As a buyer in the solar industry, the Solar Power International (SPI) show typically held in late summer/early fall continues be one of my favorite events of the year. Each year, thousands of manufacturers, distributors, developers, installers, and other prominent market figures gather in one central location to discuss new products, market trends, pricing, projects, and other hot industry topics. Additionally, SPI is a great time to put faces with those names behind the phone calls and email correspondences, which are the primary means of communication for today’s solar buyer.
For this year’s SPI show, hosted in “fabulous” Las Vegas, I arrived with a few key action items to focus on:
- Current industry pricing for the big three components: modules, inverters, and racking.
- New breakthroughs in industry technology.
- Developing and cultivating new and current relationships with vendors.
While the low end of solar module pricing continues to decline toward the 40 cents/watt range (which is news to few), there is still uncertainty about “where the bottom lies,” how quickly prices will fall, and what is the perfect timing to make a purchase. Market pricing trends are best understood through third-party price indicators found online as well as through open discussion with vendors. As Inovateus continues to be a leading developer and EPC in the Midwest region, it is important to maintain frequent communication with all of our vendors, and SPI provides the best forum to conduct these discussions with various vendors all under one roof.
When walking the floor at SPI, one cannot help but notice that technology continues to be a central focus of the industry. For example, Shoals featured their money-saving, simple BLA system that reduces balance of system (BOS) costs, while Schletter showed off a new ground-mount rack that maximizes side- and end-module mounting clips and decreases the bracing and struts needed.
Another trend I noticed on the showfloor was an industrywide shift toward 1500-volt technology, as module manufacturers have begun increasing module voltages from 1000V to 1500V. Inverter companies are adapting their products to 1500V as well.
One example is Schneider Electric’s new liquid-cooled Conext SmartGen, which will help transform the inverter landscape with newly embedded power and communications features. Schneider’s presentation about the new inverter went off with the precision of a Swiss watch, as team members explained each of the product’s features.
We are also seeing a shift in the energy storage market as residential storage systems and partnerships between battery manufacturers and inverter companies have become more prevalent. With energy storage becoming a growing focus of the show, it will be exciting to see how these partnerships and product offerings continue to develop.
Communication is undoubtedly one of the most important factors of being a buyer in today’s solar industry. SPI provides the best opportunity to check in with long-time suppliers and begin discussions with different manufacturers. Developing relationships with suppliers and cultivating new ones are pivotal to any solar company’s success. I also noticed that companies are finding ways to work together, replacing competition with a more collaborative approach.
Some of my colleagues mentioned that Las Vegas might not be the best location to symbolize sustainability and promote the core values of the industry. They would like to see SPI possibly move to places where there is a greater potential to promote the industry, such as Florida, New York, Chicago and Georgia (or South Bend!). There were also concerns about the amount of leftover “swag” at the show, such as the hundreds of roller boxes sitting unused on the show floor or thrown in the trash.
SPI 2016 was a huge success for the team at Inovateus. We enjoyed walking the show, catching up with friends and colleagues across the industry, socializing after hours, and promoting our company vision of Building a Better Tomorrow.
By Jefferson Gerwig, purchasing manager, Inovateus Solar
