Solar Panel Energy to Overtake Gas and Fossil Fuels by 2027
According to an annual report from Bloomberg New Energy Finance Solar energy prices will fall in the upcoming years and investment in renewable solar panel energy shall overtake gas and fossil fuels in the electricity sector in the next decade.
If you are thinking of going to invest in solar panels now might be the perfect chance to do so. According to a recent Bloomberg report, the cost of solar projects will fall lower than fossil fuels. What’s more, by 2027 renewables are predicted to overtake gas in the electricity sector and by 2040, they are said to make up as much as 60% of the installed capacity, accounting for 64% of the 8.6TW of new power capacity added worldwide in the course of the next 25 years. The zero-emission energy sources will also account for 60% of the $11.4 trillion of investments in energy made in that period.
But what does that mean for the common folk?
This report is highly detailed and focuses on the investments in large solar panel projects. However, one might ask, how does it effect the common folk. People in the U.S. and abroad will be able to go solar for incredibly low prices. The attracted global investment is predicted to drop the cost of the installation of solar panels at both solar farms and on rooftops with as much as 4 cents per kilowatt hour. The report also predicts that of the 43% of all new power generation added around the world by 2040, most of the solar project will be small in scale.
A Bright Solar Future
Even though predictions show the prices of coal and gas are to fall, according to Bloomberg, this will not affect the current green energy transformation. Both wind and solar panel technology have grown to a seemingly unstoppable level with clean energy investments breaking world records with each upcoming year.
This is a direct effect of renewables becoming cheaper to produce and install. Furthermore, the more the prices of solar panels are going down, the more people are actually investing in the clean energy source and installing new panels.
What’s even more interesting in the report, is the fact that there is a prediction of an electric car boom, which will increase global electricity demands by as much as 8%. This will also effect the rise in investment in solar energy because predictions show that during the 2020s solar energy will become the cheapest way of producing electricity in many countries in the world and during the 2030s in most of the world.
The Perfect Time To Invest
Solar has fought a long battle to enter the energy mainstream, but the Bloomberg New Energy Finance (BNEF) report shows that it may finally have succeeded. Furthermore, it indicates that in the next three decades solar power will be the prominent source of the new electricity of the world.
The fall of prices in solar panel installation will lead to an economically robust energy development both in the U.S. and abroad. This is great news for everyone who thinks of investing in solar panel technology, including homeowners who’d like to install solar panels. Having in mind the report of BNEF now may very well be the perfect time to set a solar panel energy trend and invest in solar panel installation. If you’re in Ottawa check out our recommended solar installers.