How is Covid-19 impacting the global solar sector?

pWebinar – 23 April 2020 How is Covid-19 impacting the global solar sector Global Solar Council The voice of the world’s solar energy industry, we are a non-profit body based in Washington D.C. representing national, regional and international associations as well as leading solar sector corporations. Founded at the 2015 Paris climate conference as a private-sector response to the climate emergency, we bring together associations from both established and emerging markets that represent companies all along the solar supply chain. 2 Our vision - Solar energy is the leading solution to the world’s energy needs Our mission - To promote the rapid adoption of solar energy globally, through market development, partnerships and education. About us Partnerships Our activities Developing actionable policy recommendations for intergovernmental organizations Opening new markets and growing existing markets Building partnerships with key intergovernmental organizations and international institutions Expanding local capacity Promoting standards, best practices, quality initiatives and sustainability 3 In recognition of solar PV’s immense potential for job creation, the GSC has set a target of 10 million solar jobs by 2030, which will result in trillions of dollars in long-term, stable investments and multiple terawatts of PV generation. Our activities How is the COVID-19 pandemic impacting the PV industry A global survey to track the effects of the pandemic and how governments amp; institutions can respond to the emergecy and support the PV sector 4 Responses received in April 2020 from hundreds of solar businesses in 62 different countries PV plant designers, developers amp; installers, EPC/general contractors, component amp; materials producers amp; distributors 5 Impact on orders Yes 71,2 No 28,8 In terms of sales to the solar PV market, have you experienced a decline in orders as a result of the health emergency since the beginning of the crisis in your country Of which 6 in 10 have seen orders fall by up to half 3 in 10 have seen orders fall by between 50 and 90 1 in 10 have seen orders virtually wiped out 90 6 Outlook for orders Yes 79,5 No 20,5 Do you expect a decline in orders over the next 4 months Of which Half expect orders to fall by up to 40 Half expect orders to fall by more than 40 7 Outlook for prices Of which Yes 37,3 No 62,7 As a result of government decisions in response to the health emergency, have you experienced an increase in the price of supplies since the beginning of the crisis 5 in 10 have seen price inflation of up to 10 3 in 10 have seen price inflation of 10-15 2 in 10 have seen price inflation of over 15 Outlook Just over half of all respondents 54 expect prices to rise in the next 4 months with modest increases less than 10 predicted by most 8 Impact on supplies Yes 74,9 No 25,1 Have you experienced difficulties in supplying goods and services compared to the period before the start of the COVID-19 crisis and government decisions related to the health emergency Yes 71,4 No 28,6 Do you expect difficulties in supplying goods and services in the coming 4 months 9 Impact on operations What are the main operational difficulties are you experiencing in the daily activities of your company ISSUES WITH ORDERS/CLIENT DEMAND/CONTRACTS 35 “Clients are being more cautious” “Uncertainty of future regulations for installations” “Rooftop not considered essential service” “Difficulty in getting new contracts” “Clients are not in a period of decision-making” “Difficulty is assigning contracts and works” RESTRICTIONS ON WORK/ACCESS TO SITES 57 “Mobility for activities that require a site visit” “Lack of staff and restrictions on travel and accommodation” “Limited human resources” SUPPLY CHAIN/LOGISTICAL ISSUES 18 “Supply of stock” “No materials” “Logistics” “Lock down” “Shortages of fuel, curfews and lack of transportation” None 4 10 Increased tax credits for companies 38 Increased tax relief for solar PV installations 48 Non-refundable loans or aid 37 Dedicated state financing 42 Other 20 0 5 10 15 20 25 30 35 40 45 50 What support initiatives and/or tax relief mechanisms should be provided by government/institutions to help you mitigate the effects of the COVID-19 pandemic Support mechanisms Actions to reduce bureaucracy digitalisation, cut administrative burdens and ease financial regulations Stimulus measures to boost demand for solar/green investments post-Covid Preferential treatment for solar in power markets www.globalsolarcouncil.org 11 Get in touch Global Solar Council Thank you GSolarCouncil Global Solar Council/p