Falling Renewable Energy Costs Provide Wake-up Call to Policy Makers

ABU DHABI, United Arab Emirates--(BUSINESS WIRE)--Renewable energy has entered into a new virtuous cycle of falling costs, increasing deployment, and accelerated technological progress, a ground-breaking report by the International Renewable Energy Agency has found.

“The past two years have seen a remarkable increase in the competitiveness of renewable energy”

The cost of solar energy, for example, has dropped below the cost of diesel generation worldwide for communities living away from the electricity grid.

The public debate around renewable energy, however, continues to suffer from an outdated perception that renewable energy is not competitive, forming a significant and unnecessary barrier to its deployment.

Renewable Power Generation Costs in 2012: An Overview, launched during the IRENA annual Assembly and at the World Future Energy Summit in Abu Dhabi, is the most current, comprehensive analysis of the costs and performance of renewable power generation today. It can be found on www.irena.org.

Its analysis of 8000 medium- to large-scale renewable power generation projects reveals that renewables are fast becoming the most competitive option for new electricity grid supply and swift grid extension, and are already the default economic solution for off-grid power supply.

“The past two years have seen a remarkable increase in the competitiveness of renewable energy,” says Adnan Amin, IRENA Director General. “2012 was the year when renewables came of age – able to compete with other power generation technologies, and increasingly without subsidies. It is time for the public debate to reflect this changing reality.”

IRENA is launching the Renewable Costing Alliance to raise awareness of falling costs, and to collect more data. It will bring together government agencies, financial institutions, equipment manufacturers, project developers, utilities and research institutions.

Note to Editors

IRENA is mandated by 159 countries and the European Union to promote the sustainable use of all forms of renewable energy, and to serve as the global hub for renewable energy cooperation and information exchange. Formally established in 2011, IRENA is the first major international organization to be headquartered in the Middle East.

*Source: ME NewsWire