News Article
US residential demand approaching 1GW per annum
The outlook for the residential segment in the United States remains strong, with policymakers looking to reduce the regulatory burden for new installations and major downstream players focusing on continued installed system cost reduction. NPD Solarbuzz anticipates that the residential segment will pass the 1 GW trailing 12-month (TTM) rate in early 2015; strong growth is forecast through 2016.
Residential demand in the United States continues to increase, as solar PV systems become more attractive across more states. Demand growth is being driven by falling installed system prices; as well as downstream business models, which are bringing more financing and ownership options to the end-market.
"¢ Between the first quarter (Q1) of 2012 and the fourth quarter (Q4) of 2014, TTM residential PV demand more than doubled
"¢ Solar leasing, solar PPAs, and other business models, along with increasing financing options, are making solar more accessible to previously under-served customer segments
"¢ The residential segment is experiencing fewer negative effects from the 2014 preliminary trade decisions
"¢ Recent investments in U.S.-based manufacturing have largely been caused by companies anticipating strong growth in the U.S. market, particularly in the higher-ASP residential sector
Figure: US Residential Demand (TTM)