Global view of the solar photovoltaic market and its purposes

For a long time I have been thinking about how to contribute an article aimed at helping the sustainable growth of our sector, where all actors in this production chain can help each other and understand most of the relevant factors involved at the different ends.

I thought about talking only about the role of the distributor, then the role of resellers (integrators), manufacturers, etc.

And why don't we talk about everything a little?

I will try to summarize the factors that can take our market to an even brighter path and try to improve our performance as human beings, thinking globally about our country, so big and so beautiful, and also about the importance of leaving a legacy for future generations. generations.

After all, we all have to have a purpose in life, beyond financial gains. That's what will really matter in the end.

Photovoltaic market production chain

The graph below shows our production chain, from manufacturers to the final consumer of systems sold by companies in the sector.

Module and inverter manufacturers

Starting with module and inverter manufacturers, there are hundreds of options available on the global market. From little-known brands to the most renowned, whether from the oldest in the sector to the newest, with proven technologies and qualities.

We have manufacturers that respect the production chain, providing support to companies that collaborate with the brand in a given market and others that, regardless of quality, literally spray their products, solely with the aim of reaching as many importers as possible. world and in the shortest possible time.

The consequence of this dispersion is a price war between distributors which, in the medium and long term, will be harmed by the brand itself, as it will leave the products without guarantees and support, due to the turnover of the companies that represent the brand.

Another consequence of this is the impact on the entire chain of photovoltaic system owners, who will seek support from the companies that sold the systems. This search for support and warranty from the distributor/importer is the last level in the country.

And, if they no longer sell the product, all that remains is to seek direct support from the manufacturers, who most of the time do not speak Portuguese, do not have companies in Brazil, do not have products available to be able to fulfill the guarantee in Brazilian territory and, probably, will not give those in need the importance they deserve.

Imagine if the warranty was only valid in the country of origin? Well, I've seen this happen several times in our market, even though it's a young market – imagine in two, five, 10 or 25 years! We are talking about a life. Because everyone knows that product warranties in our sector range from two to 25 years.

Ecori's role, since the beginning of imports of photovoltaic solutions in 2014, has always been to educate and raise awareness among manufacturers regarding the importance of this reciprocal respect described above.

Companies such as the microinverter manufacturer APsystems, which has always been our main partner, understood and, in a joint effort Ecori/APsystems, we became their largest distributor among the more than 88 countries in which they operate.

This is because our support team is dedicated and has engineers specializing in photovoltaic, electrical, electronics and energy systems. In addition, we provide free training throughout the country, always with great pleasure in promoting the brand.

Role of the importer and distributor

In relation to the role of the importer and distributor, the life of a company in this segment is undoubtedly complex: advance payments for goods that take around 30 to 90 days to be shipped and 30 days of travel for them to reach our customers. ports; one to two weeks for the customs process to complete and the merchandise to finally be available for sale and dispatch to customers.

In addition to this, we also have import processes that, depending on the automatic parameterization of the Federal Revenue Service, require document checks, physical checks and customs valuation. This period can reach 45 days, from the moment the import is registered until the moment all this bureaucracy is completed.

Leaving this descriptive complex, of what an importing company actually is, we have to highlight the importance of an importer and distributor within the solar sector. Would it simply be finding suppliers with good prices outside of our country, importing and distributing? Definitely not!

A serious and beneficial company for our DG (distributed generation) needs, first, to choose products in a technical and responsible way. This work is often expensive, as it involves shipments of samples for testing, visits to factories and fairs abroad.

After defining the suppliers and products, we have all their “tropicalization”, translations of web platforms, monitoring applications, manuals, technical documents, Inmetro, Anatel and internal training to involve all sectors of the company. The involvement is total, covering practically all departments: logistics, financial, commercial, quality, B2B units, resellers, etc.

For this successful curation, we have specialized professionals trained in the best universities, such as ITA (Instituto Tecnológico de Aeronáutica) and also the vast experience of our vice president, Yoni Ziv, one of the greatest experts in the global photovoltaic sector. , with more than 20 years of experience in the sector, and former vice president of the Israeli giant SolarEdge, of which we are the first distributor in Brazil, among many other talents.

And what is the purpose of all this? There are wonderful things about this! Maintain a team of more than 230 people, including employees and collaborators from our B2B units throughout Brazil, motivating these families to have love for the company and everything it does. Make sustainability available to everyone. Train and help grow more than 3,500 active resellers. Taking Brazil's image abroad in an honest and professional way. Maintain unwavering ethics with banks, resellers and suppliers. This is the legacy that will be left for future generations.

The opposite of this is what harms the country and the future of our sector. Companies that don't do their homework, speculate and default on banks, customers and suppliers. These must be repudiated, as they harm the image of our entire sector, inside and outside the country.

There are recent cases of foreign companies that have lost interest in doing business in Brazil, as they were hit hard by well-known companies, old and new companies, who entered just because they saw the opportunity to play dirty in our market.

As lovers of our Brazil, it is our duty to reject this type of practice in every possible way. It is up to serious companies in the sector to repair this image that has been damaged and who knows how many years it will take for this to be repaired. This is definitely not the image we seek for our country.

Customers, resellers and integrators

What about our customers, resellers (integrators)? These are on the front line, they connect directly with those who purchase photovoltaic systems. They are those who live in an ecosystem with more than 20 thousand companies offering the most varied products, struggling with the discrepant quality of products, assembly and engineering services.

They are also victims, like serious distributors, of evidence in the media, where well-intentioned articles end up being broadcast in order to encourage a flood of new entrants who often experience just a few hours of training in courses on YouTube.

Without the necessary depth, they will be subject to falling into the hands of “price” distributors and going out to battle. We have a lot of admiration and affection for new entrants and we really care about the way they are presented to the market.

We are witnesses of companies that started in a wrong, hasty way and specialized and learned from their own mistakes.

We all have chances, the sun has risen for everyone, so I recommend that you question, ask yourself questions such as:

• What technologies exist on the market?
• Is the distributor I intend to buy from reputable?
• How long have you had experience in the market?
• Did you invest and believe in the sector even when it was practically non-existent? Is it really here to stay?
• What should I offer my customers?
• Do I have liability risk? What are the risks? Will I have support? By whom?
• Do I understand what my liabilities and those of my distributor are?
• Can I work with tight margins or should I work with healthy margins, offering quality differences to avoid price fights?
• Is my leveling under or over?
• After I make a sale, should I auction the prices among the 70 distributors on the market?
• Which of these distributors have and will provide support?

There are countless questions and the answers are easy. Think.

How is the photovoltaic energy market in Brazil really doing? According to the news, it seems that the sector is growing and not even the pandemic crisis has affected the sector, correct? Wrong!

See the graph below. These are official data from ANEEL (National Electric Energy Agency) that show that, yes, we are being affected, with the difference that today there are almost 70 equipment distributors in Brazil and more than 20 thousand resellers.

Will everyone stay in the market? The answer is no. In a developing and maturing market, it is normal for this “gold fever” to occur. In fact, there is a name for this in our sector, it is called “photovoltaic corridor”, where many enter, but not all pass.

I believe I was able to talk and illustrate a little about our sector and at the end I leave my message: “Let's pursue a greater purpose in our lives, for the benefit of Brazil, the planet and the generations that remain, developing a sustainable market in a sustainable way” .