Incredibly cheap solar

The 56.7 MW Uribe Solar plant in the Antofagasta region of northern Chile
(Source: PV Magazine)

This time in Chile.

Enel Generación Chile (EGC) has bid just $21.48/MWh to supply electricity to Chile's grid from a new solar farm in the Antofagasta province of Chile.  Note that there is no subsidy involved.

Why so cheap?  First off, Antofagasta is at latitude 24 degrees south of the equator.  This is a lot closer to the equator than, say Los Angeles or Dallas or Adelaide.  Second, this is desert, one of the driest deserts in the world.  So the amount of sunshine is high.  Third, Chile has a stable renewables policy.  This means greater certainty which lowers the interest rate developers can borrow at, and because almost all the cost of renewables is up front (unlike with coal or gas), this makes wind and solar cheaper.  At higher latitudes, solar is more expensive.  But even in Denmark (latitude 55) solar costs just $54/MWh.  Fourth, there is a "learning curve" effect.  Everybody in the whole process of integrating solar into the grid knows how it works, knows the rules and the climates involved, is familiar with costings, connection processes, bid processes and so on.  A similar learning curve experience is why rooftop solar is so much cheaper in Australia than it is in the USA.

It's obvious to everybody except dimwitted denialists that most of the world between latitudes 40 north and south could easily and cheaply replace fossil fuels with solar, with only a few hours of storage needed.  Closer to the poles, wind power will be more important, and to reach 100% renewables seasonal storage will be required.  But it's still perfectly doable.  More: it's essential, if we are to avoid 2 degrees of warming.   The logic is compelling: renewables are cheaper, sometimes much cheaper, and we have no choice but to transition to a carbon-free economy.