Cheapest Solar Ever? Austin Energy Buys PV From SunEdison at 5 Cents per Kilowatt-Hour

Greentech Media
City-owned Austin Energy is about to sign a 25-year PPA with Sun Edison for 150 megawatts of solar power at "just below" 5 cents per kilowatt-hour. The power will come from two West Texas solar facilities, according to reports in the Austin American-Statesman. According to reports, around 30 proposals were at prices near SunEdison’s. Austin Energy has suggested that the PV deal will slightly lower rates for customers. (...) The 5-cent price falls below Austin Energy's estimates for natural gas at 7 cents, coal at 10 cents and nuclear at 13 cents. The utility points out that it approved a 16.5-cent price for the Webberville solar plant in 2009.

Tarifas para o fotovoltaico com corte significativo

Edifícios e Energia
A remuneração da geração de electricidade renovável através da tecnologia solar fotovoltaica vai baixar significativamente neste novo ano: 66% no caso da microprodução e 29,8% para a miniprodução. O corte não agradou às associações do sector, que reclamam com urgência a publicação dos regulamentos para o autoconsumo.
Para as novas instalações fotovoltaicas em microprodução, a potência alocada para 2014 é de 11,45 MW e as tarifas a aplicar serão de 66 Euros/MWh para o primeiro período de oito anos e de 145 Euros/MWh para o segundo período de sete anos. As tecnologias não fotovoltaicas recebem 218 Euros/MWh (oito anos) e 115 Euros/MWh (sete anos seguintes). No caso da miniprodução, com 30,35 MW a atribuir, o valor da remuneração aos produtores fotovoltaicos será de 106 Euros/MWh e de 159 Euros/MWh para as restantes tecnologias.
Os valores foram publicados por Despacho da Direcção Geral de Energia (DGEG) a 27 de Dezembro e causaram uma reacção imediata junto das associações do sector, APISOLAR (Associação Portuguesa da Indústria Solar) e APESF (Associação Portuguesa das Empresas do Solar Fotovoltaico).
“As novas tarifas ameaçam condenar o sector fotovoltaico à inactividade em 2014 através de uma tomada de decisão claramente discriminatória para com a tecnologia solar fotovoltaica”, afirma a APESF no seu sítio online. “Esta tomada de decisão só fará sentido caso esteja preparado um decreto-lei, flexível e favorável ao sector, que tutele instalações em regime de autoconsumo”, acrescentam, garantindo que “o sector sobrevive sem tarifas bonificadas, sempre e quando existam condições e legislações que o regulem”.
Também a APISOLAR está descontente com estas notícias, manifestando “surpresa e indignação” pelo conteúdo dos Despachos e pedindo a intervenção urgente do ministro da tutela junto da secretaria de Estado da Energia (SEE) e DGEG. “Como é possível atribuir à energia solar uma tarifa 25% inferior à definida para a cogeração não-renovável, que continua a merecer uma protecção incompreensível?”, questiona a associação em comunicado.

US: Thin film solar energy sells cheaper than coal fired

pv-magazine
According to the terms of the proposed PPA for the 50 MW Macho Springs solar park in New Mexico, First Solar would be selling the energy generated by its thin film modules for a record low price for the technology.
News agency Bloomberg cites a New Mexico Public Regulation Commission document relating to the yet-to-be-agreed PPA in which El Paso Electric Company agrees to pay just US$57.90/MWh generated at Macho Springs.

 The resulting $0.0579, or six cents, per kWh is less than half the average price of energy generated by new coal-fired power stations (12.8c/kWh) and significantly less than the typical price of thin film generated power (16.3c/kWh, both according to figures from Bloomberg New Energy Finance).

Suntech, First Solar Stocks at Historic Lows

Greentech Media

• Why has First Solar's market cap dropped to $5 billion from more than $10 billion just months ago? First Solar's stock, trading at $57.90 and down 8.4 percent, has not seen its stock price that low since April 2007.
• Suntech is the world's largest producer of solar panels. As of last quarter's earnings report, the China-based firm was on track to meet its full year guidance of 2.2 gigawatts. Total net revenues were $830.7 million in the second quarter of 2011. Revenue guidance for full year 2011 was dialed down $100 million to a range of $3.2 billion to $3.4 billion. Gross margins were a slim 4.1 percent in the second quarter of 2011. The firm's ASP declined 7 percent quarter-to-quarter and Suntech expects mid- to high-teen price declines in Q3.
• All solar stocks were in the red yesterday, with Hanwha Solar's stock down 22.41 percent. Yingli, Trina, and First Solar had losses in the 7 percent to 8 percent range, the least scathed in the downward trend. The Dow Jones Industrial Average was only down 2.3 percent.

Is there an upside to this bloody market? Absolutely.
Solar panel vendors will learn to live with lower margins or, alternatively, perish. ASPs will continue to fall. And the solar market will once again exhibit its historic price elasticity and as panel prices drop, the market will continue to grow, and the price of power generated by photovoltaics will fall.

