German solar developers who miss out on securing government support may not be able to cover their investment costs with a pay-as-produced Power Purchase Agreement (PPA) unless they install battery storage, according to Veyt analysis.
German solar auctions have attracted strong competition in the last five rounds, showing market appetite for new capacities. However, record low solar capture rates are a challenge for projects outside the support scheme. To improve profitability, adding a battery could be the most viable option.
Veyt specialises in data, analysis, and insights for all significant low-carbon markets and renewable energy.