Quote:
Originally Posted by tadink
OK, I'll take this bait -
LCOE (Levelized Cost of Energy) is a very complex equation that does NOT take into account transmission costs, nor does it have any way of predicting the actual cost of Nat Gas - you have to use some assumptions. IF you use the current rate for NatGas (essentially free!), then the LCOE predicted for NatGas Gen is very low. However, if you use either historical averages or a weighted average estimate for NatGas (acknowledging that this 'frac-gas' bubble is temporary), AND you put in the costs of transmission, then the LCOE equation looks completely different.
I guess I'm saying, let's not toss our comments about 'how expensive' PV is without looking at the rest of the equation. A PV purchase today is essentially locking in a price for electricity (pre-paying) for the term of the evaluation. For many - like those concerned about using fossil fuels for electricity generation - this investment makes sense.
This discussion started in India, and has evolved into a discussion about the relative costs (first costs) of coal, and now natgas vs. PV. I conclude, being somewhat knowledgable in the solar industry, that PV for India makes sense, their loads are coincident with max generation, the generation can be located near the load centers, and there is no need for expensive transmission.
For US consumers, your conclusions *may* be different, but the growth of solar in the US is skyrocketing, so many feel this is a valid investment.
For me - I'd rather pay for my electricity using my own assets (PV array) vs. using the assets of the Utility company.....
You may draw a different conclusion...but this is a good discussion nonetheless....
td
|
I won't disagree with anything you posted, however there are some costs you might not be aware of for a true PV system. I've discussed before that I have a large system on my mountain house and panels and batteries do go bad.
I've lost several to hail damage, another few due to condensation leaks, and still another few to them just simply not performing anymore.
Secondly I have a big expense in batteries nearly annually. I'm replacing a 1/3 of my batteries every year due mostly to exposure related issues, but also due to them just wearing out. Not to mention that safety equipment you need to monitor the hydrogen venting in case one of them decides to explode and burn your house down.
It's actually such a pain that I'm going to have a Clear Edge installed instead as soon as the county approves the permit.