Friday, November 7, 2014

Solar Energy: This technology holds no more on – GodmodeTrader.de Financial

The crisis of the solar industry is certainly not over yet everywhere. The wave of bankruptcies seems now but once over. The market is adjusted. Since the lows quite a few shares have risen more than 200%. The Guggenheim Solar ETF broad has tripled since the lows.

Since 6 months is now only once the air outside. The low prices of fossil fuels do not just help kick off the next rally. The prices of conventional energy are short term at least almost negligible for the solar boom. The solar boom will not be stopped by the oil or gas price, if only for the simple reason that solar energy is getting cheaper.

are one reason for the falling cost of solar energy the declining cost for modules and cells. Since 1977, costs have fallen by 98%. Very much air down there is perhaps no more. But that also does nothing. Are solar cells more efficient and produce more power at the same cost, then this is perfectly sufficient to increase its competitiveness.

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The fact that the costs will continue to fall, is almost out of the question. The reason for this is simple. He is now described quite succinctly as follows: Solar energy is a technology, not a commodity . So that everything is actually said. It is (more or less) Moore’s Law: the doubling of performance every 12 to 24 months at approximately the same cost

The decreasing cost and also the help of the State. tax breaks or subsidies have increased the popularity of solar energy dramatically. The number of manufactured and sold solar modules since 2010 goes through the roof. In most corporate balance sheets has not reflected. The price war was too great. The worldwide production capacity was too high, especially by Chinese companies that could produce something cheaper than companies in the US and Europe.

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Immerhin the price war had something good. Due to the strong competition from Asia, the costs for consumers have been reduced. The margins of the company have suffered, but the balance for consumers has improved. Before the start of the price war in 2010 solar companies had amazing profit margins. For the company which was great, but it has solar energy not achieve a breakthrough, because companies have not passed the falling costs to consumers.

For the long-term success only counts a single aspect: cost. It comes down to the final total cost per kWh. In the US, the cost per kWh have fallen in recent years as a stone. Still, the cost is higher than the cost of a kWh produced by coal, gas or nuclear energy. By the year 2025,

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A study by Deutsche Bank even assumes that in most states the power parity in 2016 is reached. Grid parity means that solar is just as expensive as conventional energy sources from the general power grid. This parity is however based on the retention of subsidies. Would these cease, then solar power would be 2017 again 30% more expensive than eg a coal kWh. Whether with or without subsidy, in a few years, solar energy is definitely cheaper than conventional energy sources. The trend is unstoppable

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First Solar Inc

short term stay but solar stocks under pressure. The uncertainty over the future of subsidies in the US and other countries weighing on prices. Also, the first upward momentum after the collapse of the courses is run out of steam. Consolidation can be drawn several weeks in length. The result is then lucrative investment opportunities. A candidate for the watchlist is certainly the US-based First Solar.

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