters 49,000 8,000 3,990 60,990 28,236 Local 2 2.0 m2 200 liters 53,000 3,710 56,710 28,355 Flat plate Local 3 2.02 m2 200 liters 57,500 57,500 28,750 Import 1 1.9 m2 160 liters 57,300 4,000 61,300 32,263 Import 2 2.3 m2 150 liters 96,000 96,000 41,739 Evacuated tube Import 3 Import 4 15 tubes 20 tubes 200 liters 165 liters 48,000 39,000 5,000 5,000 3,710 3,080 56,710 47,080 28,355 23,540 The cost of solar system for commercial applications is slightly lower than those in the domestic application. Size of installation is varied from 10 – 100 m2 and the system cost is in a range of 17,500 – 27,500 Baht/m2. The variation of the prices among different solar companies does not seem to have a pattern whether it is based on the size of system or the quality of materials. Although local products tend to have lower prices, the price quotes are rather arbitrary as customers can not easily compare the price for large systems. The average and more consistent cost is 23,000 Baht/m2. With reference cost of system in the year 2000, locally produced system cost increase on average of 6% over the last 6 years. 55 Table 5.4 A market survey for cost of Solar System in Commercial application in baht/m2 Year Local 1 Local 2 Local 3 Import 1 Import 2 2000 2007 14,000 17,500 27,500 23,400 22,936 32,000 A cost breakdown for commercial solar systems in the table below shows that solar collectors make up for approximately 60% of the total cost. Table 5.5 Solar system cost breakdown in percentage of total cost in commercial applications Item 1. Collectors 2. Tanks (size 3,000 – 5,000 liters) 3. Balance of System (pump, control, pipe etc) and installation Cost 13,000 – 15,000 Baht/m2 150,000 - 300,000 Baht (depends on material and tank size) Estimated at 20-30% of the materials cost % 50 – 60% 20 – 30% 20 – 30% Most of Thai solar hot water buyers make cash payment. Tax incentives and financing scheme for solar system are not yet available. Return on investment can be relatively straightforward calculated based on the initial cost and fuel saving with the fuel price escalation over the lifetime of the system. Pay back period, the time needed for the cumulative savings to equal the initial investment, is the term that is most common used and comprehensible among Thai solar customers and general public. Economic factors such as inflation and fuel escalation are taken into consideration for the calculation of pay back periods. With initial cost of solar system at 29,000 Baht/m2 for domestic and 23,000 Baht/m2 for commercial and industrial applications and with the economic parameters below, the pay back periods are calculated as shown in Table 5.6. Key economic indicators 7 - GDP 5% (average over the year 2000-2006 ) - 8 Inflation 3.5% (average over the year 2003-2006 ) Fuel cost 2000 2007 Average % increase/year 7 8 Electricity (Baht/kWh) 2.5 3.9 8% www.bot.or.th Inflation Report 2006, Bank of Thailand LPG (Baht/kg) 9 16.7 10% Fuel Oil (Baht/liter) 8.5 17.5 10% 56 Table 5.6 Pay back periods of solar thermal system for each sector Sectors Residential Commercial Industrial Pay back periods (years) Remark Electricity LPG Fuel Oil 5-6 3-5 7-8 6-8 4-8 Depends on types of collectors and hot water demand. Pay back period at 4 years is calculated based on unglazed collector’s pre-heat feed water to boilers. For optimized design variables, pay back periods for solar thermal system are in the range of 3-8 years. Thailand cost of solar system is relatively high while electricity cost is relatively low as compare to other countries that have success installation of solar water heater. Prices and typical size of domestic solar water heater in Table 5.7 are summarized from the Sun in Action II report of ESTIF, Thailand data came from our market survey. There are several factors contributed to the pay back periods. The next section in Sensitivity Analysis will discuss of factors that have impact to the pay back periods of the solar systems. Table 5.7 Country comparison for pay back periods of DSHW Country Baht/m2 Japan Thailand Spain Italy Israel Greece China 25,450 29,000 25,000 17,500 11,800 14,750 7,150 Typical size Collector-tank 2x2 m2 - 200 liter 2 m2 - 160 liter 2 m2 - 200 liter 4 m2 - 200 liter 2.5 m2 - 150 liter 2.4 m2 - 150 liter 2 m2 - 180 liter Total (Baht) 101,800 58,000 50,000 70,000 29,500 35,400 14,300 Electricity (Baht/unit) 7.3 3.9 11.5 10 4.85 3.8 1.8 - 5 Pay Back Period 8 6.2 3.5 3.5 3.5 3.6 2.5 - 6 57 5.3 SENSITIVITY ANALYSIS There are several economic factors that have impact to year-to-positive cash flow or pay back time. Analysis of the impacts lead us to more understanding of how pay back time can be shorten to an acceptable range among Thai investors and what sort of financial measures are needed to achieve the target. There are 3 parameters selected for sensitivity analysis: the amount of energy produced from solar system, the initial costs and the annual operating costs. All are analyst within 40% sensitivity range using Retscreen®. Parameters for simulation Application: Hotel Load: Hot water for 180 Rooms, 70% occupancy rate Fuel replaced: Electricity 3.9 Baht/kWh escalation at 8%/year Collector: 22 collectors, Glazed, efficiency 78% Tank: 5,000 liter Solar fraction: 58% Simulation results - RE delivered 27.24 MWh - Initial cost 1,006,940 Baht - Annual cost 1,520 Baht (pump running cost) - With the electricity cost at 3.9 Baht/kWh, pay back period is 3.4 years. Using a typical hotel application for the sensitivity analysis, the results are shown in the next page. With the same fuel cost at 3.9 baht/kWh, reducing initial cost 20% from its original cost resulted in pay back time at 2.8 years. Further reduction to 40%, the pay back period can be greater decrease to 2.1 years. While increasing RE energy delivered which can be done by using higher efficiency collectors or higher number of collectors can decrease the pay back time to only 2.5 years. This shows that initial cost is the key parameter to reducing the pay back time. 58 Table 5.8 Sensitivity Analysis for Year-to-positive cash flow Electricity RE delivered (MWh) 16.34 21.79 27.24 32.68 38.13 Initial costs (THB) 604,164 805,552 1,006,940 1,208,328 1,409,716 Annual costs (THB) 912 1,216 1,520 1,824 2,128 789% -40% -20% 0% 20% 40% 7.9 -40% -20% 0% 20% 40% 7.9 -40% -20% 0% 20% 40% 2.3400 -40% 7.9 6.3 5.3 4.5 4.0 Avoided cost of heating energy (THB/kWh) 3.9000 3.1200 4.6800 -20% 0% 20% 6.3 5.3 4.5 5.0 4.1 3.5 4.1 3.4 2.9 3.5 2.9 2.4 3.1 2.5 2.1 5.4600 40% 4.0 3.1 2.5 2.1 1.8 2.3400 -40% 3.4 4.4 5.3 6.1 6.9 Avoided cost of heating energy (THB/kWh) 3.9000 3.1200 4.6800 -20% 0% 20% 2.6 2.1 1.8 3.4 2.8 2.4 3.4 4.1 2.9 4.8 4.0 3.4 5.5 4.5 3.9 5.4600 40% 1.6 2.0 2.5 3.0 3.4 2.3400 -40% 4.1 4.1 4.1 4.1 4.1 Avoided cost of heating energy (THB/kWh) 3.9000 3.1200 4.6800 -20% 0% 20% 3.7 3.4 3.1 3.7 3.4 3.1 3.4 3.7 3.1 3.7 3.4 3.1 3.7 3.4 3.1 5.4600 40% 2.9 2.9 2.9 2.9 2.9 Impact on Year-to-positive cash flow Initial costs RE delivered Annual costs -0.800 -0.600 -0.400 -0.200 0.000 0.200 0.400 0.600 0.800 Effect of increasing the value of the parameter Figure 5.6 Effect of increasing the value of the parameter Sorted by the impact Avoided cost of heating energy 59 Although replacing electric water heater with solar water heater in residential application has a long pay back period of 6.2 years, the same fuel replacement in commercial application require only 3.4 years. This is partly due to lower cost of collectors in larger systems and higher hot water demand in commercial application. As compare to countries where solar thermal technology is successfully implemented, Thailand pay back time for DSHW is relatively long because the initial cost is high while fuel price particularly electricity is low. Since change of fuel price will have impact to the country economic, left the initial cost of solar system the only option that we can interfere. Table 5.9 compares variation for the percentages of initial cost reduction. For the current domestic solar system cost at 29,000 Baht/m2 (or 58,000 Baht for a system), pay back period is 6.2 years for replacing electricity. In order to make solar systems more appealing to customers, pay back time should not be longer than 5 years. Hence a 30% reduction of initial cost is needed for the economic feasibility in domestic hot water heater. For commercial applications, replacing electric water heater in hotel/hospital can already be feasible within 5 years. The case shown here is calculated for replacing LPG where pay back time is still up to 8.2 years. The industrial application is based on a solar system that would require a storage tank and glazed collectors in a case of replacing fuel oil. With the initial cost of 23,000 Baht/m2, solar systems for commercial and industrial applications need more than 6 years to pay back the investment. In order to reduce the pay back period to less than 5 years, a 50% initial cost reduction is needed, which is higher percentage than the residential application required due to low price of fuel even they are escalated at 10%/year. The potential of future increase of LPG price due to ceasing of government subsidy on the fuel may make the pay back period shorter than the current price. There are financial incentives can make this initial cost reduction possible such as tax privilege, tax incentives, tax credit, subsidy or other policies. Reviews of international policy in success countries and recommendations for Thailand will be illustrated in Chapter 8. Table 5.9 Pay back periods for the reduction of initial cost Current Sectors Residential1 Commercial2 Industrial3 Pay back time 6.2 8.2 7.7 Percentage of initial cost reduction Initial cost (Baht/m2) 50% 40% 30% 20% 10% 29,000 23,000 23,000 3.5 4.9 4.5 4.1 5.6 5.3 4.7 6.3 5.9 5.2 7 6.6 5.7 7.6 7.2 Note 1. Residential solar system replacing electricity 2. Commercial solar system replacing LPG 3. Industrial solar system replacing fuel oil 60 6 FINDINGS FROM SELECTED SITE VISITS This chapter outlines findings from potential and existing SWH applications in four facilities where the project team visited during the project implementation. Detailed analysis of data gathered during the site visits is also included in each case study. Brief description of each facility and findings are captured in the following sections: 6.1 FACULTY OF NURSING, KHON KAEN UNIVERSITY Faculty of Nursing, Khon Kaen University is located in the northeast of Thailand, 450 km away from Bangkok. The SWH system was installed by DEDE in 1986 on the overhang for car parking facing to the south, as shown in figure 6.2. Existing solar hot water system The schematic diagram of the system is shown in figure 6.1. The solar collector was made in Thailand, and the collector array consists of 20 collectors, 2 m2 each, arranged as 2 banks in series of 10 collectors each in parallels. The system was also equipped with air vent, pressure and temperature gage. It included two vertical storage tanks and an electric heater backup. The purpose of using hot water was for shower with a daily consumption of 1.5 – 2 m3. The system produced hot water at 50 oC. In 1991, hot water produced by the system was piped to use in another building, 50 m away. Figure 6.1 Schematic diagram of SHWS at faculty of nursing, (1) collector arrays, (2) the sediment deposited inside the collector, (3) pipe connection, (4) auxiliary heater, (5) water draining system, (6) insulation on pipes 61 Figure 6.2 Left: collector arrays installed over the car park. Right: two vertical storage tanks Status, overall appearance and problem occurred The SWH system has been abandoned for 2 years. The system failed two years ago and the administrative unit of faculty decided not to retrofit this 20-year-olds system basically due to high retrofitting cost with the new SWH system. Hot water demand in the nursery today is met by electric water heaters. Overall appearance and problems found are as follows: 1. Severe corrosion found on the piping system 2. The insulation on pipes came off 3. The insulation at the back of collector panel failed Summary The system by record was installed and in operation for over 20 years, and it was not operated for two year due to the system failure. At that time, there was not available data analysis result, thus the manager of faculty believed that renovating the SWH system to produce hot water was not worth in comparison with electric heaters. He then decided to install electric heaters instead. To promote SWH again for the faculty of nursing, the data analysis result regarding economic comparative assessment of the systems must be presented to the manager. The following scenarios should be done. 1. Renovate the existing SWH system and hybrid with the existing electric heaters 2. Install a new SWH system 6.2 WHALE HOTEL Whale hotel, a three-star hotel, is located in Nakorn Prathom province, 60 kilometers West of Bangkok. The hotel consists of 4 buildings (A, B, C and D). Solar hot water systems were installed in building A, B and D and the installation was done in 1992, 1989 and 1993, respectively. Among three buildings, building D contains the largest 62 number of rooms. The size of collector array in each building varies according to the number of rooms. The demand period of hot water is usually in the early morning (6:008:00) and in the evening (19:00-20:00) but consumption data of hot water are not available to the project team during the site visit. Solar collectors The collectors are of flat plate type with a panel size of 2 m2. The brands of collector are LORDAN and CHROMAC from Israel. For LORDAN, the cover is made of glass having low reflection losses. The collector frame and absorber were probably aluminium and the insulation was supposed to be mineral wool. There was no ventilation hole. The collector was faced south with an approximate tilt angle of 20 degree. There was no serious shading on solar collectors. Existing solar hot water system For the building B, the system contains two storage units mounted in horizontal position. The circulation of water between the solar collector and the storage tank no.1 (collector loop) was performed using an electric pump. The hot water from the upper of storage tank no.1 will discharge through pipe to the bottom of the storage tank no. 2 where the immersion electric heater was installed to serve as an auxiliary heat source, as shown in figure 6.3. The storage tanks were equipped with insulation and metal jacket. The total volume of storage tanks was around 12 m3. The temperature different controller was used in controlling the system, but the setting point for triggering the pump was not clear. The system data were summarized and presented in table 6.1 Solar Collector RETURN SUPPLY -HW Storage tank 1 Electric heater Feed water Figure 6.3 Schematic diagram of SHWS installed at Whale hotel Table 6.1 The SHWS of Whale hotel 1. No. of rooms 2. Average occupation rate 3. Daily water consumption 4. Year of installation 5. Period of using hot water Building A 128 60 % N/A 1992 Building B 89 60 % N/A 1989 6:00-8:00 Building D 179 30 % N/A 1993 63 6. Hot water temperature desired 7. Solar collector size / panel 8. No. of collector panels 9. Collector brand 7. Orientation 8. Inclination of collector array 9. Capacity/type of storage tank 10. Backup system N/A 44 CHROMAC (Israel) South 20 degree 2 horizontal tanks 8 and 4 m3 Immersion electric heater 19:00-20:00 N/A 2 m2 32 LORDAN (Israel) South 20 degree 2 horizontal tanks 6 and 4 m3 Immersion electric heater N/A 48 N/A South 20 degree 2 horizontal tanks 8 and 4 m3 Electric heater 100 W Status, overall appearance and problem occurred Since the temperature sensors do not function properly and the setting point temperature was not clear, the collector loop of the building B was obviously in stagnation during inspecting the system. The insulation of storage tank was completely degraded through heavy corrosion of the steel jacket and disintegration of the foam insulation to a large extent (figure 6.4). In the other systems, the storage jacket was made of stainless steel. As two storage tanks were installed in horizontal position, the temperature gradient especially on the top and the bottom of the tank was probably low. There was no available data on temperature distribution in the tanks. For reasons of accessibility of the roofs at first visit, only the collectors of the first systems (Building B) were inspected (consisting of 32 collectors). The appearance of most of the collectors is comparatively good with little signs of corrosion. A few collectors show clearly internal corrosion of the absorber plate, caused by contents of humidity which could not be removed from the collector. The foam insulation of the collector pipes is likewise disintegrated, as they are not protected by a jacket. Some water had apparently leak from the pipes. The pumps are, likewise to other inspected systems, mounted below the collector area without any further protection against weather impact. The control board is equipped with an electricity meter for the auxiliary electrical heaters, but no readings have been applied. The control of the systems is ‘decentralised’, e.g., in one of the systems, the auxiliary heater was replaced or supported by 2 additional electricity heaters, either started manually or by their own internal control. These additional heaters are designed for domestic inside use, but were installed outside close to the storage without any weather protection. The inspection of the systems by the technicians is done by checking for sufficient hot water output temperature of the systems, without tracing the origin of the heat (solar or electrically produced). 64 In inspecting the system at second visit, the SHWS for the building A still worked but the system efficiency by calculation was quite low, approximately 10-15 %. The problem of low water temperature obtaining from SHWS significantly effects on hotel customers, especially in the winter. The system still worked for the building D but functioned not well. Even the numbers of customers in this building were less than those of other buildings; the electric heaters were installed additionally. For reasons of difficulty of access to the roof, the systems were roughly inspected. There are no available data on system cost and annual electricity cost for the systems. Figure 6.4 The system components for the building B at Whale hotel, upper left: collector array, a few of collectors show internal corrosion. Upper right: storage tanks of which steel jacket disintegrated. Lower left: the temperature gage seems to be out of order as it indicated the temperature of water at 5 oC. Lower right: the setting point for controlling the system is not clear. Summary The hotel manager realized on energy saving, but she did not know how to take care and evaluate the system. The Watt-hour meter was installed to measure energy consumption 65 of auxiliary electric heater but no reading has been applied. The inspection of the system by the technicians was done by checking only for sufficient hot water output temperature, without tracing the origin of the heat (solar or electrically produced). The experience made at the Whale hotel is of special interest, since the solar systems were installed nearly 20 years ago and are still in operation. Part of the collectors show corrosion, but the array at a whole may still contribute to the hot water supply. The problems in the systems are addressed mainly to all system controls. It would be worth to apply a retrofit to the system, focusing on: - Exchange of control units of all systems by advanced control units with electrical meters. - Exchange and improvement of pipe insulation - Exchange of degraded/damage parts by the new ones - Training of technicians in order to detect the system operation efficiently - Rising the awareness of hotel management to hot water and electricity consumption figures to assess the benefits of the solar hot water systems 6.3 THAI-DENMARK DAIRY FACTORY Thai-Denmark factory is located in Saraburi province, around108 km North of Bangkok. At the factory, about 170 tons of raw milk is prepared for dairy products such as pasteurized milk, fermented milk, UHT flavored milk, yoghurt etc., Monthly consumption of water, and heavy fuel oil and electricity are 16,520 m3, 57,700 liters and 314 MWh respectively. Steam production and processes To produce the dairy products, the steam is needed in the processes. Steam is produced using three HFO boilers (7 bar each) as shown in figure 6.5. They were alternately operated. Normally, the boiler no.1 and no.2 are operated simultaneously with a total steam production of 4.2 tons/hr, while the boiler no.3 usually operated at 3.3 tons/hr is reserved. The steam is basically used in the two production steps as shown in figure 6.6 - Pasteurising process, the milk is heated to a temperature level 80 °C for 22 sec. Subsequently, the finished milk so-called ‘pasteurized milk’ is packaged and cooled down to 5°C, using electrically driven compression chillers. Likewise the pasteurized milk, the pasteurized fermented milk drink is produced at temperature level 85 oC for 15 min, and cooled down to 4-8 oC. - Sterilizing process of producing Ultra high treatment (UHT), the milk is heated to a temperature level 138 oC for 3 second. It is subsequently stored at 25°C. In addition to these processes, the steam and condensate are used for the cleaning purpose e.g. cleaning vessels and machines when the models of products are changed, cleaning milk containers on trucks, cleaning floor after work and preheating HFO. After using 66 additionally of condensate in the processes, the condensate is finally returned at a temperature level of 80 oC to the boiler. It was mentioned that make-up fresh water a day for producing steam is approx. 27-30 m3. 1 Preheat HFO tank 2 3 Figure 6.5 Three HFO-boilers (7 bar each) of the dairy factory. The preheat oil tank is located between the boiler no.1 and no.2 67 Figure 6.6 Overview of processes of dairy products, pasteurized milk, UHT milk drink and pasteurized fermented milk drink System analysis As a large amount of steam is needed in the processes of producing diary products, the energy saving should be realized. Integration of solar hot water system in the steam production is one of strategies to save energy. The possibilities to include solar energy for fuel saving are as follows: 1. Direct steam generation at the requested system pressure in concentrating solar thermal collectors, e.g., parabolic trough collectors with one-axis tracking. Under the 68 prevailing meteorological conditions, this would probably lead to considerably large collector installations with additionally required steam storage to smooth power fluctuations 2. Pre-heating of the condensate from 80°C towards 100°C (or more) in a highefficiency collector system, using pressurised water as heat medium. As collector type, vacuum tube collectors may be use, but high-efficiency flat plate collectors (e.g., double-glazed with non-reflective coating) can be considered as well. 3. Pre-heating of the fuel oil from ambient temperature (30°C) to any temperature until 100 °C. Thus, the condensate from the steam supply system will be less used for fuel pre-heating and returns into the boiler with a temperature above 80°C, thereby saving fuel for steam generation. This requires a well designed collector system as well, but not necessarily vacuum tube collectors. The heat could be used for cleaning purpose as well. Due to the daily delivery rate of fuel, this solution would probably lead to the smallest solar thermal installation and thus smallest investment cost, but consequently to the smallest potential for fuel saving as well. Figure 6.7 shows a possible solar thermal application for pre-heating the condensate. 4. Since the steam and condensate lost from the system is replaced with approx.27-20 m3 of fresh water, it is possible to preheat a large amount of fresh water from ambient temperature to 70 oC using simple SHWs before entering the boiler. The schematic diagram of simple preheat water is shown in figure 6.8 The possibility 1) will be not really suggested here, since a concentrating solar process heat supply system should be first subject to a pilot plant, before applying this technology to a commercial process. The possibilities 2), 3) and 4) should be subject to a feasibility study, considering different collector technologies, collector system sizes and storage volumes, in order to find an optimised system configuration with respect to the exploitation of the solar system, to the saved primary energy and to the investment costs and payback time. A preliminary calculation on preheating water by SHWS (possibility no.4) was carried out using T-Sol simulation program. The analysis was done based on the following economic factors: an average cost of package deal for construction work, life span of the system of 20 yr, interest rate of 5 %/yr and price increasing rate-running cost of 3 %/yr. There is no any additional cost in installation when using the existing water storage tank. The technical input parameters including with cost had been tabulated in table 6.2. The simulation results showed that daily preheating 30 m3 of fresh water from ambient temperature to 70 oC with 250 m2 of solar collectors yielded a 3 yrs payback period. The annual fuel saving is about 44 m3 of HFO. The summarized outputs are shown in table 6.3. 