n 2022, a whopping 86% of new large-scale renewable energy projects were not just eco-friendly, but also more cost-effective than fossil fuels, says the latest Ernst & Young (EY) report. Last year, we witnessed an impressive 187GW of new renewable power, mainly solar and wind, eclipsing fossil fuels in the race for cost efficiency.
Solar, in particular, has taken the lead as the cheapest option for new electricity generation in numerous markets. In fact, the global weighted average levelized cost of electricity (LCOE) of solar PV is now 29% less than the most affordable fossil fuel.
The energy landscape is changing fast, with renewable sources like wind and solar taking center stage in power generation. According to EY's projections, by 2030, renewables will make up 38% of our energy mix, soaring to 62% by 2050. By 2038, they're even expected to become the primary source of global energy generation. Looking ahead to 2050, solar and wind power are predicted to grow by 53%, with China, Europe, and the US leading the charge.
The report highlights an ongoing worldwide surge in solar energy, thanks to major leaps in PV module tech. It's anticipated that solar will become the predominant power source in regions such as the US, Oceania, and South Asia, a trend accelerated by the dramatic plunge in crystalline silicon PV module prices – down over 80% since 2010.
The rise of renewables is a big win, but it's not without its challenges. Integrating green sources into the grids, funding infrastructure improvements, and updating regulations will take a collective effort from governments and businesses alike. “Overcoming these will require a collaborative effort across the public and private sector, bringing together policy, investments, innovative partnerships and technological advancements,” the report summarizes.
Missouri's solar industry is growing, with companies like Brightergy and StraightUp Solar offering solar installations for residential and commercial properties.