Global Installed Solar PV Capacity Rises 7,200 Megawatts in Year

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Researched by Industrial Info Resources (Sugar Land, Texas)--Newly released data from the European Photovoltaic Industry Association (Brussels, Belgium) shows that the world's total installed photovoltaic (PV) capacity touched 22,000 megawatts (MW) in 2009, which was a registered growth of 7,200 MW (15%) above 2008 levels. This data differs marginally from EPIA's previous March report, which pegged the total global increase in installed PV capacity at 6,400 MW, and reports the actual increase to be the world's largest ever.

The numbers also indicated that the total growth in cumulative global installed power capacity was about 45%, breaching 22,000 MW. Additionally, the report forecasts that the installed PV capacity worldwide is expected to increase by a minimum of 50% in the current fiscal year, while the yearly increase may touch 15%.

Geographically, EPIA expects solar energy demand as a whole to be stable and similar in most regions worldwide, and although Europe will continue to blaze the solar PV trail, the U.S. and Japan are fast emerging as strong contenders in the PV market.

In 2009, Germany forged ahead as the PV market leader, as expected. In fact, the fresh German PV capacity grew to 3,800 MW in 2009, over 2,000 MW the year before. This accounted for about 52% of the global PV market.

In Italy, the total new installed PV capacity breached 720 MW in 2009, up from 338 MW year-over-year.

Europe, as a whole, witnessed a significant increase in installed PV capacity. For example, Belgium and the Czech Republic's new PV capacities rose to 292 MW and 411 MW, respectively. Meanwhile, France saw its fresh installed PV capacity reach 185 MW in 2009. According to EPIA figures, France has an additional installed capacity of 100 MW in the pipeline, but not connected to the national electricity grid as yet.

Looking outwards, EPIA noted that Japan's new installed PV capacity stood at 484 MW, while American capacity touched 477 MW. The new capacity for the U.S. included the off-grid applications, accounting for 40 MW.

According to sources, India's current PV capacity is a little more than 400 MW for PV cells and 1,000 MW for PV modules. Industry observers believe that by the end of the current fiscal year, India's installed PV cell and module capacities will breach 750 MW and 1,250 MW, respectively. According to reports, the Indian PV industry focuses on off-grid solar PV applications, in contrast to the global practice of concentrating on grid-connected applications. India's existing solar power capacity is about 9,500 MW, but practically all of it is off-grid.

Meanwhile, the past five years have witnessed China make significant progress in the PV industry and global solar-cell production. As of today, China's capacity of solar PV cells stands at 2,500 MW, much more than India's 400 MW capacity. Another emerging competitor for the Indian market is Taiwan, with a yearly solar PV capacity of 800 MW.

While some leading industry sources bullishly believe that Germany's total installed PV capacity could rise to 5,000 MW in 2010, EPIA forecasts see Germany's PV capacity to touch 4,500 MW this year. The market continues to observe the German PV industry closely as the solar subsidies, set to be slashed from July, will spur increased demand from buyers who want to make full use of the subsidies before they are reduced. However, EPIA warns, "a substantial decrease could jeopardize the development of the German industry, shifting the market to non-European, low-cost manufacturers and destroying jobs by the thousands in the German industry."

Generally, EPIA categorizes its forecasts according to what it calls a "moderate scenario," assuming static market scenarios, and "policy driven," spurred by any good development in the industry.

The Obama administration's increase in renewable energy spending could propel the U.S. to an installed PV capacity of 600 MW this year and 3,000 MW in 2014. In the policy-driven category, the American market could become the world leader in solar energy by 2014, with installed PV capacity reaching 6,000 MW that year, far surpassing Germany's expected 5,500 MW.

EPIA's forecasts for the U.K.'s PV capacity are not very flattering, with the British PV market expected to see new installations worth 20 to 40 MW in 2010, in a moderate analysis scenario. However, some research companies peg the U.K.'s capacity to touch 100 MW in 2010.

Meanwhile, the global PV sector is expected to balloon by nearly 13,000 MW this year, which is a 60% growth since 2009. In all probability, Germany will continue to occupy the top position until 2014.

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