69 Figure 6.7 Simplified sketch of the process heat supply system at the Diary Farm One of the possibilities to apply solar heat for fuel saving by pre-heating the condensate from 80°C to any higher temperature is indicated (dotted). 70 Pasteurizing, Sterilizing Cleaning, etc Process Fuel (100 oC) Boiler 3 Boiler 3 Steam (7 bar) Boiler 3 Condensate (100 oC) Storage Fuel (30 oC) Hot water (70 oC) Storage Feed fresh water Collector array Figure 6.8 Simplified sketch of the process heat supply system at the Diary Farm One of the possibilities to apply solar heat for fuel saving by pre-heating the fresh water from ambient temperature to 70 oC (dotted) 71 Table 6.2 Input parameters for calculating energy saving by preheating fresh water (the possibility 4) Input parameter i) Preheat fresh water 30 m3 -Average diary consumption: -Desire temperature: -Load profile: -Cold water temperature 70 oC Constant (6:00-19:00) 24 oC winter 29 oC summer ii)System components - Collector loop -Type: European standard panel 2 (FR(UL) 3.74 W/m .K, FR(IJĮ) 78.7 %) -DHW Standby Tank -Total surface area: 250 m2 -Inclination (avoid dust deposition on col): 25 o -Azimuth: 0o -TSol Database Volume: 2 x 5 m3 -Length for inside of building: 0m -Length for outside of building: 50 m -Heat loss/per meter 0.3 W/m.k -Pump and Piping: -Power of pump iii) Costs and economic factor - Investment cost Solar collector: 6,000 baht/m2 (whole sale package for a large system, some parts of collector cost are included in the installation cost) Installation: 329,000 baht Storage tank (existing one): 0 baht Interest rate: 5 %/yr Subsidy: 0 baht Life span: 20 yr - Operation and energy cost Price increase rate – running cost: 3% LPG: 15 baht/kg Heavy oil C: 15 baht/L Electricity: 4 baht/kWh 200 W Table 6.3 The simulation results obtaining from T-Sol program Simulation Results DHW Solar fraction System efficiency Solar contribution to DHW (annual) Heavy Fuel Oil 44 % 49 % 243 MWh Annual Fuel Savings 44 m3 Amortization period 3 years Summary The plant manager of the dairy factory is really interested and enthusiastic in applying a solar thermal system for fuel saving. A payback period of three years is highly appreciated in his opinion, but five years would be still acceptable. Since the solar collector system is expected to be a large one and operates at temperature levels up to 100°C, monitoring and accompanying research of this system is mandatory for at least three years. Manufacturers, planner and installer should give sufficient 72 warranties and support and may participate from the project results and experiences in order to raise their interest in a successful running project. 6.4 PATONG MERLIN HOTEL Patong Merlin Hotel is one of the 4 hotels in the Merlin Group comprisingof 3 hotels in Phuket and 1 hotel in Khaolak, Pang-nga, owned by a Thai family. Patong Merlin is a 34 star hotel of 386 rooms in 6 low-rise buildings. The hotel was first built in 1986, started with one building and completed its 6th building in 1992. Upon requirement of the hotel owner, the solar water heaters were incorporated during the architectural design of the hotel providing sufficient flat space on the south facing roof and easy access for maintenance. A summary of the solar hot water systems for each building are shown below in table 6.4. Table 6.4 Solar hot water systems in Patong Merlin hotel Building 1 2 3 4 5 6 Year 1986 1988 1990 1990 1991 1992 No. of rooms 80 56 72 56 32 93 Other function Kitchen, laundry Staff kitchen Kitchen No. of collector 65 60 72 42 18 60 Existing solar hot water system Due to availability of the data, only building#2 which have sufficient information is reviewed in this section. Solar Collector: Manufacturer: Lordan Country: Israel Type: Flat plate Efficiency: 67% Aperture area: 1.8 m2 / collector Year of Mfg: 1988 System Configuration 73 Figure 6.9 Patong Merlin Solar water heater system diagram Control system - Solar collector: circulation of water in the collector array is control by differential controller which set to start the circulation pump when temperature between hot and cold sensor is more than 9°C and stop when temperature difference is lower than 4°C. - Auxiliary electric heater: a temperature sensor is placed at half water level inside the storage tank. When water temperature drops below 50°C, the thermostat triggers the magnetic contactor to turn on the electric heater. - Circulation pump: the circulation pump is controlled by a thermostat which turns on the pump when water temperature in return pipe from the building is lower than 35°C. Status, overall appearance and problem occurred All of the solar collectors are in pretty good condition for an 18 year-old system, no glass cover broken although some collectors show sign of slightly corrosion. There are a few spot of water leakages from 2-3 pipe connections between collectors and pipe from tank to collector array. Pipe insulation (Aeroflex 1” wall x 1 1/8” diameter) is mostly still intact although condition of the insulation is pretty much degraded from years of heated under the tropical sun. Hot water pipes (between collectors and outlet pipe from collector to tank) are copper and cold water pipes are PVC. The overall condition of the system is serviceable and serving hot water all year round. Patong Merlin has a relatively good recording system for its water and energy consumption. Technicians take daily reading for water and electric meter of the solar system and recording of weather condition of the day. Below is plot of water measured at hot water storage tank outlet and electric consumption (pumps and auxiliary electric heater in solar system) in January 2006. 74 Electric and water consumption in January 2006 100 80 60 Water (m3) 40 Electric (kWh) 20 0 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 Day of month Figure 6.10 Electric and water consumption in January 2006 at Patong Merlin In figure 6.10, the weather conditions were recorded as cloudy during the days where the electric consumption is high (day 1-5, 6-13 and 23-25). On cloudy days, the electric demand for water heating was approximately 2-5 kWh per one cubic meter of water. On sunny days, electric consumption was average at 1-2 kWh per m3. This pattern of electric/water and weather provide us a primary assumption that the solar fraction of the system was approximately 80-90%. System analysis In order to analyze the solar system cost effectiveness, we use T-Sol software to simulate system performance using Phuket weather data. The annual simulation result in shown figure 6.11. Figure 6.11 T-Sol® analysis of solar system in building#2 of Patong Merlin hotel Results from simulation shows that the solar fraction is approximately 86% of hot water demand. Although during rainy season, solar water heater is less efficient but the hot 75 water demand also reduced from lower occupancy during those months resulting in relatively constant requirement for electric heater back up all year round. A summary of the simulation results is shown in table 2. The solar system had save electricity around 89,710 kWh/year and paid back its investment in the 6th year. Over 18 years of system operation, solar hot water has saved 1,195 Ton of CO2 emission. Table 6.5 Summary of Patong Merlin simulation results Results of annual simulation System yield Annual electricity consumption – pump Annual electricity saving Solar fraction System efficiency Economic analysis Investment cost Net present value Pay back period Cost of solar energy Environmental benefit GHG emission saving 76,254 kWh / year 6,867 kWh / year 89,710 kWh / year 85.9 % 37.0 % 960,000 Baht 2,337,545 Baht 6 years 0.9 Baht/kWh 66.37 Ton CO2 / year Summary The solar hot water system at Patong Merlin is an outstanding case of good installation and maintenance that keep the system in operation for over 18 years. The system has been a main supply for hot water demand for the hotel and paid back its investment in just 6 years. 76 7 POTENTIAL OF SOLAR WATER HEATER 7.1 POTENTIAL APPLICATIONS FOR SOLAR THERMAL TECHNOLOGY Since the Climax, the early generation of solar water heater, was patented and commercialized in 1891 by Clarance Kemp in the US, solar thermal technology has been improved by innovative design and development over the past 100 years. Nowadays, solar thermal systems are not only producing hot water for home usages, newer technology has allow solar thermal for variety of applications from simply hot shower to industrial steam generation and absorption cooling . Many hot water demand applications require temperature between 60-150°C which can be well served by reliable and cost effective solar thermal technology available at present days. Nowadays, there are more than 500 brands available worldwide, there are at least 15 solar companies in Thailand operating with either imported or locally made collectors. While imported collectors with a more advanced design and technology may have higher efficiency, costs of the collectors are higher as well. Type of solar collector should be selected in accordance with the desired working temperature and the climatic condition. Table 7.1 Potential applications for solar thermal energy Sectors Residential Commercial Applications 50 - 60 Kitchen 50 - 60 Laundry 60 - 70 Shower, bathing 50 – 60 Kitchen 50 - 80 Laundry and steam iron Industry Temperature level (°c) Shower, bathing 120 Food 60 – 150 Paper 90 – 180 Textile < 90 Automobile 35 – 220 Since its first commercial application for home water heating in the past century, solar water heater is still typically perceived as the technology for residential applications. Most energy policy makers, industry and end-users, particularly in Small and Medium Enterprises (SMEs) are not well aware of the potential of the solar thermal technologies particularly in the industrial sector. Industrial processes such as washing, drying and pre-heat feed water employ temperature at low-medium level. Industrial processes and their temperature level which are applicable for solar technology are shown in Table 7.2. 77 Table 7.2 Temperature of industrial heat processes Industry Brewing and Malting Milk industry Food preservation Processes Temperature level (°C) Wert boiling 100 Bottle washing 60 Cooling 90 Drying 60 Pasteurization 62 – 85 Sterilization 130 – 150 Sterilization 110 – 125 Pasteurization < 80 Cooking 70 – 98 Scalding 95 – 100 Breaching < 90 Beverage Bottle washing < 90 Textile industry Washing, bleaching and dying < 90 Automobile industry Degreasing Paper industry 35 – 55 Paint drying 160 - 220 Paper pulp: cooking 170 – 180 Boiler feed water Bleaching Drying Source: Solar Heat for Industrial Processes, POSHIP < 90 130 – 150 130 - 160 7.2 ENERGY SAVING POTENTIAL Solar Water Heater technology can cover a significant fraction of energy consumption in form of heat and electricity demand for hot water generation in residential, commercial and industrial sectors. These 3 sectors represented 56.8% of the TFEC (Total Final 9 Energy Consumption) in 2005 . Trend of energy consumption in Figure 7.1 shows slightly increase in the manufacturing sector over the year 2001-2005, while energy consumption in residential and commercial sector remain relatively constant. As Thailand is moving toward industrialization, energy consumption will unavoidably heighten in this sector. While energy conservation measures as well as technologies such as high efficiency machinery and cogeneration are being implemented for energy cost saving in the industry, solar thermal technology can potentially further lower fuel cost in heat generation. 9 Thailand Energy Situation 2005, Department of Alternative Energy Development and Efficiency 78 70,000 60,000 ktoe 50,000 Transportation 40,000 Commercial Residential 30,000 20,000 Manufacturing 10,000 Agriculture 0 2001 2002 2003 2004 2005 Figure 7.1 Trends of final energy consumption by economic sector (DEDE 2005) 7.2.1 Energy Demand for Heat Generation in Low-Medium Temperature Industrial Sector Thailand classifies energy consumption in industry into 9 sub-sectors. The sub-sectors that are identified as having potential for solar thermal applications are Food and Beverage, Textile, Paper, and Chemical. These 4 sub-sectors constitute 48% (10,964 ktoe) of the total energy consumption in industrial sector (22,641 ktoe) in 2005. ktoe 8000 7000 6000 5000 4000 3000 2000 1000 0 F d oo d an ge ra e v Be les xti e T d oo W d an re tu ni r fu r pe Pa i ca em h C ic al al al et et et m M m d te s ic nBa ic a No r b Fa l rs he ot Figure 7.2 Energy consumption in manufacturing sub-sector in 2005 (DEDE 2005) In order to capture the potential of solar thermal in the industrial sector, it is necessary to quantify the amount of heat demand in the processes. However, this is rather a complicated analysis. Energy demand for each industrial sub-sector is determined primarily by machinery equipment used for steam production, process heating, hour of operation, and annual production. Unfortunately, Thailand has not had a detail statistic of such valuable data that could be used to estimate potential energy saving in the industrial 79 heat process. This study conservatively estimated heat demand in the industry using only the data of petroleum products consumed in each sub-sector. Table 7.3 Fuel consumption of manufacturing sub-sector in 2005 (unit: ktoe) Sub-sector Food and beverage Textiles Paper Chemical Wood and Furniture Non-metallic Basic metal Fabricated metal Others Coal & ITS products Petroleum products Natural gas Electricit y Total New & Renew Energy Grand Total 28 43 444 809 728 344 195 481 84 8 469 794 655 176 790 1,634 1,050 815 2,549 4,719 197 6,353 1,050 815 2,746 5,173 162 46 267 339 1,089 - 128 596 548 174 7,125 1,049 18 448 - 192 7,573 1,049 96 6,755 156 1223 3,779 327 1,977 1,017 44 4,748 1,500 1,363 17,259 5,382 1,500 1,363 22,641 Among the 4 sub-sectors, food and beverage consumed highest amount of petroleum products which is also accounted for 44% of its non-renewable fuel consumption. Total petroleum products used in 4 sub-sectors is 1,748 ktoe. From DEDE data, the petroleum products cover LPG, gasoline, jet fuel, kerosene, diesel, and fuel oil. Fuel oil is most common used in the industrial hot water and steam generation. Recent studies in several countries show a general tendency that about 50% of the 10 industrial heat demand is located in the temperature range 60-250°C . Assuming 50% of fuel oil is used in generating heat at low-medium temperature, heat demand for the 4 industrial sub-sectors is estimated at 874 ktoe at this temperature level. Commercial Sector Potential uses of solar water heater in commercial sector are services requiring hot water such as hotels, hospitals, apartments, condominiums, restaurants, laundry services, schools, nurseries, sport clubs etc. Although, these sub-sectors are applicable for utilization of solar energy, only hotels and hospitals are identified as having the most potential for their continuous and large amount of hot water requiring for daily operation. The ownership of solar systems and energy bill responsibility are also a key factor to installing solar water heater. While hotels and hospitals responsible for their energy cost, most of apartments and condominiums in Thailand have individual electric meter for residences that are responsible for their electric bills. Therefore owner of these 10 Solar Heat for Industrial Processes, POSHIP 80 commercial buildings have less incentive in energy cost saving and installing of solar water heater. For hotels, the energy cost is estimated around 10-30% of the operating cost. The cost for hot water generation is estimated at 5-10% of the energy cost for the hotels using LPG boiler and 10-15% for hotels using electric heater. In 2004, there are 2,152 hotels in 9 most touristy provinces in Thailand. The average occupancy rate for these totaling 11 168,690 rooms is 52% . Hospital hot water demand is similar to hotels, with hot water in patient rooms, laundry and kitchen. In addition, hospitals may use hot water for sterilization of medical equipments. In 2002, there are 1,293 hospitals in Thailand with a total of 134,453 patient beds and 72% occupancy rate. Table 7.4 Daily hot water demand in commercial sector Commercial sub-sector Hotel Hospital Number Rooms % Occupancy 2,152 1,293 168,690 134,453 52 72 No. of room in use Total 87,719 96,806 184,525 Hot water demand (liter/day) 4,385,940 4,840,308 9,226,248 Table 7.4 shows a summary of room number of hotels and hospital and the estimated hot water demand in these two commercial sub-sectors at 9,226,248 liters/day. The annual energy demand for hot water generation is approximately 18.5 ktoe. Residential Sector Although the SolTherm-Thailand project mainly studied solar thermal market development for commercial and industrial sectors, we acknowledged that the main market of this technology in Thailand is still in the residential sector. Through our interviews with solar companies, the residential sector shares approximately 50-60% of their annual sales. Most of hot water usage in residential sector is produced by electric water heater. Although hot water is not a necessity for Thai households and mostly used by higher income families, the low price of the products has led market expansion in this comfort goods with annual sale at around 200,000 units in recent years. Many countries have noted that electric water heaters contribute to energy demand in certain times of the day. Some countries have initiated Demand Side Management (DSM) programs for electric water heaters. Figure 7.3 shows daily electricity peak demand in Thailand during 2000-2004. Electricity demand rise up in the morning and drop during lunch hours before peaking at around 14:00PM when air conditioners work at their full capacity to fight off the afternoon heat. The second peaks of the day are observed during 19:00-20:00PM 11 Thailand in Figures 11th Edition 2005-2006, Alpha Research Co., Ltd. 81 which are mostly demand from residential sector. Although other appliances such as televisions possibly had a role in this energy consumption, the electric water heaters which consume much higher wattage should be responsible for this second peak demand during early evening hours. Figure 7.3 Daily peak demand of electricity in 2000 – 2004 With annual sale at 200,000 electric heaters, there are approximately 1.5 millions of these heaters being used all over the country. Thailand has an average number of inhabitants at 3.4 per dwelling. Assuming each water heater is 4,500 Watt and operates 1.5 hour/day. The electric consumption is 3,695 GWh/year (314 ktoe). In 2005, total electric 12 consumption in residential sector was 25,613 GWh . Energy conservation programs in Thailand are mostly focus on air-conditioners and refrigerators. There should be an energy conservation program for electric water heater which estimated consumption is up to 14% of the total electricity in the residential sector and is a possible source of evening peak demand. Table 7.5 Energy demand in low-medium temperature Energy demand in low-medium temperature (ktoe) Sectors Residential 314 Commercial 18.5 Industrial 874 Total 1206.5 Table 7.5 Energy demand in low-medium temperature summarizes energy demand for heat generation in residential, commercial and industrial sectors. The total demand of the 12 Electric Power in Thailand 2005, DEDE 82 3 sectors is estimated at 1,206 ktoe per year, a 1.9% of the total final energy consumption in Thailand in 2005. 7.2.2 Potential of Solar Thermal Systems Although solar thermal can technically be used for heat generation at low-medium temperature, not all the heat demand can be replaced by solar energy. For example, solar thermal systems require a sufficient space for installation of solar collectors. There are also certain criteria for utilization of solar energy economically as described in chapter 5. Economic is the major factor for the penetration of solar water heater to this fossil fuel heat source application. The project’s market survey shows that a typical Thermosyphon (2 m2 collector and a 160 liter tank) cost is approximately 50,000 Baht including installation. Without financial incentive, return on investment of solar systems in Thailand is varying between 3-8 years depending on type of fuel replacement and other factors such as continuity of use. In general, return on investment is faster for replacing electricity. - Residential sector: 5-6 years for replacing electric heater Commercial sector: 3-5 years for replacing electric heater and 7-8 years for substituting LPG Industrial sector: 4-8 years for substituting fuel oil Pay back period influence customers’ decision in investing in the solar technology. In general, residential customers are deterred by the high first cost and not fully aware of the pay back time. Decision making for investing solar systems in commercial and industrial sectors is more complicated and may need consultations and authorization from several departments in the organizations. With longer pay back time and the complication mentioned, market penetration for industrial sector is assumed only 10%. Table 7.6 shows potential of energy saving in 3 sectors in replacing 3 sources of fuel. With our visits to hotels and hospitals, we estimated that 30% are using electric water heater and the rest of hotels and hospitals use LPG boilers. Assuming market penetration of solar water heater are 20% for residential, 20% for commercial and 10% for industrial sector, potential energy saving is 153.9 ktoe per year in replacing 743 GWh of electricity, 2.1 million kg of LPG and 92,856 liter of fuel oil which would require around 1,500,000 m2 of collector area. Table 7.6 Potential of solar water heater Sectors Residential Commercial Industrial Total Energy demand in low-medium temperature (ktoe) 314 18.5 874 1206.5 % penetrat ion 20 20 10 Potential of solar hot water (ktoe) Electric ity (GWh) LPG (kg) 62.8 3.7 87.4 153.9 730.36 12.91 2,158,333 743.27 2,158,333 Fuel oil (liter) 92,856,232 92,856,232 Collector area (m2) 608,637 22,872 847,052 1,478,561 83 7.3 MARKET POTENTIAL 7.3.1 Current market The current market of solar water heater in Thailand is still considered a niche market. Customers are mostly in the high income families, well educated and having energy and environmental concern. Although there is a huge market potential in the industrial sector, current market is still in the residential. Presently there are approximately 15-20 solar companies, increased from 3-5 companies during the economic crisis in 1997. However, less than 5 of the current active companies have enough experience and capable of designing and installing large solar systems. This limitation has made many solar companies aim their marketing to only residential sector while huge market in the industrial sector remains untapped. Residential Residential Commercial Commercial Industrial Industrial (a) (b) Figure 7.4 a. Potential market of SHW and b. Current market share The SolTherm-Thailand project had made a survey for annual sales from 5 solar companies whose make up majority of the market. The annual sell reportedly shows a 25% increase during the year 2005-2006. Extrapolating the annual sale to all of the active companies, we estimated that the selling of solar water heater was around 6,800 m2 in 2005 and 8,500 m2 in 2006. It should be noted that some of the companies are newly established and have just enter the market in 2006. 