Solar power has already added 64% new electric generating capacity in the first quarter of 2016, but it doesn’t end there. The amount of power generated from solar panels is expected to expand as much as sixfold by 2030. According to the International Renewable Energy Agency (IRENA) The cost of solar power production fell below competing natural gas and coal-fired plants.
Solar power to expand sixth fold
The Abu-Dhabi based industry group report that solar plants utilizing photovoltaic technology could account for 8% to 13% of global electricity produced in 2030, compared with 1.2 % at the end of last year.
The average cost of electricity generated from solar panels is expected to drop as much as 59% by 2025. This would make solar power the cheapest form of power generation “in an increasing number of cases”.
Renewable energy, particularly solar, is replacing nuclear energy and curbing power production from gas and coal in developed areas such as Europe and the U.S. California’s PG&E Corp. is proposing to close two nuclear reactors a solar costs continue to decline. According to Bloomberg New Energy Finance, solar power will be the cheapest way to generate energy in most parts of the world in the 2030s.
Solar power will be cheapest resource
The BNEF report also forecasts that solar panel growth to reach 15% of total electricity output by 2040. Jenny Chase, head of solar analysis in Zurich, agrees with the prediction. She asserts, “solar just gets so cheap under any reasonable scenario”.
A year ago, the average cost of electricity from a utility-scale solar panel system was 13 cents per kilowatt hour. That’s more than gas-fired plants and coal that averaged 5 cents to 10 cents per kilowatt hour.
The average cost of building a solar-powered energy utility could fall to 79 cents per kilowatt hour in 2025 from $1.80 per watt last year. Coal-fired power production costs are about $3 per watt while gas plants cost $1 to $1.30 per watt.
As solar power becomes the cheapest resource, further solar uses will continue to be encouraged. Usages such as smart grids, or power networks capable of distributing energy from different sources and new types of storage technologies will be explored and expanded upon.
Do you have more questions about solar power becoming cheapest resource? Are you ready to install solar panels on your roof, please get in touch! We make going solar easy with worry free no money down financing. Call, email, or schedule an in home consultation with one of our solar power specialists. We install solar energy systems across South Carolina including Charleston and Columbia. Give us a call today! (855) 339-1831