Concentrated solar power plant (CSP) with thermal energy storage can be operated as peak load shaving plant, which is one of the most economic solutions to the intermittency of renewable energy grid. The steam generation system (SGS) is the central hub between the heat transfer fluid and the working fluid of CSP, of which the dynamic characteristics need to be further investigated. The SGS of Solar Two power tower plant with the molten salt as both the heat transfer fluid and storage media is selected as the object. The mathematical model with lumped parameter method is developed to analyze its dynamic characteristics. Model validation is carried out and it shows that the proposed model can simulate the characteristics of SGS in an accurate manner. Five simulation tests were carried out under the disturbances that the molten salt solar tower power plant may encounter under various solar irradiation and output electrical load. Both the dynamic and static