Thesis: Solar energy industries is boosting and promising, but there are still problems to solve if consider it as future major energy source.
Solar energy has become the energy source that has the most rapid increasing rate. According to Hanergy Energy Holding Group and China New Energy Chamber of Commerce’s Global Renewable Energy Report 2014, the solar energy consisting solar thermal energy and solar Photovoltaic skyrocketed from 10.1 Terawatt hours globally in 2007 to 151.3 Terawatt hours in 2013, nearly surged for 15 times, whereas the total power consumption only increased 20.48% within 2007-2013 range. Also, the cumulative installed capacity of solar energy rose from 10.3 gigawatts to 144.3 gigawatts globally, in the same time range.
Within the boosting solar energy market, China has become the leading country in 2013. Germany used to be the leader in solar energy; however, the global photovoltaic market gradually moves its focus from Europe to Asia. China, Japan, the Middle East and Southeast Asia became important strategic market for photovoltaic enterprises. Japan kept up its pace in solar power electricity after the devastative Fukushima Nuclear power plant explosion. Japan started to seek backup clean energy source to substitute nuclear energy and to satisfy its electricity demand.
Problems at the back of the exuberance:
- Connection problem. Since solar energy photovoltaic plant needs large tower plant and large plain ground to spread out all solar cells without overlapping on each other, enterprises choose the build solar energy plants at rural areas with cheap and plain ground. Then the connection between these rural areas and population centers where is the major location the electricity generated to the consumed become crucial. According to Bloomberg, there is still approximately 30% of the solar power installed in 2013 waiting to be connected.
- Efficiency of transmission line, electricity grid. A great quantity of energy is lost on the long transmission line and at low-efficiency electricity grids. Improving storage efficiency and transmission efficiency is another important task to deal along with increase solar power technology.
- Solar power plant can maintain competitive in energy market count on large government subsidy. However, in order to swipe off dependent on dirty coal-fire energy, government must have spent great amount of money on shutting off coal mining industries and setting up new energy infrastructures. Rivals of solar energy with lower marginal subsidy need from government, such as nuclear power, turns to be more competent. However, with lower mortality rate, solar industry would be more beneficial in the long run, so how to finance and support the solar energy industry in the foreseeable future is significant to one’s energy distribution.