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The Shifting Role of the Solar EPC

Solar EPC

Learn more about the shifting role of the Solar EPC and How the Solar Trade Case Could Change Everything.

As we gear up for Solar Power International, one solar EPC provider reflects on how the industry has changed. There have been many advances over the past few years and providers worry about what’s next.

Just five years ago, solar engineering, procurement, and construction companies (EPCs) were willing to be a lot more flexible when signing contracts to build solar projects than they are today. According to Robert Lydan, CEO and Managing Director at Phoventus, it’s about who takes on the majority of project risk. In fact, it used to fall on the shoulders of the EPCs but today they are increasingly risk-averse.

“The EPC business has grown from a market where clients were able to acquire EPC service with really extensive wraps around the liabilities and energy production estimates and all of the variables of the project,” he explained in an interview. “I’ve seen a very significant degradation of that.”

Lydan said that five years ago in an effort to build market share in what all EPCs understood to be a growing solar market, EPCs were willing to take on a much higher level of project liability.

“There was a time during which people’s desire to penetrate into a new market meant that they would do extraordinary things to do so,” he said.

Finally, take a look at the PDF for the full interview.

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