I’ve always wondered about something, yet have never found anyone discussing it online. So maybe some smart people can help me out:
a lot of people install solar on their rooftops. Much of the time this is done with the assumption that it will pay off financially because energy prices are currently at a certain rate and will continue to rise.
But here’s my question: If its financially advantageous to install solar on your roof, wouldn’t it be greatly more financially advantageous (given the main cost for solar installation is the labor) for energy companies to install solar at scale? And if that’s the case, wouldn’t the energy companies eventually do this, which, given macro market laws of supply and demand, would eventually cause the price of electricity to go dramatically down for their end consumer, thus eliminating the financial benefit of privately installed roof top solar for homeowners?
I live in the southwest, and based on online calculators it “makes sense” from a 10 year outlook to pay the money now and install solar on my home, but that’s only if the energy prices don’t fall. But nobody seems to even think that’s a possibility.
a lot of people install solar on their rooftops. Much of the time this is done with the assumption that it will pay off financially because energy prices are currently at a certain rate and will continue to rise.
But here’s my question: If its financially advantageous to install solar on your roof, wouldn’t it be greatly more financially advantageous (given the main cost for solar installation is the labor) for energy companies to install solar at scale? And if that’s the case, wouldn’t the energy companies eventually do this, which, given macro market laws of supply and demand, would eventually cause the price of electricity to go dramatically down for their end consumer, thus eliminating the financial benefit of privately installed roof top solar for homeowners?
I live in the southwest, and based on online calculators it “makes sense” from a 10 year outlook to pay the money now and install solar on my home, but that’s only if the energy prices don’t fall. But nobody seems to even think that’s a possibility.