Solar rooftops in business sector set to grow over 54% in 2022, supported by rising electricity costs (Current Issue No.3320)

Amid rising electricity costs, driven by elevated fossil fuel prices as a result of the Russia-Ukraine crisis, bright prospects are being seen in solar rooftop investment in the business sector as entrepreneurs have to save on electricity costs while also responding to the clean energy trend even as the costs of solar rooftop panels are trending higher due to the shortage of raw materials for their production globally.

In 2022, it is expected that the solar rooftop market for the business sector will be driven by businesses that have high electricity costs, including those in the manufacturing sector such as cement and iron, plus those in the service sector such as warehouses, hotels, and retail businesses like shopping malls, as they attach importance to cost saving and the value of medium-to long-term investment, given any immediate impact from unforeseen economic conditions.

We at KResearch assess that the solar rooftop market for the business sector will grow approximately 54.2 percent YoY, equivalent to 125.9 megawatts, during 2022. Businesses that invest in the installation of solar rooftop panels will be able to save more on their electricity costs as an average power cost in the business sector is set to increase. Electricity costs that they can save are based on our preliminary estimate in the overall business sector, while saving on power costs among entrepreneurs may vary depending on many factors such as their solar electricity generating capacity, the volume of their power consumption, investment in the installation of solar rooftop panels and their financial statements.