PV and wind remain the cheapest new energy sources and their trajectory remains downward. But in 2024, efficiency is no longer just about price per kWh, but also about the ability to deliver energy in a predictable, stable and grid-integrable way. The new frontier of energy competitiveness is projects that combine renewable generation, smart storage and digital solutions. Romania is no exception – on the contrary, it is at a critical point to adopt this integrated model as the standard of the future.
The latest report from the International Renewable Energy Agency (IRENA) confirms that renewable energy remains the most competitive option for new power generation capacity globally. In 2024, 91% of newly installed utility-scale capacity delivered electricity at a lower cost than the cheapest fossil fuel-based equivalent. But beyond these record-breaking figures looms a new operational reality: lower costs do not automatically mean simplicity or stability in the system.
Historic prices for PV and wind – but with structural limits
Globally, the weighted average cost of energy produced by solar PV plants in 2024 reached USD 0.043/kWh, while onshore wind reached a low of USD 0.034/kWh. In mature markets such as China and Brazil, these values fall below USD 0.030/kWh. This performance is based on a drastic fall in investment costs over the last 15 years: -83% for PV (down to 691 USD/kW) and -57% for onshore wind (down to 1,041 USD/kW).
But despite these advances, both PV and wind remain technologies with relatively low capacity factors, requiring balancing, redundancy and complex operational planning. From this point of view, the physical limits of these technologies are becoming more visible as they dominate the energy mix, and the need for flexibility becomes imperative.
Integration becomes the watchword: storage and digitization for stability
The IRENA report shows a clear trend of transition from isolated solutions to hybrid projects, combining PV, wind, storage and digital management solutions. This development is accelerated by the dramatic fall in battery costs: -93% from 2010 to 2024, reaching 192 USD/kWh. Beyond cost reduction, these hybrid projects address a systemic challenge: intermittency.
By integrating storage capacities and digital solutions, new projects not only improve their economic performance but actively contribute to the resilience of the energy system. This is a strategic feature, especially in the current geopolitical context, marked by instability in supply chains and uncertainties over tariffs and raw materials.
Economic efficiency, energy security, but at a price
According to IRENA, by 2024, renewables help avoid $467 billion in fossil fuel costs – a key contribution to global energy security and economic stability. But this transition also comes with emerging costs: integrating variable sources requires investments in flexibility, rethinking financing models and more agile regulatory solutions.
Investors and local authorities need to watch global cost dynamics to calibrate national policies and business strategies. PV-wind-storage hybrid projects are starting to take shape in Romania as well, and rapid adaptation to new technology integration models could provide an important advantage in the competition for capital.
Cost of capital remains a determining factor in project feasibility. Revenue certainty, financial structure and macro-economic conditions are already central elements in any bankability analysis – and the ability of projects to include storage and digitization becomes a competitive advantage.