Comment box Scope: summary, information Tone: neutral Opinion: none Sarcasm/humor: none LCOE represents the lifetime cost of different types of electricity generation, including the cost of...
Comment box
Scope: summary, information
Tone: neutral
Opinion: none
Sarcasm/humor: none
LCOE represents the lifetime cost of different types of electricity generation, including the cost of manufacturing, procurement, installation, day-to-day operation, and maintenance.
The globalized weighted average levelized cost of electricity (LCOE) of utility-scale solar plants stood at $0.044/kWh in 2023, according to a report from the International Renewable Energy Agency (IRENA).
The report says the result represents a 12% year-on-year (YoY) decrease, compared to a 3% YoY decrease between 2021 and 2022. In 2010, the figure stood at $0.460/kWh, meaning the weighted average LCOE has fallen by 90% since the start of the last decade.
Costs are declining in lots of ways, including the solar cells themselves as well as installation costs.
The lowest weighted average LCOEs in 2023 were recorded in Australia ($0.034/kWh) and China ($0.036/kWh), the latter of which saw a 14% YoY decline.
The US had a weighted average LCOE of $0.057/kWh for solar in 2023, a 3% YoY decline and 33% above the global weighted average. The Netherlands experienced the greatest YoY decline last year, recording $0.059/kWh in 2023 for a drop of 35%.
Even in just 1 year there have been substantial improvements:
Meanwhile, the global capacity weighted average of total installed cost of projects commissioned in 2023 stood at $758/kW, 86% lower than in 2010 and 17% lower than in 2022.
And efficiency is going up:
IRENA also found the global weighted average capacity factor for new, utility-scale solar PV increased from 13.8% in 2010 to 16.2% in 2023.
Comment box
LCOE represents the lifetime cost of different types of electricity generation, including the cost of manufacturing, procurement, installation, day-to-day operation, and maintenance.
Costs are declining in lots of ways, including the solar cells themselves as well as installation costs.
Even in just 1 year there have been substantial improvements:
And efficiency is going up:
It looks like costs will continue to decrease.