The cost of producing energy from green sources could be halved within 10 years, which would further accelerate and facilitate the shift from fossil fuels. According to a new report by IRENA, the International Renewable Energy Agency, in 2025 the average cost of production of electricity from solar and wind power could be reduced by between 26 and 59% compared to current costs, provided they are accompanied adequate regulatory and policy framework.
According to the study, “The Power to Change,” costs in 2025 could fall about 26% for wind energy on land (onshore) and 35% for wind energy at sea (offshore), 43% for concentrated solar power and 59% for photovoltaic systems. The average total cost of electricity from sun and wind, when we talk about a generation on the land should be in 2025 will amount to 6.5 cents per kilowatt hour.
Already since 2009, recall of IRENA, the prices of solar panels have fallen by 80%, and wind turbines between 30 and 40%. “In recent years we have seen a dramatic reduction in costs associated with the production of energy from the sun and wind. This report shows that prices continue to fall, thanks to a variety of technological innovation and the market,” said Director of IRENA, Adnan Z. Amin.
“Solar and wind energy but are the cheapest source of new installations in many world markets and further cost reductions will extend this trend and further boost the global transition from fossil fuels to renewable energy,” says Amin and concludes that prices are no longer “obstacles” for turning to green energy.