The embarrassing status quo of domestic photovoltaic companies: price war and not to follow the problem

In the first half of 2016, photovoltaic set off a wave of "rush to install", which was caused by the implementation of the new photovoltaic subsidy policy in the second half of the year
.
The consequence of the "rush to install the tide" is that the new space in the second half of the year is less than 3GW, that is, the energy that drives the market is exhausted in advance, and then it triggers a fierce price war
.

PV companies have to participate in the price war, because if they do not join the price fight, they may face being marginalized by the market or even eliminated in advance
.
But participating in the price competition means that you may lose money
.

The reason for the "rush to install the tide" of photovoltaics is that the subsidies for new photovoltaic power generation will be reduced in the future, and according to the original standard
before June 30.
Therefore, the scale of new photovoltaic power plants in the first half of this year may exceed 15GW, while the annual target set by the National Energy Administration is 18.
1GW, and there is no doubt that the second half of the year will face a cliff-like decline
.

The first half of the year was too "brilliant", which directly led to a sharp decline in demand in the photovoltaic supply chain, inventory growth in the market, and a decline in the price of photovoltaic modules
.
In the short term, the pain of photovoltaic companies may be difficult to avoid; In the long run, the prospects of photovoltaics are still relatively optimistic
.

On the one hand, behind the photovoltaic price war, in addition to excessive competition, there is also the continuous decline in the cost of photovoltaic power generation, which is conducive to photovoltaic companies to accelerate the process of parity and gradually get rid of the dependence
on state subsidies.

On the other hand, the proportion of thermal power in the domestic electricity market is still too high, and it is expected to increase the development of
non-fossil energy in the future.
Compared with other non-fossil energy sources, the advantage of photovoltaic is that it can be used as a large-scale ground power station or a distributed power station in dense areas; The disadvantage is that the cost of electricity is high
.

However, the price war this time means that the cost of power generation is falling
rapidly.
At that time, PV is expected to be cost-competitive, compete with fossil fuels, and play a substantial role in the power generation industry, rather than "flowers in the greenhouse"
.

At present, the cumulative installed capacity of photovoltaic power generation in the country has reached a high level, and the new installed capacity of photovoltaic has also increased
year by year.
Once the user-side "parity on the Internet" is realized, photovoltaic power generation will be developed
faster.

Therefore, for photovoltaic companies, the first problem now is how to survive better, not only to find ways not to be marginalized by the market, but also to find ways to avoid getting involved in price
wars.

China is very encouraged to develop photovoltaics, the demand is also strong enough, in the next 5 years, the average annual demand for photovoltaic equipment will exceed 20GW, the prospect is good
.
Photovoltaic companies should accelerate the process of parity and make photovoltaic power generation an important cornerstone
of the energy revolution.