Economic and Social Impact Assessment of China's Multi‐Crystalline Silicon Photovoltaic Modules Production

Beijia Huang, Juan Zhao, Jingyang Chai, Feng Zhao and Xiangyu Wang

Journal of Industrial Ecology, 2018, vol. 22, issue 4, 894-903

Abstract: It is important to have insights into the potential sustainability impacts as early as possible in the development of technology. Solar photovoltaic (PV) technologies provide significant environmental, economic, and social benefits in comparison to the conventional energy sources. Because most previous studies of multi‐crystalline silicon (Multi‐Si) PV modules discuss the environmental impacts, this study quantitatively assesses the economic and social impacts of China's multi‐crystalline silicon (mc‐Si) PV modules production stages. The economic analysis is uses life cycle cost analysis, and the social impact analysis is carried out by applying the social index evaluation method. The economic analysis results demonstrate that the main cost of mc‐Si PV modules production in China lies in raw materials and labor and the production of Multi‐Si PV cells have the highest cost among the five manufacturing processes involved in Multi‐Si PV. The result of the social impact analysis reveal that the employment contribution index, S11, is 0.72, indicating that Multi‐Si PV modules production in China has a prominent contribution to employment in comparison with other industries; the labor civilization degree, S12 (i.e., the proportion of mental labor involved in a given job), and labor income contribution index, S13, are both approximately 0.6, indicating that Multi‐Si PV modules production has a less‐significant labor level and income contribution in comparison with other industries; the production capacity contribution index, S14, is merely 0.183, indicating that production of Multi‐Si PV modules does not contribute significantly to the gross domestic product (GDP). Based on the results of these evaluations, some recommendations to improve the economic and social impact of Multi‐Si PV modules production in China are presented, including support for research on polycrystalline silicon production for the purpose of reducing the raw material cost, as well as upgrading manufacturing facilities and implementing the corresponding production training in order to promote the labor civilization degree.

Date: 2018
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