Last year world solar cell production soared to 395 megawatts (MW), up 37 percent over 2000. This annual growth in output, now comparable in size to a new power plant, is set to take off in the years ahead as production costs fall. Cumulative solar cell or photovoltaic (PV) capacity now exceeds 1,840 MW.
The top five producers in 2001 were Sharp, BP Solar, Kyocera, Siemens Solar, and AstroPower, accounting for 64 percent of global output. Japanese manufacturers, with 43 percent of the world total, benefited from government policies to encourage solar cell use. The 70,000 Roofs Program, which initially provided a 50-percent cash subsidy for grid-connected residential systems, has been the primary driver of Japan's PV market expansion. The subsidy declined to 35 percent in 2000 as production increased and solar cell prices dropped. In addition to residential subsidies, government spending of $271 million in fiscal year 2001--on research and development, demonstration programs, and market incentives--was key to the growth.
In contrast to Japan, the U.S. government spent only $60 million on solar programs in 2000. The U.S. share of the global market - 24 percent - was surpassed in 2001 by the European Union (EU), which now accounts for 25 percent. Government commitments to renewable energy are more robust in the EU than in the United States.
The top five producers in 2001 were Sharp, BP Solar, Kyocera, Siemens Solar, and AstroPower, accounting for 64 percent of global output. Japanese manufacturers, with 43 percent of the world total, benefited from government policies to encourage solar cell use. The 70,000 Roofs Program, which initially provided a 50-percent cash subsidy for grid-connected residential systems, has been the primary driver of Japan's PV market expansion. The subsidy declined to 35 percent in 2000 as production increased and solar cell prices dropped. In addition to residential subsidies, government spending of $271 million in fiscal year 2001--on research and development, demonstration programs, and market incentives--was key to the growth.
In contrast to Japan, the U.S. government spent only $60 million on solar programs in 2000. The U.S. share of the global market - 24 percent - was surpassed in 2001 by the European Union (EU), which now accounts for 25 percent. Government commitments to renewable energy are more robust in the EU than in the United States.