7.3.2 Market Growth Thailand has no direct financial incentive for solar water heaters. Recent fuel price escalation is the key factor to last year’s market growth. Energy and environment concern alone can not drive the market to a substantiate level, economic soundness and policy measures are required for market expansion. The selling of solar water heater is not only depends on oil price, it is also tied to the economic situation of the country. Although, solar water heater has a prospective of energy cost saving, pay back period is not attractive enough particularly during the economic downturn. Presently, Thailand is facing instability politic and economic situation. Many businesses started using conservative measures for any investment during this year. Selling of solar water heater in 2007 may not anticipate a 25% increase as in the year 2006. We estimate an averaged solar thermal market growth at 10% per year. 84 There are several policies support to stimulate the solar thermal market being implemented in many countries such as financial incentives, subsidy, grant for demonstration, regulation, and awareness campaign. Solar thermal market in Thailand, like some other countries, has suffered from bad reputation of the early installations. Many potential customers are not aware of the newer technology or do not have enough knowledge and information. The awareness campaign is the policy that requires less amount of government budget and has a widespread impact on the market while financial incentive policy can bring down the pay back period and make solar thermal system attractive to potential users. If we set a target of solar thermal installation at 1,500,000 m2 within 10 years, this would require a 40% growth rate of the market. Figure 7.5 shows market growth scenarios of solar thermal market for the current situation comparing with growth under policy support. 1) Current growth (no policy support), 10% 2) Awareness campaign, 20% 3) Financial incentives + Awareness Campaign, 35% 4) Target, 40% m2 Market Growth 20 06 20 07 20 08 20 09 20 10 20 11 20 12 20 13 20 14 20 15 20 16 2,000,000 1,800,000 1,600,000 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 200,000 0 Current 10% AC 20% AC+FI 35% Target 40% year Figure 7.5 SHW market growth scenarios If Thailand implements an awareness campaign policy continuously, solar thermal market would reach 400,000 m2 in the next 10 years. However, in order to achieve the target at 1,500,000 m2, a stronger policy support such as financial incentive in combination of awareness campaign is needed. 85 7.4 CARBON EMISSION REDUCTION POTENTIAL While solar thermal can potentially displace the need for other heating fuels and contribute to the global climate protection, the technology is often overlook for its simplicity and considered as low technology. These have underlying its benefit for local economic in developing countries. Solar thermal collectors can be manufactured without highly sophisticated or expensive manufacturing technology and use materials that are locally available in many developing countries. Today, while millions of dollars are being spent in research and development of sophisticated alternative energy technologies globally, solar water heater – one of the simplest and oldest renewable technology has just being acknowledge for its cost effectively carbon emission reduction. The European Union, in realize of this huge potential, has succeed its target of installing 15 million m2 of solar collector in 2003 and 13 is now setting a new target to complete 100 million m2 by 2010 . In comparison to solar photovoltaic technology which has recently receiving promotion from the Thai government, solar thermal technology investment cost is much lower for the equivalent production of energy. For a typical home used SWH, a Thermosyphon with 2 m2 of solar collector and 160 liter water storage tank, SHW produced approximately 1.44 MWh per year. To produce the same amount of energy, it would require a Photovoltaic system at a size of 790 Watt. Assuming both systems lifetime are 25 years, investment cost for reducing 1 ton of carbon emission for SHW is 6,882 Baht while the PV system would require 22,735 Baht. Thus SHW can effectively reduce carbon emission at a cost 3 times lower than PV technology. Table 7.7 A comparison of investment cost and carbon emission avoided Technology System Size Solar thermal Solar PV 2 m2 - 160 liter 790 W Annual Energy production (MWh) CO2 (ton/year) CO2 (tonlifetime) First cost (Baht) 1.44 1.44 0.31968 0.31968 7.992 7.992 58,000 181,700 Baht/ton 7,257 22,735 The carbon emission avoided depends on the type of fuel source that would be used in heating water. For residential sector, electricity is the most common use for water heating. Thailand electricity has considerably lower emission as compare to countries where electricity is produced by oil and coal. In 2005, 72.3% of electricity in Thailand is produced by natural gas. However, in industrial sector where steam boilers are using heavy fuel oil, the carbon emission can significantly be diminished by replacing fuel oil with solar thermal energy. With the economical potential of 153.9 ktoe in replacing electricity, LPG and fuel oil, Thailand can avoid 458,772 ton of CO2 per year, a 0.25% of total carbon emission of the country in 2005. 13 Sun in Action II – A Solar Thermal Strategy for Europe, ESTIF 86 Table 7.8 Potential of carbon emission reduction from using solar thermal energy Sectors Residential Commercial Industrial Total Potential of solar hot water (ktoe) 62.8 3.7 87.4 153.9 Electricity (GWh) LPG (kg) 730.36 12.91 2,158,333 743.27 2,158,333 Fuel oil (liter) 92,856,232 92,856,232 CO2 emission avoided (Ton/year) 162,141 9,705 286,926 458,772 Carbon trading has become a promising financial opportunity for many renewable energy projects. Although, Thailand has not yet adopted the Clean Development Mechanism (CDM), this mechanism may be come eligible in the near future that will potentially increase system affordability. At the present price of 5 dollars per ton of CO2, the solar hot water would generate CER revenue approximately 80 million baht per year. 87 8 POLICY AND FRAMEWORK 8.1 INTERNATIONAL EXPERIENCES The policy in the European countries is forced by the common European goals in saving primary energy and thus on the development of renewable energies. One of the goals of the European Commission, expressed in the ‘White Paper’ 10 years ago, is to reach 100 million m² of installed solar thermal collectors by 2010. The European goals have directly influenced the past and current European Framework programmes for funding of research and demonstration projects in the field of renewable energy application. Other driving sources for national policies are to meet the obligations of the Kyotoprotocol or of the results from the recent European Council meeting, to increase the share of renewable energies in primary energy consumption in the European countries to 20% until 202014. To achieve the objectives, it is essential, to develop mechanisms for a broad market dissemination of solar thermal systems. Mainly, this is done by implementing funding schemes or implementing building codes with the obligation, using renewable energy sources, or a combination of both. The transmission of the targets into the policy of the member countries is done with different instruments and with different intensity, thus leading to different growth rates of e.g. solar thermal installations. The success of the measures, expressed in installed capacity and on the national shares on the installed capacities, is visualized in the Figures 8.1 to 8.3, all extracted from the ESTIF15 home. ESTIF has also promoted a Solar Thermal Action Plan for Europe, outlining different targets and measures for the growth of solar thermal applications in Europe until 202016. Examples of strategies in European countries17 I Greece Still, Greece shows one of the strongest market developments of solar thermal systems. Nearly all installed systems are simple thermo-syphon systems (average size: 2.4 m² collector area and 150 l storage size). In between, approx. 25% of the households dispose of a solar hot water system, thus covering 80% to 90% of the hot water demand by solar energy. 14 Press release of the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety of March 09,2007, www.bmu.de/english/aktuell/4152.php 15 16 17 ESTIF: European Solar Thermal Industry Federation, www.estif.org Solar Thermal Action Plan for Europe, www.estif.org/281.0.html Details of funding policies in European countries are taken e.g. from the study ‘Internationale Erfahrungen mit der Förderung von Solarkollektoren zur Warmwasserbereitung auf Haushaltsebene’, prepared on behalf of German Society for technical co-operation (GTZ), June 2006. Download from www.gtz.de/de/praxis/12538.htm 88 One of the most important measures, which led to the impressive market growth, were tax reduction programmes for an indirect subsidy for private households in case of the implementation of a solar hot water system. The effective funding of the system due to this measure was estimated in the range of 30% to 40% of the system investment cost. These tax incentives started in 1978 and lasted – with an interruption of a few years – until the end of 2002. The transaction of the programme was simple, although the disadvantage was that the households had first to pre-finance the systems by 100%, before the reimbursement was effective. The programme was accompanied by an intensive information campaign, organised by the Greek solar industry, including also the dissemination of TV spots. For a more effective marketing, also a co-operation with a large utility was started. In between, national quality standards have been established and most of the products seem to correspond to the standards, although they have more the character of recommendations. Due to an originally lack of qualified installation personnel, large solar thermal companies have established own installation and maintenance services. Although after the ends of the tax incentive programme no further public funding is currently available, the growth seems to have stabilized (annual growth in 2004: still 34%). In this context, the Greek market may be described in between as selfsupporting. II Germany One of the German goals in environmental policy is the increase of the share of renewable energies on the total primary energy demand to 4.2% by 2010 (50% by 2050). Dominating solar thermal technology in Germany are closed forced loop solar thermal systems with 4 to 6 m² collector area and a buffer storage of 300 l, but more complex designed systems allowing space heating support have a rising market share. Although the utilization of solar thermal installations started after 1973, regular funding schemes have been established first in 1995. The main important instrument currently is a market stimulation programme, which awards direct investment grants for small private solar thermal systems. The funding directives have been modified for several times, causing casually a strong fluctuation in the number of requested funds. Since 2007, the new conditions (with decreased funding rates) for funding of systems with a collector area < 40 m² are as follows: - the apply for funds has to be done after the installation of the system; the readyto-operate status has to be proved (apply for funds at least 6 month after the installation); - for systems with domestic hot water preparation, the investment grant is 40 ¼ per m² gross collector area; 89 - for systems with additional heating support, for process heat or for solar thermal cooling application, the investment grant is 70 ¼ per m² gross collector area; - new solar thermal collectors, being tested and approved in 2007, have to be labeled with the Solar Keymark, to be accepted for funding. Other collectors have to be certified according to EN12975 Standard. For systems with collector areas > 40 m², or for innovative systems applying new components or concepts, increased subsidies are possible and generally awarded in terms of a perceptual grant to the solar system investment cost (e.g., 30%). Furthermore, investment grants may be given for large pilot and demonstration plants within the funding programme SolarThermie2000plus for systems with collector areas above 100 m² and for specified applications (solar heating support, process heat, district heat support, solar cooling). The financial support is given here in a range between 30% and 50% of the solar system investment cost. Beside the requirements on the quality of the collector (according to EN 12975 or Solar Keymark), no further requirements on the planning and installation exist. Nevertheless, the system quality is high in between due to in general well trained installers. Beside some ‘normal’ information activities (information at the web sites of the funding agencies, ministries, etc.), the information on the funding possibilities is mainly spread by the installation and planning companies. The successes of the participation on the funding programmes are moreover due to a comparatively high public awareness on the use of environmentally friendly technologies. Additionally, existing strong non-governmental organisations play an important role in the dissemination of funding possibilities. The system standard in Germany is high for different reasons: danger of freezing, anti-legion Ella regulations required high system efficiency and large systems due to comparatively low radiation amounts, etc. This leads in the sum to comparatively high system cost of still approx. 700 ¼ per m² collector area, although the costs are slowly decreasing. For this reason, the market in Germany is not as self-supporting as the Greek market is still sensitive to funding programmes. III France Renewable energy (with the exception of hydro power) was for long years an unattended energy source in France. A reason for this fact is the still very strong nuclear power industry in France. The situation changed some years ago with the installation of national funding schemes, which includes also mechanisms for funding of solar thermal systems. The most important funding mechanism is the ‘Plan Soleil’, which started in 2000 and runs until at least 2008. The plan comprises funding for private solar thermal domestic hot water preparation and for large solar thermal installations at apartment buildings, hospitals, hotels, etc. The intention is to increase the annual growth rate to 200,000 m² by 2010, leading to a cumulated collector area of 1,000,000 m² by 90 2010. The funding programme is co-coordinated by ADEME, the French Environment and Energy Management Agency. The funding scheme of Plan Soleil was modified in the last years. In the first years of the Plan, a flat rate of total 900 ¼ was given for solar domestic hot water systems. Since 2003, the funding was connected to the size of the systems: a flat rate of 690 ¼ for systems up to 3 m² collector size, 920 ¼ for systems between 3 m² and 5 m², and 1150 ¼ for systems between 5 m² and 7 m² collector area. Since 2005, the subsidy was modified from direct grants to indirect subsidies in terms of tax reduction. The funding scheme is mainly oriented on the funding of systems for private households, but Plan Soleil also includes funding measures for public and commercial applications (with reduced subsidies). Information campaigns to disseminate the programme were mainly organized by ADEME in terms of advertisement activities in papers and TV, but also national manufacturers share in the campaigns. In comparison to the programmes in other European countries, a remarkable focus in France was directed to quality assurance measures. The funded systems are allowed to be installed by installers only, who participated a special solar thermal qualification programme ‘Qualisol’, a central component of the ADEME dissemination strategy. It is reported that by the end of 2005, more than 9000 installers were already qualified. Additionally, only collectors certified by the national test institute CSTB (Scientific and Technical Centre for Building), are accepted for funding. The certification is done on base of the European Standards and on additional national requirements. Although the share of the French solar thermal market on the total European market is currently small, the growth rate is very high (more than 100% annually) and the market development is promising since the introduction of the funding schemes. The average system size of a solar domestic hot water system is approx. 4.5 m² collector area with a storage size of 250 l, normally installed as closed forced systems. The experience with the qualification measures seems to be very positive as well and broad frustration due to low-quality installations could be avoided. Consequently, the French approach may be exemplary for countries with low general planning and installation experience in solar thermal systems. IV Spain Until the year 2000, solar thermal systems were nearly not installed in Spain. National goals, formulated in 2000, to have at least 12% of the total consumed energy by 2010 provided by renewable energies, has brought considerable movement in the development of all kinds of renewable energy sources. Concerning solar thermal energy, the national target is to achieve in 2010 a cumulated solar thermal collector area of 4,900,000 m². 91 Of large importance in the development of the solar thermal market were municipal policy laws and obligations for the construction of new buildings, to install solar thermal systems for domestic hot water preparation with a defined coverage rate of the hot water. Those installation obligations were created first in Barcelona (in force since 2000) as a first obligation of this type in Europe. In Barcelona, the target is to have with this measure 90,000 m² of solar thermal collector area installed by 2010. The energy demand for domestic hot water preparation in new buildings has to be covered to at least 60% by solar thermal (for buildings with a daily hot water consumption above 2000 l, thus apartment buildings, etc.). Additional obligations exist for commercial buildings and other applications (e.g., heat demand for swimming pools has to be covered to 100% by solar thermal). As a consequence, approx. 40% of new buildings are equipped with a solar hot water system. The applied collectors have to be certified, installers have to prove their installer qualification. Due to the obligation, the installed collector area in Barcelona increased from 1.1 m² per 1000 capita in 2000 to 16.4 m² per 1000 capita in 2004. The Barcelona model was copied by other cities, like Madrid and Sevilla. Since the end of 2006, the new Technical Building Code CTE includes similar obligations on the installation of solar thermal systems at new buildings, now valid on a national level for whole Spain. The solar thermal obligations in the new CTE require coverage of domestic hot water demand by solar thermal hot water production in the range between 30%-70%, depending on the hot water demand and on the position of the building18. It is interesting that the regional and national obligations for solar thermal in Spain are not connected to any funding scheme. In between, the neighbour country Portugal has brought a new building code with similar solar thermal obligations into force as well. The set-up of solar thermal obligations in countries with only little existing infrastructure in manufactures, knowledge distribution to the users, solar system knowledge of planners and installers, and only small solar thermal organizations, active in the promotion of solar thermal application, may conflict with the quality of the installed systems. Many of the building owners never had the intention before, to install a solar thermal system, but now they are obliged, without being convinced on the benefits of a solar thermal system. Consequently, the impulse to install lowest-cost systems only is high. If an obligation programme does not include well balanced quality assurance measures, improvements in the system quality are small and not necessarily connected to the increased number of systems. Thus, a certain risk of broad frustration with solar thermal systems exists. The near future will show the experience with the Spanish model. However, a long-term positive effect 18 More details on the CTE in Spain may be found ant www.estif.org/262.0.html 92 of solar thermal obligations is observed in Israel, where a solar obligation is in force since 1980, accompanied with strong quality assurance measures. In between, this policy has brought Israel to the world leader in solar thermal usage. Although the saturation is theoretically nearly reached, the market is still high due to retrofitting and replacement of old systems. Figure 8.1 Solar thermal market in Europe: Cumulated capacity in operation (red line, right axis) and annual growth (white line, left axis). In 2005, the cumulated capacity in operation was approx. 11000 MWth, with a growth in 2005 of approx. 1500 MWth. Source: ESTIF. 93 Figure 8.2 Share of the annual growth in 2005 (approx. 1500 MWth) by country. Source: ESTIF. Figure 8.3 Share of the cumulated capacity in operation in 2005 by country and per 1000 capita. Source: ESTIF. 94 Israel Greece Austria Germany China Spain Italy France Belgium England Finland Thailand Note: I = Industrial R = Residential x x (I) x x x x x x x x x x x x x x x x x x x (R) X (R) x x x x x x x x x x Awareness Campaign R&D Regulation Quality Assurance Financial Incentive Subsidy Grant demonstration Collector area/ head 2 (m / 1000 capita) Country Table 8.1 Summary of policy measures for SHW implemented in several countries. x x x x x x x 8.2 POLICY MEASURES TO ACCELERATE THE MARKET GROWTH OF SOLAR THERMAL APPLICATIONS Like many other renewable energy technologies, solar thermal is still not widely adopted that make the cost of technology relatively high as compare to conventional technology. In order to stimulate the market growth, commitments are needed at the national or to the global level. The Kyoto Protocol is one example of the global commitment for greenhouse gas reduction that has triggered renewable energy policy in many countries. Commitments should be set as a practical target goal that can be achieved within a certain time frame. The European Commission’s target of 15 million m2 installed by 2003 has been reached with its Campaign for Take-Off. The new target is now set at an ambitious goal of 100 million m2 installed by 2010. With the economic potential of solar thermal applications in Thailand as analyzed in chapter 7, a target at 1.5 m2 million within 10 years will require 40% of the market growth. This target may be ambitious, however, achievable based on the European experience that the market volume was doubled by the results of strong political support and continuous effort of the industry. 95 The policy measures that have been effectively utilized to stimulate solar thermal market in European countries and worldwide are given below: Policy measures Description Financial incentives can be Financial - Subsidy incentives - Rebate program - Tax incentives (i.e. tax credit, tax exemption) - Soft loan These schemes can help bring down the high investment cost that has been the major barrier. Among these incentives, subsidy scheme tends to have most impact on customers’ decision. Greece’s success installation of solar thermal exemplifies the influence of subsidy in bringing renewable technology to public acceptance. Tax incentives require more paper work and time from customers. In the US, the states of Oregon and California have tax credit and tax rebate programs for solar thermal systems. The programs have helped increase the market volume, however, not as high as the subsidy. Laws or regulation that require or enforce installation of solar thermal Regulations systems, from international experiences, are only applied to residential sector. Israel’s building code requires that residential building higher than 27 meter have solar thermal for its hot water supply. Some other countries and cities may require solar thermal for new buildings. This mandatory measure can effectively increase the installation, however, may not applicable for Thailand. Quality assurance can be tied to financial incentives and other Quality measures to prevent feud in subsidy scheme and help market growth assurance with assurance that systems will function and perform through their life time. Quality assurance can be voluntary and mandatory. - Capacity training and qualification of manufacturers, planners and installers; - Service and warranty on component and installation level; - Evaluation of monitored systems, evaluation of funding programmes - Agreement on Standards of solar thermal components; - Establishment of approved national test centers for the certification of solar thermal system components; - Responsibility of a national certification body for the approval of national test centers; Demonstration programs are mostly used for technologies that are Demonstration new or not well known in the market. The measure often provide grant to demonstrate use of the technology. R&D is available in many countries through national research grant. Research and Most research in solar thermal technology aims at improving quality Development and efficiency of products. (R&D) Awareness campaigns mainly addressed to the end-user. Beside all Awareness 96 campaigns other measures of awareness campaign, clear contacts should be established (hot lines, web pages, etc.) to provide actual information on funding schemes, conditions, and quality measures. Below outline some experiences in Thailand and other countries for each policy measure. 