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Abstract Governments procure renewables through a variety of mechanisms. Contracts for difference (CfDs) have been used for more than 50% of the global offshore wind supply. The payments awarded through CfDs are sometimes labelled subsidies, suggesting that they support uneconomic activity. Here, we argue that the primary role of CfDs is rather risk management by creating a market for electricity supply at stable long-term prices.
Abstract An assessment of decarbonization pathways in energy models reveals fundamental limitations in representing factors that are relevant for practical decision-making. Although these modelling limitations are widely acknowledged, their impact on the deployment of individual power generation types is not well understood. As a result, the societal value from such generation types could be vastly misrepresented.
Abstract Wind energy has experienced accelerated cost reduction over the past five years—far greater than predicted in a 2015 expert elicitation. Here we report results from a new survey on wind costs, compare those with previous results and discuss the accuracy of the earlier predictions. We show that experts in 2020 expect future onshore and offshore wind costs to decline 37–49% by 2050, resulting in costs 50% lower than predicted in 2015.
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