US installed cost of solar, energy storage falling fastest in utility-scale segment, says NREL

LinkedIn
Twitter
Reddit
Facebook
Email
A solar-plus-storage project in the US, built by NREL to evaluate the business case for a much larger project to be built later. Image: Dennis Schroeder / NREL

The installed cost of solar PV, solar-plus-storage and standalone battery energy storage in the US was reduced across all market segments between 2020 and 2021, with the biggest drop seen in the utility-scale segment. 

The US National Renewable Energy Laboratory (NREL) has just released the latest edition of its annual benchmarking exercise for the cost of solar PV and energy storage in the country. It compares the installed cost of the technologies from Q1 2020 to Q1 2021, using a bottom-up method that accounts for all system and project development costs.

Researchers found that the cost of a 100MW utility-scale single-axis solar plant fell by 12.31% from US$1.02/Wdc to US$0.89/Wdc. Installed costs for a 60MW / 240MWh standalone battery energy storage system (BESS) fell by 13.14% from US$437/kWh to US$379/kWh.

For solar-plus-storage, both DC-coupled and AC-coupled configurations were looked at. The cost of a utility-scale PV + BESS system, DC-coupled with 100MW PV and 60MW / 240MWh BESS fell by 11.55% from US$190 million to US$168 million. For an AC-coupled system of the same generation, output and capacity, the cost reduction was slightly greater, at 12.26%, falling from US$190 million to US$167 million.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

To read the full version of this story, visit PV Tech.

15 September 2026
San Diego, USA
You can expect to meet and network with all the key industry players again in 2025 from major US asset owners, operators, RTOs and ISOs, optimizers, software and analytics providers, technical consultancies, O&M technology providers and more.

Read Next

July 16, 2026
Distributed energy resource (DER)-focused companies Sunrun and FranklinWH are expanding in California and Texas, US, respectively.
July 16, 2026
Gloucester Coa has received planning approval from the New South Wales government for the 3.6GWh Stratford Pumped Hydro and Solar project.
July 15, 2026
Avantus, with Fluence, is progressing on two solar-plus-battery energy storage system (BESS) projects in California, US.
July 15, 2026
Australia’s federal government has added 11 new generation and energy storage projects to its National Renewable Energy Priority List.
Premium
July 13, 2026
Energy-Storage.news Premium catches up with Giovanni Damato, US president of organic flow battery company CMBlu Energy about the company’s recent activity.