8.2.1 National commitments As a backbone for any national effort to increase the solar thermal market, national compulsory targets on the use of renewable energies should be defined. Department of Alternative Energy Development and Efficiency (DEDE) has responsibility for energy efficiency promotion, energy conservation regulation, energy sources provision, alternative development of integrated energy uses, energy technology dissemination in systematic and continuous proceeding to adequately respond the demand from every sector at optimal costs beneficial to the country development and the people better living standard. For the renewable energy DEDE supports solar energy, wind energy, Biomass energy, water energy, and hydrogen energy. Unfortunately they focused on the solar PV which refers to DEDE solar energy system 8 projects are the solar PV. In many European countries, such compulsory targets have turned out as a driving source to install funding schemes for renewable energy applications, independent of the fact that some of the targets seem to be too ambitious from the traditional energy sectors point of view. 8.2.2 Quality assurance Before launching broad funding schemes for the market stimulation of solar thermal systems, quality assurance measures have to be elaborated. Different levels are addressed: - Standards and certification Here, the ‘players’ are to be identified (national certification body, test institutes) and national test standards for collectors and systems have to be defined. National manufacturers should be involved into this identification process. It is essential for a reliable operation of a test center that a more continuous flow of component testing can be expected. This enables the test center, to recognize and to assess the quality of the products, applied in the installed systems and available on the market. Imported components should fulfill the defined Standards as well. To elaborate test centers and Standards, a broad understanding of the involved partners on the required Standards and on the number and distribution of test centers is required. The role of an approved test center is briefly shown in Figure 8.4. 97 End-user End-user Nat ional f unding programmes, law s, ... Accept ed f or applicat ion cert if icat ion & labelling Solar SolarThermal Thermal Indust Industry ry inspect ion product Independent Independent Test Test Cent Centre re Nat National ional Cert Certifificat ication ion Body Body St andards and Test Condit ions Figure 8.4 The independent Test Centre plays a central role in the quality chain of solar thermal installations. - Quality conditions of a funding scheme A funding scheme should be connected with quality measures. Usually, grants are given to systems where certified collectors according to the national valid Standards are applied. Additionally, as in the French funding schemes, it seems necessary to link grants only to systems, installed by special certified installers. Thus, a further pre-condition for launching a funding programme is the definition and execution of training courses for installers. These trainings may be defined and executed by the standardization and certification group and the involved local manufacturers. Generic system schemes should be elaborated for the funded systems in order to obtain a minimum level of system quality. This may be also a task of the established test centers or of the connected research facilities in close collaboration with the manufacturers. A funding programme should additionally include evaluation measures, applied after a defined running period. A certain set of parameters, allowing the assessment of the success of such a programme, may be determined. These measures range from simple energy demand assessments (water and electricity or auxiliary energy bills before the installation and in the first years after the installation) to inspection and service reports, assessment on the users satisfaction with the system, to more advanced energy supply assessments carried out in a number of selected monitored systems (equipped with energy meters, etc.). 98 - Installers of solar thermal systems should be obliged to give warranty and to offer service contracts. Moreover, a clear operation handbook should be provided to the user / operator. For large systems, a commissioning phase should be launched after the installation of the system. The contract should contain guaranteed yields for the system, depending on the annual radiation sum only. 8.2.3 Financial incentives National funding programmes seem to be an adequate measure, to combine both, market growth and a certain quality level of the installation together with accompanying quality assurance measures. Which funding scheme is preferred, depends strongly on national customs. For small private solar home systems, a funding scheme according to the former French model of a flat rate, i.e., a fixed investment grant per system may be an adequate simple model, which avoids the barrier of a pre-financing of the system for low-income users. For larger systems, funding schemes related to the type or size may be more appropriate, either given as specific direct investment grant or as indirect grants through tax reduction. It is also conceivable, to connect the funding with a certain support of local manufacturers, such as small, well-balanced higher grants for national products. Moreover, funding schemes should be connected with some kind of evaluation of the funding programme after some years, in order to assess the achieved quality of the installations, the environmental benefits, the market development and the market position of local manufacturers. According to the results of the evaluation, the funding scheme may be extended for another period and / or modified, to direct the outcome of the programme towards the originally defined goals. Funding scheme periods should not be defined too short. A funding programme running only for two or three years will not really mobilize the manufacturers to do strategic investments on solar thermal. Moreover, the confidence of the user into such a programme is smaller, as it appears with a short running time not as an important policy measure. An appropriate running period of a funding programme may be e.g. approx. five years, with the option of extension after a positive evaluation. Recommendations on funding schemes: - Small sized thermo-syphon systems, using system components, certified by the national test facilities. An investment grant is given as a flat rate. Programme duration: 5 years, followed by an evaluation process and with the possibility of programmed extension. At least 5000 systems should be funded within the first five years. - Medium sized forced solar hot water systems (< 20 m² collector area) for apartment buildings, etc. An investment grant is given as a flat rate for two different sizes of the system. Programme duration: 5 years, followed by an evaluation process and with the possibility of programme extension. At least 500 systems should be funded within the first five years. 99 - Large size forced solar hot water systems (> 20 m² collector area) for apartment buildings and for commercial applications. Investment grants are related to the size of the system, either as direct grant or indirect through tax reductions. Programme duration: 5 years, followed by an evaluation process and with the possibility of programme extension. At least 100 systems should be funded within the first five years. 8.2.4 Regulations This instrument has to be considered with care. In the context with the general installation quality of solar thermal plants as observed during the site visits, a compulsory installation of solar thermal systems at new buildings may be too early with respect to the limited knowledge distribution in Thailand. The risk of a large scale distribution of nonoptimized systems, or, even more critical, of not properly working systems is high. Thus, if desired, obligations on solar thermal system installations may be restricted to certain types of new or renewed buildings, such as hospitals or public buildings. 8.2.5 Awareness campaign It is important, to accompany the programs with awareness campaigns, mainly addressed to the end-user. At least, they have to obtain a certain level of understanding and of the benefits of a solar hot water system. Central information sources are to be established, such as well-maintained web pages, providing actual details on solar system technology and on funding possibilities. A hot line or similar contact possibility should be accessible to users, in case their system installer is no longer on the market available. Additionally, general information and training units may be established for architects, consultancies, planners and installers, but also for policy makers, focusing on the potential of solar thermal systems, general applications and technology. 8.2.6 Demonstration programmes A separate demonstration programme is valuable, to assist the market development of solar thermal systems. More focusing on large scale systems, different technical approaches may be demonstrated here, such as large commercial hot water preparation for hotels and hospitals, or solar thermal process heat supply for industrial applications. Other technologies may be demonstrated as well, such as solar cooling, etc. The systems should be implemented into a running commercial application in order to demonstrate their full applicability. Latest system technology should be applied here with focus on optimized system control for high solar energy gains and on high system reliability. A transfer of the system results to industry and target user groups should be mandatory. Again, a central web page for the dissemination of the programme status and of the results is important. Recommendations on funding schemes: 100 Within programme duration of five years, 25 high quality systems should be installed to demonstrate the solar thermal use in the different application sectors. 8.2.7 R&D Parallel R&D activities should be funded on base of qualified proposals. The objective is to encourage Thai research groups and companies to share on the development and improvement of solar thermal concepts, system components and control equipment. Components and strategies developed here may be demonstrated within the demonstration programme. The above mentioned measures are necessary, to reach a critical mass in the solar thermal market for a self-perpetuating growth, as it is shown in Figure 8.5, again extracted from ESTIF’s Solar Thermal Action Plan for Europe. Figure 8.5 Self-perpetuationg positive and negative market development. Source: ESTIF. 8.3 RECOMMENDED POLICY AND FRAMEWORK Based on international experiences and current situation of solar thermal in Thailand, 4 policy measures are recommended to stimulate the market growth: quality assurance, financial incentives, awareness campaign and demonstration. These measures should be implemented simultaneously particularly the quality assurance measure that should be implemented along with other measures. 101 Quality assurance addresses to the most important and urgent issue of solar thermal in Thailand. It is the starting point to build a firm foundation for a sustainable market growth. National standards and test center may require a high level of commitment from the government. Measures that can have immediate and direct respond to the needs of the industry are capacity training and qualification of manufacturers, planners and installers. Therefore, capacity building is recommended for Thailand’s first step to quality assurance. However, this also requires a monitoring and evaluation scheme to verify the effectiveness of measures. Trainees are needed to be tested before they can become certified planners or installers and the solar systems that are design and installed by the certified installers should be monitored and checked. Financial incentives such as subsidy and tax credit can stimulate the market growth particularly during the early stage. Thailand has some form of subsidy in the past, however, only to a limited number of systems and in a short period of time. Without national awareness campaign, the subsidy program had only a small impact on solar thermal market in Thailand. This incentives measure is recommended for Thailand only in combination with quality assurance to ensure that only quality systems are installed. Awareness campaign and demonstration programs are measure that address barriers from the customer side. Based on our interview, many of potential customers are not aware of the technology. Some can not differentiate the two solar technologies; solar Photovoltaic and solar thermal. Awareness campaign is recommended not only to raise the awareness of technological potential; it can address the quality issue by providing customers with un-bias guidelines for a selection of quality suppliers. 102 Table 8.2 Recommended policy measures for sustainable development of solar thermal in Thailand Policy measures 1. Quality assurance 2. Financial incentives Barriers Technical Nontechnical 3. Awareness campaign Nontechnical 4. Demonstration Nontechnical Addressed problems - Substandard quality of materials Measures / Schemes - Training for manufacturers - Improper design and sizing - Quality of installation - Lack of maintenance - Training for system designers - Training for installers - Training for users - High investment cost - Long pay back period - Subsidy for investment cost. - Unaware of cost effective energy saving potential – Misconception of the technology - Unaware of technological potential - Tax incentives i.e. credit for income tax, corporate tax - Tax exemption i.e. import duty, VAT - Awareness campaign through advertisements and other media. - Demonstrations of solar hot water systems in different applications Monitoring and evaluation - National standards and testing for system components - Certified system planner - Certified installers - Monitoring of system performance - Monitoring of market growth rate - Monitoring of market growth rate - Monitoring of market growth rate - Poll and questionnaire - Poll and questionnaire 103 9 CONCLUSION The SolTherm-Thailand project with objectives to analyze and to understand the current situation of the solar water heater market in Thailand and factors that curtail large scale replications of Solar Water Heating (SWH) applications particularly in the commercial and industrial sector was successfully implemented by JGSEE, IIEC and ISE from April 2006 to March 2007. Reviews and assessments undertaken by the project activities during the course of project implementation produce valuable findings and results necessary to development of the Solar Thermal market in Thailand. Although each section of the report as well as the Executive Summary already outline findings and results of the project activities, this conclusion section provide an additional summary of key findings and recommendations necessary to improve the situation for the application of solar water heaters in Thailand and to lead to a steadily sustainable future growth. The following main conclusions are drawn and listed based on priority of implementation to overcome the current market situation: 1. Quality improvement in planning, installation and maintenance for solar water systems are urgently required to improve image, reliability and economics of the systems. 2. Introduction of standards and their application needs to be made mandatory to ensure quality of the systems installed. 3. Public awareness campaigns are necessary to inform public about benefits 4. Selected demonstration activities that verify savings and usefulness of solar thermal systems need to be carried out to improve image and confirm pay back periods. 5. A long term financial support scheme, either through tax credits, investment subsidies or other tools shall be introduced to accelerate the market growth and to support a decreasing specific installation costs that are currently hampering the wider application of solar thermal systems in Thailand. 6. Finally a political signal of long term commitment to support and to develop the solar thermal market is necessary to encourage more companies to enter into the market. 104 APPENDIX A. TRIP REPORTS SITE VISIT SUMMARY IN CHIANG MAI DURING 31/08/06 - 01/09/06 CHAING MAI GATE HOTEL http://www.chiangmai-online.com/cmgate/ Specification of the SHWs - Collector brand: no brand - No of collectors: 54 panels - Auxiliary heat: electric heater - Energy consumption monitoring: watt-hour meter (Fig.8) - For washing or other purpose: they used LPG (Figs.13 and14) Problems found - The sheet metal of storage tank corroded. - Installation the system was not correct. - The insulation on pipes and storage tanks came off. - The pipes rusted. - Condensation on the inner cover of the collector as a result of leakage of water into the collector. - No exact record data of energy consumption on producinghot water even if there is a watt-hour meter - No expertise technician in charge of the SHWs TARIN HOTEL http://www.asiatravel.com/thailand/tarin/index.html Specification of the SHWs - Collector brand : Solahart - Auxiliary heat: LPG-boiler - No. of collectors: 54 panels Problems found - The cover glasses of some panels broke. - The insulation wrapped up the pipes came off. - The inlet water pipe of collector was bended. - Hot water was leaking from the fittings. - No expertise technician in charge of the SHWs CHAING MAI UNIVERSITY Dr. Pitchaya kindly informed to SolTherm team about the possibility of using SHWs in food process and the market of solar collector in Chaing Mai as follows. In food science, hot water is used in the parboiling process (65-80 oC) in order to restrain the enzyme. In addition to use of hot water in drying process (60-70 oC), it is also used in producing of cider (100 oC). Canned food industry should have a good potential to use SHWs. 105 In Chaing Mai, evacuated tube solar collector made in China is now sold in the supermarket. The price per set for 20 tubes with a capacity of 165 liter is 39,000 baht (vat included) and for 24 tubes with a capacity of 200 liter is 49,000 baht. Prof. Dr. Tanongkiat Kiatsiriroat presented his research works on the solar thermal systems to SolTherm team. There is a test rig of testing the performance of solar collector at his laboratory. The test is performed according to ASHRAE standard. VISIT SUPPLIER: SUNPOWER-ASIA COMPANY http://www.sunpower-asia.com Mr. Eithan Frankental the company owner expressed his kindness in welcoming SolTherm team. The company specializes in selling and marketing in SHWs. Almost all the components are imported from Israel. Sunpower designs the system according to customer demand using monogram in couple with the product manual. From his experience, he comments on the problems of market development of SHWs as follows. - Some users do not understand how the SHWs works - Some manufacturers in Thailand lack of knowledge in installing the system - After service is necessary for this business. - Image of SHWs in the last decade was bad because the system failed. - Tax between SHWs and PV is different. SITE VISIT SUMMARY IN BANGKOK NAKORN PRATHOM NAKORN RATCHASIMA AND SARA BURI DURING 02/10/06 - 04/02/06 MONDAY, 2 OCTOBER x Dusit Thani Hotel, Bangkok Visit: SWH system x Saint Louis Hospital Visit: SWH system TUESDAY, 3 OCTOBER x River Hotel, Nakorn Prathom SWH system x Whale Hotel, Nakorn Prathom SWH system WEDNESDAY, 4 OCTOBER x University Nakorn Ratchasima Visit: SWH system x NEP, Nakorn Ratchasima; Jute Factory Visit: SWH system x Thai Danish Dairy Farm and Training Centre, Muak Lek, Sara Buri Discussion on solar thermal process heat support 106 SOLAR WATER HEATING SYSTEM AT DUSIT THANI HOTEL, BANGKOK In operation Since May 2006 Purpose of hot water preparation Supply of hot water to 240 hotel rooms (showers, taps). The average occupation of the rooms is approx. 80% Water consumption related to a temperature level of 60°C was estimated in the planning phase to 12000 liter/day Collector system Flat-Plate; type: HTU-SA from ARCON Solvarme, Denmark (imported) Glass cover (structurised for reflection supressing) 150 m² collector gross area, divided into 12 large area modules, arranged in four rows Specifications: - Aluminium absorber with selective coating / copper pipes - Rear side insulation: 75 mm mineral wool - Collector dimensions: 2.27 x 5.96 x 0.14 m per unit (12.5 m²) Ventilation hole South oriented with a tilt angle estimated to 25° No serious shading System configuration Primary collector circuit designed as closed loop; heat is transferred via a heat exchanger to the storage circuit The collector circuit is equipped with a heat sink loop to avoid stagnation temperature (ventilation unit with heat rejection to ambient air). Currently, the heat sink is in operation if the storage temperature exceeds 60°C and solar heat is still available Two hot water storages of 5 m³ volume each connected in series in a horizontal position, of which the first one is charged by solar thermal energy, and the second storage may be charged additionally by an auxiliary boiler. This auxiliary heater is operated with Heavy Fuel Oil (HFO). Control Central system control unit with temperature difference control for the collector system; single speed collector pump The storage temperature is limited to approx. 60°C by the system control 107 Planning and sizing The system was planned and sized by the company Consultants of Technology Co., Ltd. (COT), Bangkok. For sizing, the solar thermal simulation software tool POLYSUN was used. With the given size (limited due to financial reasons), it was estimated to save 28,000 liter HFO/a of the total required 300,000 liter HFO/a. Thus, a solar coverage of the overall heat demand of ca. 9% is expected, corresponding to fuel savings in terms of 460,000 Baht/a. A warranty of 5 years is given to the collector, and one year for the system. In the first year of operation, the system is controlled for malfunction via the web-based monitoring system installed by COT, which at least records the provided heat from the collector (primary collector loop) and the heat delivered from the heat exchanger to the storage. Overall appearance, problems occurred Since the system is newly installed, up to now no corrosion or degradation problems can be detected. The overall appearance is good: the installation is professional; the insulation of pipes and of the (new) solar storage is sufficient and additionally protected by a complete metal jacket. It was reported that during clear sky days the heat sink is approximately for one hour per day in operation. This situation should normally not arise in a system with 9% solar coverage. It is recommended, to adjust the control settings in a way to avoid this function as far as possible. It might be checked to allow storage temperatures higher than 60°C. During the first months of operation, a leakage was detected and repaired in the collector array System cost The overall system cost amount to 3.9 million Baht, but a grant of 1.6 million Baht was given by the Danish DANIDA. The resulting investment thus finally was 2.3 million Baht. Under the condition of the above mentioned savings, the static pay-back time is approx. 5-6 years, maintenance not considered. Summary of Dust Thani Solar Hot Water system Compared to other visited system, some effort was put into the planning and sizing of the system. A hydraulic sketch of the system is available, calculations on fuel saving and on dimensioning of the system have been made before installing. The installation could be therefore seen as a ‘reference’ for further system plannings. Through the ongoing monitoring, valuable data of the plant operation may be achieved to determine the real savings and long periods of non-properly working due to system trouble can be avoided. The operation data may contribute to a real performance data base of commercial solar hot water system applications in Thailand. A scheme of the system is shown in Figure 1. 