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From the Editor Photo: pv magazine/Frank Stolle New ways forward, as things stay the same th It was hard to miss. At the entrance to Hall A1 at the 26 Inter- solar Europe last month in Munich, an empty space greeted vis- itors. It was where the SolarWorld AG booth was to be. The Ger- pv magazine’s Jonathan Gifford with GTM Research’s Benjamin Attia in man company’s booth had been a mainstay at Europe’s largest the space that was to be the SolarWorld AG booth at Intersolar Europe last solar event for something like 20 years, and its absence stood in month in Munich. silent testimony as to the travails of many European solar indus- try players in recent years. It also, in a way, spoke to the lack of As an unintended consequence, the surge to acquire modules efficacy of solar trade barriers and disputes. in a short period of time is now driving up prices (pp. 12 – 13). The expectation previously was that prices would decline in “We’ve found that in almost every situation at least to date, that H2 2017, after a downward revision of Chinese subsidy pro- they’ve [solar trade barriers] been almost entirely ineffective grams. It now seems that production overcapacity, in the short [in protecting the manufacturers that launched them],” said term at least, looks unlikely – particularly for tier-1 players GTM Research’s Benjamin Attia. In the wake of the Suniva (pp. 64 – 67). This all paints a downbeat picture of the U.S. solar solar trade investigation currently underway in the U.S., now market, especially since signals from the residential sector in joined by SolarWorld Americas, Attia and the GTM team car- H1 2017 have been anything but positive (pp. 16 – 19). ried out research into trade barriers within solar. “In Europe, we’ve seen a closure of domestic manufacturing for the most Despite this, negativity is not long a feature of the global solar part,” Attia continued. “Imports from China shifted to become landscape. Even at Intersolar Europe, and given the battering imports from Southeast Asia, and in the U.S. we’ve seen a col- some markets have taken, expanded floor space, visitor num- lapse of domestic manufacturing as well.” bers, and ever-increasing diversification brought with it cause for optimism. With fast-emerging markets in Latin America The pervasiveness of such interventions, whether in the form (pp. 28 – 30) and Africa (pp. 44 – 47), and the growth in previ- of barriers or domestic content provisions, was another finding ously underperforming market segments such as utility-scale of the GTM analysis. Attia reported that around 40% of fore- in Australia (pp. 33 – 34), there are always reasons to be cheer- cast global PV market demand in 2017 will be affected by one or ful if you take a bigger-picture view. another market-distorting mechanisms imposed on it by regu- lators and governments. Convergence was also a major theme in Munich this year, and the energy surrounding the storage sector was palpable. Mer- One impact of such measures is to add uncertainty and insta- cedes-Benz Energy, Solarwatt, Senec, and sonnen all went to bility to markets. Like sudden changes to feed-in tariffs or other great lengths to demonstrate their stellar prospects, and the link incentive programs in the past, hard deadlines for duties and between storage and e-mobility (pp. 82 – 86) was apparent. The other measures can lead to a surge in imports and installations, thrust of European utilities into PV was also clear (pp. 40 – 43). only for them to fall away suddenly after a set date determined by regulators or administrators. Storage features heavily in the North America installment of the Array Changing Technologies award and feature In the crucial U.S. solar market, currently the world’s second (pp. 48 – 57). And like trade barriers, which we know all too largest after stellar installation growth in 2016, these effects are well, the top-ranked finalist in the award in this edition is a being acutely felt by market participants. The Suniva dispute technology that is far from being new – a new take on the fly- is causing developers to rush to secure modules, and projects wheel from the company Amber Kinetics. On the level of cell beyond the anticipated September deadline – after which the technology, this edition also features an efficiency-boosting initial ruling on the trade submission will be made – are being approach that is far from new, but back into vogue: selective paused until more clarity over future pricing becomes apparent. emitter cell architecture (pp. 58 – 61). But perhaps that is the nature of innovation: incremental at times, radical at others. “The U.S. market was projected to decline, and now we are con- Whichever it is, if it relates to the fast world of solar PV and stor- fident it will decline [in 2017],” says Edurne Zoco, the Research age technologies, pv magazine will be covering it. Director, Solar & Energy Storage at IHS Markit. “After October there is no visibility, and project developers are reporting that Jonathan Gifford development of new projects has largely stopped.” Editor in Chief 07 / 2017 | www.pv-magazine.com 1

Contents Photo: Vinyasun Photo: Array Technologies 16 U.S. residential turmoil 34 Tracker survey Relentless growth in the U.S. Tracking the remarkable growth of home solar market appears to have solar trackers, with a close look at reached its apex. So what’s next? the fast-growth markets. Contents 07 / 2017 Markets & Trends Applications & Installations 5 News 34 Tracker survey: Solar tracker tech- 10 Stock index: Stocks rise as China’s nology is beginning to blanket new H2 slowdown appears less drastic and established utility-scale mar- than once feared. kets, pv magazine’s latest data. 12 pvXchange module price index: 40 Blue is the new black: As the Price wars, shortages, and the ever- onrushing solar tide shakes growing influence of storage shape the foundations of old central- the month. ized energy structures, utilities in 14 An own goal?: A warning shot from Europe are riding the waves. history as SolarWorld and Suniva 44 Off-grid Nigeria: How solar can face insolvency. reach the West African nation’s mil- 16 U.S. residential turmoil: Is it a case lions of unelectrified citizens. of too much, too soon for residential PV in the U.S.? 20 Midwest solar: The U.S. region for- Industry & Suppliers merly famed for heavy industry is adopting the light touch of solar. 48 Array Changing Tech: Part two 24 Local government: Andreas Luecke ventures Stateside to assess some of of The Solar Foundation explains solar’s most exciting innovations. how local communities hold the cards for the future of U.S. PV. 28 Havana solar revolution: As Cuba turns to renewables, solar gets its chance to shine. 32 PV power plants Australia: Long delayed large-scale: See how solar Down Under is booming at a glance. 2 07 / 2017 | www.pv-magazine.com



Contents Photo: 5B Photo: Josephine Thomas/Christie Walk 48 Array Changing Tech 74 Right to sunshine The final installment of the pv magazine two-part series turns its attentions to When an eco-friendly commu- the latest innovations in the downstream segment being unveiled for the U.S. nity saw its PV array threatened by market or by U.S. companies, ranked and reviewed by our expert Array Chang- building plans, they took action. ing Technologies jury. Industry & Suppliers Financial & Legal Affairs 58 Selective emitters: Having fallen 70 Chinese delisting: Will Trina out of fashion in recent years, selec- Solar’s decision to delist from the tive emitter architectures are find- NYSE trigger a Chinese exodus ing a new audience as lasers begin to from Wall Street? deliver a solar technology blast from 74 Right to sunshine: The interesting the past. case of an Australian community 62 New solar trade war: What could fighting for their right to have their the implications of the expected PV array unshaded. Section 201 petition be on the global PV supply chain? Storage & Smart Grids 64 c-Si ranking: Compiled with IHS Markit data, pv magazine ranks 78 Lithium-ion fire safety: Not all lith- the world’s leading c-Si module ium-ion batteries are created equal, suppliers. and as such, fire safety thresholds 68 Cleantech startups: Europe’s evolv- differ. ing role in the global PV landscape 82 E-mobility in China: Solar PV and sees startup culture embraced. electric vehicles are close cousins, and nowhere more so than in China. Service 88 R&D news 90 Event news 92 On the road with pv magazine 94 Advertisement overview 96 Preview and imprint 4 07 / 2017 | www.pv-magazine.com

News Photo: Gage Skidmore/Flickr Trump walks away from Paris Agreement, but he’s walking alone U.S. President Donald J. Trump pulled pick up the slack that will no doubt be cre- get slashes funding to vital solar research out of the Paris Accord on Climate ated when the U.S. leaves the agreement. entities and laboratories. In a letter to Change on June 1, revealing that he does More broadly, however, the President’s several congressional committees, lead- not believe climate change is a threat to decision sends the message to the rest ers across the U.S. economy are practi- the planet and signaling the rest of the of the world that the country cannot cally begging Congress not to implement world they will have to go it alone. be trusted to honor its treaty commit- them. Trump’s appointments to agencies like ments, no longer believes in science, Since the budget is currently only pro- the Environmental Protection Agency and will make broad policy determina- posed and has not been passed by either (EPA) and the Department of Energy tions based solely on domestic political house of Congress – and hasn’t even made (DOE) foreshadowed this decision, as concerns rather than paying attention to it out of committee – the letter comes at a did the President’s repeated declarations their larger implications. critical time in the process, when the cuts on Twitter and the campaign trail that Trump made a promise to his voters more can still be stopped. he believed climate change was a Chi- than a year ago that he would “cancel” And the heavyweights who signed the nese hoax designed to destroy the U.S. the accord. letter are not just your run-of-the-mill economy. Combined with his executive orders environmental activists. In fact, far from But after the G7 Summit with European designed to undo former president it – companies as varied as defense con- leaders, during which reports say the Barack Obama’s climate change agenda, tractor Lockheed Martin, Shell Oil, and leaders pressured Trump to stay in the including removing any mention of cli- chemical giant DuPont, along with three accord, there was a vain hope the Presi- mate change from the EPA’s website, U.S. utilities are doing the asking. dent might have been persuaded to stay it is clear the administration does not The letter was sent to the chairs and rank- in the agreement, signed by 200 countries believe the 97% of climate scientists who ing members of the Senate and House in an unprecedented attempt to stop cli- have said anthropogenic climate change Budget committees, as well as the Senate mate change from destroying the Earth. is real, nor the other world leaders who Energy and Water Development Appro- Such hope was clearly misplaced. believe it is as well. priations Subcommittee and the House For the wider solar industry, pulling out He has ceded international leadership Energy and Water Development, and of the Paris Accord will have little to no on climate change to the Europeans and Related Agencies Subcommittee, and impact. even China who, despite the “hoax” they began with a strong statement about how Solar’s momentum, which continues to created, seem to believe it is real and are important the research is. gather steam in the U.S. despite having working overtime to combat it. It seems After discussing the number of jobs gen- an administration clearly hostile to it, an odd way to, in his words, “make Amer- erated by the research coming out of almost makes its continued growth inev- ica great again,” especially considering these programs, the leaders wrote: “Fed- itable (unless an international solar trade the effect this decision will have on U.S. eral investments at crucial stages in the war is joined, which unfortunately cannot relationships with the country’s Euro- innovation cycles provide essential sup- be ruled out officially until September 22 pean allies. port to private sector efforts in develop- – make sure to circle that date on the cal- ing energy technologies and resources endar if you care the least bit for the solar Turmoil at home we can export to meet these needs, tech- industry). To make matters worse, a few weeks nologies that boost our competitiveness And while the President’s decision has after Trump’s Paris retreat the President by keeping America at the forefront of international implications, it should not proposed devastating cuts to the U.S. global energy technology research. affect the international solar industry Department of Energy and its related “Importantly, programs like ARPA- either. In fact, it might even accelerate research arms – prompting 14 industry E provide a blueprint for smart federal solar’s development in many global mar- heavyweights to implore congress not to investments in high risk, high reward kets, given that other countries must now implement the cuts. The proposed bud- technologies.” 07 / 2017 | www.pv-magazine.com 5





News pv magazine news roundup The most important solar stories and eye-catching headlines from the past four weeks India hits 57.5 GW of renewable capacity 480 MW of PV systems were newly installed, which is 64% As of April 2017, India boasted 57.472 GW of installed renew- higher than in the previous year. able capacity, according to data from the Ministry of New and “Solar power from home or commercial rooftops is already Renewable Energy (MNRE) collated by Mercom Capital Group. available for half the price of regional supply tariffs,” said This figure accounts for 17.4% of the country’s total energy Carsten Körnig, CEO of BSW-Solar. “At utility scale, solar production. power in Germany can already be generated for about India’s overall installed generation capacity reached 329.4 GW, €0.06/kWh (US$0.07). Therefore the price-performance ratio with renewables’ 57.472 GW constituting a significant increase of solar power is on a par with new conventional power plants.” on February’s statistics, when the figure stood at around 50 GW. The fall in prices for PV systems started in the second half of In India’s renewables mix, solar took a 21.8% share with 2016, but prices for battery storage have been steadily declin- 12.5 GW, placing it second after wind power, which accounted ing for years. According to BSW-Solar’s price index, the aver- for 56.2% with as much as 32.3 GW. age cost for PV home storage systems decreased by 40% over However, solar is unparalleled in terms of the pace of instal- the past four years, while commercial storage systems showed lation growth. In April 2017, it reached 3.8% of total installed a sharp drop in prices of up to 50% in the same period. capacity, up from 2.23% in April 2016. The surge in installations comes on the wings of the rapidly falling solar tariffs, including Australian state opens 400 MW RE auction the current record low of INR 2.44/kWh (US$0.037) accepted The government of the Australian state of Queensland has Photo: Knut-Erik Helle/Flickr Photo: Aardvark Ethel/Flickr in the 500 MW Bhadla Phase-III Solar Park auction, success- revealed plans to launch reverse auctions this year for as fully putting thermal behind solar on costs. much as 400 MW of renewable energy capacity, in addition to Although the country’s state utility National Thermal Power 100 MW of energy storage systems, as part of a new AU$1.16 bil- Corporation has showed itself to be the principle supporter of lion (US$873.2 million) investment. the government’s green energy agenda, India’s coal-fired fleet The package includes AU$150 million to back the construction remains strong with a 59% share in the total energy mix, but of a 500 km transmission line between Townsville and Cairns, with no signs of growth on the February stats when it accounted in order to facilitate the development of a regional clean energy for 60.1%. hub. “New transmission infrastructure in North Queensland could unlock around [2 GW] of new renewable projects and Solar PV hits 12.3% of generation in Germany support up to 4,600 jobs,” the state authorities said. A record-breaking 5.57 TWh of solar power was produced by The plans sets aside AU$770 million to cap consumer electric- PV systems installed in Germany in May. Based on data from ity prices, partly by covering the cost of incentives under the the Fraunhofer Institute for Solar Energy Systems (ISE), the Solar Bonus Scheme. German Solar Industry Association (BSW-Solar) reported that In late May, the state government revealed a plan to roughly this is equivalent to a share of 12.3% in net electricity genera- halve an unexpected jump in regional electricity prices, partly tion. Over the same period, nuclear power plants in Germany by dropping surcharges on electricity bills to cover the state’s produced around 5.65 TWh, which is about 12.5% of power solar feed-in tariff, which it aims to do until at least the end of generation. the decade. According to BSW-Solar, this performance accompanied “Recent supply and demand shocks have led to unprecedented decreasing prices and at the same time increasing demand for increases in wholesale energy prices in Queensland and across PV and storage systems. Between January and April around the National Electricity Market,” the government said. 8 07 / 2017 | www.pv-magazine.com

News Roughly 1.7 GW of rooftop PV has been installed in Queensland, The new offer, named Notre Soleil & Nous, will add to the sim- in addition to 700 MW of large-scale renewable capacity, ilar existing offer for residential customers Mon Soleil & Moi, according to government figures. which EDF ENR launched in the previous months. Approximately 1.2 GW of large-scale projects have gone into Both offers are expected to take advantage of the new regula- development at 17 locations in the state since early 2016, includ- tion for self-consumption recently introduced by the French ing the 135 MW Ross River array and a 50 MW installation near government. the town of Kidston. EDF said it currently owns around 12% of the self-consumption market for individual homes. “The development of self-con- US$500 million solar package approved in Egypt sumption is a significant challenge for energy transition and The European Bank for Reconstruction and Development contributes to the advent of new decentralized consumption (EBRD) announced that its board of directors has approved a methods. This is an important area of development for the EDF US$500 million credit facility to finance 13 large-scale PV proj- Group, which offers its customers increasingly innovative and ects in Egypt. personalized products and services within the context of its Cap The EBRD said the 13 projects are part of a portfolio of 16 solar 2030 strategy,” said Antoine Cahuzac, the CEO of the compa- projects with combined capacity of 750 MW, which will all be ny’s renewable energy unit EDF Energies Nouvelles. located close to Benban, in Egypt’s northern Aswan region. All Under France’s new rules for self-consumption, community the plants are being built under the country’s FIT scheme for solar projects may not exceed 100 kW. Photo: EDF Energy Photo: large-scale solar and renewables. JA Solar CEO in reverse takeover bid “We have been working with the Egyptian authorities since 2014 Chinese vertically integrated solar company JA Solar has to help them fulfill their ambitious goals in this area. We are received a non-binding proposal to acquire the company out- delighted now to be in a position to commit very significant right from its Chairperson and CEO, Baofang Jin. financing to projects, which we expect to start construction In a press release issued today, JA Solar confirmed a takeover before the end of 2017,” said the head of Power and Energy at bid by Jin and Jinglong Group – the company founded by Jin the EBRD Harry Boyd-Carpenter. and headquartered in the British Virgin Islands. This is the sec- In December 2015 the EBRD announced its plan to allocate ond such attempt by Jin to acquire JA Solar, having first lodged US$500 million in funding for Egypt’s fledgling solar energy a US$489 million takeover bid almost exactly two years ago, program, which is targeting the installation of 2 GW of PV on June 8, 2015. capacity over the next few years. On that occasion, a special committee was set up to evaluate the At the time, the bank said it was hopeful that its initial tranche deal, which many believed would enable the firm to first go pri- of financing can trigger further debt and equity investment vate before listing on domestic stock exchanges in China, either from financiers to the tune of around US$1.5 billion. in Shanghai or Shenzhen. The special committee will once again be pressed into action EDF promotes French community solar by JA Solar to consider the proposal by Jin and Jinglong Group French energy giant Electricité de France (EDF) announced that to pay US$6.80 in cash per American depository share. This its solar and renewable energy subsidiary EDF ENR will start equates to around US$1.36 per ordinary share. offering solar solutions for joint-ownership associations, hous- JA Solar stressed that no decision had been made by the board ing associations, and all types of vertical housing groups that or the special committee on whether the bid would be accepted. are interested in producing their own electricity. So far in 2017, JA Solar shares have gained 34%. 07 / 2017 | www.pv-magazine.com 9

