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1.6 Million transactions replicate distributed PV market slowdown by COVID-19 lockdown
Haoran Zhang1,2, Jinyue Yan2, Qing Yu1
1Center for Spatial Information Science, The University of Tokyo 5-1-5 Kashiwanoha, Kashiwa-shi, Chiba 277-8568, Japan.
Applied Energy
|August 23, 2022
Summary
The COVID-19 pandemic significantly impacted the distributed solar photovoltaic (PV) market. Lockdowns exceeding two months caused substantial economic losses and reduced emission reduction capacity, highlighting the need for incentive strategies.
Area of Science:
- Renewable Energy Economics
- Environmental Policy
Background:
- Solar photovoltaic (PV) technology has become a cost-competitive electricity source globally.
- The COVID-19 pandemic presents potential challenges to renewable energy projects, particularly in the distributed market.
- Quantifying the economic impact of COVID-19 lockdowns on the PV sector is a complex research problem.
Purpose of the Study:
- To track the spatio-temporal sales network of the distributed PV market.
- To analyze the extent of market slowdown caused by COVID-19 lockdowns.
- To identify risk thresholds and mitigation strategies for the distributed PV market.
Main Methods:
- Analysis of millions of financial transaction records.
- Examination of 44,000 photovoltaic installation records.
- Spatio-temporal tracking of the distributed PV sales network.
Main Results:
- A lockdown duration of two months was identified as a high-risk threshold.
- Exceeding this threshold resulted in a 67.7% monthly value-added loss.
- Emission reduction capacity was reduced by 64.2% annually following prolonged lockdowns.
Conclusions:
- COVID-19 lockdowns pose significant risks to PV deployment, especially in the distributed sector.
- Lockdown durations exceeding two months critically impact market value and environmental benefits.
- Comprehensive incentive strategies are crucial for mitigating market uncertainties and supporting the distributed PV sector.
Keywords:
COVID-19COVID-19, corona virus disease found in 2019Distributed PV marketEconomy slowdownGHI, Daily global horizonLER, Loss in potential emission reduction capacityLRER, Loss rate in potential emission reduction capacityMETI, Ministry of Economy, Transaction and IndustryPFRC, Proportion of PV companies under Risk of CollapsePRSW, Risk of Suspension of WorkPV, photovoltaicTransactionMore Related Videos
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