Nan Cunhui, chairman and founder of electronics company Chint Group. PHOTO PROVIDED TO CHINA DAILY

Famed Zhejiang-born businessman Nan Cunhui recently shared his views on the prospects of the photovoltaic industry in an essay published on the Zhejiang News website.

Nan is the chairman and founder of electronics company Chint Group. Based in Wenzhou, Zhejiang province, the group was listed on the A-share market in Shanghai in 2010 and had in the following years become a leader in the global low-voltage electric appliance industry.

Chint entered the photovoltaic energy field in 2006, forming a complete industry chain spanning power generation, energy storage, power transmission and distribution, and energy use. The total installed power capacity for Chint-invested photovoltaic stations currently stands at 8 gigawatts (GW).

In the essay, Nan wrote that he is optimistic about the development of the photovoltaic industry, citing the fact that photovoltaic energy superseded wind as the third largest source of power generation in China in 2020.

Nan also noted that the cost for photovoltaic power has fallen by over 90 percent over the past decade while its average on-grid price has dropped to 0.35 yuan ($0.054) per kWh and would further decline to below 0.26 yuan per kWh over the next five years. The ecological benefits brought by the promotion of photovoltaic power has not even been calculated yet, he added.

Nan reckons that China has been building a more complete photovoltaic power industry chain that has independent intellectual property rights, which has been extended to the production of high-purity crystalline silicon, the manufacture of high-efficiency solar panels, as well as the construction and operation of photovoltaic power stations.

In 2020, China's production capacity for polycrystalline silicon, silicon wafers, battery pieces and relevant components occupied 76 percent, 97 percent, 80.7 percent, and 76.3 percent of the global aggregate respectively.

Nan predicts that the concentration ratio of the photovoltaic industry will further rise in the coming five years as top companies are likely to secure stronger financial support from commercial banks at a lower cost, have higher capability in expanding trade routes and distributing resources, and are accelerating their pace in acquisition.

Workers connect a distributed photovoltaic power generation project to the grid in Zhejiang province. [Photo/zjol.com.cn]