This is your SolarWakeup for February 9th, 2023
Too Successful? The IRA is driving so many investments in the local infrastructure that estimates on the tax benefits that will be used were too low. To call them a cost however is quite flawed as they represent a percentage of the capital investments made for infrastructure and desired behavior by private industry. If we wanted to track costs, then the government could have said, we’ll be spending a billion dollars on this or that but instead they built a market using tax incentives. Not for nothing, that’s also how we built the US oil and gas markets (now the largest around the globe) and how we funded fire departments or incentivize charitable giving. Let’s stop calling tax credits a cost, it’s called success.
News
1 New York Times:
Why the Cost of Biden’s Climate Law Keeps Going Up
2 PV-Magazine:
The solar rebound effect in residential PV
3 Utility Dive:
Green investor Brookfield scores $10B for latest energy transition fund
4 Bloomberg:
Duke Energy Turns to Big Tech to Help Beef Up Power Grid
5 Axios:
Record January caps Earth's first 12-month period above 1.5°C
6 Reuters:
US solar dominates new build as developers widen search
7 PV-Tech:
European Commission acknowledges solar manufacturing crisis, delays implementing measures
8 Solar Power World:
CBP reminds solar importers they must install product in 180 days or pay duties
9 Energy Storage News:
The challenges for European lithium-ion gigafactories and the role ESS demand will play
Opinions:
10 Solar Builder:
Solving solar workforce challenges - Insights from the experts
Have a great day!
Yann
This is your SolarWakeup for February 8th, 2023
Opinion
News
1 Bloomberg:
Texas Governor Says State Power Supply Needs to Grow 10% to 15%
2 Utility Dive:
DOE launches solicitation for up to $1.2B in transmission capacity contracts
3 Axios:
Biden's EPA begins crackdown over soot
4 Reuters:
Spain on a clean power roll as wind output swells
5 PV-Tech:
Enphase reports revenue of US$302.5 million in Q4 2023, down from US$551.1 million in Q3
6 Energy Storage News:
New York governor’s working group on BESS safety recommends changes to state Fire Code
7 Canary Media:
Swell Energy acquires Renu to help build virtual power plants
8 PV-Magazine:
Utah bill proposes rooftop solar net metering rate protection
Opinions:
9 Solar Power World:
DOE study says Puerto Rico can easily go 100% renewable by 2050
Have a great day!
Yann
This is your SolarWakeup for February 7th, 2023
The Fundamental Dilemma. Europe is currently debating the basic issue between policy and capitalism. In solar’s case it’s the value of low priced solar panels and the ability to build super cheap solar farms that benefit the utilities and consumers with the energy cost that everyone wants. On the flip side, everyone also wants to have a local/domestic supply chain. The EU commission is warning regulators that additional tariffs will put solar targets at risk, since it will both increase the price and decrease the available supply of modules to the market given that the local supply chain is not there. I don’t have a good answer to this, I want to see local supply chains but I also worry that local supply chains created in momentary policy decisions are hard to maintain sustainably for the long term.
News
1 Renewable Energy World:
Clean power advocates eye PJM’s planning reforms warily
2 PV-Magazine:
Solar corporate funding rises 42% globally in 2023
3 Bloomberg:
Shopping for Solar Panels? Don’t Forget a Home Battery
4 Reuters:
BP weighs bringing in partners to solar business, says CEO
5 Grist:
As states slash rooftop solar incentives, Puerto Rico extends them
6 PV-Tech:
Solar to lead EU power generation growth in 2024
7 Solar Power World:
USITC’s midterm report on Sec. 201 solar tariffs heads to President
8 Energy Storage news:
New Jersey Senators seek to remedy state’s slow progress on energy storage deployment
9 Canary Media:
Duke Energy seeks to delay its 2030 climate target in North Carolina
Opinions:
10 Utility Dive:
California could need up to 37 GW of long-duration storage by 2045 to retire gas resources - report
Have a great day!
Yann
This is your SolarWakeup for February 6th, 2023
Opinion
News
1 New York Times:
Summer Has Long Stressed Electric Grids. Now Winter Does, Too.
2 Axios:
Proposal would add a "Category 6" as hurricanes get stronger
3 Reuters:
EU cautions against trade measures to support solar sector
4 Utility Dive:
Xcel proposes 3.6 GW renewables, 600 MW storage in Midwest but spurs concerns with gas plans
5 Bloomberg:
Germany Paves Way for Major Expansion of Gas Power Plants
6 PV-Tech:
Brookfield Renewable reports ‘record year’, says data centre appetite for clean power set to drive value
7 PV-Magazine:
Increasing alternative energy standards would bring billions in investment to Pennsylvania
8 Energy Storage News:
UK ROUNDUP - CIP’s 1.5GW approvals, Home batteries exempted from tax, Gore Street on GB market revenue concerns
Opinions:
9 Renewable Energy World:
From point A to B – The transportation of a wind turbine
Have a great day!
