What Is Levelized Cost of Energy (LCOE)?

The concept that over the lifetime of a renewable energy plant (~30+ years), after capitalization (the system is paid for and all incentives captured) the cost of energy produced by that plant is flat over time.

This solar energy cost is typically not impacted by inflation in the same way conventional energy escalates at ~2-3% annually.

So, for example a kWh from solar cost $0.02 factoring in the cost of O&M, vs. $0.10 kWh on average from a utility.