Solar Photovoltaic (PV) Modules – Forecasting Price Levels in India for 2022

The price of photovoltaic (PV) modules saw a substantial dip from 2010 to 2020 – of about 70 to 80%, thanks to the growth of PV modules and solar power technology both in India and the world. Witnessing a steady average growth of about 25% each year, India had installed more than 40 GW worth of solar energy by December 2020. Interestingly, 55 to 65% of the total cost of the solar project is on PV module solar panels. PV modules are the single most important component of a solar power plant, and through these years, there was a dramatic improvement in their technology. As a result, PV modules became more efficient (measured by the proportion of solar irradiation converted to solar energy), and had better output capacity. 

Trends in 2020

Many expected these downward trends in the industry to continue in the coming years. Several developers even bid for projects under government tenders based on the premise that the price of PV modules would keep declining. On the contrary, the opposite happened. PV module price rose by 7 to 10% over the second half of 2020! From US$0.21/Wp in 2020, it increased till US$0.33/Wp in 2021. This led to industry watchers questioning whether this was a result of changes brought on by the pandemic, or a more permanent tendency that would stay.

Reasons for the Deviation in PV Module Prices in 2020

To set the context, let’s look at some key facts in the solar power industry. For one, China controls over 80% of the world’s solar supply chain, particularly in important areas of raw materials like glass and polysilicon. With this in mind, let’s examine the factors leading up to the subsequent rise in PV module prices:

  • The sudden breakout of the COVID-19 pandemic shifted a major part of the demand from the first half to the second half of 2020.
  • There was a shortage in the supply of polysilicon owing to an accident at GCL- Poly Energy Holdings Limited, a large supplier in Hong Kong, and the outbreak of a new virus in China’s Xinjiang province, another significant supply market. This resulted in over a whopping 50% increase in prices.
  • The transition of technology and slowed down ramp-up capacity further led to a shortage of glass.
  • The price of other essential commodities like aluminium and silver were also driven up.
  • Cost of transportation went up thanks to restricted movement of ships and containers during the pandemic.
  • The US Dollar fell in value against the Chinese Yuan.

Predicting PV Module Prices in FY22

The above chain of events contributed to the surge in PV module prices, and it remains uncertain when the situation will reverse. Issues like the supply shortage of raw materials might get resolved soon, but only if we assume that the pandemic will end shortly. Trends in commodity prices will also influence module prices and have a more long-term impact.

Technology Advancement in the Solar Power Industry

New technologies like bi-facial and 500+ Wp modules are emerging rapidly and will be likely to become mainstream over the next few months. As well, governments are expected to incentivize local manufacturing both globally and in India. These might result in a return to the previous trend of decreasing PV module prices. However, if governments decide to impose trade barriers like duties, prices may increase again. 

Although short-term factors make PV module prices somewhat unpredictable, these are overridden by the more long-term implications of solar power as the most sustainable option of energy. In the long run, PV module prices are likely to diminish to support the mainstream implementation of solar energy.

VEMC is a pioneer in electromechanical engineering products, allied equipment and services and is ISO 9001:2015 certified. With decades of industry experience, VEMCO Solar is a market leader in solar energy consulting services. Contact us at +91 98199 07445 for any requirements in the space.

India’s Solar Energy Market in the Past, Present and Future

The Past 10 Years – An Overview

India has proved to be a major player in the solar energy industry. In the past decade alone, it has seen an exponential increase in its capacity for solar power. By the end of 2020, the nation had installed a collective base of over 40 GW of solar power, with an annual growth of about 25%. Global factors like reduced cost of PV modules, rising demand and production, and a united commitment to slash carbon emissions also contributed to the growth of India’s renewable energy sector.

Most importantly, regulatory guidelines like duty-free import of Chinese PV modules, minimal duty on quality components from across the world, and the removal of subsidies on commercial and industrial business further led to the opening up of the renewable energy sector. Investment into the green energy industry increased.

Challenges in Solar Energy Today

India’s target of 175 GW Renewable Energy by 2022, (100 GW solar power, out of which 40 GW is powered by rooftop solar) was originally an ambitious but achievable target. Today, our installed rooftop solar capacity is only between 5 and 6 GW.

