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eridani

(51,907 posts)
Wed Oct 7, 2015, 06:21 AM Oct 2015

With Renewables on the Rise, Dirty Fuels Losing Competitive Edge

http://www.commondreams.org/news/2015/10/06/renewables-rise-dirty-fuels-losing-competitive-edge

Wind and solar power are "much more competitive" against dirty energy sources than they were even just a few years ago, according to a detailed global analysis published this week.

In fact, according to the findings from the research company Bloomberg New Energy Finance (BNEF), wind power is now the cheapest electricity to produce in both Germany and the U.K., even without government subsidies. Though Denmark passed the same milestone last year, this is the first time that threshold has been crossed by a G7 economy.

The analysis took into account not just the cost of generating a megawatt hour (MWh) of electricity, but also the upfront capital and development expenses, the cost of equity and debt finance, and operating and maintenance fees.

In the U.S., coal and gas are still cheaper, at $65 per MWh, compared to onshore wind at $80 and solar at $107.

Still, given documented trends, "t's impossible to brush aside renewables in the U.S. in the same way it might have been just a few years ago," writes Bloomberg's Tom Randall.

"Renewables are really becoming cost-competitive, and they're competing more directly with fossil fuels," BNEF analyst Luke Mills told Bloomberg. "We're seeing the utilization rate of fossil fuels wear away."

Indeed, while the future for renewables looks bright, the outlook for coal and other dirty energy sources is decidedly more dismal—and bound to become even more so.
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With Renewables on the Rise, Dirty Fuels Losing Competitive Edge (Original Post) eridani Oct 2015 OP
Really great news! RiverLover Oct 2015 #1
It is actually a lot better than either the Common Dreams author or BNEF portrays kristopher Oct 2015 #2

kristopher

(29,798 posts)
2. It is actually a lot better than either the Common Dreams author or BNEF portrays
Wed Oct 7, 2015, 05:44 PM
Oct 2015

These are averages that includes pricing from older renewable installation. If we look at the leading edge of the curve for renewables, it isn't hard to see the shape of things to come. From the comments of Common Dream article:

Bloomberg even in acknowledging the value of renewable energy still fails to make fair comparisons, by using outdated figures. The average cost of wind power is far below the stated cost, with recent wind farms selling power at under 5 cents/kwh. Solar is also below 6 cents/kwh in recent PPA deals.

http://newscenter.lbl.gov/2015/08/10/study-finds-that-the-price-of-wind-energy-in-the-united-states-is-at-an-all-time-low-averaging-under-2-5%C2%A2kwh/1

http://reneweconomy.com.au/2015/and-the-cheapest-electricity-in-the-us-is-solar-52098


http://commons.commondreams.org/t/costs-for-renewables-plunge-while-dirty-fuels-get-more-expensive-report/13958/9
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