The era of ever cheaper solar panels may be over, at least for a time, as industry experts warn that prices will rise by one to two cents per watt from 2026, on the back of increasing materials costs and policy changes in China.
But these price rises are healthy and much needed as panel manufacturers have been selling at breakeven prices in Australia, says Charles Wang, head of distribution at solar manufacturer JA Solar.
“To be honest, in Australia previously, especially the big companies have been just breaking even, maybe a slim margin,” Wang told Renew Economy on the sidelines of the All Energy Australia conference in Melbourne last week.
“Now the upstream cost is increasing, ideally we should also increase [panel prices]. I think a decent margin for the manufacturer is at least a couple of cents more per watt.”
JA Solar has already begun to raise prices for future utility-scale solar projects, with Wang saying these have started with a 77c/watt hike but developers can expect this to jump over the next year depending on the timing of projects.
Not everyone is so bullish about solar module price rises occurring in Australia.
Trinasolar’s Andrew Percival says there is a potential correction in the market and a “slight” increased pricing trajectory for 2026.
“It’s based upon raw materials, supply chain and contracts changing, as well as a review of what China has implemented in years gone by in terms of rebates and subsidies,” Percival told Renew Economy.
Read more: Renew Economy
