How does the cost of PV electricity compare to electricity generated by other means?
This is a complex question, and requires a fairly lengthy answer. To ignore the explanation and reasons why it is difficult, skip to the last paragraph in this section. Comparing the cost of renewable energy technologies to conventional electricity sources is inherently difficult. PV panels, in common with other renewable energy technologies, are most commonly sold or prices quoted in terms of power (Watts W or kilo-Watts kW) which does not have a time component whereas utility companies or batteries usually quote electricity prices in terms of energy (kilo-Watt-hours or kWhr), which is power time. This difference is inherent due to the fundamental differences between renewable and conventional energy technologies. In renewable energy technologies, the major cost is incurred at the initial purchase of the system. Since there are no fuel costs, the price essentially stays the same regardless of the time over which it is used. Hence power, which has no time component, makes most sense in
