Solar PV will take over from coal as new financing models favour solar
Solar PV to replace coal as “incumbent” technology REneweconomy, By Giles Parkinson on 17 March 2014 Australia is embarking on a radical transformation of its electricity system that will see solar PV transition from being “disruptive” technology to the “incumbent” technology, displacing coal and sparking a radical change in the way that electricity is provided.
This is the assessment from Clean Energy Council CEO David Green (pictured), who in a presentation last week said generation will move from its traditional place at the point of supply to at or near the point of use; the primary role of the grid will be converted to that of a back-up “battery”; and consumers will play a key role in a more competitive market.
Green told a Davos Connection conference on infrastructure last week that the core logic behind having large scale generation plants close to their fuel source (coal or hydro) was being challenged by shifts in the basic cost parameters of many sources of energy allow generation (mostly solar) to be built closer to where it is used.
It was clear, he said, that solar PV has been taken up more rapidly in lower-income suburbs than higher income – because of the attraction for lower-income households to get a lower, fixed rate of electricity.
Now, new financing models – such as leasing and community ownership, as well as models for renters – was likely to spark a third wave of investment in solar PV. ….
……….RenewEconomy’s Take: Green is right, and this speech is welcome. It is about time that the clean energy industry articulates such a vision for the future in a co-ordinated and vigorous manner. There is much at stake.
As in the US, there is a mixture between those who see opportunity, and those who see only threat. Right now, it appears, it is the latter dominating policy settings. The utilities are resisting change, and so are the government owners.
The carbon price is being wound back, the renewable energy target is under threat, and energy efficiency schemes are also being wound back. In the meantime, tariffs and regulations appear ready to be deployed to slow down the uptake of the solar and solar storage and other technologies. It should be a quite battle..http://reneweconomy.com.au/2014/solar-pv-replace-coal-incumbent-technology-38095
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