Markets & Trends | Stock Price Index The tides of the heavyweights Stock price index: The feared H2 slowdown in China may not be as drastic as anticipated, and regressive U.S. policy cannot halt the march of solar.. For the last four week period covered in Guggenheim Solar ETF (TAN) Holdings this column (May 15 to June 12), solar stocks outperformed the U.S. broader 20% 20% index. The Guggenheim Solar ETF S&P 500 (TAN) gained +1.9% compared to the Russell 2000 Graphic: pv magazine/Harald Schütt S&P 500 (+1.6%), Dow Jones (+1.6%), 15% Guggenheim Solar ETF 15% and Russell 2000 (+2.6%). In the preced- Source: Roth Capital ing month (April 17 to May 12) the TAN gained +4.8% compared to the S&P 500 10% 10% (+2.7%), Dow Jones (+2.2%), and Rus- sell 2000 (+2.8%). Solar stocks have been on the rise given that the expected sec- 5% 5% ond half demand in China may not be as weak as previously expected, as well as 0% 0% the fact that there is a technology upgrade cycle underway that may weed out obso- lete capacity. The top gainers were solar – 5% – 5% equipment companies. Investor interest in solar equipment companies is high given the capex upgrade cycle underway – 10% – 10% for PERC and PERT. This comes on the 12.30.16 January February March April 6.12.17 heels of the discussion around the Top Runner program in China, in which the Month close price % change % change National Energy Administration (NEA) Company Ticker (June 12, 2017) (5/15–6/12, 2017) year to date has higher efficiency requirements for Meyer Burger Technology AG SWX:MBTN 1.16 CHF + 34.9% + 73.1% multi and mono. The largest declines Vivint Solar, Inc. NYSE:VSLR 3.35 USD + 21.8% + 31.4% were upstream companies on the back of Amtech Systems, Inc. NasdaqGS:ASYS 8.71 USD + 12.4% + 104.9% the Section 201. Sunrun Inc. NasdaqGS:RUN 5.44 USD + 11.7% + 2.4% Despite outrage from the cleantech Sunworks, Inc. NasdaqCM:SUNW 1.66 USD + 11.4% – 17.0% community, the U.S. withdrawal from SunPower Corporation NasdaqGS:SPWR 7.93 USD + 11.1% + 20.0% the Paris climate accord did not have any SMA Solar Technology AG XTRA:S92 26.13 EUR + 11.0% + 4.0% effect on solar stocks. Since the news, the SolarEdge Technologies, Inc. NasdaqGS:SEDG 19.05 USD + 7.9% + 53.6% Guggenheim Solar ETF gained ~1% (as of Sino-American Silicon Products Inc. GTSM:5483 46.50 TWD + 7.0% + 39.2% June 13, 2017). Despite the ebb and flow Atlantica Yield plc NasdaqGS:ABY 21.20 USD + 6.6% + 9.6% of U.S. and global policy, the technology AU Optronics Corp. TSEC:2409 12.20 TWD + 6.1% + 3.4% improvements and resulting cost down JinkoSolar Holding Co., Ltd. NYSE:JKS 18.20 USD + 5.3% + 19.5% of solar, wind, and storage is unstoppa- Danen Technology Corp. TSEC:3686 6.90 TWD + 5.2% – 4.3% ble and thus green and sustainable elec- TerraForm Global, Inc. NasdaqGS:GLBL 4.95 USD + 4.2% + 25.3% trons will soon be the lowest cost energy Hannon Armstrong S. I. Cap., Inc. NYSE:HASI 23.12 USD + 3.9% + 21.7% source. With technology out of the box, Neo Solar Power Corp. TSEC:3576 14.05 TWD + 3.7% – 7.0% the debate should revolve around how E-Ton Solar Tech Co., Ltd. GTSM:3452 9.10 TWD + 3.3% – 0.3% best to monetize a new energy economy. Shunfeng International Clean Energy Ltd. SEHK:1165 0.49 HKD + 1.0% 0.0% Lowering corporate tax rates to spur 8point3 Energy Partners LP NasdaqGS:CAFD 13.65 USD + 1.0% + 5.2% manufacturing, settling inefficient trade First Solar, Inc. NasdaqGS:FSLR 36.40 USD + 0.1% + 13.4% disputes, and focusing on U.S. job cre- Tainergy Tech Co., Ltd. TSEC:4934 12.70 TWD 0.0% – 12.1% ation can be something all can agree on. Green Energy Technology Inc. TSEC:3519 15.15 TWD – 0.7% – 5.9% Also, despite the U.S. lack of support for TerraForm Power, Inc. NasdaqGS:TERP 12.04 USD – 1.3% – 6.0% Paris, several states have already adopted Motech Industries, Inc. GTSM:6244 24.95 TWD – 1.4% – 11.8% carbon reduction targets, and companies Solartech Energy Corp. TSEC:3561 12.70 TWD – 1.6% – 15.9% recognize that eco is good business. S Information upon which this material has been compiled by pv magazine and is based was obtained from sources believed to be reliable but has not been verified. Additional information is available upon request. Jesse Pichel, ROTH Capital Partners 10 07 / 2017 | www.pv-magazine.com



Markets & Trends | Module Price Index The air is getting thin Module Price Index: A shortage in high capacity modules is evident, but we won’t let that spoil the mood! Prices have stayed stable after Intersolar Europe. Even after the largest European solar pvXchange: EU spot market module prices industry trade fair, Intersolar Europe 2017, took place in Munich, prices for all 0.80 €/Wp €/Wp 0.80 regions of origin and technologies have remained largely stable. The feared short- Graphic: pv magazine/Harald Schütt age is particularly evident in the market 0.70 0.70 for high capacity modules, as well as in European products and previously Euro- pean brands. Former SolarWorld custom- 0.60 0.60 ers are shifting their purchasing activities in the direction of comparable modules, and in the medium term have bought up everything the market has to offer, which 0.50 0.50 is why the modules of some manufactur- ers will not generally be available again until August or September. 0.40 0.40 New price war Providers remain locked in a fierce price 0.30 0.30 war, preventing the cost of modules from Jun ’16 Jul ’16 Aug ’16 Sep ’16 Oct ’16 Nov ’16 Dec ’16 Jan ’16 Feb ’16 Mar ’16 Apr ’17 May ’17 Jun ’17* rising, despite a looming bottleneck. With more than 10,000 registered trade customers, In the PV module sector, largely Crystalline modules pvXchange is one of the world‘s biggest brokerage (mono-/poly-Si) average net prices (EUR/Wp) unknown manufacturers from the cell Germany platforms for solar modules and inverters. Ten years and wafer business with tier-1 status are Korea/Japan of experience in the market and the expertise of more than 20,000 successful business transactions are the rushing into the market. After Talesun China basis for pvXchange‘s monthly analyses of the module South and Southeast Asia and China Sunergy (CSUN), HT-Solar * Data up to June 12, 2017 price developments in the European PV market. (HT-SAAE) and especially GCL are also More information: www.pvXchange.com making life rough for the established module manufacturers. Now that Solar- World, one of the last major non-Asian international projects – often no more from Taiwan and Malaysia is becoming producers, is out of the race, mainly than $0.30/W – are at a level that Euro- increasingly difficult, even when they Chinese companies are battling it out pean manufacturers can no longer keep are not modules from China with dis- amongst themselves. up with. guised origin, but goods actually pro- And although domestic producers have duced in these countries. The European just barely managed to remain compet- Import issues Commission is now so strict and reso- itive in the European project environ- One thing that is still playing right into lute that many logistics companies offer- ment, they have long since missed the the hands of domestic companies is the ing importing or fiscal customs clearance boat on international tenders. Prices in fact that customs clearance for modules as a service have had their fingers burnt. Overview of the price points in May 2017, by technology, including changes over the previous month Change over Module class Price (€/Wp) Description previous month Crystalline modules 280 Wp and above with Cello, PERC, HIT, n-Type, or back contact cells or High efficiency €0.52 0.0% combinations thereof Module types with black backsheet, black frame, and a rated power between 200 Wp and All black €0.50 - 3.8% 275 Wp Modules, typically with 60 cells, standard aluminum frame, white backsheet, and 250 to Mainstream €0.42 0.0% 275 Wp – represents the majority of the modules on the market Low-performance modules, factory seconds, insolvency goods, used modules (crystalline), Low cost €0.27 0.0% and products with limited or no warranty The prices shown indicate average asking prices for duty-paid goods on the European market. 12 07 / 2017 | www.pv-magazine.com

Module Price Index | Markets & Trends The draconian punishments – retro- Another thing perhaps worth mention- That was offset by the many new prod- active levying of the punitive tariff plus ing is that it was the first Intersolar in ucts and services to discover in the energy a fine – have led many service providers Germany for more than two decades – if storage area. Simplified billing methods to draw a wide arc around solar modules not since the advent of the solar trade fair and the electricity communities that are and cells. itself – to be held without the participa- cropping up everywhere make it seem In the Rotterdam area, if not across all tion of SolarWorld. like we are on the cusp of a breakthrough. of the Netherlands, it is nearly impossible The insolvency administrator pre- Convinced of this certainty, the mar- to find a customs agent willing to import ferred not to offer a platform for any ket leader Sonnen was not alone in party- Asian modules. embarrassing questions and opted to ing after the official close of the trade fair. keep the event at arm’s length. Whether Senec and Mercedes, too, invited guests Intersolar Europe this was the right approach for a continu- to their booth parties offering both culi- Despite the continuing turbulent times, ation scenario remains doubtful. nary and acoustic counterpoints – a bat- the mood at the Intersolar Europe trade tle of the parties fraught with symbolism. fair in early June was generally very good, The next innovation “Energy storage systems are the next even though the visitor numbers, and the Module and inverter manufacturers were big thing in the photovoltaics industry” crush at the trade fair stands, was rather the focus of intense interest, even though – heard that before a few years ago? Well, modest compared to previous years. you had to look long and hard to find gen- now it seems it is finally becoming a real- This left more time for intensive discus- uine technical innovations in the area of ity S sions and promising sales negotiations. conventional PV technology. Martin Schachinger, pvXchange.com A dv er tisemen t

Markets & Trends On target, or own goal? Trade disputes: The sorry tale of the SolarWorld AG and Suniva insolvencies should act as a warning against hankering for protectionist measures. But are attempts to counter Chinese dominance at least rooted in good business sense? In 2012 SolarWorld, facing significant Global module prices from 2006 through 2016 price and margin pressure from cells and modules imported from China, filed 80,000 trade petitions in Europe and the U.S. 4.50 US$/Wp Average global Mfring cost CARG –14% MWp Average global price CARG –17% Tariffs on cells and modules imported 4.00 Price cost delta Graphic: pv magazine/Harald Schütt from China were put in place. Despite Shipments CARG 43% 70,000 high anxiety in the U.S. and Europe over 3.50 Source: SPV Market Research potential price increases, prices did not 3.00 60,000 increase significantly. Indeed in many cases, for larger buyers, the tariffs were 2.50 50,000 absorbed. 2.00 In 2014 SolarWorld amended its peti- 40,000 tion to include cells imported from Tai- 1.50 wan. Significant tariffs were put in place. 1.00 30,000 Despite renewed high anxiety in the U.S. over potential price increases, prices did 0.50 20,000 not increase significantly. Again, in many 0.00 cases, for larger buyers, the tariffs were 10,000 absorbed. – 0.50 In old fashioned measurement terms, – 1.00 0,000 the needle on prices barely budged 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 for larger buyers, and though prices increased for smaller buyers this was sometimes offset by manufacturer or dis- cific period. In April 2017 U.S.-based (and Who did the earlier tariffs benefit? tributor sales on inventory. 63% Chinese-owned) monocrystalline In 2016 the U.S. had 1% of cell manufac- Then, in late 2016 China slowed it rap- cell manufacturer Suniva filed for bank- turing and 1% of module assembly capa- idly expanding market, sending global ruptcy and shut down its cell and mod- bility. The cell is the electricity generat- PV capacity into an oversupply situa- ule facilities in the U.S. It also filed a new ing component of the module, without tion. Prices crashed and margins col- petition asking for a $0.78/Wp minimum which the module is just a frame. Mod- lapsed. To support current production, price on all crystalline module imports ule assemblers buy cells. As the U.S. has manufacturers began selling future pro- and an additional $0.40/Wp tariff on significantly more demand than it does duction to large buyers at extremely low imported crystalline cells. crystalline capacity, U.S. module assem- prices. Price decreases were in some cases In early May, SolarWorld Germany blers must import cells. U.S. manufac- available to buyers of smaller quantities. also declared itself insolvent while its U.S. turing capacity remained flat during the Prices, in some cases, dipped below subsidiary stated that it would continue period from 2011 through 2016 viewed $0.30/Wp, lower than the price of a cell operations but nevertheless filed its intent through the lens of compound annual and below the cost of production. Man- to lay off employees. In late May, Solar- growth. In 2015, U.S. capacity to produce ufacturers, trapped in a spiral of buyer World joined Suniva’s petition. cells increased by 60% as manufacturers expectations and low margins, doubled It should be noted that the 2012/14 peti- brought new capacity online. Shipments down by selling future production to tions established a date for the tariffs to increased by 38% primarily to serve large quantity buyers in the $0.30/Wp to be implemented that took into account the growing U.S. market. Despite new $0.40/Wp range. the time frame required to investigate. capacity the U.S. still could not serve its The chart above displays average prices, That is, the tariff would go into effect at own market. The new capacity that was average costs, and shipments from 2006 an earlier date than the decision. The cur- available in 2015 was additional, that is, through 2016. Average prices and costs rent tariff minimum import price peti- brought online or added by manufactur- are the weighted average price (or cost), tion does not include a date marker, but ers currently in operation. It takes years, and represent a global weighted average it is by no means certain that an earlier even decades in many cases, to add new of the price paid for modules or the cost date would not be established if the pro- manufacturing capacity. The only way of manufacturing modules during a spe- ceedings go forward. new capacity can be brought online in a 14 07 / 2017 | www.pv-magazine.com

Markets & Trends 2012 2013 2014 2015 2016 MWp % Chg. MWp % Chg. MWp % Chg. MWp % Chg. MWp U.S. cell manufacturing capacity 1,169.0 -16% 980.0 -9% 895.0 60% 1,430.0 -16% 1,199.0 U.S. cell shipments 785.7 -9% 713.4 6% 754.2 38% 1,038.4 -31% 712.2 U.S. market demand 2,650.5 70% 4,511.8 40% 6,311.0 25% 7,893.1 73% 13,669.0 Difference between demand & capacity 1,481.5 138% 3,531.8 53% 5,416.0 19% 6,463.1 93% 12,470.0 Table 1: U.S. supply and demand growth 2012 through 2016 country is to truncate the pilot scale to own market. The U.S. has more module modules for all demand side participants commercial production time line. When assembly capacity but must buy cells to will increase, and thus U.S. manufactur- manufacturers move too rapidly through assemble from other countries. The peti- ing will not become more robust. The pilot scale production the result is almost tion affects crystalline cells and not thin only way to increase U.S. cell manufac- always poorer quality. film cells, at least for now. There is not turing is to invest over time and reward Looking ahead, SolarWorld will likely enough global thin film capacity to serve buyers for choosing U.S.-produced cells. shutter some capacity and lay off employ- the U.S. market. Should the current tar- But even then, other components will ees, and may survive the year as it has iff petition be enacted, prices for cells and need to be imported. S Paula Mints done before. Should installers become anxious about SolarWorld’s survival and stop buying its modules, the rip- SPV MarkeT reSearCh ple effect of this would likely ensure the company’s failure. The direct goal of the Paula Mints is the Founder and Chief Analyst of global solar market current tariff/minimum price action is research firm SPV Market Research. Paula began her career in 1997 with murky. Following its bankruptcy, Suniva Strategies Unlimited. In 2005 she joined Navigant, where she continued took investment with the caveat that it as a Director in Energy Practice until October 2012, when she founded file the petition. The goal of protecting SPV Market Research. Paula’s areas of expertise include: global markets U.S. manufacturing is difficult to support and applications for solar products, cell and module cost and price because the U.S. has very little cell man- analysis, system and system component analysis (including inverters, trackers, and other BOS components), and trend analysis. ufacturing capacity and cannot serve its A dv er tisemen t

