On-going, significant technological advances from companies such as Solar Junction and Amonix will help drive concentrated photovoltaic (CPV) installations to almost 1.2 GW by 2016
Wellingborough, U.K. (14th November 2012) – On-going, significant technological advances from companies such as Solar Junction and Amonix will help drive concentrated photovoltaic (CPV) installations to almost 1.2 GW by 2016, according to a new report from IMS Research (recently acquired by IHS Inc. (NYSE: IHS)).
The report, The World Market for Concentrated PV (CPV) - 2012, predicts that the cost of a CPV system will decline on average by 16 percent per year until 2016. In parallel to this cost reduction, leading suppliers are also making major technological advancements that will help make CPV more attractive in a number of markets. "With companies such as Solar Junction breaking cell efficiency records and Amonix capable of producing 34.2 percent efficient commercial modules, and focused on driving down system prices, acceptance of CPV as a utility-scale generation method is predicted to accelerate," explained report co-author and IMS Research Analyst Jemma Davies.
Whilst the upfront cost of a CPV system will always remain higher than a conventional PV system, as cell and module efficiencies increase, producing higher electricity yield, the levelized cost of electricity (LCOE) will fall considerably in the target regions for CPV systems (ground mount systems with a direct normal irradiance above 6kWh/m2/day). "It is important to focus less on up-front module prices and more on LCOE and what it means for the PV market. If a CPV system is capable of producing more electricity at a lower cost over its lifetime, surely it should be a viable option for a PV installation," added report co-author and IMS Research Analyst Sam Wilkinson.
According to the report, one of the main issues that CPV suppliers face is the lack of proven and existing CPV systems to prove viability, however one of the most effective ways to prove the suitability of a CPV system is to install pilot systems. Soitec has proven the value of such installations after signing a PPA with Eskom in South Africa for a 44 MW system, which follows from a pilot installation close to the proposed power plant.
These supplier announcements are evidence of the increasing understanding of the benefits CPV systems can provide in the target regions and the potential for this growing market. Whilst only 90 MW are estimated to be installed in 2012, installations are predicted to increase rapidly over the next four years.
IMS Research's report The World Market for Concentrated PV (CPV) – 2012 was published in September and contains forecasts and analysis for this fast growing segment of the PV industry.
About IHS Inc. (www.ihs.com)
IHS (NYSE: IHS) is the leading source of information, insight and analytics in critical areas that shape today's business landscape. Businesses and governments in more than 165 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 long-term, sustainable growth and employs more than 6,000 people in more than 30 countries around the world.
About IMS Research (www.imsresearch.com)
IMS Research, recently acquired by IHS (NYSE: IHS), is a leading supplier of market research and consultancy to over 2500 clients worldwide, including most of the world's largest technology companies. Established in the UK in 1989, IMS Research now has dedicated analyst teams focused on the factory automation, automotive, communications, computer, consumer, display, financial & ID, LED & lighting, medical, power & energy, solar PV, smart grid and security markets. Currently publishing over 350 different syndicated report titles each year, these in-depth publications are used by major electronics and industrial companies to assess market trends, solve marketing problems, and improve the efficiency of their businesses.