Solar Photovoltaics

Abstract

Solar photovoltaic technology has proven in recent years that, with the appropriate regulatory framework in place, it can be a major contributor to reaching the EU’s target of 20% renewable energy sources (RES) by 2020. Technology improvements and economies of scale have spurred steady cost reduction, which will continue in coming years as the PV industry progresses toward competitiveness with conventional energy sources. But already today, PV electricity is cheaper than many people think. In the coming years the technology will become even more cost-effective and competitive — and qualify therefore as a vital part of Europe’s energy future. Under the right policy and market conditions, PV competitiveness with grid electricity can be achieved in some markets as early as 2013, and then spread across the continent in the different market segments by 2020. To study these trends and consider the conditions under which PV will reach full competitiveness, EPIA has conducted an extensive analysis of 5 markets (France, Germany, Italy, Spain and the United Kingdom). The study, carried out with the support of the strategic consulting firm A.T. Kearney, shines new light on the evolution of Europe’s future energy mix and PV’s role in it.