108 Flat-plate Collector 150 m² Consumption Heat exchanger 2 1 5 m³ Heat sink Supply grid 5 m³ Heat input from oil boiler Circulation Figure A1 Simplified scheme of the Dusit Thani solar hot water system. Hot water from the solar thermal system is stored in storage no. 1, whereas auxiliary heat from the oil boiler serves storage 2 at low storage temperatures. Extracted from the hydraulic plant scheme of COT. SOLAR WATER HEATING SYSTEM AT SAINT LOUIS HOSPITAL, BANGKOK In operation Installed approximately 20 years ago, no longer in operation since 15 years Purpose of hot water preparation Hot water preparation in the Physical Treatment Department for patients, but the treatment was stopped after a few years of system operation. Since then, the system is no longer used No consumption figures available Collector system Flat-Plate, glass cover, import from Israel 6 Collectors, total area approximately 12 m² South oriented with a tilt angle estimated to 20° Two vertical positioned storages, total volume ca. 1 m³ Forced system Overall appearance The entire system shows heavily degradation through corrosion. The original idea of the hospital staff to move the system for newly utilisation to another building of the hospital, seems to be not efficient 109 Energy concept chilled water and hot water preparation of the St. Louis Hospital In the course of the discussion of the energy concept some unfavourable current operation of the chilled water system and of the heat pump system turned visible. The chilled water system consists of four electrically driven compression chillers, providing chilled water at a temperature level of 10°C or below. The chilling capacity of each unit is 150 refrigeration tons (520 kW); 90% of the time is one unit in operation, for 10% of the time are two units running, with the other two units in reserve. Additionally, two electrically driven heat pumps serve for hot water of approx. 58°C, fed into a storage of 25 m³ volume. The driving source of the heat pump is cold water, extracted from the chilled water distribution circuit, thereby operating the heat pump with a broad temperature difference between condenser and evaporator of close to 50 K. The electricity costs of the hospital amount to approx. 3 Mio. Baht per month. It may be of advantage in terms of electricity and primary energy saving, to re-design the hot water generation by e.g. using the temperature level of the heat-rejection of the chiller (approx. at 35°C) as driving temperature source for the heat pumps, as from a theoretical point of view the efficiency of a heat pump increases with increasing temperature level of the driving source. In case of switched-off chillers, still ambient air may be used as heat source. Through this modification, the temperature difference between the heat sink and heat source temperature of the heat pump can be decreased to approx. 25 or 30 K. In general, this decrease in temperature difference leads to a higher performance of the heat pump. An example for this tendency is shown in figure 2. Figure A2 Example: COP of a heat pump as function of the temperature difference 'T between condenser and evaporator (COP = Coefficient of Performance = heat capacity / electricity input). Figure extracted from the training unit ‘Siemens Building Technologies’. For a specific given type of heat pump, the numbers of the COP may differ from the shown curve. It could not be decided jet, which modifications will be necessary to the heat pump, when operated with other heat source temperature levels. The benefit of such a modification will be less electricity demand for the heat rejection system as well as less electricity demand for the heat pump. Before modification of the system, a yield calculation to determine the energetic benefit should be executed. A sketch of the current configuration is given in the upper part of figure 3; the lower sketch visualises the possible re-design with the following options of operation: 110 - no operation of heat pump, but operation of chiller: cooling water is re-cooled via the cooling tower (like current operation) - chiller and heat pump in operation: depending on the actual capacities, cooling water from the chillers is complete or in part used as heat source for the heat pump via a heat exchanger - heat pump is in operation only: ambient air may be used as driving source. In case the hot water generation after this re-design is still not sufficient, further measures like an additionally solar thermal hot water system may be discussed. Heat rejection Compression chiller (520 kW/unit) 35°C 8°C Cold 11°C Heat pump 58°C 25 m³ electricity Heat Distribution electricity Heat rejection Compression chiller (520 kW/unit) 35°C 8°C Cold 11°C Heat pump 58°C 25 m³ Heat Ambient air electricity electricity Distribution Figure A3 Simplified scheme of the chilled water and heat supply system at Saint Louis Hospital, Bangkok (upper figure). In the lower figure, a possible re-design of the system is shown. The modification concerns the driving heat source, to which the heat pump is connected (dotted area in the upper figure). The heat pump may be connected to the heat rejection circuit of the chiller or to the ambient temperature level instead. 111 Summary of the heat supply system at Saint Louis Hospital The re-activation of the existing solar hot water system is not really recommended, as the system is in a high corroded state. Additionally, the supporting power of the small solar plant would be vanishing in contrast to the capacity of the installed heat pumps. It is recommended, to analyse the present configuration of the heat supply and chilled water system with the existing heat pumps and chillers and to apply a performance calculation in order to find an optimised system configuration which show benefits in electricity and primary energy savings. The installation of a large solar heating system could be than an additional measure. SOLAR WATER HEATING SYSTEM AT RIVER HOTEL, NAKORN PRATHOM In operation System I: installed more than 15 years ago System II: installed in 2006, ½ year in operation Purpose of hot water preparation The systems provide hot water for approx. 80 hotel rooms per system (two hotel buildings). All rooms are equipped with shower and hot water tap. The average occupation of the hotel is 60% The desired hot water temperature for both systems is below 50°C No hot water consumption data are available Collector system I: Flat-Plate; type: CHROMAGEN, Israel (imported) Glass cover; quality not known 80 - 90 m² collector gross area No specifications; collector frame and absorber probably aluminium No ventilation hole South oriented with a tilt angle estimated to 20° No serious shading Configuration of system I Open loop forced system; hot water for use is pumped through collector and storage Two storage units mounted in horizontal position, total volume estimated to approx. 5 m³; storages are equipped with insulation and metal jacket Arrangement of storages: storage 1 is charged by the solar system, storage 2 contains the electric auxiliary heater (similar to storage interconnection shown in figure 1). 112 Control of system I The collector pump is actually controlled by a timer, since the original temperature difference control is out of function (no spare parts available). Hourly or two-hourly start of the solar pump for a certain period during day The electric heater operates through the control settings in a small band-gap between 39°C and 41°C. single speed collector pump Planning and sizing system I No data Overall appearance, problems occurred at system I A few collectors are corroded inside, probably caused by penetration of humidity. Since the collectors do not dispose of ventilation holes, humidity might have been accumulated in the mineral wool insulation of the collector, thus leading to corrosion in a long term. The majority of collectors were free of serious corrosion (as appears from outside inspection). The foam insulation of the collector pipes is degraded to large extent, as the insulation was not protected by a metal jacket. Short collector connection parts have not been insulated. Several strings of the collector array show leakages at the interconnection part of the collectors (internal leakages) and thus were shut off and not in operation. Roughly estimated, up to 50% of the collector array was not in operation. The pumps are direct placed on the roof area and not protected against weather conditions. After the break-down of the solar controller, the solar pump is operated by a timer. This is supposed to be far away from an optimised system control. Collector system II: Flat-Plate; type: HERITAGE, model HS 200L (not clear, whether imported or manufactured in Thailand) 4 mm glass cover; solar glass quality 70 m² collector gross area Frame: aluminium; absorber: black copper No ventilation hole South oriented with a tilt angle estimated to 15° No serious shading 113 Configuration of system II Open loop forced system; hot water for use is pumped through collector and storage No air vent in the collector system One storage unit mounted in horizontal position, volume estimated to approx. 4 m³; storage is equipped with insulation and metal jacket The storage contains an electric auxiliary heater Control of system II The collector pump is controlled by absolute temperature levels: the pump is activated at a collector temperature > 48°C, and is switched off at temperature below 45°C The electric heater is controlled in order to keep the storage temperature at 42°C. single speed collector pump Planning and sizing system II No data; son of hotel manager decided to install the system Overall appearance, problems occurred at system II The system is in operation since 6 months up to now, thus the appearance of the collectors is quite well. The collectors do not dispose of ventilation holes; in case of humidity penetration internal corrosion may not be excluded in a long term (insulation supposed to be mineral wool). The collector pipes are covered with a thin foam insulation, not protected by a metal jacket. Consequently, the foam already shows first marks of degradation. The temperature sensor in the collector array is not properly positioned to monitor the real collector output temperature. The pumps are direct placed on the roof area and little protected against weather impact only by the collector array. No reports on serious system problems. No data available on expected or achieved electricity savings; the system is checked mainly ‘optically’ (function check of control board). Service and maintenance of system II Service by Heritage Co. is given for two times in intervals of two months after the installation. From Heritage, some suggestions on the operation of the system were provided, but no information on maintenance. No warrenty data available. System cost No data available on system cost and annual electricity cost for both systems. 114 Summary of River Hotel Solar Hot Water systems Although most of the collectors in the first system (Chromagen) appear in a functioning state, a considerable part of the collector array is shut off due to internal leakages, pointing to a critical construction detail. Once water and humidity has entered the collector through sealing problems, removal of the water is difficult and danger of corrosion is high. This is valid for the new Heritage collector systems as well, although there is yet no experience with the collector sealing. The duct insulation of both collector arrays seems to be not sufficient. In the climatic conditions of Thailand, a metal jacket protection of the insulated pipes may be recommended in order to avoid early degradation of the insulation and the accordingly heat losses. Both systems do not dispose of air vents in the collector array. This complicates the proper operation of pumps and lowers the collector efficiency, if air has entered the collector circuit. As a major problem appears to be the availability of spare parts in the system control, such as temperature difference controllers. This is a barrier to an optimised energy gain from the collector. Possible improvements in both systems: - envelope for pipe insulation to increase the life time of the insulation and thus to reduce heat losses - air vent in the collector array to simplify maintenance - improvement of collector control by implementation or re-activation of a temperature difference control unit, using collector output temperature and lower storage temperature - installation of electricity meter to monitor the electrical heater energy demand - regularly recording of electricity demand and hot water demand by the technician; development of a guide for maintenance and system inspection A scheme of the system is shown in Figure 4. Feed storage Flat-plate Collector 70 m² Consumption Electricity heater 4 m³ Supply Circulation Figure A4 Simplified scheme of the Heritage solar hot water system (solar system II) at the River Hotel, Nakorn Prathom. 115 SOLAR WATER HEATING SYSTEM AT WHALE HOTEL, NAKORN PRATHOM In operation The hotel disposes of four different solar water heating systems, distributed at the roofs of four different hotel buildings. The systems have been installed around 1987. Purpose of hot water preparation Each system provides hot water for the hotel rooms of the according building. Example: system I with 32 collectors supplies hot water to 90 hotel rooms No hot water consumption data are available Collectors: Flat-Plate; type: LORDAN LSC-D, Israel (imported) Glass cover; structures for low reflection losses; glass quality not known Collector area varies between 70 m² and 95 m² for the four systems No specifications; collector frame and absorber probably aluminium; insulation is supposed to made of mineral wool No ventilation hole South oriented with a tilt angle estimated to 25° No serious shading Configuration of the systems Open loop forced system; hot water for use is pumped through collector and storage Each system provides of two storage units mounted in horizontal position, total volume per system is estimated to approx. 3-5 m³; storages are equipped with insulation and metal jacket Arrangement of the two storages per system: storage 1 is charged by the solar system, storage 2 contains the electric auxiliary heater (similar to storage interconnection shown in figure 1) Air vent in the collector system Control of the system Functionality and settings of the control is not really clear single speed collector pump Planning and sizing No data 116 Overall appearance, problems occurred at the systems In the first of the visited systems, the storage insulation is completely degraded through heavily corrosion of the steel jacket and disintegration of the foam insulation to a large extent. In the other systems, the storage jacket was made of stainless steel. For reasons of accessibility of the roofs, only the collectors of the first systems were inspected (consisting of 32 collectors). The appearance of most of the collectors is comparatively good with little signs of corrosion. A few collectors show clearly internal corrosion of the absorber plate, caused by contents of humidity which could not be removed from the collector. The foam insulation of the collector pipes is part wise disintegrated, as they are not protected by a jacket. The pumps are likewise to other inspected systems mounted below the collector area without any further protection against weather impact. During the inspection, the collector was obviously in stagnation. The control board is equipped with an electricity meter for the auxiliary electrical heaters, but no readings have been applied. The control of the systems is ‘decentralised’, e.g., in one of the systems, the auxiliary heater was replaced or supported by 2 additional electricity heaters, either started manually or by their own internal control. These additional heaters are designed for domestic inside use, but were installed outside close to the storage without any weather protection. The inspection of the systems by the technicians is done by checking for sufficient hot water output temperature of the systems, without tracing the origin of the heat (solar or electrically produced). System cost No data available on system cost and annual electricity cost for both systems. Summary of Whale Hotel Solar Hot Water systems The experience made at the Whale hotel is of special interest, since the solar systems were installed nearly 20 years ago and are still in operation. Part of the collectors show corrosion, but the array at a whole may still contribute to the hot water supply. The problems in the systems are addressed mainly to the system control in all of the systems and to the heat storages in one of the systems. It could be worth, to apply a retrofit to the systems, focussing on: - exchange of storages in one of the systems exchange of controls of all systems by advanced control units with electricity meters removal of domestic electrically heaters at one of the systems for safety reasons exchange and improvement of pipe insulation (jackets) training of technicians in order to detect insufficient collector operation rising the awareness of hotel management to hot water and electricity consumption figures to assess the benefits of the solar hot water systems 117 SOLAR WATER HEATING SYSTEM AT THE RAJABHAT NAKORNRAJASRIMA UNIVERSITY In operation The system was installed in 1992 and in operation for two years only. The system was installed in the frame of a solar hot water promotion programme. Purpose of hot water preparation Providing hot water to 40 rooms of the Guest House of the University; all rooms are equipped with showers and hot water tap. After several electricity blackout problems 12 years ago, the system operation was stopped (problems to lift water to the system, air in pipe ducts, not air vents to remove air). All hotel rooms were equipped with decentralised eletricity water heaters No hot water consumption data are available Collector: Flat-Plate, Thai product Glass cover; no tempered glass, no solar quality Collector area approx. 35 m² (18 collectors) No specifications; collector frame and absorber made of steel South oriented with a tilt angle estimated to 15° No serious shading Configuration of the system Thermosiphon system, three collectors are connected to one elevated storage. All storages of the collectors are connected to an additional storage (approx. < 1 m³), equipped with an electrically auxiliary heater No air vent in the system Overall appearance, problems occurred at the system Jacket of the thermosiphon storages completely corroded (steel). The collectors show part wise corrosion of the absorber and of the frames. One collector glass cover is broken. Coating of the collector absorbers is no more black. Due to the arrangement of the storages, it is not clear whether the system ever has achieved its full capacity during operation. Summary of the Solar Hot Water system at RAJABHAT NAKORN RATCHASIMA University It is not really recommended, to make efforts in order to re-activate the existing solar hot water system due to the advanced state of corrosion and degradation. On the other hand, the building size with 40 rooms is attractive for the installation of a new well-monitored and maintained medium-sized solar thermal hot water system, planned and installed according to the present knowledge. This system type should be a forced one, and with the background of the University infrastructure it could be used as a demonstration plant to show the contribution of solar hot water systems to the heat demand in dependency of demand profile, solar radiation and applied system quality and technology. The system could be also used for training purpose of installers and system operators with respect to quality aspects, system control and maintenance. 118 SOLAR WATER HEATING SYSTEM AT NEP JUTE FACTORY AT NAKORN RAJASRIMA In operation The system was installed in 1984 and was not in operation the last 10 years Purpose of hot water preparation During operation, the system has provided process heat at approx. 45°C temperature for chemical treatment of jute coating material to increase the stability of the jute brin. Due to some bad experience with the operation of the solar system (water quality, maintenance), the operation was stopped and the heat is provided by electrical heaters. Moreover, the company slowly replaces jute raw material by plastic fibres, thus the low temperature hot water demand decreases. It is therefore not planned, to apply efforts in the installation of a new solar hot water system. Collector: Flat-Plate, Thai product Glass cover; no tempered glass, no solar quality Collector area approx. 70 m² No specifications; collector frame made of steel; absorber from cooling equipment heat exchanger, made of aluminium Configuration of the system Forced system with two vertical storages, approx. 4 m³. Overall appearance, problems occurred at the system The overall appearance is rather poor: the solar system is completely ruined by corrosion and broken glass covers. Summary of the Solar Hot Water system at NEP Jute Factory The origin for the problems with the solar systems, leading to the decision for a stop of the system, is not really clear. One source for problems might be seen in the type of applied absorber in combination with the water quality, leading to corrosion in the collector. Due to the slow decrease of jute fabrication (still very large), there is no intention of the management to invest in solar thermal systems again. For the manufacturing of the plastic made products, heat at 200°C is required in some constructional elements in the fabrication, generated by local electricity heaters. 119 SOLAR PROCESS HEAT AT A DIARY FARM (MILK FACTORY) Products and load profile At the Diary Farm, 170 to 180 tons milk are prepared daily for ready-for-sale milk products, e.g., mainly milk and yoghurt. The heat, necessary for the treatment of the products, is generated by two HFO-boilers with the capacities 1.0 and 3.2 tons of steam generation per hour at 7 bars; a third boiler of 3.3 tons steam per hour capacity is installed as reserve. The steam generation is continuously for 24 hours per day, amounting for a fuel demand of approx. 2000 Liter HFO per day. The steam is basically used in two production steps: - Pasteurising. The milk is heated to a level between 67°C and 85°C for a period of a few minutes. Subsequently, the milk is cooled down to 5°C, using electrically driven compression chillers. - Ultra high treatment (UHT). The milk is heated to > 138°C and subsequently stored at 25°C. To a minor degree, steam is used for cleaning of storages, vessels and other production facilities. The returned condensate of the steam is additionally used in a heat exchanger to pre-heat the oil to a temperature of approx. 100°C, before entering the combustion chamber. The condensate is thus finally returned at a temperature level of 80°C to the boiler. It was mentioned that due to leakages (steam losses) 27 m³ water per day have to be replaced. The management of the Diary Farm is interested and motivated, to apply a solar thermal system for fuel saving; a payback time of three years is highly appreciated, but five years would be still o.k. In general, different possibilities exist, to include solar energy for fuel saving: Direct steam generation at the requested system pressure in concentrating solar thermal collectors, e.g., parabolic trough collectors with one-axis tracking. Under the prevailing meteorological conditions, this would probably lead to considerably large collector installations with additionally required steam storage to smooth power fluctuations Pre-heating of the condensate from 80°C towards 100°C (or more) in a high-efficiency collector system, using pressurised water as heat medium. As collector type, vacuum tube collectors may be use, but high-efficiency flat plate collectors (e.g., double-glazed with non-reflective coating) can be considered as well. Preheating of the fuel oil from ambient temperature (30°C) to any temperature until 100°. Thus, the condensate from the steam supply system will be less used for fuel pre-heating and returns into the boiler with a temperature above 80°C, thereby saving fuel for steam generation. This requires a well designed collector system as well, but not necessarily vacuum tube collectors. The heat could be used for cleaning purpose as well. Due to the daily delivery rate of fuel, this solution would probably lead to the smallest solar thermal installation and thus smallest investment cost, but consequently to the smallest potential for fuel saving as well. 120 The possibility 1) will be not really suggested here, since a concentrating solar process heat supply system should be first subject to a pilot plant, before applying this technology to a commercial process. The possibilities 2) and 3) should be subject to a feasibility study, considering different collector technologies, collector system sizes and storage volumes, in order to find an optimised system configuration with respect to the exploitation of the solar system, to the saved primary energy and to the investment costs and payback time. Since the solar collector system is expected to be a large one and operates at temperature levels up to 100°C, monitoring and accompanying research of this system is mandatory for at least three years. Manufacturers, planner and installer should give sufficient warranties and support and may participate from the project results and experiences in order to raise their interest in a successful running project. Figure 5 shows a possible solar thermal application for pre-heating the condensate. Figure A5 Simplified sketch of the process heat supply system at the Diary Farm One of the possibilities to apply solar heat for fuel saving by pre-heating the condensate from 80°C to any higher temperature is indicated (dotted). 