‘Europe can be highly competitive’: investors discuss outlook for onshoring PV manufacturing

Panelists at today’s Solar Finance & Investment Europe event. Image: Solar Media.

Solar investors believe that Europe can be a competitive market for PV manufacturing and compete with the US Inflation Reduction Act (IRA), as ESG and energy security concerns will drive money to the continent.

Speaking at the 10th annual Solar Finance & Investment Europe event, hosted by PV Tech publisher Solar Media in London, Aldo Beolchini, managing partner and chief investment officer of NextEnergy Capital said that: “The modules manufactured in the EU are cost-competitive. The problem is that today there isn’t a supply chain in Europe.”

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

Global PV production is currently overwhelmingly dependent on China, and the mounting pressures to lessen this dominance have begun to incentivise investment elsewhere, though so far Europe has been relatively slow on the uptake. “This level of concentration clearly doesn’t allow this industry to thrive in the long term, it is just not healthy”, said Beolchini.

“It just doesn’t make sense for a continent that has such an ambitious target of installing 60GW more solar every year to have pretty much zero manufacturing capacity.”

The EU has recently announced its Green Deal Industrial Plan designed to boost EU renewables manufacturing capacity by streamlining the permitting and funding process. The plan was positioned as a direct response to both the urgency that has entered the renewable energy market since the outbreak of war in Ukraine and the IRA, and follows calls from industry representatives for more robust support of domestic production.

On the same panel, CEO of Glennmont Partners Joost Bergsma said that “Europe can be highly competitive”. He highlighted supply chain traceability as the key concern for investors, beyond any wider concerns about energy security and competition.

The allegations of forced labour in Chinese PV factories have impacted the global supply network significantly, leading the US to introduce the Uyghur Forced Labor Prevention Act. Bergsma intimated that the pressures from investors to ensure ethically traceable supply chains will move focus away from China, and that “Europe, in terms of technology, certainly has the skill set and the know-how” to pick up the slack and establish itself as a manufacturing hub.

He added: “Europe has united and created a world-leading playing field for investment, I would say, and investments and money are the oxygen of the energy transition.”

Earlier this month a coalition of European PV industry stakeholders called for greater support for upstream manufacturing, saying that legislation and financial facilities could revitalise the industry and lead to several gigawatts of wafer production coming online in the next half-decade.

“It is the entire globalisation that has gone just too far,” said Beolchini, “and it is important to have the ability to bring back some manufacturing capacity, even just for diversification.”

8 October 2024
San Francisco Bay Area, USA
PV Tech has been running an annual PV CellTech Conference since 2016. PV CellTech USA, on 8-9 October 2024 is our second PV CellTech conference dedicated to the U.S. manufacturing sector. The event in 2023 was a sell out success and 2024 will once again gather the key stakeholders from PV manufacturing, equipment/materials, policy-making and strategy, capital equipment investment and all interested downstream channels and third-party entities. The goal is simple: to map out PV manufacturing in the U.S. out to 2030 and beyond.
26 November 2024
Málaga, Spain
Understanding PV module supply to the European market in 2025. PV ModuleTech Europe 2024 is a two-day conference that tackles these challenges directly, with an agenda that addresses all aspects of module supplier selection; product availability, technology offerings, traceability of supply-chain, factory auditing, module testing and reliability, and company bankability.
11 March 2025
Frankfurt, Germany
The conference will gather the key stakeholders from PV manufacturing, equipment/materials, policy-making and strategy, capital equipment investment and all interested downstream channels and third-party entities. The goal is simple: to map out PV manufacturing out to 2030 and beyond.

Read Next

May 30, 2024
Juan Monge, principal analyst at Wood Mackenzie, says the EPBD timeline is plausible, although “the devil is in the detail”. 
May 29, 2024
Chinese solar manufacturer LONGi has launched a new solar module which it said exhibits the benefits of standardised module and wafer sizes in the solar industry.
May 29, 2024
The challenges facing Europe's solar sector are explored in depth in the latest edition of our quarterly journal, PV Tech Power.
May 28, 2024
US solar project company Pine Gate Renewables has signed an environmental asset purchase agreement (EAPA) with the social media giant Meta for a 204MW solar PV project in Temple, Texas.
May 28, 2024
The Italian solar sector installed over 1.7GW of solar PV capacity in Q1 2024, marking a significant increase compared with the same period in 2023.
May 28, 2024
The European Council has adopted the EU’s Net-Zero Industry Act as the EU looks to bolster its clean energy manufacturing industries.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
June 4, 2024
London, UK
Upcoming Webinars
June 11, 2024
3:00 PM (BST) / 4:00 PM (CEST)
Solar Media Events
July 2, 2024
Athens, Greece
Solar Media Events
July 9, 2024
Sands Expo and Convention Centre, Singapore