China's wind and solar power generation costs are projected to drop by more than 20 percent over the next decade, maintaining a steady downward trajectory that will fundamentally reshape the nation's energy landscape, according to a report released on Friday by the State Grid Energy Research Institute.
The China New Energy Power Generation Analysis Report 2026 revealed that the (LCOE) for renewable sources reached highly competitive levels last year.
In 2025, the LCOE for onshore wind power stood at approximately 0.142 to 0.288 yuan (2 to 4 US cents) per kilowatt-hour, while offshore wind ranged from 0.335 to 0.453 yuan per kWh. Photovoltaic power costs also saw significant reductions, dropping to between 0.131 and 0.244 yuan per kWh, it said.
"The increasingly prominent economic advantages of wind and solar power have been driving the deep integration of new energy with computing centers, energy-intensive manufacturers, and various users capable of flexible load adjustment," said Ye Xiaoning, a senior engineer at the new energy department of the institute.
Against this backdrop, industry experts note that such integration will not only meet the rigid demands of industrial green transformation and help exporters navigate international carbon tariffs, but also foster a mutually beneficial empowerment between new energy generators and flexible power consumers.
