Solar energy has been in use in various forms for billions of years. It was the first energy to be used by the mankind. In the past, the sun’s energy was used in heating and drying operations. In modern days, it has become an important power source. This has been further promoted by many technological advances that have taken place in this sector, since 1950. Earlier tapping sun’s energy was considered an expensive and ineffective process, due to lack of adequate technology. But the technological advancement in recent times has totally changed this perception.

The amount of energy present in sun is so large that it can fulfill the energy needs of the whole world. It is believed that what the planet absorbs from sun in one hour is sufficient to charge up the planet for a whole year! The solar energy sector is showing favorable conditions with installation of many solar energy devices in the year 2007 that collectively generate almost 8.7 GW of solar power.

Solar investments have gone up whereas the solar energy costs have gone down. Since 1980 there is a huge drop in solar energy costs. This is because of the rise in demand of solar energy and rise in production capability of the solar energy sector.