Yann
This is your SolarWakeup for February 5th, 2023
Local Trackers. The 45X credits are making a real impact to the supply chain in trackers, importantly partnering innovating tracker manufacturers with existing steel companies and allowing them to expand. This is allowing an even landscape between large incumbents and new entrants with innovative tech to benefit at the same level without massive capex disadvantages. Trackers have been on a 20 year innovation curve and it seems like it’s just beginning to gain hold.
News
1 Heatmap:
Crypto Mining Consumes a Mind-Boggling 2% of U.S. Electricity
2 CNBC:
Nextracker CEO says ‘solar is unstoppable’ as market sees ‘unprecedented demand growth’
3 Politico:
Greens push for EU climate neutrality by 2040 in election manifesto
4 Utility Dive:
Texas to explore new grid recovery options after 82% of blackstart units failed during Winter Storm Uri
5 San Francisco Chronicle:
California slashed solar payments and blew up demand. How bad is the damage?
6 Bloomberg:
Germany Invests €1 Billion to Counter China on Raw Materials
7 PV-Tech:
Altus Power acquires 84MW community solar portfolio in north-east US
8 Energy Storage News:
‘Big expansion’ in battery manufacturing essential to global net zero goals, BloombergNEF says
9 PV-Magazine:
Solar EV developer Aptera crowdfunds $33 million
Opinions:
10 New York Times:
How the U.S. Became the World’s Biggest Gas Supplier
Have a great day!
Yann
This is your SolarWakeup for February 2nd, 2023
Opinion
News
1 Solar Builder:
Tracking the growth of domestic solar tracker manufacturing
2 Utility Dive:
FERC approves PJM capacity accreditation, modeling reforms aimed at boosting reliability
3 Nasdaq:
COLUMN-Rising US oil production frustrates OPEC⁺ cuts - Kemp
4 Energy storage News:
Storage a ‘key element’ for new 2040 renewable energy targets, leaked EU draft says
5 Bloomberg:
Mexico’s Top Court Voids Government’s Statist Power Reform
6 Axios:
The big challenges facing the U.S.'s new climate diplomat
7 PV-Tech:
Vesper Energy closes US$590 million on 600MW Texas PV project
8 Renewable Energy World:
Board clarifies solar siting restrictions for large solar facilities in New Jersey
9 PV-Magazine:
Solar tracker provider Nextracker amps up its 2024 earnings guidance
Opinions:
10 New York Times:
Coastal Cities Brace for Climate Change
Have a great day!
Yann
This is your SolarWakeup for February 1st, 2023
Opinion
News
1 Axios:
John Podesta to succeed Kerry as lead U.S. climate negotiator
2 Energy Storage News:
‘Big expansion’ in battery manufacturing essential to global net zero goals, BloombergNEF says
3 New York Times:
Teach About Climate Change With 30 Graphs From The New York Times
4 Bloomberg:
Texas’ Wobbly Power Grid Spurs DFW Airport to Map Backup Plans
5 Reuters:
Lender CIF to kick-start nearly $300 mln in funds for Kenyan renewables
6 PV-Tech:
Germany’s latest PV auction ends 3.5 times oversubscribed
7 Renewable Energy World:
Energy transition investments hit record $1.8 trillion in 2023
8 PV-Magazine:
Tribes to sponsor 1 to 3 GW of renewables to help retire dams and restore salmon
Opinions:
9 Heatmap:
The New Climate Laws’ Tax Credits for Homeowners Are Crazy Powerful
Have a great day!
Yann
This is your SolarWakeup for January 31st, 2023
Get What We Expect. My frustration with policy is that it rarely states the intention or goal of the legal words that go into the bill. The reason for that is some version of diplomacy or political nature of not wanting to offend anyone. This leads to investments being made to meet customer demand with the expectation of some underlying support and yes, I’m talking about domestic supply chains. Europe’s manufacturers need support from governments because local content isn’t finding enough demand in the market. Of course, as projects get built, demand is going to balance price, quality and other factors. While the individuals may desire to support domestic content, the price also has to be there which causes the rub between trade policies and/or local support of domestic content. Solar panels and batteries have some similarities in that respect but also some large differences. Solar panels will not degrade at nearly the same pace of battery containers, which are largely made to order. At the same time, battery containers weigh over 70 thousand pounds and shipping them is it’s own major challenge, giving local supply a built in benefit. We’ll see how markets evolve, but in the meantime if Europe wants any domestic supply chain, they’ll have to decide if that goal is worth building policies around.
