Solar photovoltaic (PV) installed capacity in North and South America will increase more than tenfold over the coming years, at a massive compound annual growth rate (CAGR) of 15 percent, says a recent research from GlobalData.
The figure is set to rise from 13.1 Gigawatts (GW) in 2013 to 138.8 GW by 2030, GlobalData said.
In 2013, the U.S contributed the majority share of the region’s solar PV installed capacity, with 89.1 percent, followed by Canada and Brazil, at 8.5 percent and 0.2 percent respectively.
America’s power generation from solar PV installations is set to grow at an impressive rate, jumping from 21 Terawatt-hours (TWh) in 2013 to 234 TWh by 2030.
The growth in solar industry in both North and South America is primarily attributed to the support mechanisms provided by federal and state governments. Although both countries have federal regulations in place supporting renewable industry, states with strong policy frameworks have been the major contributors to renewable installed capacity in both countries, the report said.
California and Texas, which have been providing policy support to the renewable-energy industry for more than a decade, are the leaders in terms of renewable capacity. The Canadian government is supporting renewable energy with the ecoENERGY program. Ontario, with its comprehensive Feed-in Tariff (FiT) program, is the leading province in terms of renewable-power capacity.
Brazil’s Solar Auctions and Mexico’s National Energy Strategy provide a breakthrough for solar photovoltaic growth in the Latin American Region. Brazil’s energy ministry, the Ministry of Mines and Energy, approved 122 Megawatts (MW) of solar photovoltaic capacity in the first solar-only auction held in the country in 2013, and solar projects will receive $98 per Megawatt hour (MWh) for power generation.
Mexico’s government is also supporting renewable power development with its recently introduced National Energy Strategy, which established a roadmap for energy policies to be implemented over the next 15 years.