According to Lucintel, a global management consulting and
market research firm, volatile fossil fuel costs and the environmental problems
associated with burning such fuels could drive increased acceptance of
alternative technologies.
Lucintel 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.”
Lucintel finds that cumulative installed electricity
capacity topped 5,000 GW worldwide in 2010 and it will exceed 6,400 GW in 2016
with a 4 percent CAGR over the next five years.
The research says conventional energy sources are making
way for non-conventional energy sources because of their finite existence and
their increasing footprint.
The research expects new technological innovations to
reduce the cost of electricity and provide renewable energy with a boost.
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 the declining costs of solar modules, 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.
By GreentechLead.com Team
editor@greentechlead.com