PART 1

In this serial, we will break down the key factors behind the price variation of solar panels, exploring silicon price evolution, the energy crisis, overproduction, energy storage, logistics costs and relevant policies.

We begin by analyzing the Silicon Price Evolution (2010-2023).

📈. Silicon, an essential component of solar cells, has experienced significant fluctuations in price over the years. But it is not only its price that has changed: there has also been a notable reduction in the use of silicon per watt, which has boosted the efficiency and sustainability of solar panels.

🔧 A Fraunhofer ISE study shows that, since 2004, the use of polysilicon per watt of solar cell has been reduced by approximately 87%. In that year, 16 grams of silicon were needed to produce a single watt; by 2021, that figure was reduced to just over 2 grams. This breakthrough has lowered production costs and reduced environmental impact, marking a turning point in solar technology.

2010: The price of silicon was €50/kg, in a growing market with high demand and limited production capacity.

📉 2011-2015: The price dropped to €15/kg, thanks to advances in silicon purification and the expansion of production capacity.

📉 2016-2020: Mass adoption of solar and improved efficiency drove the price down to €6.75/kg.

📉 2021-2023: Despite some increases, the price stabilized at around 7.72 €/kg due to overproduction and surplus capacity.

These changes not only reflect the evolution of prices, but also an optimization in the use of silicon, making it possible to produce more energy with less material, leading to a more efficient and sustainable industry.