Another study recently showed that solar and wind power are the cheapest alternatives to new electricity supply in the city. Studies have shown that this has been the case for at least a few years, with most new energy coming from the sun and wind. (It is not clear why anyone is loading Any In this case, fossil fuels.)
Yes, this is basically a “dog bite” story at this time, but it is important to keep telling because many people will be shocked if you tell them this. It is as if people were being told to bite dogs.
This new study comes from the Frankhofer Institute of Solar Energy Systems (ISE), the most prestigious research institute in Germany. The study examines the cost of various types of power generation (LCOE), which is basically the average cost per kWh on the “life” of the projects. That usually means spreading the analysis over 20 years or more.
Frannofer ISA, a German institute, did the analysis for Germany. This makes it even more impressive, as Germany has a solar system that is comparable to Alaska (not a joke). Less sunlight means less chance of renewing your expenses. However, solar panels are now very cheap and solar systems are so sophisticated that only the sun is cheap, cheap, cheap. It helps keep sunlight free and there are no moving parts that are prone to breakage.
The solar PV price identified in this study ranged from 3.12 euros per klh to 11.01 euros per kWh. The cost of solar power generation itself is estimated at 530 € / kWp to 1600 € / kWp.
This is the standard analysis by Frannofer ISE, and this is its 5th edition, but this is the first time the researchers have included energy storage as part of the analysis. In this case, the solar PV system with battery power storage costs 5.24 euros per kWh to 19.72 euros per kWh. With the battery-powered PV farms still priced at 3.94 Euros per kWh and 8.29 Euros, nothing cheap is expected from the wind farm.
Frannoffer’s team also predicted how these figures would change in 2030 and 2040. Although prices are not expected to change significantly during that time. Natural gas LCOE is expected to increase significantly. CO2 prices are expected to rise, making natural gas and gas plants more expensive than they are today.
For more information, see the Francho Hoffer News Report on the new study or the study itself – Study – The Cost of Electricity [PDF 7.6 MB].