IHS: Microinverter’s breaking-out of US as further growth expected

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email

According to market research firm, IHS several key dynamics are at work propelling PV microinverter and power optimiser shipments to reach 1.3GW in 2013, up from 856MW in 2012.

However, IHS noted to PV Tech that actual market growth in 2012 was lower than forecasted due to slower than expected uptake of the products in markets outside the US, which has been dominated sales since US-based Enphase and others created the market.

According to IHS, microinverter shipments in 2013 are expected to around 500MW but will increase to 2.1GW in 2017.

The strong growth is expected due to the continued traction in regions outside the US, penetration of commercial rooftop markets and ASP declines.

“Microinverters have reached very high adoption rates in the United States, particularly in the residential market, where penetration will reach more than 40 percent in 2013,” said Cormac Gilligan, PV market analyst at IHS. “However, in order to grow or maintain market share, microinverter suppliers now are striving to expand to new regions that at present don’t use the technology. Meanwhile, the advantages of microinverters—including their higher energy yields, enhanced safety and module-level monitoring capabilities—are making them more attractive in commercial systems, especially in small-scale projects.”

The research firm said that the US accounted for 72% of microinverter shipments in 2012, yet that share would gradually decline to around 50% in 2017 as new markets such as the UK, Europe, Asia and Australia developed.

Almost one-third of global microinverter shipments in 2017 are expected to have been commercial systems compared to only 9% in 2012. The majority of these shipments in 2017 will be for systems sized between 10 and 100 kilowatts, IHS noted.

Another demand factor is expected to be the growth in AC modules.

“AC modules allow module suppliers to differentiate themselves from the competition while allowing microinverter makers to take advantage of the module suppliers’ sales channels,” Gilligan noted. “They also allow faster installation time as the microinverter is installed at the module factory rather than on-site, which can be a compelling reason for the adoption of microinverters.”

IHS is forecasting that AC module shipments will more than quadruple in 2013 and continue growing to account for 32 percent of total global shipments in 2017.

However, new market entrants in the microinverter market, such as SMA Solar and PowerOne are expected to result in an increasingly competitive market, driving ASPs downward. IHS expects prices to decline 16% in 2013.

Despite a projected double-digit price decline, strong shipment growth will push microinverter market revenue to increase to more than US$250 million in 2013, with revenue estimated to reach US$700 million in 2017.

23 February 2022
Held annually since 2016, the Energy Storage Summit Europe is the place to be for senior stakeholders in the European storage industry. Designed to accelerate deployment of storage, we examine evolving chemistries, business models, project design, revenue stacks and use cases for storage. The 2022 edition will include exclusive content around longer duration solutions, energy strategies for wide-scale deployment of EVs and "EnTech", the event which sits at the intersection of digitisation, decentralisation and decarbonation of the power system. Come to meet TSOs, DSOs, Utilities, Developers, Investors and Lenders and leave with new contacts, partners and a wealth of information.
7 March 2022
Take your chance to join the most powerful platform in the MENA region. Middle East Energy (MEE), Intersolar, and ees, the leading energy exhibitions are joining hands to co-deliver an outstanding renewables and energy storage event at Middle East Energy 2021. Renewables and energy storage at MEE is the largest gathering of solar and renewable energy industry professionals in the Middle East & Africa, offering the most effective trade focused platform to international manufacturers and distributors looking to meet regional buyers.
8 March 2022
As Solar Finance & Investment enters its ninth year, we sit on the cusp of a new power market with solar at its heart. The 2022 edition of the event will build on our years of expertise and relationships to bring investors and lenders together with top developers. Connect with leaders in the field and use exclusive insights to drive investment and development decisions for the future. Meet new and existing project partners at the largest gathering of European solar investors and lenders.
23 March 2022
When it comes to storage, the US market exceeded a gigawatt of advanced energy storage installations (weighted towards lithium ion) at 1.46 GW, more than the previous six years in total! An exponential growth rate could see the market hit 7.5 GW p.a. by 2025. The summit will provide a wealth of content around this vital piece in the US power puzzle, with sessions dedicated to explore how companies are making money from batteries, the latest chemistries and their applications as they apply to different use-cases. We ask how investors can match ESG criteria to batteries and we will bring case studies of successful deployment and project execution onto the stage to examine how you can ensure your own projects are successful.
29 March 2022
Now in its 10th sell-out year, Large Scale Solar returns to Lisbon in 2022. We are excited to gather together face-to-face with the European solar industry as we provide unique and exclusive access to a powerful selection of the market's key stakeholders. Join this elite summit to find out how the market is maturing, which new markets are becoming more exciting, how technology is evolving and who's driving the market forward into the 2020s. Always senior, packed with developers, EPCs, utilities and investors this is the event for companies serious about European solar PV.
7 April 2022
Solarex Istanbul, Turkey’s first and unique exhibition on solar energy, provides a huge opportunity to Turkey on the way to being a solar energy hub. Solarex Istanbul will take place on 7-9 April 2022 for the 14th time. It will be a commercial platform to have the latest technologies and combination of new products from all around the world. It takes place annually at Istanbul Expo Center, Turkey. It is also called the most important platform for manufacturers, suppliers and dealers of the solar industry in Eurasia.

Read Next

January 27, 2022
Renewables owner and operator Brookfield Renewable has tripled its US development pipeline to 31GW through the US$650 million acquisition of clean power developer Urban Grid.
January 27, 2022
Hecate Energy’s first stage application for a 500MW solar PV plant in the state of New York has been accepted by the newly formed New York State Office of Renewable Energy Siting (ORES).
January 27, 2022
Italian asset manager Green Arrow Capital (GAC) has signed a framework agreement with Spanish solar company Progressum Energy Developments (PED) to acquire 508MW of ready-to-build solar PV projects in Spain in a deal worth over €400 million (US$446 million).
January 27, 2022
Tesla’s solar installations jumped 68% in 2021 to 345MW despite a slight dip in additions year-on-year during the fourth quarter.
January 27, 2022
Major European solar developers have called on the European Union (EU) to develop a PV supply chain strategy to avoid cost increases and disruption to projects, with the group calling for 20GW of manufacturing capacity by 2030.
PV Tech Premium
January 26, 2022
s solar finds itself deployed in further and more far flung climes, it is also having to operate in increasingly harsher climates. In this article, VDE Renewables assesses how such climates affect PV performance and what must be taken into consideration when formulating O&M strategies.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
February 23, 2022
London, UK
Solar Media Events
March 8, 2022
London, UK
Solar Media Events
March 23, 2022
Austin, Texas, USA
Solar Media Events
March 29, 2022
Lisbon, Portugal
Solar Media Events
April 25, 2022
Berlin, Germany