After years developing world-leading solar power technology in drought-stricken New South Wales, a company has decided to build its new commercial solar plant elsewhere due, in part, to a lack of sun.

Key points: Vast Solar began looking at Forbes as a good place for a solar plant in 2011

Vast Solar began looking at Forbes as a good place for a solar plant in 2011 The decision was about sunshine, and also the amount of support it would get from State Governments

The decision was about sunshine, and also the amount of support it would get from State Governments The company is now looking at sites in South Australia and Queensland

When solar energy innovators Vast Solar began research in the western NSW town of Forbes in 2011, council general manager Steve Loane was optimistic the city would one day be a regional renewable hotspot.

When he learned the company would be looking outside of Forbes to build its first fully commercial concentrated solar thermal power (CSP) plant though, it was disappointing.

"It's a bit unfortunate for us, because we're extremely proud and excited to have had that in our backyard as a pilot plant," Mr Loane said.

Mr Loane was told Forbes' climate and energy infrastructure was unsuitable for such a project.

"Unfortunately we don't have enough sun in Forbes … we just have too many days with cloud."

Concentrated solar thermal power modules are made up of 700 mirrors each. ( Supplied: Vast Solar )

Boasting a number of large traditional solar farms, Mr Loane said Forbes' future as a renewable destination was still bright despite still relying on conventional power generation.

"The traditional methods of power generation are still here for some time into the future, until such time as we can get some baseload power from these alternative sources," he said.

World-leading solar technology will find new home interstate

Vast Solar have made major advancements in their proprietary CSP technology since arriving in Forbes.

CEO Craig Wood said the technology was now ready for a fully commercial expansion in the form of a 30 megawatt power plant, but would not be suited to Forbes' climate.

"Concentrating solar thermal benefits from bright sunlight, so on a day like today, when we've got plenty of cloud and intermittent cloud, that's not ideal," Mr Wood said.

He said an appropriate site for the power plant was currently being scouted in Queensland and South Australia.

Mr Wood said Forbes' pilot site will continue to research and operate as normal. ( ABC Central West: Donal Sheil )

Mr Wood said the decision not to build in the drought-ravaged town of Forbes was influenced by a number of factors in addition to climate.

"It's also partly determined by the amount of support that will be available from State Governments, the Australian Renewable Energy Agency, and also the Clean Energy Finance Corporation," he said.

"There are a lot of pieces of the puzzle that need to fall into place, but all of those stakeholders at this point are supportive of us developing our reference plant here in Australia."

Similar in operation to a traditional coal-fired thermal power plant, Mr Wood said the innovative technology could provide new jobs for ex-coal workers.

"We have a steam turbine, and all of the associated industrial equipment that goes with that, and it's very much the same technology as is employed in coal-fired power stations," he said.

"As the world transitions away from fossil fuel-fired power stations … it's certainly our hope and expectation that they'll be offered jobs in concentrating solar thermal power plants of the sort that we're building."

Solar forecasting integral for renewable efficacy

As solar power continues to proliferate across the country, knowing when the sun will shine has never been more valuable.

Professor John Boland is an environmental mathematician with the University of South Australia and is helping lead the way for new forecasting solutions.

He recently received $1.2 million in funding from ARENA's Advanced Renewables Program to conduct research to improve short-term solar forecasts.

In a collaboration with the CSIRO and University of New South Wales, Professor Boland said solar power plants have thin windows of opportunity to produce maximum energy.

"The electricity market in Australia operates on a five-minute basis," he said.

Professor John Boland says his research aims to help solar companies make the most of available sunshine. ( ABC Central West: Donal Sheil )

"The Australian Energy Market Operator [AEMO] wants to be able to have some reasonable forecast of what's going to come out of these solar farms in the five minutes, 10 minutes, half an hour," he said.

Professor Boland said when a solar power plant alerted AEMO about upcoming power generation they were liable for over or under-performing on their predictions.

"If your forecast is too high compared to what actually arrives, you will have to pay for some extra energy," he said.

"If your forecast is under what you're actually going to produce, the market operator might only take the amount you predicted."

He said, if successful, his team's research would help save solar farmers valuable time and money.

"It optimises that whole system and makes everything much more robust."