Major restructuring efforts at First Solar took a backseat during the company’s second quarter conference call as management focused on a significant increase in its PV project pipeline. First Solar said it had added almost 1GW of new projects to a pipeline that previously stood at 2.9GW. Net sales were US$957 million, up from US$497 million last quarter while revenue guidance was raised for 2012 to US$3.6-US$3.9 billion, up from a range of US$3.5 billion to US$3.8 billion.
The Philippines’ solar industry is already exporting to countries like the US reaching figures of US$41.5 million, up 47.3% last year. Now, almost three years in the making, following petitioning by the Renewable Energy Board (NREB), the Philippines’ Energy Regulatory Commission (ERC) has finally approved an initial feed-in tariff rate for renewable energy. The FiT for all solar installations will be 9.68 PHP (US$0.23) per kWh, regardless of the size of the system or technology used.
Suntech Power Holdings said it had started multiple legal proceedings against a number of unidentified parties regarding investment guarantees it provided for a joint venture PV power plant project developer, Global Solar Fund, S.C.A., Sicar (GSF). However, Suntech has claimed that a pledge of €560 million of German government bonds by a third-party investor of GSF, GSF Capital Pte Ltd., may never have existed. Suntech said that it may have to delay second quarter financial reporting as a result.
With insolvency protection proceedings underway, not surprisingly, centrotherm photovoltaics have said it would delay its Annual General Meeting and the first-half year financial results.
Credit Suisse, which just announced its US$200 million partnership with Solar City, has additionally advised that it has committed US$200 million to Sunrun. The investment will help support the purchase and installation of thousands of residential solar systems in the US. Sunrun noted that it installs over US$1.5 million in solar every day and has more than 24,000 customers in ten states.
Solar stocks in Chinese companies have been under increased pressure following reports that SolarWorld’s anti-dumping case against Chinese OEMs is progressing to the European Union. Jefferies has predicted that if the anti-dumping verdict is passed, it will be negative towards Chinese cell/module suppliers, positive to Taiwanese cell suppliers, SunPower and First Solar and neutral to poly and wafer suppliers (assuming the scope is largely limited to cells as in the US).
The latest global PV inverter market report from IMS Research paints a mixed business environment for the sector that has more than 150 active suppliers. Although having defended reasonably well against price declines, compared to the rest of the supply chain, the market research firm is forecasting inverter sector revenues to only increase by 3% in 2012, while shipments increased nearly 25%.
After a rebound in polysilicon sales in the first quarter of 2012, Wacker’s polysilicon sales declined 22% in the second quarter due to customers delaying or reducing delivery quantities. Sales in the second quarter reached €286.8 million, down from €366.6 million in the prior quarter. However, the major reason for the sales decline was due to the substantial reduction in polysilicon prices, which will also result in lower sales being achieved this year than in 2011, according to the company.
PV module encapsulant materials supplier, STR Holdings has warned it will not meet previously guided second quarter 2012 revenue expectations. The company previously guided second quarter sales to be flat with the first quarter, being in the range of US$31-US$33 million, but revised this down approximately US$25 million. Management said that demand was weaker than expected.
Subsequent to Italy’s energy agency Gestore dei Servizi Energetici's (GSE) 45 days notice to the domestic solar industry until the implementation of the revised Conto Energia, analysis from IMS Research has revealed that the country will have a severely reduced budget for incentive schemes. The new scheme was intended to be accompanied by an additional annual budget of €700m and is due to end when the total annual cost reached €6.7 billion. However, due to a large number of installations having been completed in the first half of this year in order to benefit from the previous Conto Energia’s generous rates, these have not yet been included in the official GSE statistics.
