by MECASOLAR | Oct 24, 2024 | Sin categoría
Almost all leading tracker companies use patented parts, giving them control over the manufacturing and supply of critical components. This exposes operators and investors to significant financial risks.
One key risk is the absence of competition in the post-warranty period for replacement parts. Customers are often left at the mercy of tracker suppliers, leading to unpredictable costs that can undermine financial models. Moreover, reliance on a single supplier makes projects vulnerable to supply chain failures. If the supplier faces production constraints or stops manufacturing a necessary part, it can result in the affected components being forced to operate as fixed structures, reducing energy yield, or necessitating costly retrofits.
Another issue with patented parts is the need for specialised equipment during installation, which often must be sourced directly from the tracker supplier. We have observed that this specialised equipment can add approximately 150k USD in costs for a 50 MWp project. These expenses are typically non-recoverable, potentially luring customers into a ‘sunk cost fallacy’—tempting them to stick with the supplier to justify previous expenditures. Additionally, the use of specialised installation equipment often requires increased man hours for both training and the actual installation process. In a post-pandemic world, where labour costs have risen, these added expenses can become particularly burdensome, further escalating the overall costs of the project.
MECASOLAR’s Approach: Commercial Parts and Standard Tools for Predictable Lifecycle Costs
In contrast, MECASOLAR has opted for a more flexible and cost-effective approach by utilising COTS (Commercial Off-The-Shelf) components. This strategy provides several clear advantages: it reduces financial risk and ensures that the costs associated with the project’s lifecycle are more predictable. Additionally, MECASOLAR’s approach leverages standard, commercially available tools and equipment for installation, which significantly reduces initial capital expenditures and eliminates the need for costly, specialised tools. This also minimizes labour costs related to specialised training, making the installation process more efficient and cost-effective, especially in the current economic climate.
This approach is used in some other technological sectors and mirrors the philosophy behind open-source software, which prioritises accessibility, transparency, and flexibility. Both approaches minimise dependence on a single source, promoting long-term predictability and cost control.
Industries like rocket manufacturing, with companies such as SpaceX and Rocket Lab, have adopted similar practices, incorporating commercially available components to improve reliability and manage costs.
Key Strengths of MECASOLAR’s COTS-Based Approach:
- Availability of Spare Parts: Operators can source spare parts from multiple suppliers after the warranty period by utilising standardised components, which reduces the risk of price inflation and supply shortages. This leads to more competitive pricing and shorter lead times.
- Proven Reliability: The use of COTS components, which are mass-produced and tested across industries, ensures reliable performance, and reduces the chances of system failures.
- Cost Predictiveness: Commercial parts have more transparent repair and maintenance costs, enabling more accurate financial projections throughout the system’s lifecycle, making solar projects more attractive to investors.
- Market-Driven Pricing: Since the parts are not controlled by a single manufacturer, prices are driven by market forces, preventing operators from being subjected to monopolistic pricing.
- Diversification of Risks: By sourcing commercial parts from a wider supply chain, MECASOLAR reduces the risk of supplier failure, enhancing system reliability and lowering the overall cost of ownership.
- Standard Tools and Equipment Lowering Labour Costs: Unlike patented parts, MECASOLAR’s use of commercial components allows installation with standard tools and equipment, reducing initial costs and avoiding the need for specialised training. This not only lowers upfront expenses but also minimises labour costs, as fewer man hours are needed for both training and installation. This increased efficiency becomes especially significant in the context of rising post-pandemic labour costs.
- Longer System Lifespan: Commercially available parts are often backward-compatible, meaning newer, more efficient components can be integrated into existing systems without being tied to proprietary designs, optimising system performance over time.
Conclusion: Commercial Parts and Standard Tools Minimise Economic Risk
In the solar energy sector, predictability and cost-efficiency are vital. Proprietary parts introduce uncertainties that can disrupt financial models. MECASOLAR’s philosophy of using commercial parts and standard tools mitigates these risks by ensuring that all aspects of the system’s lifecycle are governed by open market prices and readily available equipment. This approach offers greater accuracy in modelling long-term costs, ultimately leading to more profitable projects.
by MECASOLAR | Oct 21, 2024 | Sin categoría
At MECASOLAR, we believe in the power of simplicity. Our focus on simple, robust, and reliable solar trackers is more than a design choice – it’s a strategic decision that saves time, reduces costs, and minimizes risks for our clients.
Lower Installation Time and Cost
Our trackers are designed with fewer moving parts, which translates to faster installation compared to more complex systems. This means quicker project delivery, lower labor costs, and faster revenue generation for solar farms. In a post-pandemic world, labor costs are critical. One of our EPC partners reported an installation cost of $120 USD per hour per person, making it even more important to streamline installation processes. Our simple design concept also means that commercially available off-the-shelf components and standard tools are used during assembly, eliminatin the need for specialized equipment. An example of this from a competitor was a cost $150K USD for specialized installation machinery for a 50MW project. By avoiding such additional costs, we further reduce the overall cost of installation and commissioning.
