PV markets in Southeast Asia have picked up over the past two years, driven by the astounding growth of Vietnam. Regional policies, combined with growing demand for renewable power in the manufacturing industry, will result in 27 GW of new PV installations across the region over the next five years, writes IHS Markit analyst Dharmendra Kumar. PV installations in these countries are driven by attractive feed-in tariffs, net energy metering, tariff-based auction mechanisms, and other incentives.
By the end of 2020, Vietnam, Thailand, the Philippines, and Malaysia had installed 98% of the operational PV capacity in Southeast Asia. But Vietnam was the only country that continued to steadily install PV systems throughout 2020. About 76% of installations in Vietnam came from the rooftop segment, thanks to a looming FIT deadline. The remaining 24% were ground-mount projects under the feed-in tariff (FIT) 2 regime. Thailand and the Philippines are currently driven by rooftop installations up to 5 MW. In Malaysia, large-scale solar (LSS) projects have contributed to recent growth beyond rooftop systems. As emerging markets, Cambodia and Indonesia have also seen some development in large-scale projects.
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