Contact us about costs
Power Generation

The rapid deployment of renewable power generation technologies, working in combination with high learning rates, have pushed costs down. This trend is projected to continue, making renewables increasingly competitive with fossil fuels in countries across the world, and the least-cost option in a growing number of markets.

The year 2013 was a landmark year for renewables. Overall capacity additions reached a new record high of more than 120 GW, with new solar deployment exceeding wind for the first time. In 2013 additions included, 38 GW of solar photovoltaic (PV), 35 GW of new wind power capacity, 34 GW of hydropower, 6 GW of biomass, 1 GW of concentrating solar power (CSP) and 0.4 GW of geothermal power.

The cost competitiveness of renewable power has reached historic levels. Biomass for power, hydropwer, geothermal and onshore wind can all now provide electricity competitively compared to fossil fuel-fired power generation. Most impressively, the levelised cost of electricity (LCOE) of solar PV has halved between 2010 and 2014 so that solar photovoltaics (PV) is also increasingly competitive at the utility scale. Further equipment cost reductions can be expected to 2020, which will lower the weighted average LCOE of renewables.

As a result, renewable technologies are now the most economical solution for new capacity in a growing number of countries and regions and are typically the most economic solution for new grid-connected capacity where good resources are available.

For more details on power generation developments, and technology-specific costs, performance and future trends, click on the desired link below or to your right.



Advanced biofuels to be competitive with fossil fuels by 2020.       Solar PV module prices of around USD 0.75/Watt makes PV the economic solution for 1.3 billion people.       Electric vehicle battery packs to fall 40% to 55% by 2020 to cost USD 300-400/kWh in 2020.       Some of today's first-of-a-kind commercial plug-in hybrid and battery electric vehicles are economic today.       Road transport accounted for 76% of total transport demand in 2010.       Biodiesel consumption grew 42% per year between 2000-2010.       Feedstock costs account for 60-80% of total conventional ethanol production costs.       The levelised cost of electricity of wind, solar PV, CSP and biomass is declining.       Electricity from hydropower, geothermal and biomass where good resources remain are the cheapest way to generate electricity.       Renewables are increasingly the most economic solution for new grid connected capacity.       Wind turbine prices have been declining since 2009.       Renewables are becoming the economic choice for off-grid and mini-grids.       Wind turbine prices in China in 2012 were USD 620/kW.       The installed cost of wind is typically lower than coal-fired power plants in OECD countries.