Solar power generation panel merchant quotation table

What are solar power generation assets (spgas)?

Solar power generation assets (SPGAs) are not comparable to conventional power generation assets since they are typically smaller in scale, highly modular and intrinsically less complex. They also have a front-loaded cost profile characterised by no fuel costs and limited operation and maintenance (O&M) expenditure.

Can a PPA buy a solar project?

Buyer Options to Purchase the Project or Special Purpose Entity. Many utilities have shown a strong interest in owning solar energy projects. In PPAs, this interest often takes the form of an option to purchase the project or the entity that owns it on or after a specified date. Such options should be handled carefully.

Is a solar plant cash rich?

It is simply too expensive to tie up such large amounts of cash and, in any event, an SPV that owns the solar plant generally is not cash rich (to the contrary—SPVs tend to be funded on a “just in time” basis by their parent).

How much security is required for a solar plant?

There is no universal standard for the amount of security that is required to be posted. In most PPAs, the security is divided into construction period security and security from and after the date the solar plant achieves commercial operation.

How has solar power changed over the years?

The decrease in the cost of solar power has been particularly remarkable. The global weighted average levelised cost of electricity (LCOE) for utility-scale solar photovoltaics (PV) fell an estimated 77% between 2010 and 2018.1 Solar power can now compete head-on with non-renewable power generation.