India had originally set a target to achieve 100 GW in solar energy by 2022, out of which 40 GW was to be powered by rooftop solar. However, its rooftop solar capacity stands at only 5 to 6 GW.

The COVID-19 pandemic caused disruptions in the supply chain, and while these are likely to be resolved in the near future, it fuels uncertainty in the present-day scenario.

India’s commitment to the Paris Pledge by 2030 takes a 3-pronged approach: 

  • 33 to 35% reduction in emissions intensity of the GDP
  • 40% of installed electricity capacity to be renewable energy or nuclear
  • 2,000 to 3,000 MtCO2e of an additional cumulative carbon sink

According to a 2018 report released by the World Health Organisation, a staggering 9 out of 10 most polluted cities in the world are in India! By 2021, the country was found to be the most polluted region in the world. This makes national objectives like transitioning to clean energy, electric mobility and improved energy efficiency not merely idealistic goals, but absolutely necessary measures that must be taken.

What’s Next

India is one of the most rapidly growing economies in the world, and its demand for energy aptly reflects this. Going forward, policies need to include practices that minimize climate risk and improve classification standards to help investors, financial institutions and investors gauge market potential and system-wide risks better.

Some measures that can be implemented to promote the growth of the renewable energy sector include:

  • Removal of cap on net metering
  • The freedom to choose between net or gross metering
  • Standardized long-term open access norms across states 
  • A unified renewable energy policy across the country
  • Minimal time taken for approvals related to connectivity, and net metering

Moreover, technological advancements in the sector like floating solar and solar-wind hybrids are likely to propel the industry further.

VEMC is a well-established solar energy company with solar power consultants in Mumbai. It is ISO 9001:2015 certified and a pioneer in the field of electromechanical engineering products, allied equipment, and services. Please contact us on +91 98199 07445 for inquiries and we will be happy to assist you.

A Guide to Solar Panels

A solar power system consists mainly of solar panels, an inverter, a meter, the consumer unit and the cabling.

The solar panels also called an array, are made up of photovoltaic (PV) cells. The array is usually mounted on a roof so that it is receptive to sunlight.

The photovoltaic cells in it are normally made of very thin layers of silicon and look like black or blue tiles. When sunlight reaches the cells, an electric field gets formed. The brighter the light, the greater the amount of electricity generated.

This direct-current (DC) electricity is then transferred to the inverter, which turns it into alternating current (AC) which you can use for your industry or business.


Let’s take a look at the technology powering the solar panels in more detail.

Monocrystalline (Mono) cells 

Photovoltaic cells can be of different types. Monocrystalline cells (Mono) are made from very high-quality single silicon crystals.

They are highly efficient, perform better in low light conditions than other types of solar cells, and have a lengthy lifespan. 

Polycrystalline (Poly) cells 

On the other hand, polycrystalline (Poly) cells are made by fusing together several kinds of silicon crystals. These are easy to manufacture, are cost-effective, and produce less waste than Mono cells.

However, over recent years, rapid progress in cell manufacturing processes have started to bridge the gap between the manufacturing costs of Mono and Poly cells. In 2018, Mono solar modules comprised 50% of global photovoltaic cell production.

PERC technology

Traditionally, solar cells come with an emitter layer on the front and a dark coating on the back. However,  Passivated Emitter and Rear Cell (PERC) is an innovation that has a dielectric passivation film on the back surface of the cells.

In PERC, the front directly absorbs sunlight while the back soaks in the reflected light, resulting in a higher generation of energy and greater benefits than the traditional solar cells.

It also affords more flexibility with more options for placement of the panels without affecting efficiency. PERC is available in both Mono and Poly cells.

Mono PERC Panels

When Mono cells and PERC technology are combined, the outcome is Mono PERC panels — solar modules of more superior quality.

The initial expenditure gets made up for in energy cost savings. What’s more, a fewer number of panels are required to be installed for the same amount of energy you receive.