Markets & Trends Photo: BrokenSphere/wikimedia Tesla/SolarCity has been pulling back from less profitable geographies, which analysts say is having an effect on the overall residential market. Turmoil in residential solar U.S. residential: After years of steady, relentless growth, the U.S. residential solar market is struggling with challenges on both the policy and customer acquisition fronts. And as the market diversifies away from California and the Northeast, the future is far from clear. The first quarter of 2017 was not an easy sus a year ago, but actively scaled back high profile bankruptcies punctuating time for the U.S. residential solar market. their deployment. Executives from both these changes, including that of Sungev- Overall, the volume of solar deployed fell companies described a shift in business ity, one of the largest players in the space. 17% from the first quarter of 2016 and 11% approaches away from the pursuit of And at the same time, new business from the fourth quarter, as the first time growth at any cost to more strategic and models and new markets are emerging, in recent memory that market volumes profitable sales. as states that were previously off-limits have fallen on both a year-over-year and This is coming as net metering poli- open up. quarter-over-quarter basis. cies are increasingly under attack in the At the same time, Tesla and Vivint, United States, while the early adopter California come-down as two of the three largest residential demographics have been exhausted in the The biggest factor in the residential mar- solar companies, not only saw signifi- largest markets. It’s been a tough time for ket slowdown in Q1 was trouble in Cali- cant reductions in solar installations ver- residential solar companies, with several fornia. The state’s residential solar instal- 16 07 / 2017 | www.pv-magazine.com

Markets & Trends lations fell a stunning 31% year-on-year, ers don’t understand the economics of In any of these states, the customers and since California still represented TOU rates, and salespeople are often lost who are being pitched PV systems in more than a third of the total market, as well. “I don’t think the vast majority 2017 are not the “first movers.” They are this was likely at least a significant con- of companies know how to sell under the the people who for whatever reason chose tributor, if not a main cause, in the bank- new policy,” Sullivan Solar CEO Dan Sul- not to deploy solar as the market boomed, ruptcies of Sungevity, HelioPower, Ten K livan told pv magazine in March, eight and they may be turned off by the way Solar, and American Solar Direct. months after Net Metering 2.0 took effect that many solar companies are attempt- California’s slump was driven by a in San Diego. ing to reach them. number of factors, in what was really the TOU rates enhance the value of energy GTM Research notes that many of perfect storm. Perhaps the most obvious storage, and advocates are looking for- the larger companies are moving away was the weather, with torrential rains ward to a future of PV paired with bat- from door-to-door sales, particularly in in January and February stopping work teries. However, without subsidies this the markets with high levels of deployed crews dead in their tracks throughout combination does not yet pay for itself solar. “Customers have had their doors much of the state. in a reasonable time frame. And while knocked on seven or eight times in a Another factor that cannot be ignored the five rounds of the Self-Generation week, they’re tired of it,” stated GTM was the shift to Net Metering 2.0, which Incentive Program (SGIP) are expected Research Solar Analyst Allison Mond. has been strongly correlated with to support as many as 10,000 residential Companies are looking to new acqui- declines in installation volumes each battery systems, it is uncertain that even sition practices, such as Vivint’s use of time the policy takes effect in new util- this level of deployment will drive down retail kiosks and Tesla offering solar ity service areas. prices enough to make the numbers work alongside its electric vehicles and batter- This is somewhat ironic, given that the for most homeowners. ies. “SolarCity, Tesla, down to the long policy is one of the mildest makeovers of tail of installers, are really trying to figure net metering to happen in any state to Customer acquisition and installer out how they are going to grow without date, with limited effects on compensa- pull-back spending ridiculous amounts of money tion and payback times. But more than While California is responsible for much on customer acquisition,” explains destroying the economics of customer- of the fall in numbers, top Northeastern Mond. One of the changes she cites is a sited PV, the policy change has done state markets such as New York, Mary- move away from purchased leads, noting something that can be just as damaging, land, and Massachusetts are also seeing that a lot of issues with overly aggressive at least in the short run: It has introduced declining growth rates, and market vol- and unethical sales practices arise from complexity. umes fell in all three from Q4 to Q1. These purchased leads. With the new time-of-use (TOU) rates, states are experiencing another issue that But as this happens, national installers it can be a lot harder to calculate payback, is being seen in California: customer are both spending more to acquire cus- which inhibits the sales process. Custom- burnout. tomers and pulling back from markets. Photo: Vinyasun As traditional residential solar markets contract, Florida is opening up for business. 07 / 2017 | www.pv-magazine.com 17

Markets & Trends This is particularly true for the markets where customer acquisition is more diffi- Photo: Sunrun cult, but may have more to do with inter- nal changes at the companies involved. Upon taking control of SolarCity, Tesla has shifted the focus to increased profitability, and has been satisfied with smaller deployment volumes. Vivint, which has struggled in the wake of the failed acquisition by SunEdison, has also taken what it describes as a more “disci- plined” approach. This includes a focus on the markets and segments where the company’s executives know that they can make money. As these companies pull back, it is unavoidably having impacts on the market. “It’s not the case that the market share left by SolarCity pulling back will or can be met by the long-tail of local installers,” explains GTM Research Solar Market Analyst Austin Perea. An exception to all of this is Sunrun, While Tesla and Vivint are pulling back from challenging markets, Sunrun continues to grow and is which continued to grow despite over- gaining market share. all market contraction during Q1, and is projecting a 15% growth in deployment impose a hybrid fixed and demand charge retail electricity rates. “In direct owner- over the full year 2017. Sunrun Senior in customer electricity rates which could ship and lease, the economics are work- Manager of Public Policy Lauren Ran- kill residential solar. ing very well,” notes Hoysradt. dall credits the company’s balance of But the big prize in terms of emerg- deploying solar both through a network ing residential markets is Florida. With Difficulties ahead of local, third-party installers and its own 20 million residents, Florida is the third- Nationally, the future still looks cloudy internal workforce, as well as its range largest state in the U.S. by population, for residential solar. The new state mar- of offerings including third-party solar meaning that the potential address- kets that have opened up have not yet arrangements, loans, and direct pur- able market is huge. And in the wake of made up for the decline in residential chase options. a successful political battle to roll back solar in California and other key mar- tax burdens on not only commercial and kets, and GTM Research says that it is New horizons industrial solar but also distributed sys- possible that the national market con- As residential markets slow down in Cal- tems under a leasing model, residen- traction seen in Q1 could last through- ifornia and the Northeast, they are pick- tial solar companies including market out 2017. ing up in other states, and GTM Research leaders Tesla and Vivint have flocked to Going forward, the policy landscape identifies Utah, Texas, and South Caro- Florida. is a challenging one, and a central prob- lina as major emerging markets for res- Justin Hoysradt, the CEO of Vinya- lem is that net metering remains under idential solar. One of the most interest- Sun, says that there are a number of rea- attack. Despite the return of the policy ing things about this development is the sons to look at Florida’s solar market. in Nevada, which was signed into law in way that markets are growing state-by- “You have an entire state that has some state, with no one region dominating of the best solar potential in the country, Top 10 U.S. reSiDeNTial new deployment. “There is not a lot of an untapped marketplace, A-grade net pV markeTS, Q1 2017 homogeneity in terms of how geographic metering, and reduced property taxes regions approach residential solar,” notes on residential and commercial, as well as 1. California Perea. leasing beginning 2018,” explains Hoys- 2. New York As such, the combination of healthy radt. “And because of HVAC load and 3. Maryland net metering policies and state or util- lack of gas heating, system sizes are two ity-level incentives often set the stage for times as large as in other states.” 4. New Jersey market growth. GTM Research cites a And while Florida still does not allow 5. Arizona 25% state-level tax credit in South Car- power purchase agreements for commer- 6. Massachusetts olina, as well as incentives in the service cial or residential systems, Hoysradt esti- 7. Utah areas of Texas utilities ONCOR, Austin mates that the changes brought in under Energy, and CPS. Perea also warns that Amendment 4 will change the tax bur- 8. Texas these incentives could lead to a boom- den on leased systems from $0.05 to 9. Connecticut and-bust pattern, particularly in Texas, $0.01 per kilowatt hour, enough to give 10. Hawaii and ONCOR has recently attempted to such systems an edge over Florida’s low 18 07 / 2017 | www.pv-magazine.com

Markets & Trends Photo: Sunrun tors will only be able to ignore a surplus of mid-day electricity for so long. A move to TOU Rates, as was done in California, is one way to deal with this. At high solar penetrations, TOU rates mean delayed payback time and less attractive economics for PV system owners with- out energy storage. And the antidote to this, self-consumption, has not made for as attractive a market in Hawaii and Cal- ifornia, and may never. The good news is that prices continue to fall sharply, both for PV systems and batteries, with GTM Research putting the average residential PV system price at $2.84 per watt during Q1. But battery storage typically doubles this cost, and is not yet economic without heavy subsi- dies. Put all of these factors together, and the short and mid-term diagnosis for res- idential solar shows difficulties ahead, at Despite new states now opening up to embrace opportunities in residential solar, their numbers have least in mature markets. not yet made up for the decline in California and other key markets. It will be up to the solar industry to adapt to the new environment, and lead- mid-June, already this year Maine and ous alterations to the systems of credit- ing companies are all taking their own Indiana have taken decisive action to dis- ing PV system owners for the electricity tack on how to expand consumer offer- mantle their net metering policies. they produce. ings. Vivint is leading the way with the They are not alone. In its Q1 report So while net metering itself might not integration of smart home features with the North Carolina Clean Energy Tech- go away, the general direction is that solar, while Sunrun reports early success nology Center (NCCETC) documented these policies will not have the lucrative with its Brightbox solar and storage offer- actions to change net metering policies in terms that they once did. In the long run, ing, and Tesla readies the roll-out of its 21 states. But unlike the radical changes there is a fundamental economic issue. Solar Roof product. seen in Nevada, Indiana, and Maine, High penetrations of solar, as have been Ultimately, these companies have no many of these actions will not scrap the seen in California, wipe out mid-day choice but to innovate. The world around policy outright, and among the most demand, and this in turn reduces whole- them is not standing still, and continued common changes to net metering poli- sale prices. With the increasing growth of growth is not getting any easier. S cies documented by NCCETC are vari- solar, utilities, grid operators, and regula- Christian Roselund A dv er tisemen t

Markets & Trends Photo: Amberg Renewables A project under construction by Minnesota-based installer Amberg Renewables. Minnesota is currently seeing a boom in PV installations, having been named the fourth largest state for newly installed solar capacity in Q1 2017. The Sun Also Rises Solar in the Midwest: In the region that was once a bastion of American heavy industry, and is still home to the farms that help feed the country, the solar industry is beginning to take root. Ghosts of the Midwest’s proud industrial coal dust that once billowed from smoke- On this, most experts on Midwest solar history litter its landscape. The names of stacks across the region. And as history agree: There is enormous potential for old industrial cities echo down through turns its pages on the area, the Midwest solar to blossom – but so far, growth is history: Lorain, Gary, and Flint. is slowly finding new optimism from the uneven, with some states thriving while If you squint hard enough, you can see fastest growing energy industry in the others struggle with even the most basic the shadows of men, numbering in the country: solar power. pro-solar policies. The key over the com- thousands, streaming into the car fac- “In these states as elsewhere, cus- ing years, they say, is how policy debates tories and steel mills. If you listen care- tomer demand for solar is on the rise,” are shaped, and existing successes could fully, you can still hear cars rolling off the said Becky Stanfield, Vote Solar’s Senior show other states the way. assembly line, or the hiss of steel being Director for the Western States. “Unfor- “The Midwest is late to the solar forged in the fires. tunately, many utilities are reacting with party, and lack of education has been a Then your vision clears and the sounds alarm, rather than embracing the ben- major factor,” said Tony Clifford, Chief fade away, you see the empty buildings, efits of solar innovation to benefit their Development Officer of Standard Solar, the barren parking lots, and union halls customers, communities, and the grid.” a national full-service solar company. crumbling to dust around them. And Every state is in the process of decid- “Nothing succeeds like success, and you realize the images you saw and the ing how best to take advantage of solar, some early positive outcomes by locals sounds you heard are largely relics of a batteries, efficiency, demand response, will attract outside resources.” bygone era, one that won’t be returning microgrids, advance meters, and other to the Midwest any time soon. new distributed resources, Stanfield Policy matters But Midwesterners are tough by added. “It’s going to be a busy two years For decades, utilities have ruled the Mid- nature, with attitudes as gritty as the in the region.” west, in part because of their role in fuel- 20 07 / 2017 | www.pv-magazine.com

Markets & Trends ing the region’s industrial past. Many “Minnesota is booming because of have negotiated sweet deals for them- community solar, the solar energy stan- FuTure Solar STandouTS? selves with their public utilities commis- dard and a strong commission holding sions (called by different names in differ- the line on fair compensation for solar According to the U.S. Solar Market ent states) that guarantee certain levels producers,” said John Farrell, Director of Insight report from the Solar Energy of profit in return for serving more rural Democratic Energy for the Institute for Industries Association and GTM Research, the Midwest has vast room areas and maintaining the state’s grid. Local Self-Reliance (ILSR), based in Min- for solar expansion. Below is the total This brings us to why solar hasn’t nesota. “When you combine those kinds installed capacity for individual states in expanded uniformly in all the states: of factors, we can see that there’s a huge descending order. Utilities concerned that rooftop solar opportunity for low-cost solar to provide As well as the Midwest is doing, it still could cost them a monopoly have tried power where the grid can use it.” has a long way to go. For contrast, Cali- to stifle solar’s growth by creating enor- “Minnesota has a long history of sup- fornia has already installed 19 GW alone. mous legislative obstacles. porting clean energy, and Xcel Energy • Minnesota (373 MW) But that could be about to change, has a multi-state footprint including Col- • Indiana (217 MW) as pro-solar education and lobbying orado that has also been somewhat on the • Missouri (150 MW) efforts heat up – starting with the deci- leading edge,” said Vote Solar’s Stanfield. • Ohio (125 MW) sion earlier this year by the Solar Energy “So they’re clearly the current leader.” • Illinois (70 MW) • Iowa (39 MW) Industries Association (SEIA) to step Stanfield was quick to add that with • Michigan (35 MW) up efforts to build regional educational the recent passage of the Future Energy • Wisconsin (30 MW) infrastructures. Jobs Act in Illinois, the state could soon • Kansas (5 MW) “Earlier this year, we launched a new leapfrog Minnesota. Farrell agreed that • Nebraska (1 MW) committee focused on expanding our developments in Illinois would likely • South Dakota (240 kW) advocacy work and educational efforts spur development in the state. According • North Dakota (220 kW) in the Midwest,” said Sean Gallagher, to the U.S. Solar Market Insight report, Total installed capacity: 1.0 GW SEIA’s Vice President of State Affairs. Illinois currently has 70 MW installed. “The region has massive potential and “Illinois is likely to grow rapidly now through the introduction of good poli- that their compromise legislation fixed cies, we think it could easily become the the RPS and will restore utility purchas- says. It will also be shaping an integrated next hotbed of solar growth.” ing obligations for solar,” Farrell said. “I resource plan – but she says the most Gallagher said legislative actions in expect at least 1 GW of solar in each of urgent legislative action is for people who Illinois, Michigan, and Ohio are evidence these states by the end of the next five want solar but can’t put it on their roofs. that solar has potential – and that legis- years.” “It is also high time for the legislature lators are starting to catch on to its job- to pass a community solar program so growth and economic benefits. Not all The up-and-comers that people who can’t have or don’t want states are on board yet, however. The two states are involved in one of the solar on their own roof can still sub- “While utility-scale solar has seen longest and most storied rivalries in col- scribe to a solar system and benefit from broad acceptance among utilities due lege football history, but when it comes to its output,” Stanfield says. “That’s the largely to its competitive pricing, there solar, Michigan and Ohio are together in next legislative priority for the industry remain entrenched interests favoring making solar part of their energy future. in Michigan.” fossil fuel generation that are working In late May, Michigan’s Public Ser- Ohio’s record is more spotty, but there against renewables in a number of states,” vice Commission (PSC) solidified its are signs of hope. Despite overwhelm- Gallagher said. “That’s why SEIA is work- statewide methodology for calculating ing for solar rate designs that are fair to avoided costs, which could mean more customers, fair to utilities, and fair to opportunity for distributed solar because MidweST Solar JobS solar companies alike.” it guarantees a 20 year, fixed price con- Even with all the challenges, there are tract for projects 2 MW and smaller. The Solar Foundation’s National Solar some states leading the solar revolution “Michigan holds tremendous promise Job Census indicates the Midwest now in the Midwest that could show the way for solar, and Michiganders have been employs 11% of the 260,000 people who work in the solar industry (27,440 out of for others to follow. pretty clear that they are ready for the 260,000). Here’s the breakdown by state: solar future,” Stanfield says. “But the pol- The leaders icies are not yet in place to allow the mar- • Ohio (5,831) • Michigan (4,118) Experts agree that Minnesota is currently ket to be strong and successful.” • Illinois (3,718) leading the Midwest in solar develop- Michigan currently has 35 MW of • Minnesota (2,872) ment. In fact, during the first quarter of installed solar, according to the most • Wisconsin (2,813) 2017, it ranked fourth in the nation for recent U.S. Solar Market Insight Report. • Indiana (2,700) installed solar – in a quarter where the Solar advocates should watch develop- • Missouri (2,380) nation as a whole installed more than ments in Michigan closely in the coming • Nebraska (1,585) 2 GW. As of December 2016, it had months, because the PSC will be craft- • South Dakota (478) • North Dakota (478) already installed 373 MW – and shows ing a program to deal with distributed • Kansas (467) no signs of slowing down anytime soon. generation, including a tariff, Stanfield 07 / 2017 | www.pv-magazine.com 21

