30 Sep '15, 11am

Utility-Scale Solar Reaches Cost Parity With Natural Gas Throughout America

Utility-Scale Solar Reaches Cost Parity With Natural Gas Throughout America

The cost of installing utility-scale solar has fallen considerably in recent years, from more than $6 per watt in 2009 to about $3 per watt in 2014. That has resulted in a boom in the sector, which is 31 times bigger than it was a decade ago. Power-purchase agreement (PPA) prices are also continuing their downward trend, according to the third annual report on utility-scale solar from Lawrence Berkeley National Laboratory. With the rush to get projects done before the cut to the federal Investment Tax Credit, levelized PPA prices have come down as low as $40 per megawatt-hour in the Southwest. At that price, PV compares to just the fuel costs for natural-gas plants. These numbers match what GTM Research has found as well. Although the Southwest has the lowest prices, $50 to $75 per megawatt-hour is the new norm across the country, according to GTM Research. Boulder’s PPA w...

Full article: http://www.greentechmedia.com/articles/read/Utility-Scale...

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