Energy Storage
Photo Shutterstock

Solar energy has increased its competitiveness thanks to the reduction of its costs and the emergence of large-scale photovoltaic storage. Even the most efficient thermoelectric technology is starting to lose ground in favor of renewables.

Solar energy is gradually catching up to its competitiveness conventional energies. This is the conclusion of the company Wood Mackensie Power & Renewables, thanks to research carried out in Africa and the Middle East.

The combination of photovoltaic and storage systems gives security of supply and grid stability. It also gives you the possibility of tangible financial stimuli. For example, frequency, capacity market and arbitration services may be offered.

Thermal power plants vs solar technology.

For gas-poor countries, such as Morocco and Jordan, the renewable alternative is particularly beneficial in reducing the dependence on fossil fuels, because they are very expensive imports for its economy.

The cheapest market is in the United Arab Emirates. The cost of leveled energy is $ 25.70 and a reduction to $ 20 MWh is expected by 2023. This new reality makes solar energy more competitive than gas plants.

South Africa is the country where the implementation of photovoltaic systems is the most expensive. However, it is estimated that it will drop from $ 41.70 MWh to $ 32.90 MWh in 2023.

Under these conditions, by 2023 solar energy will be more competitive than CCGT (Combine Cycle Gas Turbine) plants for the regions studied.

Egypt is a country with excellent radiation and large wasted spaces, therefore, it is in favorable conditions to implement alternative energies such as solar. In fact, not long ago it inaugurated the largest solar power plant in the world. However, be a net exporter of gas, plants will remain your most economical option.

Projections for solar energy.

Internationally, more than $ 12 billion is invested in renewable energies. According to Blooomberg NEF forecasts, lower battery storage costs will lead to investments of 620 billion dollars and the market will grow to 857 GWh in 2040.

Major battery manufacturers such as Tesla, BVP, Tesualt, LGChem and Samsumg They work to meet the important predictions of photovoltaic power plants.