CleanTechnica•about 1 month ago
Solar Experts Offer a Solution to Satisfy Both Sides in Ivanpah Decommissioning Battle
- •Two California utilities (PG&E, SCE) are moving to exit long-term Power Purchase Agreements (PPAs) for the Ivanpah solar tower project due to its consistent underperformance (70-80% of projected generation since 2014).
- •This situation highlights the significant financial and contractual risks for developers and IPPs associated with pioneering utility-scale renewable technologies that fail to meet performance guarantees, potentially leading to PPA termination.
- •The impending 'decommissioning battle' for Ivanpah could set precedents for how underperforming, first-of-a-kind renewable assets are handled contractually and operationally within the CAISO market, impacting future project financing and risk assessment.
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