Economic performance of grid-connected photovoltaics in California and Texas (United States): The influence of renewable energy and climate policies

► The effect of public policies on the economic performance of PV systems is analyzed. ► A PV output model, a dispatch model, and a cost-benefit model are integrated. ► The PV installations generally do not achieve positive profitability. ► A sensitivity analysis demonstrates the prices required to achieve profitability. ► The marginal fuels displaced by the PV system, not the average fuels, are relevant.