Markets & Trends “PURPA could provide a big opportunity for solar, as it has in North Carolina. Over 2,000 MW were built and priced competitively with the utility’s “avoided cost” of procuring power from other sources. If utilities aren’t successful at trying to kill the federal pro-competition law, it will offer inexpensive solar a playing field to contend with utility power plants.” John Farrell, Director of Democratic Energy, ILSR ing majorities in both houses of the state “From my conversations with roof- ception to its demise. Missouri observers legislature, Republicans have consistently top solar installers, there will be a fran- expect both bills to be back next ses- been unable to make the state’s renew- tic level of business activity to get as sion, setting up yet another battle for the able portfolio standard (RPS) optional many customers to install solar systems future of Missouri’s solar industry – one or eliminate it completely. It’s been by December 31 as possible,” said Laura which advocates hope can settle the issue saved repeatedly by the veto of Republi- Arnold, President of the Indiana Distrib- once and for all in their favor. can Governor John Kasich and, for now, uted Generation Alliance. “From a prac- seems safely in place. tical standpoint, solar companies are what’s next? Despite fighting an uphill battle to developing and implementing a variety of ILSR’s Farrell exhorts solar advocates install solar, Ohio currently has 125 MW business strategies to address this blow to across the Midwest, particularly those in installed, according to the latest report the market from the passage of SEA [Sen- the states that are currently lagging, to from SEIA and GTM Research. ate Enrolled Act] 309.” Interestingly, util- focus on weakening the utilities’ stran- In the meantime, solar jobs in the state ity-scale solar emerged unscathed from glehold on electricity production, though continue to rise, setting the stage for a SB 309’s net metering reductions, perhaps he cautions the battle will not be easy. tipping point moment. The ILSR’s Farrell because it gained support from groups “Most Midwest states have vertically said these Midwest stalwarts are poised like the Indiana Chamber of Commerce, integrated monopolies, and until they to become Midwest solar leaders. Indiana Manufacturers’ Association, and have different incentives, they will con- “If they stay on their current courses, Indiana Industrial Energy Consumers, tinue to pursue policies that reinforce Ohio and Michigan will see hundreds of with small advances concerning require- their market share, such as fixed fees, fees megawatts in solar growth in the near ments for “competitive procurement.” on solar customers, weakening or remov- future,” Farrell says. “Once that happens, With strong utility and corporate back- ing net metering, or lowering compen- the momentum will be difficult to stop.” ing, SB 309’s passage, which most observ- sation rates for solar,” Farrell said. “The ers believe will bring rooftop solar to a utilities have significant political power, The stragglers screeching halt, was inevitable. but a well organized opposition can There are many reasons why parts of the Missouri’s legislature examined two counter that power.” Midwest aren’t joining the solar revolu- solar bills in the past session, one of “The forecast looks bright,” said SEIA’s tion as fast as their neighbors, ranging which, House Bill (HB) 439, would have Gallagher. “Collectively, the Midwestern from unhealthy influence on public com- allowed third-party power-purchase states installed dramatically more solar missions by utilities, through low elec- agreements in the state. Despite the sup- capacity in 2016 than they did in 2015, tricity prices, to legislatures that simply port of the state’s largest employers Tar- and we expect that trend to continue. don’t understand how solar can help their get, Wal-Mart, General Motors, and Over the next few years, by continuing states. Two recent battles – one in Indiana Procter & Gamble, opponents ran the to enact and implement good policy, the and one in Missouri – illustrate some of clock out on the legislation, and it died Midwest could become a national leader the challenges faced in the Midwest. Solar when the legislature adjourned without in renewable energy – and we’re looking has lost the battle in Indiana (at least tem- taking action. The same fate awaited HB forward to helping foster that growth.” porarily), while strong lobbying by solar- 340, which early on appeared destined Standard Solar’s Clifford, whose com- minded corporations saved rooftop solar to pass easily because of strong lobby- pany is already expanding into the early- in Missouri for the time being. ing efforts by the state’s utilities. The bill adopter states, believes the Midwest’s In Indiana, Senate Bill (SB) 309, would have deemed solar customers as solar progress is increasingly inevitable. fraught with controversy and accusations separate-class citizens, allowing utilities “The solar industry will prosper in of deception, is expected to devastate the to tax its most potent competitor – roof- those states that quickly recognize this rooftop solar industry by most state advo- top solar – to death. Fortunately, though opportunity,” Clifford said. “The winning cates, who have waged a lengthy and pas- it came closer to making it to the gov- states will be those where the local solar sionate battle against the bill. Before SB ernor’s desk, it too died with the legis- industry and its allies work diligently to 309’s passage, SEIA and GTM Research lature’s adjournment – a passive victory, sway their local and statewide politicians reported that it had installed 217 MW but a victory nevertheless for solar advo- into becoming solar advocates.” S through the fourth quarter of 2016. cates who had fought the bill from con- Frank Andorka 22 07 / 2017 | www.pv-magazine.com



Markets & Trends Local government in the driver’s seat U.S. PV growth: The Solar Foundation’s Andrea Luecke examines the growth of solar in the United States, and the elements that need to be in place for it to be sure to continue. With the national outlook cloudy, local communities will play a key role in shaping future solar industry growth. The solar energy boom is happening Bowman, Oklahoma City’s Sustainabil- 51,000 jobs. This job growth was even across the country, and Oklahoma City ity Manager. “This is a resource that’s as more dramatic in many metropolitan wants to be a part of it. The city recently native to Oklahoma as natural gas.” areas. Jobs more than doubled in Minne- undertook a comprehensive review of Across the country, cities and coun- apolis-Saint Paul (to a total of 2,730 jobs), its permission, planning, and financing ties large and small are recognizing this San Antonio (1,767 jobs), and Cleveland programs to remove obstacles to solar opportunity to build local economies (1,632 jobs). Solar is one of the biggest job development, and will soon achieve offi- through solar. More than ever, with the drivers in the country today, creating 1 in cial Bronze designation under SolSmart, outlook uncertain at the federal level and 50 U.S. jobs in 2016. Local governments a program led by The Solar Foundation, in many states, it is local governments that that encourage solar growth are opening which recognizes cities and counties that are driving America’s growth in solar and the door to rapid economic development. are “open for solar business.” other renewables. Some are motivated to However, this growth is by no means Why is the city taking these steps? act on climate change and reduce pollu- a guarantee. In the coming years, local Mainly city officials say they want to take tion, while others want to give local con- governments will make decisions that advantage of an abundant local resource. sumers affordable new options for elec- greatly influence whether solar compa- Oklahoma may not be traditionally tricity. Dozens of major cities including nies can succeed. While actions by state known as a solar leader, but its location Atlanta, Pittsburgh, and Chicago have legislatures, regulatory commissions, in the heart of the Sun Belt is ideal, mak- committed to reaching 100% renewable and others are obviously important, the ing its future potential nearly limitless. energy in the coming decades. George- role of local communities will be crit- Google’s Project Sunroof ranked Okla- town, Texas is one small town that has ical. They help determine if a company homa City eighth among the top 10 cities already achieved this goal. encounters low costs and smooth sailing; with the most solar potential, a list that A large number of communities are or alternatively, a mountain of paperwork includes Houston, Los Angeles, and New also leading the nation’s dramatic solar requirements and confusing procedures York City as well as Albuquerque, Jack- jobs expansion. The Solar Foundation’s that discourage solar energy growth. sonville, and Dallas. annual National Solar Jobs Census Solar companies will need to be aware “We see a real economic opportunity, released this year found the number of of the actions their own communities as well as an opportunity for air quality solar jobs nationwide increased by 25% in can take to create a favorable climate for improvement and resilience,” says T.O. 2016 alone, with an increase of more than solar. I’d like to highlight at least three major elements that need to be in place in a community: market drivers, a qual- Photo: The Solar Foundation ity workforce, and financing options for solar. Market drivers When solar companies decide whether to enter a market, they need to make sure there are no artificial barriers that make it too expensive, cumbersome, or slow to do business. The good news is that city and county governments have many tools at their disposal to remove such barriers and foster a healthy solar industry. In particular, local governments have a great deal of power to affect cost. Over Last year, the Elsie Whitlow Stokes Public Charter School in Washington, D.C. secured PACE financing for the years, we conducted dozens of infor- a 35 kW solar installation and building efficiency improvements. mal surveys of local government staff at 24 07 / 2017 | www.pv-magazine.com

Markets & Trends Photo: Greater Oklahoma City Chamber Oklahoma City is keen to join in with the current U.S. solar boom. The city has made a comprehensive review of its permission, planning, and financing programs to remove obstacles to solar development. Solar Powering Your Community work- not only reduce costs that are passed on Since the SolSmart program launched shops. When we asked them about the to consumers, but also send a signal to the just over a year ago, nearly 70 communi- biggest barrier to solar, the most frequent industry that a community is favorable to ties have achieved SolSmart designation, response was “up-front costs.” And to a solar businesses. ranging from El Paso, Texas to Lincoln, significant degree, these are costs a local In 2012, one out of three solar instal- Nebraska, and from Charleston County, government can help control. Following lation companies avoided doing busi- South Carolina to Moab, Utah. Much like the rapid decline in the cost of installed ness altogether in an average of 3.5 juris- a LEED designation certifies environ- systems, two thirds of the cost of an aver- dictions due to burdensome permitting mentally friendly buildings, a SolSmart age residential system is now represented requirements, according to a study from designation recognizes communities that by soft costs, according to the latest data Clean Power Finance. Reducing red tape have met these criteria for encouraging from Solar Market Insight. around local solar regulations can help solar energy growth. Major drivers that increase the cost of attract these businesses to a commu- solar installation include permitting and nity, bringing with them the significant Building the solar workforce inspection, financing, customer acqui- economic development and job benefits Along with the right market drivers, a sition, and installation labor. Localities attached to the solar industry. community needs a pool of qualified can streamline the permitting process so Through SolSmart, which is funded solar job seekers to develop a strong it’s easier for homeowners and businesses by the U.S. Department of Energy Sun- local workforce. One consequence of the to install solar without delays. They can Shot Initiative, we work with our part- rapid solar jobs growth is that compa- evaluate planning processes to make sure ners to help cities and counties stream- nies are struggling to meet the demand that zoning codes don’t discourage solar line programs and practices to improve for new workers. Our research found that development. Cutting red tape by reduc- the business climate for solar. This no- 84% of installers reported difficulty find- ing unnecessary paperwork, eliminating cost technical assistance helps localities ing qualified applicants, and 26% said it redundancy, and generally making it eas- that may have limited time or resources was “very difficult.” We found that diffi- ier to go solar is both good government make smart long-term decisions to bring culty filling open positions was not only and good for business. affordable solar to their communities. slowing the growth of solar deployment, One recent study from Yale University SolSmart also lays out specific crite- but also costing employers significant and Lawrence Berkeley National Labora- ria to measure a community’s progress. amounts of money. tory found that streamlining local reg- These include simple steps like mak- To meet this gap between labor market ulatory processes can lower the cost of ing an online checklist available on the supply and demand, the solar industry a typical solar system by $2,500. Elim- solar permitting process, which increases should work with local governments and inating onerous permitting processes, transparency for installers. A community workforce development boards to create for example, could remove $700 from can also review zoning codes to remove new training and recruitment opportu- the installed cost. Reducing complex- obstacles to solar installation, such as nities. Our research found that over half ity and improving clarity around regu- height restrictions, setback requirements, of solar employers cite a lack of appli- latory processes such as permitting can or aesthetic requirements. cants as a main cause of their difficulty 07 / 2017 | www.pv-magazine.com 25

Markets & Trends Top 10 metropolitan areas for solar jobs tions, such as non-profits, to make solar Metropolitan statistical area Total solar jobs 2016 % change from 2015 and efficiency upgrades and see positive San Francisco-Oakland-Fremont, CA 26,056 +67% cash flow improvements in the first year. Los Angeles-Long Beach-Santa Ana, CA 23,622 +11% We can see the positive impact of PACE Boston-Cambridge-Quincy, MA-NH 12,487 +24% financing on the communities we work San Diego-Carlsbad-San Marcos, CA 11,306 +35% with through our CivicPACE program, New York-New Jersey-Long Island, NY-NJ-PA 10,815 -7% which promotes PACE as a tool for non- Sacramento-Arden-Arcade-Roseville, CA 7,420 +99% profits like educational, public housing, Las Vegas-Paradise, NV 7,031 -8% and faith-based institutions to get financ- Phoenix-Mesa-Scottsdale, AZ 6,397 +9% ing for solar. Last year, the Elsie Whitlow San Jose-Sunnyvale-Santa Clara, CA 6,139 -8% Stokes Public Charter School in Wash- Riverside-San Bernardino-Ontario, CA 5,077 -8% ington, D.C. secured PACE financing for Source: The Solar Foundation National Solar Jobs Census, SolarStates.org a 35 kW solar installation and building efficiency improvements. The upgrades hiring. By developing educational pro- icans, many local areas have few lend- will reduce the school’s utility costs by grams to increase awareness of the strong ing products that are easily adaptable to approximately $140,000 per year. The job market and widespread opportunities solar purchases. Communities can also long-term financing keeps annual PACE for solar careers, local governments, and set up innovative programs like Milwau- payments to $130,000, providing the workforce groups can help increase the kee Shines (a program I previously led), school with improved facilities and an applicant pool and help local solar indus- where the city worked with a credit union additional $10,000 in net savings per year tries meet their potential. to provide a low-interest, fixed-rate loan. to reinvest in education. In addition, over three quarters of Cities should also work with the indus- solar employers tell us that applicants do try to organize Solarize programs that Thinking local not have adequate training or hands-on provide new sales opportunities for solar In Oklahoma City, local officials are experience. Local governments, work- companies, as well as affordable rates for enthusiastic about how increased solar force groups, and training providers can consumers. A few years ago, our staff gave development could benefit their com- come together and develop programs to a presentation in Dallas about solarizing munity. “It’s something that I think get job seekers early hands-on experience communities. Within a few months, an is a real feasible and sellable goal from and proper training. Not only by increas- attendee from the suburb of Plano, Texas the city standpoint,” Bowman says. A ing the size of the solar applicant pool, had brought the town on board, vetted healthy local solar market will depend but also by improving it, communities seven solar companies, and selected an on many factors, including future deci- will help ensure that local solar employ- installer willing to offer a 20% discount sions at the state level. Nationwide, how- ers are not turning down opportunities thanks to the sales volume produced by ever, prices are coming down and solar in their area due to a lack of capacity. the program. In fact, the program gal- is becoming more popular everywhere. Through the Solar Training Network, vanized broad interest in solar, increas- Reviewing the city’s programs and prac- another SunShot-funded program, we ing residential installations by 25% in tices now to encourage solar development developed a free new online career plat- the first year and producing several more will help open the door to rapid growth form to facilitate connections between years of successful Solarize campaigns. in the future. job candidates, training providers, solar Locally adopted property assessed As we begin to look for pathways to companies, and workforce development clean energy (PACE) financing is enable increased solar access and reach boards. Employers and training pro- another powerful tool that allows low- beyond the low-hanging fruit to new viders can sign up on this platform at interest financing for homes and busi- markets, working within our com- SolarTrainingUSA.org. The website also nesses. Thirty-three states have passed munities will be key to future growth. provides industry stakeholders with our PACE-enabling legislation, and there are Whether we engage local businesses, research as well as tools and resources to now active programs in 19 states, cover- community leaders, or neighbors, there help develop a thriving solar workforce. ing hundreds of local communities. The is likely a new program, a best practice, long-term and low-cost capital offered by or an innovative solar education program Financing options private lenders through PACE programs that can help reduce barriers to our solar- A third pillar for developing a local solar allows budget-constrained organiza- powered future. S Andrea Luecke market is to ensure that financing oppor- tunities are in place, so that homes, busi- nesses, non-profits, and government entities have affordable options for going ABoUT The AUThor solar. Andrea Luecke is President and Executive Director of The Solar Local governments can help encourage Foundation, a non-profit organization that works to advance solar financing options in several ways. Photo: The Solar Foundation solar energy. Starting as the organization’s only employee back in 2010, Andrea has grown the Solar Foundation into a key voice One is by working with local banks to for the U.S. solar industry. Andrea is the lead author of the foun- create loan products specifically tailored dation’s annual Solar Jobs Census Report and regularly presents to solar. Even when solar has become on best practice approaches for various aspects of the industry. the energy choice for millions of Amer- 26 07 / 2017 | www.pv-magazine.com

