The head of the Middle East Association for Solar Energy Industries, Ahmed Nada, said that the supply chains for the raw materials that enter the industry Solar Panels Severe bottlenecks occurred with the acceleration in the metal price levels in the last period.
In his speech to Al Arabiya, he added that silicon, for example, increased its price by 300%, in addition to silver and aluminum, as all raw materials used in the manufacture of solar panels increased in price.
He pointed out that this matter contributed to an increase in the prices of solar panels by no less than 25%, which had a direct impact on the current situation in the market.
In addition, according to Linda, the transportation tariff, regarding 90% of the world’s production of solar panels in China, and the prices of shipping and shipping from China to most parts of the world have increased by 3 to 4 times.
He stated that transportation prices, along with the prices of raw materials and global inflation rates, directly affected the solar panels, and this trend is expected to continue in 2022.
Nada believes that the current solar energy projects will be renegotiated in light of the increase in prices, indicating that this may delay the 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 accept delaying the delivery of projects from 6 months to a year.”
He expected that there will be some kind of flexibility regarding the delivery of projects, especially if the projects are not related to the direct demand for electric power in the country, and countries can compensate for energy from other sources.
He indicated that the situation will return to normal within 24 months from now.