Subscribe  Log in | Register | Advertise | Digital Issue   |   Search
  • CCUS
  • Cap & Trade Markets
  • Voluntary Markets & Offsets
  • Corporate & Finance
  • Net Zero Strategies
Search
Related Articles
UK must provide more clarity on CCUS
Potential projects need more precise information on timing and finance if they are to progress, say MPs and industry experts
Outlook 2023: Meeting the silicon solar challenge
Perovskites and microgrooves could help tackle solar PV manufacturing problems
Outlook 2023: Playing catch up: How Cop27 politics are trailing economic realities
The talks saw energy transition and development pathways being hotly debated, but these changes are already underway
Outlook 2023: Three major trends to drive Europe’s PPA market
Looking forward to next year, Pexapark explores three trends that will define the continent’s PPA sphere after a year of turmoil
EU doubles Innovation Fund to €3bn
Special focus on expanding renewables to make the bloc ‘immune to Russian energy blackmail’
EU energy sector CO₂ emissions start to fall
Decline follows more than 12 months of rising year-on-year figures due to low nuclear output and increasing demand
EU to launch €3bn CCS funding round
Money will come from the Innovation Fund, which has already provided €1.5bn in support to 11 carbon-capture projects
Blackstone digs deeper on transition
Private equity division Blackstone Energy Partners is looking to finance critical energy infrastructure assets
Renewables count the cost of rate hikes
Levelised cost of electricity rises on higher cost of capital but renewables remain highly competitive against fossil fuels
Energy sector carbon emissions to peak in 2025 – IEA
New policies in the EU, the US and China will cause emissions to peak this decade, the first time this has been forecast in an IEA Steps scenario
Renewables remain competitive despite impact of rising interest rates
Renewables Financing Wind Solar Project finance
Killian Staines
27 October 2022
Follow @PetroleumEcon
Forward article link
Share PDF with colleagues

Renewables count the cost of rate hikes

Levelised cost of electricity rises on higher cost of capital but renewables remain highly competitive against fossil fuels

Inflation and the resulting interest rate hikes are increasing the levelised cost of electricity (LCOE) of renewables for the first time in years, although not by nearly enough to threaten their competitiveness against fossil fuels. At the end of the first half of this year, research firm BloombergNEF (BNEF) reported an annual increase of 7pc in LCOEs for onshore wind and 14pc in fixed-axis solar, taking costs “temporarily” back to 2019 levels as inflation starts to bite. Central banks across the world are hiking interest rates, which is “certainly contributing to higher LCOEs across the board”, according to Amar Vasdev, energy economics analyst at BNEF. But renewables remain competitive. “T

Welcome to the PE Media Network

PE Media Network publishes Petroleum Economist, Hydrogen Economist and Carbon Economist to form the only genuinely comprehensive intelligence service covering the global energy industry

 

Already registered?
Click here to log in
Subscribe now
to get full access
Register now
for a free trial
Any questions?
Contact us

Comments

Comments

{{ error }}
{{ comment.comment.Name }} • {{ comment.timeAgo }}
{{ comment.comment.Text }}
Also in this section
Core carbon principles could boost voluntary market
30 January 2023
Integrity Council for the Voluntary Carbon Market to launch finalised Core Carbon Principles for credit programmes and projects, the body’s chair tells Carbon Economist
CCUS expansion gaining momentum – IDTechex
30 January 2023
Capacity will reach 1.8gt/yr of CO₂ by 2043, according to modelling by research agency
Abu Dhabi steps on the emissions-reduction accelerator
27 January 2023
State-owned energy companies are intensifying efforts to decarbonise the emirate’s crude oil production and carve out a leading role in the nascent global hydrogen trade
Japanese heavyweights get behind CCS
26 January 2023
Nippon Steel and Mitsubishi among a slew of major Japanese companies launching CCS initiatives as government sets out long-term roadmap

Share PDF with colleagues

COPYRIGHT NOTICE: PDF sharing is permitted internally for Petroleum Economist Gold Members only. Usage of this PDF is restricted by <%= If(IsLoggedIn, User.CompanyName, "")%>’s agreement with Petroleum Economist – exceeding the terms of your licence by forwarding outside of the company or placing on any external network is considered a breach of copyright. Such instances are punishable by fines of up to US$1,500 per infringement
Send

Forward article Link

Send
Sign Up For Our Newsletter
Project Data
Maps
PE Store
Social Links
Social Feeds
  • Twitter
Tweets by Carbon Economist
Featured Video
Home
  • About us
  • Subscribe
  • Reaching your audience
  • PE Store
  • Terms and conditions
  • Contact us
  • Privacy statement
  • Cookies
  • Sitemap
All material subject to strictly enforced copyright laws © 2023 The Petroleum Economist Ltd
Cookie Settings
;

Search