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Solar Panels Ranked Second-Most Installed Technology in 2016 Thanks to Maturing Technology, Economies of Scale

Solar photovoltaic cells were the second-most popular technology installed in 2016, after wind turbines, as average construction costs of the projects have dropped to $2,436 per kilowatt, a 34 percent fall from $3,705 per kilowatt in 2013, according to an Aug. 8 report from the U.S. Energy Information Administration. The agency said that crystalline silicon technology has matured, making it the least expensive and most widely used photovoltaic technology, compared to thin film technology. Onshore wind generator costs decreased slightly to $1,630 per kilowatt in 2016 from the prior year, and costs tend to be lower for larger plants as siting and infrastructure costs are shared across more turbines. Solar photovoltaics, onshore wind, and natural gas added 8 gigawatts, 8.8 gigawatts, and 9.8 gigawatts, respectively, of generation capacity 2016. These technologies accounted for about 93 percent of new capacity in 2016, which saw a 50 percent rise in electric generation investments compared to the prior year.

August 8, 2018
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