http://www.yourturn.ca/solar/microfit/what-is-the-microfit-p...
Not sure if it counts as innovation when one buys something for far more than it's resold for at a mass-scale.
Somehow we've ended up with a "market" price of electricity of 2 cents/kwh, and another 10c/kwh for global adjustments (includes more than just solar and wind subsidies). This is before distribution and transmission.
It seems to me like it's essentially a breakdown of marginal vs fixed costs.
1: http://www.ieso.ca/-/media/Files/IESO/Market-Summaries/2020/..., page 21
Subsidies are rife, but there’s far less solar energy produced compared to hydro and nuclear. The amount of generation we get for that solar subsidy is peanuts. Nuclear is a pesky beast, because shutting down is incredibly expensive too.
Let's say it was 20% of the GA in the summer and 0% in the winter for a sketchy 10% average of the fees. This doesn't seem too far out of line, although it is obviously a few times higher than the others, but it's not far enough out of whack that I think calling it peanuts is justified.
1: http://ieso.ca/en/Learn/Ontario-Supply-Mix/Ontario-Energy-Ca...
It's in the nature of R&D investment that you can't have tomorrow's prices for things built today, so if government agreed to pay 75 cents per kWh to drive innovation ten years ago that's what you have to pay now, you can't change your mind now the work is done or else nobody will work with you in future since they've no reason to think they'd get paid.
But $500/MWh does seem high, subsidised UK solar projects from five years ago receive about $80/MWh and new ones proposed this year are expected to pay somewhere in the ballpark of $50-60 (less than consumers pay for electricity but more than unsubsidised providers are paid for it most of the time). So perhaps I just don't understand the basis on which you've got 75 cents.