Solar Panel Manufacturers Promise Lower Costs

Solar panel producers, including Siemens, Enron Corp. and Amoco Corp., promise lower costs for solar energy by 2010, as joint ventures with the government help spur consumer demand.

“The Department of Energy will take a leadership role to make this a reality,” Energy Secretary Federico Pena said Friday at a news conference endorsing President Bill Clinton’s campaign to install 1 million solar roofs by 2010.

The solar industry is contributing to Clinton’s efforts to reduce harmful carbon emissions by the 2010 deadline. Consumer savings will total about $58 billion nationwide, a $530 savings per household, by 2010.

“We will build on the increasing momentum to use renewable resources like solar,” said Pena, who spoke from a solar-powered microphone made by Frederick, Md.-based Solarex Co., one of the largest producers of solar panels.

Customers in the solar panel market include homeowners, businesses and the federal government. The market isn’t limited to people living in sunny climates. One type of panel, known as the solar cell, works best in the cold, said Solarex spokesman Sarah Howell.

Many people are willing to spend extra to have solar energy, because they want cutting-edge technology or are environmentally conscious, she said. Solar cells can cut the costs of air conditioning, refrigeration and heat.

“They’re still pretty expensive,” said Mac Moore of the Solar Energy Industries Assn. However, in areas like Mexico where there are no utility lines, solar energy is “cheaper than traditional utilities.”

Panel prices vary by area utility rates and average about $200 to $500 a panel. A typical $10,000 to $12,000 panel system provides electricity for half of a home, said Moore, who is director of domestic programs.

The department received $10 million to fund the solar roof program, led by a team of utility companies in the United States, Canada, Australia, Europe and the Caribbean.