What’s Driving the Growth of Clean Power? | Clean Power Hub

What’s Driving the Growth of Clean Power?

All around the world, the installed capacity and production of renewable energy has increased significantly over the past decade. This is because of rapidly declining technology costs, growing economies of scale, and smart policy, among other factors.

What You Need To Know

  • Costs for renewable energy technologies, including solar and wind power, have dropped steeply in recent years.
  • In many locations, renewable power is now cost-competitive with other fuel sources.
  • Smart policy remains essential to inspire investment, remove barriers, and create a “level playing field” for clean power.

First, Look At This

With declining costs and expanding support from policymakers, capacity of solar and wind power has increased significantly.

Next, See This

Technological, production process, and supply chain improvements – along with a growing community of experienced clean power developers and investors – are contributing to making renewable power generation much cheaper.

Electricity costs from renewables have fallen sharply over the past decade, driven by improving technologies, economies of scale, increasingly competitive supply chains and growing developer experience. As a result, renewable power generation technologies have become the least-cost option for new capacity in almost all parts of the world. This new reality has been increasingly reflected in deployment, with 2019 seeing renewables account for 72% of all new capacity additions worldwide.

Text excerpt from IRENA: Renewable Power Generation Costs in 2019

And This

Recent years have seen substantially reduced costs for all major renewable energy technologies, including solar photovoltaics (PV), concentrated solar power (CSP), onshore wind, and offshore wind.

Now, Read This

Renewable power generation is increasingly cost-competitive with other fuel sources.

Not only do costs continue to decline for solar and wind power technologies, but new projects are increasingly being commissioned at very low absolute cost levels. In 2019, 56% of all newly commissioned utility-scale renewable power generation capacity provided electricity at a lower cost than the cheapest new fossil fuel-fired option. Nine-tenths of the newly commissioned hydropower capacity in 2019 cost less than the cheapest new fossil fuel-fired option, as did three-quarters of onshore wind capacity and two-fifths of utility-scale solar PV. The latter value is remarkable considering that in 2010, solar PV electricity cost 7.6 times the cheapest fossil fuel-fired option.

Text excerpt from IRENA: Renewable Power Generation Costs in 2019

Next, Read This

Supportive policy plays a significant and important role in the growth of clean power around the world. These measures attract new investment to renewable energy technologies, support technological advances, create economies of scale, and ultimately, reduce costs.

Finally, Watch This

While renewable power technologies are increasingly cost-effective, smart, supportive policy remains critically important to overcome other barriers and ensure their continued growth.

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