121 Suggestions The problems encountered during the site visits are manyfold. The following areas may be addressed, to increase the quality, reliability and performance of the plants: - Training - Service and maintenance, supply of spare parts - Quality of installation - Quality of components - Quality of concepts - Awareness of economic and environmental benefits Training is necessary on different levels: the operating personnel has to be provided with more information on the surveillance of the solar system, e.g., to estimate the solar heat contribution to the overall heat demand, to check the reliability of the components on a regular basis, to obtain knowledge on information sources on solar hot water systems, etc. The planners and installers should be trained for more awareness on the quality of the installation, such as safe system operation (air vents, weather protection for pumps) and for an optimised energy yield from the system (complete insulation, jackets, advanced control with meters, proper position of temperature sensors). The service and maintenance for solar hot water systems may be subject to improvements. This includes extended warranty times for the delivered system as well as clear instructions for maintenance or regularly maintenance by the manufacturer/installer for at least 5 years. In the commissioning, the energy yield of the system should be monitored within a few days (with mobile monitoring equipment) in order to assess the performance and reliability of the system. A list of providers for spare part of both, hydraulic equipment and control equipment, may be handed over to the operator. Alternatively, special companies may rise up, working mainly in the field of commissioning, service and maintenance of solar hot water systems, independent from the life time of the installing companies. The quality of components mainly covers the quality of collectors and of the control unit. The increase of the quality of collectors may be discussed separately with Standards and Tests for solar collectors. This includes the choice of proper materials for glass cover, frame, absorber, and insulation as well as construction details, such as the avoidance of spitted glass covers, ventilation holes and the like. The quality of the control is connected to reliable temperature control units, advanced displays with more information on the actual system operation, electricity meters etc. The quality of concepts addresses the basic system configuration, found in most of the visited systems. The concept of open loop systems leads on the one hand to lowest investment cost, on the other hand, the danger of corrosion in the collector and solar hot water storage is high, depending on the local quality of the supply water. Alternatively, the collector and the solar storage may be designed as closed system and connected via a heat exchanger to the second storage, which contains the auxiliary heater and is connected to the supply grid. The closed solar loop may then operate at higher temperatures as well. Other topics related with the quality of concepts are using a vertical position of the storages in order to use stratification effects, but also the hot water distribution system in the building: installation of mixing taps, in order to allow in general higher temperature 122 levels than approx. 40°C to 50°C (and to avoid rising problems with bacteria, e.g., legion Ella). In general, the operators and managers of hotels, hospitals etc. should be more aware on the achieved economic and environmental benefits of the existing solar hot water application. These figures are not really available yet, but important to stimulate improvements and the reliability of the system on the one hand, and to assess the potential of solar hot water preparation in the commercial sector on the other hand, thus contributing to a positive image on the use of solar thermal systems in Thailand. 123 SITE VISIT SUMMARY IN PHUKET DURING 12/02/07 - 14/02/07 This trip report is a part of the Market Survey and Site visit activity in the “Market Development for Solar Thermal Applications in Thailand” project (2006-2007) co-funded by the EU Small Project facility (SPF) program. The project team has been visiting hotels, hospitals, and factories for inspection of the existing solar water heaters and interviewing with key facility staff including owners, managers, and chief engineers. Earlier visits had covered the North, Northeast, Bangkok and suburban area: The Phuket trip during 12 – 14 February 2007 purpose is to evaluate solar water heater market in the southern area particularly in the tourism Phuket city. Details of meetings are listed in the schedule below. 12 Feb 2007 13 Feb 2007 Afternoon Morning Afternoon 14 Feb 2007 Morning Afternoon Patong Merlin Seaview Patong Swissotel Novotel Phuket Resort Meeting with owner of the Merlin Group Choochuay Trading Group Co., Ltd. Merlin Beach Evason Phuket Site Visit The team had visited 6 hotels during the trip. Most of the hotels except Merlin Beach have solar water heaterswith installation ranging from 5 to 20 years. In general, SWH systems are indirect, forced circulation to storage tank size 5,000-9,000 liters with LPG or electric auxiliary back up heater. Smaller hotels such as the Swissotel and others (20-40 rooms) along Patong beach use 2-5 Thermosiphon systems connected in parallel. During visiting to hotels, the team made visual inspection and interviewed with hotel owner and technicians. Typical to hotel business in Phuket, the staff turn over is relatively frequent. Should the hotels have systematic documentation, contracts of services or manuals of equipments such as solar water heater would have remained in the hotel administration. However, such a case is only applied to some hotels. Most of the cases, documents such as manuals and maintenance instruction are not passed on to new staffs. Some of the hotels were taken over recently and documents are lost during a transition of the ownership. The Tsunami was not only tragedy took away life and property from the beach front, some hotels reported that most of their documents including solar system were lost during the disaster. Some hotels particularly the Merlin group has a systematic recording of their hot water consumption that is useful for detail analysis and primary assumptions of the stage of functionality of their solar systems. Following are a brief summary of the solar hot water systems in each hotel we visited. With courtesy from Patong Merlin, Evason, and Merlin Beach who have provided data from their records, we are able to review the hot water systems in detail for these 3 hotels. 124 Seaview Patong Seaview Patong hotel had unfortunately decided to dismantle its solar hot water system during the hotel renovation after the Tsunami in 2003. The current chief engineer has started his work only 2 years ago and has no knowledge of the solar system that was dismantled. He was told that the system was removed for the reason that it was difficult for maintenance. Currently for the 2 buildings on its premise, the hotel use individual electric heater in guest rooms in one building and another use central electric heater. The Swissotel The Swissotel has recently just opened for 3 months. The Patong beach front, 38-rooms hotel was brought over and redecorated into the Swiss chain hotel. The hotel has 5 sets of 300-liter-thermosiphon solar thermal system connected in parallel. Total capacity of 1,500 liter water storage tank could provide enough hot water if occupancy rate is 50%. The technician reported a couple of guest complaints that it took several minutes for water to become hot in the shower. This could be that hot water storage tank is too small. When the hotel full up during high season, simultaneous showers could drain all hot water in the tank and it would requires sometime for cold water refilling the tank to be heated up by the electric heater. The solar system was newly installed in August 2006, just a couple of months before the Swissotel took over the hotel. The solar collectors are brand new and look functioning fine however pipes are not insulated. Heat loss from pipes lessens system efficiency and could be one of the causes the guest complaint of cold water. During a transition of the ownership, solar system documents i.e. contract, guarantee, or manual were lost. Since the system is still in the 1-year guarantee period, we suggested that the technician contact the company directly for the system check up which is covered in the first-year- free-service and also to obtain system manual. The hotel should also insulate the pipes; either requests the solar company to perform the task or could easily insulate pipes by themselves. The Novotel Phuket The Novotel Phuket, a hotel in the Accor chain hotel, comprises of 215 rooms on Karim beach close to Patong. The solar hot water system is connected to the hot water storage hybrid with LPG boilers. There are 2 sets of collector array on 2 buildings; both of the system comprises of 24 collectors. The current stage of collectors is quite degraded with water condensate under glass cover. Both of the systems lack of temperature/pressure relief valves which must be installed to prevent high pressure built up from high temperature when water gets too hot. The lack of relief valves has caused collector materials particularly the insulation to deteriorate quickly. The number of solar collectors is not sufficient for all hot water demand for 215 rooms and other purpose such as laundry and kitchen. Although, there is no monitoring for hot water from the solar system, we presume that main fuel for hot water generation is from LPG boilers. The Accor group has a guideline for energy consumption in its chain hotels. Thus chief engineers/technicians keep well record of their electric consumption. The Accor – Environment Guide 98 (Annex 4.2) provide a guideline of energy consumption for its chain hotels; Sofitel, Novotel, Ibis, Etap and Formule 1. According to interviewing with the chief engineer, the Novotel Phuket has an energy benchmark at 150 kWh/room/night. From recording, the average electric consumption of the hotel is 62 kWh/room/night. Although this has not included gas consumption into account, the figure is still well below the benchmark for its hotel group. 125 Choochuay Trading Group Co., Ltd. Choochuay Trading Group is a Phuket local entrepreneur manufacturing solar hot water for Phuket and Pa-ngan islands for 6 years. Majority of its customers are in residential sector and a small numbers of apartments. Phuket is not only a tourist destination for foreigners, the island has also developing properties for vacation homes and long term resident for retirement. With relatively high population of foreigners dwell in Phuket, about half of Choochuay’s customers come from this segment. Choochuay main business in air conditioning has been a channel for contacting with potential customers. The regular services for A/C also help the company easily performing maintenance service for solar hot water system at the same time with A/C service. Choochuay offer a 3 and 5 years (depends on models) guarantee period for solar collector and water tank and 1 year guarantee for other parts in the system i.e. pumps, control, backup electric heater. The company provides free maintenance and check up of system for 1 year, afterwards the service is charged at the rate similar to A/C maintenance service at 500 Baht/service. Choochuay fabricates solar collectors and water tanks in its own shop with most of materials available locally; however some parts i.e. absorber, controller are only available from companies in Bangkok which import these parts from other countries. Choochuay reported that water quality on islands has been a problem for storage tank. Particularly, on Pa-ngan Island where water has high acidity that the company recommend only higher grade of aluminum tank for the island. Patong Merlin Hotel General Description Patong Merlin Hotel is one of the 4 hotels in the Merlin Group comprises of 3 hotels in Phuket and 1 hotel in Khaolak, Pang-nga, owned by a Thai family. Patong Merlin is a 3-4 star hotel of 386 rooms in 6 low-rise buildings. The hotel was first built in 1986, started with one building and completed its 6th building in 1992. Upon requirement of the hotel owner, the solar water heaters were incorporated during the architectural design of the hotel providing sufficient flat space on the south facing roof and easy access for maintenance. A summary of the solar hot water systems for each building are shown below in table1. Table A1 Solar hot water systems in Patong Merlin hotel Building 1 2 3 4 5 6 Year 1986 1988 1990 1990 1991 1992 No. of rooms 80 56 72 56 32 93 Other function Kitchen, laundry Staff kitchen Kitchen No. of collectors 65 60 72 42 18 60 Solar Water Heating System Due to availability of the data, only building#2 which have sufficient information is reviewed in this section. 126 Solar Collector Manufacturer: Lordan Country: Israel Type: Flat plate Efficiency: 67% Aperture area: 1.8 m2 / collector Year of Mfg: 1988 System Configuration Figure A6 Patong Merlin Solar water heater system diagram Control system - Solar collector: circulation of water in the collector array is control by differential controller which set to start the circulation pump when temperature between hot and cold sensor is more than 9°C and stop when temperature difference is lower than 4°C. - Auxiliary electric heater: a temperature sensor is placed at half water level inside the storage tank. When water temperature drops below 50°C, the thermostat triggers the magnetic contactor to turn on the electric heater. - Circulation pump: the circulation pump is controlled by a thermostat which turns on the pump when water temperature in return pipe from the building is lower than 35°C. Visual Inspection All of the solar collectors are in pretty good condition for an 18 year-old system, no glass cover broken although some collectors show sign of slightly corrosion. There are a few spot of water leakages from 2-3 pipe connections between collectors and pipe from tank to collector array. Pipe insulation (Aeroflex 1” wall x 1 1/8” diameter) is mostly still intact although condition of the insulation is pretty much degraded from years of heated under the tropical sun. Hot water pipes (between collectors and outlet pipe from collector to tank) are copper and cold water pipes are PVC. The overall condition of the system is serviceable and serving hot water all year round. System Analysis Patong Merlin has a relatively good recording system for its water and energy consumption. Technicians take daily reading for water and electric meter of the solar 127 system and recording of weather condition of the day. Below is plot of water measured at hot water storage tank outlet and electric consumption (pumps and auxiliary electric heater in solar system) in January 2006. Electric and water consumption in January 2006 100 80 60 Water (m3) 40 Electric (kWh) 20 0 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 Day of month Figure A7 Electric and water consumption in January 2006 at Patong Merlin In figure 1, the weather conditions were recorded as cloudy during the days where the electric consumption is high (day 1-5, 6-13 and 23-25). On cloudy days, the electric demand for water heating was approximately 2-5 kWh per one cubic meter of water. On sunny days, electric consumption was average at 1-2 kWh per m3. This pattern of electric/water and weather provide us a primary assumption that the solar fraction of the system was approximately 80-90%. A system analysis using T-Sol® software In order to analyze the solar system cost effectiveness, we use T-Sol software to simulate system performance using Phuket weather data. The annual simulation result in shown in figure 2. Figure A8 T-Sol® analysis of solar system in building#2 of Patong Merlin hotel Results from simulation shows that the solar fraction is approximately 86% of hot water demand. Although during rainy season, solar water heater is less efficient but the hot 128 water demand also reduced from lower occupancy during those months resulting in relatively constant requirement for electric heater back up all year round. A summary of the simulation results is shown in table 2. The solar system had save electricity around 89,710 kWh/year and paid back its investment in the 6th year. Over 18 years of system operation, solar hot water has saved 1,195 Ton of CO2 emission. Table A2 Summary of Patong Merlin simulation results Results of annual simulation System yield Annual electricity consumption – pump Annual electricity saving Solar fraction System efficiency Economic analysis Investment cost Net present value Pay back period Cost of solar energy Environmental benefit GHG emission saving 76,254 kWh / year 6,867 kWh / year 89,710 kWh / year 85.9 % 37.0 % 960,000 Baht 2,337,545 Baht 6 years 0.9 Baht/kWh 66.37 Ton CO2 / year Summary The solar hot water system at Patong Merlin is an outstanding case of good installation and maintenance that keep the system in operation for over 18 years. The system has been a main supply for hot water demand for the hotel and paid back its investment in just 6 years. 129 Evason Phuket & Six Senses Spa General Description The Evason Phuket & Six Sense Spa is located at Rawai Beach on the south eastern side of Phuket Island. The luxury 5-star resort hotel is a part of the Six Sense BVI Company which has 12 locations in Thailand, Maldives, Oman and Vietnam. The Evason Phuket has 3 swimming pools and among the 260 guestrooms in 5 low-rise buildings, 28 suite rooms provide private pools. The hotel efforts for responsible tourism such as water treatment and reuse of water have contributed toward its awards in the environmental tourism. Solar Water Heating System The solar water heater system was installed before the Evason took over the Phuket Island hotel 6 years ago. During our visit, we could not obtain solar related documents; this may be because the documents may have lost during the changeover of the ownership. In general, there are 2 sets of solar collectors, the array on the lower roof has 36 of Solarhart collectors and the upper area has 33 of Solasaver collectors. The collectors connect to hot water storage tank through heat exchanger in a 2-tank system configuration. The main tank is supported with LPG boilers. Solar Collector Array 1: Manufacturer: Solarhart Country: Australia Type: Flat plate Efficiency: N/A Aperture area: N/A Year of Mfg: 1987 Array 2: Manufacturer: Solasaver Country: Thailand Type: Flat plate Efficiency: N/A Aperture area: N/A Year of Mfg: N/A Visual Inspection The solar collectors seem fine on the exterior; frames are still intact and no broken glass covers on any collector. Collectors and support structure show no sign of heavy corrosion. However, most of glazing is deteriorated from high temperature. The system piping is improper design and installed. There is no drainage nor pressure relief valves in the system. The lack of draindown valve shows that no regular service has been performed to prevent scale build up inside pipes. The pressure/temperature or air vent valves are usually required to install at high point of the collector array in the solar hot water systems. The valves automatically discharge steam when water temperature gets too high to prevent high pressure inside pipes and collectors. From visual inspection, the solar system seems not functioning. A through inspection is recommended to verify this assumption and to evaluate whether the solar system can be refurbished. 130 System Analysis The hotel does not have a water meter dedicated to hot water. Without hot water consumption data, evaluation of solar water heater whether it is functioning or functioning at what level can not be perform. However, with LPG gas data available, we tried to estimate hot water generation from LPG consumption in order to have some guideline for our system analysis. The kilogram of LPG is converted to liter of hot water assuming boilers heat up water from 25°C to 80°C. Assumptions - LPG heat capacity, Cp = 50.226 kJ/kg - 25°C water enthalpy, hin = 104.829 kJ/kg - 80°C water enthalpy, hout = 335.012 kJ/kg Calculation From a heat transfer equation Q = m*(hout – hin) The amount of hot water generated from LPG boilers is shown below as an average liter per guest. Hot Water Generation Liter/guest 80 60 40 20 Ju l Au g Se p O ct No v Se c Ja n Fe b M ar Ap r M ay Ju ne 0 Year 2006 Figure A9 Amount of hot water generation from LPG/guest in 2006 The hot water consumption per guest is in the range of 40-70 liter/guest which is within an average range for hotels. Although, this estimation can not be realistically represent the hotel hot water demand, in which this could be all of the hot water demand or the demand could be higher and supplemented by the solar water heater. However, this average 57 liter/guest from LPG conveying that nearly or possibly all of the hot water generation is fueling with LPG reaffirm our primary assumption that solar water heater may not be functioning. Summary The current hot water generation using LPG is cleaner than using fuel oil. However, further CO2 emission can be avoid if the hotel use solar water heater or other hot water generation technology that can produce hot water more efficiently and less emission. It is recommended that the hotel may consider a through inspection of the solar system to estimate whether it can be restored. Hot water could also be measured by installing a water meter at the hot water tank outlet and also at other facilities i.e. kitchen, laundry to monitor energy and water usage. The data would be valuable for efficient water and energy management and planning for the hotel. 131 MERLIN BEACH RESORT General Description The Merlin Beach Resort is located on Tri-tang beach on the south eastern side of the Phuket Island. The 4-star hotel is managing by the Merlin Group like Patong Merlin. Heat Pump Water Heating System All of hot water demand for 414 guestrooms, kitchen and laundry is served by five 45 kW heat pumps. Cool exhaust air is currently exhausted to outdoor. The heat pump is an American brand, installed by a local distributor. According to the specification, the 45 kW heat pumps can deliver hot water at 60-65°C from inlet cold water at 20-25°C with heating capacity at 25 kW and cooling capacity at 20 kW. Visual Inspection The heat pump hot water system is newly installed in less than 3 years. The system seems working in a good condition. There is sufficient air space around the heat pump. Noise and vibration is minimal and in an acceptable range. Pipes are well insulated and in good condition. There are a few spots of water dripping around seeming of water storage tanks. The rust on tank seeming may have occurred from the welding process. The chief engineer reported that the hotel is considering several options for tanks overhaul. System Analysis The Merlin Beach Resort has hot water consumption around 65-75 liter per guest which is within an average range for a 4-star hotel. The electric requirement for generating hot water is average at 1.46 kWh per 1 cubic meter of water for the year 2006 as shown in figure 5. Electric Consumption per 1 cu meter of Hot Water Generation 2.50 kWh/m3 2.00 1.50 1.00 0.50 0.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec year 2006 Figure A10. Electric consumption per 1 cubic meter of hot water generation Summary Heat pump water heater is 2-3 times more efficient than electric water heater. This innovative technology has less efficient in cold climate however works well in hot climate and could well be an option for efficient hot water generation in Thailand. 