Dirk said:
"The decoupling of solar power prices from their underlying costs hides
the low and rapidly falling cost structure of solar power. Today, the
»true cost« of solar power is under 25¢ per kWh in most locations and is
likely to reach 10¢ to 15¢ per kWh by 2010. This includes all costs of
manufacturing and installing solar power systems from pre-silicon (i.e.
TCS) to connected-installations without incentives or tax benefits.
Already, solar is at a cost level that makes it competitive with
residential grid prices in the OECD's highest-priced markets. It is
estimated that the cost of solar power is below the price of residential
grid electricity for 5 to 10 percent of OECD consumption (200 to 400
TWh). This equates to 150 to 300 GW of solar power, compared to only 2.7
GW of solar cell/module production in 2006.
Over the next three years, it is expected that the typical fully-loaded
cost of solar power will decrease at least 30 percent from $3.60 per W
in 2006 to $2.50 per W. In consequence, by 2010, the cost of solar will
be below the price of grid electricity for at least 50 percent of OECD
residential demand, equivalent to around 1,500 GW of solar power. This
is much larger than the 15 GW of cell/module production PHOTON
Consulting anticipates for 2010.
This conclusion is based on rigorous bottom-up analysis of the cost
structures of more than 75 solar power companies at various stages of
the supply chain. This data comes from both public disclosures
(including the financial statements of publicly-traded solar companies)
and private sources (including internal cost structures provided by
dozens of solar power companies under the condition that we share only
synthesized data). All numbers in this report were peer-reviewed by
several senior executives within the solar power sector. For further
information see the Executive Summary. "
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Dirk
http://www.transcendence.me.uk/ - Transcendence UK
http://www.theconsensus.org/ - A UK political party
http://www.onetribe.me.uk/wordpress/?cat=5 - Our podcasts on weird stuff