Impact of COVID-19 on the energy market
Data analytics company GlobalData explores the negative and positive impact of COVID-19 on the energy market in India, Spain, Brazil, Greece and globally.
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Data analytics company GlobalData explores the negative and positive impact of COVID-19 on the energy market in India, Spain, Brazil, Greece and globally.
In a detailed analysis, the company recommends for Indian solar engineering, production and construction companies to reduce their dependence on China.
By doing so, the company says India’s solar industry will enjoy cost stability and quality control.
The research firm predicts a decline in Chinese solar PV modules as manufacturers have been forced to stockpile their modules.
Local companies should utilise the lockdown period to improve internal processes and increase the technical skillset of employees.
GlobalData predicts an increase in both revenue and European wind energy market uptake for, and by, Chinese manufacturers if they recover from the COVID-19 crisis before companies such as Vestats, Siemens Gamesa and General Electric.
Although Vestas, Siemens and GE have tried to ensure production is not completely halted in Spain and other European countries, a large number of orders are now backlogged.
In Brazil, the virus has resulted in a delay in the country’s energy generation and transmission auctions that were scheduled for May 2020.
This means Brazil’s three-year energy plan has been disrupted and the Ministry of Mines and Energy will have to rework the strategy.
Greece is reported to have taken control of the COVID-19 crisis following a successful second renewables auction.
The auction for solar PV and wind power projects amidst the COVID-19 pandemic is Greece’s second auction and has resulted in 502.9 MW of renewable projects being awarded to five participants.
Source: ESI Africa