A study of some economic factors relating to the development and implementation of a satellite power system
Areas are examined relating to the design, development and implementation of a satellite power system (SPS): an analysis of the effect of energy R&D programs in general and SPS in particular on optimal fossil fuel consumption patterns, a study of alternative uses of SPS technologies, and a study of the electric power market penetration potential for SPS. It is shown that a credible program of R&D on long-range energy alternatives leads to lower optimal prices for fossil fuels, resulting in large short-term benefits accruing to the specific program elements. Several alternative uses of SPS technologies were identified; however the markets for these technologies are generally quite diffuse and difficult to assess. The notable exception is solar array technology which has, potentially, a very large non-SPS market. It is shown that the market for SPS units derives from two components of demand: the demand created by growth in the electrical energy demand which leads to an increased demand for baseload generating capacity, and a demand created by the need to replace retiring capacity.