A slideshow illustrating the concept of solar grid parity, when it is economically better to install solar than pay for utility electricity. Includes maps of the levelized cost of solar by state and the current status of grid parity.

1. Solar Grid Parity
Coming soon
Slideshow designed by John Farrell, Director
Energy Self-Reliant States and Communities program

2. Solar Grid Parity
=
cost of solar
= grid electricity price

3. Cost of Solar
=
cost of solar
= grid electricity price

4. Cost of solar ($/W)
$6.40 $5.20 $3.75
U.S. Average
(mid-2011)

5. Cost of solar ($/W)
$6.40 $5.20 $3.75
U.S. Average
(mid-2011)

6. Cost of solar ($/W)

7. Cost of Solar
Type Residential
Cost per Watt $6.40 Levelized
Location Minneapolis
Cost
per k Wh
Project life 25 years 0 .37
Interest, Maintenance, etc $0.16/kWh
Output (kWh/kW/year) 1,250

8. Cost of Solar
Type Residential
Cost per Watt $6.40 Levelized
Location Los Angeles
Cost
p er k Wh
Project life 25 years 0 .31
Interest, Maintenance, etc $0.16/kWh
Output (kWh/kW/year) 1,500

9. Cost of Solar
Type Residential
Cost per Watt $6.40 Levelized
Location Minneapolis
Cost
per k Wh
Interest,Project life
Maintenance, etc $0.16/kWh
25 years 0 .37
Interest, Maintenance, etc $0.16/kWh
Output (kWh/kW/year) 1,250

10. Cost of Solar
Type Residential
Cost per Watt $6.40 Levelized
Location Minneapolis
Cost
per k Wh
Interest,Project life
Maintenance, etc $0.16/kWh
20 years 0 .43
Interest, Maintenance, etc $0.16/kWh
Output (kWh/kW/year) 1,250

11. Cost of Solar
Type Residential
Cost per Watt $6.40 Levelized
Location Minneapolis
Cost
per k Wh
Interest,Project life
Maintenance, etc $0.16/kWh
25 years 0 .37
Interest, Maintenance, etc $0.16/kWh
Output (kWh/kW/year) 1,250

12. Cost of Solar
Type Residential
Cost per Watt $4.40 Levelized
Location Minneapolis
Cost
p er k Wh
Interest,Project life
Maintenance, etc $0.16/kWh
25 years 0 .25
Interest, Maintenance, etc $0.16/kWh
Output (kWh/kW/year) 1,250

13. Cost of Solar (Sensitivity)
Sunnier Shorter
Defaults Lower cost
location project
$6.40/W $6.40/W $6.40/W $4.40/W
Minneapolis Los Angeles Minneapolis Minneapolis
25 years 25 years 20 years 25 years
Levelized
$0.37 $0.31 $0.43 $0.25
Cost

14. Cost of Solar
Levelized cost of solar installed at $4.40/Watt

15. Grid Electricity Price
=
cost of solar
= grid electricity price

16. Grid Electricity Price
Existing
Power Plant
per k Wh
0 .04
6/1/1970

17. Grid Electricity Price
Existing
Power Plant
per k Wh
0 .04
6/1/1970
Amortized power plant = new power plant

18. Grid Electricity Price
Market Price
Referant
per k Wh
0.12
OK for utility-scale solar (wholesale)

19. Grid Electricity Price
Retail Price
va ries
For on-site solar (retail)

20. Grid Electricity Price
Average residential retail rate (Feb. 2011, EIA)

21. Solar Grid Parity
50% or better
95% to 105%
2011: 1 state 150% or more
Ratio of solar cost to average residential retail rate

22. Solar Grid Parity
50% or better
95% to 105%
2016: 3 states 150% or more
Ratio of solar cost to average residential retail rate

23. Solar Grid Parity
57 million people
50% or better
95% to 105%
2016: 3 states 150% or more
Ratio of solar cost to average residential retail rate