The cost of wind power has been falling steadily again since the 2008 price spike, and newer projects have been coming in at 2 cents per kilowatt-hour, making them very competitive with natural gas fired power and ranking among the very lowest-cost ways to generate electricity. But can wind prices keep falling, or have they bottomed out?
A recent report from the Lawrence Berkeley National Lab, the National Renewable Energy Lab, and other organizations offers some clues. Based on a survey of 163 of the world’s foremost wind energy experts, it examines in detail what factors have led to wind’s cost reductions in the past, and attempts to forecast what will drive further cost reductions in the future. It also looks at some of the reasons why previous forecasts have underestimated the growth and cost reductions of wind, and suggests that many agency forecasts may be underestimating them still. In this episode, one of the report’s principal authors explains the findings and offers some cautionary words about how much confidence we can have in our forecasts.
Geek rating: 4