Average costs of solar photovoltaic modules in the United States declined over the years. Between 2006 and 2019, figures decreased by over three U.S. dollars per peak watt. The lowest solar PV module cost was recorded in 2019, at 0.41 U.S. dollars per peak watt. At that same year, shipments of PV modules in the U.S. reached their peak, at 16,372,314 peak kilowatts.

Between 2010 and 2023, the average installed cost of photovoltaics worldwide declined steadily due to the widespread availability of materials, which reduced production expenses. In 2023, the average installed cost of solar PV systems stood at 758 U.S. dollars per kilowatt. Likewise, the levelized cost of electricity (LCOE) for solar photovoltaics has seen a similar trend over the past decade. Solar photovoltaic technology Solar cells, also known as photovoltaic (PV) cells, can absorb sunlight and convert it into electrical energy. They are made of different semiconductor materials with specific characteristics. Silicon as the primary semiconductor has a maximum theoretical efficiency at around 32 percent, this has prompted researching new materials and designs to enhance PV performance. Currently, China is by far the leading producer of solar PV modules across the globe. Solar PV energy worldwide In 2023, solar PV accounted for 5.5 percent of the global electricity generation, with the renewables being dominated by hydropower. Despite fossil fuels remaining as the largest contributor to electricity generation representing some 60 percent of the global share, renewable sources are projected to grow in the following years, accounting for more than half of the world’s power generation by 2050.

The price of solar photovoltaic modules in the United States has seen a fairly consistent decrease over the last few years. In the third quarter of 2020, U.S. multi module prices averaged 0.19 U.S. dollars per watt, in comparison to 0.63 U.S. dollars per watt in the first quarter of 2016. Decline in solar pricing Solar system pricing has fallen in all markets, including residential, non-residential, and utility markets. The decline is largely due to declining hardware costs, primarily from lower module prices. The oversupply of modules due to decreasing demand from China lowered module prices; in turn, this has helped to alleviate the tariffs that were implemented on Chinese module exports to the United States.

Solar price variations

Solar photovoltaics prices in the U.S. are consistently low, in comparison to many other countries. The price of solar in U.S. states can also vary, mostly due to the cost of electricity.

The components that are used in solar energy systems may also impact the price of solar photovoltaics. Falling global demand, high supply levels, and the resulting bidding competition have also pushed prices lower.

In 2023, net solar power generation in the United States reached its highest point yet at 164.5 terawatt hours of solar thermal and photovoltaic (PV) power. Solar power generation has increased drastically over the past two decades, especially since 2011, when it hovered just below two terawatt hours.

The U.S. solar industry

In the United States, an exceptionally high number of solar-related jobs are based in California. With a boost from state legislation, California has long been a forerunner in solar technology. In the second quarter of 2022, it had a cumulative solar PV capacity of more than 37 gigawatts. Outside of California, Texas, Florida, and North Carolina were the states with the largest solar PV capacity.

Clean energy in the U.S.
In recent years, solar power generation has seen more rapid growth than wind power in the United States. However, among renewables used for electricity, wind has been a more common and substantial source for the past decade. Wind power surpassed conventional hydropower as the largest source of renewable electricity in 2019. While there are major environmental costs often associated with the construction and operation of large hydropower facilities, hydro remains a vital source of electricity generation for the United States.

Rooftop solar photovoltaic installations on residential buildings and nuclear power have the highest unsubsidized levelized costs of energy generation in the United States. If it wasn't for federal and state subsidies, rooftop solar PV would come with a price tag between 122 and 284 U.S. dollars per megawatt-hour. Rooftop installations have a higher levelized cost range due to their relatively small capacity when compared with utility-scale power plant facilities. LCOE for solar PV Levelized cost of electricity or energy generation (LCOE) is a measure used to compare cost efficiency of different electricity generating technologies. It describes the average expense of building and maintaining a power plant divided by its total power output over the facility’s lifetime. The global levelized cost of electricity for solar PV averaged 0.04 U.S. dollars per kilowatt-hour in 2023. The economic viability of solar PV installations is dependent on a variety of factors largely centering around topography and the predominant weather pattern at the installation site. In regions with high sunshine duration, installing solar PV would come with lower LCOE’s as electricity production may be higher. As countries may stretch across highly variable topography and even across climate zones, solar PV LCOE may also vary greatly within a country. The U.S. has some of the lowest LCOE’s for utility-scale solar PV. Capital costs by energy technology In terms of capital costs – the one-time expense arising from the purchase of land, construction material, and building of the power plant for new power plants expected to come live in 2028, offshore wind power is the most expensive in the United States. It had an estimated levelized capital costs of roughly 89.6 U.S. dollars per megawatt-hour as of March 2023. Capital costs for solar PV are comparatively low.

