Solar panel technology is very attractive from an environmental standpoint because the sun’s energy is plentiful, inexhaustible, and does not produce pollution.  It is the exorbitant price of solar panels that has generally limited their utilization; the payback period is usually over twenty years.  However, a New York Times article explains that due to an increase in the production of crystalline silicon, a critical component of the panels, prices have fallen a drastic 40% in the past year and are expected to continue decreasing.  Coupled with government subsidies, this change in price now puts solar energy within reach for many more homeowners and businesses.  Unfortunately, the decrease in price means that some solar companies, many of which are already struggling, will fail completely.


 

One of the downsides of solar panels is that they are very delicate because the silicon cells are brittle and susceptible to rain, hail, and snow.  Additionally, commercial panels average a 10% efficiency rate, meaning that 90% of the light hitting them is not converted to electricity.  Even with these drawbacks, the allure of being able to tap such a powerful energy source keeps the market alive.  Constant research and development means the production of ever-improving technology, such as a new model developed at MIT that can achieve 30% efficiency.  The drop in panel prices, while beneficial to the consumer, decreases the incentive to keep creating better technology.  It remains to be seen whether solar panels will become a viable product for widespread use, but I remain hopeful.