132 CONCLUSION Throughout our visit to hotels on Phuket Island, we have inspected solar water heaters and other water heating systems for hotels for the analysis of barriers of solar hot water in the southern climate. In general, there are technical barriers and non-technical barriers. Technical barriers involve quality in manufacturing, improper installation, and the lack of maintenance. Most of hotels do not have a systematic recording of water and energy consumption which could help monitoring their energy usage and could be an indicator when there are problems in the system such as water leakage that water meter would be anomaly higher than usual. Non-technical barrier involve the misconception that Phuket is in a tropical monsoon climate where rainy season prolong for 6 months per year from May to October and this would not be a good condition for solar hot water. However, Phuket tourism in rainy season is lower as well and has contributed to less hot water demand. The concurrent relation of solar radiation and tourist season shows that solar hot water system can suitably provide hot water for hotels in the South of Thailand. 133 ANNEXES AND REFERENCES List of Contacts No. Site 1 Patong Merlin hotel 2 Seaview Patong 3 Patong Swissototel 4 Novotel Phuket Resort Hotel Phuket Merlin Hotel 5 6 7 Choochuay Trading Group Co., Ltd. Merlin beach hotel 8 EVASON Phuket Contact Person Mr. Piroj Hararak Chief Engineer Mr. Visit Chootong Chief Engineer Mr. Teerachai Wongsukitja Mr. Sompong Patburi Mr. Somchai Chirayus Deputy Manageing Director Mr. Sutham Choochuay Managing Director Mr. Sathian Visuthsiri Chief Engineer Mr. Pornchai Jatupuchaporn Chief Engineer Mr. Arnfinn Oines Environment Coordinator Tel Tel.: 076 340037 Fax.: 076 340394 Tel.: Fax.: Tel.:1502-5 Fax.:340933 Tel.: Fax.: Tel: 076 212866-70 Fax: 076 234930 Tel: 076 321562 Fax: 076 321562 Tel: 076 294300 Fax: 076294310 Tel.: Fax.:8 134 B. RECOMMENDED STANDARDS FOR THAILAND STANDARDS FOR SOLAR THERMAL COLLECTORS SUGGESTIONS FOR THE ADAPTATION AND MODIFICATION OF CURRENT STANDARDS FOR THE APPLICATION IN THAILAND The following recommendations are made on base of the European Standard for Solar Thermal collectors EN 12975, mainly part 1 (general requirements) and part 2 (test methods), as well as on base of the Australian / New Zealand Standard AS/NZS 2712:2002. Requirements on material (chapter 1), stagnation temperature (chapter 2) and on performance tests (chapter 3) have been combined within one part. Subsequently, in chapter 4, a template is provided as example for the durability and reliability test report sheets. The thermal performance test procedure is not described here, since this procedure may be defined and included by the involved Thai institutes with respect to the prevailing meteorological conditions and existing test facilities (e.g., dynamic test procedure). Main focus of the recommendations is solar thermal flat plate collectors with a fluid as heat transfer medium. Parts of the recommendations are in general valid for all types of collectors (vacuum tubes, air-collectors, etc.). MATERIAL The operational ability and long lifetime of solar collectors depend on the correct choice of appropriate materials.The materials of collector components should be selected and constructed so, that they can withstand the maximum temperature which may occur at stagnation conditions and the thermal shocks they may be exposed to during periods with high temperatures and high solar irradiance. Therefore the use of non-combustible materials should be preferred. Furthermore, the material should be resistant to exposure to ultraviolet radiation and in cases where materials selected are not so, they should be protected against incident and reflected ultraviolet radiation. The construction of the collector should ensure that no undue stress is built up in the cover, even at the maximum stagnation temperature of the collector.The components and the materials of the collector should be able to withstand the mechanical loads resulting from the heating up and cooling down of the collector. They should also be resistant to environmental stress from outdoor climate caused by factors such as rain, wind, high humidity and air pollutants. The collector box should be water-tight to prevent penetration of rain water. It should be constructed in such a way, that condensed water does not accumulate in the collector, as this might impair its functional capability and durability. For that purpose the collector should be properly designed to enable ventilation of air through the collector box. The collector shall as well provide for safe installation and mounting. Sharp edges, loose connections and other potentially dangerous features shall be avoided. 135 If the weight of the empty collector exceeds 60 kg, an anchorage for a lifting device shall be included, except for the collectors that are assembled on the roof. Ducts leading through the box should be constructed so, that no leakage can occur caused by thermal expansion. The collector box bushings should withstand any damage, if they have to be soldered for assembly. The design of the collector should be such, that heat bridges between the collector box and the absorber are avoided. In case other than pure water is applied as heat transfer fluid, the heat transfer fluid used should not be toxic, seriously irritant to the human skin or eyes, or water polluting and it should be fully biodegradable. Collectors filled with a heat transfer fluid irritant to human skin or eyes, or toxic shall carry a warning label. It is helpful to label the collector with a visible and durable label bonded onto the casing. The following data may be used: Name of manufacturer Type Serial number Year of production Gross area of collector Dimensions of collector maximum operation pressure Stagnation temperature at 1000 W/m2 incident radiation and 35 ºC ambient air temperature Volume of heat transfer fluid Material and quality of cover (e.g., Solar glass, tempered glass, 4 mm) Weight of empty collector Made in ... It is also helpful to accompany solar collectors by an installer instruction manual, if traded as stand-alone components. When they are part of a complete system, the system installation manual can cover the complete system. In that case no separate manual for the collector shall be required. The instruction manual shall at least contain the following information: dimensions and weight of the collector; instructions about the transport and handling of the collector; description of the mounting procedure; recommendations about lightning protection; instructions about the coupling of the collectors to one another and the connection of the collector field to the heat transfer circuit; if water is used as heat transfer fluid: recommendations on the quality and purity of the water in order to avoid blocking of the fluid through the absorber; in case other than pure water is applied as heat transfer fluid: recommendations about the heat transfer media which may be used (also with respect to corrosion) and precautions to be taken during filling, operation and service; the maximum operation pressure; the pressure drop and the maximum and minimum tilt angle; permissible wind load maintenance requirements. 136 ABSORBER Absorbers should be made from suitable materials to cope with mechanical and thermal requirements of the application. The compatibility of the absorber material shall also be guaranteed within the collector unit so that accelerated chemical degradation does not take place. The application of absorbers made of steel should be avoided. The effect of the manufacturing processes like cutting, brazing, soldering etc., on the properties of the absorber should be considered. Where fabricated from copper alloy, the absorber shall be resistant to the effects of dezincification and stress corrosion cracking. The absorber ducts which guide the flow of the heat transfer fluid, including the connection lines, should be designed and constructed in such a way that venting can be effected in the installed condition, thus ensuring the functional capability of the collector. Absorbers should be dimensioned on the basis of a calculation pressure corresponding to the permissible working overpressure specified by the manufacturer taking into consideration a safety factor of 1.5. The properties of the heat transfer medium should be considered as well. The material used should have a surface having the property of high absorptance to solar radiation. A low thermal emittance may also be desirable and may be achieved by a selective surface treatment.The effect of the maximum temperature (stagnation temperature) of the absorber should be considered in the selection of material. In the case of materials with strength characteristics, which vary appreciably with the temperature and/or ultraviolet exposure, the evaluation criteria should be determined individually in each case.The inside of the absorber ducts should withstand corrosion under normal operating conditions and taking into account the admixture of possible additives to the heat transfer fluid. (Swimming pool collectors connected directly to swimming pool water shall be resistant to the additives used for the treatment of the swimming pool water.) Absorber coatings should retain their optical properties under stagnation temperature, high humidity and condensate TUBING For solar water heaters where the fluid ways of the absorber are formed from tubing, as opposed to being formed integrally with the absorber plate, the tubing shall be one of the following: (a) copper tubing of appropriate material standard (b) stainless steel tubing of appropriate material standard (c) tubing of other materials provided that such tubing is not inferior with regard to corrosion, pressure rating and durability, under the conditions of use, to that specified in items (a) and (b) above. Where solar water heaters are intended to be suitable for use with water having a high chloride concentration, special attention should be given to the materials used. Where the fluid ways of the absorber are formed from tubing as opposed to being formed integrally with the absorber plate, the tubing shall be permanently and firmly bonded to the absorber plate. The junction between the tubing and the absorber plate, either welded or soldered, shall be capable to withstand the stagnation temperature of the absorber without any degradation. 137 THERMAL INSULATION Thermal insulation materials shall be such that it will not deteriorate in service or become compressed and leave uninsulated voids during transportation or installation. Insulation materials should withstand the local temperature reached by the absorber under maximum stagnation conditions. At this temperature no melting, shrinkage or outgassing of the insulation with consequent condensation inside the collector cover, or absorber performance reduction or corrosion of metallic surfaces should occur to the extent of seriously reducing the collector performance. The insulation shall be placed and contained so that its efficiency is maintained, contact with wiring terminations or temperature controls has to be prevented and attack by vermin has to be deterred.Where the design of the collector unit is such that insulating material will be exposed to sunlight under operating conditions, it shall not be adversely degraded by ultraviolet radiation. Transparent insulation materials or Teflon layers used should not deteriorate appreciably, both mechanically and optically, during the service life of the collector due to ultraviolet radiation, as well as due to high temperature and humidity. Water or humidity absorption by the insulation material may shortly or permanently reduce the insulation performance of the material and supports corrosion of the absorber. If compatible with respect to the stagnation temperature achieved in the collector, insulation material with low water absorption properties may be preferred (closed pores). Thermal expansion of the material used in the collector due to the wide range of temperatures should also be taken into consideration because of different thermal expansion coefficients. For the collector insulation no materials should be used which have been manufactured under the use of CFCs or which contain CFCs. DIFFUSION BARRIERS Diffusion barriers are materials used between absorbers and insulation material to prevent diffusion into or out of the insulation material. They should be able to withstand the absorber high temperatures and the incident ultraviolet radiation without shrinking and the high humidity or condensate accumulated remaining tight. COLLECTOR CASING The collector casing and mountings shall be fabricated from either (a) metal or other material having durability properties under the conditions of use not inferior to those of hot-dip zinc-coated steel sheet; or (b) any material suitable for the purpose, which is a material used as external cladding or roof covering of buildings. The connecting material between collector glazing and casing shall be leak-proof. Nevertheless, due to the heavy monsoon rain and generally high air humidity, it is recommended to locate an adequate number of drain holes at the lowest point of the collector casing, so that ingress of water can be avoided. Thereby the invaded water and humidity can escape more easily. REMARK Definitely, materials should be suitable for climatic conditions in Thailand. Collector casings made of aluminium or stainless steel is recommended, but which material composition is most preferable, has to be discussed with respective industry or research groups in material. An Austrian collector manufacturer equips collectors 138 with a wooden frame with positive experience in all climates, but consequently the rear side of the collector has to cover more mechanical load. COLLECTOR GLAZING Solar collectors are generally covered with glass or transparent plastic glazing made of polymers. The transparency of the covers should not deteriorate appreciably during the collector’s service life. The covers should be resistant to ultraviolet radiation, air pollution, high humidity and condensate as well as to high temperatures depending on the collector design. The durability of glass and tempered glass (toughened glass) under the service conditions found in solar collectors is good, but the resistance of plastics and glass treated with a special coating to the combined effects of UV-radiation and temperature may be poor. There may be significant degradation with time, and in the case of a reduced transmission in the solar wavelengths, this will finally lead to degradation in the collector performance. A reduction in the tensile strength or impact strength of a cover material may lead to a failure of the collector cover. Therefore, for a glazed collector the glazing material shall be securely fastened and sealed to make provision for thermal expansion and contraction of the glazing material and the collector. It has to be considered that broken glass should not be a safety hazard. Glass should either break into small pieces, as with tempered glass, or be safely retained, preferably within the collector area. For the application on facades, appropriate safety standards for building construction, especially for facade elements, are to be met by the collector. Solar glass for a higher transmission in the visible spectral range increases the performance and cost, but does not contribute to more safety. For higher temperature applications than domestic hot water production, solar glass is recommended. In general, split glass covers have to be avoided. The usual thickness of glass used for glazed collectors shall be between 3.5 and 4 millimetres. REFLECTORS Reflectors, either diffuse or specular, are reflecting surfaces used to increase the incident radiation on the absorber. Outside the collector box reflectors should resist mechanical loads through wind and hail, and the reflecting surface should be resistant to environmental influences such as air pollution and to corrosion through humidity or rain, whereas inside reflectors should withstand high temperatures. STAGNATION TEMPERATURE All solar water heater systems shall be designed to resist damage due to stagnation. The typical high stagnation temperatures occur during periods of no useful heat removal from the collector, with high solar radiation (total radiation on the plane of the collector t 1000 W/m²) and high ambient temperatures (ambient air temperature t 35°C), when the collector is empty during installation, empty during its service life or filled with fluid but not being used in peak summer conditions 139 Having passed the stagnation temperature conditions, there shall be no evidence of catastrophic or partial structural failure of the collector, or of the collector cover without magnification when visually examined (other than using normal eyeglasses); there shall be no failure likely to impair the serviceability or durability of the collector; there shall be no evidence of any burning, scorching or heat shrinkage of any part of the collector and there shall be no degradation in the thermal performance of the collector. 140 PERFORMANCE TESTS Test methods for validating the durability, reliability and safety requirements for liquid heating collectors are specified below. As a result of these methods there shall be no: absorber leakage or such deformation that permanent contact between absorber and cover is established; breaking or permanent deformation of cover or cover fixing; breaking or permanent deformation of collector fixing points or collector box; vacuum loss; accumulation of humidity in form of condensate on the inside of the transparent cover of the collector exceeding 20% of the aperture area. The results of the inspection of the collectors shall be reported. INTERNAL PRESSURE OF THE ABSORBER The absorber shall be pressure-tested to assess the extent to which it can withstand the pressures which it might meet in service. Inorganic absorbers shall be pressure-tested at ambient air temperature within the range of 20°C to 40°C. The test pressure shall be 1.5 times the maximum collector operating pressure specified by the manufacturer. The test pressure shall be maintained for 15 min. Meanwhile the collector shall be inspected for leakage, swelling and distortion. EXPOSURE TEST The exposure test provides a low-cost reliability test sequence, indicating operating conditions which are likely to occur during real service and which also allows the collector to "settle", such that subsequent qualification tests are more likely to give repeatable results. The collector shall be mounted outdoors, but not filled with fluid. All except one of the fluid pipes shall be sealed to prevent cooling by natural circulation of air. One shall be left open to permit free expansion of air in the absorber. Corresponding climate parameter values are: 30 hours of global solar irradiance on collector plane, G > 850 W/m2 (in sequences with a minimum of 30 minutes or longer) at least 30 days with a global daily irradiation on collector plane, H > 14 MJ/m2 (interruptions allowed) surrounding air temperature, ta > 15 °C 141 The collector shall be inspected for damage or degradation. HIGH TEMPERATURE RESISTANCE TEST This test is intended to assess rapidly whether a collector can withstand high irradiance levels without failures, such as glass breakage, collapse of plastic cover, melting of plastic absorber, or significant deposits on the collector cover from outgassing of collector material. The collector shall be mounted outdoors or in a solar simulator, and shall not be filled with fluid. All of the fluid pipes except for one shall be sealed to prevent cooling by natural circulation of air. A temperature sensor shall be attached to the absorber to monitor its temperature during the test. The sensor shall be positioned at two-thirds of the absorber height and half the absorber width. It shall be fixed firmly in a position to ensure good thermal contact with the absorber. Furthermore the sensor shall be shielded from solar radiation. (When testing collectors, such as evacuated tubular collectors, the temperature sensor should be placed at a suitable location in the collector, and this location should be clearly described with the test results.) Corresponding climate parameter values are: global solar irradiance on collector plane, G t 1000 W/m2 surrounding air temperature, ta 20 – 40 °C surrounding air speed < 1 m/s The test shall be performed for a minimum of 1 h after steady-state conditions have been established, and the collector shall be subsequently inspected for signs of damage such as degradation, shrinkage, outgassing or distortion. EXTERNAL THERMAL SHOCK Collectors may be exposed to sudden rainstorms on hot sunny days, especially in months of monsoon, causing a severe external thermal shock. This test is intended to assess the capability of a collector to withstand such thermal shocks without a failure. The collector shall be mounted either outdoors or in a solar simulator, but shall not be filled with fluid. All except one of the fluid pipes shall be sealed to prevent cooling by natural circulation of air. One shall be left open to permit free expansion of air in the absorber. A temperature sensor may be optionally attached to the absorber to monitor its temperature during the test. An array of water jets shall be arranged to provide a uniform spray of water over the collector. The collector shall be maintained under a high level of solar irradiance for a period of 1 h before the water spray is turned on. It is then cooled by the water spray for 15 minutes before being inspected. The collector shall be subjected to two external thermal shocks. The corresponding solar irradiation level is: global solar irradiance on collector plane, G > 850 W/m2 The water spray shall have a temperature of less than 25 °C and a flow rate in the range of 0.03 kg/s to 0.05 kg/s per square metre of collector aperture. 142 If the temperature of the water which first cools the collector is likely to be greater than 25 °C (for example if the water has been sitting in a pipe in the sun for some time), then the water shall be diverted until it has reached a temperature of less than 25 °C before being directed over the collector. The collector shall be inspected for any cracking, distortion, condensation, water penetration or loss of vacuum. INTERNAL THERMAL SHOCK Collectors may from time to time be exposed to a sudden intake of cold heat transfer fluid on hot sunny days, causing a severe internal thermal shock, for example, after a period of shutdown, when the installation is brought back into operation while the collector is at its stagnation temperature. This test is intended to assess the capability of a collector to withstand such thermal shocks without failure. The collector shall be mounted either outdoors or in a solar simulator, but shall not be filled with fluid. One of its fluid pipes shall be connected via a shutoff valve to the heat transfer fluid source and the other shall be left open initially to permit the free expansion of air in the absorber and also to permit the heat transfer fluid to leave the absorber. If the collector has more than two fluid pipes, the remaining openings shall be sealed in a way that ensures the designed flow pattern within the collector. A temperature sensor may be optionally attached to the absorber to monitor its temperature during the test. The collector shall be maintained under a high level of solar irradiance for a period of 1 hour before it is cooled by supplying it with heat transfer fluid for at least 5 minutes or until the absorber temperature drops below 50 °C. The collector shall be subjected to two internal thermal shocks. The corresponding solar irradiation level is: global solar irradiance on collector plane, G > 850 W/m2 The heat transfer fluid shall have a temperature of less than 25 °C. The recommended fluid flow rate is at least 0.02 kg/s per square metre of collector aperture (unless otherwise specified by the manufacturer). The collector shall be inspected for any cracking, distortion, deformation, water penetration or loss of vacuum. RAIN PENETRATION TEST This test is applicable only for glazed collectors and is intended to assess the extent to which glazed collectors are substantially resistant to rain penetration. They shall normally not permit the entry of either free-falling rain or driving rain. Collectors may have ventilation holes and drain holes, but these shall not permit the entry of driving rain. The collector shall have its fluid inlet and outlet pipes sealed (unless hot water is circulated through the absorber), and be placed in a test rig at the shallowest angle to the horizontal recommended by the manufacturer. If this angle is not specified, then the collector shall be placed at a tilt of 20° to the horizontal. Collectors designed to be integrated into a roof structure shall be mounted in a simulated roof and have their underside protected. Other collectors shall be mounted in a conventional manner on an open frame or a simulated roof. The collector shall be sprayed on exposed sides, using spray nozzles or showers. 