Wednesday, September 09, 2009

Burying the Lede on Solar

According to The Information Network, "Solar crisis [is] set to hit in 2010, 50% of [solar] manufacturers may not survive". Except there's this little nugget:

Average selling prices could drop below US$1 per watt in 2010 and US$0.50 in 2011. As many as 50% of the more than 200 solar manufacturers, mired in red ink with current selling prices above US$2.00 per watt, may not survive, The Information Network stated.
So basically, the companies that are inefficient are going to cease to exist. That's what's supposed to happen. Further, if they're right about the $1 per watt costs, this could mean that we're about to experience a revolution in energy. $1 is the tipping point that solar becomes cost competitive at an installation level. Add to the fact that solar doesn't require fuel, so that operational costs are minimal makes this very exciting. So other than the fact that we may have finally reached a nirvana in cheap and abundant energy, maybe this is a crisis after all (note: set sarcasm meter to high).

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