The renewable cannibalisation problem: Why full merchant risk will become increasingly challenging
Renewable price cannibalisation is set to become an increasing problem for subsidy-free renewable projects as capacities expand and eat into the market revenues for earlier projects.
In this market insight, Matthew Jones and Florian Rothenberg assess renewable capture prices in Germany, France, Spain and the UK, comparing the results to assumptions for the levelized cost of energy (LCOE) in each country to determine whether projects operating at full merchant risk would remain financially viable through to 2030.