A report by industry research and consulting firm New Energy Finance says that by the end of this year, the levelized cost of solar per kWh over the lifetime of a system will have fallen by 50 percent. While wind and geothermal costs also fell, it was only by about 10 percent. The press release announced:

Photovoltaic (PV) module prices across the board have continued their downward trend, although the rate of decline has tapered. Thin-film remains the low-cost leader in solar, with projects as low as $3/W, making thin-film projects 25% less expensive than crystalline silicon systems on a levelised basis. PV projects with tracking systems have seen the least reduction in costs due to the fact that the costs for single- and double-axis trackers have remained buoyant relative to panel prices.

The press release does not state sources or exact research, and until we have a chance to review the full report it is unclear from which sectors and countries the data have been obtained. But the report is in keeping with news we’ve had throughout the year of falling solar costs. Partly this is a product of a temporary solar panel glut and a weak economy, and the cost may float back up accordingly; but the cost reductions due to technology advances and a more established solar market will hopefully stay with us. Though why haven’t you noticed solar flying off the shelves? The cost to the end consumer has not decreased by a similar amount. Chairman and CEO Michael Liebreich says that the rising costs of financing solar have so far largely offset the price decreases.

To view the full press release, visit New Energy Finance and follow the link on the right-hand side of the page.