Category Archives: Economics
Energy Content Explained
The energy content of any organic fuel is defined as the fuel’s primary energy. Primary energy is measured given the fuels calorific value or the heat generation from the complete combustion of one unit of fuel under well-defined conditions. The calorific value can be a gross or net number, depending on whether the combustible heat released takes into account the vapor condensation of water. Power production efficiency is typically calculated using Net Calorific Value (NCV) after water vaporization.
An animation showing the term structure of NYMEX crude oil. For source code, go here.
Solar innovation is widespread. Examples include solar cell efficiency, module manufacturing, and learning innovations with solar system installation and operation. Solar pricing and growth are also supported by innovations in enabling technology, such as battery storage, smart grids and electric vehicles.
Modules, inverters and balance of system costs define the total installed cost of a solar PV system.
The three cost components are very simple in nature. In practice, total cost is defined using a detailed cost breakdown structure. The structure must also be applied consistently across projects and over time. The result can be improved cost modeling and management.
Bloomberg has released May 2014 PV Spot Prices with current module costs (COGS), margins and sales prices. This data is extended to profile the levelized cost of energy (LCOE) for solar PV technology, and is combined with new solar efficiency data to define the LCOE roadmap for solar energy in Qatar going forward.