Solar panels costs set to fall – Supply and demand revision

This article has lots of great bits of information to be used as a starter in a supply and demand lesson. Solar panel price have dropped 30% in the last year due to an increase in output and less orders because of the recession.

A key goal for solar is what is known as grid parity, which is the point when it is as cheap for someone to generate power on their homes as it is to buy it from the grid. It is estimated this will happen next year in Italy due to a combination of high electricity prices and lots of sun. Something tells me it will be a while before the same can be said for the UK.

A good activity would be to ask pupils to read the article and explain how each factor could affect the price and sales of solar panels using supply and demand diagrams.