LOS ANGELES — According to a recent report by research firm IBISWorld, in the next three years, solar panel installation prices are forecast to decline at an annualized rate of 3.7 percent, and demand for solar panel installation is expected to continue surging.
The drop in price is due, at least in part, to the White House’s recently announced series of measures aimed at increasing the use of solar power by encouraging the installation of solar panels. These continued government-backed incentives, along with technological advances in solar energy, are expected to support revenue growth while also aiding the continuing decline in installation prices.
According to the report, the solar panel installation market has a buyer power score of 4.3 out of 5, indicating strong negotiation power for buyers. Demand for solar panel installation has been increasing considerably during the last three years due to falling solar panel prices and government-backed initiatives and incentives, which have pushed buyers to diversify their sources of energy consumption. The ongoing demand, coupled with rising competition placing downward pressure on installation prices, is expected to continue through 2017.
For more information, or to purchase a copy of the report, visit http://bit.ly/SolarReport.
Publication date: 5/19/2014