Over the next 10 – 15 years, the cost of solar energy will fall, thereby making it one of the world’s most affordable and attractive source of energy according to a recent report from Bloomberg New Energy Finance. The report was titled “New Energy Outlook”.
Insights and expertise of about 65 countries and technology specialists made up the report which indicate that despite the ongoing investment in coal and gas generation, there will still be a massive transfer to clean energy and solar in a matter of 25 years from now at most.
Solar Costs Continue to Drop & Deliver Inexpensive Energy
As solar technology and output continued to improve world-wide, so also is its continued falling cost. Are you still in doubt of solar energy falling cost? You might want to analyze some of the statistics below from the Bloomberg report.
The cost of producing electricity per mwh for solar photovoltaics is anticipated to fall by 60 percent from $74-$220/mwh to around $40/mwh worldwide in 2040, which would make it one of the best alternatives to fossil fuels making it one of the best alternatives to fossil fuels and coal.
If solar cost continued to fall, it will become less cost than wind and gas generators by 2027.
As countries all over the world begin to move to solar, it is forecasted that solar energy will rise by nine-fold of 10.591Twh by 2040, and to 30 percent of the global total.
Another factor that is contributing to the falling cost of solar is the lowering cost of installation which has decreased by 50 percent since 2009. The more increase in demand for solar, the more solar projects and the more the chances of reduced solar energy system due to purchase agreements and actors of market forces.
Aside the Bloomberg report that has predicted continued fall in solar cost, there is also a 2015 report from Agora Energiewende. This is a German-based think tank that also predicted that solar will become the cheapest source of energy in a matter of 10 years from now. Solar energy plants are already being installed so many other places of the world.
Top Solar Countries
“Trends in Photovoltaic Applications” is an international Energy Agency which came up with the report of the top countries in the world that are using solar in its most raw form. (Usage in megawatts)
- Germany – 38,250
- China – 28,330
- Japan – 23,409
- Italy – 18,622
- United States – 18,317
- France – 5,678
- Spain – 5,376
- Australia – 4,130
- Belgium – 3,156
- South Korea – 2,398
The solar industry is full of pleasant surprises and so do not expect this list to remain accurate for long.
“Solar energy has become cheaper much more quickly than most experts had predicted and will continue to do so,” says Dr. Patrick Graichen, director of Agora Energiewende. If statements like this are any indication as to the future of solar power, even the best predictions will likely fall short of reality where solar is concerned- a “bright” future indeed.
Vesselnet Solar is your reliable partner when it comes to solar energy in Africa. We have various solar packages that suite every category of our clients. Why don’t you give us a call today or send an email, for our team to be able to determine your most suitable energy package.