engineering the solar age - Suppliers for Photovoltaics

As in previous years, 2011 has been charged with tension in the photovoltaics industry. In contrast with 2010, the first five months have seen sharp downturns in the major European markets. Some dramatic changes in technology introduction programs in the Czech Republic,

Italy, and France, along with significant cuts taking place in Germany, have led to stock levels rising and massive cuts in production.

In the wake of a huge boom period, this situation first emerged in the inverter sector, followed by the solar module sector. In due course, it took hold of the entire value-added chains, causing a sharp price drop in all product areas, along with all the inherent problems. Having said this, all industry players must realize that hitherto politically driven markets have been largely sustained by government policies. This support will only continue provided that the anticipated reductions in the cost of photovoltaic systems are achieved while efficiency increases.

Countries introducing support measures today will no longer overestimate the required market introduction funds. England is a prime example: Shortly after the onset of a boom in the area of free-standing installations, the country made massive cuts to this industry because the boom simply did not fit the political agenda. The long-term commitment to supporting small and medium-sized roof installations in the UK is pointing the way forward. In markets with feed-in tariffs, this is achieved by continuously cutting tariffs which in turn leads to price reductions.

At the same time, it is precisely the extensive demands for cost-reducing measures from the largest solar market in the world, Germany, that are now used as guidelines in many countries. These demands have literally turned parts of the market upside down. For example, the high costs for land or roofs make products with low-level efficiency difficult to sell even at extremely low prices despite their specific advantages such as excellent temperature behavior under typical German weather conditions. Particularly amorphous thin-film products, which experienced a substantial boom just three years ago, leading to the expansion of production facilities, are now under considerable pressure to adapt.

At the same time, advances in thin-film technology are pointing in the right direction. A rising number of companies are more than capable of offering increasing performance and reliable products at steadily falling production costs. Some thin-film products are already on par with polycrystalline modules, even in terms of efficiency.

In crystalline silicone technology, too, massive growth and major investments have helped to optimize all processes steps along the value-added chain, thus improving cost-effectiveness.

It seems that the technology race is in full swing, with production technology in particular constantly facilitating new developments.

Following market phases where demand exceeded production, there is renewed interest in new production and manufacturing solutions, as well as system solutions. These solutions are simply needed to increase market shares or even just to hold on to them – and, of course, to move forward at lower costs. In the coming years, they will start opening up major global markets without having to rely on the established state funding schemes.

For example, each price reduction allows an increasing number of people in developing countries to purchase a PV installation for the first time. Electricity prices are already less than twelve Euro cents in other sunny countries, provided the available application know-how is employed and the governments are establishing investment security and, even more importantly, legal security. With prices falling, photovoltaics need not shy away from competition in the future. Market researchers are justified in predicting a tenfold increase in the global market over the next decade – although it should be noted that such growth can only happen under the industry’s own steam.

Just as in previous years, this brochure, published for the fifth time thanks to the commitment of our industry partners, tries to contribute to giving the industry this steam. In 2011, we once again completely revised our Industry Guide and brought it up to date with the help of experts.

For the first time, we are publishing the Guide in English only and providing a summary in Chinese and German. This is owed entirely to the extent of globalization of the industry – which we, among others, have always hoped for – and due to the fact that the largest production markets are currently in Chinese-speaking areas.

In addition to providing the standard overview of production equipment and associated service and engineering options in the industry, the aim is to give comprehensive guidance on production and development markets. At the same time, we want to help decision-makers from the financial world, politics, and the press to accurately gage the power of the photovoltaics industry. We also address experts, hoping to encourage new technologies and of course to boost sales for represented companies. We also want to help improve conditions for the entire value-added chain.