Renewable Energy: the Cheapest Option, even Without Subsidies

A new study from the International Renewable Energy Agency assessed the Renewable Power Generation Costs in 2018. In the study, they found that unsubsidized renewable energy is now often the cheapest source of energy generation as it becomes increasingly competitive. The New Energy Outlook 2019 from Bloomberg NEF also found that solar and wind can now beat conventional generation technologies on cost in many of the world’s top markets, even without subsidies.

The cost study highlights the latest trends for each of the main renewable power technologies: onshore and offshore wind power, solar photovoltaics, concentrating solar power, hydropower, geothermal power and bioenergy for power.

An article in Forbes argues that these new statistics demonstrate that using renewable energy is increasingly cost-effective and vigorously supporting their adoption could help eliminate the fossil fuels impact of climate change. However, for the world to be rid of fossil fuels we require concerted effort from businesses, governments and individuals.

Another recent report from the Global Commission analyzed the geopolitical implications of accelerating global shift to renewable. The report emphasizes the importance of policy interventions that encourage diversification and include fiscal and monetary discipline, as well as investment in human capital and infrastructure. Trade in renewable energy goods may be hampered by tariffs, discriminatory subsidies and conflicting technical standards.

Access the study on Renewable Power Generation Costs in 2018 through this link.

Access the article in Forbes on this topic through this link.

Access the study on the Geopolitics of the Energy Transformation through this link.

Access the New Energy Outlook 2019 from Bloomberg through this link.