Solar Technology Development Prospect and Economic Potential

A large number of studies have estimated the future potential of renewable energy technologies, both in terms of the technically feasible energy output that could be secured from each technology type, and the economic potential, taking into consideration cost and other limiting factors. 

Precise terms and definitions differ, but it is important to distinguish a number of key concepts, most of which are common to all studies: 

Available resource refers to the total amount of different forms of renewable energy available for extraction – for example the energy in ocean waves, or solar isolation levels. For several technologies (essentially solar, wind, tidal, wave and biomass), UK available resource is very large indeed. 

Technical potential (also referred to as accessible resource) refers to the amount of energy that might be extracted from the available resource, using known technologies. Again, for a number of technologies, technical potentials are very large primary energy consumption several times over. 

Practicable potential (also referred to as practicable resource) refers to the amount of the technical potential that might reasonably be accessed, taking into account various technical and physical limiting factors such as competing land and ocean use and often includes further limitations, such as electricity grid and system constraints. 

A closely related concept is accessible potential. Practicable resource is more difficult to assess in the long term, since many constraints may change over time as technologies progress, or reflecting different political/societal priorities. For the latter reason, it also tends to show significant variation between studies in different parts of the world. 

Economic potential refers to the amount of accessible potential that is economically viable, given current technology, or with future, better and cheaper technologies. Economic potential depends upon the cost of alternative/competing energy sources. It is important to note that policy may influence both the development of renewable and the cost of conventional competitors.