Solar PPA prices dropped 5.9%, while wind fell 4.3%.
LevelTen recorded decreases in solar PPA prices in most European countries it analyzed. It said there was a 13.2% drop in Sweden, a 12.7% decrease in Germany, and a 10.5% fall in Spain.
Plácido Ostos, director of European energy analytics at LevelTen Energy, said that lower wholesale electricity prices from Europe’s mild winter have put pressure on PPA prices to become more competitive, while a continuous decline in solar module prices due to China-based PV components also played a role.
“However, the PV supply chain situation has caused Europe’s domestic PV manufacturing industry to call for government intervention – which, if taken, could restrict the supply of cheap components and push solar PPA prices back up,” added Ostos.
