Cost of Going Solar is Getting Cheaper

Posted by Author 3 months ago

It is evident enough to conclude that solar power is maturing. As the government and more organisations invest in the industry, it is now slowly becoming accessible to more people all over the world. In Australia, renewable energy can now power 70 per cent of homes in the last financial year. According to the first Australian Renewable Energy Index, produced by Green Energy Markets, the industry can produce power for 90 per cent of homes once the wind and solar projects that are under construction within the 2016-17 timeframe is finished.

 

Meanwhile, in the United States, a project called The SunShot Initiative, which was established way back in 2011, has a 2020 or 2030 target to make solar power affordable in the utility-scale generation, commercial, and residential. The good news is that the 2020 goal was hit before the deadline came up, and it was three years early than expected.

 

According to Kent Moors, the target of the project per kWh are: $0.06 for utility-scale generation; $0.08 for commercial; and $0.10 for residential. And the $0.06 for utility-scale generation was reached, as revealed by the Department of Energy.

 

However, the project underwent adjustments due to inflation. It has adjusted the commercial and residential goals while the utility goal remained the same. This is due to the fact that wholesale power prices declined from 2010 to 2017.

 

"Relatively early in the process, it was apparent that the initiative was proceeding more rapidly than anticipated. As a result, goals for 2030 were introduced, designed to lower kWh costs to $0.03, $0.04, and $0.05 for utility, commercial, and residential, respectively – half the 2020 goal," Moors elaborated on his article.

 

"The longer-range goals also focused on a new objective – the reliability of electricity availability. SunShot is now working on advancing grid integration approaches to enable two-way power flows, increase demand response, and optimize charging of electric vehicles."

 

Going back in Australia, there have been projects underway in Queensland, according to a report by The Guardian. In line with this, the large solar farms have only been producing 2 per cent of renewable energy in 2016-17.

 

Green Energy Markets analyst Tristan Edis explained that the over 150,000 solar systems installed last year can power 226,000 homes.

 

“Meanwhile these solar systems will also save consumers $1.5 billion off their electricity bills over the next 10 year," he said.

 

As solar power now being given attention by more organisations and the government, more projects are underway. Not only are these organisations in the United States and Australia are making an effort, also different organisations all over the world to make solar power affordable in their respective areas.