Brussels, 15 October 2024
Today, CEER publishes its report ‘Impact of High Market Prices on Renewables’ that examines how high market prices have affected supported renewable energy sources (RES) in Europe.
It explores whether supported RES installations could exit and re-join any given support system during the high market price phase, outlining the structure of these systems.
The paper also examines whether rules for renewable energy communities were already in place in 2022 and whether high market prices led to changes in the support systems.
Key findings show that:
- No uniform approach existed to leave or re-join RES support systems. 17 out of 23 member countries (MCs) said RES producers could leave the support system, while seven out of 22 said RES producers could also re-join.
- 15 out of 21 MCs had rules for Renewable Energy Communities (RECs) in place, six did not;
- 13 out of 20 MCs responded that the high market prices led to quicker RES deployment;
- Three out of 20 MCs reported less deployment due the high market prices based on the concurrent increase on CAPEX costs and inflation, and concerns that wholesale electricity prices’ increases might be temporary;
- Nine MCs noted inflation/cost increase impacted the development of new RES installations and eight MCs replied that there was no or little effect due to inflation and cost increase;
- Four out of 21 MCs provided additional help for projects that had already secured support.