Despite spring-like temperatures and snowless roofs, the solar market is still on ice this year. The installation figures in Germany, Italy and France are far behind those of previous years. Module prices, too, have scarcely budged.
The price level of Chinese and Southeast Asian products has remained nearly unchanged since the beginning of the year, while European and Japanese module prices are converging slightly toward it. The new EU recycling directive taking effect may also be contributing to the market paralysis. Many market players are still undecided or even completely in the dark about what steps they have to take to be in conformity with the law. Unfortunately, the information policy of European lawmakers has left quite a lot to be desired in that regard.
It is likely, however, that the end to generous incentives in the United Kingdom will affect module availability and therefore the price level in the rest of Europe. Up to March, many deliveries still ended up on the island, creating a bottleneck on the mainland, particularly with regard to products in the lower end of the market. But in April the UK effect should have tapered off significantly.
Currently, there is a steady demand for replacement modules, not least because many solar companies and large O&M service providers have started their annual maintenance and defective modules will have to be replaced. Many of the module types are no longer manufactured, however, and finding suitable replacements is not always easy. Although the relevant providers can often offer identical or very similar products in small quantities, when large quantities are needed sometimes the only option is complete replacement. The old modules that are still functional can usually be used elsewhere, however, or sold.
The Swedish furniture chain IKEA has now taken up the challenge of overcoming investment inertia among consumers. The Scandinavians want to become, to put it in their own words, "the largest retailer of rooftop PV systems." Initially the company will begin sales in the United Kingdom, the Netherlands and in Switzerland. Later, the network of solar distributors will be expanded to branches around the world. Industry insiders know all to well that such an undertaking is none too easy for a latecomer to the business. Some home and garden store chains and and just about all of the big energy companies have already fallen flat or are tottering towards failure in the hotly contested small system segment, even though at first glance they appear to have a natural affinity to the PV market. But, as always, the devil's in the details, in the actual implementation, that is. We will have to wait in suspense to see what sort of disruptive concepts IKEA has up its sleeve to achieve this presumably impossible task.
"It will have to be a very simple, transparent sales process for customers, and is got to be highly affordable," an IKEA representative proclaims. Will PV system kits be packed in portable boxes and deposited in the furniture warehouses, each package including a handy Allen wrench and generously illustrated assembly instructions with which customers experienced at assembling furniture can piece together their own PV systems? If IKEA simply plans to sell very inexpensive components, which have to be installed by the customer - or a called over "professional installer" - then it might as well call the new product the NONSTARTA. All too often, experience has shown that end consumers are better served when their PV systems are designed from the ground up by a professional solar company with components best suited to their needs. Package or complete systems - and DIY solutions, in particular - often involve unforeseen follow-on costs for retrofitting or rebuilding. The Scandinavians would therefore be well advised to think long and hard about the undertaking and prepare as best they can for a complete entry into the solar market.
Here is an overview of the new price points – first time introduced in October 2015 - including changes:
| Module class | Price (€/Wp) | Change rel. to prev. month |
Description |
| High Efficiency | 0.69 | + 3.0 % | Crystalline modules 275 Wp and above with PERC, HIT, N-Type or back-contact cells, or combinations thereof. |
| All Black | 0.59 | + 5.4 % | Module types with black back sheet, black frame and a rated power between 190 Wp and 270 Wp. |
| Mainstream | 0.50 | 0.0 % | Modules typically with 60 cells, standard aluminum frame, white back sheet and 245-270 Wp, represent the majority of the modules in the market. |
| Low Cost | 0.38 | + 5.6 % | Low-output modules, factory seconds, insolvency goods, used modules (crystalline), products with limited or no warranty. |
(The prices shown reflect average asking prices for duty-paid goods in the European spot market in the month of March 2016.)