Solar photovoltaic systems installed on homes and commercial building rooftops are deemed central for a low-carbon future. As capital costs of photovoltaics continue to fall, its role towards making buildings more sustainable and environmentally-friendly will continue to grow. Capital costs of a photovoltaic system comprise the module and balance-of-system costs. The latter refers to everything-else needed to make the photovoltaic system functional including cables, mounts, labor, etc. While modules are priced internationally, the balance-of-system cost is country-specific. Price developments of modules, which have been thoroughly studied in literature, followed an 80% learning curve. Research on the balance-of-system learning curve however, has not been as extensive. In this paper, we estimate for the first time the learning curve of balance-of-system costs in photovoltaics for more than 20 countries via an extensive dataset. Our calculations yield a global learning curve for the balance-of-system of 89%, which corresponds to a progress ratio of 11% compared with 20% for modules. Understanding the rate at which capital costs of photovoltaics are falling with such detail will aid in more effective renewable energy policy planning and budgeting. Finally, some steps requiring no financial commitment but can bring down balance-of-system costs are discussed, which greatly contribute to a cleaner and more sustainable future. © 2018 The Authors

Acting Program Director
Dr. Elshurafa is a Fellow in King Abdullah Petroleum Studies and Research Center (KAPSARC), Riyadh, Saudi Arabia, and possesses 20+…
Dr. Elshurafa is a Fellow in King Abdullah Petroleum Studies and Research Center (KAPSARC), Riyadh, Saudi Arabia, and possesses 20+ years of experience in energy and technology garnered on three continents. His research interests lie in renewable energy policy, power systems modeling, and hybrid microgrid design and optimization. He has led and executed several national modeling initiatives both at the distributed and utility scales, and he is listed among the top 2% of scientists globally as per Elsevier. Some aspects of his research have been adopted by BP in creating their seminal annual statistical review. Credited with 50+ papers and patents, Dr. Elshurafa holds a PhD in electrical engineering complemented thereafter with an MBA in finance.
Expertise
- Power sector modeling
- Electricity markets
- Renewable energy policy
- Hybrid microgrid optimization
Publications See all Amro Elshurafa’s publications

Modeling Cross-seasonal Fuel Savings From Load Shifting in the Saudi Industrial Sector and Interlinkages to Export Revenues
Solar photovoltaic systems installed on homes and commercial building rooftops are deemed central for a…
10th May 2023
How Firm Capacity and Forced Outage Rate Assumptions of Renewables Impact Capacity Expansion Model Results
Solar photovoltaic systems installed on homes and commercial building rooftops are deemed central for a…
9th March 2023