Weekly Solar Industry Insights: January 13th – January 19th , 2025
Global Solar Sector Corporate Funding Dropped 24% in 2024
In 2024, global solar sector funding fell 24% to $26.3 billion due to inflation, high interest rates, and trade issues. Venture capital funding dropped 36% to $4.5 billion, while public market financing plunged 59% to $3 billion. Debt financing reached $18.8 billion, supported by $5 billion in securitization. M&A activity declined by 15%, and large-scale project acquisitions fell by 17%. However, large-scale project funding rose 21% to $53.8 billion.
U.S. Solar Industry Faces Installation Bottlenecks Despite Sufficient Panel Supply
Clean Energy Associates (CEA) reveals that while the U.S. solar supply chain has an adequate stock of panels for current deployment levels, the industry faces two significant bottlenecks: a shortage of transformers and skilled labor. U.S. utility regulations often necessitate transformers not produced in China, but global supply is limited due to constrained production capacity and lengthy lead times for new manufacturing facilities.
GPM Faces Tariff Support Uncertainty Amid Chinese Polysilicon Futures Boost
The Global Polysilicon Marker (GPM) price held steady at $20.360/kg due to low demand and reduced production. Transactions are slow as suppliers avoid price cuts, with hopes of U.S. trade policy changes boosting the market. In China, mono-grade polysilicon prices remained stable, and n-type polysilicon saw a slight increase due to new futures trading, though no physical trades have occurred yet. Overcapacity persists, with China's inventory likely to support wafer production until 2025.
Solar to Supply Over 50% of Global Energy by 2035: New Model Predicts
A new S-Curve model developed by Sydney based software organization forecasts that solar energy will account for more than 50% of global energy production by 2035. The model, which projects a 25% annual growth in solar deployment and a 10% yearly decline in costs, suggests solar will surpass nuclear in 2025, overtake oil by 2031, and lead the energy transition. Founder has emphasized that solar's continued cost reduction and growth trends make a clean energy future inevitable, with significant economic savings projected—$9 trillion annually by 2035—if fossil fuel subsidies and clean tech tariffs are eliminated.
MENA Region Solar Capacity Reaches 24 GW in 2024 Amidst Accelerated Growth
The Middle East Solar Industry Association’s (MESIA) 2025 report reveals that solar capacity in the Middle East and North Africa (MENA) region grew by 25% in 2024, reaching 24 GW (AC). Over 80% of this growth occurred in Saudi Arabia, the UAE, and Egypt, with Morocco leading North Africa’s market. The report highlights the region’s expanding solar manufacturing sector, surpassing 3 GW in 2024, driven by local production in countries like Iran and Saudi Arabia.
India's Renewable Energy Capacity Grows by 15.84% in 2024
India's total installed renewable energy capacity reached 209.44 GW by December 2024, reflecting a 15.84% year-on-year increase from 180.80 GW in 2023. The nation added 28.64 GW of capacity in 2024, marking a 119.46% jump from the 13.05 GW added in 2023. Solar power led the growth with a 33.47% increase, adding 24.54 GW to reach 97.86 GW. Wind energy grew by 7.64%, reaching 48.16 GW with an additional 3.42 GW installed. Bioenergy and small hydro also saw modest growth, with bioenergy increasing to 11.35 GW and small hydro to 5.10 GW.
Residential Rooftop Solar Scheme Unlocks INR 1.2 Trillion Market for Manufacturers
India's PM Surya Ghar Muft Bijli Yojana (PM-SGMBY) aims to create an INR 1.2 trillion market, benefiting solar manufacturers. With 720,000 rooftop solar installations in 10 months, the scheme is reducing payback periods and targeting 30 GW of capacity. In 2024, rooftop solar grew by 53%, contributing 25% of India's total 24.5 GW solar additions.
Information source: PV magazine
