Are solar and wind cheaper than coal? Yes and no...
You'll hear fairly often, that solar and wind powered electricity are now cheaper than electricity powered by coal. Is this really true? Yes, but only if you compare them using what's know as the Levelised Cost Of Electricity (LCOE). I'll argue here that the LCOE is not an appropriate way to compare these things, since, as we've seen , they don't do the same job. Comparing their costs is like comparing the cost of a bicycle with that of a car and saying the bicycle is cheaper. First of all, what is the Levelised Cost Of Electricity? When you build a power plant, just like anything else, it has a finite lifetime. Over that lifetime, there are a range of costs to pay: first you have to pay for the land, planning and permitting, engineering and so on. Then you have to pay for construction and commissioning. When you operate the plant you have to pay for wages, insurance, fuel, shareholder dividends and taxes. Finally at the end of life you have to pay for decommissioni