Pain Points in the Booming Commercial PV Industry

The booming industrial and commercial photovoltaic market

Driven by China's "dual carbon" goals, various sectors such as rural areas, government agencies, schools, hospitals, and industrial parks have rapidly adopted photovoltaics, accelerating the energy transformation. Commercial and industrial distributed solar, which uses rooftop spaces with a self-consumption model, offers benefits like adaptability, decentralization, high efficiency, and flexibility, providing both economic and environmental gains while reducing operational costs.

In the first half of 2024, China's photovoltaic installations reached 102.48 GW, with 37.03 GW from commercial and industrial PV, marking a 90.47% year-on-year increase. This growth far exceeds that of ground-mounted and residential PV. Commercial and industrial PV now accounts for over 36% of total new installations.

The refined development of the vast market

The commercial and industrial photovoltaic market is large and diverse, with each scenario requiring customized solutions. Unlike large-scale PV plants or ground-mounted systems in remote areas, small and medium-sized installations are often located in densely populated areas like government offices, schools, hospitals, libraries, and small factories. These locations demand higher performance and reliability from PV systems, creating challenges for both system quality and efficiency.

Experts with years of experience in commercial PV note that small and medium-sized installations have unique needs, particularly regarding investment costs, minimal disruption to daily activities, ease of maintenance, and system safety. In these cases, inverters are a critical component. Customers increasingly seek inverters that provide high energy output, excellent performance, low noise, and ease of installation and maintenance.

5 Key Pain Points for Small and Medium-Sized PV Power Plants

The roof environment is complex and scattered, lacking flexibility

As distributed solar power rapidly grows in China, provinces like Shandong, Jiangsu, and Sichuan have introduced energy development plans or carbon peak schemes, requiring industrial parks to fully adopt distributed solar. New public buildings, such as government offices, hospitals, schools, and public facilities, as well as state-owned construction sites, must install distributed solar systems wherever feasible.

With the push for widespread distributed solar installation, small and scattered rooftops are expected to drive capacity growth. However, these setups present challenges due to the complex and varied nature of rooftop environments, making installation more difficult. In particular, inverters—critical to the system—must be specifically suited to these conditions. Without tailored solutions, resource waste, higher costs, and more complex installation and maintenance will hinder the growth of small and medium-sized commercial rooftop PV projects.

The investment return cycle of the project is relatively long

The initial investment for small and medium-sized commercial distributed solar projects is relatively high, covering costs such as equipment, installation, construction, and grid connection. However, due to their smaller scale and limited power generation, these projects have longer payback periods, which can slow the development of small and medium-sized commercial PV systems.

To accelerate growth, the key challenge is reducing initial investment costs while maximizing energy output and ensuring the lowest levelized cost of electricity (LCOE) over the system’s lifecycle. This remains a crucial consideration for the faster development of small and medium-sized commercial PV projects.

Post operation and maintenance are troublesome and costly

Once a photovoltaic power plant is operational, the inverter, as the core component, plays a critical role in the ongoing operation and maintenance (O&M) of the system. Its performance and ease of maintenance significantly affect long-term costs, making installation and upkeep important factors to consider.

Many inverters are currently large and heavy, making manual installation or replacement challenging. Cranes are often needed, which increases both labor and time costs.

Therefore, when choosing an inverter, it’s crucial not only to ensure it meets the power and performance requirements but also to evaluate its ease of installation, maintenance, and suitability for the specific operating environment.

Safety reduction and risk induction

Safety is a primary concern for rooftop solar power plants, with the risk of DC arc flash being one of the most significant hazards. DC arcing occurs when electrical currents break down the air and cause continuous discharges. Common causes include cable damage, loose terminals, mismatched DC connections, or corrosion at combiner box joints.

Arcing can rapidly increase the temperature at contact points, and the high DC voltage and current pose serious safety risks to installation and maintenance personnel. As distributed commercial and industrial solar systems are often installed on rooftops near populated areas or workplaces, insufficient attention to safety can lead to significant risks, threatening both personal safety and property. Ensuring the safety of photovoltaic systems is crucial and remains a key challenge.

Close to crowds, loud noise affects work and life

As solar power adoption grows, small and medium-sized commercial PV systems are increasingly being installed in areas like government offices, schools, hospitals, and industrial parks, all of which are close to residential and workplace environments. In such locations, noise sensitivity becomes a major concern.

Many commercial and industrial solar systems, particularly inverters, focus primarily on maximizing power output, often overlooking the fact that these systems are integrated into everyday spaces. As a result, inverter noise can become disruptive, leading to complaints and negatively impacting the surrounding environment. This noise issue has become a significant challenge for small and medium-sized commercial PV systems, affecting both the user experience and environmental quality.

Despite the challenges, small and medium-sized distributed solar projects are vital for achieving the dual-carbon goals and are poised to be a key market for photovoltaic companies in the future.

With strong market insights and experience, YOUESS is launching a range of super-efficient, low-noise, high-performance inverters that offer excellent value for money—designed specifically for small and medium-sized commercial PV applications. These inverters will help save time, reduce costs, and provide a hassle-free experience. Stay tuned for the release of our exclusive inverter solutions tailored to the needs of small and medium-sized commercial solar projects!