Tuesday, April 22, 2008

Report: Chinese solar cells swamping subsidized German market

From Earth Times:

...In a curious twist, much of the solar capacity is not being sold in producer countries China, Taiwan and India, but being exported to countries like Germany, where state subsidies for installing solar capacity on the roofs of homes, offices and other buildings are high.

Suntech head Zhengrong Shi said: "There is hardly any market in China. We depend on you."

Der Spiegel said state subsidies for solar energy were under reconsideration by the German government, especially as the subsidies were long-term and spread over as long as 20 years.

One German economic research institute put the future costs for modules installed up to the end of 2007 as high as 23 billion euros (36 billion dollars). A draft law was in the works to to cut the subsidies, according to Der Spiegel.

HT: Democratic Underground

Altogether now:
Finally for investors in rent-seeking organizations there is the real risk that the politicians will change the rules. Heed the words of Sen. Simon Cameron (R&D-Pa.!):
"The honest politician is one who when he is bought, will stay bought."