They can capture more sunlight even in low light conditions and perform more efficiently than most other types of solar panels in the market. The need for such highly efficient solar panels has led to an increase in demand for Mono PERC panels.

We can guide you in choosing the solar panels best for you and also install and help implement them. Reach out to us on +91 9819907445. With more than 72 years of industry experience, VEMC is one of India’s top solar companies that offer best-in-class services in solar power to our clients. VEMC is ISO 9001:2015 certified and is one of the leading solar EPC companies in India.

How To Get More Value Out Of Your Solar System

Businesses today are increasingly shifting to a commercial solar power system, thanks to its improving efficiency over the past few years, lower energy costs in the long run, and in many instances, incentives from the government to switch to a more sustainable alternative with a lower carbon footprint.

While these businesses may be making significant investments in solar panels, many often overlook making the same effort to maintain the efficiency of their solar energy systems.

In this blog, we discuss some of the ways in which you can improve the efficiency of your solar power system and get the most possible value out of it. 

Choose High-Efficiency Solar Module Technology

To begin with, choose the most efficient solar module technology. Solar panels are composed of photovoltaic cells that capture sunlight and turn solar energy into electricity for consumption.

However, solar panels cannot convert 100 per cent of the solar energy they receive into electricity. So, the efficiency of a solar panel refers to the percentage of energy that its photovoltaic cells can actually transform into electricity.

Though solar cell technology has made immense progress over the last few years, not all solar panels function at the same efficiency.

Choose a model with high concentrated photovoltaic cells, that has a good structure and is made with quality material — these are what determine the solar panel’s efficiency. Mono Perc solar panels maintain high industry standards and can be a good option.

Use The Right Inverter

Just as it’s important to choose the proper solar panel, so it is to choose the correct inverter. For your system, get an inverter with a watts rating that’s about the same as your solar system’s watts rating, or maybe a little more.

However, it should not be too much or it will affect the system’s efficiency. Use one of the reputed make to ensure that the system experiences minimal downtime.

Avoid Installing Solar Panels In Shaded Areas

It goes without saying that the solar panels must be under maximum sunlight to capture optimal energy. But shaded areas can affect electricity output even if one photovoltaic is shaded. Remember to analyse and plan the site so that tall trees or buildings do not shade your panels.

Get An Established Epc Company To Install Your Solar Plant

The installation process is a complex and crucial one. Do not compromise and enlist the services of a professional solar EPC company to do the job. If the solar panels are not installed correctly, they will not receive the optimal level of sunlight. 

Clean Your Solar Modules On A Regular Basis

Over time, dirt and dust accumulate on the solar panels. Although solar panels have no moving parts and may not require frequent maintenance, it’s important to clean them occasionally to ensure that they function at peak levels. Temperature and rain can affect them; so get an expert opinion on how often to clean yours.

Track Your Solar Panel Output 

Often, businesses are happy with the initial output of energy from their solar system and stop monitoring it over time. So, a drop in levels can go undetected. Make it a practice to track output and you will be a lot more likely to be able to spot a reduction in efficiency if it occurs.

For help to determine the right solar panel for you, contact us on +919819907445. As one of India’s best solar companies, with 72 years of industry experience, VEMC provides end-to-end solar services to its clients. VEMC is ISO 9001:2015 certified and is one of the leading solar EPC companies in India.

Godrej Coliseum Case Study

Located in the sub-urban Sion East area of the bustling city of Mumbai, Godrej Coliseum is a magnificently built commercial complex offering retail and office spaces. Businesses like shipping, auto, pharmaceuticals, BPOs and telecom operators in the complex. The building is situated amidst a fairly upcoming residential area and naturally sees a generous footfall of shoppers every day, usually walking in with their families. Spread across 83 million sq. ft, the complex has amenities such as escalators, car parking, beautiful landscaping, advanced security, 24/7 water supply, car parking and adequate fire-fighting systems. 

