The global energy market has reached a point where renewable energy, particularly wind and solar, is expected to be the cheapest form of power by the year 2020. This is due to the considerable scale of investment into garnering new and more efficient technology in the industry. As standard economic theory predicts, the consequences of increasing production and exploiting the ‘economies of scale’ naturally results in a decline in the costs of bringing the product to market. “ Renewable Energy is expected to be the cheapest form of power by 2020” For wind energy, enhanced productive efficiency is mainly a result of improved wind turbine tower technology. For instance, turbine towers now feature longer turbine blades in addition to being taller in stature. Hence, wind energy is now the cheapest form of power in the US as reported by Morgan Stanley (2017). However, the most appealing form of renewable power currently in the market is solar energy. Over the past...
Ideas surrounding the world of Business and Economics