Turbines at an Australian wind farm.

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At a Glance

The cost of wind energy has fallen by about 23 percent since 2010, while solar has dropped by a whopping 73 percent since 2010.The researchers note that renewables for new power generation is not simply an environmentally conscious decision, it is now — overwhelmingly — a smart economic one.

Within two years, renewable energy will be less expensive than fossil fuels, a new study says.

According to the study published this last week by theInternational Renewable Energy Agency, all the "power generation technologies that are now in commercial use will fall within the fossil fuel-fired cost range" by 2020.

Of those technologies, most will fall at the lower end or even undercutfossil fuels, the report notes.

“This new dynamic signals a significant shift in the energy paradigm,” Adnan Z. Amin, IRENA Director-General, said. “These cost declines across technologies are unprecedented and representative of the degree to which renewable energy is disrupting the global energy system.”

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Focusing their attention on the relative cost of new energy projects being commissioned,the researchers found that the cost of wind energy has fallen by about 23 percent since 2010, while solar energy has decreased by 73 percent. Both the cost of wind and solar, along with other renewables such as bioenergy, geothermal and hydropower projects are expected to continue to decline through 2020 and beyond.

“Turning to renewables for new power generation is not simply an environmentally conscious decision, it is now — overwhelmingly — a smart economic one,” Amin said.“Governments around the world are recognizing this potential and forging ahead with low-carbon economic agendas underpinned by renewables-based energy systems. We expect the transition to gather further momentum, supporting jobs, growth, improved health, national resilience and climate mitigation around the world in 2018 and beyond.”