A deployment-based strategy — nothing can match experience gained in the field

In “Wind Electricity To Be Fully Competitive With Natural Gas by 2016, Says Bloomberg New Energy Finance“, Stephen Lacey discusses a recent analyst report from Bloomberg that claims “In the next few years the mainstream world is going to wake up to wind cheaper than gas, and rooftop solar power cheaper than daytime electricity.”

According to Lacey

The Bloomberg Analysis again proves the importance of a deployment-based strategy in scaling renewable energy. It often takes decades to bring an energy technology to cost-parity with incumbents. While strong R&D programs are an important piece of improving technologies and encouraging breakthroughs, nothing can match experience gained in the field … Those cost reductions don’t just come magically from the lab. It takes a strong deployment strategy to realize them.

Aside: According to Ranjay Gulati, “Companies generally organize by product and are not structured to access, absorb, and utilize customer insights.” See also “Stay close to the non-customer“.


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