News
1 Reuters:
Europe's solar panel manufacturers ask EU for emergency support
2 PV-Magazine:
Solar power purchase agreement prices rise 15% year-over-year
3 Utility Dive:
Energy storage venture capital funding soared to record $9.2B in 2023, Mercom reports
4 Bloomberg:
Global Clean Energy Spending Surges to $1.8 Trillion. It’s Not Enough
5 New York Times:
U.S. Will Pay to Add Solar Panels to Hospitals, Schools After Disasters
6 GreenBiz:
As US electric bus market expands, manufacturers struggle to keep up
7 PV-Tech:
Sunrun reports successful residential solar-plus-storage programme in California
8 Solar Power World:
FEMA includes solar microgrids in net-zero disaster response program
9 Heatmap:
We Fact Checked Everything Trump Has Said About Climate Change Since 2021
Opinions:
10 Energy Storage News:
Long-duration energy storage is ‘better option than gas to back up Ontario renewables’
Have a great day!
Yann
This is your SolarWakeup for January 30th, 2023
Opinion
News
1 Bloomberg:
Spain’s Top Renewable Fund Expands in US by Acquiring Heelstone
2 PV-Magazine:
A retirement boom for fossil fuels
3 New York Times:
Georgia Senators Press Biden for Tougher Tariffs on Chinese Solar Panels
4 Utility Dive:
Duke Energy pilot could open door to VPPs at vertically integrated utilities, SELC attorney says
5 Axios:
Red Sea, Mid-East troubles raise specter of high energy prices
6 Renewable Energy World:
Geothermal heat pumps could reduce U.S. electricity demand by as much as 15%
7 Energy Storage News:
AES gets regulatory approval for 200MW, 4-hour BESS at retiring coal plant in Indiana, US
8 Canary Media:
The dawn of the clean hydrogen economy — visualized
Opinions:
9 PV-Tech:
Will Auxin Solar’s latest AD/CVD lawsuit be a thorn in the side of US solar?
Have a great day!
Yann
This is your SolarWakeup for January 29th, 2023
Tax Equity Rules. Based on some bad ideas, the Basel 3 rules are considering tighter balance sheet requirements for banks that participate in tax equity. Doing so would obviously put tax equity in a less preferential spot even though the risk to the balance sheet has always been minimal. Advocates continue to lobby hard to make sure these draft rules are changed for the market’s sake.
Political Risk? Hundreds of billions have been invested thanks to the IRA and some are starting to be concerned if the IRA could be a political football if the party in power changes in November. Here’s my thoughts…First 2016 had similar thoughts and ultimately (with a lot of noise) solar continued to grow between 16 and 20. Both parties have been hard on solar with tariffs for well over a decade. A republican President brought the ITC to 30% originally and I can give you examples where a republican governor vetoed an anti-solar net metering bill and where a democrat governor let anti-solar net metering rules be implemented. While there is noise in the system to extend the tax policies currently in place that will sunset next few years, which will need pay-fors, many of the popular IRA policies are likely very safe. And at the end of the day, the grid needs energy and power to continue this extensive economic and manufacturing growth we’ve seen over the past few years.
News
1 Bloomberg:
Wall Street Has a Dire Warning About Green Investments Under New ‘Endgame’ Rule
2 Utility Dive:
NextEra CEO downplays chance of Inflation Reduction Act repeal if Trump re-elected
3 Wall Street Journal:
Bipartisan Backing to Explore Fast Tracking Solar and Wind on Oil-And-Gas Lands
4 New York Times:
Democrats Say Biden Hasn’t ‘Made the Case’ on Climate Despite Achievements
5 Axios:
Biden eyes "pause" of new LNG export facilities
6 Reuters:
China's installed solar power capacity rises 55.2% in 2023
7 Renewable Energy World:
‘We’re playing catch up’ - How grid operators see the future of battery storage
8 Solar Power World:
ADT Solar to close remaining branches, exit residential solar business
9 Energy Storage News:
Regulator quashes ERCOT’s proposed state-of-charge rules for BESS
10 Canary Media:
Big electric-truck charging depots are coming soon to California
11 PV-Magazine:
Nebraska introduces legislation to prevent HOA from barring solar installation
Opinions:
12 Grist:
How California is casting a cloud over residential solar
Have a great day!
Yann
