Solar is now ‘cheapest electricity in history’, confirms IEA

The table shows that solar electricity is some 20-50% cheaper today than the IEA had estimated in last year’s outlook, with the range depending on the region. There are similarly large reductions in the estimated costs of onshore and offshore wind.

In the best locations and with access to the most favourable policy support and finance, the IEA says the solar can now generate electricity “at or below” $20 per megawatt hour (MWh). It says:

“For projects with low-cost financing that tap high-quality resources, solar PV is now the cheapest source of electricity in history.”

Overall, renewables – led by the “new king” solar – meet the vast majority of new electricity demand in the STEPS, accounting for 80% of the increase by 2030.

carbonbrief Solar is now ‘cheapest electricity in history’, confirms IEA