Silver demand for solar panels is expected to grow by 15% in 2022
(Kitco News) - According to Metals Focus, global renewable energy sector benefited from the ongoing energy crisis, which is especially important in the context of precious metals demand.
The consultancy said that photovoltaic (PV) systems are set to break installation records in 2022 as the Russia-Ukraine conflict highlighted the need for a more rapid transition to clean energy.
For example, Europe has decided to secure energy sovereignty by cutting its reliance on Russian fossil fuels by 2027 amid soaring electricity prices, with a cumulative solar deployment target of 320GW by 2025, the authors of the report noted.
“We have already seen at least 24 countries reach the 1GW-scale of new annual capacity, with global PV capacity expected to surpass 200GW for the first time in 2022. This compares with 116GW in 2019,” Metals Focus added.
According to Metals Focus’ statistics, the amount of silver used in solar cell production will exceed 3,900t (126Moz) this year, up 15% y/y. To put this into context, this will account for almost 25% of total silver industrial demand (forecast at 533Moz for this year).
Overall, the consultancy expects that the steadily growing PV market, coupled with further expansion of the 5G infrastructure and the growing trend of automotive electrification, will help support silver offtake in the electronics sector.
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