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KEY POINTS
- During Tesla's Q2 earnings call, Elon Musk said the company’s solar panels are now 30% cheaper than the U.S. average.
- This means, after considering the Federal tax credit, the costs become $1.49 per watt.
- While this is a huge step for solar, some say its actually cheaper. But how?
During Tesla’s Q2 earnings call, Elon Musk dropped the little bombshell; that Tesla’s solar panels now cost $1.49 per watt after incentives. This is a huge step forward for the price of solar power — but Matt Ferrell says he found that it can be even lower.
Tesla’s solar panels now at $1.49 per watt after incentives is not a huge step forward for ordinary consumers and taxpayers, but is certainly a huge step forward for Tesla’s sales chain partners inflated profitability.
$1.49 per watt is not a contemporaneous global price for tier 1 solar PV panels, $0.50 is closer to commercial reality.
The levelised cost of electricity (LCOE) generated from $1.49 per watt PV systems is unsustainable by any objective analysis, and can only lead to stranded PV assets without a market to sell grossly overpriced PV generated electricity.
Lawrence Coomber
Mr Coomber,
What you may not be aware of is that the $1.49/watt after incentives, is the installed price. At a time when their competition is charging from $2.67/watt to $3.50+/watt, it is clear to me that their costs are significantly lower.
BTW, I have no affiliation with Tesla other than being one who has greatly investigated solar and solar installation costs.