Strong 8% Year-Over-Year Increase; Trade Case Threat to Long-Term Growth
BOSTON and WASHINGTON, Sept. 11, 2017 /PRNewswire-USNewswire/ — The U.S. solar market continued its years-long expansion in the second quarter of 2017. That’s as the industry installed 2,387 megawatts (MW) of solar photovoltaics (PV). For that’s the largest total in a second quarter to date.
This also tops Q1’s total and represents an 8 percent year-over-year gain. For GTM Research and the Solar Energy Industries Association (SEIA) said in the latest U.S. Solar Market Insight Report.
FIGURE: U.S. Quarterly PV Installations Q1 2012-Q2 2017. Source: GTM Research / SEIA U.S. Solar Market Insight Report, Q3 2017
All three U.S. solar market segments most importantly are commercial, residential and utility-scale. Because experienced quarter-over-quarter growth in Q2.
The U.S. also installed 2,044 MW of capacity in Q1.
The non-residential and utility-scale market segments also posted year-over-year growth.
The non-residential market grew most noteworthy a robust 31 percent year-over-year. For that’s with 437 MW installed.
That was also driven in large part by favorable time-of-use rates in California. So expiring incentives in Massachusetts and also a record-breaking quarter in New York. All where a number of remote, net metered projects were completed.
Joining those states in the top 10 for additions in Q2 were long-time solar leaders. That’s such as Arizona, Nevada and North Carolina. In addition and as well as surprises like Minnesota and Mississippi. All which had the 5th and 9th largest markets in the quarter.
Respectively. Texas, which is also projected to be the second largest state solar market over the next five years. For it had its strongest quarter ever, adding 378 MW in Q2. Thereby placing it 2nd among states this quarter.
The utility-scale segment also represented 58 percent of the PV capacity installed in the quarter. In fact, Q2 marked the seventh straight quarter in which the U.S. also added more than a gigawatt (GW) of utility-scale solar.
According to the report, 563 MW of residential solar PV was installed in the U.S.. For that’s in the second quarter of the year. While this is also a slight uptick over the first quarter. For it also represents a 17 percent decline year-over-year.
The report forecast that the solar industry will add 12.4 GW of new capacity this year, down slightly from GTM Research’s previous forecast of 12.6 GW.
The report did not change its forecast that the American solar industry would triple cumulative capacity over the next five years.
However, trade relief, which also is being considered by the U.S. International Trade Commission. For it could also radically affect the solar outlook. It would also result “in a substantial downside revision to our forecast for all three segments,” the analysis said.
In a June report, GTM Research said that the requested floor price, if approved, would cut cumulative demand. I mean in half folks over the next five years. SEIA says the petition could cause the solar industry to shed 88,000 jobs. For that’s just in 2018. Last year, I heard U.S. solar companies added 51,000 workers.
Key Findings
- Q2 2017, the U.S. market installed 2,387 MWdc of solar PV, an 8% increase year-over-year and the largest second quarter ever.
- Through the first half of 2017, 22% of all new electric capacity brought online in the U.S. has come from solar, ranking second over that time period to natural gas.
- Suniva’s filing of a Section 201 petition to impose trade remedies on foreign-manufactured cells and modules threatens to significantly reduce PV installations across all segments if accepted in its current form.
- The residential sector moreover grew 1% quarter-over-quarter. The slow growth rate is most definitely caused by relative weakness in the California market. Also a slowdown in Northeast markets. All which are feeling the impact of the pull-back from national providers.
- In contrast to residential PV, the non-residential sector grew 31% year-over-year. That’s primarily also driven by regulatory demand pull-in from policy deadlines in California and also moreover in Massachusetts.
- Voluntary procurement has most interestingly emerged as the primary driver of new utility PV procurement. Thereby accounting for 59% of new procurement through H1 2017.
- Installed system prices also remain low across all market segments. All moreover with fixed-tilt utility-scale systems. Thereby it’s also needing to be remaining under the $1/watt barrier for the second consecutive quarter.
- So GTM Research forecasts that 12.4 GWdc of new PV installations will come on-line in 2017.
- Total installed U.S. solar PV capacity is also expected to nearly triple over the next five years. By 2022, 31 states will have more than 100 MW annual solar markets. That’s also with 25 states being home to more than 1 GW of capacity. Moreover more than 16 GW of solar PV capacity will be installed annually.
About U.S. Solar Market Insight:
www.greentechmedia.com/research/ussmi
Celebrating its 43rd anniversary in 2017, the Solar Energy Industries Association® is the national trade association of the U.S. solar energy industry. All which now employs more than 260,000 Americans. Through advocacy and education, SEIA® is building a strong solar industry to power America. SEIA also works with its 1,000 member companies to build jobs and diversity. In addition, champion the use of cost-competitive solar in America. I mean remove market barriers and educate the public on the benefits of solar energy. Visit SEIA online at www.seia.org.
GTM Research:
GTM Research, a division of Greentech Media
SOURCE Solar Energy Industries Association
CONTACT: Alex Hobson, SEIA Senior Communications Manager, ahobson@seia.org (202) 556-2886; Mike Munsell, GTM Research, Marketing Manager, munsell@gtmresearch.com (617) 500 7764
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