30-fold Increase In Solar Energy By 2016 – Moore’s Law, Anyone?

Solar Power International Logo
Solar Power International Logo

The opening keynotes at the Solar Power International trade show last week were eye-opening. (See the Tuesday Keynotes video on this page – Resch at 20 minutes, Hamm at 37 minutes.)

Rhone Resch of the Solar Energy Industries Association first told the story of getting the investment tax credit for solar renewed – 17 failed votes before it finally passed with the Paulson Bailout bill. He then outlined the benefits to the solar industry of the ITC – stability for solar energy businesses, creation of thousands of new business opportunities due to the remove of the residential solar cap, and a return to leadership of the US in solar. “Solar energy is going to create 440k new jobs, 1.2 million new solar installations, and 28 gigawatts of new capacity – enough to power seven million homes throughout the U.S.”

To achieve the 28 gigawatts of new solar electric generation capacity predicted by Resch in the next eight years, Julia Hamm of the Solar Electric Power Association (SEPA) threw down a challenge to the attendees. The industry must “be bold, be innovative, be strategic.” In particular, she outlined four key policy guidelines the industry must embrace to achieve this goal.

Utility Ownership of Solar Power Projects

The utility and solar industries must collaborate to find program structures, such as utility ownership of distributed photovoltaics, that provide a winning scenario for both industries, as well as for customers at large. The solar industry can utilize this new market segment as a buffer until home and small business owners are back on more solid financial footing.

Increased Utility Engagement in Solar Markets

The utility and solar industries must work together to get more utilities engaged, starting by increasing the solar knowledge base of utility employees, from top executives down to distribution engineers. We must move beyond having ninety seven percent of all grid-connected solar installations in just 10 utilities’ service territories.

Greased Wheels

The utility and solar industries must work in partnership with regulators and investors to push for approval and funding of new transmission projects and the development of smart grid configurations to expedite the timeframe in which new utility-scale and distributed solar projects can come on line and provide maximum value.

Development of Innovative Approaches

By working in collaboration, the utility and solar industries can make great strides towards modernizing today’s electricity infrastructure and offering customers affordable and clean power. But the status quo will not cut it. We need bold new ideas developed in tandem for the mutual benefit of both industries, and society at large.

(A press release version of this challenge is here.)

The 28 gigawatt figure represents an increase in solar capacity of more than thirty fold between 2009 and 2016. This is approximately three times the estimated amount of generation predicted to come online as a result of existing renewable portfolio standards and policies in states with existing solar carve outs.

However, not only does 30-fold growth far outstrip most predictions for solar energy capacity in the next eight years, it has another interesting property. It corresponds to a “Moore’s Law-type” of growth, with a doubling period of about every 18 months. This is the first time I’ve heard a solar energy organization step up to a prediction of a Moore’s Law-type growth rate. And it means that in 18 years, if the doubling rate stays constant, solar would be responsible for over 400 gigawatts of capacity, or just about equal to our current energy usage in the U.S. Solar could be providing nearly 100 percent of our energy by 2026, or even more if our overall energy usage goes down due to efficiency, as is possible given California’s example.

And if our solar capacity keeps on doubling every year and half after that? What will we do with all that energy? Your comments welcome, of course!

Why My Optimism Is Tempered

Achieving energy independence in the U.S. is possible, but there are many obstacles to overcome.

On 140 acres of unused land on Nellis Air Forc...Image via Wikipedia

I wrote on Monday about why I am optimistic that we will come out of this energy mess in excellent shape. But, my optimism is not unalloyed – there are a lot of questions still to answer.

  • Is there truly enough capturable solar energy streaming down on the Earth to power a good lifestyle for all 9 billion of us in 2050? Clearly not, at least at the U.S.’s current per capita energy intensity. What about at 50% of our current energy use? That’s a target that many think we can accomplish here in the U.S., so why not around the world?
  • What about all the C02 we’ve stuck up there already? Can we do something about it that won’t end up causing as many problems as it solves? Certainly sensible steps like reversing deforestation will help a lot, but do we have time, and do we know how? Can we grow a rainforest from a burned-out meadow, even if it use to be a rainforest? This is not clear – but we should figure it out.
  • Can we do any of this fast enough? I’ve argued that the technology and knowledge are here for reducing our energy footprint in the U.S. by 50% and replacing all of the remaining energy needs with renewables, but is there time and will to do it? The sheer manpower that it will take? Even if owners of commercial real estate were willing to do the necessary retrofits to achieve the goals, because they are cost effective? More importantly, if every one agreed to do it, are there enough architects, contractors, HVAC installers, and electricians to do the work?
  • There’s a similar question for residences – most residences get enough solar energy flux on the roof to offset a good portion of their electricity use – but even if the cost were free, after first year saving, who would do the 100 million installations? Even if spread over ten years, that would keep 25,000 installers busy every day.

There are many more such questions – can we successfully combine distributed power generation (e.g., on residences) with utility energy on a gigantic scale? Where do all the materials to do these installations come from?

I’d love to hear your questions and comments about whether you’re optimistic, the obstacles you see in the road ahead, and your ideas on how to overcome the roadblocks.

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