Solar and Wind Provided Most New Electric Power Capacity in 2016

Solar and Wind,the two power-houses of renewable energy, were the leading source of new electricity in 2016 delivering 55% of new capacity world-wide. These two renewables were the largest new source of electricity last year in large part because the cost of building new wind and solar farms fell.

Total Investment in Renewables Double Fossil Fuels

In a report published last Thursday by UN Environment, the Frankfurt School-UNEP Collaborating Centre and Bloomberg New Energy Finance, Clean energy provided 55 percent of all new capacity added worldwide, and total investment was about double the amount for generators driven by fossil fuels

The average capital expenditure for a megawatt of wind and solar fell more than 10 percent, according to the study, and they are some of the cheapest sources of electricity in some countries.

"Renewables are much more competitive than they were five years ago," Angus McCrone, chief editor at Bloomberg New Energy Finance, said in an interview. "In an increasing number of places, wind and solar may be the cheapest option."

"It's a whole new world," Michael Liebreich, the founder of New Energy Finance, said in a statement. "Even though investment is down, annual installations are still up. Instead of having to subsidize renewables, now authorities may have to subsidize natural gas plants to help them provide grid reliability."

Source: Mark Chediak, "Renewables Providing Most New Power," April, 6, 2017, https://www.bloomberg.com/news/articles/2017-04-06/with-more-bang-for-the-buck-renewables-providing-most-new-power