The cost of renewable energy fell to record lows last year, according to a new report by the International Renewable Energy Agency (IRENA).
IRENA said in the 'Renewable Power Generation Costs in 2018' report that the global weighted-average cost of electricity from concentrating solar power declined by 26%, bioenergy by 14%, solar photovoltaics and onshore wind by 13%, hydropower by 12% and geothermal and offshore wind by 1%. It added that cost reductions, particularly for solar and wind, are set to continue into the next decade.
Over three-quarters of the onshore wind and four-fifths of the solar PV capacity that is due to be commissioned next year will produce power at lower prices than the cheapest new coal, oil or natural gas options, IRENA said.
“Onshore wind and solar PV costs between three and four US cents per kilowatt hour are already possible in areas with good resources and enabling regulatory and institutional frameworks,” it added.