Newcastle and Hunter Region PV Solar. Situation Analysis and Market Research Summary
Sunday, 2 January 2022
PV solar in the Hunter region. Situation analysis and market research
The solar power market in Australia is expected to grow at a compound annual growth (CAGR) of 19.56% during the forecast period of 2020-2025
More than 22% of homes in Australia used rooftop solar PV to generate 12269 GWH
More than 30,000 rooftop installations were registered in March 2020, for a total of 250 MW of capacity.
The Aus, rooftop solar market is growing strong driven by high electricity prices and falling costs of solar PV and associated equipment. Increasing energy use at home due to lockdowns are also increasing the demand.
The high cost of storage along with competition from alternative clean energy sources and problems associated with solar power integration to the grid is expected to hinder the growth of this market.
The residential segment is expected to dominate the Australia Rooftop solar market during the next 5 years
Australia is expected to have the highest share of solar power at nearly 40% in the electricity grids by 2050, which is expected to provide opportunities in the Australia solar rooftop market in the future.
While the majority of PV Installations in Australia are residential, rooftop solar on commercial buildings is on growth stage.
The national rooftop solar market is fragmented. Some of the major players in the market include, Energy matters Pty Ltd, Gem energy inc, Tinto solar PTY, Trina solar limited and Risen Energy co ltd. ( National level)
NSW is leading the rooftop solar PV installation with more than 100,000 systems in 2020 according to the CSIRO
The NSW Government is implementing renewable energy zones prioritising sustainable energy sources and higher energy efficiency standards for new homes in the 2022 national construction code, through the Australian Builders Codes Board. (Sustainability of Energy Supply and Resources in NSW, August 2021).This could represent an opportunity to promote our products within the construction industry…?
Solar systems are currently subsidised by the Federal Government (STC Scheme). Under the current legislation this solar financial incentive is reducing by one fifteen (?) every year from January 2017 until it drops to zero in 2031. This means that the solar panel demand may tend to decline over time due to drops on rebate and market saturation.
However the Empowering homes program supported by the NSW Government is aiming to deliver solar and batteries to 300,000 households in NSW across 10 years through interest free solar and battery loans for eligible households. This program was extended to allow residents in the Hunter region. ( How can we fit there?)
The Hunter region accounts for 44% of the power generation in NSW. Around 51% of this energy is produced by Coal. The closure of 2 big power stations in the next few years may accelerate the transition to a clean energy.
There are 68,827 private dwellings in the Newcastle area
According to the Australian PV, approximately 20% of households in Newcastle have solar power. Almost twice the homes in this city have solar power. (gosolarquotes.com.au)
In Lake Macquarie there are approximately 31% of households with PV systems ( Australian PV institute)
The most common installation size for household PV systems was between 6.5kW and 9.5kW, accounting for slightly more than half of total installations in the Hunter region.
The market is competitive with around 22 local businesses offering PV solar systems and related services. (Google search)
Our main challenge is to look for a clear positioning and differentiation strategy to set us apart from the competition. How can we attract the right customer to our website?