If you’ve felt your electric bill creeping up year after year, you’re not imagining it and you’re not alone. What is changing (fast) is the economics of producing electricity. The Lazard 2025 Levelized Cost of Energy+ report compares the lifetime cost to build and operate different power sources, and its findings reinforce what homeowners and utilities are increasingly acting on: solar is now the lowest-cost form of new electricity generation.
The 2025 Lazard findings, summarized
Lazard’s 2025 analysis shows that solar is now the most cost-competitive form of generation on an unsubsidized $/MWh basis, and is also among the quickest resources to deploy, a big deal as power demand rises.
When you compare “apples to apples” lifetime costs, solar is the cheapest:
- Utility-scale solar PV: roughly $38–$78 per MWh
- Onshore wind: roughly $37–$86 per MWh
- Gas combined cycle: roughly $48–$109 per MWh (and highly sensitive to fuel price swings)
- Coal: roughly $71–$173 per MWh
- U.S. nuclear: roughly $141–$220 per MWh
- Gas peakers (often used during high-demand hours): roughly $149–$251 per MWh
Planet Detroit distilled the headline in plain language: based on the Lazard 2025 report, solar is “the cheapest electricity source in history,” citing a representative comparison.
Why is solar the obvious choice?
The most exciting part isn’t just that solar is competitive; it’s that solar has crossed into a new era where it’s routinely the default “lowest-cost” option for new electricity. That doesn’t happen by accident. Decades of manufacturing scale, better panel efficiency, improved inverters, smarter design tools, and tighter installation practices have pushed the lifetime cost down and made performance more predictable.
Even when you stress-test conventional fuels by changing fuel prices, solar remains remarkably steady—because sunlight doesn’t come with a commodity price tag that can spike overnight. That stability matters for utilities, businesses, and homeowners who want long-term certainty.
For households, Planet Detroit highlights the practical implication: solar isn’t only “good for the planet,” it is profitable, with systems often lasting around 30 years—meaning many owners can see years of effectively “low-cost” power after payback.
Why this makes right now a great time to go solar
When the cheapest new electricity is also clean and locally producible, the decision gets simpler. If you install solar, you’re essentially choosing to buy a chunk of your lifetime electricity upfront and then insulating yourself from the volatility of utility rate increases and fuel-driven price swings. Simply put, gas, coal, and peaker plant costs go up and so too will your electric bill. This problem will only get worse as utilities struggle to build out power-hungry AI infrastructure. Commit to solar now, and you insulate yourself against these rate hikes.
In other words: if your goal is to lower your long-term cost per kilowatt-hour, increase resilience, and gain more control over your energy expenses, the Lazard findings support a simple takeaway: solar is both a financial and environmental move.
Choosing the right installer in Michigan
Cost-competitive technology is only half the equation; execution matters. A well-designed system, quality components, clean electrical work, and strong warranty support are what turn “cheap energy on paper” into reliable savings on your roof. If you’re considering solar in Michigan, Stellar Solar Michigan is a strong choice for professional installation—especially if you want a team that can guide you through system design, production expectations, and a smooth install experience from start to finish. Click here to get a free, no-pressure quote.