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Global power plant capacity largely depends on burning fossil fuels. Increasing global demand and degrading and diminishing fossil fuel resources are fundamental drivers for constant fossil price escalations. Price trend for solar PV electricity is vice versa. Fuel-parity concept, i.e. PV systems lower in cost per energy than fuel-only cost of fossil fired generators and power plants, well describes the fast growing economic benefit of PV systems. Fuel-parity is already reached in first markets and first applications and will establish very large markets in the 2010s. Solar PV electricity will become a very competitive energy option for most regions in the world.
Breyer et al. (Wed,) studied this question.
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