Is wave energy too expensive to compete with solar and wind?
Historically, wave energy has been seen as too costly, but recent research shows that in the right places it can already be competitive. A 2024 study of the Galician coast in Spain found that the Oyster device could produce electricity at €50 per megawatt-hour (MWh) in shallow waters, and the Atargis device at €77/MWh in deeper waters [1]. For context, the average wholesale electricity price in Spain in late 2023 was about €207/MWh, so these figures are well below that. Even under a conservative capital cost scenario of €3 million per megawatt, the cost rose to €140/MWh — still below the market price [1]. Similarly, a study in Indonesia estimated a Levelized Cost of Energy (LCOE) of $91/MWh for a multi-point absorber wave energy converter [4]. These numbers show that wave energy is not inherently unaffordable; the challenge is matching the right technology to the local wave climate.
A 2021 study that looked at moderate wave resources (not just the stormy coasts) found that optimally selected wave energy converters could achieve LCoE values as low as €60/MWh, with average values between €150 and €250/MWh [2]. The key insight is that cost depends heavily on the discount rate (a measure of financial risk) and the upfront capital investment. Projects with lower risk and cheaper capital can be viable even in moderate wave climates [2].
Can one wave energy device work everywhere?
No, and that is actually good news. Different wave energy converters (WECs) perform best in different water depths and wave conditions, meaning there is no single 'best' device — but there is a best device for each location. The Galician coast study tested 14 different WEC designs and found that the Atargis device was most cost-effective in 64% of the area (deep waters), while the Oyster device excelled in shallow waters (12.4% of the area) and the Wave Dragon near the coast (15% of the area) [1]. This 'horses for courses' approach means that developers can optimize by choosing the right tool for the local wave climate.
A 2024 study on wave energy arrays showed that even a small array of just five heaving buoys, if their resonant properties are carefully tuned (like a musical instrument), can capture over 99% of incoming wave energy over a broad frequency range [3]. This 'rainbow absorption' design proves that clever engineering can dramatically improve efficiency, making wave farms more economically viable.
Is wave energy only for the grid, or can it do other things?
Wave energy can also power ocean monitoring systems, opening up a new market that does not require connection to the main electricity grid. A 2024 study demonstrated a floating metamaterial energy harvester that achieved a high energy density of 99 watts per cubic meter, enough to continuously power sensors that monitor ocean parameters and transmit data wirelessly to the cloud [5]. This is a game-changer for the 'Internet of Things' in the ocean, where replacing batteries or running cables is impractical. The device worked reliably in ultra-low-frequency waves (1–2 Hz) and in various weather conditions over 24 hours [5]. This shows that wave energy can be valuable even at small scales, for applications where solar and wind are less reliable (e.g., at night or in calm conditions).
Sources used in this answer
Evaluating the economic viability of near-future wave energy development along the Galician coast using LCoE analysis for multiple wave energy devices
The Oyster device in shallow Galician waters could achieve an LCoE of €50/MWh, and the Atargis device €77/MWh in deep waters, both below Spain's 2023 average electricity price of €207/MWh.
Shifting wave energy perceptions: The case for wave energy converter (WEC) feasibility at milder resources
Optimally selected wave energy converters in moderate resources (≥25 kW/m) can achieve capacity factors over 30% and LCoE as low as €60/MWh, with average LCoE between €150 and €250/MWh.
Broadband near-perfect capture of water wave energy by an array of heaving buoy wave energy converters
An array of just five heaving buoys with graded resonant properties can achieve near-perfect (≥99%) wave energy absorption over a broad frequency band.
Evaluating Wave Potential and Assessing the Economic Viability of Wave Energy Converters in the South Java Seas
In the South Java Seas, a 130 kW multi-point absorber wave energy converter could achieve an LCOE of $91/MWh, with average wave power potential of 164–252 MW/m.
Ocean wave energy harvesting with high energy density and self-powered monitoring system
A floatable metamaterial energy harvester achieved a high energy density of 99 W/m³, enabling continuous self-powered ocean monitoring and wireless data transmission in ultra-low-frequency waves (1–2 Hz).