THE RESIDENTIAL SOLAR RETROFIT MARKET IN CALIFORNIA IS BEGINNING TO SATURATE

 

“After a decade of explosive growth in the residential solar photovoltaic (PV) market, in 2017 California saw its first decrease in annual residential solar installations. This paper suggests that the most probable cause of this downturn is the beginning of market saturation in the residential retrofit market (as differentiated from the new construction market). It also illustrates how the new construction market, which is growing rather than declining, can mitigate a downturn in the retrofit market when sufficient housing growth and aggressive new construction policies or initiatives exist. The analysis suggests that 15 - 20,000 jobs are at risk in California if steps are not taken to mitigate the downturn...”