The ongoing energy crisis has seen developers struggling to meet demand because of supply chain, interconnection and regulatory challenges.
In recent months, challenges related to the Covid-19 pandemic such as struggling economies and weak labour markets have reversed a decade of cost declines for the renewable energy sector.
There is concern that these higher costs could deter demand for green energy at a time when the United Nations has called for rapid expansion of wind and solar in order to avoid the worst effects of a warming climate.
Despite uncertainty in the market, the report found that the high energy prices were spurring developers to build more renewable facilities, especially in countries that are highly dependent on Russian natural gas.
Flemming Sørensen, vice president of Europe at LevelTen Energy, said that prices were now “sky high”, reversing years of price declines at a time when “procurements need to accelerate dramatically.”
The...