Solar energy cost: How was figure of '2-to-3 times higher' derived?

Letter from LAWRENCE Ong Lee Chong and Theresa Ng Li Lian Today Online 29 Nov 07;

I refer to the reports, "Use of solar energy still limited due to higher cost: Lim Hng Kiang" (Nov 12) and "Subsidies to fuel solar power's future" (Nov 28).

In view of Singapore's effort to promote clean energy, the question is whether replacing the current fuel-generated electricity with renewable solar-derived electricity is feasible.

At the recent Parliament sitting, Minister for Trade and Industry Lim Hng Kiang said: "Solar-derived electricity is two to three times more expensive than our electricity tariffs for households."

As solar energy is free and renewable, the only costs for solar-derived electricity will be for equipment and maintenance. As the technology matures, the manufacturing cost of solar panels will decrease. Improvements in technology will reduce maintenance costs and increase efficiency.

In comparison, 55 per cent of our current electricity cost comes from fuel costs, which are pegged to oil prices that are expected to rise. And both solar-derived electricity and fuel-generated electricity come with their respective maintenance costs.

We would like more information from the ministry on how "two to three times more expensive" is derived. We would also appreciate it if the relevant authorities could explain the rationale of not subscribing to solar energy with a cross-comparison and why it is not feasible.

It came as a great surprise when Mr Lim dismissed the use of solar-derived energy altogether.

Even if a complete replacement of the electricity generation equipment from fuel to solar is too expensive, there are still alternatives such as solar-powered lamps and heaters for individual Housing and Development Board blocks or private houses.

In our effort to go green, it would be a pity to ignore our greatest and "greenest" energy source — the sun.