Photovoltaics are expensive to produce because of the high cost of semiconducting materials. Cost reductions can be achieved by reducing manufacturing costs. As manufacturing capacity increases, costs of manufacturing decrease. Manufacturers aim to achieve the break-even cost for a photovoltaic system, at which the cost of the electricity it produces is equal to the cost of electricity from an alternative source plus the cost of delivering this electricity to the site. The distance a power line needs to be extended to equal the installation cost of a photovoltaic system is called the break-even distance.
January 27th, 2006 - Posted in Photovoltaics | |