Southeast Asia to see 13% growth in new PV installations by 2023
The world’s energy landscape is changing, and new trends in renewable energy investment, such as photovoltaics, are taking shape. The Asian Photovoltaic Industry Association has predicted that the installed capacity of PV systems installed in Southeast Asia in 2023 will rebound for the first time since 2020. It is expected to grow by 13% in 2023, with 3.8GW of new capacity installed.
In a new report released jointly with the European Photovoltaic Industry Association, the Asia Photovoltaic Industry Association and the Global Photovoltaic Council point out that PV market development in Southeast Asia will rebound after Vietnam suspended its feed-in tariff system in 2020, causing the country’s PV market size to decline for two consecutive years.
By 2023, 3.8GW of PV systems are expected to be installed in Southeast Asia, up 13% compared to the previous year, but the installed capacity of PV systems installed in Southeast Asia in 2021 is 4.2GW. Today, a favorable policy framework, declining technology costs and growing electricity demand present growth opportunities for Southeast Asia’s PV market.
The Asian Photovoltaic Industry Association (APVIA) and the Global Photovoltaic Council (GSC) say: The regional market is no longer dependent on a single contributor (Vietnam), and the PV markets in other Southeast Asian countries are growing. However, there is still uncertainty in the Southeast Asian PV market, as some countries are now at a turning point in the development of their PV industry. According to this study, it remains to be seen how fast these countries will deploy PV systems. The Southeast Asian region also faces challenges related to grid infrastructure, access to financing, land availability and lack of skilled labor. According to the report’s high scenario, the installed capacity of PV systems installed in Southeast Asia could reach 5.7 GW by 2023, or drop to 2.5 GW in the low scenario.
The Asia Photovoltaic Industry Association (APVIA) and the Global Photovoltaic Council (GSC) said:High growth is expected in Southeast Asia starting in 2024. The report claims that the installed PV system capacity in Southeast Asia is expected to grow 32% to 5.1GW in 2024; 59% to 8.1GW in 2025; 28% to 10.4GW in 2026, and finally 13.3GW in 2027. The top five PV markets in Southeast Asia are Vietnam, Thailand, Malaysia, the Philippines and Indonesia.