The growing market for solar power could keep expanding, according to a new report from Global Industry Analysts. A report by the group on solar panels shows the market is currently forecasted to reach $71.8 billion by 2017, driven primarily by demand for renewable energy in the United States and developing markets.
GIA said after making a comeback in 2010, the solar panel market could be challenged by planned subsidy cuts in European cities. At the same time, the industry will see growth in other markets in the next few years due to the prices of solar power falling. The report said the market could be driven by government policies, especially investments and feed-in tariffs.
According to Sustainable Business, China is seeing a boom in the use and installation of solar power, as the country instituted a national solar photovoltaic feed-in law. This has already led to 1,000 projects, adding up to 14 gigawatts of energy, the news source said. The Chinese market will increase 230 percent in 2011, exceeding 1.6 gigawatts.
“The earlier-than-expected release of the national PV FiT policy has opened the door to explosive growth in project development activities in China,” said Ray Lian, an analyst at Solarbuzz, in its first edition of the Solarbuzz China Deal Tracker, according to Sustainable Business.