PV industry in the next 5 years can survive a few giant

Polaris solar PV net news: Solar Silicon material production and processing equipment as a domestic leading enterprises in the field, one of the IPO of 909 million Yuan raised Dragon photoelectric (toast by the market on December 25, 2009, listed the day’s closing price of 26.99 dollars, later share price rose all the way to 38.49 dollars. However, with the photovoltaic industry to go downwards, the company’s share price continued to decline, its controlling shareholder, in trouble, the company was the media repeatedly questioned the violation.

End of the first quarter of 2014, Feng Clan Dragon photoelectric stake drop to about 50 million shares, per cent of total equity of 25.3% and almost in a State pledge. Since March 3, 2014, TL-electro-optical stock has been delisted, announced to Noah Technology Ltd and Feng Jinsheng, Changzhou, said controlling shareholders equity transfer issues are still being negotiated, seems to be winding up of plans out of business. Once prosperous feng’s family is how we got to this point of it?

Investment advisor in the new energy industry researcher at the Shaw letter believes that PV before giants in the heyday of the industry, and a number of enterprises are above middle of polycrystalline silicon, photovoltaic module manufacturing sales, significantly less investment in downstream PV links. Photovoltaic industry mired in losses to improve, PV giant profitability declined sharply, part of the bankruptcy reorganization, some strategic shrinkage, well very few survived. After restructuring, capacity optimization, price war, PV industry in the next 5 years can survive several giant companies are worth in the industry focusing on.

PV industry concentrated degrees of upgrade is trend, PV giant itself strength in is big degree Shang representative and and effects with whole industry of development prospects, Shang middle and lower reaches of market accounted for than over 90% of enterprise total number not should is greater than 6, otherwise capacity excess, and structure imbalances, problem still cannot solution, especially in upstream more crystal silicon links, poly Association Xin of powerful Overlord status not should also cannot was other enterprise shake. The fate of being eliminated for SMEs cannot be changed, voluntarily quit or were forced out of, after all, only a reasonable layout of the capacity after huge market capacity in order to gradually release the entire industry, integrating the industry chains in efficiency will gradually improve.

Meanwhile, the Government’s role in the industrial development process should be clearer, introduced various preferential measures of local government at the time of the great leap forward to help solar giant expansion when the industry is suffering a downturn now need Government stepped in to save the city. Both in terms of economic, social and environmental benefits, and energy structure adjustment, transformation of development mode and economic structure upgrade, these jobs require local photovoltaic industry, represented by the new energy industry as a focus for future development, to continue to assist PV Giants road to restart expansion.

However, the future of grid-connected PV Giants need better policies, subsidies, improve support services more important than direct intervention in the daily operation of enterprises, local State-owned enterprises to offer and is an effective solution, and if the banking system to ease credit policy, PV Giants survive “winter” is not nonsense. But all of the premises are scientific and effective planning, “Thirteen-Five” PV industry development objectives, specific development paths will determine the viability of PV Giants and space for development. (The author is a investment advisor industry and new energy researcher at the Policy Center)

Original title: the investment adviser: PV industry in the next 5 years can survive a few giant

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