Solar power is currently on track to exceed the generation capacity of all other power sources within four years, the Financial Times reports, citing the International Energy Agency (IEA). The renewable energy source has risen rapidly from the less than 1% share it held 10 years ago and is set to further accelerate, with solar accounting for nearly 60% of every power installation to be built in the next five years, IEA senior analyst Heymi Bahar is quoted as saying.

What’s been driving this meteoric rise? Falling costs and new emissions targets: Solar costs have plummeted over the last decade, the FT notes. The average unsubsidized lifetime cost to build and operate utility-scale solar in 2021 was USD 36/ megawatt hour (MWh), compared to USD 108/MWh for coal, USD 60/MWh for gas, and USD 38/MWh for wind, according to Lazard. For solar, this represents a 90% decrease in cost since 2009, the FT notes. Ambitious global climate targets and policies — many accompanied by subsidies — have also contributed to solar uptake.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

• China’s crackdown on lithium mining in the province of Jiangxi over alleged environmental violations has shut down production hubs that account for nearly a tenth of global supplies. (Bloomberg)
• The asset management industry has “a biodiversity blind spot” when it comes to environmental, social and governance (ESG) risks, according to responsible investment non-profit ShareAction. Only 10% of the asset managers surveyed had a dedicated biodiversity policy covering all portfolios— one of several indications that the majority of global asset managers are still not investing responsibly. (ShareAction)
• New offshore wind projects could be under threat thanks to a shortage of the large boats capable of lifting and installing wind turbine foundations on the ocean floor. China could start to feel the impact of this as early as 2024, with the rest of the world set to see delays starting in 2027. (Bloomberg)