Residential Solar Prices Falling, But Can The Trend Last?

The Albuquerque Journal on Monday reported on the costs of residential solar systems in New Mexico, and how the market may change following a scheduled Dec. 31, 2016 expiration of state and federal tax credits.

The Albuquerque Journal on Monday reported on the costs
of residential solar systems in New Mexico, and how the
market may change following a scheduled Dec. 31, 2016
expiration of state and federal tax credits.

Currently, the residential solar market is enjoying low costs due to Asian imports and decreased demand from the European market, which can amount to the average customer saving about $10,000 on the cost of a system installation compared to a few years ago, according to the report.

While installers are expecting the costs to continue to fall, it remains to be seen whether prices will drop enough to compensate for the slated elimination of subsidies and tax breaks, the report said.

PRC Commissioner Jason Marks told the Journal that the incentives should continue for a few additional years, which he believes would allow residential solar systems to achieve grid parity, or the point at which they reach a price comparable to other methods of energy generation. Marks said he thinks solar systems could reach grid parity in about five years if the incentives continue throughout that period.

Source: http://www.bizjournals.com/albuquerque/blog/morning-edition/2012/10/residential-solar-prices-falling-but.html