Both can, with losses and infrastructure investment. The size of those are very different, and that's why you does currently create one locally and buy the other from far.

Photovoltaics can¹ change the other side of the equation² so that locally generating it would be better.

1 - But it's not certain by any means. The current biggest obstacle is battery storage and maintenance.

2 - losses and infrastructure costs vs. gains from scale.