Polysilicon: Companies Expanding Their Scale Again

Thread Content

　　As the main raw material for solar photovoltaic cells, the development prospects of polysilicon are closely linked to the applications of photovoltaics. Globally, the fluctuations in the solar cell market directly determine the fate of its upstream sector, namely the polysilicon industry. However, for a **polysilicon industry**, it is not sufficient to merely focus on market supply and demand; rather, addressing long-standing and difficult problems such as energy conservation and environmental protection in the polysilicon production process must be incorporated into the overall development plan for the industry. 　　Over the next 5 years, the expansion of polysilicon production capacity in our country will continue, but several hurdles must also be overcome. 　　The first hurdle is environmental protection. When producing polysilicon using the modified Siemens method, the treatment of the by-product silicon tetrachloride is the most problematic issue. Whether it is the recycling of by-products or their comprehensive utilization in the chemical industry, numerous challenges exist. At present, it seems that using the energy-efficient cold hydrogenation technique to convert silicon tetrachloride into trichlorosilane is the most feasible approach. However, cold hydrogenation technology is quite challenging, requiring substantial human and material resources for research and development. 　　The second hurdle is energy consumption. The high energy consumption associated with the improved Siemens process has long been criticized. Some international giants in the polysilicon industry have set up their plants in the United States, precisely because of the low electricity prices there. To shed the label of “high energy consumption”, many enterprises continue to explore new process routes such as the silane method and metallurgical methods ； However, it remains to be tested through practical use in the production and application phases of photovoltaic cells whether new processes can stably produce polysilicon materials that meet the needs of the photovoltaic industry. 　　The third threshold is scale. To maximize benefits, a considerable scale is necessary. In 2009, setting a lower limit on polysilicon production capacity at 3,000 tons per year was indeed somewhat instructive. 　　We must clearly recognize that in the future, the polysilicon industry will undoubtedly see fierce competition on a global scale. The competitors faced by Chinese enterprises are the eight major international giants. Whether it is environmental protection, energy conservation, or production capacity, what ultimately matters is the production cost of polysilicon. Only by achieving low pollution, low energy consumption, and large-scale mass production can enterprises possibly gain the ability to compete with international giants. 　　During the 12th Five-Year Plan period, **the issue was not whether to support polysilicon companies in expanding their production capacity, but rather how to help them overcome the obstacles in their path as they did so. For environmental protection and energy conservation, **special funds can be provided for support ； In terms of production capacity, priority should be given to supporting two or three leading enterprises in the country to help them enhance their international competitiveness. 　　During the 12th Five-Year Plan period, China’s polysilicon companies should not ignore the semiconductor market just because of the booming photovoltaic industry; instead, they must continue to work on the research, development, and industrialization of electronic-grade polysilicon. Given that thin-film solar cells have been challenging the dominance of crystalline silicon cells, developing electronic-grade polysilicon is not only aimed at solving the raw material issues for the semiconductor industry, but also serves as a precautionary measure to find new paths for the sustainable development of polysilicon manufacturers. 　　Lv Jinbiao, Deputy General Manager of Jiangsu Zhongneng Silicon Industry Technology Development Co., Ltd.: Guiding enterprises of 10,000-ton capacity to grow stronger. The development of our polysilicon industry is still in its infancy, with too few projects that possess international competitiveness. Policies should be used to encourage more polysilicon enterprises with a production capacity of over 10,000 tons to continue expanding and strengthening, so that more world-class polysilicon manufacturers can emerge. Of course, the policies should also restrict enterprises engaged in low-level repetitive construction, by implementing strict measures in areas such as project approval, land allocation, environmental standards, and financial support, in order to reduce resource waste and optimize the pattern of economic growth. 　　“The 12th Five-Year Plan stated that \"it is necessary to persist in using scientific and technological progress and innovation as an important foundation for accelerating the transformation of the economic development model.\" Among the various segments of the photovoltaic industry chain, polysilicon is the stage that requires the most advanced technology; the level of technological foundation, as well as technological progress and innovation, are key to the survival and development of this industry. The improved Siemens process for polysilicon production is a mature set of systematic technologies. In polysilicon manufacturing, it is necessary to take into account the comprehensive utilization of all by-products, and this requires encouragement and guidance from relevant scientific and technological policies. At the same time, policies should encourage a combination of attracting talent and fostering local talent development, to ensure sustained investment in research and development as well as the translation of research results into practical applications. By using domestically produced equipment, technological innovations in polysilicon can contribute to the long-term development of the entire photovoltaic industry. 　　Yan Dazhou, Deputy General Manager of Luoyang Zhongsi High-Tech Co., Ltd.: Strengthening guidance through industrial policies. At present, the domestic polysilicon market is in a situation where demand exceeds supply, with prices rising steadily; nearly half of the demand for polysilicon in China still has to be met through imports. As the market changes, it is necessary to adjust the polycrystalline silicon industry policies to meet these new requirements. 　　Silicon polysilicon companies hope to **provide industrial support measures: First, implement the feed-in tariff law.** Drawing on the mature experiences of countries such as Germany and Japan, accelerate the implementation of domestic photovoltaic power generation projects. 　　Second, support for scientific and technological research and development. **Increase investment in technology further, raise technical levels, improve and stabilize quality, reduce consumption, and enhance comprehensive utilization capabilities. 　　Third, determine the required scale of development based on market demand forecasts, implement total quantity controls, plan development areas, grant quotas to enterprises that already have a solid foundation, and through technological improvements and energy savings, increase production in order to create large-scale enterprise groups with international competitiveness. 　　Fourth, encourage mergers and reorganizations among polysilicon companies. By leveraging companies with a solid foundation, new enterprises or those in difficulty can be assisted in improving their technology, enabling them to reach production targets as soon as possible and thereby reducing losses within the industry. 　　Fifth, direct electricity purchase with favorable electricity prices. Create equal conditions for polysilicon companies to compete internationally. The electricity price for polysilicon in the United States is 2–3 cents/kWh, while Tokuyama Soda in Japan and Wacker in Germany have their own power plants. 　　Sixth, provide tax and financing policy support to competitive enterprises. 　　Shi Jun, President of Shanghai ProNew Energy Co., Ltd. – The metallurgical method takes center stage. The 12th Five-Year Plan period will be the five years during which polycrystalline silicon produced by the metallurgical method achieves rapid development. From 2011 to 2013, the use of metallurgical polysilicon will primarily involve blending it with polysilicon produced by the Siemens method; this period will be one of cooperation in which metallurgical polysilicon and Siemens-method polysilicon coexist side by side. However, the use of polysilicon produced by metallurgical methods alone for manufacturing solar cells will increase sharply, and its proportion will grow year by year. Starting from 2014, metallurgical polysilicon will become the mainstream in the photovoltaic market. The Siemens process still holds a certain market share in the photovoltaic industry, but polysilicon produced by this method can only help reduce photovoltaic costs when used in combination with metallurgical polysilicon. After 2015, Siemens’ polysilicon will be primarily used in the semiconductor market. 　　Currently, metallurgical polysilicon is moving from the background to the forefront, from laboratories to factories, and then to the market. Like any new innovation or technology, the development of metallurgical polysilicon has encountered numerous obstacles and challenges, both technical and market-related. Those working in the field of metallurgical polysilicon need to persevere, as this technology will make a significant contribution to reducing the costs of photovoltaic power generation, thereby transforming solar energy from a luxury resource into an everyday energy source available to everyone.