Wind and solar energy helped reduce the wholesale cost of electricity by £1.55 billion in 2014.
A new report from Good Energy stated the cost of these renewable sources was £1.12 billion last year – 58% less than the cost reflected in the Levy Control Framework which sets the budget for green subsidies.
It also stated renewables are lessening the impact of subsidies on bill payers.
According to the report, if the savings continue, future planned renewable development would provide benefits in terms of costs to the consumer.
Juliet Davenport, CEO at Good Energy said: “What is not taken into account is the fact that renewable energy, such as wind and solar, has actually been bringing the cost of energy down for consumers.
“The bill payer money invested into supporting renewables yields significant benefits, let’s be very clear about that.”
ELN has contacted DECC for a response.