Comment by bluGill
Taxes are far too complex to figure that our. In the case of other there are a lot of different players and most do things other than oil and so it isn't possible to figure out what tax/subsidy is from oil.
Taxes are far too complex to figure that our. In the case of other there are a lot of different players and most do things other than oil and so it isn't possible to figure out what tax/subsidy is from oil.
Accounting is a big issue for renewables because almost all the cost is upfront. You pay a capital cost for X years (say, 30) of electricity. Maintenance is a much smaller fraction of the cost. Therefore the question of profitability depends on all sorts of non-power things: amortization, interest rates, how the tax-deductibility of a capital investment is handled, what future electricity costs are, and so on.
Optimally, I'd like to see both calculated with zero subsidies.
Some people also complain about Solar being front loaded. But a power plant is also paid for up front. I'd like to see life time costs, minus subsidies.
Was wondering if anybody just took raw manufacturing/operating costs, and energy output, and compared. Removing all taxes and subsidies from the equation. If we are going to say Solar is now cheaper, I'd think it would have to be without subsidies.