The Photovoltaic Boom in the European Energy Crisis

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Since this year, the global energy crisis has intensified under the influence of several factors such as the recurrence of the COVID‑19 epidemic and the intensification of the Russia-Ukraine conflict. While Europe is facing the pressure of Russian gas cut-off.

Europe is actively seeking alternative traditional energy sources, while emerging countries are also promoting energy upgrades. In this context, the demand for renewable energy generation such as solar power has exploded. Britain, Germany and many other European countries are setting off a new wave of photovoltaic installation and solar cables for transmission of electricity (cables para la transmisión de electricidad).

German Photovoltaic Installation Accelerates

In the context of sanctions against Russia, Germany, the first economic power in Europe, is facing a serious energy shortage dilemma.

Germany’s energy is mainly dependent on oil and natural gas. And Russia is the main supplier of energy to Germany. As a result, the sanctions have led to a plunge in German energy supply, and energy prices have continued to soar. In May this year, German energy prices rose 87% year-on-year, and natural gas prices rose 148% year-on-year. Some experts expect that by this winter, gas prices in Germany will rise 1-3 times.

The soaring price of traditional energy in Germany has directly driven a big increase in demand for renewable energy. According to the latest data released by the German Federal Network Agency, in the first half of this year, Germany installed a total of 3.2GW of photovoltaic power generation systems, compared to 2.75GW in the same period last year, an increase of 16.4% year-on-year.

According to the statistics of German institutions, in the first half of this year, Germany’s renewable energy generation accounted for 49% of its total power generation, an increase of 6% year-on-year. In addition, in order to ensure energy security, the German government has formulated a series of plans, requiring that by 2030, its renewable energy generation must account for more than 80% of its total electricity.

British Home Photovoltaic Power Generation Boom

According to recent reports, due to soaring gas and electricity energy prices in Europe, a new round of installation of home photovoltaic power generation system boom in the United Kingdom. This has triggered a rise in the market for related photovoltaic products such as cables for solar panels (cables para la energía solar). And some products even appear to be in short supply.

A photovoltaic module manufacturer said, compared with last year, this year’s photovoltaic product orders grew four times. Data show that in the first half of this year, the UK PV power system installation amounted to 556MW, an increase of 80% year-on-year.

According to a British energy consultancy, annual energy bills for British households will average more than £3,300 by October of this year, soaring about 70 percent year-on-year. By early next year, that figure is expected to increase to about £3,600 and remain at that level until 2024.

European Solar Energy Market Continues to Explode

According to data from the European Photovoltaic Association, in 2021, the EU’s 27 member states installed 25.9GW of new PV, up 34% year-on-year. Among them, Germany, Spain and the Netherlands ranked the top three. The market expects new PV installations across Europe to be above 40GW this year, up more than 50% year-on-year.

Previously, in order to reduce dependence on Russian energy and accelerate the transition to clean energy, the EU released an energy plan called “RepowerEU”. The plan’s goal is to double the installed capacity of solar photovoltaic power generation by 2025 and install 600GW by 2030, with an investment value of 195 billion euros.

The plan proposes to increase the amount of rooftop photovoltaic power generation by 15TWh in 2022, and requires that by 2025, all new buildings, as well as existing buildings with energy rating D or above, should be installed with rooftop photovoltaic equipment.

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