This year has proved to be the boom year of solar industry, thanks in no small part to a lucrative state aid in Europe, especially in countries such as Germany and Italy. The new solar project institutions shot up 7.2 GW in 2009 to an estimated 15.8 GW in 2010, according to iSuppli. But analysts predict the slowdown in growth in 2011, because the incentives in these key European markets to fall quite a bit. Meanwhile, the U.S. market could grow faster. Here are the key trends I expect in 2011:

1. Rise in the U.S. market. Since the entire country, solar industry, people have long counted on the U.S. becoming the dominant solar electricity producer in one day. We will probably see a very big boom in this direction because of the confluence of state and federal policy. Congress just continues the popular grant program that helps to cover 30 percent of the cost to install solar projects. Extension until 31 December 2011, and projects that start construction of the deadline remain eligible to receive money. That deadline is asking companies to accelerate their pace of development projects.

Project developers who have signed contracts to sell solar electricity to California utilities also had better go to complete their work. Three major state utilities should buy enough renewable energy to constitute 20 percent of their deliveries in 2010. Utilities are not likely to be unable to make the deadline, but state regulators to give them the end of 2013 to comply. At the same time utilities is to ensure that they line up enough to install their own contracts or projects meet the 33 percent target by 2020.

2. Money faucet opens. Banks and other project investors seem to have increased their financial support in 2010, and more money should flow out. U.B. Banking, venture capital arm of Pacific Gas and Electric Corp. and Rabobank have made millions of residential and commercial buildings, installations, while NRG Energy rose by committing to invest more than $ 1550000000 utility-scale projects, SunPower, Bright Source Energy, and First Solar. Row money for the project in excess of 100 MW is hard, but smaller projects are more palatable (and their development cycle is shorter). California could launch 1-GW program next year to encourage projects of up to 20 MW in size. Utilities elsewhere in the country are also pursuing smaller projects.

And let’s not forget the biggest banker of all: the U.S. government. The federal government has provided a large loan guarantees after the loans themselves solar manufacturers and project developers in the last two years, including $ 400 million for the Solar and plenty of $ 1,450,000,000 is Abengoa Solar. Part of the loan guarantee program (Section 1705) is due to end next year, and projects that want to get is to start construction in September 2011.

3. Utilities includes the ownership. Ownership of solar power plants to provide utilities to monitor electricity production costs and the accompanying tax benefits, such as the 30 percent investment tax credit was approved in Congress in 2008. So the solar industry is expected to invest their own money on utilities, solar projects. Aggressive moves in NRG Energy (which is a wholesale generator that owns two utilities), invest in solar projects in the host over the past two years, nudge more utilities move more quickly into the game. Other players who already have plans or projects for the Pacific Gas and Electric, Southern California Edison, Florida Power & Light and Duke Energy.

4. Factory boom. Many of the solar cell and panel manufacturers are expanding their factories in an incredible pace, and the biggies will only be bigger, making it even harder for start-up companies, and certainly the brand entrants to compete with. First Solar vows to almost double its production capacity by 1.4 GW in 2010 to 2.7 GW by 2012. Suntech Power expects the cell and panel production capacity increase by 1.8 GW in 2010 to 2.4 GW in 2011. And Solar already reached 1.9 GW of cell production capacity this year’s November. Solar Frontier to build a 900-megawatt plant, which is due to come online next year, it currently has two plants totaling 80 megawatts.

Good luck to those startups that are not lined up any public or private financing closed. SpectraWatt, which started production in its 60-megawatt plant in New York this year, recently announced plans to lay off over 100 employees and close a factory in the spring of 2011.

5. Make a change and build projects. For some time and is the manufacturer and the project seemed ill-advised business. OptiSolar went bust, Suntech Power’s project development activities in the United States has not taken off. But SunPower and First Solar have shown that it is able to do so, it is possible and a good way to create a market for their solar panels.

This year, we saw Sharp Recurrent Energy to buy 305 million U.S. dollars, SunPower buys SunRay Renewable Energy Europe, $ 277,000,000, and First Solar buys yet another project, next light for 297 million U.S. dollars. I still read the new project developers are the business. Together with some of the current to compensate for having a hard time, project financing, the market is set for more acquisitions.

6. Solar thermal facilities – loses a proposal? California lawmakers approved nine solar thermal projects totaling more than 4 GW in the past four months, and it seems to invite a lot of new projects. But more likely you will not see a new set of proposals to build a giant power plants using mirrors to concentrate sunlight to produce steam, which then drives generators. Solar thermal facilities are great – a few hundred megawatts seem to be the norm – in order to be economically feasible.

But the line up funding for these types of projects can be more difficult than the project, which uses solar panels, whose price has fallen 50 percent over the past two years. Mega thermal projects are prone to criticism and even lawsuits to their effects on the environment, water use and conservation of nature. Tessera Solar’s two projects, dubbed Calico and the Imperial Valley, are excellent examples of what could go wrong. Tessera announced yesterday that it had sold its 850-megawatt project Calico K Road Power. Its other project is facing a lawsuit from Quechan Indian tribe.

7. Hybrid solar market slowly born. A slew of start-up businesses are slowly rolled into hybrid systems that produce electricity and heat to create hot water or run the heating and cooling systems for homes and businesses. Cogenra Solar installed the first pilot project in Northern California winery this summer, although PVT began to sell its equipment, home builders in 2009. Cool Energy in a row the Colorado utility Xcel Energy, to help launch a pilot project this year. Chromasun intends to launch the first hybrid system in 2011.

Not only is technology going, incentives are also noticeable. California launched an incentive program for solar water heater installations earlier this year. New York began the program earlier this month. Both states also offer incentives for solar electric power systems, and allows for hybrid systems require incentives and programs.

8. Canada, the sun rises. Ontario Province of Canada initiated a feed-in tariff program in October 2009 and became a hot-bed solar development. The region also has learned a few lessons in the formulation of its popular program to manage the explosive growth. Ontario Power Authority, which operates the program plans to modify it even more next year, such as cutting prices of utilities to buy solar power project developers. Ontario also has to contend with complaints about Japan and maybe other countries in relation to the province requires a majority of equipment and services for each project from within Ontario.

Those who espouse the same policy in the United States must take account of how the Ontario program pans out. Feed-in tariffs have created a large solar energy market in Europe, but has also drawn critics, who believe in competition – instead, the Government set the pricing of the sun – will lead to more cost-effective projects.

9. Solar IPO market is still lukewarm. Many of the solar startups dreamed of launching a successful IPO and becoming the next First Solar. Anything that occurred in 2010, and solar companies still seem to be a risky bet. IPO candidates must prove they can make money, especially solar energy should be a commodity, and even project developers still have problems even out money to finance the plants. None of our picks for 2011 IPO opportunities, bright source of energy seems to generate the most buzz. But I think investors remain cautious and skeptical about the sun in 2011.

10. Building capacity of solar PV market to pick up. After years of promises to a number of thin-film solar manufacturers finally unveiled flexible panels designed to blend into the residential and commercial building roofs. Dow Chemical plans to begin selling solar cell embedded in the shingles in the middle of 2011. At the same time next year, builders of large residential communities in California (more than 50 dwellings) is required to offer solar panels a standard option. This rule is to promote building-integrated photovoltaic systems, which appeal to homeowners who do not want solar electric power systems standout aesthetic.