Solar energy: soaring energy prices spark growth boom

The photovoltaics sector has seen an undreamt-of boom in growth due to the global energy problems and technological progress, but also above all thanks to the government support programs initiated in many countries. From 1995 to 2005 global photovoltaics production rose more than 18-fold from just under 200 to 3,700 megawatts. Some 90% of the solar electricity capacity installed worldwide is accounted for by the three countries Germany (38½%), Japan (38½%) and the USA (13%). As the outlays for stable market growth are basically needed over a relatively long period, private investors require a reliable longer-term backdrop which ensures that, ultimately, the cost differential arising from the production of solar electricity compared with conventional energy supply is covered by the electricity consumer. That is the reason why, hitherto, the market for photovoltaics has only recorded rapid growth in those countries with correspondingly effective promotional instruments.

Apart from the role played by energy policy support programs, the outlook for solar thermal power plant technology hinges heavily on the success of the projects currently under construction in the USA and Spain. If these plants fulfill expectations on the reliability and efficiency front, this could mark the beginning of a new era in solar energy supply. Major market potential would then exist above all in sunbelt regions, e.g. in southern Europe, Africa, India, Australia, the southern states of the USA and in the Middle East.

In contrast to photovoltaics, in the use of solar thermics Germany is far removed from an international leading position. Nonetheless the market for solar thermics has seen strong growth in the past ten years, although this was less dynamic compared with photovoltaics. This is mainly due to the fact that the scale of support in the electricity sector reached with the Renewable Energies Act is so far lacking in the heating sector. From an energy policy point of view, however, solar thermics would by all means merit more government support. Compared with photovoltaics, the use of solar heat offers substantially greater potential savings in fossil fuels if one considers that in an average household 80% of energy consumption goes on heating and warm water – and only 20% on electricity. Deploying the total space available for solar collectors, around half of current domestic heating needs could be covered.

 

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