Only5mins! – Silver price outlook and PV industry impact
Michael DiRienzo, executive director of The Silver Institute, tells pv magazine that average silver prices will hover around $23 per ounce this year, without any anticipated supply disruptions for the solar industry.
Silver accounts for 10% of PV module costs
The share of silver in the total cost of PV modules has increased by around 5% in recent months, according to US analyst Matthew Watson. He told pv magazine that silver prices are set to rise, adding that the metal will eventually account for an even larger percentage of overall module costs.
Silver prices expected to rise by 11% this year
Silver demand for PV production worldwide is forecast to grow to 105 million ounces this year, as overall demand hits an eight-year high. Prices for the precious metal could reach a seven-year high of $30.00 per ounce this year but, according to the Silver Institute, this level is still far away from any critical threshold that would make silver supply for the solar industry problematic.
Silver prices expected to drop 3% in 2020
According to the 2020 World Silver Survey 2020 by the U.S.-based Silver Institute, the metal’s price will decline by only 3% this year, despite the impact that the Covid-19 crisis will also have on demand. In the global PV industry, silver demand is forecast to drop 3% from 98.7 million ounces in 2019 to 96.1 million ounces this year.