Estudo diz que apoio às renováveis representa só 1,9 euros na factura mensal de electricidade

PUBLICO.PT
Os custos da produção eléctrica com base em energias renováveis, financiada em regime especial, são afinal muito menores do que apontam as contas oficiais do sector, indica um estudo da consultora Rolland Berger para a Associação Portuguesa de Energias Renováveis (Apren), que será hoje apresentado em Lisboa. (...) As novas contas concluem que cada consumidor pagou, na factura eléctrica, uma média de 1,9 euros mensais para apoiar as energias renováveis em regime especial (regime que deixa de fora as grandes hídricas, ou barragens), entre 2005 e 2010 - um valor considerado aceitável pelos consumidores inquiridos pela Rolland Berger, abaixo dos 5,5 euros que são normalmente avançados. (...) Contas feitas, o estudo conclui ainda que a produção de origem renovável em regime especial teve um peso de 4% no custo total de geração de electricidade, entre 2005 e 2010, e não de 11% como tem sido avançado. E lembra as poupanças associadas à menor importação de combustíveis fósseis e de licenças de CO2, de 407 milhões de euros por ano.

Solar Trust Switches 500MW Power Plant to PV

Greentech Media
Solar Trust said today that it will convert a 500 megawatt solar thermal power plant it had been planning in Blythe, California into a 500 megawatt plant made from photovoltaic panels.
The shift comes because of "improved market conditions" for building power plants with PV modules. Solar modules from some vendors now cost as little as $1.30 a watt, according to GTM Research. The switch will mean the company has to walk away from a $2.1 billion federal loan guarantee.
Switching to PV will also let Solar Trust build the plant in 250 megawatt increments, making financing and planning easier.

Photovoltaics cause prices to drop on the European Electricity Exchange

www.photon-international.com/newsletter/document/50268.pdf
Saturday, July 16, 2011, is a date that will be remembered in the history of
the German electricity sector. On that Saturday afternoon, electricity prices on the spot market of the European Electricity Exchange collapsed to the low level of electricity rates that are available at night. Buyers paid only 2.5 euro cents per kilowatt-hour for electricity delivered between 2 and 3 pm. Electricity rates are usually twice as high as the (low) night rate at this time of day on weekends in Germany.

European PV markets to decline in 2011 despite PV price decreases

Solarbuzz
Solarbuzz announced a new report which (...) predicts that the aggregate European PV market will contract 14% in 2011 from 2010 levels, and that Italy will replace Germany as the continent's largest market by 2015.(...) The report estimates that crystalline silicon (c-Si) module prices from manufacturers reached record low prices of 0.75 €/Wp in the first half of 2011, as a result of excess inventories spreading upstream.
(...) Solarbuzz notes that the 169% growth of European PV markets in 2010 was driven by Germany, Italy and the Czech Republic, which represented 89% of the continent's demand [and due to] Italy's generous tariff rates, its market share will rise to 39% by 2015.
The report also predicts that over the next five years, the residential segment of European PV markets will double its share, while investor's groups fall, and commerical and agricultural customers remain the largest market segment.

Upheavals in the Chinese Polysilicon Market May Lead to Further Solar PV Cost Reductions

Renewable Energy News Article

The standard states that any new solar polysilicon manufacturing facility must adhere to the following:

• Facilities need to have an annual production capacity of at least 3,000 tons; 
• Facilities may not be situated within 1,000 kilometers (620 miles) of any nature reserve, headwater areas or major residential areas; 
• The electricity consumption of the solar-grade polysilicon reduction must be less than 80kWh/kg and further reduced to lower than 60kwh/kg by the end of 2011 
• The recycle rate of silicon tetrachloride, hydrogen chloride, and hydrogen in the reduction tail gas shall be not less than 98.5 percent, 99 percent and 99 percent, respectively. 

Finally, solar polysilicon production lines whose integrated electricity consumption is higher than 200kWh/kg must be eliminated by the end of 2011.

Finding PV's Next Big Cost Reductions

Comment on Renewable Energy News Article

Cost is one of the biggest barriers to bringing solar to scale. Tremendous strides have been made to date -- module prices have come down 50-70% in the past two years alone. Where are the next cost reductions going to come from?
(...) even without a radical breakthrough, there are plenty of cost reduction opportunities in today's technology. Both balance of systems (BOS) and silicon raw material supply offer promising paths to lower costs.(...) [N]ear-term reductions of more than 50% by simply scaling and implementing current best-practices. That alone would reduce total BOS costs to around $0.60 to $0.90/W for large rooftop or ground-mounted installations.

Espanha e produtores de energia solar próximos do acordo nos cortes de subsídios

Jornal de Negócios Online
O governo espanhol e os produtores de energia solar estão muito próximos de chegar a um acordo que visa a redução da atribuição de subsídios ao sector e o controlo dos preços da electricidade.
O executivo de Zapatero pretende reformar uma lei de 2007 que garante aos produtores de energia que cumpram determinados requisitos ambientais que pratiquem preços acima do valor de mercado, mas pretende fazê-lo sem danificar a indústria de energias renováveis do país. De acordo com um documento preparatório do acordo a que a Bloomberg teve acesso, o acordo prevê que os subsídios a fábricas de energia solar no activo sofrerão cortes de 10% a 15% nos próximos três anos, corte que será compensado com uma prorrogação do prazo de concessão de três anos.

