Lazard – Levelized Cost of Energy, Jun 2025

The report focuses on the analysis of the levelized cost of energy (LCOE) and energy storage (LCOS), as well as the cost of ensuring energy system reliability.

Key findings include that renewable energy remains the most competitive form of generation on an unsubsidized cost basis. Existing gas generation becomes more competitive despite increasing LCOE for renewables. Significant changes are expected, including increased LCOE for gas technologies due to turbine shortages and rising costs. There is a decrease in the cost of energy storage, particularly in battery storage systems for utility and commercial use.