Utility-Scale Solar Costs Rise 18% but Remain Cheapest Power Source

Despite a 18% increase in unsubsidized utility-scale solar costs to $40-$98 per megawatt-hour, solar energy is still the most affordable option for new power generation worldwide, according to Lazard's analysis. The rise in costs is attributed to higher capital expenses, interest rates, tariffs, and supply chain issues. This underscores solar's potential dominance in the global energy market, even as it faces additional costs for managing its intermittent nature. This trend highlights the importance of renewable energy in the transition to a sustainable energy future.