Currently, solar power plants (photovoltaic) make up a small percentage of global electricity production, but the number of solar energy projects is continuously increasing. Solar energy is becoming more competitive day by day due to advancements in technology, cost reduction, and technological improvements. The further development of solar energy production, especially in developing countries, is attractive. Additionally, social, political, and environmental factors contribute to the widespread use of renewable energy. Solar energy has proven itself in recent years and has demonstrated advantages over traditional energy sources like coal. Increasing knowledge and new technologies make solar power plants more efficient and cost-effective. It’s no wonder that the construction of solar power plants has gained popularity among investors. Many countries have abundant solar resources and exceptional economic opportunities for innovative development in this sector. Photovoltaic power plants can be built in just a few months, which is a strong incentive for growing economies. Thanks to increased attention to environmental laws and stricter requirements, many governments are also interested in solar energy. Mehrshid Niroo Company, with sufficient knowledge and experience in constructing various types of solar power plants and renewable energy facilities, is ready to provide services.
How to Start Building a Solar Power Plant?
A solar or photovoltaic power plant project is a multi-stage process that requires a team of experts with various backgrounds and experienced professionals from different regions. In this critical stage, our engineers and financial consultants assess the energy production potential, select the best location, and choose the most efficient technology for you. We carefully analyze the electricity market and seek suitable land for plant construction. At the same time, Mehrshid Niroo’s experts conduct a feasibility study for the project, obtain permits, and provide agreements for grid connection.
Stages of Solar Power Plant Construction:
- Finding Suitable Land
- Detailed Pre-Feasibility Study
- Project Pre-Feasibility Study
- Permitting and Contracting
- Engineering and Construction
- Testing and Commissioning
- Operation and Maintenance
- Upgrading
Our approach to each project is individual, depending on the investor’s goals and priorities, funding, legal requirements, and other specific factors. As a result, we strive to meet the client’s expectations. In this stage, there’s no need for substantial investment in solar power plant construction.
Pre-Feasibility Study for Solar Power Plant
The goal of the initial feasibility study is to determine the project’s general specifications and investment amount. Based on the report, the investor can conclude about the project’s feasibility and the need for additional investment resources. All studies in this stage are conducted under conditions of uncertainty, requiring the attention of all stakeholders.
The pre-feasibility study includes the following:
- Predicted electricity price
- Site area assessment
- Comparison of various technological solutions and their implications
- Predicted financial costs and potential project income
- Evaluating the capacity of a seasonal solar power plant
- Feasibility and conditions of connecting the power plant to the national grid
- Initial design and construction process
- Evaluation of economic, political, and legal project risks
- Evaluation of social and environmental risks
- Position modeling for final decision-making
In this stage, it is crucial to determine potential opportunities and obstacles and create the most effective solution for the client.
Feasibility Study for Solar Power Plant
The most crucial thing for an investor is a professional feasibility study, which includes facility characteristics, practical technical solutions, as well as financial costs of construction, operation, and maintenance. The feasibility study phase is always based on previous work results and utilizes more accurate information for a specific project. If the results are favorable, the client should be prepared for further investment to advance the project. A typical feasibility study includes a detailed summary of technical, supervisory, financial, and commercial aspects. Constructing a solar power plant requires a comprehensive analysis of all factors that may impact the project’s success.
A feasibility study for a solar power plant includes the following:
- Developing an Accurate Land Plan
- Assessing Potential Solar Resources in the Construction Area
- Identifying Environmental Factors That May Affect Project Execution
- Thorough Examination of Environmental, Social, and Political Aspects
- Detailed List of Required Licenses and Permits
- Costs and Conditions for Connecting the Solar Power Plant to the Grid
- Additional Analysis of Electricity Costs
- Financial Resource Analysis for Solar Power Plant Construction
- Final Concept of the Project’s Business Structure
- Detailed Financial Analysis
The feasibility study may run concurrently with activities related to obtaining permits, securing financing, and contracts. Coordinating these activities is essential for the success of the solar energy project. Small projects may be limited to calculating the essential features of a solar power plant and its key equipment. Our engineers always consider the specific needs of a particular client, so documentation is tailored to the objectives, scope, and budget of your project. We have years of experience in engineering and constructing solar power plants in Europe, Africa, and other parts of the world. Taking into account the experience of previously designed facilities, we provide optimal technical and economic solutions to investors.
