The cost of solar power is falling throughout Australia
Solar energy has become a relatively controversial issue in Australia, due to the government withdrawing its support for this type of renewable energy in some parts of the country. The Australian government has begun to show more favor for fossil-fuels this year, citing the high costs associated with the adoption of clean energy. Solar power has long been an expensive investment, but that may soon not be the case.
Report shows that solar energy could soon cost as much as fossil-fuels, if not less
The Australian Photovoltaic Institute has released a new report that shows that the cost of photovoltaic technology, and solar energy in general, is falling. According to the report, the cost of photovoltaic modules in Australia during 2013 fell to just 75 cents per watts peak. The cost of installing small, rooftop solar energy systems also fell by approximately 20% last year as well. Solar power is quickly on its way to reaching grid parity, becoming cost competitive with fossil-fuels, including natural gas.
Grid parity used to be difficult for solar power to attain, but better technology and manufacturing has helped reduce the costs associated with solar energy
Grid parity is has been an elusive goal for solar energy. In the past, developing and manufacturing photovoltaic modules had been an expensive endeavor. While researching ways to improve this clean technology is still quite expensive, manufacturing solar panels is quickly becoming less expensive. As the price of photovoltaic modules goes down, so too does the cost of the electrical power that they produce. In the coming years, Australia’s solar energy sector is expected to reach grid parity.
More than 1 million homes installed solar power systems in 2013
According to the report from the Australian Photovoltaic Institute, more than 1 million homes throughout the country had solar energy systems installed during 2013. The majority of these installations took advantage of financial incentives being offered by the Australian government. These incentives were reduced this year, which may serve to slow the adoption of solar power in some parts of the country.