Wind and Solar Power Prices Have Doubled Since Pandemic, Due Partly to Regulatory and Policy Challenges

(p. B1) After more than a decade of declining prices for wind and solar power, the cost of renewables has been ticking up, pushed by everything from macroeconomic forces to countries’ attempts to take control of their energy-supply chains.

The cost of large-scale solar and wind power rose as much as 20% last year versus the year before in most of the world, the International Energy Agency said in a June report. In the U.S., financial-services company Lazard’s widely watched report on the cost of power generation logged its first increase for renewables this year since it started (p. B4) tracking it nearly 15 years ago.

The whiplash has been particularly bad among renewables developers in the U.S., many of whom have rewritten contracts to stay afloat. The price they are charging long-term buyers for their electricity has doubled since the pandemic and risen nearly 30% in the past year alone, according to clean-energy marketplace LevelTen Energy.

. . .

The U.S. has . . . challenges, including policies that make it harder and more costly to import solar panels and other clean-energy components. Rising labor costs and delays in permitting or getting projects hooked up to the power grid have made building solar and wind projects more expensive.

For the full story, see:

Phred Dvorak. “Price of Green Power Is on the Rise.” The Wall Street Journal (Monday, Aug. 14, 2023): B1 & B4.

(Note: ellipses added.)

(Note: the online version of the story has the date August 13, 2023, and has the title “Green Power Gets Pricier After Years of Declines.”)

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