Lucintel Analyzes Cost Competitiveness of Energy Sources: Volatility
in Fossil Fuel Costs to Drive Renewable Energy Market
Despite recent economic turbulence around the globe, electricity demand continues
to grow, particularly in China, India, and other developing countries. Cumulative
installed electricity capacity topped 5,000 GW worldwide in 2010. That figure is
forecast to exceed 6,400 GW in 2016 with a 4% CAGR over the next five years.
Lucintel, a leading global management consulting and market research firm, analyzed
cost competitiveness of various energy sources and presents its findings in the
report, “Quarterly Competitive Analysis of Conventional and Renewable Energy Sources
in US Market 2011-2012.”
Volatile fossil fuel costs, and the environmental problems associated with burning
such fuels, could drive increased acceptance of alternative technologies, especially
for eco-friendly technologies such as wind and solar. Although renewable energy
sources face certain challenges, such as high costs and variability complications,
technological innovations are expected to reduce the cost of electricity, providing
renewable energy with a boost toward future robust growth.
Lucintel’s research indicates that the levelized cost of energy (LCOE) for natural
gas is the lowest while solar PV is highest. LCOE for wind energy is high because
the price of wind turbines is increasing. A substantial decrease is expected in
the cost of solar PV because of solar module costs declining, largely driven by
decreases in the price of the polysilicon raw material and increased competition
among polysilicon suppliers. It is expected that the LCOE for solar PV would be
$223/MWh in Q4 2012.
Although conventional energy sources are the biggest and by far the largest source
of energy today but conventional sources are making way for non conventional energy
sources because of their finite existence and their increasing footprint.
Lucintel’s research report provides trend scenarios and forecast statistics for
quarterly cost for different energy sources for 2005–2012; details the industry’s
drivers and challenges; production; consumption; and demand and supply scenarios
of the different energy industry. The report also examines emerging trends and status
of conventional and non-conventional energy sources in US.
For a detailed table of contents and pricing information on this timely, insightful
report, contact Lucintel at +1-972-636-5056 or via email at
helpdesk@lucintel.com. Lucintel provides cutting-edge decision support services
that help facilitate critical decisions with greater speed, insight, and cost efficiency.
To find out more, please visit www.lucintel.com.