With the recent multi-year extension of the investment tax credit (ITC) in the United States, photovoltaic (PV) installations are predicted to grow 60 percent year over year, reaching 15 gigawatts (GW) in 2016. PV installations in the U.S. will reach record levels in 2016, primarily due to strong demand for utility-scale PV.
ENGLEWOOD, Colo. (February 2, 2016) - UPDATED: With the recent multi-year extension of the investment tax credit (ITC) in the United States, photovoltaic (PV) installations are predicted to grow 60 percent year over year, reaching 15 gigawatts (GW) in 2016. PV installations in the U.S. will reach record levels in 2016, primarily due to strong demand for utility-scale PV. The Western and Southwestern U.S. will account for the majority (65 percent) of total demand this year, according to IHS Inc. (NYSE: IHS), the leading global source of critical information and insight."
The United States currently has a 50 GW pipeline of commercial and utility-scale PV projects from 2016 to 2019, according to the IHS Solar Intelligence Service - North America. While all market segments are expected to benefit from the ITC extension, utility-scale PV will benefit most and account for over half of newly added capacity from 2016 to 2019. "Residential and commercial PV will experience sustained growth through the forecast period," Barati said, "but mounting pressure from utilities to revise retail net metering rates and the falling cost of large-scale generation will limit growth opportunities in the U.S outside of well-established state markets."
In 2017 the PV market in the United States will decline by 30 percent, due to lower demand for utility-scale PV, but will grow every year through the remainder of the forecast period. The Northeastern U.S. will be the only region in the country that will not experience a decline in 2017, due to a lower reliance on utility-scale PV demand and a higher proportion of residential and commercial PV demand. IHS has identified three U.S. states that are projected to install over 1 GW in 2016: California, Nevada and Texas.
The IHS Solar Intelligence Service - North America provides forecasts and analysis for installed PV capacity, operations and maintenance (O&M) and engineering, procurement, and construction (EPC) coverage, as it tracks and analyzes project activity and balance of system (BOS) suppliers in North America. For information about this service, contact the sales department at IHS in the Americas at +1 844 301-7334 or AmericasLeads@ihs.com; in Europe, Middle East and Africa (EMEA) at +44 1344 328 300 or firstname.lastname@example.org; or Asia-Pacific (APAC) at +604 291 3600 or technology_APAC@ihs.com.
About IHS (www.ihs.com)
IHS (NYSE: IHS) is the leading source of insight, analytics and expertise in critical areas that shape today's business landscape. Businesses and governments in more than 140 countries around the globe rely on the comprehensive content, expert independent analysis and flexible delivery methods of IHS to make high-impact decisions and develop strategies with speed and confidence. IHS has been in business since 1959 and became a publicly traded company on the New York Stock Exchange in 2005. Headquartered in Englewood, Colorado, USA, IHS is committed to sustainable, profitable growth and employs approximately 8,600 people in 32 countries around the world.
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