The costs of operating U.S. power plants aligns with the planned additions over the next four years, an SNL Energy analysis of both fixed and variable costs shows, with gas and renewable plants types making up more than 95% of additions from August 2016 through 2020.
While geothermal and hydro-powered plants came in as the two least expensive plant types to operate, limited site availability and a long development process have made it more difficult for developers of this plant type to capitalize on policy incentives.