Solar Closes In on Grid Parity | Large Scale Solar Magazine Article

LONDON -- In the world of renewables, particularly solar, grid parity is a term that is bandied about a lot. But what does it actually mean, and when is it going to happen?

To complicate matters, the price of electricity from the grid varies widely between areas. For example, in the US prices range from high-cost jurisdictions such as Hawaii and California to lower-cost jurisdictions such as Wyoming and Idaho.
In a sunny island market such as Hawaii — with diesel-generated electricity, electric rates approaching US$0.30/kWh, and falling module prices — it makes considerable economic sense for consumers or utilities to install solar arrays, with the right infrastructure and regulations in place.
For similar reasons, a host of other markets — Italy, Spain, Australia, Germany, Japan, and the US (California, Texas) — are widely expected to achieve grid parity within the short to medium term.
Moreover, in some countries, wind power, landfill gas and certain forms of biomass generation are already lower-cost (on a per kWh basis) than electricity provided from the grid. In fact, "grid parity" has already been achieved in certain jurisdictions that continue to use feed-in tariffs (FiTs). For example, the generation costs from landfill gas systems in Germany are ..................................................................