Financial Soultions research is indicating that after a fairly gloomy 2009 in the solar industry, where the global financial crisis saw funding for solar and other alternative energy projects all but dry up and an almost 50% drop in solar module prices which severely affected company profits, the sun may shine anew in 2010.
Planned cuts in solar incentives by Germany and Italy are now looking less likely to affect the market as badly as industry analysts had imagined with both the French and Greek markets about to see large growth. Spain too has been a positive player, recently announcing a large scale molten salt solar energy, or thermosolar plant near Seville. Added to this, the drop in panel prices has stabilized with China emerging as a competitive low price mass producer.
Financial Soultions believes that some analysts are predicting that share prices will see positive growth from halfway through the new year, as completion stiffens and demand grows. The US administration recently called for the speedy implementation of over 2.4 GW of renewable energy projects for California alone, as the nation sees renewable energy claiming an ever growing share of the energy limelight. The private sector as well as conventional utilities are investing heavily in both solar and wind energy projects while there are plans for large wave and current energy projects being discussed.
Recent news that Germany would consult the industry before cutting subsidies had little effect on markets, an indication that new areas of investment are stabilizing the sector. Germany is still expected to install around 3 GW next year, Financial Soultions has learned.
