1
The Economics of Parallel System Design in Commercial-Scale Solar Plants
Paul Grana
eIQ Energy, Inc
Overview
The solar photovoltaic (PV) industry has enjoyed spectacular growth for the last decade.
This
has been due, in large part, to dramatic reductions...
More
1
The Economics of Parallel System Design in Commercial-Scale Solar Plants
Paul Grana
eIQ Energy, Inc
Overview
The solar photovoltaic (PV) industry has enjoyed spectacular growth for the last decade.
This
has been due, in large part, to dramatic reductions in the installed cost of solar systems.
Several factors
have driven cost reductions: improved manufacturing efficiency, scale economies in purchasing, and
improved installation labor efficiency.
However, despite the significant improvement in solar PV economics, further cost reductions
are required to achieve grid parity.
According to McKinsey’s report on the economics of solar power1
,
installed system costs need to be under $4/watt to reach grid parity in California, and under $3/watt for
grid parity in Texas.
To reach these goals, system designers are increasingly looking at system design
innovations for cost reductions.
There is some precedent for this.
Solyndra is one example: by redesigning their module
(structural frame
Less