(Picture credit: EMA)

Advocates of solar technology have pointed to its increasing cost competitiveness and predict that grid parity for solar energy will occur in the near future. In simple terms, this refers to the belief that the unsubsidised cost of producing each unit of solar energy will soon be on par with that of traditional fuel types, including fossil fuels such as coal and gas.

This is expected to be largely driven by R&D efforts aiming at technological improvements and increasing economies of scale in the manufacturing process. Yet, people sometimes neglect the additional dimension of reducing the cost of financing for solar projects to drive down the overall cost.

The topic was much debated by the panel during Session 3 of the Solar Leaders Summit under the PV ASIA PACIFIC EXPO, held during the Singapore International Week. Read more...