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Solar electricity is gaining ground in U.S., worldwide

Industry says incentives of states make difference

July 23, 2005|By JoAnna Daemmrich , SUN STAFF

Tom and Frances Yuhas are your everyday environmentalists. They recycle, grow their own vegetables and drive a Honda hybrid. But they still like the suburban comforts of central air and an outdoor pool.

So when it came time to replace their old oil furnace, the energy-conscious couple made a natural choice. Four months ago, they outfitted their 1954 Pasadena ranch-style home with sleek new solar panels.

Now, their house on the Magothy River no longer smells of oil fumes. Their $80-a-month electric bill has dropped almost in half. To help make this happen, the state reimbursed $3,000 of their $30,000 installation.

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Best of all, says Tom Yuhas, a 39-year-old business consultant: "It's a purchase we feel good about."

Solar electricity, pioneered in the 1970s but long preferred only by the most environmentally correct, is gaining popularity in the general population as more states reward its use - and more consumers try to cut their utility costs.

"It's a consumer decision," says Steven Taub, a senior researcher at Cambridge Energy Research Associates in Cambridge, Mass.

"Electricity rates are generally going up because of fuel costs, while the cost of solar energy is going down. So you have more customers finding it an attractive investment."

Business is up worldwide. The solar industry, while still a sliver of the overall energy market, is growing rapidly, by 37 percent a year during the past five years, Taub said. That's largely because of demand in Germany and Japan, where it's heavily subsidized.

It's also on the rise in the United States as the silicon wafers that convert sunlight into electricity get cheaper and easier to install. The San Francisco Giants' stadium now generates solar power. So do Georgetown University, the Pentagon - and roughly 300,000 homes across the country, three times as many as in 2000.

Most are in the sunny Southwest and on the West Coast. Strong demand for electricity, coupled with soaring utility rates, has prompted Texas and California to aggressively market "green" alternatives, particularly wind and solar power.

Rates are flat here

Electric rates elsewhere in the nation, including Maryland, have stayed relatively flat in recent years. Nonetheless, dozens of states have introduced tax breaks and cash rebates to boost solar power in hopes of improving the reliability of their electric grids - and easing their dependence on fossil fuels.

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