The current pressure in the solar power industry will require some sacrifices in the near future. Mainly small and middle class providers won’t have an easy going time. Reasons are the increasing price competition and the technological progress of the big companies. Also a lot of German providers are affected.

The photovoltaicmarket shows an constant growth. John West from “VLSO Research” considers that a marketgrowth of even 10% is possible. Only in 2010 they put solar power systems with a rated power of 14, 2 GW on stream, worldwide. At the „European Photovoltaic Solar Energy Conference & Exhibition (EU PVSec)“ West announced on the one hand, that moduleprices are expected to decrease, so that a lot of companies won’t survive on the market any longer. On the other hand he spoke about the European market in general.
At the moment especially producers of wafers, cells and modules are affected. However because of the German producers’ advantage in the technological sector, they are still doing well in opposite to other manufacturing countries. In advance of the „EU PVSec“the financial figures of the second quarter 2011 were published. According to these the turnover strongly increased and surpassed the same quarter of last year with 28 percent.
Examples from the branch: The German branch primus “Solarworld” closed his module factory in California. Meanwhile Competitor “Conergy” says, that it would be much more profitable to simply produce modules in its factory in Frankfurt-Oder, than building cells or wafers.
The market research agency “ABI Research” expects that the USA (with 5 GW per year) will outbid Germany (as the worldwide biggest market for new installations of solar energy systems) in 2013.
Another expert from the branch, Tom Murphy (Head of „Investments in erneuerbare Energien bei HG Capital“), does not see an end of the bad market situation. Since 2008 there were too many start-ups who put trust in the solar market. Due to the growing competitor China, the prices got under a enormous pressure. In comparison: In the United States one watt solar energy rated power costs instead of 4,00 $ today only 1,30 $.

