143 The collector shall be mounted and sprayed while the absorber in the collector is kept warm (minimum 50 °C). This can be done either by circulating hot water at about 50 °C through the absorber or by exposing the collector to solar radiation. The heating up of the collector should be started before the spraying of the water in order to ensure that the collector box is dry before testing. In cases of collectors having wood in the backs (or other special cases), the laboratory must take all necessary measures during the conduction of the test so that the final result will not be influenced or altered by the special construction of the collector. The collector shall be sprayed with water at a temperature lower than 30 °C and with a flow rate of more than 0.05 kg/s per square metre of sprayed area. The duration of the test shall be 4 hours. The water pressure shall be 300 kPa. The collector shall be inspected for water penetration. The results of the inspection, i.e. the extension of water penetration and the places where water penetrated shall be reported. The penetration of water into the collector shall be determined by inspection (looking for water droplets, condensation on the glass cover or other visible signs) and by one of the following methods: weighing the collector before and after the test: the determined water quantity shall be less than 50 gr/m² collector area; measuring the humidity inside the collector (standard uncertainty better than 5%) or measuring the condensation level, which shall be less than 20 % of the transparent cover and the quantity of the water that come out of the collector when tipping it shall be less than 50 gr/m² collector area. Due to the heavy monsoon rain and generally high air humidity, it is recommended to locate an adequate number of drain holes at the lowest point of the collector casing, so that ingress of water can be avoided. Thereby the invaded water and humidity can escape more easily. MECHANICAL LOAD TEST Positive pressure test This test is intended to assess the extent to which the transparent cover of the collector and the collector box are able to resist the positive pressure load due to the effect of wind. The collector shall be placed horizontally on an even ground. On the collector a foil shall be laid and on the collector frame a wooden or metallic frame shall be placed, high enough to contain the required amount of gravel or similar material. The gravel, preferably type 2-32 mm, shall be weighed in portions and distributed in the frame so that everywhere the same load is created (pay attention to the bending of the glass), until the wanted height is reached. The test can also be carried out loading the cover using other suitable means (e.g. water), or a uniformly distributed set of suction cups. As a further alternative, the necessary load may be created by applying an air pressure on the collector cover. 144 The test pressure shall be increased at maximum steps of 250 Pa until a failure occurs or up to the value specified by the manufacturer. The test pressure shall be at least 3200 Pa. REMARK The value 3200 Pa corresponds to requirements in areas with high danger of occurrency of tropical cyclones, e.g., like in Caribbean areas. In Europe, recommended values are between 1000 and 2400 Pa. A failure can be the destruction of the cover and also the permanent deformation of the collector box or the fixings. The pressure at which any failure of the collector cover or the box or fixings occurs shall be reported together with details of the failure. If no failure occurs, then the maximum pressure which the collector sustained shall be reported. The maximum positive pressure is the pressure reached before a failure occurs. The permissible positive pressure is the maximum pressure divided by the safety factor (SFpositive = 1.5). When the test is done with an on-roof mounting system the test results is also valid for the roof integrated mounting system. Negative pressure test This test is intended to assess the extent to which the fixings between the collector cover and collector box are able to resist uplift forces caused by the wind. The collector shall be installed horizontally on a stiff frame by means of its mounting fixtures. The frame which secures the cover to the collector box shall not be restricted in any way. A lifting force which is equivalent to the specified negative pressure load shall be applied evenly over the cover. The load shall be increased in steps up to the final test pressure. If the cover has not been loosened at the final pressure, then the pressure may be stepped up until a failure occurs. The time between each pressure step shall be the time needed for the pressure to stabilise. Either of two alternative methods may be used to apply pressure to the cover: Method 1 The load may be applied to the collector cover by means of a uniformly distributed set of suction cups. Method 2 For collectors which have an almost airtight collector box, the following procedure may be used to create a negative pressure on the cover. Two holes are made through the collector box into the air gap between the collector cover and absorber, and an air source and pressure gauge are connected to the collector air gap through these holes. A negative pressure on the cover is created by pressurising the collector box. For safety reasons the collector shall be encased in a transparent box to protect personnel in the event of failure during this test. During the test, the collector shall be visually inspected and any deformations of the cover and its fixings reported. The collector shall be examined at the end of the test to see if there are any permanent deformations. The test pressure shall be increased in steps of 250 Pa until a failure occurs or up the value specified by the manufacturer. The test pressure shall be at least 2400 Pa. A 145 failure can be the destruction of the cover and also the permanent deformation of the collector box or the fixings. A permanent deformation is to be assigned to a load value, while it is completely relieved after every load increment of 250 Pa and the distortion is measured compared to the beginning of the test sequence. The value of an inadmissible permanent deformation amounts to max. 0.5 %. (Example: 10 mm distortions at 2 m length of collector frame) The pressure at which any failure of the collector cover or the box or fixings occurs shall be reported together with details of the failure. If no failure occurs, then the maximum pressure which the collector sustained shall be reported. The maximum negative pressure is the pressure reached before a failure occurs. The permissible negative pressure is the maximum pressure divided by the safety factor (SFnegative = 2). IMPACT RESISTANCE TEST Collectors shall sustain no significant damage, cracking, breakage or puncture of any glazing, or the absorber in an unglazed collector, when affected by hail. This test is intended to assess the extent to which a collector can withstand the effects of heavy impacts caused by hailstones. Where hail guards are provided, it is recommended that they are located not less than 50 mm from the surface of the glazing of glazed collectors, or the absorber surface for unglazed collectors. The collector shall be mounted either vertically or horizontally on a support. The support may be stiff enough so that there is negligible distortion or deflection at the time of impact. Steel balls (diameter: 25.4 mm) shall be used to simulate a heavy impact. If the collector is mounted horizontally then the steel balls are dropped vertically, or if it is mounted vertically then the impacts are directed horizontally by means of a pendulum. In both cases, the height of the fall is the vertical distance between the point of release and the horizontal plane containing the point of impact. The point of impact shall be no more than 5 cm from the edge of the collector cover, and no more than 15 cm from the corner of the collector cover, but it shall be moved by several millimetres each time the steel ball is dropped. A steel ball shall be dropped onto the collector 10 times from the first test height (0.2 m), 10 times from the second test height (0.4 m), etc. until the maximum test height (2.0 m) is reached. The test has to be stopped when the collector sustains some damage or when the collector has survived the impact of 10 steel balls at the maximum test height. The collector shall be inspected for damage. The results of the inspection shall be reported, together with the height from which the steel ball was dropped and the number of impacts which caused the damage. REMARK The occurrence of hail in the Thai region and thus the importance of this performance test has to be assessed. FINAL TEST When the full test sequence has been completed, the collector shall be dismantled and inspected. All abnormalities shall be reported and accompanied by a photograph. 146 DURABILITY AND RELIABILITY TEST REPORT SHEETS COLLECTOR IDENTIFICATION Collector Reference Number: Manufacturer: Brand Name: Serial Number: Year of Production: Collector Type: Unglazed Glazed Evacuated Collector Surface Area: ……… m² (Gross); ……… m² (Absorber); ……… m² (Aperture) Material of glazing and thickness: Material of absorber and type of coating (selective or not): Material of absorber ducts: Material of casing: Material of insulation: No. and position of drain holes: Schematic Drawing: 147 SUMMARY All significant damage to the collector, including rain penetration, should be summarised in Table C1. Full details should be given in the individual test result sheets. Table B1 All significant damage to the collector, including rain penetration Test Date Start Main Results End Internal Pressure Absorber High Temperature Resistance Exposure External Thermal First Shock Second Internal Thermal First Shock Second Rain Penetration Mechanical Load Impact Resistance Final Inspection Remarks: …………….……………….……………………………………………………………… INTERNAL PRESSURE TEST FOR INORGANIC ABSORBERS Collector Reference Number: Collector Type: Glazed Unglazed Maximum collector operating pressure specified by manufacturer: ............................kPa Test conditions: Test temperature: ...................................................................................................... °C Test pressure: ........................................................................................................... kPa Test duration: .......................................................................................................... min Test results: 148 (Details of any observed or measured leakage, swelling or distortion.) ……………………………………………………………………………………………… HIGH TEMPERATURE RESISTANCE TEST Collector Reference Number: Method used to heat collector: Outdoor Testing In Solar Irradiance Simulator Test Conditions: Collector tilt angle (degrees from horizontal): ............................................................... ° Average irradiance during test: ............................................................................. W/m2 Average surrounding air temperature: ........................................................................ °C Average surrounding air speed: …………………………………………………….…… m/s Average absorber temperature: .................................................................................. °C Duration of test: ...................................................................................................... min Additional Information: (Especially for evacuated tubular collectors, the temperature of the collector was measured at the location shown in the drawing below.) Test results: (Details of any observed or measured degradation, distortion, shrinkage or outgassing.) ……………………………………………………………………………………………… EXPOSURE TEST Collector Reference Number: Test Conditions: Collector tilt angle (degrees from horizontal): ………………………….………………… ° In Tables B2 and B3 full details should be given of the climatic conditions for all days during the test, including: daily global irradiation, H (MJ/m2); 149 periods when the global irradiance G and the surrounding air temperature (ta) have values greater than those specified in the corresponding climate parameter values; surrounding air temperature, ta (°C); rain (mm). Table B2 Detail of of the climatic conditions Date H MJ/m² Ta °C Total: Rain mm …………… days in which H > …… MJ/m² Table B3 Detail of of the climatic conditions Date G W/m² Ta °C Total: Time Periods min ……….……. min in which G > 850 W/m² Test Results: …………………………………………………………………………………………… EXTERNAL THERMAL SHOCK TEST Collector Reference Number: Test performed: Outdoors In Solar Irradiance Simulator Test Conditions: Collector tilt angle (degrees from horizontal): ............................................................... ° Average irradiance during test: ............................................................................. W/m2 Minimum irradiance during test: ........................................................................... W/m2 Average surrounding air temperature: ........................................................................ °C Minimum surrounding air temperature: ..................................................................... °C Period during which the required operating conditions were maintained prior to external thermal shock: ................................................................................ min Flow rate of water spray: ................................................................................ kg/(s*m2) Temperature of water spray: ...................................................................................... °C Duration of water spray: .......................................................................................... min Absorber temperature immediately prior to water spray: ............................................ °C Additional information: 150 (Especially for evacuated tubular collectors, the temperature of the collector was measured at the location shown in the drawing below.) Test Results: (Details of any cracking, distortion, condensation, water penetration or loss of vacuum.) …………………………………………………………………………………………… INTERNAL THERMAL SHOCK TEST Collector Reference Number: Test performed: Outdoors In Solar Irradiance Simulator Test Conditions: Collector tilt angle (degrees from horizontal): ................................................................° Average irradiance during test: ..............................................................................W/m2 Minimum irradiance during test: ............................................................................W/m2 Average surrounding air temperature during test: ...................................................... °C Minimum surrounding air temperature: ..................................................................... °C Period during which the required operating conditions were maintained prior to internal thermal shock: .................................................................................min Flow rate of heat transfer fluid: ....................................................................... kg/(s*m2) Temperature of heat transfer fluid: ............................................................................ °C Duration of heat transfer fluid flow: ..........................................................................min Absorber temperature immediately prior to heat transfer fluid flow: ........................... °C Additional information: (Especially for evacuated tubular collectors, the temperature of the collector was measured at the location shown in the drawing below.) Test Results: (Details of any cracking, distortion, condensation, water penetration or loss of vacuum.) ……………………………………………………………………………………………… 151 RAIN PENETRATION TEST Collector Reference Number: Collector mounted on: Open frame Simulated roof Test Conditions: Collector tilt angle (degrees from horizontal): ............................................................... ° Method used to keep absorber warm: Hot water circulation Exposure of collector to solar radiation Water spray flow rate: …………………………………………….………………..g/(s*m2) Duration of water spray: ………………………………………….………………………..h Test Results: Area with visible sign of water penetration (expressed as a percentage of aperture area): …..………………………………………% Give details of water penetration, reporting the places where water penetrated and the time the sign of rain penetration took to vanish. …………………………………………………………………………………………… MECHANICAL LOAD TEST Collector Reference Number: Positive pressure test of the collector cover Method used to apply pressure: Loading with gravel or similar material Loading with water Suction cups Pressurisation of collector cover Test Conditions: maximum pressure load: ………………………………………………………….Pa 152 Test Results: (Details of any damage to the collector cover after the test, reporting the value of pressure load which caused the damage.) …………………………………………………………………………………… NEGATIVE PRESSURE TEST OF FIXINGS BETWEEN THE COVER AND THE COLLECTOR BOX Method used to apply pressure: Suction cups Pressurisation of collector box Test Conditions: maximum pressure load: ………………………………………………………….Pa Test Results: (Details of any damage to the collector cover or cover fixings after the test, reporting the value of pressure load which caused the damage.) ……………………………………………………………………………………… IMPACT RESISTANCE TEST Collector Reference Number: Test performed using: Vertical impact (dropping ball) Horizontal impact (pendulum) Test Conditions: Diameter of ball: …………………………………………………………………………..mm Mass of ball: …………………………………………………………………………………..g Test Procedure: Drop Height m 0.4 0.6 0.8 1.0 Number of Drops 153 1.2 1.4 1.6 1.8 2.0 Test Results: (Details of any damage.) ……………………………………………………………………………………………… FINAL INSPECTION Collector Reference Number: Date of inspection: ………………………... Table B4 Final Inspection Collector Component Collector Casing and Fasteners Potential Problem Cracking/ Warping/ Corrosion/ Rain penetration Mountings/ Structure Strength/ Safety Seals/ Gaskets Cracking/ Adhesion/ Elasticity Cover/ Reflector Cracking/ Crazing/ Buckling/ Delamination/ Warping/ Outgassing Cracking/ Crazing/ Blistering Absorber Coating Absorber Tubes and Headers Absorber Mountings Insulation Deformation/ Corrosion/ Leakage/ Loss of bonding Deformation/ Corrosion Water Retention/ Outgassing/ Degradation Evaluation 154 C. THAI INDUSTRIAL STANDARD FOR FLAT PLATE SOLAR COLLECTOR (TIS 899-2532) This Thai Industrial Standard specifies types, components, required characteristics, label, samplingand judging criteria, and testing of solar collector with exposure area larger than 0.5 m2. 1. Types Solar collector can be divided into 4 categories according to the production processes of absorbing plates. Type 1: The solar collector consists of an absorber plate which is produced by electroplating technique. Type 2: The solar collector consists of an absorber plate which is produced by chemical process. Type 3: The solar collector consists of an absorber plate which is produced by painting technique. Type 4: The solar collector consists of an absorber plate which is produced by other techniques. 2. Components Generally, the solar collector consists of frame, transparent plate, absorber plate, tubes located inside the solar collector, insulator, and container and backing plate 3. Required characteristics 3.1 Solar collector performance 3.1.1 Leakage 3.1.2 Tolerance of temperature change 3.2 Materials for solar collector 3.2.1 Transparent plate 3.2.1.1 Glass used as a transparent plate should be complied with TIS 54 or tempered glass 3.2.2 Absorber plate 3.2.2.1 Optical property Solar absorptance and emittancemust be complied with the label. 3.2.2.2 Tolerance to the weather There must be visible crack or flake at the surface of the absorber plate no more than 1% of the whole surface. 3.2.2.3 Adhesion The surface of the absorber plate that is peeled off with the glue strip should be no more than 5 mm2. 3.2.3.4 Tolerance to corrosion There must be no corrosion or swelling at the surface of the absorber plate and there no rust should be found at the metal base. 3.2.3 Container and backing plate 3.2.3.1 Tolerance to the weather There must be no visible crack or flake at the surface of the container and the backing plate. 3.2.3.2 Tolerance to corrosion There must be no visible corrosion or swelling at the weld. 155 3.2.4 Insulator Changes of mass and dimensions of the insulator must not be larger 5%. 4. Signs and labels There must be, at least, numbers, letters or signs indicated on the solar collector plates visibly and permanently as follows: 1) wording “Flat Plate Solar Collector” 2) Types 3) Dimensions, total area and exposure area 4) Mass of solar collector in kg 5) Maximum working pressure in kPa 6) Minimum absortance and maximum and emittance 7) Plots of thermal efficiency 8) lot number 9) Name of manufacturer or registered trade mark 10) Country of manufacturing 5. Sampling and judging criteria Sampling and judging criteria can be done for one particular lot with no more than 300 plates, and with the same type, materials, production process, and trading period. 5.1 Sampling and acceptance for performance testing of the solar collector 5.1.1 Random Sampling from the same lot for 1 plate. 5.1.2 The sample must be identical to item 3.1. Therefore, solar collectors in that lot can be qualified. If any of the sample does not follow item 3.1, another plate should be sampled for double-check. 5.2 Sampling and acceptance of the testing of absorber plate, container and backing plate, and insulator 5.2.1 A sample of the absorber plate, container and backing plate, and insulator are cut off from the solar collector that has been passed the performance test and absorber plate testing. 5.2.2 The sample must be complied with the material standard for solar collector. 5.3 Judging criteria Samples must be complied with the sampling criteria and the standard of material, which can be chosen as the material for a solar collector. If the samples are qualified, that lot of solar collectors can be regarded as the solar collectors approved by the TIS. 156 D. REMARKS ON ECONOMIC ASSESSMENT This is just an example for a possible economic assessment of a given solar application; other approaches may be applied as well. Simple economic assessment by annuity method A Solar supported system x Investment cost, sum of - collector - collector support - storage - hydraulics - auxiliary system - installation - control - planning - ….. x Subsidy - Calculation of annuity factor from final total investment cost (Investment cost – Subsidy) - Calculation of annual cost = total final investment cost * annuity factor + annual fuel & electricity cost + annual cost for maintenance, inspection B Reference system (non-solar conventional system) Repeating the annual cost calculation for the reference system Application: Comparison of specific costs, e.g. heat generation costs (annual cost / annually produced heat) between solar assisted system and reference system Difference in annual cost may be related to annual primary energy savings, CO2 savings, etc. See following example: 157 eingesparte Primärenergie 30% 25% 500 650 800 950 1100 1250 1400 20% 15% 10% 5% 0% 0 20 40 60 80 100 120 140 160 Speichervolumen, l/m2 Kosten eingesparte PE, ¼/kWh 0,25 0,20 500 650 800 950 1100 1250 1400 0,15 0,10 0,05 0,00 0 50 100 Speichervolumen, l/m 150 200 2 Example: Upper figure: annually saved primary energy (difference in percent between primary energy consumption of reference system and solar assisted system) as a function of the storage volume (horizontal axis; liter per m² collector area) and of the collector size (different curves; size in m²). Excerpt from a calculation of a large solar cooling system. Figure below: specific costs of saved primary energy of the system as a function of the storage volume (horizontal axis) and of the collector size, given in m² (different curves). The specific costs are calculated from the difference in annual cost (solar system – reference system) and divided by the annual saved primary energy [¼/kWhsavedPE ]. A flat cost minimum appears in this application of large solar cooling system at collector areas > 1000 m², leading to annually primary energy savings of > 20% in the range of an optimised storage size. Static payback time (Investment cost (solar assisted system) – Investment cost (reference system)) / (annual O&M (reference) – annual O&M (solar)) In the example above, a payback time is not given, since the system (unfortunately often the case in solar cooling systems) is under the applied cost figures not economic beneficial