Grid Parity

The grid parity occurs when the energy produced by renewable energy plants has the same cost of the one produced by fossil sources or alternative energy sources like nuclear.

Regarding the photovoltaic sector, since July 2013 in Italy the feed-in tariff system designed to encourage the energy production from solar sources, is finished. As a result the term grid parity refers to the parity of cost between the production cost of photovoltaic energy and the energy purchase cost from the network. The 2017 National Energy Strategy issued by the Italian Ministry of Economic Development shows important to-be-achieved goals regarding the photovoltaic production among all the other energy productions: 72 TWh expected in 2030 in comparison with 24.8 TWh produced in 2017. As a consequence the concept of market-parity has become more relevant than the one of grid parity.