Peng Boxin Energy Finance released the latest report shows that the level of electricity costs, the cost of offshore wind power is declining.

The report of analysis of all kinds of renewable energy and energy technology of fossil fuel power generation cost, expected the second half of this year, the global offshore wind power cost (weighted average) $126 / MWh, compared with the decline in the first half of 22%, compared to the second half of last year fell 28%.

It is understood that the Peng Boxin energy finance stabilization degree of cost report data covering the project cost, financing, Yun Wei cost and capacity coefficient (i.e. the actual power generating capacity relative to the theoretical maximum annual output ratio).

Peng Boxin Energy Finance in Europe, the Middle East and Africa director, is also the cost of electricity modeling work director Seb Henbest said: "earlier, compared to onshore wind power, photovoltaic power, coal and gas, offshore wind power has been regarded as high cost technology. The study shows that the economy of offshore wind power is now rapidly increasing, especially in some offshore projects, the level of electricity cost is approaching other mature technologies."

In fact, this year, the price of offshore wind power has been record low. July, the Danish east energy company to 72.7 euros / megawatt price of the installed capacity of 700 megawatts of offshore array project development contract in Holland. In September, the company successfully bid for the Swedish Vattenfall Danish waters two total 350 megawatts of offshore wind power projects, the price is a record low to 60 euros / MWh, $67.33 / mwh.

Peng Boxin offshore wind energy finance analyst Tom Harries pointed out: "to enhance the use, more large fan Beihai project construction technology, and the European project bidding is driving project economy promotion of offshore wind power. Among them, the European project bidding through the construction of the transmission line has been approved and the location of the wind farms to simplify the development process, but also to make the bidding more intense."

However, the report also pointed out that some of the other items, such as in the British Sea project, the cost is still high, which also explains why the average cost of electricity in the world although decreased rapidly, but still higher than the recent Denmark and Holland project data.

It is worth noting that offshore wind power is not the only one this year, significantly reducing the cost of wind power technology. According to Peng Boxin energy finance report, is expected in the second half of this year, the global price of onshore wind power will be reduced by 16% compared to the first half of the cost of electricity, to $68 / mw. In many countries, onshore wind power has even with coal, gas and electric racing together bridle to bridle the cost competitiveness.

Peng Boxin energy finance at the same time the second half of this year has been close to the completion of the financing of crystalline silicon photovoltaic project electricity costs were estimated, is expected to be around 100 U.S. dollars / MW floating, but a larger floating range.

The report notes that each energy technology due to different projects, the cost of electricity is also very different. This not only depends on the type of energy technology, it depends on the quality of resources (for wind, solar, geothermal and hydropower is concerned) and raw material supply and price (for coal, gas and electricity, nuclear power, biomass power generation, in terms of) land cost, manufacturing cost, import and local equipment installation cost. For offshore wind power, water depth and off shore distance are important factors affecting the cost. In developing countries, these technologies are economic, but also with the ability to get preferential financing from international financial institutions have a great relationship.

Peng Boxin energy finance senior analyst, the report's main author Luke Mills commented: "we observed per megawatt electricity cost of renewable energy around the world is rapidly declining. Looking ahead to 2017, photovoltaic power generation may be particularly attractive, because the global PV module manufacturing overcapacity may cause manufacturers to further reduce prices for customers."

In addition, Peng Boxin energy finance also estimates the cost of fossil fuel power generation, the results vary greatly by region. Is expected in the second half of this year, the Asia Pacific region coal leveling degree of electricity at a cost of $51, $55 in the United States, Europe was $88; gas power leveling degree of electricity costs in the United States for $53, $78 in Europe, and the Asia Pacific region was $99.