Japanese PV market may start to decline in 2014

Abstract The report of the Tokyo Yano Institute shows that due to the small size of Japan and the decline in photovoltaic subsidies, the market for large-scale photovoltaic power plants in Japan will rapidly shrink after the fiscal year 2014. The Yano Institute of Japan stated that due to lack of land and market incentives,
The report of the Tokyo Yano Institute shows that due to the small size of Japan and the decline in PV subsidies, the market for large-scale photovoltaic power plants in Japan will rapidly shrink after the fiscal year 2014.

Japan's Yano Institute said that due to lack of land and market incentives, the demand for utility-grade and industrial-scale photovoltaic power plants in Japan will quickly disappear after 2014.

Yano estimates that the market for large PV power plants in Japan will reach $23.03 billion in 2014 and will shrink to $2.03 billion by 2020. Researchers point out that lowering subsidies for solar power producers may reduce demand. In addition, Japan has been affected by the limited land area for many years, and the market will be further dragged down.

The report shows that after the photovoltaic panel manufacturers in Japan have formulated PV subsidies for 12 years, the expansion after the solar power system market is considered temporary.

Japanese resident PV systems accounted for 80% of the Japanese solar market demand at the end of the fiscal year 2011. By the end of fiscal 2012, non-residential PV systems accounted for nearly half of the market.

The report also pointed out that according to Yano's prediction, Japanese manufacturers are reluctant to increase domestic production capacity, but cooperate with foreign producers to focus on component marketing.

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