Del, thanks, it looks like we've got a match on articles.
Concerning the cost of photovoltaic power, it's clear that both the cost and the efficiency of PV are continuing to improve and approaching the magic $3/Watt breakeven figure. I take SMUD's statement of $3/Watt dc installed costs for the buyer in Sacramento's sunshine as being equivalent to SMUD's 10cents/kWh utility price to the customer, as a yardstick.
Forgetting about rebates, if the customer can get systems installed at $6/Watt then this roughly equates to 20cents/kWh, maybe a few pennies less in Southern Calif where there is higher insolation (and payback!) than in Sacramento. Investor owned utilities in California have a tiered rate system that can easily bring rates above 25cents/kWh for homeowners and this is most likely to occur during warm summer afternoons which is exactly when peaking PV power would, via net-metering, allow the PV owner to avoid those higher-tier costs. If a large commercial customer is tied to time of use utility prices, then warm afternoon rates may be above 30cents/kWh exactly when PV power does the same thing for them.
Rebates make this situation more attractive by reducing upfront costs. LADWP offers a rebate of up to $6/W or 75% of installed costs, whichever is less, on PV manufactured in the LA basin which is exactly where So. Calif. Roofing is assembling Unisolar laminate into polymer PV modules right now. Hypothetically, IF So. Cal. Roofing's installed price were $8/Watt, then after rebate the cost to the customer would be $2/Watt before even adding in federal(businesses only) or state solar tax credits.
Al |