Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

Affordable solar?

13.12.2011
It’s time to stop thinking of solar energy as a boutique source of power, says Joshua Pearce.

Sure, solar only generates about 1 percent of the electricity in the US. But that will change in a few years, says Pearce, an associate professor of electrical engineering and materials science at Michigan Technological University. The ultimate in renewable energy is about to go mainstream.

It’s a matter of economics. A definitive new analysis by Pearce and his colleagues at Queens University in Kingston, Ontario, shows that solar photovoltaic systems are very close to achieving the tipping point in many regions: they can make electricity that’s as cheap— sometimes cheaper—than what consumers pay their utilities.

Here’s why. First, the price of solar panels has plummeted. “Since 2009, the cost has dropped 70 percent,” says Pearce. But more than that, the assumptions used in previous studies have not given solar an even break.

“Historically, when comparing the economics of solar and conventional energy, people have been very conservative,” says Pearce.

To figure out the true cost of photovoltaic energy, analysts need to consider several variables, including the cost to install and maintain the system, finance charges, how long it lasts, and how much electricity it generates. Pearce and his colleagues performed an exhaustive review of the previous studies and concluded that the values given those variables were out of whack.

“It is still a common misconception that solar PV technology has a short life and is therefore extremely expensive,” he said. However, PV panels are solid-state electronic devices with no moving parts and should last a long time. “Based on the latest long-term studies, we should be doing our economic analysis on a 30-year lifetime at minimum,” Pearce said.

In addition, most analyses assume that the productivity of solar panels will drop at an annual rate of 1 percent or more, a huge overestimation, according to Pearce. “If you buy a top-of-the-line solar panel, it’s much less, between 0.1 and 0.2 percent.”

Finally, “The price of the solar equipment has been dropping, so you’d think that the older papers would have higher cost estimates,” Pearce said. “That’s not necessarily the case.” Equipment costs are determined based on dollars per watt of electricity produced. Very recent studies set the amount between $2 and $10. The true cost in 2011, says Pearce, is under $1 per watt for solar panels on the global market, though system and installation costs vary widely. In some parts of the world, solar is already economically superior, and the study concludes that solar will become an increasingly economical source of electricity over expanding geographical regions.

In regions with a burgeoning solar industry, thanks to government programs that pay a premium for renewable energy, there are lots of solar panel installers, which heats up the market. “Elsewhere, installation costs have been high because contractors will do just one job a month,” says Pearce. “Increasing demand and competition would drop installation costs considerably.”

Furthermore, economic studies like Pearce’s don’t generally taken into account solar energy’s intangible benefits, reduced pollution and carbon emissions. And while silicon-based solar panels do rely on a nonrenewable resource—sand—they are no threat to the world’s beaches. It only takes about a sandwich baggie of sand to make a roof’s worth of thin-film photovoltaic cells, Pearce said.

Based on the study, and on the fact that the cost of conventional power continues to creep upward, Pearce believes that solar energy will soon be a major player in the energy game. “It’s just a matter of time before market economics catches up with it,” he says.

The study can be found at: K. Branker, M. J.M. Pathak, J. M. Pearce, “A Review of Solar Photovoltaic Levelized Cost of Electricity”, Renewable & Sustainable Energy Reviews 15, 4470-4482 (2011). http://dx.doi.org/10.1016/j.rser.2011.07.104.

Michigan Technological University (www.mtu.edu) is a leading public research university developing new technologies and preparing students to create the future for a prosperous and sustainable world. Michigan Tech offers more than 130 undergraduate and graduate degree programs in engineering; forest resources; computing; technology; business; economics; natural, physical and environmental sciences; arts; humanities; and social sciences.

Joshua Pearce | EurekAlert!
Further information:
http://www.mtu.edu

More articles from Power and Electrical Engineering:

nachricht Waste from paper and pulp industry supplies raw material for development of new redox flow batteries
12.10.2017 | Johannes Gutenberg-Universität Mainz

nachricht Low-cost battery from waste graphite
11.10.2017 | Empa - Eidgenössische Materialprüfungs- und Forschungsanstalt

All articles from Power and Electrical Engineering >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: Neutron star merger directly observed for the first time

University of Maryland researchers contribute to historic detection of gravitational waves and light created by event

On August 17, 2017, at 12:41:04 UTC, scientists made the first direct observation of a merger between two neutron stars--the dense, collapsed cores that remain...

Im Focus: Breaking: the first light from two neutron stars merging

Seven new papers describe the first-ever detection of light from a gravitational wave source. The event, caused by two neutron stars colliding and merging together, was dubbed GW170817 because it sent ripples through space-time that reached Earth on 2017 August 17. Around the world, hundreds of excited astronomers mobilized quickly and were able to observe the event using numerous telescopes, providing a wealth of new data.

Previous detections of gravitational waves have all involved the merger of two black holes, a feat that won the 2017 Nobel Prize in Physics earlier this month....

Im Focus: Smart sensors for efficient processes

Material defects in end products can quickly result in failures in many areas of industry, and have a massive impact on the safe use of their products. This is why, in the field of quality assurance, intelligent, nondestructive sensor systems play a key role. They allow testing components and parts in a rapid and cost-efficient manner without destroying the actual product or changing its surface. Experts from the Fraunhofer IZFP in Saarbrücken will be presenting two exhibits at the Blechexpo in Stuttgart from 7–10 November 2017 that allow fast, reliable, and automated characterization of materials and detection of defects (Hall 5, Booth 5306).

When quality testing uses time-consuming destructive test methods, it can result in enormous costs due to damaging or destroying the products. And given that...

Im Focus: Cold molecules on collision course

Using a new cooling technique MPQ scientists succeed at observing collisions in a dense beam of cold and slow dipolar molecules.

How do chemical reactions proceed at extremely low temperatures? The answer requires the investigation of molecular samples that are cold, dense, and slow at...

Im Focus: Shrinking the proton again!

Scientists from the Max Planck Institute of Quantum Optics, using high precision laser spectroscopy of atomic hydrogen, confirm the surprisingly small value of the proton radius determined from muonic hydrogen.

It was one of the breakthroughs of the year 2010: Laser spectroscopy of muonic hydrogen resulted in a value for the proton charge radius that was significantly...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

3rd Symposium on Driving Simulation

23.10.2017 | Event News

ASEAN Member States discuss the future role of renewable energy

17.10.2017 | Event News

World Health Summit 2017: International experts set the course for the future of Global Health

10.10.2017 | Event News

 
Latest News

Introduction of a novel system for in vitro analyses of zebrafish oligodendrocyte progenitor cells

23.10.2017 | Life Sciences

Did you know how many parts of your car require infrared heat?

23.10.2017 | Automotive Engineering

3rd Symposium on Driving Simulation

23.10.2017 | Event News

VideoLinks
B2B-VideoLinks
More VideoLinks >>>