The global solar PV market is set to increase nearly 70 GW in 2016, reaching 294.69 GW, led by China, according to research and consulting firm GlobalData.
A new report from GlobalData investigating the global solar PV market concluded that capacity will increase from around 225 GW in 2015 to 294.69 GW by the end of 2016, a difference of nearly 70 GW. Unsurprisingly, China led the way, with a strong first half of the year.
Whether GlobalData is simply more conservative in its estimates, or lack the resources of other analyst firms, its latest report fails to match up to the recent report published by Mercom Capital Group detailing solar installations in 2016. Mercom claimed that global solar installations will reach 76 GW in 2016, up 48% over 2015’s levels. Further, Mercom predicts that China will end the year with 30 GW of new installed capacity, thanks to a strong first half of the year as developers rushed to complete projects before the country’s Feed-in Tariff cuts set for June were enacted.
GlobalData, on the other hand, has less information about 2016 for China. GlobalData claims that its new figures show China installed 15.13 GW of new solar PV capacity in 2015, bringing the country’s cumulative capacity up to 43.48 GW by the end of the year, representing a 13-fold growth since 2011. Ankit Mathur, GlobalData’s Practice Head covering Power, adds that,
“In the first quarter of 2016, China added a total of 7.14 GW of PV capacity, of which 6.17 GW accounted for solar PV power plants, and 970 Megawatts (MW) for distributed PV. The installation can be attributed to the country’s efforts to boost green energy and adjust the energy mix dominated by coal.
“In the first half of 2016, a rush of solar PV installations was witnessed, as PV power projects which were connected to the electricity grid prior to June 30, 2016 will be entitled to reap benefits from higher 2015 solar feed-in tariffs. Indeed, China witnessed increased solar growth due to rising demand across the region ahead of the subsidy policy adjustment.”
So while GlobalData’s report appears to be a lot of old news, it nevertheless speaks strongly to China’s intentions to grow a solid and strong solar PV industry. China’s Government is aiming to strengthen the country’s energy development, while also improving the competitiveness of the energy industry through a set of measures and targets.
“The new solar PV installation tariffs and distributed PV electricity price subsidy standards will reduce gradually over time in order to promote scientific and technological development and efficiency, and improve the market competitiveness of PV power generation,” Mathur concludes.