As expected, the complex is a guzzler of energy and had to be powered with nothing short of a highly reliable and uninterrupted source of electricity. It was VEMC’s reliability and experience that Godrej turned to, and handed over this mammoth 90 kWp project. We were especially expected to ensure that the critical amenities of the building such as lifts, lights and pump loads are kept running uninterrupted. These form the backbone for the smooth functioning of the complex and are also essential for the convenient mobility of the public through it.

The project involved a lot of pre-planning, in that the maps of the electric fittings were thoroughly studied to avoid faulty or redundant wiring. To ensure our work caused minimal disruption in business, we closely coordinated with the client with regard to the vehicle entry and exit, working hours, storage areas, documentary support and other project management matters. We were also mindful of the prevailing DISCOM standards to avoid reworking our designs in case of any issues later. A pre-installation bill of quantities and design approval was issued to the client to provide an estimate of the expenses. Efficient supply chain management and properly scheduled delivery of critical components were imperative for our project management team to keep the project on track, meet deadlines and finish within the predetermined time-horizon. Finally, for the purpose of Net Metering, we coordinated with the DISCOM so that the surplus electricity that would be exported by the solar system of the complex would be offset against the imported electricity from the grid.

The project used mono-crystalline solar modules and inverters of Delta make with a total capacity of 75 kW. Throughout the project, we had the safety of the workers and the fragile equipment in mind and used proper equipment like PPEs, cut-resistant gloves and unloading tools, to handle the equipment. 

Our post-installation feedback revealed that the client had savings of up to 1.2 lakh units of electricity or around savings of Rs 12 lakh annually from this system.

For assistance to decide on the solar panel that suits your needs the best, feel free to contact us on +919819907445. We would be happy to assist you in finding the best match based on your requirements. As one of India’s upcoming solar EPC companies, having 72 years of market experience, VEMC provides end-to-end solar services to its clients. 

Solar Farms- The Next Big Thing In Solar Space

Large-scale solar installations are great for Economies of Scale. In fact, Solar Farms that produce less than one megawatt of power cannot justify their cost of development. Solar Farms are mostly set up in the hinterlands as crowded urban and commercial pockets never provide enough space for their development. To put things into perspective, the Solar Energy Industries Association of the US says that as of date, there are around 12000 major solar projects generating over 166 GW of energy in the country. This mushroom growth of huge Solar Farms is expected to replicate across the world, especially in India that is both a tropical country and has a vast hinterland offering ample space for these projects.

As our energy preferences shift away from fossils, Solar Farms will attain greater significance due to the scale of production, lower costs per unit of energy and other significant benefits that we cover below:

A massive engine of clean energy:

Solar Farms unlike small solar installations have the potential to power townships, villages and even cities in the foreseeable future. You can envision a Solar Farm just like your good old hydro-power project or a thermal power plant. With increasing R&D in the sector, you can expect Solar Farms to be more productive, efficient and feasible. 

The dawn of Agrovoltaics:

Agrovoltaics is beginning to percolate the vocabulary of the Solar Sector. Unlike conventional installations like thermal plants or hydro-power plants, establishing a Solar Farm is not permanent or irreversible. This means the land covered under solar panels and other apparatus can always be re-used for agricultural purposes. Imagine the implications it has on the flexibility of the government’s planning and policy-making.

Energy for everyone:

Solar systems have a significant space factor associated closely with them. This means households or commercial facilities with inadequate space will never be able to accommodate a solar system on their rooftops or batteries in a dedicated room. This issue is however resolved by the Solar Farms that become the singular source of energy to power considerably large settlements from a distance.

No noise or other hazards:

Solar Farms go easy on the environment in more ways than one. They not just have zero emissions and can significantly help reduce our Carbon footprint as a society; they are also noise-less. Solar Farms get accommodated very naturally into your surroundings and have barely any effect on the communities, flora and fauna around them. These farms also do not release any hazardous wastes into the environment, quite unlike thermal and nuclear power plants.

For assistance to decide on the solar panel that suits your needs the best, feel free to contact us on +919819907445. We would be happy to assist you in finding the best match based on your requirements. As one of India’s best solar companies, having 72 years of market experience, VEMC provides end-to-end solar services to its clients. VEMC is ISO 9001:2015 certified and is one of the leading solar EPC company in India.

