National Renewable Energy Laboratory |
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Solar without SubsidiesFor many years, solar has relied on public policy support, but also on the absence of subsidies of other fuels. The viability of solar without subsidies depends on cost of alternatives, solar irradiance and the cost of installation. Whilst the cost of installation does not vary greatly, the price of electricity (as a measure of the cost of alternative supply) and irradiance do. We have plotted a number of locations on a chart across retail price of electricity and irradiance. The red line shows the cost of solar. In locations above the line, solar is cheaper. |
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What happens when the cost curve comes down further? This means more locations will be able to benefit from solar.
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Long-term Outlook for Solar Electricity
There is probably no doubt that long-term, solar has to be the dominating source of energy. For solar technologies to be ready to take on that role, it has to be supported and developed today. |