An Investor’s Vision Of New Energy In 2025
Where Will Renewable Energy Be in 5 Years? If the recent past is any indication, renewable energy has a very bright future.
Matthew DiLallo, August 30, 2020 (Motley Fool)
“The renewable energy industry has evolved over the years…[and that] trend will probably become even more pronounced over the next five years…[Over five years the installed cost of solar has gone from $4 per watt to] less than $1 per watt to install new capacity and is] among the lowest cost sources of conventional power globally…[The price of new onshore wind capacity has become] cheaper than new natural gas power plants…[By] 2025, onshore wind will be the cheapest form of electricity even with the phase-outs of production tax credits…[and solar without subsidies will be the second cheapest power source and only] slightly more expensive than natural gas…
…[Over ten years, the four-hour battery storage cost went from $71 to $81 per megawatt-hour (MWh) to] $8 and $14 per MWh. By 2022, it should be down to $4 to $9…NextEra Energy expects that near-firm wind and solar (i.e., with a four-hour battery storage adder) will be cheaper to build than all but the most efficient natural gas power plants within the next five years…near-firm wind will cost between $20 to $30 per MWh, while near-firm solar will be between $30-$40 per MWh, which puts them at or below the cost of natural gas at $30 to $40 per MWh…[New Energy investment is expected to go from $2 trillion over the past five years] to $5 trillion to $10 trillion over the next 10 years…[Growth is expected to go from] an average of 10 gigawatts (GW) apiece of wind and solar per year in the 2019 to 2022 time frame to 12-15 GW per year of wind and 18-20 GW per year of solar between 2023 and 2030…” click here for more