Solar panels are in greater supply than demand

How can the solar PV industry support growing demand?

Annual investment levels need to double throughout the supply chain. Critical sectors such as polysilicon, ingots and wafers would attract the majority of investment to support growing demand. The solar PV industry could create 1 300 manufacturing jobs for each gigawatt of production capacity.

Why do solar panels cost more than a utility?

We model these variations in our paper as uncertainty in energy demand and uncertainty in energy supply. Excessive usage of electricity that is beyond the energy generation of the solar panels are bought at a higher price from the utility company than the payment received from the utility company for excess energy sold to the grid.

Why do we need more solar panels?

This is primarily because when the reliability is at a certain level, the solar panels produces sufficient energy to supply to the household even during randomly high demand days. We find that as the daytime energy cost increases, the optimal number of solar panels to procure and install increases.

How has China shaped the global supply and demand of solar PV?

Government policies in China have shaped the global supply, demand and price of solar PV over the last decade. Chinese industrial policies focusing on solar PV as a strategic sector and on growing domestic demand have enabled economies of scale and supported continuous innovation throughout the supply chain.