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This chapter discusses the birth history of photovoltaics (PVs). The first published observation of the photovoltaic effect was by a 19‐year‐old French scientist Alexandre‐Edmond Becquerel in 1839, possibly working with his father, the physicist Antoine Cesar. The US Signals Corps' William Cherry encouraged RCA to work on solar cells and in 1958 the Vanguard I satellite was the first practical application of PV, with less than 1 W of capacity. Later that year, Explorer III, Vanguard II, and Sputnik‐3 all carried PV‐powered systems. Solar cells are the core of a PV system, responsible for converting incoming light into electrical energy. Throughout the early PV era the cost of solar cells was relatively high, making solar modules the dominant element of a PV system. One approach to reducing system cost is to focus the incoming sunlight, using either mirrors or lenses.

This chapter looks at the efficiency of solar cells, both theoretical and actual, and the technical details of the standards against which they are tested. Air mass (AM), nominal operating cell temperature (NOCT), standard test conditions (STC) and 1 sun apply to the testing and qualification of solar cells, modules, and systems. To be accredited against the international standards discussed in the chapter, solar modules are rated in terms of watts peak under standard test conditions. They are then tested to ensure they are adequately strong, safe, and weatherproof, with a series of tests. The chapter lists tests that are typically performed and the results are used to validate ratings given by the manufacturer. For thin film modules, some additional tests are carried out: light soak; thermal annealing; and wet leakage current.

This chapter discusses the comparative economics for off‐grid and grid‐linked applications. It then looks at the factors that drive solar system costs, and shows how prices developed after the heady $100+/W level inherited from the space industry. The measure used in the chapter, dollars per watt, is obtained simply by dividing the price1 in US dollars by the nominal output under standard test conditions in watts peak (W p ) of the solar cell, module, or system. To derive the total system cost, one can simply add the balance‐of‐system costs to the module. To obtain a target for the required cost of PV, people need to do is define the electricity price they have to compete with, and run this calculation backward to find the acceptable capital cost. The MUSIC FM study conducted for the European Commission in 1996 identified how solar module costs equivalent to about $0.70/W could be achieved.

The most successful organizations are built on groups of good people. The Who's Who discussed in this chapter is therefore an inevitably incomplete record of key people active in the early photovoltaic (PV) sector. One of the first Scandinavian scientists to recognize PV's potential, Tapio Alvesalo led the region's leading early solar business. Tapio recognized the synergies between the nascent PV technology and this division's activities in advanced energy storage, hydrogen, and electric vehicles. He proposed a new corporate business venture, Neste Advanced Power Systems. The PV business grew strongly under his leadership, establishing overseas ventures and selling globally. Hubert Aulich is one of the longest serving solar specialists in Germany and an expert on PV materials. He was managing director of PV Electric, Siemens joint venture with Arco Solar qv , where he worked on commercialization of amorphous silicon thin film technology with Peter Aschenbrenner qv and others.

This book focuses on terrestrial photovoltaics between 1973 and 1999. The first oil crisis was sparked in October 1973 when some members of OPEC proclaimed an oil embargo in response to American supply of arms to Israel in the Yom Kippur War. The concept of "energy security" has subsequently been broadened to take into account other factors such as the political stability of the regions where energy is produced, and risks associated with transporting it to the point consumption. Other threats such as terrorism also need to be weighed in the balance. Climate science was still very much in its infancy in the early 1970s. The link between atmospheric carbon dioxide and methane with global temperatures was not widely recognized; or as a skeptic might put it, “climate change had not yet been invented”. Along with the external drivers as mentioned previously, a number of internal drivers were also at play.

US policy had a strong focus on working with industry to bring costs down and thereby expand the markets for PV. This chapter gives some of the specifics of these targets and activities. The European pilot projects supported by the DG‐XII programme are listed in the chapter. The European Commission's energy demonstration projects supported about 100 PV projects between 1978 and 1991. These are classified according to the some categories. The three most supported categories were remote houses, islands, and water treatment. Germany is often credited as the inventor of feed‐in tariffs. The principle of feed‐in tariffs is that renewable electricity generators are guaranteed a fixed price for every kilowatt‐hour (kWh) of electricity they produce over a period of 20–25 years. The chapter concludes by summarizing the rooftop installations completed during the authors’ time frame by the Sunshine Project.

The directory in this chapter gives profiles of key organizations active in terrestrial photovoltaics during the early photovoltaic (PV) era. To make it easier to search, entries are grouped in the following categories: PV manufacturing and research companies; systems integrators, equipment suppliers, and other companies; research centers and universities; and international, national, and representative bodies. HCT Shaping Systems first introduced the wire saw, which proved to be important for mass production of crystalline silicon solar wafers and, therefore, for the early PV industry. IT Power was crucial to the deployment of renewable energy in developing countries, in particular because of its work in support of aid agencies and other finance providers in this sector. The chapter concludes with a summary of leading producers, and of major entrants and leavers, together with company flotations.

This chapter looks at the types of industrial players active in the early terrestrial solar power market. Recent industrial history, particularly in the software and internet sectors, has produced a host of entrepreneurs who have risen to fame and fortune. This chapter covers ways of achieving an industrial sale of the business under mergers and acquisitions. Another alternative for the sale of a business is to allow its employees to buy it in a so‐called management buyout (MBO). Smaller companies were able to remain independent, if they stayed in consultancy, service, or downstream markets and out of solar cell production. The ultimate source for independent companies needing larger amounts of investment capital is to "go public" and to raise money on a stock exchange through an initial placement offering (IPO). The representative associations provide a focal point for collaboration between the commercial companies.