Source link : https://tech365.info/clear-power-specialists-say-its-time-to-transfer-past-lcoe-cleantechnica/
A rising variety of vitality specialists are urging policymakers and business leaders to retire the Levelized Price of Electrical energy (LCOE) because the go-to metric for evaluating clear vitality applied sciences. A brand new report from the Clear Air Process Power (CATF), Past LCOE: A Techniques-Oriented Perspective for Evaluating Electrical energy Decarbonization Pathways, argues that continued reliance on LCOE dangers misguiding funding, delaying grid decarbonization, and elevating long-term vitality prices.
LCOE, which calculates the per-megawatt-hour price of producing electrical energy from a particular venture over its lifetime, has lengthy been a favourite of analysts and media shops. However the CATF report highlights how the metric ignores key system-wide elements—like reliability, grid integration prices, and the flexibility to generate energy on demand—which are more and more essential as renewable vitality penetrates the grid at greater ranges.
“LCOE is simple and standardized, but it’s no longer sufficient for long-term planning,” the report states.
Why LCOE Falls Quick
LCOE works greatest in low-renewable environments with flat demand. However as we speak’s grid is quickly altering. Electrification of transport, business reshoring, and surging information heart development are driving up each vitality use and peak demand throughout North America and Europe.
Variable renewables like wind and photo voltaic might have the bottom LCOEs, however…
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Author : tech365
Publish date : 2025-06-28 08:30:00
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