Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

U.S. Solar Boom Stumbles

By OilPrice.com (Irina Slav)CommoditiesJan 26, 2022 12:26AM ET
www.investing.com/analysis/us-solar-boom-stumbles-200615981
U.S. Solar Boom Stumbles
By OilPrice.com (Irina Slav)   |  Jan 26, 2022 12:26AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
  • U.S. solar industry is dealing with significant cost increases and supply constraints
  • Some forecasters are beginning to doubt that the U.S. government’s ambitious plans for adding 21.5 Gigawatts (GW) of utility-scale solar this year could be unrealistic

Higher costs and supply constraints are causing problems for what many see as a solar industry boom in the United States under the strongly pro-renewables Biden administration.

According to a Financial Times report, despite strong demand for solar power, some forecasters are beginning to doubt that the U.S. government’s ambitious plans for adding 21.5 GW of utility-scale solar this year may not pan out.

The FT cited Wood Mackenzie as one of these forecasters, noting the consultancy had revised its projections substantially down for utility-scale solar additions for this year.

As relayed by Xiaojing Sun, head of solar at Wood Mackenzie, to FT:

“There are two realities for the solar industry right now. The demand for a clean energy product like solar is extremely strong . . . but the other reality is the situation on the ground, given Covid, the complex supply chain situation as well as some of the geopolitical factors.”

The industry does not seem to share the concern, based on recent comments made by a senior executive from Hanwha Q Cells (HQCL), the largest solar panel manufacturer in the Western Hemisphere.

“We’re at an inflection point for the industry,” Scott Moskowitz, director of strategy and public affairs at Hanwha Q Cells , said this week, as quoted by E&E News. Solar power, he added, is “the cheapest form of energy that has ever existed—now that the industry has scaled, how are we going to make sure we install as much as possible?”

The answer to this question may not be as simple and straightforward as the industry would hope. In addition to rising production costs amid a major commodity rally, there is also the question of Chinese dominance in all things solar.

Last year, the Biden administration suspended imports of Chinese polysilicon on allegations of forced labor being used to make the material and made non-Chinese suppliers prove their polysilicon does not come from China’s Xinjiang province.

There is also the question of Chinese solar import tariffs, introduced by the Trump administration and kept by Biden. Those have both supporters and opponents in the U.S. solar lobby, and it is yet to be seen which side will prevail.

Original Post

U.S. Solar Boom Stumbles
 

Related Articles

Petros Steriotis
Crude Oil And The Rounding Bottom By Petros Steriotis - May 15, 2022 4

Crude oil futures are looking to complete the rounding bottom formation (within the long-term bull market). That would propel them to the $130 yearly highs, provided that $117...

U.S. Solar Boom Stumbles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email