Reduced economic costs of green power projects
Technological innovations have led to dramatic declines in the
cost of wind and solar technologies since 2000. These cost decreases have stimulated demand, contributing to higher
sales volumes and larger economies of scale, which has further reduced production costs. This has allowed green power to become more affordable to more organizations. To illustrate the recent cost reductions, The installed cost of solar has decreased from $8- $12/watt in 2000 to $2-$4/watt in 2016. Similar dramatic cost
reductions have been seen for wind technologies. In some situations, wind and solar are now cost-competitive with
conventional energy.
Manage electricity prices
Organizations can procure green power through long-term contracts to safeguard against
expected electricity prices increases by locking in fixed costs for their electricity and the associated renewable attributes for several years at a time.
Mitigate fuel supply disruptions
Disruptions in fuel supply can hinder business processes and profitability. Green
power resources can reduce the impact of fuel supply disruptions to power plants caused by transportation difficulties, accidents or natural disasters by lowering demand for fuels that are delivered by rail or pipeline. In addition,
on-site self-generation or third-party owned generation, coupled with storage, can improve electricity supply reliability and resilience in response to local power outages.