Contas da luz pagam mais subsídios do que gasto de energia
Por cada euro pago na factura eléctrica de cada um dos cinco milhões de consumidores domésticos, 31 cêntimos destinam-se a pagar a energia consumida e o seu fornecimento, 27 cêntimos vão para o uso de redes e gestão do sistema e 42 cêntimos servem para custear um bolo crescente de subsídios a várias entidades (...) [incluindo a] Produção em Regime Especial (PRE) [onde entra] a energia eólica (3,3 cêntimos) [mas também energias fósseis como] a cogeração não renovável (gás natural) [1,62 cêntimos] e 0,69 cêntimos para a cogeração renovável (biomassa). Os subsídios à energia fotovoltaica, cujas tarifas são significativamente mais elevadas, pesam ainda assim 0,06 cêntimos no total, devido a continuarem a ser uma produção residual. O resto dos 0,83 cêntimos distribui-se por um pequeno grupo de renováveis, ainda mais residuais. Seguem-se 2,48 cêntimos de subsídios à EDP Produção para as suas barragens, e centrais a carvão e fuel, pagos a título dos chamados Custos de Manutenção de Equilíbrio Contratual (CMEC), a figura regulatória criada no governo de Durão Barroso, quando Carlos Tavares estava à frente do Ministério da Economia. Já a Tejo Energia, com a central a carvão do Pego, e a Turbogás, com a sua central a gás natural da Tapada do Outeiro, optaram por se manter num regime de CAE [Contratos de Aquisição de Energia]. Para estes vão mais dois cêntimos. (...) Os 31 cêntimos que restam destinam-se a pagar as rendas da EDP aos municípios, os sobrecustos com a convergência tarifária das regiões autónomas da Madeira e Açores e outras acções tão diversas como a gestão das faixas de combustível e os próprios terrenos das centrais eléctricas.

Photon 2010 conference highlights

The traditional Siemens reactor process will continue to dominate the solar silicon supply sector [it now accounts for more than three-quarters total capacity], and costs are likely headed to less than $25 per kg within five years, (...) [S]upply, estimated at around 170,000 tons in 2010, will far outstrip demand.
[Regarding the inverters industry] the most important question was when the current scarcity, a situation that has existed since last fall, would subside. “At the end of 2010, supply could exceed demand again,” (...) [expecting] that delivery times for devices will drop to around 8 weeks towards the end of the year. Currently, installers have to wait more than 20 weeks to receive their orders, especially in the case of string inverters. (...) [The origin of the scarcity is due] to a temporary cooling of the market in the first half of 2009 – following the almost complete collapse of the Spanish market, and due to the fact that business in Germany only began to rebound in late spring

First Solar Passes $1 Per Watt Industry Milestone
First Solar today announced it reduced its manufacturing cost for solar modules in the fourth quarter to 98 cents per watt, breaking the $1 per watt price barrier. (...) First Solar began full commercial operation of its initial manufacturing line in late 2004. From 2004 through today, manufacturing capacity has grown 2,500 percent to more than 500 megawatts in 2008. First Solar’s annual production capacity will double in 2009 to more than 1 gigawatt, the equivalent of an average-sized nuclear power plant. These escalating volumes have been accompanied by a rapid reduction in manufacturing costs. From 2004 through today, First Solar’s manufacturing costs have declined two-thirds from over $3 per watt to less than $1 per watt.

Gas supply challenges for PV
Strong solar and LCD panel growth is straining global supplies for silane, the most critical raw material , but most of the supply chain captive by polysilicon manufacturers. (...) Future solar applications will use more silane than any other application that demands silane today -- he estimates that the future requirements for silence will be ~67,000tons/year of silane, about double the amount used for semiconductors and LCD manufacturing (excluding polysilicon production). (...) "Due to economic issues, the ramps that were planned for 2009-2010 are slower than anticipated, so for now we've covered the (silane) gap," (...) but the long-term issue is whether production capacity can keep up with demand -- "How much confidence do we have in demand forecast[s] to invest $100M up-front in a silane manufacturing plant?"

What's next for German PV industry?
Germany's solar industry has been given a boost after the government said it would scale back the feed-in tariff for solar electricity by only 9-10 percent each year until 2011 much less than the 30 percent scale-back that some industry experts had predicted. (...) According to the German solar magazine Photon, solar power could end up costing Germans €77 billion in higher tariffs by 2010 assuming that solar electricity generates 2 percent of the country's total electricity by then, and some critics have said the costs are not in relation to the performance. (...) In 1999, the extra costs to consumers were €19 million; in 2005, €506 million; and in 2008, the cost is expected to €1 billion. The costs could grow even higher in the coming decade because households with solar panels are guaranteed a fixed income for 20 years for surplus electricity sold to the national grid. (...) According to the Rheinisch Westfälischen Instituts für Wirtschaftsforschung (RWI), every job created in the solar industry costs €128,900 in subsidies and every ton less of carbon emissions costs €900, indicating that solar electricity might be the least efficient and most expensive way of tackling climate change.