Obtaining Permits
After a positive decision based on feasibility studies, we obtain construction and operation permits for the solar photovoltaic power plant from local authorities. This is a crucial step to ensure project financing and commercial contracts. Acquiring official permits is a significant part of our solar power plant construction services. Legal requirements vary from one country to another, which is why our legal team initiates negotiations with authorities in the early stages of the project. Delays and specific documentation requirements depend on the location, capacity, and type of facilities. In some cases, adjustments to the original plan may be necessary to obtain the required permits.
Financial Resourcing for Solar Projects
Financing solar power plants is fundamentally similar to financing other energy projects, but there are specific risks in this industry. These risks are primarily related to new technologies, insufficient studies, and potential changes in government policies. Banks are interested in the predicted performance of the future power plant, usually with a 90% probability (P90) of electricity production. Having an independent expert’s opinion ensures the confidence of stakeholders and aids in attracting investment in solar energy projects. To secure financing, our experts prepare comprehensive project documents. Currently, solar energy is not well-known to banks in developing countries, so clients may need to invest time in securing loans. Finding financial resources for the project is crucial. We assist our clients in obtaining commercial loans from major Spanish banks. Our contacts offer the most favorable financial terms to customers for implementing solar energy projects.
Engineering and Design of Solar Power Plants
After obtaining permits and securing project financing, our team of engineers proceeds with the detailed technical documentation. This documentation is thoroughly organized and always available to all interested parties. We develop all electrical circuits with precision, including equipment for grid connection and protection. Special attention is given to civil engineering elements such as foundations, buildings, access roads, and other infrastructure. Experience has shown that professional design can save significant financial resources in the future.
Construction of Solar Power Plants
Our company provides a complete range of services for constructing solar power plants and on-site construction supervision. A customer gains an advantage by working with a single point of contact responsible for coordinating all processes and adhering to the work schedule. After construction is completed, we conduct all performance and reliability tests specified in the contract. Upon successful completion of tests, the company provides the customer with all documents and records, including a detailed project description, blueprints, operational protocols, and more. We actively engage in the operation and maintenance of solar power plants. Our experienced engineers can also train your personnel to meet world-class standards.
Construction Management of Solar Power Plants
The management of solar power plant construction must align with good overall project management practices for construction. The specific approach depends on the project’s characteristics and several other factors. Most large photovoltaic solar power plants are constructed using fully protected Engineering, Procurement, and Construction (EPC) contracts. In such cases, the EPC contractor takes full responsibility for construction. An EPC contract can be significantly advantageous for a heavy investor since they don’t need to control multiple smaller contractors. However, EPC transfers the risks to the contractor, even though it is often more expensive. Properly planning and executing each phase of a solar power plant construction project is essential for successful and timely completion without additional costs.
This construction plan should include the following information:
– Objectives and construction duration.
– Potential risks and constraints at each stage.
– Key stages and their completion dates.
– Priorities and the relationship between all stages.
– Responsible parties for execution.
– Actual construction progress.
All tasks, milestones, and expected completion dates should be detailed for each specific work along with any constraints. If permits or weather conditions might cause delays in specific months, this should be taken into account.
A comprehensive construction plan should include:
– Design.
– Equipment procurement.
– Site preparation and access.
– Construction.
– Ensuring site safety and security.
– Foundation construction.
– Installation of metal structures.
– Installation of photovoltaic modules.
– Construction of substations.
– Electrical installation.
– Electrical connection.
– Testing and commissioning.
Each of these tasks should be further broken down into subtasks. This construction plan should consider and detail the risks associated with each subtask and include measures to minimize them, especially in cases of unforeseen conditions.
Any factor that could hinder or restrict the effective execution of tasks should also be considered. Among these factors, access to the construction site, resource availability, including manufacturing facilities and labor force, the training of the workforce when working in new markets, obtaining permits and other regulatory constraints, facility security considerations, and access to the power grid should all be taken into account.
The construction plan specifies the start date of some tasks and highlights the critical path for the continuous execution of solar power plant construction. A comprehensive plan should also account for resource availability, ensuring that personnel or required elements for the solar power plant are readily available.
For instance, when connecting to the national power grid, the company needs to design and build a large substation in compliance with the energy company’s requirements and contract specifications. The date of the grid connection will be planned in advance. If the contractor misses the deadline, it may lead to significant delays and impacts on the construction and commissioning of the solar power plant.
Including a procurement plan for components with long lead times (e.g., transformers, inverters, and PV modules) ensures their timely delivery. This plan also covers any issues related to delivery dates and construction. Engineers need to prepare all the conditions for maintaining expensive equipment on the construction site.