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Rubrik Photo: flickr/Pedro Szekely Cuba’s historic auto fleet won’t be electrified anytime soon, however a new renewables program may help spur a wave of PV activity, and reduce the country’s reliance on imported oil. Cuba taps its abundant sun Latin America: Cuba is steadily implementing a renewables program in an effort to wean itself off imported fossil fuels. The package will include 700 MW of PV capacity. Travel writer and essayist Pico Iyer once is intended to account for 3% of that latter now starting to bear fruit. By March, said that “for centuries” Cuba’s greatest share. To achieve that goal, the program the country had 37 MW of photovoltaic resources has been its people. In a shift plans to install 191 PV projects delivering capacity in operation spread across 22 in policy, it now appears that the gov- 700 MW in combined capacity. power plants. The government’s target is ernment will tap its natural resources, “This small island does not produce all to bring 89 MW of solar power online by including the sun, as it adopts a mark- the fuel it needs, and must import con- the end of this year, while next year that edly pro-renewables stance. The country siderable volumes, whose cost hangs like goal rises to 95 MW. The program also is seeking foreign investors to develop the the Sword of Damocles on our economy. establishes targets for other technologies, renewable energy program, which aims Without renouncing to the increase in including 656 MW of wind power and to reduce fossil fuels’ massive share of the national oil production, for which invest- 711 MW of biomass capacity. country’s electricity mix. ment is also needed, we must accelerate Support from international investors Fossil fuels, and chief among them oil, the development of renewable energy is key to implementing the program, make up around 95% of Cuba’s mix. The sources,” said Cuban President Raúl which was launched in the same year objective is to raise renewables’ share Castro in a speech last December in the that Cuba’s Foreign Investment Act was from its current level of less than 5% to National Assembly. The renewables pro- passed. This legislation introduced mea- 24% within a medium-term horizon. PV gram, which was launched in 2014, is sures to open up various sectors of Cuba’s 28 07 / 2017 | www.pv-magazine.com

Rubrik economy, among them the energy indus- US$15 million loan from the Abu Dhabi try. Renewables is currently seen as a pri- Fund for Development (ADFD) to finance At A gLAnCe ority sector for investment by the Cuban four projects with a combined capacity of government. 10 MW. The loan was announced last year • Cuba remains dependent on fossil fuel Under the initiative, state-run proj- and López Valdés recently revealed that imports for its energy supply, with oil making up a large part. ects will account for half of the PV pro- work on the projects is already underway. • The government plans to increase gram, 350 MW, while foreign investment He added that Cuba had secured renewable share from 5% to 24% of is expected to finance the remainder. another loan to finance a further 50 MW electricity generation over the mid of capacity as part of an initiative led by term. Interest in Cuba a Cuban state-owned enterprise. • The country’s large-scale renewables The program has sparked signifi- The prospects for Cuba’s PV pro- program is set to deliver some 700 MW cant interest – the Cuban government gram are promising, and that is attract- of PV projects. recently awarded licenses for 17 PV proj- ing companies from across the globe. • Financing remains a challenge, due to geopolitical reasons. ects with an overall capacity of 100 MW, Spain’s UNEF (Unión Española Foto- • While Cuba’s grid is currently not all financed by foreign investors. Cuba’s voltaica – Spanish Photovoltaics Union) robust to see a large capacity of new Minister of Energy and Mining, Alfredo and Cuba’s Cubasolar (Sociedad Cubana PV projects pop up overnight, a study López Valdés, announced recently on para la Promoción de las Fuentes Renov- confirms that embracing DG and self- local TV show Mesa Redonda that the ables de Energía y el Respeto Ambien- consumption can facility wider rollout. call for tenders, which closed a few tal – Cuban Society for the Promotion months ago, attracted bids from more of Renewable Energy Sources and Envi- than 40 companies. ronmental Conservation) announced a opment banks for renewables might be Alfredo López Valdés, also said that cooperation agreement last August under made available. in recent months, negotiations have also which they will share the benefits of their In a recent event about renewable been held for 39 solar farms with a com- experience and knowledge and partner energy in Cuba organized by Renewables bined capacity of 200 MW. on trade missions. Academy (Renac) in Berlin, Joachim Despite these promising signs, to date Richter from Project Finance Interna- very few companies have announced spe- Financing hurdle tional pointed out that development cific plans for Cuba. A year ago, Britain’s However, so far the implementation of institutions such as the Inter-American Hive Energy revealed it had secured a the program is slow, due mainly to the Development Bank (IADB) might have 50 MW PV contract in the Caribbean difficulties to access financing for many interest in financing renewable energy country. The plant is located in the Mariel projects. projects in Cuba. Also German Invest- Special Economic Development Zone, a The embargo against Cuba with the ment Corporation (DEG), that pro- port area close to the capital Havana that Helms-Burton Act makes it difficult to vides financing for German companies the Cuban government wants to develop. access financing from big international in development countries, might make German company Soventix has a banks. However financing from devel- financing available for Cuba in the future. 50 MW project in Cuba in its portfo- lio, according to its website. However, the firm has not yet revealed any details about the project’s status. Soventix pre- Photo: Alusin Solar viously worked on one of the Caribbe- an’s biggest solar PV projects to date – a 33 MW facility in the Dominican Repub- lic. In contrast, specific details about Chi- nese involvement in the program are available. China already financed one of the first PV plants built in Cuba, a 1 MW facility opened at the end of 2013 at the Expocuba exhibition centre in Havana. In addition, in February last year Cuba and China signed a trade agreement to install 100 MW under the program. And this year, China’s financial sup- port will enable installation of 9 MW of PV capacity, as Minister Alfredo López Valdés said while appearing on Mesa Redonda. Support has also been secured for Cuba’s PV program from the Inter- national Renewable Energy Agency Cuba’s largest rooftop system to date is this 688 kW array, located on the roof of, not entirely (IRENA). This comes in the form of a surprisingly, a rum producer. 07 / 2017 | www.pv-magazine.com 29

Rubrik Photo: Alusin Solar ing to grid infrastructure, which is also why the program is currently limited to 700 MW. Nevertheless, proposals have been made to strengthen the electric- ity networks and increase the volume of PV. For example, Daniel Stolik Novygrod of the University of Havana’s Faculty of Physics has drawn up a series of propos- als that would enable Cuba to take much greater advantage of solar power. These measures include strengthening networks, building smart and micro- grids, adjusting rates and managing eve- ning power consumption, using battery systems, and prioritizing natural storage (pumping water), and developing solar Alusín Solar supplied the mounting systems on the rum distillery’s roof. close to the points of consumption. “The country’s general load curve Another hurdle is that there is more able energy Ainair. He also emphasizes shows a big spike in electricity consump- bureaucracy in Cuba than in other coun- that Cuba has many qualified profession- tion after the sun goes down,” explains tries in the region and it takes longer to als and engineers. Stolik Novygrod. However, he believes set up a company. Cuba has extensive experience of that scope exists to incorporate much “Financing and bureaucracy are the building and operating distributed PV more PV power than the volume cur- main hurdles for renewable energy in systems, as evidenced by the fact that rently planned by the government. “My Cuba,” says the Deputy Director of the 99.5% of its 11.2 million population has proposal is to substantially increase the German Chamber of Commerce for Cen- access to electricity. The deployment of 700 MW through to 2030,” he says. Sto- tral America and the Caribbean Maria distributed solar in Cuba resulted in a lik believes that 2 to 3 GW of solar PV by Olga Brauns, who sees the renewable module factory being established, and 2030 is possible. energy program as a positive signal. But expanded several years ago to meet the One of Stolik Novygrod’s proposals is “even if they say that they want the autho- government’s plans to install PV systems to encourage distributed generation proj- rizations to be given quickly, in Cuba the throughout the country. The production ects or install rooftop or ground-mounted process is long.” centre, which currently has a 15 MW systems, based on a self-consumption In addition to this, Cuba is not holding capacity and provided the country’s first model. Cuba’s self-consumption segment a clear and transparent process to award solar farms with Cuban-made modules, is only just beginning to emerge. The big- licenses for renewable energy projects is located in the province of Pinar del Río. gest rooftop plant built on the island to like in other countries in the region and With the government’s new renewables date is a 688 kW system installed at a rum there is little public information on the and PV plans, the facility is expected to producer in Santa Clara. This project was program. It is also likely that there are be increased to 65 MW. developed by Spanish company Ainair, some changes in store for its implementa- and utilizes SMA inverters and Alusín tion depending on financing and foreign Self-consumption mounting systems. investors. Many companies have interest Cuba’s PV potential goes way beyond ini- Although Cuba’s retail and industrial in investing in solar projects in Cuba but tial public programs. In addition to the segments offer plenty of potential, the are waiting to see how key policies evolve. 700 MW currently spread across 191 sites, highly subsidized electricity in the resi- A representative of a German EPC pro- currently in varying stages of develop- dential market keeps domestic rates for vider points to the current difficulties to ment, the Cuban government is looking small-scale consumers extremely low. obtain financing as an important hur- at the possibility of equipping 500 MW Cuba’s many reasons for implement- dle but is optimistic that this hurdle will of that with battery storage. This proj- ing a renewables program include the be overcome. “We have interest in Cuba ect, however, is still in the early stages of government’s more open approach to the and are optimistic about the renew- development. outside world, the desire to cut emissions, able energy program but we would like These 191 projects, already past the pre- and the fall in oil supplies from Venezu- to know clearly all the requirements to feasibility stage, are located the length ela due to that country’s current dire eco- implement a PV project under the pro- and breadth of the country. Cuba, the nomic crisis. gram,” he says. West Indies’ biggest island at over 1,200 Whatever the motives, the program The process of doing business in Cuba kilometers long, is home to practically has generated plenty of interest. And is long but on the other hand, Maria Olga all the projects. That said, three facilities although financing has not yet been Brauns underlines that Cuba usually pays with an overall capacity of 4.2 MW have announced for the entire 700 MW, the on time. been built on Isla de la Juventud as part first few projects it gave rise to have “The government is willing to support of the program. already been completed. Furthermore, the development of renewable energy,” The power plants are purposely Cuba has scope to set even more ambi- says a representative of Spanish renew- spread out for technical reasons relat- tious PV goals. S Rosa Pérez Cardama 30 07 / 2017 | www.pv-magazine.com

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Markets & Trends Markets & Trends Countrywide Others Others 20.0 Elecnor Elecnor UGL 110.0 110.0 Australian mega months Tomlinson 132.0 RCR UGL 132.0 EPC 373.5 Bouygues … plus project pipeline, 214.8 preferred Downer Utility-scale market: Nothing shows the building momentum in the Australian 805.0 utility solar sector better than the avalanche of announcements seen so far this year. confirmed … (MWAC) The unprecedented burst of activity includes decisions on financing, construction Bouygues contracts, and asset sales, demonstrating beyond all doubt that large-scale solar 214.8 RCR will be smashing records this year, next year, and probably the year after that. Downer Tomlinson 373.5 270.0 Here, Sustainable Energy Research Analytics provides four key charts to explain recent developments and assess the impact the past months have had on the sector. EPC explosion Hand in hand with financial close come engineering, procurement and construction (EPC) contracts. Given the scale of financing activity, it is no surprise that the EPC sector has also been subject to a series of key announcements. Since mid-April, seven projects have confirmed a construction partner, covering 442 MWAC of capacity. This has caused a reshuffle of our solar EPC rankings based on confirmed contracts, bumping UGL into the fourth spot and Elecnor into fifth. UGL has secured contracts for Colinsville and White Rock; RCR Tomlinson landed Oakey and Longreach, and converted Darling Downs from preferred status; Elecnor has been engaged on the first stage of Bungala, and Downer has locked in Ross River Solar. 805.3 The inclusion of preferred contractor volumes continues to tell a different story: Downer has a strong pipeline of projects that are yet to reach financial close. And we expect at least 1 GW of capacity is subject to preferred EPC arrangements that are not yet public. M&A movement 2017 375 MWAC 2016 229 MWAC Capacity (MWAC) We have stuck firmly to our view that 2017 will be a big year for asset M&A deals, and we are slowly being rewarded for our faith. of assets that have reached The most recent deal is APA Group’s purchase of the Darling Downs solar project from Origin Energy at the beginning of May. And around 10 days earlier, ENEL Green Power and DIF purchased stage one of the Bungala project from Reach Solar. Both projects have a capacity of 110 MWAC, and while sale prices financial close in 2017 have not been disclosed, we estimate a price tag of between AU$10 million (US$7.6 million) and AU$20 million (US$15.2 million) for each. When combined with the sale of the Barcaldine operation in February, 2017 has seen 240 MWAC of capacity change hands in the first five months. This exceeds the level of activity in the whole of 2016, and there is likely to be far more to come. The value of deals – we estimate a combined deal value of around AU$60 million (US$45.7 million) so far this year – remains lower than in 2016, largely because the traded assets this year are dominated by projects yet to be built, and have considerably lower levels of grant funding. 0.0 907.0 Financing finesse Pipeline progress We have been keeping regular readers updated The projects are Oakey and Longreach (Canadian 1. Concept with the progress of projects towards the all Solar), Ross River Solar (ESCO Pacific), Collinsville important milestone of financial close, and it has (RATCH), Darling Downs (APA Group), and White 2. Feasibility been getting busy out there. Rock (Goldwind). Since the beginning of May, six projects have May was the high point of an already active year: 3. Detailed design secured financing, accounting for 312 MW of So far in 2017, 14 projects have been financed, generating capacity, and well over AU$500 amounting to 805 MWAC. It appears that 1 GW 4. Construction million (US$381 million) of investment by our could easily be surpassed by the end of the year, estimates. a remarkable thought even just a year ago. 5. Operating Total Sustainable Energy Research Analytics provides commercial MWAC 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 intelligence on the Asia-Pacific solar, wind and storage sectors. Visit www.seranalytics.com Sources: Sustainable Energy Research Analytics What does this mean for the bigger solar picture in Australia? Our tracker shows almost 1 GW of capacity is currently under constuction. This is a slightly fluid Graphics: pv magazine/Harald Schütt concept: Projects which have reached financial close but are yet to actually get underway remain in our Detailed Design category for the time being, but Map: Виктор В/Wikimedia expect the ‘Construction’ stage to swell over the coming weeks. As for the total pipeline, yes that really is 9 GW of potential capacity. 32 07 / 2017 | www.pv-magazine.com 07 / 2017 | www.pv-magazine.com 33

Markets & Trends Markets & Trends Countrywide Others Others 20.0 Elecnor Elecnor UGL 110.0 110.0 Australian mega months Tomlinson 132.0 RCR UGL 132.0 EPC 373.5 Bouygues … plus project pipeline, 214.8 preferred Downer Utility-scale market: Nothing shows the building momentum in the Australian 805.0 utility solar sector better than the avalanche of announcements seen so far this year. confirmed … (MWAC) The unprecedented burst of activity includes decisions on financing, construction Bouygues contracts, and asset sales, demonstrating beyond all doubt that large-scale solar 214.8 RCR will be smashing records this year, next year, and probably the year after that. Downer Tomlinson 373.5 270.0 Here, Sustainable Energy Research Analytics provides four key charts to explain recent developments and assess the impact the past months have had on the sector. EPC explosion Hand in hand with financial close come engineering, procurement and construction (EPC) contracts. Given the scale of financing activity, it is no surprise that the EPC sector has also been subject to a series of key announcements. Since mid-April, seven projects have confirmed a construction partner, covering 442 MWAC of capacity. This has caused a reshuffle of our solar EPC rankings based on confirmed contracts, bumping UGL into the fourth spot and Elecnor into fifth. UGL has secured contracts for Colinsville and White Rock; RCR Tomlinson landed Oakey and Longreach, and converted Darling Downs from preferred status; Elecnor has been engaged on the first stage of Bungala, and Downer has locked in Ross River Solar. 805.3 The inclusion of preferred contractor volumes continues to tell a different story: Downer has a strong pipeline of projects that are yet to reach financial close. And we expect at least 1 GW of capacity is subject to preferred EPC arrangements that are not yet public. M&A movement 2017 375 MWAC 2016 229 MWAC Capacity (MWAC) We have stuck firmly to our view that 2017 will be a big year for asset M&A deals, and we are slowly being rewarded for our faith. of assets that have reached The most recent deal is APA Group’s purchase of the Darling Downs solar project from Origin Energy at the beginning of May. And around 10 days earlier, ENEL Green Power and DIF purchased stage one of the Bungala project from Reach Solar. Both projects have a capacity of 110 MWAC, and while sale prices financial close in 2017 have not been disclosed, we estimate a price tag of between AU$10 million (US$7.6 million) and AU$20 million (US$15.2 million) for each. When combined with the sale of the Barcaldine operation in February, 2017 has seen 240 MWAC of capacity change hands in the first five months. This exceeds the level of activity in the whole of 2016, and there is likely to be far more to come. The value of deals – we estimate a combined deal value of around AU$60 million (US$45.7 million) so far this year – remains lower than in 2016, largely because the traded assets this year are dominated by projects yet to be built, and have considerably lower levels of grant funding. 0.0 907.0 Financing finesse Pipeline progress We have been keeping regular readers updated The projects are Oakey and Longreach (Canadian 1. Concept with the progress of projects towards the all Solar), Ross River Solar (ESCO Pacific), Collinsville important milestone of financial close, and it has (RATCH), Darling Downs (APA Group), and White 2. Feasibility been getting busy out there. Rock (Goldwind). Since the beginning of May, six projects have May was the high point of an already active year: 3. Detailed design secured financing, accounting for 312 MW of So far in 2017, 14 projects have been financed, generating capacity, and well over AU$500 amounting to 805 MWAC. It appears that 1 GW 4. Construction million (US$381 million) of investment by our could easily be surpassed by the end of the year, estimates. a remarkable thought even just a year ago. 5. Operating Total Sustainable Energy Research Analytics provides commercial MWAC 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 intelligence on the Asia-Pacific solar, wind and storage sectors. Visit www.seranalytics.com Sources: Sustainable Energy Research Analytics What does this mean for the bigger solar picture in Australia? Our tracker shows almost 1 GW of capacity is currently under constuction. This is a slightly fluid Graphics: pv magazine/Harald Schütt concept: Projects which have reached financial close but are yet to actually get underway remain in our Detailed Design category for the time being, but Map: Виктор В/Wikimedia expect the ‘Construction’ stage to swell over the coming weeks. As for the total pipeline, yes that really is 9 GW of potential capacity. 32 07 / 2017 | www.pv-magazine.com 07 / 2017 | www.pv-magazine.com 33

