Renewable Energy is Expensive or Cheap

At the St. Petersburg Economic Forum recently held Russian Deputy Prime Minister Arkady Dvorak Marko Popovich said that the current renewable energy still too expensive, expect renewables become cheaper by technological development.

It sounds strange, but true, today, when talking about the topic of renewable energy are still many questions that the voice of renewable energy is to rely on incentives and subsidies was able to survive the "expensive stuff." You know, the rapid development of technology in today's world, the people can not afford the prohibitive clean energy within reach, become whatever you can get and enjoy preference, and most people use it in solar powered portable generator.

Renewable energy is cheap green energy

Data Lazard Investment Bank (report by "Levelized cost of energy analysis-9.0") shows that in the United States, wind power and solar power for industrial use has actually become the most economical way to generate electricity, can match only mixed gas electricity. Levelized cost of electricity (LCOE) of wind power is $ 32 ~ 77 / MWh, solar power LCOE of $ 50- $ 70 / MWh, steam-gas turbine power LCOE at $ 52 to 78 / MWh, the gas turbine power LCOE at $ 68 ~ 101 / MWh.

According to US Department of Energy data, as early as 2014, the average price of long-term power purchase agreements with the United States signed a wind power plant has been reduced to US $ 23.5 / MWh, the average price level is lower than the wholesale price in the United States over the same period. And before 2009, the average price of wind power also had up to $ 70 / MWh in the United States.

Meanwhile, the price of solar power is also declining. In early 2015, winning solar electricity in Dubai, UAE was $ 58.4 / MWh, this year winning solar electricity in Peru and Mexico were $ 48 / MWh and $ 36 / MWh, shortly before the UAE bid price is Year record fell to $ 29.9 / MWh.

Seen now in many parts of the world, with a cost of renewable energy generation has been very low, especially portable solar power generator. New installed capacity of electric power statistics can prove that renewable energy is no longer the alternative energy sources. Renewable energy installed capacity in the EU for two consecutive years to achieve 100% of the net increase. 2015 newly installed capacity in the United States, solar power and wind power accounted for close to 70%.

In addition to depreciation, renewable energy is almost free of charge in the use of natural resources (renewable energy power generation process without the fuel consumption). Also, be sure that the capital cost of solar power and wind power will continue to decrease. Large-scale renewable energy projects in some of the world's major markets, infrastructure investment has been reduced to $ 1 / watt, which makes the cost of electricity dropped significantly.

Russia's current renewable energy electricity price is higher than the current price, which is why the Deputy Prime Minister at the St. Petersburg Economic Forum, spoke of renewable energy "expensive."

But it should be noted that, first of all, the price is not the only way to electrical energy payback; secondly, renewable energy can not suddenly popularization, which is a series of measures by means of progressive developed countries in support of the new industry, this point is very important. As the market is formed, in the renewable energy show the scale and efficiency of various preferential measures and financial support may be gradually reduced.

For example, 20 years before 2004, the German green power tariff subsidies to clean energy provided by the manufacturer for 0.574 euros / kWh. Today, new projects of green subsidies in the range of 0 to 0.13 euro / kWh range, the industrial use of renewable energy in electricity prices determined by competitive bidding.