To save time, it’s advisable for all stakeholders to use a well-prepared project planning package and review the plan. Our experts continuously gather information from the construction site and analyze it to prevent delays and extra costs.
Construction Management of Solar Power Plants
Effective construction management of solar power plants should align with general project management principles. The specific approach depends on project characteristics and various other factors. Most large photovoltaic solar power plants are constructed using fully protected Engineering, Procurement, and Construction (EPC) contracts. In this case, the EPC contractor assumes maximum responsibility for construction. An EPC contract can be quite advantageous for heavy investors as they don’t need to oversee multiple smaller contractors. However, it transfers risks to the contractor, even though this approach is often more expensive. Properly planning and executing each phase of a solar power plant project is vital for successful and timely project completion without additional costs.
This plan should include the following information:
– Objectives and construction duration.
– Potential risks and constraints at each stage.
– Key stages and their completion dates.
– Priorities and the relationship between all stages.
– Responsible parties for execution.
– Actual construction progress.
All tasks, milestones, and expected completion dates should be detailed for each specific task, along with any constraints. If permits or weather conditions could potentially cause delays during specific months, this should be taken into account.
The solar power plant construction plan should cover the following:
– Design.
– Equipment procurement.
– Site preparation and access.
– Construction.
– Ensuring site safety and security.
– Foundation construction.
– Installation of metal structures.
– Installation of photovoltaic modules.
– Construction of substations.
– Electrical installation.
– Electrical connection.
– Testing and commissioning.
Each of these tasks should be further subdivided into subtasks. The plan should be formulated in a way that clearly outlines all relevant tasks and ensures their timely execution. The construction plan should consider and address the risks associated with each subtask and include measures to minimize them, particularly in cases of unforeseen circumstances.
Any factor that might hinder or restrict effective task execution should also be taken into account. Among these factors, experts consider:
– Site access.
– Resource availability, including production facilities and workforce.
– Workforce training when operating in new markets.
– Obtaining permits and other regulatory constraints.
– Facility security considerations.
– Access to the power grid.
The construction plan highlights the start date of certain tasks and emphasizes the critical path for the seamless execution of solar power plant construction.
A comprehensive plan should also consider resource availability, ensuring that personnel or required components for the solar power plant are readily accessible.
For example, when planning to connect to the national power grid, the company must design and build a large substation in accordance with the energy company’s requirements and contract specifications. The date of grid connection will be pre-planned. If the contractor misses this deadline, significant delays and impacts on the construction and commissioning of the solar power plant may occur.
Including a procurement plan for components with long production lead times (such as transformers, inverters, and PV modules) ensures their timely delivery. This plan also addresses any issues related to delivery dates and construction. Engineers must prepare all conditions for the maintenance of expensive equipment at the construction site.
To save time, it’s advisable for all stakeholders to use a well-prepared project planning package and review the plan. Our experts continuously gather information from the construction site and analyze it to prevent delays and extra costs.
Risk Management and EPC Contracts
Throughout the construction of a solar power plant, we continuously identify, assess, and manage the risks associated with your project. The next step is to create an appropriate action plan to mitigate the identified risks. If a specific risk may impact project execution, alternative solutions are under consideration.
Possible risk elements can include:
– Weather conditions
– Grid connection delays
– Lack of qualified personnel
– Equipment procurement delays
– Transportation issues
– Soil conditions at the construction site
– Incidents, and more
Many of these risks can be reduced during the planning and design phases.
Some risks persist until all equipment is in place. For example, equipment may be damaged or lost during transportation. This risk can be mitigated by selecting experienced suppliers and appropriate transportation methods.
Insurance covers the cost of replacing equipment. However, it does not compensate for delays and reduced electricity production due to the loss of critical components. Such risks should be considered when formulating EPC contract terms.
Quality Control
Quality control in construction is crucial for the success of a solar power plant. The required quality level should be clearly defined in contract specifications. A quality plan is a review document that elaborates in detail on all the work stages and tests that need to be carried out in the project. It helps the contractor execute the work correctly and provides the investor with an opportunity to assess quality.
A quality plan usually includes the following information:
– Precise project objectives.
– Contractor responsibilities for equipment acceptance.
– Estimated completion dates for each construction phase.
– Accurate test results, photos, and other data.
We regularly conduct quality audits to ensure that work is in accordance with quality plans. These audits also identify quality issues that should be addressed during the initial phases.
Construction Safety Management
The health and safety of employees are closely monitored by our experts. In addition to ethical considerations, the penalties resulting from non-compliance can pose serious risks to the project. Furthermore, constructing a solar power plant with a conscientious approach to health and safety increases the likelihood of international funding.
