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The Moving Target of Grid Parity

It's all happening because, when it comes to electricity, apples-to-apples cost comparisons are hard to come by. It takes time and money to build a new power plant, money that has to be guaranteed by ratepayers, and if those ratepayers believe there is an alternative they may be reluctant to issue the guarantee.

A famous Gandhi quote, offered by, is that "First they ignore you, then they ridicule you, then they fight you, and then you win." The big energy news for 2013 is that solar energy has reached the third stage of its battle to make power. It's being fought. But in the economic fog of war it can be hard to see even an obvious outcome.

Solar costs are not going up. Fossil fuel and nuclear prices are not coming down. Solar delivers the most power when it's most needed, on hot summer days, to run air conditioners. Grid parity, however you define it, is coming. The market winners are not yet obvious, but the trend should be clear.

It points toward abundance.

At the time of publication, the author has no investments in stories mentioned here.

This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.

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