Every three months or so, SEIA (SolarEnergy Industry Association) and the good people at Greentech Media(GTM) Research put out a solar industry report, and that’s great. We’vesummed up some of the insights from the solar hot water side before,most recently for the full 2010 report.
Usually, the GTM researchers include a fewjuicy pages in the executive summary about our little solar thermal side of the industry. However, this latest 2011 quarter has few solar hotwater insights.
Not sure if that brevity is due to the lack of industry participation or the lack of vibrancy in the market, butfor what it’s worth, below is the full section from the report’sexecutive summary.
4. SOLAR HEATING AND COOLING
The solar heating and cooling (SHC)category is composed of two distinct markets: solar water and spaceheating (SWH) and solar pool heating (SPH). The domestic SWH market hasgrown on an annual basis since 2004. The SPH market hit a peak in 2006,and while it shrank significantly in the period 2007-2009, in 2010 itmade a slight recovery with indications that this upward trend willcontinue in the near term.
4.1 MARKET UPDATE
Incentive changes in major markets arehelping to drive installations. In Hawaii, which was the domestic market leader in 2008, a mandate (with loopholes) that systems must beinstalled on new homes rather than offering incentives for any systemseverely impacted installation numbers in 2009 and 2010. But in Q1 2011, the Hawaii Energy Efficiency (HEE) program doubled the incentive from$750 per installation to $1500 per installation using ARRA funds. Theamount allotted was reserved by interested participants almostimmediately. Through the end of July, HEE is offering an incentive of$1000 per installation.
In the month of March, installation rates were back to up to 2008 levels. In California, the CSI’s relatively new solar water heatingincentive of up to $1,875 per installation for residential homes and$500,000 per installation for commercial and multi-family structures ishelping to drive increased interest in solar water heating that we sawbegin in 2010.
Arizona’s market also remains quite strong, with most utilitiesoffering production incentives that can cover up to half of a system’scosts. Look for Arizona to be a leading market by the end of 2011.
So, that’s the full solar hot water Montyfor Q1. Want to read the full executive summary report with the rest ofthe Solar PV and CSP insights? Download it here.
Need more insights on state solar water heating incentives? Check out our recent blog post summarizing recent solar thermal incentive changes around the U.S. since December 2010.