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Energy's Bright Future

Solar Power Gets Cheaper

— August 28, 2007 — Eco
There have been many trends posted involving solar power but in the US it still only accounts for 1% of the electricity generated. Even though it is getting cheaper the main barrier is still the cost. Although growing investment, technological breakthroughs and lower prices have lead to an increase in sales, which lowers prices further due to economy of scale. According to Deutsche Bank (DB), by 2014, solar-system prices will be competitive with conventional electricity when energy savings are figured in, without government incentives. The solar industry is expected to triple its business in the next three years, powered in part by government incentives in Germany and Japan and in the US, customer rebates given by New Jersey and California.
Trend Themes
1. Solar Power Adoption - The increasing investment, technological breakthroughs, and lower prices in the solar power industry present an opportunity for companies to encourage wider adoption of solar energy.
2. Price Competitiveness - As solar-system prices become competitive with conventional electricity, disruptive innovation opportunities arise for companies to position themselves as leaders in the affordable energy market.
3. Government Incentives - The availability of government incentives, such as rebates and subsidies, presents an opportunity for companies to explore partnerships and initiatives in the solar power industry.
Industry Implications
1. Renewable Energy - The renewable energy industry can capitalize on the increasing interest in solar power, investing in research and development to further drive down costs and increase efficiency.
2. Construction - The construction industry can take advantage of the solar power market growth by integrating solar technologies into buildings and infrastructure, providing innovative energy solutions.
3. Financial Services - Financial institutions can explore innovative financing models tailored to the solar industry, enabling wider adoption and making solar energy more accessible to businesses and consumers.
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