Chart of the Week: Singapore's installed PV capacity skyrocketed from 0.4MWp to 99.4MWp

Installations surged to almost 1,500 in just 8 years.

Singapore's industry regulator Energy Market Authority revealed in an outlook report that the installed PV capacity in the country has grown from 0.4 MWp as at end 2008 to 99.4 MWp as at end-Q2 2016. In percentage terms, this is a whopping 24750% increase in under a decade, 8 years to be exact.

"Advancements in electricity generation technologies will open up more options for Singapore’s power sector, including the use of renewable energies such as solar PV. The EMA recognises the growing interest in solar PV deployment in Singapore," it said.

From 2005 to 2015, Singapore’s system demand has increased at a compound annual growth rate (CAGR) of 2.8%, while the system peak demand has increased at a CAGR of 2.4%.

The projected annual system demand and system peak demand are expected to grow at a CAGR of 1.3 – 1.8% from 2017 to 2027.

The surge is amidst inadequate access to funding for solar generation companies which might prove to be a significant roadblock for the city-state’s renewable energy agenda.

“The main challenge for solar financing in Singapore is the familiarity of some financial institutions to the solar PV renewable business model and that unfamiliarity tends to heighten the risk aversion and lessen competitive financing terms,” said Camillus Yang, vice president, corporate development and finance at Sunseap, a local clean energy provider.