How Free Solar Undermines the True Value of PV-Generated Electricity

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feature-0-1429555926711.png Economic theory holds that when a good is provided it must be paid for and that the value for that good will be set by a dance between the sellers and buyers in a market. It is assumed that when the price is too high buyers will back away and the price will adjust. When the price is too low sellers will fail to make sufficient margin to continue producing the good and the price will adjust. And finally, when the price is just right, equilibrium will be achieved and buyers and sellers will be content. This economic theory has chugged along since way back to, and even before, Adam Smith wrote The Wealth of Nations.

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  • solarix
    solarix Solar Expert Posts: 713 ✭✭
    #2
    This is more Paula Mints propaganda arguing for higher solar prices to support the industry. While I'm all for the success of our manufacturer's, the reality is that solar is in competition with an industry that produces power much cheaper than solar does - even though they do it in an unconscionable way. Yes, we can say that solar is a better "value proposition" than dirty coal or dangerous nuclear, or even fracked up gas, but the public - like it or not - is not going to get on board with solar until our energy is cost competitive. We need to continue to drive down costs, eliminate burdensome permitting hassles, solve the technical challenges to adding a bit of storage into our systems, and win the energy battle to where solar becomes the primary energy source - then everyone will expect it and the costs of customer acquisition come down.
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