Solar energy is a flexible energy technology: it can be built as distributed generation (located at or near the point of use) or as a central-station, utility-scale solar power plant (similar to traditional power plants). Both of these methods can also store the energy they produce for distribution after the sun sets, using cutting edge solar + storage technologies.
Within emerging economies, Brazil comes second to China in terms of clean energy investments. Supported by strong energy policies, Brazil has one of the world’s highest biomass and small-hydro power capacities and is poised for significant growth in wind energy investment. The cumulative investment potential in Brazil from 2010 to 2020 is projected as $67 billion.
A: A residential solar PV system can cost anywhere from $25,000 to $35,000, on average. Because of the high cost, a power purchase agreement (PPA), loan, or lease are popular options for financing a solar PV system. Naturally, there are benefits and drawbacks with each option. We won’t cover them in detail here, but you can learn more in our article “Financing Options for Solar Power Explained.”
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With investment subsidies, the financial burden falls upon the taxpayer, while with feed-in tariffs the extra cost is distributed across the utilities' customer bases. While the investment subsidy may be simpler to administer, the main argument in favour of feed-in tariffs is the encouragement of quality. Investment subsidies are paid out as a function of the nameplate capacity of the installed system and are independent of its actual power yield over time, thus rewarding the overstatement of power and tolerating poor durability and maintenance. Some electric companies offer rebates to their customers, such as Austin Energy in Texas, which offers $2.50/watt installed up to $15,000.
Ross is now an energy celebrity, sitting on conference panels and lending Georgetown’s cachet to environmental-film screenings. And it isn’t only conservatives who buttonhole him. As if to prove the adage that no good deed goes unpunished, he also hears from people who worry about the impact of renewables. “They’ll come up to me and say with a straight face, ‘You know what? Those windmills are killing birds,’ ” Ross says. “ ‘Oh, really? I didn’t know that was a big interest of yours, but you know what the number-one killer of birds is in this country? Domestic house cats. Kill about four billion birds a year. You know what the number-two killer of birds is? Buildings they fly into. So you’re suggesting that we outlaw house cats and buildings?’ They go, ‘That's not exactly what I meant.’”
In cases of self consumption of the solar energy, the payback time is calculated based on how much electricity is not purchased from the grid. For example, in Germany, with electricity prices of 0.25 €/kWh and insolation of 900 kWh/kW, one kWp will save €225 per year, and with an installation cost of 1700 €/KWp the system cost will be returned in less than seven years. However, in many cases, the patterns of generation and consumption do not coincide, and some or all of the energy is fed back into the grid. The electricity is sold, and at other times when energy is taken from the grid, electricity is bought. The relative costs and prices obtained affect the economics. In many markets, the price paid for sold PV electricity is significantly lower than the price of bought electricity, which incentivizes self consumption. Moreover, separate self consumption incentives have been used in e.g. Germany and Italy. Grid interaction regulation has also included limitations of grid feed-in in some regions in Germany with high amounts of installed PV capacity. By increasing self consumption, the grid feed-in can be limited without curtailment, which wastes electricity.
The Sun is the ‘powerhouse’ of our Earth, producing an impressive 3.8x1026joules (J) of heat energy per second without interruption. The Sun radiates in all directions with approximately 50% of the incoming solar radiation reaching the Earth. This is called the greenhouse effect. Approximately 30% of the incoming solar radiation is reflected back into space by our atmosphere. This is called the albedo effect.
Which is to say that Ross and his co-workers had options. And the city was free to take advantage of them because of a rather unusual arrangement: Georgetown itself owns the utility company that serves the city. So officials there, unlike those in most cities, were free to negotiate with suppliers. When they learned that rates for wind power could be guaranteed for 20 years and solar for 25 years, but natural gas for only seven years, the choice, Ross says, was a “no-brainer.”
Many residential PV systems are connected to the grid wherever available, especially in developed countries with large markets. In these grid-connected PV systems, use of energy storage is optional. In certain applications such as satellites, lighthouses, or in developing countries, batteries or additional power generators are often added as back-ups. Such stand-alone power systems permit operations at night and at other times of limited sunlight.