While investments in renewable energy slumped last year, a big drop in unsubsidized costs for new wind and solar power installations indicated that they remain popular energy alternatives.
Last year, the average “levelized cost” or total cost of generating power from solar worldwide dropped 17% percent, onshore wind costs dropped 18% and offshore wind turbine power costs fell 28%, according to a new report from the United Nations and Bloomberg New Energy Finance (BNEF).
“Well, after the dramatic cost reductions of the past few years, unsubsidized wind and solar can provide the lowest cost new electrical power in an increasing number of countries, even in the developing world — sometimes by a factor of two,” Michael Liebreich, chairman of the Advisory Board at BNEF, said in the report.
The average capital cost for solar power projects of new construction in 2016 was 13% lower than in 2015, while for onshore wind the drop …