Total 2016 solar financing declined by 64

Polaris solar PV net news: Mercom Capital2016 solar financing and mergers and acquisitions reported in 2016, the global solar industry is full of contradictions: a new global increase in installed capacity of about 50% to about 76 gigawatts, is the highest growth rate since 2011. Meanwhile, solar stocks and solar industry financing collapsed.

Mercom calculations, PV 64% in 2016 dropped the total corporate financing, to $9.1 billion, is the lowest level since 2013. Including public market financing similar declines, with 27 transactions, compared with $1.8 billion in 2015 for $6 billion. Three of the industry’s initial public offering (IPO), two of which are developers in Asia–Thailand BCPG (subsidiary of Bangchak petroleum company) and India’s AzurePower.

Mercom Chief Executive RajPrabhu told pvmagazine: “China’s sharp drop in component prices, United States slowdown in rooftop solar, competitive auction, net metering uncertainty, high debt levels and insufficient profits is the solar supply chain a year full of challenges. In 2017, however, looks better than expected, because of falling component prices are expected to increase the level. ”

However, despite the collapse in the overall funding and public markets, but in that year, some sectors with relatively little damage. Mercom pointed out that 11 reports of risk capital transactions raise $1.25 billion in revenue, this is generally in line with the past two years than in 2013 has been significantly improved.

As in past years, this proportion came mostly from solar energy and raw materials companies, Sunnova and Mosaic maximum financing amount is $300 million and $220 million.

As distributed solar, residential and commercial projects Fund of sign of popularity, only slightly dropped to 3.9 billion dollars, in the 30 funds. Mercom estimates, since 2009, in the residential and commercial and industrial (C&I) offer third party financing and loans in the field of solar energy companies have raised more than $22.5 billion

These top-line numbers may have masked other changes in distributed solar market. Mercom revealed that in 2016, and the last three quarters, total value of 47%, which supports a GTMResearch statement, third-party solar is disappearing, according to EnergySage, they work most of the Setup is a cash sale, 3/4 not even rent or power purchase agreements.

Prabhu said: “now, consumers now have access to better loan and leasing process easy. Unless the company provides rental can come up with better deals shift must be loans. ”

Large project financing also dropped only slightly to $9.4 billion, roughly the same number of utility-scale solar project changed hands: 218 total size of 12.2 gigawatts.

Mercom reported 2016 year 68 companies in mergers and acquisitions, compared to 81 last year. One of the biggest is Tesla’s $2.1 billion acquisition of SolarCity.

Original title: 2016 64% decreased the total solar financing

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