General safety management guidelines include:
- Solar Power Plant Design
- Maintenance and Operation
- Employee Interaction and Training
- Personal Protective Equipment
- Hazardous Environments
- Biological Hazards
- Physical Hazards
- Chemical Hazards, etc.
Our experience in building solar power stations shows that falls from heights, electrical shocks, equipment lifting accidents, and traffic accidents are among the most common causes of worker injuries. Our Environmental, Health, and Safety (EHS) experts create project-specific recommendations with sufficient requirements for each aspect of the work.
Construction of Buildings and Structures
In general, constructing buildings and structures for a photovoltaic solar power plant is relatively straightforward. However, miscalculations in design, access roads, and infrastructure often result in injuries, delays, and additional costs. The main risks are usually related to soil conditions at the construction site. Insufficient soil investigation reports with insufficient precise information can lead to incorrect design.
Common hazards include:
- Gases and leachates from previous landfill sites.
- Highly contaminated soils due to industrial activities.
- Unexploded ordnance and other potential hazards.
- Tunnels, sinkholes, or other objects not marked on the site map.
Considering the nature of drilling, digging, or driving piles for foundations, having information about hazardous subsurface conditions is crucial. This is especially true when building solar power plants in industrial facilities and military bases.
Installation of Steel Structures for Solar Power Plants
The installation phase of steel structures involves the assembly and installation of the module support frames and other equipment at the station.
Some common mistakes at this stage can be very costly:
- Improper use of installation tools.
- Lack of necessary cross supports.
- Incorrect use of corrosion-resistant coatings.
- Misalignment of structures.
- Incompatibility of some elements.
- Incorrect installation of tracking systems.
- Insufficient space for module rotation.
- Ineffective installation of photovoltaic modules, etc.
Such mistakes can affect energy production and equipment durability. They often lead to emergency situations. Entrusting the installation of steel structures to the experts at Mehrshid Niroo Company protects your business from additional expenses.
Cables and electrical equipment must be installed in accordance with manufacturer recommendations. Electrical work should be performed with caution as cables may get damaged during pulling or bending. Cables connected to the structure need proper protection and secure fastening to ensure normal operation and long equipment life. Underground cables between solar modules should be safely buried at an appropriate depth and with proper marking. Cables are laid in cable channels or protected by a layer of sand during filling. Comprehensive tests are required before turning on the electricity to ensure the cables are undamaged. We understand that electrical standards in emerging markets are constantly being updated or recently approved. If necessary, we harmonize all equipment parameters with local requirements.
Connecting a Solar Power Plant to the Grid
Close communication with the contractor for grid connection is crucial. The grid connection can be entirely handled by Mehrshid Niroo Company. Delays in the grid connection phase can impact the solar power plant’s commissioning date. Therefore, our team will handle the submission of requests, obtaining all necessary permits, and ensuring technical compliance.
Optimizing Logistics Processes
Inadequate planning for construction and supply scheduling can lead to logistical challenges. Potential risks include:
- Insufficient spacing between photovoltaic modules.
- Limited access to the construction site due to weather conditions.
- Need for acquiring non-standard oversized equipment.
- Lack of access roads.
We make every effort to prevent any delays and extra costs. Constructing a solar power plant must be operationally assessed to ensure quick equipment repair or replacement.
Construction Site Security
When planning for the construction of large facilities, it’s essential to prepare a security plan. This is especially true in areas where there may be protests or unemployment/crime issues. Builders will use a considerable amount of expensive equipment and non-ferrous metals like copper. PV solar modules may be at risk of theft or damage due to malicious actions. Construction site security measures require proper planning and sufficient financial backing. Our experience shows that object protection can bring significant benefits to both investors and the region.
Monitoring Solar Power Plant Construction
The EPC contract informs customers and stakeholders about the construction status, costs, and any issues arising during the solar power plant’s construction. Our experienced staff is responsible for overseeing the construction from A to Z. The construction monitoring team usually consists of an experienced engineer on-site with support from multiple technical specialists in the office. We analyze all costs, track every stage of construction and equipment installation. This service ensures that the work is properly resourced and organized. Depending on the customer’s needs, it may cover specific areas such as power system integration or geotechnical issues.
Key Stages and Tests During Construction Monitoring:
- Inspection of access road construction.
- Supervision of PV module delivery.
- Inspection of solar inverters, transformers, and equipment installation.
- Examination of foundation structures.
- Cable routing inspection.
- On-site acceptance testing.
- Monitoring and troubleshooting.