Applications & Installations Photo: Powerway Trackers blanket global markets Trackers: Solar tracker manufacturers are blanketing the global market faster than ever, as regulatory regimes open new country markets, as marketers push sales beyond the massive U.S. market, and as major players vie for the bulge bracket. China’s Powerway is ramping up sales in Asia, meanwhile making an entry into the Middle East market. GTM Research’s Scott Moskowitz Few players control the bulge market, GTM reports. Mahindra, Exo- reported in April that the 2016 market bracket sun, and SunLink each controlled 1% of for trackers amounted to 11.6 GW. This The top few players continue to battle the global market, and all others com- stunning capacity is expected nonethe- for the top global slot. Array Technolo- bined represented 10%. less to reach 26.8 GW by 2025, accord- gies has long held the megawatt record The net result is that the top four com- ing to a December report by Grand View for trackers installed, but in 2016, Nex- panies controlled 64% of the global mar- Research. tracker logged a market share of 30% of ket. Perhaps surprisingly, these four The speed of adoption is perhaps more global sales, compared with only 17% for companies controlled 74% of the global surprising than the capacities involved. Array, according to GTM. market in 2015, so the component shares Installed PV tracker capacity is expected From these leadership positions, the of this bulge bracket are likely to continue to grow at over 18% through 2024, Grand- 2016 global market share drops to 10% for to shift as regional demands accelerate at view predicts. First Solar, and to 7% for Convert Italia. varying rates outside of the United States. Not surprisingly, the utility-scale Arctech Solar and SunPower each con- In the same way that the slow evolution tracker installations are driving demand, trolled 6% last year, while Soltec logged of global demand for trackers moved the which is projected at over 23.8 GW in 4%, Nclave 3%, and Scorpius and Sun biggest target from Europe to the United 2025, the analyst reports. Action each controlled 2% of the global States a few years ago, now new tracker 34 07 / 2017 | www.pv-magazine.com

Applications & Installations suppliers in China and India are rap- continents, where over 1,000 utility-scale kets around the world, including Mexico, idly emerging. “Indian and Chinese ven- arrays with some 3 GW of capacity are the United Kingdom, India, Turkey, and dors climbed the charts in 2016 as track- in operation, according to Peter Aschen- other countries in South America,” says ers have become more popular in those brenner, the Executive Vice President for Bill Gross, the CEO of the company. countries, and the market continues to Corporate Strategy and Business Devel- globalize,” GTM notes. opment for the company. Now that the Mainstay U.S. market company has begun supplying Oasis sys- The U.S. utility market for PV trackers Demand varied, but brisk overall tems to third-party developers, the global is massive: 7.4 GW in 2016, GTM counts. Moskowitz reasons that, “Though the spread of the technology is expected to Among rapidly-rising U.S. market sup- United States will remain the leading quicken. pliers is GameChange Solar, which now market for trackers through 2021, China One European tracker maker that controls about 1% of the market and is and India will experience the most sig- recently has grown quickly into the top ranked as the ninth largest suppler in the nificant growth.” 10 suppliers’ ranks is Convert Italia. “Last comparison of 2016 sales by GTM, says A dozen or more tracker companies year we supplied around 1 GW of trackers CEO Andrew Worden. already have well-established interna- to [countries as varied as] China, Chile, Part of the U.S. volume demand tional marketing and support teams. Brazil, India, and South Africa. Now, we increase for trackers is that the technol- “Going back 28 years, we have installed are planning to supply projects in Zam- ogy has proven itself under some of the trackers in north of 30 countries,” says bia, Morocco, Jordan, Colombia, and harshest climate tests on the planet. As Tom Conroy, President of Array Tech- Argentina,” says Giuseppe Moro, CEO trackers prove that structural design can nologies. Array is still expanding its net- of the company. withstand both hurricane-level winds, work, recently opening new offices in Mechatron, another major supplier and unending snowstorms, more clients Abu Dhabi and Madrid, with Buenos in Europe, is also expanding in several in the north and along coast lines will Aires next in line. “It seems clear to us other regions. “We are working with U.S. install them. that the potential for growth in inter- and European customers who are doing Snow load complicates PV tracker national markets far exceeds the rate at projects in Canada, Mexico, the Carib- functionality in several ways, points out which the U.S. market is growing. “Solar bean, and South Asia,” says Matt Kesler, Steve Daniel, the Executive Vice Presi- is beginning to be most concentrated in the Commercial Director for the compa- dent of Sales at Solar FlexRack. To over- the latitudes around the equator, which ny’s U.S. unit. come the added stress of snow, the com- we believe will be a mega-trend.” Similarly, Optimum Tracker has pany is designing arrays with heavier Degerenergie is one long-established “tracker projects in the pipeline in steel components in situations where European player that has gone very India, Pakistan, Australia, Brazil, Chile, additional loads warrant the extra cost. global. “Deger is selling its products in and South Africa,” says Marine Fabre, About 75% of the company’s historic 70 countries, and has sales and manufac- the Communications Manager for the tracker sales have been in Canada, he turing operations in six countries. Major company. notes. “Now we are seeing momentum markets to date are Turkey, Canada, and Another rising European supplier is in Northern California, Oregon, Mon- South Africa, while new markets are Trackers Feina. “We are mainly expand- tana, and Minnesota,” he says. being targeted in India, Southeast Asia, ing into Morocco, France, and India,” There also remains a relatively South America, and Africa,” says Peter notes Ignasi Sivillà, CEO of the company. untapped segment in commercial and Scherer, the company’s Manager of Inter- One budding tracker supplier already industrial applications. “Our path to national Sales. moving into international markets is lightning-fast growth was born in our SunPower, which recently launched Edisun Microgrids. “We are in active decision to design a tracker product to its third generation Oasis Power Plant, is discussions with distributors and strate- meet the needs of the vastly underserved active in nearly a dozen countries on six gic partners in high-growth solar mar- commercial and industrial rooftop mar- A dv er tisemen t

Applications & Installations Tasked with maximizing energy capture, Europe: solar tracking technology is finding its way Austria 8.04 / 0.5 into a growing number of solar markets. Belgium 0.015 / 0.2 Based on data from the 2017 global tracker Croatia 2.0 / – survey run by pv magazine, the tracker Canada France 56.535 / 63.27 industry has continued to expand over the 33.15 / 10.0 Germany 8.1 / 2.0 previous 12 months, while its geographic Greece 61.5 / 0.5 focus has remained mostly unchanged. Italy 12.015 / 0.1 Hosting roughly 65% of tracking installations United States Lithuania 0.08 / – brought online in this period, the United 8,394.6 / 2,594.6 Poland 0.06 / 0.1 Turkey 3.1 / 35.2 States continues to control the top of the Potugal 0.05 / – Iran China chart, tightly holding the number one spot Mexico Romania 0.08 / 0.1 Israel Jordan 10.0 / 20.0 270.7 / 430.0 Japan with 8,394.6 MW. Meanwhile, the country has 276.0 / 752.0 Spain 33.0 / 0.5 Morroco 35.0 / – 171.5 / 112.0 10.63 / 5.0 also seen a dramatic increase in the number 1.47 / 6.6 Palestine India Taiwan 1,251.14 / 634.5 of projects under construction and under 0.14 / – 5.0 / 10.0 contract, reaching 2,594.6 MW, up from last Senegal Uganda Thailand 0.64 / – 2.0 / 20.0 year’s figure of 333.4 MW. Sri Lanka 12.5 / – A flurry of tracker activity was once again Peru Brazil 12.0 / – 1,020.6 / 847.0 163.0 / – seen in India, demonstrating the country’s Rwanda accelerating shift to clean energy. With 13.0 / – 1,251.14 MW, India is firmly established as the world’s second largest market in regard to Global tracker Chile Namibia Australia installed trackers. However, its pipeline of deployment and 598.5 / 34.0 24.9 / 13.0 Global installed: 206.19 / 587 projects is currently lagging behind those of South Africa Brazil (847 MW) and Mexico (752 MW). pipeline by Argentina 130.0 / 8.0 12,827.235 / 6,532.67 The country with the third highest tracker country – / 345.0 Source: pv magazine / Marija Djordjevic Installed tracker capacity / under construction and contracted (all in MW) megawatts installed is Brazil, replacing Chile as last year’s second. With no megawatts of installed trackers in the previous year to as much as 1,020.6 MW and the world’s second making a grand entry into the world tracker Meanwhile, Jordan is still in the lead in the biggest pipeline, Brazil has shown itself to be chart. Aside from Brazil taking up the mantle sun-drenched MENA region, with 171.5 MW a market with one of the most rapid paces of of the region’s tracker leader, and Chile’s still installed and 112 MW of trackers underway. adoption for sun-tracking technology. significant role, Honduras and El Salvador Conversely, based on the data from survey Meanwhile, Australia has significantly have disappeared from the tracker map. respondents, the United Arab Emirates ramped up its tracker market as of last year, Meanwhile, Mexico is rising strongly with ceased to be visible on the map. when it had some 95.6 MW installed and no 276 MW of operational trackers added in the As for China, the growth of its project pipeline reported. As suggested by leading past 12 months and a stunning 752 MW of pipeline is making for interesting develop- international tracking suppliers, the country projects under contract and under construc- ments. With 430 MW of trackers expected now boasts 206 MW of installed trackers tion. to become operational, the solar giant has along with 587 MW of trackers contracted In comparison to last year’s statistics, Europe seen a marked increase on last year’s 60 MW, and under construction. has seen the most precipitous decline in making significant inroads into the global In Latin America, Argentina is awakening tracker activity, with France’s figures halved market. with 345 MW of trackers in the pipeline, and Italy losing momentum. Marija Djordjevic ket – a trillion-dollar opportunity in the solar Technologies, which has acquired Miguel Clavijo, CEO of Grupo Clavijo, U.S. alone,” says Gross. all holdings, operations, and rights to said, “With the support of Q-Growth, we The demand for trackers in Europe is the group’s tracker business, with Alex- are taking a major step towards making still substantial, with over 300 MW sold andros Giannis now at the helm as CEO. the most advanced solar tracking tech- there last year, GTM says. Many of the Mecasolar has sold trackers into 45 coun- nology available to developers, EPC con- global tracker leaders are from Germany, tries, but continues to supply the Euro- tractors, and installers worldwide.” Spain, France, and other countries on the pean market, including emerging coun- China, in particular, boasts a long list continent. try adopters. In January, for example, the of tracker manufacturers, representing Competing in Europe may seem dif- company announced a 2.2 MW project many of the 177 manufacturers listed in ficult, given the number of tracker sup- in Turkey. the EDF global solar index, a historic, pliers based there, but new technology is Another reorganization by a Euro- cumulative listing of companies that at difficult to resist. Mechatron, which has pean tracker company came in Febru- some time have claimed tracker manu- sold 4,000 trackers in Europe, now sup- ary, when Grupo Clavijo, MFV Solar, and facturing capability. However, Powerway, plies the “only completely gearless verti- the Q-Growth Fund, formed Nclave. The Arctech, and Big Sun seem to be leading cal-axis trackers commercially available company now has over 2 GW installed in the Asia Pacific market, which totalled in the U.S. and Europe,” says Kesler. 40 countries, of which 255 MW were in 2.3 GW last year, GTM reports. Spain’s Mecasolar group recently Europe and 378 were in South America, at Powerway sales alone indicate these formed a new holding company, Meca- the end of 2016. At the time of the merger, numbers will be left in the dust this year. 36 07 / 2017 | www.pv-magazine.com

Applications & Installations Europe: Austria 8.04 / 0.5 Belgium 0.015 / 0.2 Croatia 2.0 / – France 56.535 / 63.27 Canada Germany 8.1 / 2.0 33.15 / 10.0 Greece 61.5 / 0.5 Italy 12.015 / 0.1 United States Lithuania 0.08 / – 8,394.6 / 2,594.6 Poland 0.06 / 0.1 Turkey Potugal 0.05 / – 3.1 / 35.2 Iran China Mexico Romania 0.08 / 0.1 Israel Jordan 10.0 / 20.0 270.7 / 430.0 Japan 276.0 / 752.0 Spain 33.0 / 0.5 Morroco 35.0 / – 171.5 / 112.0 10.63 / 5.0 1.47 / 6.6 Palestine India Taiwan 1,251.14 / 634.5 0.14 / – 5.0 / 10.0 Senegal Uganda Thailand 2.0 / 20.0 0.64 / – 12.5 / – Peru Brazil Sri Lanka Graphic: pv magazine/Harald Schütt 163.0 / – 1,020.6 / 847.0 12.0 / – Rwanda 13.0 / – Global tracker Chile Namibia Australia deployment and 598.5 / 34.0 24.9 / 13.0 Global installed: 206.19 / 587 pipeline by Argentina South Africa 12,827.235 / 6,532.67 130.0 / 8.0 country – / 345.0 Source: pv magazine / Marija Djordjevic Installed tracker capacity / under construction and contracted (all in MW) A dv er tisemen t

