But Renewable’s are so expensive?

High capital investment has kept renewable energy away from mass application. However, with
- Continuing innovation
- Economies of scale
- The introduction of reasonable price on carbon
renewable energy technologies very shortly, will become the most cost effective means of producing electricity with increasing fossil fuel price projections.

Climate Code red authors say that the technology of Solar Thermal is on the cusp of some remarkable breakthroughs, such that it is predicted to be cheaper than coal within five years.

Tata Strategic Management Group informs, capex required has been steadily declining in the sector, and could touch $2 per watt by 2010 and further down to $1.5 per watt by 2012.

Renewable Energy is cost effective when
-Considered on life cycle basis
-Environmental, social benefits are considered

The cost of renewable energy appears high, as Renewable energy is at disadvantage in the present framework of financial analysis.