Press Release

US government to make solar energy more cost competitive

In a move to make solar energy more cost competitive, the US Department of Energy (DOE) recently announced that they will invest up to $13.7 million over the next 3 years. Eleven technology led projects will focus on developing advanced solar photovoltaic (PV) technology manufacturing processes and products. A further 20% of costs will be shared with industry and universities making a combined investment of over $17 million.

These projects are part of the Solar America Initiative which is a U.S. DOE effort to make solar energy cost-competitive with conventional forms of electricity by 2015. The strategy pursues complementary activities in research and development (R&D) and in market transformation. The goals are to reduce costs through R&D and to eliminate market barriers through deployment.

According to a recent statement from the Department of Energy, by 2030, global energy consumption is expected to grow by over 50 percent, with 70 percent of that growth coming from the world's emerging economies. U.S. electricity demand is projected to increase by about 50 percent by 2030, with global demand nearly doubling.

Universities will work closely with industry partners to advance manufacturing processes and products, reduce costs and increase efficiencies. Current levels of electricity produced by PV are $0.18 - $0.23 per kilowatt hour (kWh) but these projects hope to significantly reduce the cost to $0.05 - $0.10 per (kWh) by 2015 - making photovoltaic technology more competitive nationwide.

Negotiations between selected applicants and DOE will begin immediately to determine final project plans and funding levels. Funding is subject to appropriations from Congress