Global solar PV installations will hit a record high this year, with 114.5GW of new solar capacity expected to be rolled out compared to around 97GW in 2018, analyst firm Wood MacKenzie said today.
The solar PV market is "now back on a strong growth trajectory" after a relatively sluggish 2018, driven by competitive auctions in Europe, Vietnam, Brazil, and the United Arab Emirates, the firm said.
The slowdown in Chinese deployment - which peaked in 2017 - is not acting as a major drag on the market, said Tom Heggarty, a senior research analyst at Wood Mackenzie. "Global growth will continue despite a gradual slow-down in China, the world's largest PV market," he said. "A move towards more competitive procurement of solar PV will lead to more sustainable annual additions of 30-40GW."
It is expected to be the first time new installations will exceed 100GW in a single year, as the market diversifies from a handful of big players. By 2022 there will be 19 countries installing 1-5GW of solar PV every year, Wood MacKenzie said, up from seven last year.
It also marks a significant uptick in Wood MacKenzie's own forecasts for 2019 - in January it was predicting full year installations would not exceed 103GW.
Growth in Africa's solar market is particularly strong, according to results released today by solar developer Solarcentury. The firm posted pre-profits for the year ending March 31 2019 of £14.4m, a staggering jump of 860 per cent on the previous year.
Solarcentury said the earnings spike was down in part to extensive investment in subsidy-free solar farms in Africa, with the firm involved in off-grid projects for rural communities as well as major solar developments for airports on the continent.
CEO Frans van den Heuvel said he was "delighted" with the results. "Through our focus on global expansion across Europe, Latin America and Africa, we are increasing the accessibility and production of solar power at all scales from homes and commercial and industrial rooftops to solar farms, in our mission to make a meaningful difference in the fight against climate chaos and bring positive power to all."
The firm said its pipeline for future projects now stands at 5GW, adding that it expects profits to double again this year. Five per cent of its profits for the year ending March 31 will go to SolarAid, the firm's charitable arm selling affordable solar lights in Africa.
The strong results are likely to further fuel speculation that the company could seek a buyer, following reports earlier this year that it was exploring a sale auction that could serve to unlock even more ambitious expansion plans.
