The LCOE Of Renewable Energy  

Posted by Big Gav in ,

Chris Nelder has an article at Resilience.org which includes an interesting graph of the IEA's view of the Levelised Cost Of Energy (LCOE) for various power sources - Wind to Double and Solar to Triple in 6 Years, Says IEA.

With this report, IEA joins a number of other agencies in forecasting that onshore wind and solar PV “have reached, or are approaching, competitiveness in a number of markets without generation-based incentives.” While the levelized cost of generation (LCOE) from renewables is generally still higher than that of new fossil-fueled power plants, the claims that renewables are too expensive or that they can’t compete without subsidies will soon be dead and buried. In Spain, Italy, southern Germany, southern California, Australia, Denmark, and certain other market segments, the LCOE of solar PV is already cheaper than retail electricity prices.

However, it’s important to recognize that the competitiveness of renewables is enormously dependent on their specific locations, and on the grid power mix in those areas. For example, the IEA notes that the LCOE of onshore wind is competitive with new gas-fired plants in Brazil, Chile, and Mexico, but not in the U.S., where gas is currently extraordinarily cheap. (If natural gas prices in the U.S. were to return to levels last seen a few years ago, wind would be cheaper.)

In Australia, wind is competitive with new coal- and gas-fired plants with carbon pricing, but only the best wind sites can compete without it. In oil-exporting countries of the Middle East, solar PV is cheaper than burning oil for power generation, because the value of exported oil is so much higher. And so on.

0 comments

Post a Comment

Statistics

Locations of visitors to this page

blogspot visitor
Stat Counter

Total Pageviews

Ads

Books

Followers

Blog Archive

Labels

australia (615) global warming (415) solar power (388) peak oil (351) renewable energy (285) electric vehicles (240) wind power (190) ocean energy (165) csp (158) geothermal energy (144) solar thermal power (144) smart grids (140) tidal power (137) oil (136) energy storage (134) solar pv (132) coal seam gas (131) nuclear power (127) lng (116) china (115) iraq (113) geothermal power (112) green buildings (110) natural gas (110) agriculture (90) oil price (80) biofuel (78) wave power (73) smart meters (72) uk (69) coal (68) electricity grid (67) energy efficiency (64) google (58) bicycle (51) internet (51) big brother (49) shale gas (49) surveillance (49) food prices (48) thin film solar (42) tesla (41) biomimicry (40) canada (40) scotland (38) ocean power (37) politics (37) shale oil (37) new zealand (35) air transport (34) algae (34) water (34) concentrating solar power (33) arctic ice (32) queensland (32) saudi arabia (32) california (31) credit crunch (31) bioplastic (30) offshore wind power (30) population (30) cogeneration (28) geoengineering (28) batteries (26) drought (26) resource wars (26) woodside (26) bruce sterling (25) censorship (25) cleantech (25) ctl (23) carbon tax (22) economics (22) exxon (22) limits to growth (22) buckminster fuller (21) distributed manufacturing (21) iraq oil law (21) lithium (21) coal to liquids (20) indonesia (20) origin energy (20) brightsource (19) rail transport (19) ultracapacitor (19) santos (18) ausra (17) electric bikes (17) michael klare (17) atlantis (16) cellulosic ethanol (16) collapse (16) iceland (16) mapping (16) ucg (16) bees (15) concentrating solar thermal power (15) ethanol (15) geodynamics (15) lithium ion batteries (15) psychology (15) al gore (14) brazil (14) bucky fuller (14) carbon emissions (14) fertiliser (14) ambient energy (13) biodiesel (13) cities (13) investment (13) kenya (13) matthew simmons (13) public transport (13) biochar (12) chile (12) desertec (12) internet of things (12) otec (12) texas (12) victoria (12) big oil (11) cradle to cradle (11) energy policy (11) hybrid car (11) terra preta (11) tinfoil (11) toyota (11) amory lovins (10) antarctica (10) fabber (10) gazprom (10) goldman sachs (10) gtl (10) severn estuary (10) volt (10) afghanistan (9) alaska (9) biomass (9) carbon trading (9) distributed generation (9) esolar (9) four day week (9) fuel cells (9) jeremy leggett (9) pge (9) sweden (9) arrow energy (8) eroei (8) fish (8) floating offshore wind power (8) guerilla gardening (8) linc energy (8) methane (8) methane hydrates (8) nanosolar (8) natural gas pipelines (8) pentland firth (8) relocalisation (8) saul griffith (8) stirling engine (8) us elections (8) western australia (8) airborne wind turbines (7) bloom energy (7) boeing (7) bolivia (7) chp (7) climategate (7) copenhagen (7) vinod khosla (7) apocaphilia (6) ceramic fuel cells (6) cigs (6) futurism (6) jatropha (6) local currencies (6) nigeria (6) ocean acidification (6) scenario planning (6) somalia (6) t boone pickens (6) space based solar power (5) varanus island (5) garbage (4) global energy grid (4) kevin kelly (4) low temperature geothermal power (4) oled (4) tim flannery (4) v2g (4) club of rome (3) norman borlaug (2) peak oil portfolio (1)