LevelTen Energy says North American renewable energy developers are struggling to build solar and wind projects fast enough to keep up with demand.
This is leading to a shortage of power purchase agreements for corporations and other large energy buyers, which are critical to bringing new clean energy projects online and meeting corporate and federal net-zero targets.
This rapidly growing imbalance between PPA supply and demand, combined with skyrocketing development costs, has raised PPA prices 9.7% during the first quarter of 2022 to nearly USD 40 per MWh, according to LevelTen’s Q1 PPA Price Index report.
Year-over-year, this represents an astounding 28.5% increase.
Excerpt from SUN DAY Campaign‘s April 13th, 2022 issue.