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Solar energy prices fell sharply, the future go from where

2017-06-05

Last week, the data released a report on the occasion of the Laurence Berkeley National Laboratory, Sun City on Friday also launched the so-called rooftop solar panels in the world's most efficient. As the nation's largest residential solar supplier, Sun City says the new product will generate 38% more than standard panels and lower costs.  It was a pretty good achievement for an industry that did not exist in the United States 10 years ago. Although solar power currently accounts for only 1% of all electricity, solar energy costs are lower, helping the development of large-scale, public sector solar projects. 

 As the UN climate talks are drawing near, solar energy is the key to global efforts to reduce reliance on fossil fuels and cut carbon emissions. "When you have made so great progress, is almost a hobby for the development of a mainstream industry, really great, it is exciting," Sun City's co-founder and chief technology officer Peter Rive said. (Rive's cousin, Elon Musk, President of Sun City, recently launched the Tesla battery system, and is also working to boost solar power's appeal to utilities.) Rive says the company's new solar panel is taking a step on the road to turning solar energy into cheaper energy, without seeking federal investment, tax breaks, and other incentives."


 Currently, the federal government will return 30% of the cost of a solar system to its customers. But the tax cuts will end by the end of next year, so the solar industry must try its best to reduce prices as soon as possible. Laurence Berkeley national laboratory report predicted that "the next 15 months, the solar energy industry will have a big action."According to the report, the price of electricity purchased from large-scale solar power plants is now on average 5 cents per kilowatt hour, while the wholesale electricity market is priced at 3-6 cents per cent. So far, the steep decline in solar equipment has not made electricity prices fall. In most areas, and even in large solar power plants, people spend more on electricity bills than they did in previous years, because the retail price of electricity is determined by a variety of factors. This could also mean that more power will be supplied by non fossil fuels, which, after all, are not as susceptible to price changes as fossil fuels. 


 Mark Bolinger co authored the report that, although the new solar projects and existing fossil fuel power plant cost is hard to make a direct comparison, but in some areas, solar power and thermal power is close to a relatively high point. "Only a few years ago, solar power was just an extension of thermal power," he said. The decline in electricity prices for large solar projects reflects a reduction in construction costs. The report pointed out that in 2009 -2014, the construction cost of solar energy projects fell by more than 50%. At the same time, due to the more reasonable location and more advanced technology, the power generation capacity of solar power plants has been significantly improved. 


 With the start of operation in early 2017 in New York, Buffalo, the city plans to apply its latest results to the residential market. After third tests, the company's latest rooftop solar panels have energy efficiencies of up to 22.04%, exceeding the 21.5% record created by SunPower products. Bolinger says there is another "encouraging" trend: solar energy applications are expanding. Most solar facilities concentrated in the southwestern United States, but Bolinger said in Alabama, Arkansas, Florida, and Georgia began to appear in many solar fields, "these places in the past almost no such desire." Of course, solar energy prices will not continue to fall sharply over the next few years. However, Bolinger believes that we may see the solar market will continue to expand.

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