Applications & Installations Photo: Soltec ulatory reforms and government-spon- sored auctions. About 1.1 GW were sold into the region last year, GTM says. Soltec announced in May that it had won a 238 MW project in Mexico, accord- ing to Tim Murphy, the Communications Manager for Soltec America. The com- pany has manufacturing facilities in Bra- zil, China, and Spain, as well as offices in Denmark, Chile, India, Israel, Italy, Mex- ico, Peru, and the United States. Among other tracker makers selling big volumes into Latin America, Con- vert Italia has staked out a leadership role. “According to GTM Research, we rank Soltec’s SF7 Single-Axis Tracker: Soltec is claiming the lion’s share of Brazil’s burgeoning market. first in Latin America and first in Bra- zil,” says a spokesperson for the company. According to Ben Ho, the Director of ized and long-term commitments can be The very promising Middle East and Sales for the company, they “shipped promised to clients,” he added. Scorpius African market for trackers is only begin- 90 MW in 2016, and have sold 200 MW Tracker is another leading tracker sup- ning to unfold, though some 254 MW thus far this year.” Globally, the com- plier in India, with 190 MW installed were sold there last year, GTM reports. pany is forecasting 700 MW in sales this there, ranking third in the country for “In the Middle East, where they’ve year. “We have three overseas operation 2016 sales, according to GTM. However, announced gigawatts of projects, solar branches in Japan, Pakistan, and South the company is also quite focused on is economic, environmental, and highly Africa. With a track record of more than international expansion. “Scorpius has strategic,” says Conroy. Some of the 2.1 GW, Powerway is dedicated to pro- already launched its technology in the lowest-priced bids for solar arrays have viding the [most] cost-effective tracking Middle East, Japan, China, and Mexico been registered in recent auctions in the system to customers,” he said. “Powerway earlier this year,” says Shailesh Vaidya, region. will centralize and put more resources the CEO of the company. Saudi Arabia reportedly short-listed 27 into APAC (the Asia Pacific region) and India has many locations that demand companies in April for a 300 MW auc- the Americas market, and meanwhile close attention to cleaning, given the dust tion. The county has set a goal of adding will enter the Middle East market,” he levels. To combat the harsh conditions 9.5 GW of renewables by 2030. adds. there, Alion Energy designed its system While many of the world’s leading Big Sun and its iPV tracker has also for installation on sand. “Alion is focused tracker suppliers are vying for mega-proj- been very active in China. “Some of on high growth markets like Mexico, ects in the Gulf countries, some are qui- Big Sun’s strategic partners are leading India, and the Middle East,” notes Jesse etly raising the profile of PV tracking to a top tier Chinese PV enterprises. Beside Atkinson, the Vice President of Market- collectable art. Smartflower has a tracker China, Japan continues to be an impor- ing and Business Development for the installed in the courtyard of Abu Dhabi’s tant market for us. Overall, we have won company, which recently rolled out its national municipal building. contracts for hundreds of megawatts new tracker design. Africa is not yet rolling out enor- around the world,” pronounces Sandy While these markets are the growth mous arrays, but the continent is ripe for Wang, a marketing specialist for the leaders for solar, they present unique growth. Ideematec has pioneered several company. challenges compared to markets like the Africa markets, now boasting a portfo- India, the next largest market in the U.S. and Europe. “These markets have lio (including both installed projects and Asia Pacific region, has been faster to higher levels of pollution and dust, cor- those under construction) of 33 MW in adopt trackers than China. Nextracker rosive desert soils, low labor quality, and South Africa, 26 MW in Namibia, 22 in June announced that it sold over 1 GW many remote projects that are difficult to MW in Senegal, and 13 MW in Rwanda, of solar trackers to utility-scale power maintain,” states Atkinson. according to CEO Christian Salzeder. plants in India. One new player in the Indian mar- Optimum is another leader in Africa, “The competitive global tracker mar- ket is already a heavyweight. “Launched where it now has over 30 MW installed, ket changed when India announced the in 2016 Mahindra Susten now has a according to Communications Manager ambitious target of 100 GW of solar power 481 MW tracker portfolio in India and Fabre. Among other European tracker by 2022. Obviously, this makes it a boom- Thailand,” says Monika Rathi, a spokes- suppliers that are meeting with success ing market, and there’s no doubt India person for the company. GTM calculates in Africa is Exosun. “In 2016, Exosun will rank among the top three solar mar- that Mahindra sales in 2016 represented secured its first project in Namibia. This kets in 2017,” says Guy Rong, the President a 12% market share in India, and a 1.5% success has enabled Exosun to mobilize of Arctech Solar. “We have established global market share. its South African suppliers for this first an Indian company as a home market Apart from the initial boom in Chile, project,” says Maria Lahuerta, the Direc- besides China, which means more and now Brazil and Mexico are opening up to tor of Marketing for the company. S more aspects of our business can be local- large tracker projects, thanks to new reg- Charles W. Thurston 38 07 / 2017 | www.pv-magazine.com

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Applications & Installations Photo: EDF French utility EDF has teamed with U.K. renewable energy developer Lightsource to deliver the Sunplug system, which comprises PV panels, storage, and monitoring software and is available throughout the U.K. Blue is the new black Utilities and solar: The old structures of centralized power generation are slowly being eroded by a combination of more affordable solar PV and cleantech innovation. Many of Europe’s big utilities were initially resistant to this changing of the old guard, but a growing number are now realigning their business structures to place PV at the forefront. Few, if any, individuals should look do obviously have ramifications beyond has come not from politicians, but from towards U.S. President Donald Trump U.S. borders, very few within the solar big business. Socially and environmen- for guidance on energy policy. Since his industry are unduly concerned by this tally conscious blue chip companies appointment, Trump’s relationship with latest act of self-sabotage. such as Apple, Google, Facebook, Ikea, power generation sources of all stripes Solar will survive and thrive with or and Walmart have all pursued renewable has been marked by a series of missteps. without U.S. involvement in the Paris energy policies. This is something to be His biggest stumble came on June 1 when Agreement. Some even make the argu- welcomed and celebrated. But even more he announced – to the surprise of nobody ment that Trump’s hear-no-evil handling importantly, many of the world’s lead- – that he was to pull the U.S. out of the of renewables may actually be a boon for ing utilities – hitherto knee-deep in fos- Paris Agreement on Climate Change. the wider world, prompting other nations sil fuels – are now embracing the oppor- An unabashed climate change denier, to pick up the slack in lieu of American tunities that solar, wind, and other forms Trump is essentially staring hard science engagement. of renewables offer. in the face and shaking his head in dis- But the surest sign that the world is And most are not doing it out of the agreement. But while America’s actions finally ready to tackle climate change goodness of their hearts. Rather, they 40 07 / 2017 | www.pv-magazine.com

Applications & Installations realize that solar makes economic sense, and offers something that their custom- ers – their lifeblood – want. “The train has left the station, and it Photo: Jens-Olaf Walter/flickr won’t be coming back,” Claus Watten- drup, Head of Business Development for Wind and Solar at Swedish utility firm Vattenfall told pv magazine. “Vattenfall knows better than most how the energy system is changing, with more flexible systems and prices. Renewables and stor- age play an important role in this, which is why we have begun to pursue these industries over the past couple of years.” One of Europe’s largest producers of coal, Vattenfall nevertheless has the over- all goal of becoming CO2-free, with Wat- tendrup admitting that the company has no alternative but to change its approach if it wishes to remain a pivotal player in Europe’s new energy mix. And it’s not just Vattenfall. Throughout Europe, most of the largest utilities have made a series of head-turning invest- ments in the world of solar, storage, and Swedish utility Vattenfall currently has 20 coal generation units in Europe, but is taking proactive steps wind. Germany’s E.ON pivoted towards to become carbon-free, most notably with its forays into wind power and, more recently, solar. solar in 2014, and has since begun to branch out beyond Germany into the plants, but now we are a bit more agile, tomers more easily by offering solar, U.K. and the U.S., partnering with both and that means solar has a more impor- especially when combined with digital Google and German battery developer tant role to play.” services.” Solarwatt to offer a new suite of services Both Vattenfall and E.ON admit that E.ON has partnered with Google and and products. the tumbling price of solar, allied to being Solarwatt to offer rooftop solar+storage “We were originally very skeptical an energy source that customers like and bundles for residential customers in Ger- about solar,” admits Markus Nitschke, want, was enough for the two giants to many and the U.K. The cooperation with spokesperson for E.ON Climate & alter their course. “Solar is a market for Google has brought a digital dimension Renewables division. “The old E.ON was B2C, a customer-driven energy source,” to the firm’s offering, replacing paper driven by large coal and gas-fired power said Nitschke. “We can gain new cus- bills stuffed through letterboxes with a A dv er tisemen t PatentedTechnology Try the power of innovation. Independant rows. Self-Powered and Wireless. Taste simplicity. Cloudy sky efficiency management. Remote control monitoring. Enjoy the benefits. And smart engineering teams at your service. optimum-tracker.com

Applications & Installations more user-friendly online platform that have colleagues who have worked at Vat- making the move into solar and decen- allows homeowners to better manage tenfall for 30+ years on coal power plants tralized energy as the price of PV became their energy consumption. who initially had a hard time under- competitive. “Solar is not as intrusive as “We are becoming more of an IT com- standing why we chose not to renovate wind, and people definitely like it more,” pany, in all honesty, learning more about a coal plant but invest instead in a solar Wattendrup said. Vattenfall is currently digital marketing as we go along. We plant.” working on a 400 MW pipeline for wind- launched a solar cloud 1.0 version, and This, Wattendrup admits, has been a solar hybrid installations where PV will extend and improve this step-by- source of conflict at times, stressing that plants are to be added to existing Vat- step,” explained Nitschke. “In former such resistance is normal when a com- tenfall wind farms across Europe. “The times rolling out a new platform would pany changes. “Partly it is our own fault. benefit for Vattenfall as an existing wind have been unwieldy and taken a lot of We have perhaps been a bit arrogant in developer and operator is that we have time, but now we have a first launch and the past, and maybe stood in the way of already built good relationships with land then work together with our customers smaller developers to hinder their prog- owners and authorities, and we have the to develop the next steps, drawing upon ress. And this is not forgotten.” grid-connection in place. Adding solar is their feedback and experiences.” The reputation of big utilities in the cheaper, and offers a more balanced feed- eyes and minds of customers is both a in profile at the grid-connection point.” Agile, but stable hurdle, but also a source of opportunity, Vattenfall will add solar to all of its This agility, this reactive fleet-footed- added Nitschke. “When pivoting to solar, wind farms, aside from those in the very ness, felt initially jarring for some E.ON we quickly learned that people expected north of Scotland, Wattendrup said. The employees, admits Nitschke – a view E.ON to have the ability and the capacity firm’s total investment in solar and stor- shared by Vattenfall’s Wattendrup. to do solar, and do it well. It is the same age over the next two years will be more But as the old energy structures have with our new e-mobility venture – cus- than $225 million. begun to erode, so too have conservative tomers expected this of E.ON, for us to mind-sets. be in these spaces. And of course, nobody Money talks “The Vattenfall board is fully behind questions whether our products will be Solar now offers better bang-for-buck renewables,” said Wattendrup. “For years reliable. Because it is an E.ON service, it than most other forms of energy, finite it has been clear to management that this is never a question for them.” or otherwise. Half of all new energy gen- is the growth area. The majority of our Vattenfall took a different route eration capacity added globally in 2016 investments are now in solar and wind. towards renewables, heading first to the was solar, and an increasing portion of Of course, as in all parts of society, we large-scale wind market before finally this growth is being funded by utilities. Europe’s leading utility distributed energy investment portfolios CENTRICA E·ON SOLAR SOLAR Astrum Solar Sungevity Graphic: pv magazine/Harald Schütt OTHER DISTRIBUTED ENERGY RESOURCES ENERGY STORAGE ENER-G Cogan Greensmith DIRECT CUSTOMER ENERGY MANAGEMENT OTHER DISTRIBUTED ENERGY RESOURCES Better Place, Bloom Energy, 4energy, AlertMe, Clockwork Home Service, Noginsky Teplovoy Center, Heat & Power, Econergy, MyJoulo, Panoramic Power United Kingdom Orcan UTILITY DER INTEGRATION DIRECT CUSTOMER ENERGY MANAGEMENT Power Plus Communications Greenwave Systems, Organic Response UTILITY CUSTOMER ENERGY MANAGEMENT Bidgely, Enervee, FirstFuel Germany UTILITY DER INTEGRATION ENGIE AutoGrid, SpaceTime Insight SOLAR BBoXX, Enlight, kWh Analytics, RWE OneRoof Energy SOLAR ENERGY STORAGE Belectric, Conergy, Heliatek Advanced Microgrid Solutions, ENERGY STORAGE Green Charge Sonnen, Stern OTHER DISTRIBUTED ENERGY RESOURCES France OTHER DISTRIBUTED ENERGY RESOURCES Powerdale AIREC, Oxygen Initiative DIRECT CUSTOMER ENERGY MANAGEMENT DIRECT CUSTOMER ENERGY MANAGEMENT C3 Resources, Ecova, KiWi Power, OpTerra RUMM UTILITY CUSTOMER ENERGY MANAGEMENT UTILITY CUSTOMER ENERGY MANAGEMENT Tendril, Retroficiency Bidgely, BigchainDB UTILITY DER INTEGRATION UTILITY DER INTEGRATION Opus One, Sigfox Enercast, Kiwigrid Source: GTM Research 42 07 / 2017 | www.pv-magazine.com

Applications & Installations GTM Research data show that Europe’s top five utilities have all invested hun- Photo: EDF dreds of millions of dollars in renewables over the past 12 months, led by the U.K.’s Centrica (which invested $632 million), France’s Engie ($491 million), Germany’s E.ON ($344 million), and fellow German utility RWE via its renewable energy plat- form, Innogy ($206 million). In the U.S., volumes are lower but the pattern is the same, with Southern Com- pany ($472 milion), Exelon ($257 mil- lion), and Duke Energy ($127 million) all spending big. Since 2010, GTM Research finds, utilities have invested more than $2.9 billion in distributed energy compa- nies, with more than $1 billion of that fig- ure coming in 2016 alone. Peering under the hood of these fig- ures, it becomes clear that utilities have, almost en masse, performed a U-turn on The decentralized energy future places choice and control in the hands of the consumer, meaning their relationship with renewables, mov- utilities have to become more IT-savvy and more proactive at securing and keeping their client base. ing from attack to embrace in a short space of time. Good said, adding that the current eco- cer James Brooks said that the Sunplug A survey of more than 100 utilities nomics of coal are really challenged and offering is “a different way for consum- executives by Accenture found that 58% this, more than any government posi- ers to interact with their utility,” stress- believe distributed generation (DG) will tion, will prove more important in the ing that the entire aim of the product is lead to revenue reduction among utili- long run. to “approach the trend for self-genera- ties by 2030, driven by energy prosumers. tion from a consumer perspective” and Crucially, though, this trend is no longer Home is where the heat is to lower the barriers to entry by making viewed as a threat by the fossil fuel giants, The economic incentive offered by renew- the system available at no up-front cost. but rather an opportunity. ables is no longer something utilities can Also in the U.K., the nation’s largest “The rapid evolution of technology, ignore. Prices are not so volatile, and utility Centrica is launching a $24 mil- better economics and the growing acces- going in only one direction – south. lion pilot project to develop a distributed sibility and environmental appeal of res- Almost half of the Fortune 500 compa- energy network in the English county of idential solar PV has pushed DG from nies now have ambitious climate and Cornwall, placing renewables and stor- the fringe to a mainstream factor on the energy policy goals. Green means good age at the heart of the program. The idea grid,” says Stephanie Jamison, Accen- business, and is absolutely vital for the is to create a virtual energy marketplace ture’s Managing Director of Smart Grid image of a company, particularly as the for more than 150 homes and businesses, Services. “Despite the challenges the inte- consumer is being brought increasingly enabling them to generate, store, and sell gration of PV at scale brings, it is essen- into the fold. energy capacity to both the grid and the tial to meet the growing expectations of In mature solar markets in Europe, wholesale energy market at times of high consumers in order to position utilities many utilities have looked on enviously or low demand. to provide services-based business mod- at the strong relationships solar provid- Utilities that embrace decentralized els that could drive much-needed new ers have struck with their customers, and renewables will not only improve cus- revenue.” they want in. France’s EDF, for example, tomer relations, their environmental GTM Research senior grid edge analyst has recently teamed up with Lightsource footprint and corporate image, but can Andrew Mulherkar remarked in a recent – the largest generator of solar power in also – vitally – deliver lower costs and report that although utilities still have a the U.K. – to offer its Sunplug product, a participate fully in the future energy reputation of being risk-averse, a growing complete solar solution combining pan- mix. “The energy system will change,” number of them now see DG as a growth els, home battery storage, and a home said Wattendrup. “Nobody knows where opportunity and are taking new, calcu- energy management system. this will end up. Maybe we won’t have an lated risks through venture investment. Sunplug customers can either choose energy-only market in 10 years. Perhaps One such utility prepared to take these the complete bundle or add a battery and it will be some kind of capacity payments calculated risks is U.S. firm Duke Energy. management system to their existing or flexible pricing market. What is clear Its CEO, Lynn Good, recently said that solar panels. Financing options include is that renewables and storage will play despite Donald Trump’s talk of reviving buying outright or no up-front payments, an important role, and so to still serve the coal industry, Duke will not alter its allowing homeowners to benefit from a our customers we have to do so with clean current path. “Our strategy will continue fixed ROI of 2.5% per year, Lightsource energy, not fossil fuel energy. That is for to be to drive carbon out of our business,” told pv magazine. Chief Strategy Offi- sure.” S Ian Clover 07 / 2017 | www.pv-magazine.com 43

Applications & Installations Photo: Lumos Global Solar home systems like Lumos can provide affordable, reliable electricity to off-grid and on-grid customers in Nigeria. Unleashing the sun Off-grid in Nigeria: With the largest unelectrified population in Africa, Nigeria holds great promise for off-grid solar companies. Progress on electrifying the country can be accelerated by improving government policies. Nigeria has the second largest unelec- Tanzania, and South Africa occupy ranks improve policies and streamline regula- trified population in the world. Nige- three through six. tions to catalyze the growth of the off- ria’s electrification rate stands at 57.7% Improving the policy environment in grid solar sector. according to the World Bank, meaning Nigeria presents a major opportunity to that 77 million Nigerians live without realize the government’s electrification A vast solar market electricity today. goals. The government has mandated that Nigeria has a vast off-grid market with Compared to other large economies Nigeria’s electrification rate reach 75% by large growth potential. According to the in Africa, Nigeria has greater scope to 2020 and 100% by 2030, with at least 30% Global Off-Grid Solar Market Report improve its policies governing energy of power coming from renewable energy. for the second half of 2016, there were access, according to the World Bank’s If the growth rate of the electrified 150,000 solar home systems and pico Regulatory Indicators for Sustainable population continues as it has over the solar products sold in Nigeria. Over the Energy (RISE) report. Nigeria’s policies last five to 10 years, Nigeria will elec- same time period, four times that num- on energy access ranked 46 out of 55 trify only around 65% of the population ber of solar products were sold in Kenya. countries globally; whereas, other large by 2020 and 75% by 2030. To boost the With an unelectrified population more economies in Africa like Kenya, Uganda, electrification rate, the government must than twice the size of Kenya’s, Nigeria’s 44 07 / 2017 | www.pv-magazine.com

