German PV installers have told the story pv magazine that consolidation is already underway in the housing sector.
“The consolidation is in full swing and I am curious to see who will still be there at the end of the year,” said a director, on condition of anonymity.
Installers face significant challenges, including staff deployment, short wait times for commissioning and declining demand due to higher interest rates, inflation and high electricity prices.
“There is an urgent need for additional incentives,” said another director. He warned that the PV market could face consolidation and price wars. He also said major online providers could exploit current market conditions, affecting even reputable solar installers.
Sources indicate a 60% drop in demand for residential systems compared to last year, while order intake fell by 45%. However, the drop in demand for PV systems between 30 kW and 100 kW is less severe. “Several competitors in our region are already insolvent, but this is a healthy market shock,” said an executive.
The rise of PV balcony systems has also contributed to the stagnation in demand for roof systems. “The price competition in the balcony module segment makes a normal PV system seem too expensive,” said another director.
Another long-standing installer compared the current market to 2012 and criticized the media’s focus on low prices from third-tier Chinese manufacturers. Such prices are only feasible if quality suffers, according to the director.
A northern German installer noticed problems with “dumping prices” from companies with excess inventories. “I am pessimistic about the second half of the year,” he said, pointing to the need for future support and policies to ensure the stability of the sector.
