Detractors are becoming much less vocal in their oft-stated position that wind energy increases electricity prices. This is no doubt due to the large volume of investment bank data, reports and studies over the last year which have shown that wind energy is significantly cheaper than coal and cost competitive with natural gas.

And now comes the empirical data to support that.

A great analysis released last week ('Renewables Are Driving Up Electricity Prices. Wait, What?') compared renewable energy use in each of America's states with average electricity prices and came up with two great and (for some!) surprising results;

 
 

1) Between 2002 and 2013 the average annual rate of change in retail electricity prices was less in leading renewable energy states.

Source: 'Renewables are Driving up Electricity Prices. WAIT, WHAT?'. DBL Investors. Mar-2015 

2) The ten states relying most on renewables experienced average retail electricity prices slightly cheaper than the 10 states relying least on renewables. 

Source: 'Renewables are Driving up Electricity Prices. WAIT, WHAT? DBL Investors. Mar-2015



Posted
AuthorJames Glennie