The Sun Is Up And Bright. Let’s See How We Still Face Challenges In The Solar Energy Industry

While Solar Energy is touted to be the fuel for the future, some significant challenges hinder us from making the most of this inexhaustible resource. However, as Solar R&D evolves, our hopes to tackle these challenges effectively will see a steady and upward trajectory. Having said that, the journey starts by identifying these challenges first, and in this blog, we do exactly that.

Dependence on nature:

Natural forces like seasons, geographical location and clouds determine the amount of Solar Energy that you can produce at a given time and place. This is absolutely beyond the control of humans and is likely to remain so, at least in the foreseeable future. Techniques to reduce the effect of these natural forces will have to be worked out so that users may bypass these challenges.

Quality of power:

This refers to the availability and voltage that solar systems can give us. Inconsistent power and fluctuating voltage are not acceptable, especially in commercial applications. This has serious implications for the reliability of this resource. For sectors that require emergency power such as healthcare, solar could struggle to find takers in the coming years. Only as the reliability-to-cost ratio improves in these areas will solar power will find greater acceptability.

Locational challenges:

Geography is a huge determinant in Solar Energy on more than one level. Globally, solar power fits best in the tropical regions that receive plenty of suns all year round. Latitudes further away from the equator will struggle to accommodate it. On a more local level, solar plants may have to be located in a large and open area, such as a desert or abandoned lands. This affects the availability of the resource to the human settlements, especially in urban areas that are in greater need of solar power.

Investment in Solar:

As a thumb rule, the first-time investment in any new technology is always hefty. This is also true of Solar Energy. There is a pressing need to bring all stakeholders such as government agencies, corporations and investors onto a common platform to develop an understanding and channel productive resources of the society into Solar Energy.

Cost of equipment:

The cost of installation of solar apparatus such as panels, storage batteries and VFDs is considerably high. This is quite a disincentive for taking up solar as your staple energy source, especially for households and small commercial undertakings. However, with the passage of time and with adequate research, innovation and competition pouring into the sector, the costs are expected to decline significantly.

Solar energy has gained tremendous traction lately, especially in the wake of the climate change debate. However, the formidable challenges faced on multiple levels require proper redressal through adequate research and development, innovation and investment.

For assistance to decide on the solar panel that suits your needs the best, feel free to contact us on +919819907445. We would be happy to assist you in finding the best match based on your requirements. As one of India’s best solar companies, having 72 years of market experience, VEMC provides end-to-end solar services to its clients. VEMC is ISO 9001:2015 certified and is one of the leading solar EPC company in India.

Solar Success Story: The Installation of 200 kWp Plant at Godrej City

Navi Mumbai is a rapidly developing area, where new properties are being built. Godrej City is one such project by Godrej Properties. Located in Panvel, Navi Mumbai, it offers skillfully designed 1 BHK, 2 BHK, and 3 BHK apartments that are currently under construction. Godrej City consists of 568 units across 18 floors, spanning more than 3 towers over a total project area of 150 acres. Being a well-established solar energy company in Navi Mumbai, VEMC was consulted and hired to install a 200 kWp grid tied solar power plant at this location.

Challenge

Godrej City, being a booming residential estate, was seeing extremely high levels of electricity consumption. In fact, the annual average electricity production was 260000 kWh. VEMC’s solution sought to bring this down significantly and provide a greener, more sustainable and efficient source of energy.

We were met with the challenge of installing solar modules on “sandwich” roof profiles that don’t allow penetration of the sheet when anchoring the solar mounting arrangements. 

Further, this took place during monsoon and the COVID-19 pandemic. We were working at the site with our teams through this and all precautions had to be taken to ensure our safety. 

Our Solution

We took on the challenge and set about working out a solution. The project was a 200 kWp grid tied solar system. A grid-tied solar system is connected to the electrical power grid. The system relies on this grid to produce solar energy which can be used and funnels the excess energy to be used at a later time, or for net metering or clean energy credits.

The solar plant we successfully installed consists of 514 units of 390Wp high-efficiency Mono PERC modules. 

