Lazard's Levelized Cost of Energy ("LCOE") analysis covers a range of topics, including comparative LCOE analysis for various generation technologies, historical LCOE comparisons, and deconstruction of the LCOE for different technologies. The analysis also includes an overview of the methodology and assumptions used to prepare the LCOE results. The analysis does not, however, examine certain factors that could have a significant effect on results, such as network upgrades and transmission costs, permitting and development costs, and compliance costs for environmental regulations.
The comparative LCOE analysis includes sensitivities for different factors, such as federal tax subsidies, fuel prices, carbon pricing, and the cost of capital. The analysis also illustrates how the LCOE of renewable generation technologies like onshore wind and utility-scale solar compare to conventional generation technologies. There is also a focus on the historical LCOE declines for renewable technologies and a breakdown of the LCOE components for different generation technologies.
While the analysis provides valuable insights into the cost competitiveness of different technologies, it does not address certain potential factors that could have significant impacts on results, such as emissions control systems and nuclear waste disposal. Additionally, the analysis may not fully account for certain costs, such as network upgrades and transmission costs.
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