New and Renewable Energy with Cheaper Manufacturing Cost and Less Volatility

https://korean-electronics.com//inquiryAccording to a recent report by the International Renewable Energy Agency (IRENA), levelized cost of electricity (LCOE) for solar power generation in 2017 was US$0.10 / kWh, a decrease by 16.7% compared to US$ 0.10 / kWh in the previous year, which is as much as a 75% decrease from US$ 0.36 in 2010.
During the same period, photovoltaic module prices dropped 81% while the cost of the Balance of System (BoS) dropped 73%. Since a stable cost reduction is being achieved within the LCOE range of fossil fuels without any government subsidies, the argument for cost competitiveness seems no longer relevant.
The LCOE of onshore wind also fell 17.6% to US$ 0.06 / kWh, nearing the low end of the fossil fuel’s LCOE range. With the increase of the projects for the commercialization of the concentrating solar power (CSP) and offshore wind, which are gradually increasing their share based on high energy-conversion efficiency, the manufacturing cost has been steadily decreasing.
The conventional base-load power generation is still characterized by high price-volatility of raw materials such as oil and coal, and the increase in radioactive waste disposal costs and environmental costs related to carbon emissions. By comparison, it is therefore expected to contribute increasingly to the establishment of a long-term power policy as a stable and economical power-generation source.
On the other hand, even without additional subsidies from the central government, the profitability of the utilitygrade renewable energy-generation facilities based on the economy of scale and the long-term power purchase contracts remains stable while the market continues to grow.
In particular, as the reference of the utility-scale power-generation facilities increases, the knowledge regarding operation and utilization of decentralized power system accumulates. And the renewable energy-generation facility which has been used only for the existing residential and commercial uses is rapidly increasing for industrial uses lately.
The environment for the distributed power systems remains more favorable than the centralized power generation facilities, e.g., the USA imposing additional protectionist tariffs and China’s policy to continue to provide subsidies to decentralized power systems. Therefore, the production of new and renewable energy generation and energystorage complex facilities for industrial peak power management is expected to rev up rapidly.

korean-electronics.com | Blog Magazine of korean electronics, brands and Goods

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