A new report has found that electricity systems are becoming more diverse as countries balance decarbonisation, energy security and rising demand – however, generation is becoming more expensive.
The global shift towards more diverse low-carbon electricity systems is not automatically making power generation cheaper. The report, authored by the Nuclear Energy Agency (NEA) and Electric Power Research Institute (EPRI), says costs increasingly depend on how technologies work together as an overall system, rather than the cost of individual generators.
William D. Magwood, IV, NEA Director-General , said “There is no single technology that can meet every country’s energy needs in every circumstance.
“Countries will need to make policy and investment choices that reflect their own priorities, resources and electricity systems. The data and analysis in this report can support those decisions.”
The analysis confirms that utility-scale onshore wind and solar PV technologies continue to be cost-friendly in many countries. However, unlike in previous editions of this analysis, no significant further cost reductions were observed.
The report also highlights contrasting trends among other low-carbon technologies, including offshore wind, which is said to still face relatively high costs despite strong capacity factors. On the flip side, geothermal energy shows promising results as it offers a competitive source of low-carbon, dispatchable electricity.
Copyright © 2026 Energy Live News LtdELN