Abstract

The solar energy share in Sweden will soar over the next decades. Such transition offers not great opportunity but uncertainties for the emerging solar PV/thermal (PV/T) technologies. There are still critical challenges for PV/T development in Swedish scenario. This paper aims to investigate the local policies and market structures in Sweden by a set of analytical economic frameworks and a case study. A macro-economic exposure analysis in Swedish context is conducted and a PEST model is then applied for analysis of external environment of PV/T industry in Sweden. The PV/T market is further analysed based on a case product by means of SWOT and Porter’s five forces. The whole study concludes that the market of solar PV/T is expanding mostly towards small-and medium-sized energy plants. The market position of the case company meets the trend of PV/T market, which has an overwhelming competence against its competitor in the domestic market. This paper is expected to clarify the economic situations of PV/T in Sweden and promote its further development towards sustainable and low-carbon economics.

Highlights

  • The energy goals for Sweden are stated in the Government’s integrated climate and energy policy bills, which include energy policy targets by 2020 of a 40% reduction in greenhouse gas emissions, at least 50% use of renewable energy, and a 20% more efficient energy end use

  • This paper aims to investigate the local policies and market structures in Sweden by a set of analytical economic frameworks and a case study

  • The market position of the case company meets the trend of PV/T market, which has an overwhelming competence against its competitor in the domestic market

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Summary

Introduction

The energy goals for Sweden are stated in the Government’s integrated climate and energy policy bills, which include energy policy targets by 2020 of a 40% reduction in greenhouse gas emissions, at least 50% use of renewable energy, and a 20% more efficient energy end use. The use of fossil fuels for space and tap water heating is to be phased out by 2020 [1] These facts are significantly motivating the development of energy efficiency solar gains and decarbonized economy in Sweden for the aid in transition to future sustainable economic growth and social welfare. The share of renewables increased a lot, ranging from 38% to 64% during the period from 1990 to 2016, which is projected to grow more in near future These data indicates that Sweden’s GDP is growing, and it will consume much more renewable energy, rather than the traditional fuels, during its further development, which opens large opportunities for energy generation firms. All these figures demonstrate an increasing buying power (potential investment capacity) of consumers

PEST analysis for general business environment in Sweden Political factor
SWOT analysis Strength
Findings
Conclusion
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