Renewable energy has gained traction over the years due to growing environmental concerns in the Philippines. In fact, a 2020 study by the Institute for Energy Economics and Financial Analysis (IEEFA) stated that solar and wind energy could increase its share in the country’s supply mix from 5.4% to 43.8% - exceeding the government’s projection of 26.9% by 2030. Solar energy, in particular, has become the fastest-growing alternative to traditional fossil fuels.
When it comes to solar power modules however, one manufacturer stands ahead of the pack. According to PV-Tech and Solar Media Research’s recently released 2021-Q1 PV ModuleTech Bankability Quarterly Ratings Report, LONGi Solar maintains its position as the sole manufacturer in the top-tier position, continuing to be the only AAA-rated company among module manufacturers, the highest grade achievable.
LONGi, headquartered in Xi’an, China, focuses on manufacturing PV products and providing solar power technology solutions. Its product offerings range from wafers, cells, modules and PV solar power equipment to solar power systems. It is the exclusive module supplier of the 232MW integrated wind and solar power plant in Ilocos Norte, the largest in the Philippines.
PV Tech’s final bankability score is derived using a range of statistical analyses that involve gathering a wealth of data for each PV module supplier, going back 5-10 years. Scores are derived for each company’s financial and manufacturing health – these being the two key contributors to overall bankability. Manufacturing health score is further broken down to the PV module suppliers’ supply/shipment, capacity and technology scores.
Comparing with other A-Grade competitors, LONGi Solar is in positive territory in almost all key metrics. In R&D expenditure, LONGi significantly leads the PV industry in R&D investment in the past few years, becoming the key factor in the whole industry moving from multi to mono as the dominant technology.
With the Philippine government shifting to clean energy resources and green technologies, interest in renewable energy from the private sector will also continue to increase. And LONGi is arguably the most important manufacturing entity in the solar power space, being the largest PV wafer supplier with a massive 60-GW-plus mono capacity in China. LONGi’s guidance for its 2020 module shipments is above 20GW. Through vertical integration from wafer to cell to module production (all mono), LONGi has achieved recognition as the largest global PV module supplier today.
In the Module Supplier Hierarchy, the number of module suppliers having A or B Grade rating is further decreasing. Seven companies have A Grades (AAA, AA, A), while three falls into B Grade (BBB, BB and B).