The market of solar thermal systems will double revenues, a report says
Adelina Marini, July 28, 2009
The European market of solar thermal systems (STS) is developing significantly for the last 4 years and, according to a report of a private company, the incomes from STS sales will double because of the long-term perspectives and the introduction of new participants. According to the report, the market earned revenues of over €958.9 mn in 2008 and estimates this to reach €2.2 bn in 2014.
But this market is strongly dependent on government subsidies, the report says. For example, the Italian market witnessed strong growth levels following increased government subsidies for STS. On the other hand, the German market declined significantly as a direct result of a temporary disruption to these subsidies.
In spite the subsidies, the price of STS is still very high and the recoup period can go up to 20 years in some regions. Besides, STS is only a complementary alternative and not a substitute for a traditional hot water system. Therefore, it is not a viable investment option for most end users, especially in countries where conventional energy prices are low, according to the report.
Nevertheless, the global competition is increasing and not only for STS but for all kinds of solar systems. According to another report, quoted by Newenergyworldnetwork, the US is on its way to outrun the most advanced EU countries like Germany and Spain in number of solar projects. So far the US was lagging behind but after federal and state subsidies start giving effect, the demand has risen, especially in New Jersey and California, the report of Pike Research says.
However, the crisis still obstructs the realisation of many projects in the US. But it is a fact that the US will soon overrun Europe because of the energy bill that president Obama recently introduced and that has already been approved by the House of Representatives but yet is to be approved by the Senate. This bill gives very serious incentives to all those who invest in renewable energy.
Unfortunately the situation in the EU might even worsen because a large number of member states, especially the new ones, are very economically undeveloped and cannot afford large investments in clean energy. ma