A utility initiative aims to facilitate 50 MWp of PV installations, but 400 MWp may be necessary to trigger a self-sustaining commercial market.

The Utility Photovoltaic Group (UPVG) is a utility-led organization in the USA whose mission is to accelerate the early commercialization of PV for small-scale, cost-effective and larger-scale emerging photovoltaic applications for the benefit of utilities and their customers. UPVG was formed in 1992, with the support from the US Department of Energy, and subsequently initiated the Technology Experience to Accelerate Markets in Utility Photovoltaics (TEAM-UP) programme. This is a USD 509 million, market-led initiative to build up a broad base of PV hardware experience over a six-year period. The goal is to procure, install and demonstrate competitively 50 MWp of PV systems. It is expected that this will be made up of about 33 MWp of grid-connected and 17 MWp of grid-independent applications.

The first TEAM-UP request for proposal was published in December 1994, with responses due at the end of February 1995. UPVG's studies of the potential PV market in the United States suggest that this will be dominated by grid-support applications (amounting to 7000 MWp out of 9000 MWp). Realization of this potential will require a PV system rice of about USD 3000/kWp. Achieving this price should be the turning point for self-sustaining PV commercialization. The trend is in this direction (see graph), but the UPGV analysis is that purchases of 400 MWp or more will be required to reach USD 3000/kWp.

The UPVG has currently 90 members and will hold its Annual General Meeting in San Antonio, Texas in April. This is linked to the Soltech conference and exhibition, and will be an important event for the promotion of utility PV.

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