Australia: Fast-falling EPC prices make sub-$60/MWh solar feasible

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There may be life for new solar PV projects after the 2020 Renewable Energy Target (RET), and regardless of the National Energy Guarantee (NEG) – new market analysis has shown.

The large-scale solar boom in Australia is resulting in striking EPC cost reductions. These, in turn, are making electricity from big solar cheaper than wholesale power prices, potentially providing opportunities for corporate PPAs or other bilateral offtake agreements with large power consumers.

The analysis comes courtesy of global energy analysts, Rystad Energy, which acquired Sydney-based Sustainable Energy Research Analytics (SERA) in late 2017.

Rystad has tracked EPC contracts for large-scale solar falling from $1.65/W(dc) in early 2017, down to $1.15/W(dc) in a little over 12 months.

Read the full article on pv magazine Australia.