Applications & Installations off-grid solar market remains largely hours of electricity from a generator is led” expansion of mobile money as untapped. Beyond the 77 million Nige- the same price as 24 hours of electricity opposed to the “telecom-led” expansion rians without access to electricity, there from Lumos.” in Kenya. The telecom companies that are millions of Nigerians with electricity Solar products like those offered by have made mobile money widely avail- that could also be well served with a solar Lumos can provide more affordable and able in Kenya are restricted from oper- home system or solar lantern. According reliable access to electricity for both on- ating mobile money services in Nigeria. to a 2013 opinion poll, around 80% of grid and off-grid Nigerians. Only Nigerian banks are able to provide Nigerians use alternate sources of elec- the mobile money services, but the banks tricity. The GIZ in Nigeria estimates that Mobile money and PAYG solar have remained focused on their wealth- between 8 and 14 GW of decentralized The high up-front cost of solar home ier, traditional clients. diesel generator capacity is currently systems is a barrier to many custom- Nigerian banks are less interested installed in the country. ers. PAYG companies allow customers in the lower margins they receive from The intermittency of the national grid to spread that up-front cost over sev- mobile money transfer and have pursued provides an opportunity for solar home eral years. Often, PAYG companies use the business less aggressively than tele- systems providers. Lumos, a pay-as-you- mobile money to process payments for com companies in Kenya. go (PAYG) solar provider, offers solar their energy services. To deal with the low penetration of home systems larger than most competi- The low penetration of mobile money mobile money, Lumos has innovated tors to attract on-grid as well as off-grid in Nigeria has put higher barriers to around the problem. Lumos has part- customers. “Millions of Nigerians rely entry for new PAYG entrants. According nered with telecom companies to process on inferior electricity sources outside to a 2014 survey conducted by Enhanc- payments through airtime, the phone the grid, like kerosene lamps and diesel ing Financial Innovation & Access, there credit system on the telecom’s network. generators,” said Eitan Hochster, Direc- were 800,000 adults in Nigeria using Once set up, the airtime payment sys- tor of Business Development at Lumos. mobile money, representing less than tem works similarly to mobile money. “These alternatives are expensive, ineffi- 1% of the population. This compares to This partnership is a barrier to entry cient, polluting, and noisy. We at Lumos around 27 million mobile money sub- that protects existing PAYG compa- are providing more reliable, higher qual- scribers in Kenya – 58% of the population. nies by requiring new entrants to nego- ity, and cleaner electricity to custom- The low penetration of mobile money tiate a similar partnership with telecom ers, all while saving them money: Two in Nigeria is largely due to the “bank- companies. A dv er tisemen t

Applications & Installations Unpegging the naira To allow customers to spread the cost of a solar home system across a few years, Photo: Renewvia PAYG companies need large amounts of working capital to finance their systems. As in most markets, financing remains one of the main challenges facing PAYG companies in Nigeria. The mismatch between the compa- ny’s costs in U.S. dollars and the reve- nues they receive in Nigerian naira puts PAYG companies at risk of fluctuations in the local currency. A year ago, Nigerian companies underwent a dramatic shock when the naira was unpegged from the U.S. dollar. Over two months, the naira lost 36% of its value. Despite the shock, the Nigerian off-grid solar market con- tinued growing in sales volume, demon- strating its resilience. New regulations passed in Nigeria will accelerate mini-grid development. Construction crews for Receiving debt in local currency from Renewvia, a U.S.-based mini-grid developer, are constructing a solar project in the Niger Delta. local banks eliminates this currency risk, though banks in Nigeria, as in most of set limits on the priority given to grid want to the distribution company. Spec- Sub-Saharan Africa, are hesitant to lend extension and better specify the options ifying the legal rights of the mini-grid to off-grid solar companies. open to mini-grid operators if connected operator when the grid arrives is criti- Through a partnership with MFX Solu- to the national grid. cal to providing long-term assurances to tions, SunFunder, an off-grid lender, has Under the regulation, mini-grid devel- mini-grid developers and investors. started offering debt to off-grid solar opers must receive written consent from Currently, the regulations do not con- companies in local currency, though the distribution companies who oper- cretely specify how the mini-grid assets it hasn’t stated which currencies it will ate the national grid when developing a will be evaluated and compensated if offer. “Local currency loans have been a mini-grid within the distribution compa- they are sold to the distribution com- top need for our customers,” said Ryan nies’ five year grid extension plans. How- pany. Achieving a satisfactory return Levinson, SunFunder’s Founder and ever, the regulation does not include mea- even when a mini-grid is connected to the CEO in a statement. “We’re excited to be sures to prevent distribution companies national grid is necessary to keep private able to provide new financial solutions from creating sprawling grid extension sector interest in mini-grid development and even more value to the sector.” plans to deny or slow mini-grid develop- from fizzling out. ment in large areas of Nigeria. Making reforms to the regulation to New mini-grid regulations The regulation should establish pen- give more priority to mini-grid develop- Less developed than the solar home sys- alties if the distribution companies do ers will better accelerate electrification tem market, yet equally promising is the not extend the grid within the five year efforts. To have any effect on the mini- market for solar-powered mini-grids in window of the extension plans. It should grid industry, the regulation still needs Nigeria. The government has approved a also require distribution companies to to be passed into law. new set of regulations governing mini- justify their grid extension plans with Asked by pv  magazine why Nige- grids that will accelerate village electri- the necessary financial resources. Nige- ria’s off-grid policy is insufficient, Oka- fication. The regulations drafted in late rian distribution companies are widely for Akachukwu, Energy and Environ- 2016 have been approved by the legisla- seen as insolvent, making this justifica- ment Editor of the Initiative for Policy ture and are being reviewed by the Min- tion necessary. Research and Analysis (InPRA), stated istry of Justice before becoming law. Without these safeguards, the distri- “While there are many complex reasons The new policy dramatically reduces bution companies could deny communi- why the policy environment is so defi- regulatory burdens on mini-grid opera- ties access to electricity from mini-grids cient, one specific reason is the lack of an tors by allowing them to operate without by creating wide-ranging grid extension independent regulator. The work of the a distribution company license for proj- plans that shut out competition from regulator is heavily interfered with by ects below 1 MW. The regulation also pro- mini-grids. vested political interests. The regulator is vides a firm legal footing for mini-grids also highly underfunded and policymak- to operate within Nigeria. Mini-grid, meet national grid ers are ignorant of their responsibilities.” While a boon to the mini-grid indus- When the national grid has been try, the regulation should be further extended to an existing mini-grid, the Trailblazing developers refined with amendments. Analysis by regulation states that the mini-grid oper- The slow action on mini-grid policy has Nextier Power, an advisory firm, high- ator can convert to an interconnected left many interested investors and devel- lights areas where the regulation should mini-grid, or sell the assets it does not opers waiting on the sidelines. There are 46 07 / 2017 | www.pv-magazine.com

Applications & Installations “We believe very strongly in the eco- Photo: Solar Nigeria nomic and development opportunity that these mini-grids represent,” said Trey Jarrard, CEO of Renewvia. “There are many investors, from big develop- ment banks to local banks, interested in shovel-ready projects. By being an early player in the market, we hope to capital- ize on this opportunity.” Regarding the policy uncertainty hold- ing back other developers, Jarrard says, “the Nigerian government has demon- strated a genuine interest in having pri- vate companies play a major role in rural electrification. As one of the first develop- ers with projects on the ground, we hope to influence the maturation of the regu- latory policy in the micro-grid develop- ment space.” Solar home system and solar lanterns can provide electricity access to the 77 million unelectrified If the government wants to reach its Nigerians. ambitious electrification targets, it needs to catalyze growth in the off-grid solar a few bold developers that are pushing the U.S. Trade and Development Associa- sector through improved policy support. ahead despite the uncertainty. tion to fund 30% of the feasibility studies Despite the uncertainty, pioneering com- Renewvia, a mini-grid developer based for 25 mini-grids. Renewvia will finance panies are taking calculated risks to capi- in the U.S., is in the process of developing the village mini-grids initially from their talize on the economic and social oppor- around 65 mini-grids throughout Nige- own balance sheet with some equity from tunities. In Nigeria, those opportunities ria. It was recently awarded a grant from outside investors. are vast. S Dustin Zubke A dv er tisemen t THE POWER OF RISING VALUE Global, Tier 1 bankable brand, with independently certified TIER 1 state-of-the-art automated manufacturing, capacity 4.5GW Photon Independent field testing - Ranked in the top 2 of 176 RANK 2 international suppliers Industry leading lowest thermal co-efficient of Power 12/25 Industry leading 12 years product warranty years 25 years linear performance PID Excellent PID resistance at 85%RH, 85°C,-1000V Tashan Industry Zone, Meilin, Ninghai, Ningbo, China Tel: +86 574 59953077 Fax: +86 574 59953599 E-mail: [email protected] Website www risenenergy com: . .

Applications & Installations Array Changing Technologies – North America n the fast moving world of solar, each year brings new inno- Award Jury vation across the supply chain. Since 2015, pv magazine has Ibeen recognizing excellence in innovation for solar com- ponents and PV power plant development and operation in the Array Changing Technologies feature and award. Paula Mints In 2017, the award itself has continued to evolve. Now separated Chief Analyst, SPV Market Research across the June, July, and September editions of the magazine, “I love supporting anything that fos- the award highlights 20 innovations in two feature articles, the ters innovation,” is how Paula Mints first focused on European innovations and companies answered the request to be a jury member in the June edition of pv magazine, and the second in this year’s award. Paula is the Founder on North American products and companies. and Chief Analyst of global solar market From each shortlist, three finalists rose to the top, research firm SPV Market Research. She- from which winners of the Array Changing Tech- began her career in the solar industry in nologies Award 2017 will be selected by the six 1997 with Strategies Unlimited. In 2005 she joined Navigant, person jury. The winner will be announced in the where she continued as a director in energy practice until Octo- September edition of pv magazine, which will be dis- ber 2012. tributed at the key Solar Power International trade show. Hanwha Q Cells, with its new steel-framed module (Q.PEAK Tor “Solar Fred” Valenza RSF L-G4.2); SolarEdge with its Smart Energy Management CMO Solar, Kiterocket solution and S-series optimizer; and Wavelabs with its Sinus- Tor “Solar Fred” Valenza is a solar mar- 2100 Outdoor LED flasher, were the three finalists of the Euro- keting thought leader and the Chief Mar- pean edition of the feature in June. keting Officer of Solar at Kiterocket (for- It is with great pleasure that pv magazine recognizes the final- merly Impress Labs), where he develops ists from the North America edition of the Array Changing fea- solar marketing, social media, and brand ture. Congratulations to Amber Kinetics for its new take on fly- strategies for B2B and B2C solar and wheel technology, the M32; Enphase for its IQ 6+ microinverter; related energy companies. Before joining and Trina Solar, with its DUOMAX Twin module. Kiterocket, he consulted for major solar While winners are grinners, there is also plenty to be cheer- brands such as SunPower, SolarCity, and ful about the finalists from the North America Array Chang- Panasonic and wrote a weekly solar marketing and advocacy ing feature. Representing considerable innovation from power blog for Renewable Energy World. With his @SolarFred Twitter electronics through to mounting structures, a range of stor- alter-ego, Tor engages with more than 15,000 solar industry fol- age approaches through to a module cleaning robot, the jury lowers and organizes annual “Tweetups” at SPI and Intersolar. set three finalists clearly ahead of the other shortlisted entries. To review both the full shortlist, visit www.pv-magazine.com. Rebecca Hott pv magazine and the Array Changing Technologies jury panel Technical Adviser, Sunshot Initiative are pleased to announce the 2017 North America finalists: Rebecca Hott is a Science and Engi- neering Technical Advisor with the U.S. Department of Energy’s SunShot Initia- Amber Kinetics tive. In this role, Rebecca works on the M32 Flywheel Systems Integration (SI) team and serves as the main contact for the Sustainable Enphase Energy and Holistic Integration of Solar Energy IQ 6+ microinverter Storage and Solar PV (SHINES) portfolio. Projects within the SHINES portfolio aim Trina Solar to enable the development and demonstration of integrated, scalable, and cost-effective solar technologies. DUOMAX Twin Prior to this position, Rebecca was an Engineer/Environmen- tal Planner for a consulting engineering firm in Washington, D.C. where her primary focus was electric transmission line pv magazine thanks all entrants to the 2017 Array planning and design. Miss Hott received her Master’s degree Changing Technologies award as well as the jurists, in Energy and Mineral Engineering, focusing on solar energy, for providing their invaluable input. from Pennsylvania State University. 48 07 / 2017 | www.pv-magazine.com

Applications & Installations 1 Amber Kinetics M32 Flywheel The need for storage to be coupled with and can operate in remote locations and steel, 100% of which can be recycled at renewables is well known, and for many, extreme weather conditions, including the end of a project’s life. lithium-ion batteries are the preferred temperatures from -40 to 50°C. In its own analysis, Amber Kinetics finds solution. Flywheel, however, is an alter- The company shipped its first flywheel that its flywheels will be more cost effec- native technology which can offer several units in 2016, and while focused on the tive than lithium-ion storage, based on advantages over chemical-based storage. U.S., it has also provided flywheels for pricing assumptions for 2025. An inde- The M32 flywheel, developed by Amber locations including Nigeria and the Phil- pendent report from the San Diego Kinetics, targets commercial and util- ippines. Amber Kinetics states that its Gas & Electric Emerging Technologies ity-scale storage markets, particularly in flywheels have collectively accumulated Group also projected a payback period regions with high PV penetration. The more than 15,000 hours of continuous of between 2 and 3 years, as a part of flywheel has a four hour duration, which run time. California’s Self Generation Incentive the company points out is well suited to A modular design allows for full scal- Program. meet utilities’ evening peak demand, typ- ability, the company currently has a ically from 5 p.m. to 9 p.m. 20 MW/80 MWh facility in development The array changer Amber Kinetics states that its flywheels in Fresno, California. The four hour dura- Flywheel storage is certainly not a new have a lifetime of 15,000 cycles, and 30 tion and unlimited daily cycling allow for idea, but with its simple, chemical free years, requiring minimal O&M – units easy flexibility, and the nature of the tech- structure and extended duration, Amber are sold with a 10 year warranty. The tech- nology means that material degradation, Kinetics’s latest take on the technology nology allows for unlimited daily cycling, fire risk, or hazardous chemicals will not could prove a viable alternative to lith- requires only passive, water free cooling, become an issue – the flywheel is 98% ium storage at utility scale. 07 / 2017 | www.pv-magazine.com 49

Applications & Installations Enphase Energy 2 IQ 6+ Microinverter The solar industry’s lexicon is broaden- ing with each passing day, learning to incorporate terminology such as Inter- net of Things (IoT) and other futuristic- sounding sound bites into daily usage. But U.S.-based microinverter special- ist Enphase Energy looks to be heading back to basics with its newest addition to its portfolio – the IQ 6+ Microinverter. Offering what the company claims is a “truly future-proof system,” the sales lit- capabilities. The IQ 6+ can be remotely erature associated with the IQ Micro- upgraded too, and is the first microin- inverter range is encouragingly simple, verter to be truly “no ground required” yet describes a technology that appears – Enphase has eliminated the Ground- to be something of a boundary-breaker. ing Electrode Conductor, which means In short, this new microinverter is 30% fewer electrical connections and compo- lighter than previous iterations, and has a nents are required on the roof, further 50% lighter trunk cable. Aiding this ease- simplifying the install. of-installation innovation are the new Deployment of the Enphase Q-Aggre- Enphase Energized AC Modules, which gator in the IQ 6+ ensures a consistent are solar panels built with the IQ 6+ demarcation point between work done Microinverter embedded, thus stream- by installers and electricians, eliminating lining shipping, storage, and installa- cable glands and wire nuts, and remov- tion. The company has partnered with ing completely the most common source LG Solar, SolarWorld, and Jinko Solar to supply its microinverters in this manner. But there’s more. The new microinvert- ers can also utilize Enphase’s cloud infra- structure to enable tighter power data analytics, while also conforming with NEC 2014 and NEC 2017 rapid shutdown of call-outs for faulty installs. This also means installations can be simplified, thus vastly improving install time and reliability, and offering a tangible reduc- tion in labor costs of up to $0.026/W. The array changer Safety, ease of install, increased perfor- mance: Enphase took aim at this holy trinity with the IQ 6+ Microinverter and, by the looks of it, appears to have hit the target. If this new model can do what the company claims and do so at an attrac- tive price point, it could breathe life into Enphase’s sales figures. 50 07 / 2017 | www.pv-magazine.com