Renewable Energy is growing stronger and cheaper, regardless of setbacks like the Trump administration pulling the US from the iconic Paris Agreement. Renewable energy solutions are more extensively adopted today, which is driving more innovation in the market, and turning into grand investment opportunities for national economies and big companies. The renewable energy prices are also featured with a dip even with the surging fossil fuels prices.
The plummeting prices for solar and wind power have reportedly led to new power deals in countries like India, Denmark, Egypt, Mexico, and the United Arab Emirates, and the pricing is well below the nuclear and fossil fuel options.
India’s solar power market has been the key to the falling prices on renewables. The latest solar power tariffs in India hit a record low in May and it was observed that the solar energy price was around 18% lower than the average price for electricity generated by coal-fired plants.
At a recent auction in Rajasthan, the companies Aaada Power and Phelan Energy reportedly settled for a price of 2.62 INR (kWH) for solar-generated electric power. India has also been cancelling investment plans for fossil fuel plants, and this is reflected with Uttar Pradesh cancelling bids for 3.8 gigawatts of coal-fired power. These milestones are paving ways for India, as it looks at leading the world on the renewables market front just like China. Meanwhile, China is reportedly investing more in wind and solar energy such as companies like Lego.
Even with the Trump administration backing fossil fuels, individual states like California have seen wholesale electricity prices drop to zero backed by its commitment towards solar energy. Meanwhile, many national governments continue to support the fossil fuel industry through grants and incentives. Despite the significant challenges, it is heartening to see that the renewables energy industry is growing stronger.