An expected sharp fall in battery costs for energy storage in coming years will accelerate the shift to renewable energy from fossil fuels, the International Energy Agency said on Thursday.
The total capital costs of battery storage are due to tumble by up to 40 per cent by 2030, the Paris-based watchdog said in its Batteries and Secure Energy Transitions report. “And just in the next few years, it will be cheaper than new coal in China and gas-fired power in the United States. Batteries are changing the game before our eyes.”
Cheaper lithium iron phosphate batteries accounted for 80 per cent of new storage batteries last year, the IEA said.
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