LevelTen Energy says the prices of solar power purchase agreements (PPAs) in Europe reached €76.84($82.58)/MWh in the fourth quarter of 2022.
Edison Energy says in a new report that prices increased more moderately in the fourth quarter of 2022, compared to the steep price hikes seen since 2021.
European prices for power purchase agreements rose in several countries in November, with the Polish index recording an increase of 19.4%. Portugal registered an increase of 15.5%, followed by Spain at 15.7%. Germany was the only country that recorded a monthly decline, with prices falling by 0.8%.
SNCF has agreed to buy 207 GWh of annual electricity supplies under a 25-year power purchase agreement with France’s Reden, which is building four solar plants to provide electricity to the railway operator.
Prices rose in all European energy markets between July and September, according to a new report by LevelTen Energy. Germany and Poland recorded the highest prices, while Spain and Finland recorded the lowest. Solar PPA prices rose by 15.4% – almost twice as much as wind prices.
The European Union’s much-needed emergency measures to tackle the ongoing energy crisis may have unintended consequences for the region’s renewable energy ambitions, warn analysts, but the impact on power purchase agreements will likely vary, depending on the contracts.
The rise in gas and electricity prices was not reflected in PPA prices in June. The war in Ukraine continues to prevent the signing of PPAs and has caused prices to rise in most European markets, with Pexapark’s Pexa EURO index posting an overall decline of 11.3% month-on-month for June.
Spain has already approved temporary restrictions on the price of gas for electricity generation.
Renewables-linked PPA prices have shot up nearly 30% in a year, especially due to the war in Ukraine, according to the latest Levelten Energy report.
The Chinese-Canadian company has secured the signature of Swiss energy business Axpo as offtaker for around 109GWh of solar electricity over a decade, with the clean power to be produced at Canadian Solar projects in Lazio and Sicily.
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