The price of solar panels has increased by 25%. Wavering project delivery expectations

The head of the Middle East Association for Solar Energy Industries, Ahmed Nada, said the commodity supply chains prime used in the production of solar panels have suffered serious bottlenecks with an acceleration of metal price levels in the last period.

In his speech in Al Arabiya, he added that silicon, for example, has increased its price by 300%, in addition to silver and aluminum, as all materials prime used in the production of solar panels have risen in price.

He points out that this has contributed to an increase in solar panel prices by as much as 25%, which has had a direct impact on the current market situation.

In addition, according to Linda, the transport tariffs, about 90% of the world production of solar panels in China, and the prices of shipping and shipping from China to most of the world have increased 3 to 4 times.

He claimed that transport prices, along with material prices prime and global inflation rates, have directly affected solar panels and this trend is expected to continue into 2022.

Nada believes current solar energy projects will be renegotiated in light of rising prices, indicating that this could delay delivery of some projects.

He continued: “There are developers in countries that have received a large competitive tariff and it is not in their interest to renegotiate a new tariff and it may be in their interest to agree to delay delivery of projects from 6 months to a year. “

He expected there to be some kind of flexibility regarding the delivery of projects, especially if the projects are not tied to the direct demand for electricity in the country and countries can offset energy from other sources.

He indicated that the situation will return to normal within 24 months from now.

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