P.V. solar panels

Photovoltaic solar panels use the photo-electric effect to generate electrical current from photons – the small particles that carry energy from the sun all the way to earth.

This segment is where most of the R&D currently goes to, for good reasons. First, it is considered to be the most efficient solution for residential and commercial customers. Second, solar panels generate electricity, which is (and will be) in ever-growing demand. Third, the technology used by P.V. companies has been around for many years and was thoroughly researched.

The P.V. solar panels segment is heavily influenced by two forces driving its supply and demand dynamics – costs of silicon (on the supply side) and government incentives (on the demand side). We will write a separate article on the dynamics of supply and demand in the solar industry, as it has critical impact on the performance of all companies operating in the P.V. market.

Size of P.V. solar projects vary from small, residential, consumer oriented projects, to larger-either commercial or even utility scale projects, where thousands of solar panels are installed, usually in large, open areas.

Companies: First Solar (FSLR), SunPower, Trina Solar

Concentrating Thermo-Solar

Concentrating thermo-solar plants are composed of a large field of mirror, focusing sunlight onto a medium which conducts a fluid (usually water). The fluid’s temperature rises, steam is released, moving a turbine which generate electricity.

Concentrating solar projects are huge in size, usually located in deserts, are very efficient (close to 50% of the sun’s energy is converted to electricity, as opposed to 10-15% of P.V. panels). Due to their size, these projects require heavy funding, and are strongly influenced by the credit markets and incentive programs.

Several companies operating in the concentrating thermo-solar segment are on their way to find the holy grail of the solar industry – and efficient way to store solar energy (which is not available 24/7, a major drawback). Solar energy storage technology is a true gamechanger, and we will keep you up to date on where this technology is heading.

Companies: BrightSource (privately held), Solel (acquired by Siemens)

Solar Water Heaters

The dark horse of the solar industry, solar water heaters are simple tubes, sometimes enclosed in a glass frame, who’s sole purpose is to heat water running through them. The heated water is stored in tanks, usually mounted on rooftops, eliminating the need to use electrical water hearts.

Although the technology is very basic, solar water heating is the most accessible solar energy solution available today. In several sunny countries, solar water heaters are mandatory in new buildings. The potential for this market is huge, especially in developing countries, where reliability and reach of electricity grids are limited.

Most companies operating in these segments are Chinese manufacturers and local, small system installers. Very little, if any, R&D goes into these systems, despite the fact that in large numbers, they can make a huge difference in terms of carbon emission.

Realizing the huge potential of solar, billions of dollars go each year into the industry – funding research, building large scale projects and subsidizing end consumers.

The Solar Industry blog will provide unique insight into the quickly evolving solar energy market, with analysis of the market as an organic system, and of each industry player across the solar market value chain.

We will also provide our readers with  special, custom made software tools that will help anyone interested in solar energy get a better picture of where the industry is stranding and where it’s heading.

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