Global solar PV installations are already growing, but 2022 is set to be a banner year for the growth of solar as a priority in countries around the world. For the first time, experts predict global solar will surpass the 200GW mark.
That prediction would mean 20% growth year over year, supported by roughly $170 billion in public and private investment.
20% growth isn’t a new target, and some believe that the 20% may have been achievable in 2021 if it weren’t for the many delays caused by COVID-19. From supply chain issues to changes in budgeting priorities slowed the solar industry’s progress in 2021.
Supply Chain Challenges Lead to Price Increase
Still, PV solar was one of the few bright spots of 2021, though it certainly brought some challenges. Specifically, supply chain issues caused a sudden increase in PV materials, made more impactful by delaying projects and causing a further backlog.
One of the most important issues of the year was the Chinese energy crisis. With nationwide energy storage to deal with, the government put sweeping restrictions on energy use and halted the export of many petroleum products. It went beyond oil, however, and included energy and labor-intensive materials like silicon, solar glass, and polysilicon. As a result, prices for those materials increased over 200% YoY. Input materials like copper, too, saw a notable price increase and caused increases in most PV products.
Politics and PV Solar in 2022
As is often the case, the success of renewable energy production may come down the policy. China’s energy crisis, the US’s Build Back Better plan, and fluctuations in energy priorities in countries like India and Japan will impact availability, price, and influence levels of both public and private investment.
In the US, at least, there is progress with the Build Back Better plan now passed. The includes important energy grants and rebates for businesses looking to reduce their carbon footprint. PV solar offers one of the most affordable and quickest to implement renewable energy technologies available.
Investing in PV solar and focusing on energy efficiency can allow businesses to be more competitive in any industry. Renewable energy enhances reputation with investors and customers, as well as strengthens ties with both employees and the wider community.
To learn more about PV solar installations at grid-scale and at your scale, contact Keen Technical Solutions today. We offer an in-depth energy audit that can inform your decision on when to level up your energy environment. Talk to a Keen representative today.