Renewable energy generation will not need subsidies by 2030, but the sector still faces a host of challenges to its growth over the next decade, according to a global survey of power and utility executives conducted by consultancy PwC.
Onshore wind, biomass and all forms of solar power generation will be competitive without support by 2030, according to more than 80% of the 71 senior power and utility company executives surveyed by PwC. About 69% said offshore wind will be competitive while 66% believe marine energy will not need subsidies by 2030.
“The report tells us that utility managers have embraced renewable energy,” said David Etheridge, San Francisco-based US power and utilities advisory leader for PwC. “There is a real opportunistic view that costs will come down, technology will change and this will be a viable source of generation for years to come.”
But several major barriers to renewable energy growth will remain over the next decade, namely the high capital cost compared to other forms of generation, according to 75% of the executives. The unwillingness of consumers to pay higher costs for renewable energy was cited by 66% of survey participants. Additionally, 62% stressed the cost and difficulty of grid connections as an important or very important barrier, according to the report.