Is Renewable Energy Cheaper?

Is Renewable Energy Cheaper? Least and Most Expensive Energy Sources

There are several sources of renewable energy, such as sunlight, wind, geothermal heat, water, and rain.  These renewable energies are used in different places in the world, especially in urban areas where electricity is far-reaching. They can produce the cheapest form of electricity although some still question if: Is renewable energy cheaper? Let’s check on these Q&As to get more information. 

What Is The Most Expensive Renewable Energy Source?

There is a debate between solar and tidal. When solar installation is not yet that popular, the price is high, but as years pass by, it has become more affordable. When it comes to overall, it can be tagged as the most expensive. The cost of a solar panel system depends on how many panels are needed, a brand of materials, and other factors. That’s why it is expensive, but worth it with all the electricity bills you can save once it is installed. 

Tidal energy, on the other hand, is expensive when it comes to installation. What’s more, tidal energy is reliable, but plants are only possible beside coastlines, so it becomes unpopular. 

What Is The Cheapest Renewable Energy Source?

Hydroelectric power costs 0.05 per kilowatt and is considered the cheapest for now. Wind power ranges from $0.04 to $0.06, but it depends on the area. In some areas, hydroelectric power is cheap and, for some, wind power is cheaper. Maybe because there are some areas where hydropower prevails and vice versa. The cost of renewable energy can be measured by considering factors such as the cost of financing, running, and maintaining power plants. This is called levelized cost of energy (LCOE). Here are the results for each renewable energy:

  • Onshore Wind Energy

$44 per megawatt-hour is the cost of onshore wind energy as of now and has dropped 10% since 2019. 

  • Offshore Wind Power

$78 per megawatt-hour is the cost of offshore wind power is the current estimated global LCOE. However, this may vary in different countries. 

  • Solar Photovoltaic

$50 per megawatt-hour is the cost of solar photovoltaic as of now and the solar equipment cost has dropped to push the campaign to go green and combat climate change. 

  • Concentrated Solar Power

$183 megawatts per hour, is the cost of concentrated solar power. This is the most expensive renewable energy so far. It may be expensive, but, it is still competing with fossil fuels since it is more reliable than other renewable energy. 

  • Hydropower

The cost of hydropower, when compared to fossil fuel sources, is almost the same cost as the cheapest one. There are even years that they are cheaper than the cheapest fossil fuel options.

  • Geothermal Energy

In 2018 geothermal energy cost $72 per megawatt-hour. This form of energy can be a reliable, productive, and eco-friendly source of 24/7 energy. 

  • Bioenergy

$62 per megawatt per hour is the cost of bioenergy. The capacity will depend on feedstock availability. 

Is Renewable Energy Getting Cheaper? Why?

Due to the increasing demands of people shifting to renewable sources of energy, the price is getting cheaper. Most governments are now motivating their people to shift to the use of renewable energy, most especially solar energy. This is in connection with their desire to help in combating climate change. 

Is Renewable Energy Cheaper Than Nonrenewable Energy?

Price can only be compared once we consider all the factors such as capital, fuel, operation and maintenance, location, and other factors. They may not yet be reliable this time, but with technical improvement they can possibly replace non – renewable sources in the future. If computations are done, it could be cheaper than fossil fuels. 

How Is Renewable Energy Cheaper Than Nonrenewable Energy?

The upfront expense when shifting to renewable energy may be expensive, but once the shift is done, the money saved from reduced electricity bills when added together and, multiplied by the months of renewable energy used, can be equal to a bigger saving compared to using non-renewable energy.
So if you asked: Is Renewable Energy Cheaper? The answer is yes, and the explanations are given above. Upfront costs may be heavy on the pocket, but if you consider the long-term computation, it will be cheaper than using non-renewable energy.