The FUD (fear, uncertainty and doubt) over the solar industry entering it second major overcapacity cycle is being replaced by a focus on how much overcapacity verses end market demand exists, especially in 2017 and therefore how low will PV module ASP’s go?
According to Deutsche Bank’s US market analyst Vishal Shah, strong PV manufacturing capacity expansion growth in the second half of 2016 and 2017 is expected to lead to a global 16% solar module oversupply through the period.
The recent extension to the US investment tax credit (ITC) could enable First Solar to shift emphasis and therefore revenue generation to selling its CdTe thin-film modules to third parties rather than directly to PV power plant projects, according to a research note from Deutsche Bank analyst, Vishal Shah.
A Deutsche Bank specialist in renewable energy investing will join US-based solar project developer and engineering, procurement and construction (EPC) firm Pristine Sun.
