It's a must-have! Real estate starts to be bundled with PV!

The first working week in 2023 have opened. I don't know how you enjoyed your New Year holiday last week. Last week because of COVID-19, I asked for a week's sick leave. Here's a belated Happy New Year

 

 

While I lay flat last week, the events at the end of the year were endless. Last week, the US stock market recorded the largest annual decline since 2008, but the most noticeable one is undoubtedly energy, which has become the only stock market plate rising this year.



In contrast, the real estate industry in Europe has recorded the largest annual decline since 2008. In this regard, some analysts believe that the European and American real estate markets will become worse in the next 2023 with the rise of mortgage loan costs and the sharp fall of real estate value. For this reason, many real estate enterprises have started business transformation and have bundled up photovoltaic businesses.

 

The house starts to involve photovoltaic

 

When the real estate industry is declining, industry giants are targeting more promising industries. As one of the top five global real estate leading enterprises in 2022*, the sales volume of Country Garden in the first eight months of 2022 decreased by nearly 40% year on year, and the sales area decreased by more than 30% year on year.

 

As a government enterprise, the contracted sales area of Poly Real Estate in August also decreased by 40% year on year. Therefore, for both sides, adjusting the industrial layout has become an established agenda.

 

 

The same thing is not an exception. Other leading enterprises such as AGILE and CFLD are also investing in wind power, lithium industry and new energy vehicles, which is not new to real estate enterprises.

 

British brand evaluation agency —— Brand Finance (REAL ESTATE SERVICES 25 2022)

 

In the last cycle of the photovoltaic industry, in fact, some real estate companies have cooperated with large energy groups and the government to develop many photovoltaic projects, but they are basically just advertising. The official start of serious investment is from this cooperation.

 

Black History Operation

 

For example, in 2013, CFLD's subsidiary had a three-way cooperation project with the local government of China and energy groups. The project is also to build a "zero carbon" factory, but the real estate enterprises are only responsible for providing roofs, managing parks, attracting investment, etc. It was the cooperative energy group that really spent 6 billion to build the distributed power station.

 

Therefore, at that time, some media questioned CFLD was hype concept.

 

In fact, there are many black materials such as these, which can also prove that the focus of real estate developers in the past was not on new energy business at all, at least five years ago. However, 10 years later, this has changed dramatically in catering to the changes in the market.

 

Energy orientation makes the real estate begin to bundle photovoltaic

 

The current energy shortage has become one of the direct factors of economic recession. Under the pressure of nearly a year, some governments have also had to compromise. For example, Bloomberg reported on the 28th of last month that Japan began to import Russian oil after seven months to alleviate the power failure panic and the soaring electricity bill. It is enough to see the severity of energy shortage.

 

 

In Tokyo, the most electricity intensive region in Japan, the Tokyo Regional Assembly passed the new housing regulations on the 15th of last month because of the energy problem, requiring that residential buildings built after April 2025 in the region must be installed with solar panels.

 

---

//////////////////////////////////////////////////////////////////////////

According to Asahi Shimbun, the new system requires:

(1) Large residential buildings （Such as buildings and apartments） and the owner of a house with less than 2000 square meters is obliged to install solar panels on the roof.

(2) Builders need to report the number of new houses to the Tokyo Metropolitan Government every year, and calculate the target power generation based on the number of new houses. The builder will choose how to install solar panels within the target power generation range.

(3) The government launched a photovoltaic leasing subsidy policy to help solve the cost burden.

//////////////////////////////////////////////////////////////////////////

---

 

According to statistics, about 50000 new residential buildings are built in Tokyo every year. Among them, 2800 will meet the conditions for installing solar panels. 96% of the buildings meet the requirements of Item (2), and about 20000 buildings meet the installation conditions. It is calculated that after the implementation of the new system, the solar power generation capacity that can be increased is 40000 kilowatts per year. The solar power generation capacity of Tokyo in 2020 is 646000 kilowatts, which can increase the power generation capacity by about 6%.

 

Based on the current installation cost of PV in Japan, the average installation cost of 1 million yen can be recovered in 10 years through the domestic electricity consumption and sales of excess electricity.

