Solar power purchase agreements averaged $57.04 per MWh, increasing 1% quarter-over-quarter in North America.
Under a “higher for longer” interest rate environment, renewable energy project M&A have shifted away from the “scattershot” approach of a formerly cheap capital environment to a more cautious approach, said a report from LevelTen Energy.
A report from marketplace operator LevelTen Energy said the increase in pricing may be related to policy uncertainty.
Also on the rise: Stable solar power purchase agreement prices present “window of opportunity”. Arcadia raises $50 million to bring AI to community solar. And more.
PPA pricing rose in some markets like California and declined in others, including Texas, said a report from LevelTen Energy.
PPA prices are increasing due to rising costs, said a report by LevelTen Energy.
After three years of consecutive quarterly increases to PPA prices, LevelTen Energy reports a 1% decline in prices from Q1 to Q2 in the U.S.
Supply chain disruptions, spiking commodities costs, land use permitting uncertainties, and overwhelmed interconnection queues are driving up PPA costs and making supply scarce, but new buyers could bring innovative solutions to alleviate this stress in 2022.
PPA prices have been rising steadily since the end of last year and, according to solar developers, interconnection delays, permitting challenges, and supply chain constraints are likely to keep them high.
Around 12% of developers who were surveyed said they were delaying projects, and the firm’s price index ticked up 4.3% during the second quarter.
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