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Sun Volt

Sun Volt Solar

earth, the final frontier

Clean Energy, Clean Environment

We are at a cross roads in human history, we can choose to continue on as we have been, or we can make a change to improve our future and quite possibly the future for several generations to come. We are here to promote energy independence, a better environment, a secure future and a higher return on investment for your hard earned dollar. It is what I believe in, it is why I am in the solar business.

Is the Solar Energy field recession proof?

23 Jan 08 | General Business, Solar Electric, Technology

Starting a small business during a recession may seem like a recipe for failure. The basic premise is that people will not buy anything other than what is absolutely necessary. So the questions are; is electricity necessary today? How about hot water or heat, is that necessary? Would people be interested in saving money on those things if it involved an initial outlay of cash? How fed up are people with paying for oil, gas or electric? Here is a basic recap (prices for New York State, Hudson Valley region as of January 20, 2008 from NYSERDA):

  • Home heating oil $3.484/gallon
  • Propane $2.851/gallon
  • Electric $0.138 kWh
  • Natural Gas $1.926 therm
  • Solar $0.00
  • Wind $0.00

Will people get that? I know many are rushing off to trade in their SUV’s for fuel efficient cars, but will they consider the energy they use at home as well? Those are things that I want to find out.

Right now, the solar industry is dependent on government subsides, there are no two ways about it. Without generous help from the government (federal and state) neither solar thermal nor photovoltiacs would be viable except in situations where grid power was unavailable (i.e. remote cabins, telecommunications sites, etc). In fact, in the mid 1980’s the industry was brought down to almost nothing as the Reagan administration killed all the tax incentives that were then fueling the solar sector. Will congress restore the tax breaks? Only time will tell. Even if they do, it will take a huge effort to move them away from their corporate sponsors toward the less corporate renewables.

I was listening to an interesting report on the local NPR station on my way home from work today. Amid reports of troubled economic times and other bad omens, there was an upbeat report on the Solar economy right here in the Hudson Valley. You can listen to an .mp3 of the report here (opens media player window). Basically, the it speaks about TSEC (The Solar Energy Consortium) based in Kingston, NY. This is more along the lines of research and development, but that is what will fuel the green economy in the future. It is clear to me that the sustainable movement must be able to stand on it’s own, without government assistance, to succeed. This is a tall order, considering how unfavorably the deck is stacked against renewable energy due to the huge subsides given to coal and oil.

It is, however, possible.

For the short term, the solar energy sector may well be able to weather the up coming recession as more and more people are aware of it and are looking for ways to save money. As much as we would like to believe that the human race is altruistic and will alter it’s behavior of the benefit of the planet, economics trumps environment.

For the long term, the only way that solar, wind and other renewable energy sources will survive is if they become competitive with fossil fuels on their own. This means that fossil fuels have to become more expensive (than they already are) and renewable energy, particularly photovoltaics must become less expensive.

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23 Jan 08 | General Business, Solar Electric, Technology
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Reader's Comments

  1. Jay | January 24th, 2008 at 11:29 pm

    I have the first oil bill of the season sitting on my desk in front of me. It is $258.90 for 76.6 gallons of heating oil. Are they joking? I am very happy that I got my pellet stove, but wind and solar would really add to the mix.



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