The Price Of Solar Energy Per Watt

Gasoline and fossil fuels’ cost is going up. Most people are conscious of this. Simultaneously, the solar energy cost by any reasonable measure is falling. Enhanced technology coupled with great economies can decrease the solar panel cost, hence making the consumers and property owners more competent at setting up their own solar panels, and also put in rooftop solar system by themselves.

One great way to gauge the cost of any kind of energy production, including the cost of solar panels, is in terms of cost per kilowatt-hour (KWH). Utilizing cost per KWH lets reviewing the output of a power plant over its life towards the cost of developing, sustaining and operating the plant though using cost per watt is more useful for several uses like pricing solar panels. The expense of manufacturing and setting up the plant, keeping it up, fuel along with other operating costs, cost of decommissioning, and environmental impact costs are included on the cost per KWH. It’s hard to acquire very good details regarding that last factor, which may add substantial expenses to some forms of energy production like coal-fired power plants. costs to the forms of energy production like coal-fired power plants.}

At 2011, the cost of solar power stayed high up to 10-15 cents per KWH. This compares to 4-6 cents per KWH for wind, 4.8-5.5 cents for coal, 4-4.4 cents for natural gas, and 11-15 cents for nuclear power. To mirror environmental costs, the expense of coal power, natural gas as well as nuclear should be elevated, however the change involve is difficult to estimate.

We experience a brink of revolution in solar energy cost, however by 2020 that can decrease the cost per KWH under 5 cents. This could make solar energy definitely cheaper than fossil fuels, especially as the price of fossil fuels is expected to go on rising, and as environmental concerns are anticipated to be more urgent. Solar energy along with wind is the chief competing “non-greenhouse” form of energy production, it’s also cheaper per KWH as compared to nuclear power.

Perhaps of more importance for those considering solar power for the home, though less so for measuring its industrial potential, is cost per watt. That’s for the reason that the electricity used in home is tested in kilowatt-hour however wattage at given moment. Additionally, the output of solar panels is measured in watts rather than in KWH. For this reason, a homeowner should estimate the generating capability in watts of the solar system needed or desired, and make use of the cost per watt not just for the sections themselves however for installation too, along with other material components of the system, to reach a cost for the system as a whole.

In 2010 the cost of the solar panels dropped to $1 per watt, it’s regarded as a milestone. It is still insufficient in making solar power price-competitive along with conventional electricity — unless the property owner is ready to install the system himself. Doing your own solar panels drops it even more. First Solar Inc. estimates that the cost of solar panels needs to decrease to about 60 cents per watt before a commercially-installed home solar system could be cost-competitive. By 2020, we’re facing a cost revolution in cost per watt as with industrial generation of solar power.

Today, though, it’s perfectly possible to create and put in a home solar system which will produce most or all the electricity necessary in the home for a cost that will be paid back in savings on electricity bills in a short time. Even for those who don’t want to do their own installations, the revolution in cost will make this possible.