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This work is a follow-on analysis to NREL's 2012 report that estimated the technical potential of U.S. renewable generation. While technical potential is a measure of renewable potential based on system performance and land use constraints, the new report also considers renewable generation costs in comparison to prevailing electricity prices. This initial application of the method shows a large range of outcomes for the new metric, depending on specific factors considered. This report includes national level estimates of economic potential, along with maps and tables documenting state-level estimates for specific cases.
Economic potential differs from other projections of renewable energy deployment in that it does not directly consider market dynamics, customer demand, exports from one location to another, or most policy drivers that may incentivize renewable energy generation. The methodology represents a first-level screening that identifies where renewable energy can be cost-competitive. As technology costs and other relevant factors change, economic potential may be a useful metric to assess the evolving role of renewable generation in the energy landscape.
NREL is the U.S. Department of Energy's primary national laboratory for renewable energy and energy efficiency research and development. NREL is operated for the Energy Department by The Alliance for Sustainable Energy, LLC.
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