That’s not the problem the article gets to. The capital is there. Capital is being dumped into solar at breakneck speed. That’s the problem.
As more solar gets built, you get more days when there’s so much excess solar capacity that prices go near zero, or occasionally even negative. With more and more capacity around solar, there is less incentive to build more because you’re increasing the cases of near-zero days.
Basically, the problem is that capitalism has focused on a singular solution–the one that’s cheapest to deploy with the best returns–without considering how things work together in a larger system.
There are solutions to this. Long distance transmission helps areas where it isn’t sunny take advantage of places where it is. Wind sometimes blows when the sun isn’t shining, and the two technologies should be used in tandem more than they are. Storing it somewhere also helps; in fact, when you do wind and solar together, they cover each other enough that you don’t have to have as much storage as you’d think. All this needs smarter government subsidies to make it happen.
As a side note, you seem to be focused on solar that goes on residential roofs. That’s the worst and most expensive way to do solar. The space available for each project is small, and it’s highly customized to the home’s individual roof situation. It doesn’t take advantage of economies of scale very well. Using the big flat roofs of industrial buildings is better, but the real economies of scale come when you have a large open field. Slap down racks and slap the solar panels on top.
If what you want is energy independence from your local power utility, then I suggest looking into co-op solar/wind farms. If your state bans them–mine does–then that’s something to talk to your state representatives about.
Transmission is tough. But the solution from too much solar investment driving down profits would be to invest that same money into storage. That seems like a natural follow up.
Imagine your profit if you can charge your storage with negative cost power!
That’s not the problem the article gets to. The capital is there. Capital is being dumped into solar at breakneck speed. That’s the problem.
As more solar gets built, you get more days when there’s so much excess solar capacity that prices go near zero, or occasionally even negative. With more and more capacity around solar, there is less incentive to build more because you’re increasing the cases of near-zero days.
Basically, the problem is that capitalism has focused on a singular solution–the one that’s cheapest to deploy with the best returns–without considering how things work together in a larger system.
There are solutions to this. Long distance transmission helps areas where it isn’t sunny take advantage of places where it is. Wind sometimes blows when the sun isn’t shining, and the two technologies should be used in tandem more than they are. Storing it somewhere also helps; in fact, when you do wind and solar together, they cover each other enough that you don’t have to have as much storage as you’d think. All this needs smarter government subsidies to make it happen.
As a side note, you seem to be focused on solar that goes on residential roofs. That’s the worst and most expensive way to do solar. The space available for each project is small, and it’s highly customized to the home’s individual roof situation. It doesn’t take advantage of economies of scale very well. Using the big flat roofs of industrial buildings is better, but the real economies of scale come when you have a large open field. Slap down racks and slap the solar panels on top.
If what you want is energy independence from your local power utility, then I suggest looking into co-op solar/wind farms. If your state bans them–mine does–then that’s something to talk to your state representatives about.
Transmission is tough. But the solution from too much solar investment driving down profits would be to invest that same money into storage. That seems like a natural follow up.
Imagine your profit if you can charge your storage with negative cost power!