Unsubsidized wind power is now cheaper than electricity produced from new coal- and natural gas-fired power stations in Australia, according to an analysis by Bloomberg New Energy Finance.
The study said that electricity can be supplied from a new wind farm at a cost of 80 Australian dollars per megawatt hour, compared to 143 Australian dollars from a new coal plant and 116 Australian dollars from a new natural gas plant. Even without a recently imposed carbon price, wind energy is 14 percent cheaper than new coal power and 18 percent cheaper than new natural gas, the study said.
The analysis said that Australia’s largest banks are unlikely to finance new coal plants because of concern over emissions-intensive investments and that natural gas has become expensive as Australia exports more liquid natural gas.
By 2020, the report said, large-scale solar arrays will also be cheaper than coal or gas when carbon taxes are figured in. “The perception that fossil fuels are cheap and renewables are expensive is now out of date,” said Michael Liebreich, chief executive of Bloomberg New Energy Finance.
Article appearing courtesy Yale Environment 360.
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Another reason to shift towards clean and sustainable energy resources. A cut of almost 60 Australian dollars is enough to convince people to try their hands on renewable energy sources. Fossil fuels will become the thing of past when the cost of obtaining them will be much more than the cost of renewable sources.
Our Rural home is totally powered by a solar system that my wife and I built, and that system powers all of our needs to run this house. TOTAL COST? One thousand U.S. dollars. That is ONE THIRD what it would have cost to bring Commercial power to the home that we built, and THAT would only be for the “Privilege” of making monthly power payments to make a Millionaire even RICHER.
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