According to the Lazard Levelized Cost of Energy+ report released in June 2025, onshore wind power retained its status as the cheapest source of new generation, while the cost of gas-fired generation reached a ten-year high due to rising operating costs and volatile fuel markets. The International Renewable Energy Agency in its July 2025 report confirms this gap, placing the global weighted average cost of onshore wind power at US$34 per MWh, well below the marginal cost of even the most efficient new coal and gas plants. In their review for the third quarter of 2025, Wood Mackenzie analysts also noted a 7% year-on-year decline in the LCOE of renewable energy in Europe, which was made possible by the final stabilization of supply chains and a decrease in turbine costs after the inflationary crisis of the early part of the decade.
The economic feasibility of wind power in 2025 became even more apparent amid rising prices for traditional fossil fuels: according to IRENA, 91% of all new RES capacity commissioned in the last reporting period produced electricity cheaper than newly built fossil fuel plants. In its forecasts for 2025, BloombergNEF recorded a further 11% decrease in the cost of clean technologies, emphasizing that wind power is now winning competition not only from new projects but also from existing coal generation, which is becoming unprofitable without government subsidies. This finally disproves the myth of the high cost of wind generation, demonstrating that wind is a key tool for curbing electricity prices in the face of global energy instability.
