Decarbonising means replacing combustion with low-carbon electricity and efficiency. The tools exist, and some of them have become, in ten years, the cheapest in history.
3.1Solar: the fall in costs
Photovoltaics have become the cheapest source of electricity ever built: a global average cost (LCOE) of about $43/MWh in 2024 (IRENA). Solar alone now attracts more investment than all other sources of generation combined.
3.2Wind: onshore and offshore
Onshore wind is, along with solar, the cheapest electricity in the world (~$34/MWh, IRENA 2024). Offshore wind costs more but offers a much higher capacity factor and steadier output.
3.3Nuclear: dispatchable and low-carbon
Nuclear provides dispatchable, low-carbon electricity. The EPR (3rd generation, 1,650 MW) suffered massive delays: Flamanville 3 was connected at the end of 2024 after ~12 years. The EPR2 is its simplified version, and SMRs (small modular reactors, < 300 MW) are under development. The cost of new nuclear remains high (LCOE ~$140-220/MWh according to Lazard): its value is systemic, not per unit.
3.4Storing: batteries, pumped hydro, hydrogen
- Hydropower and pumped storage (PSH): the main form of bulk, dispatchable storage.
- Lithium-ion batteries: costs in free fall, ideal for smoothing short variations (day/night).
- Hydrogen from electrolysis: for heavy transport, industry and long-duration storage, still expensive.
3.5Electrifying end uses
Decarbonisation relies on efficient electrification: the heat pump delivers 3 to 4 times the energy it consumes (COP 3-4); electric vehicles exceeded 17 million sales worldwide in 2024. Carbon capture (CCS/CCUS) remains marginal and costly, reserved for emissions that are hard to avoid.
Key takeaway
There is no single solution: the transition combines cheap but variable renewables, dispatchable but slow-to-build nuclear, storage and above all efficiency. The real question is about the system, not a miracle technology.
Sources
IRENA, Renewable Power Generation Costs 2024; Lazard, LCOE+; IEA, World Energy Investment and Global EV Outlook; SFEN and Connaissance des énergies for nuclear.
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