PV module prices remain largely flat despite slight increases for high-efficiency products, as sluggish supply has yet to signal a clear trend, says Martin Schachinger, founder of pvXchange.com.
From pv magazine Germany
The recovery in module prices, which followed a sharp decline in the second half of last year, appears to have stalled. Not much has changed in recent weeks. Some wholesalers have slightly raised prices for high-efficiency modules – an indication of continued supply constraints – but the increases remain too small to suggest a clear trend. Most brands continue trading just below or near production costs. Forecasts based on expected market developments in China point to a further drop in prices later this year due to overproduction risks, which could pressure manufacturers and trigger another round of consolidation in the solar industry.
Many recent developments in the photovoltaic sector remain unsustainable or lack ecological value. Although market participants often portray themselves as climate leaders, this image does not withstand scrutiny. Over the past 20 years, the industry has seen little progress in sustainability, with some areas even regressing in terms of established processes and structures.
Although some manufacturers advertise that they produce solar modules and cells in a CO2-neutral manner, this rarely applies to upstream and downstream processes. Polysilicon, production chemicals, and other components are typically made using methods that are far from climate-friendly. Logistics compound the issue, as intermediate goods and finished modules often travel vast distances by ship and truck, undergoing multiple handlings before deployment—making the entire process unsustainable.
The waste problem extends to transport packaging. While the industry has moved beyond the bulky wooden crates once used for frameless thin-film modules, disposable pallets, cardboard boxes, plastic straps, and foils still pile up at construction sites, with little separation or recycling. In the best cases, installers reuse the outer packaging to transport dismantled modules during repowering, but the packaging is often too flimsy to survive reuse.
European-level recycling regulations require national implementation but often miss their targets and fail to deliver intended results. For example, the Packaging Ordinance has not driven reuse, reduction, or elimination of transport packaging. The European Waste from Electrical and Electronic Equipment (WEEE) regulation, enforced in Germany through the Electrical and Electronic Equipment Act, remains impractical and inconsistently applied. Some stakeholders still do not know about the regulation introduced for the photovoltaic industry in 2016.
Such regulations are welcome in principle, aiming to shift disposal costs from taxpayers to polluters and to promote repair and reuse of old devices and components. However, the sector has yet to achieve the latter goal. Many free riders avoid paying recycling levies or remain unaware of their obligations. Moreover, the European Union’s more than a dozen different country-specific implementation variants complicate cross-border photovoltaic trade, making legal compliance difficult without specialized waste management and recycling service providers.
While steadily falling solar component prices benefit end consumers by making clean energy more affordable, they also reduce product quality and longevity. Manufacturers cut costs wherever possible. At current new module prices, recycling old but functional modules no longer makes economic sense, as testing and logistics often cost more than the materials’ value. As a result, cheaper disposal options are sought and preferred over reuse. Many manufacturers also show little concern for effective spare parts management.
Even before product cycles dropped below six months, manufacturers and dealers avoided storing discontinued solar module types. They pushed old stock quickly to clear warehouse space for new products. The market demands only top-performance classes or the latest features. Manufacturers constantly develop new cell types and sizes—and thus new module formats—that are barely compatible with older systems. Unlike the automotive industry, photovoltaics lack spare parts management, leaving this to a few specialized service providers. But with module prices falling steadily, this service has become increasingly uneconomical and unsustainable.
One might expect the inverter and energy storage sector to be better organized, given device lifespans rarely exceed 5 to 15 years. After this, products become obsolete and are often replaced by operators. Still, within warranty periods, products should be repairable or at least replaced with identical, compatible units. However, Chinese inverter manufacturers especially have yet to embrace repairability or backward compatibility.
A repair service provider at the Intersolar trade fair in Munich reported that a major Chinese supplier’s team has been unable for months to provide a replacement circuit board for a string inverter discontinued years ago. The company has neither explicitly rejected requests nor offered a constructive solution. The proposed delivery of new replacement inverters failed because the latest models cannot communicate with several dozen still-operational older units. Operators cannot control the full system with the manufacturer’s original software, so either old or new devices are excluded from monitoring. The operator refuses to remove the relatively young inverters and replace them with new ones. Doing so would impose a major financial burden the company is unwilling or unable to bear—and it would be unsustainable.
Prices in May 2025, including changes from the previous month (as of May 15).
About the author: Martin Schachinger has studied electrical engineering and has been active in the field of photovoltaics and renewable energy for almost 30 years. In 2004, he set up the pvXchange.com online trading platform. The company stocks standard components for new installations and solar modules and inverters that are no longer being produced.