ClearSky Advisors Inc.

ClearSky Advisors Inc.

September 15, 2010 11:37 ET

Ontario on Track to Exceed 3 GW of Solar by 2015: But Significant Uncertainty Remains

For 2011, Ontario Photovoltaic (PV) Installations Set to Grow to 694 MW Despite Supply Constraints

TORONTO, ONTARIO--(Marketwire - Sept. 15, 2010) - The Ontario PV market will reach 694 MW installed in 2011, including 186 MW of Renewable Energy Standard Offer Program (RESOP) projects. Driven by the Feed-in Tariff (FIT) program, the market growth will propel Ontario into the top 10 of the world's solar markets, according to a study by ClearSky Advisors, an independent research and advisory firm.

The study shows that demand for bankable Ontario-made modules will exceed expected supply of 386 MW in 2011. Starting January 2011, FIT rules require increased local content, effectively triggering demand for Ontario-made modules. Lenders require equipment to be "bankable", meaning it has a quality track-record and financially-solid warranty.

"The Ontario FIT program certainly has created opportunities for individuals, developers, manufacturers and financiers alike" says Jon Worren, co-founder of ClearSky Advisors. "While interest in the Ontario market remains high, it is clear that the market is facing some immediate and significant growth hurdles".

Study Highlights:

1) Short-term: Shortage of bankable module supply in 2011 will lead to premium equipment prices and some project delays.

2) Long-Term Scenarios: By 2015, 3 GWp of solar power could be connected to the Ontario electricity grid, although scenario analysis showed significant variability is possible beyond 2013.

3) Supply: Lack of long-term market visibility is keeping module manufacturers from making significant investments in Ontario production capacity.

"We considered a number of scenarios and their impact on market development," said Tim Wohlgemut, co-founder of ClearSky Advisors. "We found that supply/demand imbalances, grid constraints and political support beyond the 2011 provincial election are the main concerns for market participants and the continued growth of the market."

For an expanded analysis go to:

About ClearSky Advisors:

ClearSky Advisors is a research and advisory firm focused on renewable energy. We provide data, insight and advice that allow our clients to make the right decisions for their organizations. Through our continuous research activities, ClearSky Advisors serves executives within a wide range of stakeholder groups including government, industry, finance and advocacy groups focused on renewable energy. For more information, visit:

To view the Range of Total Ontario PV Market 2010-2015 graph, please visit the following link:

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