The Pacific Northwest Laboratory evaluated the potential feasibility of using chemical energy storage at the Solar Electric Generating System (SEGS) power plants developed by Luz International. Like sensible or latent heat energy storage systems, chemical energy storage can be beneficially applied to solar thermal power plants to dampen the impact of cloud transients, extend the daily operating period, and/or allow a higher fraction of power production to occur during high-valued peak demand periods. Higher energy storage densities make chemical energy storage a potentially attractive option. The results of the evaluation indicated that a system based on the reversible reaction, CaO + H2O = Ca(OH)2, could be technically and economically feasible for this application, but many technical and economic issues must be resolved.