The rapid deployment of renewable power generation technologies, combined with high learning rates, has driven down costs. This trend is projected to continue, making renewables increasingly competitive with fossil fuels in countries across the world and the least-cost option in a growing number of markets.

A landmark year for renewables, overall capacity additions in 2013 reached a new record high of more than 120 GW, with new solar deployment exceeding wind for the first time. These additions included 38 GW of solar photovoltaic (PV); 35 GW of new wind power capacity; 34 GW of hydropower; 6 GW of biomass; 1 GW of concentrating solar power (CSP); and 0.4 GW of geothermal power.

The cost competitiveness of renewable power has reached historic levels. Biomass for power, hydropower, geothermal and onshore wind can all now provide electricity competitively compared to fossil fuels at the utility scale. Further equipment cost reductions can be expected up to 2020, which will lower the weighted average LCOE (levelised cost of electricity) of renewables.

As a result, renewable technologies now represent the most economical solution for new capacity in a growing number of countries and regions and are typically the most economical solution for new grid-connected capacity where suitable resources are available.

For more details on power generation developments and technology-specific costs, performance and future trends, click on the applicable link below or to your right.

Recent Publications

Thailand power system flexibility assessment

A FlexTool study on Thailand's power system suggests cost-efficient investment opti...

Global energy transformation: A roadmap to 2050 (2019 edition)

Increased use of renewable energy, combined with intensified electrification, could prove ...

Opportunities to accelerate national energy transitions through advanced deployment of renewables

While the shift to cleaner energy systems is evident across the Group ...

Renewable Energy Outlook: Egypt

This study examines the policy, regulatory, financial and capacity-related challenges that...

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The Power to Change: Solar and Wind Cost Reduction Potential to 2025

Increasing economies of scale, more competitive supply chains and further technological improvements will continue reducing the costs of solar and wind power. The same factors will also boost the availability of these key renewable power sources at night and in varying weather conditions.

• June 2016
• |
• Costs, Power
• |
• English

Recent Publications

Renewable Power Generation Costs in 2018

IRENA’s latest global cost study shows solar and wind power reaching new price ...

Sugarcane bioenergy in Southern Africa: Economic potential for sustainable scale-up

This study reviews the bioenergy potential from sugarcane and associated develop...

Renewable Energy Market Analysis: GCC 2019

This report explores the prospects for renewables to diversify national economies and the ...

Renewable Power: Climate-safe energy competes on cost alone

The cost of electricity from renewable energy technologies has fallen steadily, and in som...

More

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