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July/August 2008

Solar Costs Heading Down

Silicon shortages drove up prices, but supplies are now increasing.

By Kevin Bullis

Solar commodity: Most silicon solar cells use polysilicon, shown here.
Credit: Courtesy of Wacker Chemie Ag

In 2003, the spot-market price of a kilogram of silicon used for solar cells was $24.

But by 2007, it was $400.

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