1. PART I: How Auctions Helped Solar Become the Cheapest Electricity in the World
- Author:
- Benjamin Attia, Shayle Kann, and Morgan D. Bazilian
- Publication Date:
- 02-2020
- Content Type:
- Special Report
- Institution:
- Georgetown Journal of International Affairs
- Abstract:
- The global energy transition has reached an inflection point. In numerous markets, the declining cost of solar photovoltaics (PV) has already beaten the cost of new-build coal and natural gas and is now chasing down operating costs of existing thermal power plants, forcing a growing crowd of thermal generation assets into early retirement. Perfect comparability between dispatchable and non-dispatchable resources invites debate, but the cost declines in solar PV are irrefutable: the global average unit cost of competitively-procured solar electricity declined by 83 percent from 2010 to 2018. This is due in part to module cost reductions of approximately 90 percent, capacity-weighted average construction cost declines of 74 percent, and a global paradigm shift in renewable energy procurement policies in the last six years.
- Topic:
- Climate Change, Environment, Science and Technology, Natural Resources, Infrastructure, and Electricity
- Political Geography:
- Global Focus