Glenn Doty’s calculations in the comment on my piece on biofuels and electric transportation compare the costs of energy from solar PV and bioethanol. This is a very good way of looking at the subject. I thank Glenn, as always, for his thoughtful note.
Glenn points out that the PV “farmer” is losing about 19.7% on total revenue. That’s not good. But let me bring four things to his and your attention:
• The installed cost per watt on large systems is currently below the $3.50 he quotes; I’ve seen figures under $3 currently, and they’re still falling.
• Simultaneously, other important parameters are also improving.
• We just happen to be talking about PV; wind is far more cost-competitive.
• Somewhere, somehow, someone is going to put a price on carbon and this will change the calculus here enormously. They’re also going to have something to say about land-use competing with food, with water use causing shortages, with run-off from fertilizers ruining our waterways, etc.
In fact, it’s my fondest hope that we develop the political will-power to “price these things in.” But even if we don’t, there are still good people who will pay a bit extra so as to minimize their impact on the environment around them.
