Natural Gas vs. Solar Energy Cost Analysis (2008)
A study was conducted by the United States Department of Energy and The National Renewable Energy Laboratory to analyze the cost and performance of solar thermal electricity. Study proved that high development of solar thermal electricity plants would allow for costs to decrease for solar thermal by 2020.
It is projected that prices will rise for natural gas generated electricity from 7.894 cents per kilowatt hour to 8.098 cents per kilowatt hour.
Currently 20% of the Renewable Portfolio Standard is in effect. If this remains unchanged average electricity bills will increase by $1.40 by 2025. On the other hand, by 2025 if 50% of the Renewable Portfolio Standard is in effect, it will result in residential electricity bills decreasing by $1.75.
Despite the results that were yielded from this study, the production of solar energy and natural gas is dependent on certain factors such as changes in the mix of electricity generation resources and the impact of consumer demand or inflation.
