For people wondering about the relative costs between renewable energy and grid-based (usually coal or gas) electricity, the biggest question is, can solar power be as cheap as coal?
Granted, installing solar panels requires an upfront investment, but the decision of whether or not to go solar often depends on how quickly you can recoup your funds through savings on your utility bill and reductions of greenhouse gas emissions. People considering switching to solar power have many factors to think about.
Among those considerations include the cost disparity between solar power and other grid-based sources including coal. In addition, think about whether you will install solar panels at your property (distributed generation), or purchase (or lease) solar electricity generated by your utility. Although solar has not yet reached grid parity with conventional power sources, it is fast reaching that goal.
Recently, Scientific American examined data from the Department of Energy’s National Renewable Energy Laboratory (NREL) collected over 30 years, to project a timeline for when we will achieve grid parity. They predict that this milestone will be reached within the decade, or sooner, if conventional electricity prices continue to rise.
Switching to solar power can help even out peaks in electricity demand, as well as guard against rising utility costs over the years. Whether you purchase or lease solar panels, you can easily reap the benefits of solar power vs. coal.
Utility scale solar shows great promise for people looking for cheap power. Yet, owning or controlling your own solar power system allows you more predictability and cost savings than you might achieve otherwise. As consumers realize that public investment in solar power is a better investment than fossil fuel energy, many experts expect that millions will soon join the solar revolution.