Italy to overtake Germany as biggest market for newly-installed PV capacity in 2011

Aug 17, 2011 - Italy, which was the world's second biggest PV market in terms of newly-installed capacity in 2010, is expected to overtake Germany's number one position in 2011, according to a report released by Netherlands-based global solar energy platform Solarplaza today.

The Italian solar power market is currently growing at significantly high rates. Italy's PV market volume in the first six months of 2011 was three times higher than the volume of the German PV market during the same period, Solarplaza reported. Germany, on the other hand, reduced its feed-in tariff levels in 2011 by 13% and up to date the country's PV market volume is facing a 40% decline in size as compared to the same period in 2010.

However, in terms of total cumulative installed PV power, Germany is expected to remain the biggest market for the next two to three years as it currently has more than 17 GW of PV power installed.

A total of 3.8 GW of PV energy were installed in Germany in 2010, making the country the world's biggest market in terms of newly-installed PV power capacity.

However, according to the report of market analyst Lux Research, the rising demand in the German market in the past few years has driven the increase in solar installations. But demand is expected to shift from Europe to Asia and North America when German demand starts to decline as producers reach near-term cost-cutting limits.

Against the background of reduction in support programmes in numerous European countries, Solarplaza sees huge growth potential in India, the USA, the Middle East and China.

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