April 14 (Reuters) - U.S. solar and wind contract prices rose sharply in the first quarter as project developers faced tariffs, labor shortages and permitting challenges amid soaring demand for power from data centers, according to a report published on Tuesday.
* Prices for solar power purchase agreements, contractsknown as PPAs, were up 13% from the first quarter of last year,and wind PPAs were nearly 24% higher, according to data fromLevelTen Energy, an online hub for renewable energy sellers andcorporate buyers. * Wind projects faced tough scrutiny from the Trumpadministration for federal permits, particularly from theFederal Aviation Administration, the report said. * Solar projects are being hit with higher costs andpermitting constraints, but are in high demand from customersbecause they can be brought online quickly to serve data centerneeds. * Large corporate buyers in need of power account for mostrenewable energy demand. * Smaller corporate buyers that enter contracts to meetclimate change goals have slowed their procurement due to higherprices and pending changes to greenhouse gas reporting rules.(Reporting by Nichola Groom; Editing by Jamie Freed)
