Coal Cost Crossover 3.0

The 'Coal Cost Crossover 3.0' fact sheet by Energy Innovation reports that 99% of 210 analyzed U.S. coal plants are more expensive to operate than replacing their capacity with new wind or solar energy. The document highlights how the Inflation Reduction Act (IRA) accelerates this transition and estimates that replacing 204 coal plants with local clean energy could generate up to $589 billion in investment for energy communities.

• An analysis of 210 U.S. coal plants (totaling 220 gigawatts of capacity) using 2021 costs and IRA tax credits shows that 99% of these plants (209 out of 210) are more expensive to operate than replacing their generation capacity with new solar or wind. For more than three-quarters of existing U.S. coal plants, new wind or solar is at least 30 percent cheaper than the cost of running the plant.
• Replacing 204 coal plants with local clean energy resources could generate up to $589 billion in new investment within energy communities. The study found that for 199 of the 210 plants, local solar replacement is cheaper than existing coal, while for 104 plants, local wind is cheaper. For 89 plants, both local wind and solar are cheaper than coal.
• The potential savings from transitioning from coal to local solar could fund 137 GW of four-hour battery capacity across the studied fleet, representing over 60% of the total capacity of the 210 plants. For more than one-third of the plants, 80% or more of the capacity can be replaced by a combination of local solar and four-hour batteries at a cost lower than operating the coal plant.
• The Inflation Reduction Act (IRA) accelerates the cost crossover by expanding investment and production tax credits for wind and solar, and providing loan guarantees to refinance fossil fuel resources and reinvest in clean energy infrastructure.

APA

Energy Innovation (n.d.). Coal Cost Crossover 3.0. https://energyinnovation.org/wp-content/uploads/Coal-Cost-Crossover-3.0-One-Pager.pdf

Chicago

Energy Innovation. Coal Cost Crossover 3.0. n.d. https://energyinnovation.org/wp-content/uploads/Coal-Cost-Crossover-3.0-One-Pager.pdf.

Wikipedia

{{cite report |author=Energy Innovation |title=Coal Cost Crossover 3.0 |url=https://energyinnovation.org/wp-content/uploads/Coal-Cost-Crossover-3.0-One-Pager.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{energyinnovationndcoal, author = {{Energy Innovation}}, title = {{Coal Cost Crossover 3.0}}, institution = {Energy Innovation}, url = {https://energyinnovation.org/wp-content/uploads/Coal-Cost-Crossover-3.0-One-Pager.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }