The cost of solar and wind energy will continue their stunning falls over the next decade, and by 2027 will be cheaper than existing coal and gas plants in most countries in the world, according to a major new report by leading global analysts Bloomberg New Energy Finance. In its annual New Energy Outlook, NEO2016, BNEF says solar energy costs, which have already fallen by 80 per cent since 2008, will fall another 60 per cent to an average cost of $40/MWh around the world by 2040. In some countries, that cost has already been beaten. This “precipitous” fall, as BNEF describes it, means that solar will account for nearly half of all new capacity installed around the world in the coming decades. One third of this will be on rooftops, and it will be accompanied by huge growth in battery storage. By 2040, solar will supply 15 per cent of all electricity demand. Wind energy costs will also fall another 40 per cent, mostly driven by improving capacity factors that will rise to 33 per cent in 2030 and 41 per cent in 2040. It will account for more than 20 per cent of all new additions.
Renew Economy 14th June 2016 read more »
A stunning new forecast on “peak fossil fuels for electricity” by Bloomberg New Energy Finance (BNEF) concludes that “coal and gas will begin their terminal decline in less than a decade.” It’s been clear for a while that coal demand is plateauing, if it hasn’t already peaked. But BNEF explains that of the “eight massive shifts coming soon to power markets,” #1 is “There Will Be No Golden Age of Gas.” By 2040, zero-emission energy sources will make up 60% of installed capacity. Wind and solar will account for 64% of the 8.6TW of new power generating capacity added worldwide over the next 25 years, and for almost 60% of the $11.4 trillion invested.
Climate Progress 13th June 2016 read more »