In 2008, RMI researchers identify high Balance of System (BOS) costs as a serious threat to widespread solar energy adoption, even if panel costs continue to decline, as most experts expect.

Over the next three years, deep industry analysis and sustained philanthropic support allow RMI to test various hypotheses and engage with industry experts—supporting the position that solar electricity can become cost competitive and a larger part of the country’s energy mix.

Our researchers hypothesize that the solar industry could drive down BoS costs to as little as 50 cents/watt, compared to $1.60 currently, if stakeholders collaborated to solve this problem. At this lower cost, the prospects for mass adoption of solar power would be much brighter.

RMI’s case for a collaborative effort to reduce BoS costs attracts engagement from leading solar companies and thinkers. A diverse group of partners and stakeholders signs up to develop innovative, actionable solutions.

In June of 2010, RMI holds Solar PV (photovoltaic) Balance of System Charrette—an innovative workshop with 50 participants including RMI staff, industry experts, solar energy business leaders, the Department of Energy, and designers from other industries.

During the workshop, participants identify industry-wide opportunities and challenges. They also make specific recommendations about how to achieve BoS cost reduction goals through lower cost physical system designs, streamlined business processes, and long-term industry scaling.

RMI’s resulting report, "Achieving Low-Cost Solar PV: Industry Workshop Recommendations for Near-Term Balance of System Cost Reductions," summarizes the workshop themes and clarifies that by taking a whole-system approach the industry could achieve cost-competitive solar in the next three to five years with current technologies.

The U.S. Department of Energy (DOE) was one of three sponsors for RMI’s charrette. Several DOE representatives also attended, and according to Jennifer DeCesaro, DOE’s program director for solar market transformation, RMI’s work “really made the case for a rigorous approach to BoS cost reduction and allowed us to develop a program focused on the soft costs.”

As a result of RMI’s research, charrette, and report, DOE asks RMI to run an advisory workshop for the DOE's “SunShot” program, recently announced by Secretary of Energy Steven Chu to reduce the cost of solar energy systems by 75% before 2020.

While this is a success story, our work isn’t done. RMI, with generous support, can remain on the cutting edge of thinking and driving industry change in the coming decade.

RMI is awarded $683,692 under the DOE"s SunShot Initiative to drive Innovative Solar Business Models. In addition, RMI is a member of two teams that were also awarded SunShot contracts.