 

This is the first Japanese regulation on new residential buildings, and its implementation may start the phase when the government forces real estate to bundle PV. Many local real estate enterprises have also begun to attach importance to the photovoltaic industry. For the global scope, the real estate + photovoltaic model does exist. But there is a certain threshold.

 

Real estate + photovoltaic ≠ simple laying

 

According to the venture capital report of Country Garden, the potential installed capacity of distributed photovoltaic power stations in the entire pan real estate industry chain can reach 46GW. However, it is very difficult to install distributed PV in urban middle and high-rise buildings. The property right of the roof is intertwined. The installation of photovoltaic panels on the existing buildings, material transportation and pipeline laying will consume extremely high manpower and material resources.

 

Now the mature household photovoltaic scene is actually a single family building in rural areas and towns. These houses were not involved by the real estate company in the past, and the promotion of the "village plan" was mostly operated by government enterprises + closely related private enterprises, so it was difficult for the real estate company to get involved. Therefore, at present, real estate manufacturers can only start from industrial and commercial buildings, such as the commercial real estate they hold.




Taking Country Garden as an example, in 2018, Country Garden Hotel added roof photovoltaic power generation for 69 hotels under its management. Wanda chose 8 Wanda Plaza to install roof photovoltaic. Photovoltaic power generation is for self use and the surplus electricity is connected to the grid, saving some electricity charges and reducing carbon emissions.

 

Long term investment and sustainable return

 

However, it is worth noting that these are long-term investment projects. For real estate enterprises that want to make quick money, they may need some conceptual changes. For example, commercial entities, large hotels, high-rise residential buildings and other types of commercial development have high value.

 

Atthe same time, it is difficult to say how impressive the financial return of optical storage investment is at this stage when developing application scenarios with complex construction processes. This is a long-term investment.

 

According to statistics, in 2019, only 14.3% of the world's building energy sources are renewable energy. Take cities with annual average solar irradiance above 5000W/m2 as an example. A high-rise building has been completed, and its roof and wall are installed with photovoltaic. The power generation can cover about 1% of the building's own power demand, which is limited to saving its own costs. However, with the technological innovation, the financial returns are still very considerable.

 

 

Let new energy become the supply chain of real estate

 

Of course, it is not necessary to produce photovoltaic products and then put them into project development. The cooperation mode of Xincheng Holding is worth reference. At the end of 2019, Seazen and an energy company jointly invested and built the roof photovoltaic project of Coca Cola plant and Metro.

 

Energy products are included in their own supply system, thus reducing the difficulty of investment and management. At the same time, it can meet the needs of its own photovoltaic projects and quickly enter the operation of photovoltaic real estate.

 

For those who have strategic needs in this regard, SUNPRO recommend this customizable color module - SPxxx-108M10 (CM). The TUV, CE and other international certifications, combined with Tier1 brand endorsement, can fully meet the multiple needs of real estate projects.

 

---

 //////////////////////////////////////////////////////////////////////////

A. The maximum power is 315W, M10 type mono-crystalline silicon battery.

B. 10-busbars design, the conduction efficiency is better, and the maximum efficiency can reach 10.24%.

C. Various colors such as red, gray, orange and white can be customized. Meet the design requirements of various houses.

D. Quiet operation, no need to worry about noise pollution.

E. Flexible installation, both on the ground and roof, and effective use of space.

F. No additional raw materials, no emissions, 12 hours a day can produce electricity.

G. Longer service life, 12-year warranty, 25 year performance guarantee.

H. Strong environmental pressure resistance, capable of withstanding 2400pa wind pressure and 5000Pa snow pressure.

I. It has won TUV, CE, ISO and other international quality certification and fire protection certification to ensure that the products are put into efficient operation.

//////////////////////////////////////////////////////////////////////////

 

Of course, you can also contact us to reach a strategic supply agreement.For more products and information, there are also high power module above 400-600W available.
 

At present, the downturn of the market economy, the popularity of new energy vehicles and the increasing demand for energy are forcing real estate to develop new product advantages. Binding photovoltaic has also become a trend. For real estate enterprises, maybe a new track has started. Do according to one's ability.

 

Tip：Thursday is a Slight Cold. Remember to keep warm in the coldest winter.




 

 

Disclaimer

1/ The text used in the picture and information part of the source network, infringement deleted.

2/ The text and pictures are for readers' reference only, please refer to the actual situation.