Tools for Energy Regulators to Manage Power Sector Inflation

Clean energy costs have fallen so fast over the past decade that they’re now the cheapest sources of new electricity generation. But that trend has reversed and clean energy costs have modestly risen– is it a blip or a sign of things to come? New Energy Innovation research shows the factors driving clean energy cost increases are mostly cyclical and temporary. Governments can restore falling renewable costs and save consumers money by reforming the interconnection process, investing in domestic supply chains, improving transmission planning, and making state and federal commitments to diversifying clean energy, among other options. Policymakers shouldn’t hit pause on the clean energy transition– consumers and the climate lose if they do. 

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