일반산업
Outlook of Domestic and Overseas Solar Photovoltaic Power Market
2010-10-07AHN, Hey-Yo
목차
요약
Recent Trend of Solar Photovoltaic Power Market
Global solar photovoltaic power market continuously sees high growth with improved
economic feasibility resulting from a global demand increase and a price drop
The solar photovoltaic power industry is expected to see a 127% year-on-year increase in power generation capacity up to 16.6GW with increased support by each government and improved economic feasibility.
As cost competitiveness through the economy of scale recently comes first in the solar photovoltaic power market, global companies have expanded production capacity to GW grade. Accordingly, leading companies with increased production capacity including First Solar, Suntech and Sharp have a stronger dominance in the market.
As the prices of components and raw materials for solar photovoltaic power generation like polysilicon have constantly fallen since the financial crisis, the market will reach grid parity before and after 2015 when solar photovoltaic power unit price becomes same as fossil fuel unit price.
Domestic solar photovoltaic power market is small, but rapidly expanding with
government's policy support
Domestic solar photovoltaic power market is only 5% of the global market, but has significantly grown 135.3% on average on a annual basis for the past five years.
Due to its small market volume compared to production capacity, export accounts for
approximately 60% of the total sales. As global demand for solar photovoltaic power has recently expanded, export volume and export ratio are increasing every year.
There are approximately 200 companies in the market. In areas after solar cell like module and system installation and operation, competitiveness is tougher because more companies join the market.
Value Chain of Solar Photovoltaic Power Industry
The value chain of solar photovoltaic power industry is classified into polysilicon,
ingot/wafer, solar cell, module and power generation system installation and service
Global solar photovoltaic power market is led by Europe, US and China. As the industry has been stabilized, it is recording favorable profitability by value chain.
Meanwhile, as the domestic solar photovoltaic power industry entered into the market late compared to competing nations, the domestic industry is at a competitive disadvantage in technical power and price compared to the global industry.
- While polysilicon and ingot/wafer value chains in Korea are relatively equivalent in
competitive power with competing nations, there is a competitiveness gap between Korea and competing nations in solar cell and module system installation value chains.
Outlook and Solar Photovoltaic Power Market and Its Implications
Global solar photovoltaic power market is expected to continue to grow more than
30% on average on an annual basis between 2010 and 2014
Considering enhanced competitiveness and a significant increase in demand in US and Asian nations except China resulting from a drop in unit price of solar photovoltaic power, the market is expected to grow more than 30% on average on an annual basis.
Accordingly, solar photovoltaic power capacity will increase from 16.6GW in 2010 to approximately 37.3GW in 2014.
Meanwhile, as the technology barrier has been lower and cost competitiveness has been emerged as a key factor, China's influence will increase in the global market. US will also increase its market share with government's policy support and a growth of thin film solar cell.
As domestic solar photovoltaic power market continues to expand, the market is
expected to be reorganized by large companies
As RPS is introduced in 2010, a certain amount of solar photovoltaic power should be
generated. Accordingly, solar power distribution will increase and the market will expand.
Amid a rapid increase in solar photovoltaic power and its economic feasibility in the world, more and more large companies enter into the market based on their sufficient money power and technology. Accordingly, the domestic market will secure sufficient money for investment in production facilities in the future and the market will be reorganized by large companies which can achieve vertical integration through their affiliate companies and M&A.
Amid a change in the domestic market structure, financial groups will be able to have
various sales opportunities
Since domestic solar photovoltaic power companies are proceeding with vertical integration to secure competitiveness in the market, they will proceed with M&A and equity investment in domestic and overseas relevant companies. As a result, financial groups will have more IB sales opportunities in the future.
With introduction of RPS in 2010, domestic investment in solar photovoltaic power will increase compared to in the past. In addition, large companies are expected to actively make investment by using their brand premium in order to overcome limitations of small domestic market. Such investment will provide sales opportunities for the corporate banking sector.
Global solar photovoltaic power market continuously sees high growth with improved
economic feasibility resulting from a global demand increase and a price drop
The solar photovoltaic power industry is expected to see a 127% year-on-year increase in power generation capacity up to 16.6GW with increased support by each government and improved economic feasibility.
As cost competitiveness through the economy of scale recently comes first in the solar photovoltaic power market, global companies have expanded production capacity to GW grade. Accordingly, leading companies with increased production capacity including First Solar, Suntech and Sharp have a stronger dominance in the market.
As the prices of components and raw materials for solar photovoltaic power generation like polysilicon have constantly fallen since the financial crisis, the market will reach grid parity before and after 2015 when solar photovoltaic power unit price becomes same as fossil fuel unit price.
Domestic solar photovoltaic power market is small, but rapidly expanding with
government's policy support
Domestic solar photovoltaic power market is only 5% of the global market, but has significantly grown 135.3% on average on a annual basis for the past five years.
Due to its small market volume compared to production capacity, export accounts for
approximately 60% of the total sales. As global demand for solar photovoltaic power has recently expanded, export volume and export ratio are increasing every year.
There are approximately 200 companies in the market. In areas after solar cell like module and system installation and operation, competitiveness is tougher because more companies join the market.
Value Chain of Solar Photovoltaic Power Industry
The value chain of solar photovoltaic power industry is classified into polysilicon,
ingot/wafer, solar cell, module and power generation system installation and service
Global solar photovoltaic power market is led by Europe, US and China. As the industry has been stabilized, it is recording favorable profitability by value chain.
Meanwhile, as the domestic solar photovoltaic power industry entered into the market late compared to competing nations, the domestic industry is at a competitive disadvantage in technical power and price compared to the global industry.
- While polysilicon and ingot/wafer value chains in Korea are relatively equivalent in
competitive power with competing nations, there is a competitiveness gap between Korea and competing nations in solar cell and module system installation value chains.
Outlook and Solar Photovoltaic Power Market and Its Implications
Global solar photovoltaic power market is expected to continue to grow more than
30% on average on an annual basis between 2010 and 2014
Considering enhanced competitiveness and a significant increase in demand in US and Asian nations except China resulting from a drop in unit price of solar photovoltaic power, the market is expected to grow more than 30% on average on an annual basis.
Accordingly, solar photovoltaic power capacity will increase from 16.6GW in 2010 to approximately 37.3GW in 2014.
Meanwhile, as the technology barrier has been lower and cost competitiveness has been emerged as a key factor, China's influence will increase in the global market. US will also increase its market share with government's policy support and a growth of thin film solar cell.
As domestic solar photovoltaic power market continues to expand, the market is
expected to be reorganized by large companies
As RPS is introduced in 2010, a certain amount of solar photovoltaic power should be
generated. Accordingly, solar power distribution will increase and the market will expand.
Amid a rapid increase in solar photovoltaic power and its economic feasibility in the world, more and more large companies enter into the market based on their sufficient money power and technology. Accordingly, the domestic market will secure sufficient money for investment in production facilities in the future and the market will be reorganized by large companies which can achieve vertical integration through their affiliate companies and M&A.
Amid a change in the domestic market structure, financial groups will be able to have
various sales opportunities
Since domestic solar photovoltaic power companies are proceeding with vertical integration to secure competitiveness in the market, they will proceed with M&A and equity investment in domestic and overseas relevant companies. As a result, financial groups will have more IB sales opportunities in the future.
With introduction of RPS in 2010, domestic investment in solar photovoltaic power will increase compared to in the past. In addition, large companies are expected to actively make investment by using their brand premium in order to overcome limitations of small domestic market. Such investment will provide sales opportunities for the corporate banking sector.