Wednesday, November 17, 2010

Supply of Solar in 2011 May Triple Demand

Interesting "Chart of The Day" at Bloomberg.com regarding the supply/demand for solar panels

Axiom Capital Management's solar power stock analyst Gordon Johnson sees 2011 as a difficult year for solar panel manufacturers. His reading of the manufacturing data suggests that supply for photovoltaic panels in 2011 may triple the level of demand. Creating a glut of panels in the wake of governments cutting subsidies for rooftop installations because of financial troubles.

A record number of number of solar panels was sold this year as companies go after sales before rates are cut. This cutting back of support for the solar panel industry will be especially hard felt in Germany, a country that is the world's largest solar panel market.

This year manufacturers charged $1.80 per watt but with supply overriding demand the price they can charge may drop to as low as $1.10 per watt.

SOURCE

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