VCs have avoided solar deals ever since Solyndra became a four-letter word. But while their attention has strayed, the industry has been on a tear. In 2010, U.S. solar installers hit a milestone of 1 GW per year. Five years later, they’re installing more than 1 GW per month. This tremendous growth has fed a swelling herd of solar unicorns populated by the likes of SolarCity, SunEdison, SunPower and more.
[Solyndra is not a four-letter word. I’ve researched the events and the market influences surrounding their failure. If you look at the oil companies who have received tax incentives and the market forces at play, you would have the same situation occurring now – bankruptcy. The difference is that the consumer benefits from a cheaper product (oil) because it is widely used, where as Solar; and Solyndra’s panels were a radically new design utilizing light from all angles, is a growing industry. Brooklyn.Solar ]
In the United States it’s a different story. Solar power generated by electricity customers is typically either “net metered” or paid a “value-of-solar” tariff. Under a net metering rate, produced solar energy essentially rolls the electric meter backwards, i.e. it is valued at exactly the price of retail electricity. Value-of-solar tariffs pay for solar at a rate calculated based on its overall environmental and system benefits. Rates calculated by Minnesota’s Public Utility Commission (14.5 cents per kilowatt-hour) and Austin’s municipal electric utility (12.8 cents per kilowatt-hour) both exceed retail energy rates. Under both of these solar tariffs, the economic decision is to send solar electricity directly into the grid, rather than save it for later use in the home.
via ‘Solar PV industry clouded by dumping’ | Business Line.
“Competitive pressure from foreign module manufacturers, particularly from China, and excess supply in the equipment market have had a significant impact on the domestic manufacturing business. An anti-dumping investigation against these low-cost imports is currently in progress, and the government needs to issue a preliminary tariff ruling at the earliest to provide desperately-needed relief to the ailing manufacturing industry.”