United States solar photovoltaic system costs are falling faster than had been expected, despite the coronavirus pandemic, according to a new report from Wood Mackenzie.
That is primarily driven by module price reductions across all market segments, the research firm said.
Residential system prices with mono PERC modules are now expected to fall 17% from 2020 to 2025, a bigger decline than the 14% forecast pre-coronavirus, it said.
Additionally, mono PERC commercial and utility system costs are expected to decline from 13% to 16% and from 16% to 20%, respectively, during the same timeframe, it said.
It noted that bifacial modules are gaining traction in the utility segment, especially since those modules have been exempt from Section 201 tariffs on all imports into the U.S., it said.
The cost of systems using bifacial modules, exempt from Section 201 tariffs, will be about 1% below the cost of monofacial mono PERC systems, said WoodMac research analyst Molly Cox.
Residential solar projects have more exposure to the impacts of the virus due to shorter project cycles, WoodMac said.
Solar demand in the U.S. is likely to grow toward the end of 2020 and again in 2021, it said.
The industry will have to find ways to reduce soft costs in the future, it said. That includes the costs associated
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