We solved the problem posed by the sandwich roof profiles by using high-strength industrial metal to metal adhesives to connect the mounting arrangement and roof.

The team was equipped with PPE kits and a thorough set of safety harnesses. This may have slowed them down but it protected everyone from both COVID-19 and other accidents.

Impact

The amount of carbon dioxide saved each year by avoiding fossil fuels to generate the same amount of energy is 184 metric tons! To get a clearer picture of the impact, this is equivalent to:

  • Greenhouse gas emissions from 40.1 passenger vehicles driven for one year and 463,075 miles driven by an average passenger vehicle
  • Carbon dioxide emissions from 20,733 gallons of gasoline consumed, 18,100 gallons of diesel consumed, 203,657 pounds of coal burned, and 2.4 tanker trucks’ worth of gasoline
  • Carbon sequestered by 3,047 tree seedlings grown for 10 years, 226 acres of forests in the USA for one year, and 1.3 acres of forests preserved from conversion to cropland in one year

The project expected payback is approximately 3 years, taking the maintenance expenses into consideration. VEMC is a well-established solar power plant company in India. With over 72 years of industry experience, VEMCO Solar was able to execute the Godrej City project successfully. VEMCO Solar is a market leader in solar solutions — be it solar plant erection, procurement, commissioning, net metering, or electrical connections. If you have any requirements in this space, please feel free to contact us at +91 98199 07445. We would be happy to help you out.

Solar Success Story: How VEMC Solved A Case of Space Constraint for Solar Installation in a High-Rise Building

Making the switch from electrical to solar energy, which is the more sustainable and efficient alternative especially, in the long run, is often easier said than done. This is where VEMC, a leading solar power plant company in India with over 72 years of expertise in the field, can assist you and provide you with smart solutions. In this blog, we take a look at how VEMC solved a case of space constraint for solar installation on the roof of a medium high-rise building at Prince Care Zinnia, a residential property by Prince Care Realty. The building developers were looking for a way to reduce energy consumption while adopting a more reliable source of energy and the commissioned solar plant does exactly that, with an estimated annual average electricity production of 42900 kWh.

Challenge

The main challenge in installing solar panels at this site was a shortage of area on the roof of the residential building. Because of this, solar placement was difficult and required considerable modifications in the standard design and fabric of the solar structure. However, we were able to come up with a solution after a proper assessment of the situation.

Our Solution

The idea was to overcome space constraint challenges and ensure that the area was used as efficiently as possible while adhering to the client’s other requirements, and set up a 33 kWp solar plant on the roof of the residential building at Prince Care Zinnia. 

Execution

We had to take accurate rooftop measurements and make significant fabrications to the basic solar structure. These were necessary to ensure that the client’s need for clear passage, space for other installations and other requirements could also be accommodated.

We studied the computer-aided design (CAD) of the roof layout to fit the required solar plant capacity in the available area. Shadow analysis was done on the finalised CAD drawings to mitigate the effect of shadows falling on the solar modules.

We installed the solar modules using hot-dipped galvanized solar structures placed on civil foundations. Hot-dip galvanization prevents the rusting of the steel posts and extends the life of the system. The civil foundations are anchored with the structures to provide good foundation support.

Impact

There were multiple benefits of installing the 33 kWp solar plant at the site. These included energy savings of a whopping 30.36 metric tons of carbon dioxide each year to generate the same amount of energy — just by avoiding fossil fuels! Further, we were careful to adhere to a plan that made the most economical use of the space on the rooftop of the high-rise building, thereby fulfilling the client’s needs for a smart source of solar energy.

VEMC is a well-established solar energy company in Mumbai, and a pioneer in the field of electromechanical engineering products, allied equipment, and services. With decades of industry experience, VEMCO Solar was able to successfully execute the Prince Care Zinnia project and deliver superior-quality results. VEMCO Solar is a market leader in solar solutions — be it solar plant erection, procurement, commissioning, net metering, or electrical connections. If you have any requirements in this space, please feel free to contact us at +91 98199 07445. We would be happy to help you out.