Why is low-cost electricity important for solar PV supply chain?

Low-cost electricity is key for the competitiveness of the main pillars of the solar PV supply chain. The diversification of highly concentrated polysilicon, ingot and wafer manufacturing would provide security-of-supply benefits. Electricity accounts for over 40% of production costs for polysilicon and nearly 20% for ingots and wafers.

How many dumping and import taxes are imposed on solar PV?

Since 2011, the number of antidumping, countervailing and import duties levied against parts of the solar PV supply chain has increased from just 1 import tax to 16 duties and import taxes, with 8 additional policies under consideration. Altogether, these measures cover 15% of global demand outside of China.

How has China shaped the global supply and demand of solar PV?

Government policies in China have shaped the global supply, demand and price of solar PV over the last decade. Chinese industrial policies focusing on solar PV as a strategic sector and on growing domestic demand have enabled economies of scale and supported continuous innovation throughout the supply chain.

Which country produces the most cost-competitive solar PV supply chain?

China is the most cost-competitive location to manufacture all components of the solar PV supply chain. Costs in China are 10% lower than in India, 20% lower than in the United States, and 35% lower than in Europe. Large variations in energy, labour, investment and overhead costs explain these differences.

Will solar PV create more jobs?

Critical sectors such as polysilicon, ingots and wafers would attract the majority of investment to support growing demand. The solar PV industry could create 1 300 manufacturing jobs for each gigawatt of production capacity. The solar PV sector has the potential to double its number of direct manufacturing jobs to 1 million by 2030.

Does solar PV decarbonise?

As power systems across the world decarbonise, the carbon footprint of PV manufacturing should shrink accordingly. Transporting PV products accounts for only 3% of total PV emissions. Meeting international energy and climate goals requires the global deployment of solar PV to grow on an unprecedented scale.