Who Needs Subsidies? Solar Industry Doing Fine Without Them
Lux Research announced this week that it expects solar installations will grow to 38.3 GW by 2017 as the solar market goes global.
After posting an incredible growth of 66% to 26.5 GW in 2011, Lux expects installations to momentarily stall this year at 26.9 GW. However, as the industry learns how to navigate the global market that’s losing its subsidies, growth will no longer be an issue.
Lux Research analyst Matthew Feinstein said of the solar industry without subsidies, “Opportunities remain and extended success is possible for stakeholders, but the market’s shifting geographic profile—combined with a forced withdrawal from subsidy addiction—means strategic, surgical moves are needed.”
In addition, other Lux analysts ran a levelized cost of energy (LCOE) analysis in 156 different locations, which accounts for more than 82% of the world’s population. This analysis calculated internal rates of return to determine how feasible solar energy is in a given area. All of this data is fed into the Lux Research Solar Demand Forecaster. Lux’s conclusions were as follows:
- Emerging markets more than quadruple in size. These markets will prove to be a battleground for suppliers with growth projected to rise from 1 GW in 2011 to 4.5 GW in 2017. Africa and South America will takeover in 2017 to 2022 as they quickly progress towards 1 GW.
- Utility-scale application segment grows. Large emerging markets like China will gain substantial utility-scale installations, helping to push the sector from 6.3 GW in 2011 to 13.8 GW in 2017.
- Securitization boosts smaller installations. In the US, both residential and commercial markets have seen a growth in asset-baked securities small-scale segments. This type of securitization has been tested by Wells Fargo in New Jersey and only figures to grow in 2012 and 2013, especially when the big banks like Citigroup hop onboard.
Solar Market Soars Without Subsidies! originally appeared in Green Chip Stocks. Green Chip Review is a free 2x-per-week newsletter, is the first advisory to focus exclusively on investments in alternative and renewable energies.
Green Chip Stocks Editors & Contributors Jeff Siegel Jeff Siegel is the managing editor of Green Chip Stocks, an independent investment research service that focuses exclusively on renewable energy and organic and natural food markets. Nick Hodge One of the bright young minds in today's cleantech industry, Nick is putting his knowledge of nascent green markets to use in several ways... Nick is the co-author of a best-selling book and has interviewed dozens of times for TV and Web; his keen insight, uncanny foresight, and global contacts have led to double- and triple-digit wins for his readers, time after time.
Search 26k+ Solar Articles
- Converting Waste Heat Into Electricity Through Osmosis
- The Solar Canals of India
- In Focus: Sustainable Base
- New CPV Efficiency Record for Amonix
- Toyota Prius to be Replaced?
- Securitization and Renewable Energy
- The All-Electric Fiat 500e
- The Energy Supercomputer
- A Breakthrough or Just Another PV Module?
- Bloom Energy Sees Revenue Drop in Q1
- Catching Photosynthesis in the Act
- Top 5 Ways The U.S Military is Utililizing Renewable Energy