With the countries of Chile, Brazil and Mexico forecasted to comprise 70% of the Latin American solar market, the future looks sunny for Concentrated Photovoltaics (CPV) in this part of the world
9th January, London, UK
With small CPV test sites already operating Mexico and Brazil, and with construction of a 1MW CPV plant soon to begin in Chile, the results of CPV performance in the highest DNI regions of the world may do a lot to prove the business case for CPV. The optimal climates in the region have encouraged a less incentivised renewable energy market and Chile. That being said, on Monday 14th January it was announced that a group of Chilean senators have made move to introduce a tender process as a replacement to the current draft law on renewable energy
In Mexico, Chile and brazil it is forecast that the electricity demand will increase and that the number of customers in these countries may also be larger and more varied, with mining companies, industrial sites all looking at solar as providing cheaper electricity than their current non-renewable providers.
Yet taking advantage of the demand and resources is not as simple as in more established CPV and solar markets. This may be where CPV companies struggle to take davtange of the market due to the large investment that a venture in Latin America can require. Larger PV developers and companies with strong financial returns in other regions are better placed to make the strategic investment. However, finding well connected and reliable partner companies in country for development, construction and support services may well be the secret to succeeding in the region, and this may have little to do with how large the business is, or how well-known the technology.
One of the main comments from developers and technology providers has been that as regional banks and investors start to take a long and serious look at solar power, the main challenge solar companies are facing is that of education. Properly educating decision makers in government and banks on solar technology, modelling and financing will be the key to getting funding at better terms. With recent advances in system efficiency and reliability, it may be that in this area of the world CPV companies educate well and create an attractive business case.
At CPV International 2013 (21-22 March, Madrid) the opportunity for CPV in Latin America, particularly Chile will be discussed in-depth including local developers such as EnorChile and international system manufacturers such as Solfocus their lessons learnt and recommendations for companies looking to operate in the area. For more information on the 30+ speaker line-up visit: www.pv-insider.com/cpv
Global Event Director
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