Renewable power is the cheapest source of electricity in many parts of the world already today, the latest report ”Renewable Power Generation Costs in 2018” from the International Renewable Energy Agency (IRENA) shows.

The report contributes to the international discussion on raising climate action worldwide, ahead of Abu Dhabi’s global preparatory meeting for the United Nations Climate Action Summit in September 2019.

The lower cost of renewable will add competitiveness to renewable against other sources, and will support safely energy transformation.

“Renewable power is the backbone of any development that aims to be sustainable”, said IRENA’s Director-General Francesco La Camera. “We must do everything we can to accelerate renewable if we are to meet the climate objectives of the Paris Agreement.

The costs for renewable energy technologies decreased to a record low last year 2018. The global weighted-average cost of electricity from concentrating solar power (CSP) declined by 26%, bio energy by 14%, solar photo-voltaics (PV) and onshore wind by 13%, hydro power by 12% and geothermal and offshore wind by 1%, respectively.

Cost reductions, particularly for solar and wind power technologies, are set to continue into the next decade, the new report finds. According to IRENA’s global database, over three-quarters of the onshore wind and four-fifths of the solar PV capacity that is due to be commissioned next year will produce power at lower prices than the cheapest new coal, oil or natural gas options. Crucially, they are set to do so without financial assistance.

Onshore wind and solar PV costs between three and four US cents per kilowatt hour.

The report sends a clear signal to the international community: Renewable energy provides countries with a low-cost climate solution that allows for scaling up action.