Minimized Operational and Maintenance (O&M) Costs
Less technology means fewer points of failure. Our trackers are engineered to require minimal upkeep, reducing downtime and ensuring reliable performance year-round. Since all our parts are commercially available off-the-shelf, repairs are often far less costly compared to specialized, patented components used by other manufacturers.
More Technology = More Risk
While advanced features might sound attractive, they can introduce complications:
• More moving parts and electronics can increase the risk of failure.
• More sophisticated systems often lead to higher O&M costs due to specialized repairs.
• Beyond the core technology, there is little empirical data to illustrate the yield benefit of many of the additional technological features suggested by other manufacturers.
MECASOLAR’s trackers provide the best of both worlds: high efficiency without the excess complexity. We keep it simple because simplicity works.
by MECASOLAR | Jun 27, 2024 | Sin categoría
Manila, Philippines – 27th June 2024 – JinkoSolar, the global leading PV and ESS supplier recently announced a strategic commercial partnership with MECASOLAR, a leading manufacturer of trackers, structures, and integrated supply solutions. This collaboration represents a significant milestone in expanding utility project opportunities across Southeast Asia.
The agreement was finalized during a productive meeting between the executive teams of Jinko Solar and MECASOLAR in Manila, Philippines. By combining the strengths of both companies, this partnership aims to enhance their market presence in the region, delivering superior value to clients through innovative and reliable solar solutions.
Anita Li, General Manager at JinkoSolar APAC, expressed her excitement about the partnership, stating, “We are thrilled to embark on this strategic partnership with MECASOLAR. This collaboration marks a significant step forward in our efforts to expand our footprint in the Southeast Asian utility project sector. With MECASOLAR’s expertise in manufacturing trackers, structures, and integrated supply solutions, combined with Jinko Solar’s industry-leading capabilities, we are well-positioned to capture new opportunities and deliver exceptional value to our clients. This partnership is a testament to our commitment to driving innovation and growth in the renewable energy landscape.”
Mark Randall, Chairman of MECASOLAR, shared similar sentiments, highlighting the long-standing association between the companies’ affiliate entities. He noted, “Jinko has rightfully earned its place as the leading brand in the industry. MECASOLAR is poised for strategic developments and further growth, marking a significant chapter in our nearly 20-year history. We are confident that this partnership will substantially elevate the value we offer to our clients and partners.”
This strategic alliance is set to propel both companies toward new heights in the renewable energy sector, fostering sustainable growth and development across Southeast Asia.
by MECASOLAR | Jun 27, 2024 | Sin categoría
Manila, Filipinas – 27 de junio de 2024 – JinkoSolar, el proveedor líder mundial de energía solar fotovoltaica (PV) y sistemas de almacenamiento de energía (ESS), ha anunciado una asociación comercial estratégica con MECASOLAR, un destacado fabricante de seguidores solares, estructuras y soluciones de suministro integradas. Esta colaboración representa un hito significativo en la expansión de oportunidades para proyectos de utilidad en el Sudeste Asiático.
El acuerdo se finalizó durante una reunión productiva entre los equipos ejecutivos de JinkoSolar y MECASOLAR en Manila, Filipinas. Al combinar las fortalezas de ambas empresas, esta asociación tiene como objetivo mejorar su presencia en el mercado de la región, ofreciendo un valor superior a los clientes a través de soluciones solares innovadoras y confiables.
Anita Li, Gerente General de JinkoSolar APAC, expresó su entusiasmo por la asociación, afirmando: “Estamos emocionados de iniciar esta colaboración estratégica con MECASOLAR. Esta alianza representa un avance significativo en nuestros esfuerzos por ampliar nuestra huella en el sector de proyectos de utilidad del Sudeste Asiático. Con la experiencia de MECASOLAR en la fabricación de seguidores, estructuras y soluciones de suministro integradas, combinada con las capacidades líderes de la industria de JinkoSolar, estamos bien posicionados para captar nuevas oportunidades y ofrecer un valor excepcional a nuestros clientes. Esta asociación es un testimonio de nuestro compromiso con la innovación y el crecimiento en el ámbito de las energías renovables.”
Mark Randall, Presidente de MECASOLAR, compartió sentimientos similares, destacando la relación de larga data entre las entidades afiliadas de ambas empresas. Señaló: “Jinko ha ganado con justicia su lugar como la marca líder en la industria. MECASOLAR está preparado para desarrollos estratégicos y un crecimiento adicional, marcando un capítulo significativo en nuestra historia de casi 20 años. Confiamos en que esta asociación elevará sustancialmente el valor que ofrecemos a nuestros clientes y socios.”
Esta alianza estratégica está destinada a impulsar a ambas empresas hacia nuevas alturas en el sector de las energías renovables, fomentando un crecimiento y desarrollo sostenibles en el Sudeste Asiático.
