Global solar capacity could reach 540 GW by 2020

Global solar power capacity has reached 178 GW and could reach 540 GW by 2020, according to a new study by Solar Power Europe (SPE).

The Global Market Outlook 2015-2019 shows that 40 GW of new capacity was installed worldwide in 2014, up from 38.4 GW in 2013, and the 178 GW total is equivalent 33 coal-fired power stations of 1 GW.

The UK was the fastest growing market in Europe adding 2.4 GW with 7 GW being installed across the continent.

Europe is the biggest solar market with a total of 88 GW installed by the end of 2014.

China is the fastest growing market globally, installing 10.6 GW in 2014, followed by Japan with 9.7 GW and the United States with just over 6.5 GW.

SPE estimates that worldwide capacity will reach 540 GW by 2020 in a high-growth scenario and 396 GW in a “low-support” case.

The study also notes that the cost of PV systems continued to decline in 2014: “System prices below €1/wp are now common in several European countries, while prices around $1/wp have been reported in the most competitive tenders. This has been achieved thanks to the declining prices of modules – except in Europe where the minimum import price on modules from China has maintained prices at a higher than market level – and inverters, combined with economies of scale that brought installation costs down much faster than many expected.”