Tony Seba is a futurist and a Stanford lecturer on Disruption. In the context of the term Grid Parity, he coined the term “GOD PARITY” as when local small scale solar+storage (microgrid) energy is cheaper than maintaining the grid.

Why is this important?  Because in most developed markets, the cost of electricity is comprised of two components. The cost of producing the electrons (power plants making the electrons) and the cost of delivering the electrons (maintaining the transmission and distribution lines). Each one accounting for approximately 50% of the costs.

God Parity happens when the cost of producing electrons (via Solar PV) and storing them (via batteries in and near your building) becomes chapter than 50% of the cost of today’s utility-provided electricity.

Why is this important? Because in that scenario, even if one produces electrons for free (via nuclear, fusion, etc), the locally produced and stored electrons will be cheaper than the cost of delivering those free electrons and therefore cheaper than nuclear/fusion electricity.

Given that the cost curve of batteries is following a very similar trend to the cost curve of PV solar panels, this will happen sooner rather than later.

Here are two of Tony Seba’s talks. The second one is the updated version of the first. They are rather long ~55 mins each. If you have limited time, I recommend you watch the parts that I highlight.

Clean Disruption – Why Energy & Transportation will be Obsolete by 2030 (2016 version)

If 53 minutes is too long, you might want to watch minutes 43-53. If 10 minutes is still too long then minutes 46-50. GOD PARITY is explained at 48:35. Also, if you have an extra 5 minutes, the first 0-5 minutes is cute.

CleanDisruption and the Collapse of the Oil, Coal & ICEV Industries (2020 version)

Batteries (minutes 15-19), EVs (minutes 19-32), Autonomous Driving (minutes 32-44), Solar + Storage (minutes 49-55).