Over the past ten years there have been a few key factors that have given renewables the boost we see reflected today.
1. Price of technology and accumulated installed capacity:
- PV module prices have fallen approximately 90% since 2010. Additionally, the installed capacity of PV plants has increase by a factor of 15 times since that same year.
- Onshore wind turbine prices have fallen nearly 60% since 2010 and the installed capacity has triple in the same period.
- Li-ion battery has seen the biggest growth helped by a 90% price fall since 2010 and went from practically 0 GWh installed in 2010 to more than 600 GWh installed capacity today.
2. Technology improvement:
Improved technologies have contributed greatly to the decrease of LCOE; take PV modules for example, efficiency has improved by approximately 3%. Then we have onshore wind whose capacity factor increased by 7% and is now in the 35% range. Battery cells have also shown significant improvement in energy density (Wh/kg).
3. Growing renewables industry:
All these factors together contribute to benefit the renewables growing economy. Since 2010, solar PV, onshore wind and battery storage projects are growing continuously larger. In the last 3 years fewer projects have been initiated; rather, clusters of different projects were put together with the objective to share costs, like interconnection to the grid, and make renewable technologies even more attractive to investors and financing.