Living in a place with huge amounts of sunlight has its advantages. The Albuquerque Journal reported on Monday the current costs of residential solar systems in New Mexico, and how the market can change after the incentives from state and federal tax credits that are due to expire in December 31, 2016.
Currently, the market in residential solar technology is experiencing low costs due to bulk imports of Chinese panels and a decreasing demand from the European Market. It is much cheaper now to buy a system than it was a few years ago, nowadays you could save in average $10,000 in installation costs that you would have paid a few years ago.
Installers are expecting these costs to continue falling, it is not yet known if these price drops will compensate the current government subsidies, the report said.
New Mexico Public Regulation Commissioner Jason Marks said to the Journal that these incentives should remain for a few more years, which he believes will increase demand and reach a price comparable to other sources of energy generation. Marks mentioned that he thinks solar systems will reach grid parity in about 5 years if the incentives are kept throughout this period.
New Mexico is considered the state with the clearest days per year after Arizona and has around 3415 average sunny hours per year.
Carlos de la Fuente is a technology and green energy enthusiast. In his spare time he runs EnergyInformative.org, a site that focuses on informing and promoting the use of clean, renewable energy technologies and increased energy efficiency.