The last week has seen a real spike in activity around solar technologies. Here are some of the headlines.

• U.S. Department of Energy Invests in Solar Cities - Twelve cities have been selected and will receive $200,000 each, “to integrate a variety of solar technologies, such as solar water heating, solar photovoltaic electric systems, and large-scale solar thermal electric systems, which are also known as concentrating solar power.”
• Southern California Edison Will Install 250W of Solar Panels - Spread out over the next five years, “The project is the nation’s largest solar photovoltaic project, covering 2.33 square miles of rooftop at an estimated cost of $875 million.”
• PG&E Enters Into 900MW Solar Contract - The California utility, “has contracted with BrightSource Energy Inc. to receive up to 900 megawatts worth of solar power per year.”

Solar stocks moved briskly northward this past week as well. First Solar (FSLR) was up 21%. Evergreen Solar (ESLR) was up 17.6%. SunPower (SPWR) Corporation was up 22.7%. PowerShares Wilder Hill Clean Energy Fund (PBW) was up 9.5%.

Solar has an advantage over wind power in many areas of the United States because installations have a very low footprint compared to windmills. Solar technologies can also be implemented in urban areas without any cause for alarm. On the downside, solar effectiveness depends on a strong concentration of sun’s rays that is only evident in a small percentage of the U.S. footprint.

Worldwide demand for solar is growing though. And the investment due to this demand will assist with improvements in solar technology that will benefit the U.S. as well.

Disclosure: I own shares in the PowerShares Wilder Hill Clean Energy Fund.