In 2023, the cost of utility-scale solar photovoltaics globally decreased from the previous year. That year, utility-scale solar photovoltaics in South Africa cost about 1,255 U.S. dollars per kilowatt. The decline in solar prices is fueling the immense growth seen in the global photovoltaic industry.

Solar power generation in India has increased considerably in the last few years. In 2023, the country produced roughly 113.4 terawatt-hours of electricity from solar energy. India aims to achieve a total solar capacity of 280 gigawatts by 2030.

Solar potential in India

India, blessed with about 300 sunny days yearly, experiences a significant influx of solar energy. This annual solar potential surpasses the collective energy output of all available fossil fuel reserves. In 2023, solar power comprised nearly 50 percent of India's renewable potential, marking a substantial shift toward a more sustainable and diverse energy mix.

Solar power in Gujarat

The Gujarat Renewable Energy Policy introduced by the state's government sets a target to generate 50% of renewable energy by 2030. As of March 2023, Gujarat was the leading state, with nearly 2.5 gigawatts of installed rooftop solar capacity. Additionally, the NTPC Renewable Energy Park in Gujarat takes the first position amongst the country's largest solar farms, boasting an impressive total of almost five megawatts as of the same period.

In the observed period, weighted average monthly electricity prices on the day-ahead market in Poland increased from 163.95 zloty/MWh in January 2018 to over 500 zloty/MWh (117.77 EUR/MWh) in January 2025. The record weighted average price occurred in August 2022, exceeding 1,300 zloty. Consumption of electricity in Poland Electricity is essential to modern life and vital to every country’s economy. Starting from 1990, the final annual electricity consumption reached a value of 124.7 terawatt-hours. It eventually grew to 160 tWh in 2023, which happened to be a six percent decrease compared to the previous year. Consumption of solar photovoltaic power has become popular in recent years, but also the capacity of solar photovoltaic per inhabitant in Poland has significantly increased, rising from just 0.1 watts per inhabitant in 2013 to 464.1 W/inhab in 2023. In 2023, 18.5 million customers in Poland used electricity with consumption lower than 50 megawatt-hours. Electricity production from renewables Throughout the years, there have been different methods and sources of electricity production worldwide. Starting in 2012, the electricity production from solar photovoltaic power generated only 3.4 gigawatt-hours. In 2023, Poland's electricity production volume from solar photovoltaic power reached a peak of over 11 terawatt hours. Another source of electricity production was the wind. Where the production of electricity from wind steadily increased from five gigawatt-hours in 2000 to 23,234 gigawatt-hours in 2023. Biogas and biomass also play a significant role in the production of electricity. In 2012, electricity production from biogas and biomass was the highest at around 10,094 gigawatt-hours. However, in 2022, the production decreased, reaching 6,352 GWh.

The deadliest energy source worldwide is coal. It is estimated that there are roughly 33 deaths from brown coal (also known as Lignite) and 25 deaths from coal per terawatt-hour (TWh) of electricity produced from these fossil fuels. While figures take into account accidents, the majority of deaths associated with coal come from air pollution.

Air pollution deaths from fossil fuels

Air pollution from coal-fired plants has been of growing concern as it has been linked to asthma, cancer, and heart disease. Burning coal can release toxic airborne pollutants such as mercury, sulfur dioxide, nitrogen oxides, and particulate matter. Eastern Asia accounts for roughly 31 percent of global deaths attributable to exposure to fine particulate matter (PM2.5) generated by fossil fuel combustion, which is perhaps unsurprising given the fact China and India are the two largest coal consumers in the world.

Safest energy source

Clean and renewable energy sources are unsurprisingly the least deadly energy sources, with 0.04 and 0.02 deaths associated with wind and solar per unit of electricity, respectively. Nuclear energy also has a low death rate, even after the inclusion of nuclear catastrophes like Chernobyl and Fukushima.