Renewable Energy Price is Predicted to Fall in the Near Future

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Renewable energy is widely used in various industries to protect the environment and save cost. The price of such energy has influenced the market trend and people’s daily life. According to a recent report, “renewable energy will be cheaper than fossil fuels in two years”, which could be attributed to the technology improvement. The price decrease of renewable energy is definitely a positive signal for clean energy industries.

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Electronic vehicles, which take advantages of renewable energy, are becoming increasingly popular these years. The cost of EV batteries has declined in 2017. Report from Bloomberg New Energy Finance shows that “the average cost of battery packs will fall by 10 to 15%.” The decrease of battery production cost also results in EV cars price deduction, which surge the sales to an unpredictable level.  “EV sales will hit 1.5 million units in 2018”, and China will take the lead in this area, which is consistent with Ford CEO’s forecast. Undoubtedly, acceptable prices of EV cars would help manufacturers access to bigger market.

Moreover, another important renewable energy, solar energy, which is utilized to generate electricity, may also contribute to the power price reduction. With the development of technology, solar energy will play a vital role in the power plants. For instance, SolarReserve of Santa Monica, California operates a 110-megawatt concentrated solar power plant, aiming to prove “the technology that drives Crescent Dunes can make solar power an affordable, carbon-free, day-and-night energy source”. With the application of molten salt that will be melted by the sunlight and are stored in the shimmering tower to become the steam which could run a turbine, electricity could be generated at night. Therefore, the electricity production will be largely expanded and the power price will decline as well.

Additionally, wind power price is also going down, government starts to encourage wind power projects. The statistics show that “by 2019, the best onshore wind and solar PV projects will be delivering electricity for a USD 3 cents per kWh, significantly below the current cost of power from fossil fuels”.

Renewable energy is changing our life. We hope the price decrease of renewable energy would shift our society to a clean and fresh wonderland.

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