This is your SolarWakeup for August 4th

The LFP Scale Up. Samsung is building out their domestic LFP production and already highlights that demand will outpace their capacity which is a reasonable start to take. There is an overlap of the demand between the auto and energy sectors and finding the volumes that will drive pricing and cost structures. The trade cases will also come to the storage market, which will surely take some time to find a rationalization as well. 

FCC Part 1 of Many. Hard to consider the FCC rule that defines everything. I’ve spoken to several executives that feel fine with what was issued from their side but when I speak to asset owners, they’re a bit more worried about replacements, firmware updates etc. My highlight is that this is likely to extend to storage and those software components in the EMS and BMS. Both of which would well to be expected to be included in the near future. On the market altering side, Some developers are wondering how the interconnection procedures will adapt to the rule and how it will be enforced at that level. 

PE To Infra Pipeline. No shortage of dealmaking happening. Early PE is selling platforms with healthy pipelines and operating assets, look at the Aypa Power to Brookfield sale. Valuations appear to be in the billion per GW range. Then the Shell, Total, KKR deal shows that infrastructure capital is deploying in a big way but also taking on that late stage 

Opinion

Best, Yann