ClearSky Advisors forecasts that cumulative photovoltaic capacity in Jordan will reach 300 MW by the end of 2017.

In the report, issued on May 1, Canada-based ClearSky Advisors forecasts that cumulative photovoltaic capacity will increase from the under 10 MW currently installed, to 300 MW by the end of 2017.

According to the research firm, a direct proposal framework for large-scale projects and net metering for distributed generation are considered to be the engines behind the anticipated growth.

Thanks to these mechanisms, over 60 firms are said to have expressed interest in establishing projects in this area, with 12 direct proposal bids having been accepted last month. The next round for proposals will be conducted in the second half of 2013.

However, ClearSky Advisors warns, "The market for solar energy in Jordan is not without challenges that must be overcome. It will take some time for the market to mature as only a few MW of systems have been installed to date. Grid connection issues and maximum solar penetration limits have also been cited as major barriers to growth in Jordan’s distributed solar PV market."

Potentially disastrous

Overall, ClearSky Advisors stated that with a growing electricity demand of 6% per year and an increase of electricity imports, Jordan is facing a "potentially disastrous" crisis.

In order to meet the rising demand, and offset dependence on imported energy, the government launched the national energy strategy in 2007 to incite the production of nuclear power and renewable energy sources.

Three years after the launch, the Renewable Energy and Energy Efficiency Law (REEL) was passed to further encourage the development of renewable supply.