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Solar Industry in U.S. Clouded by New Uncertainty

Renewable Energy
Solar Industry in U.S. Clouded by New Uncertainty
Solar panel array at the George Washington Carver Center in Belstville, MD. Tom Witham / USDA / Flickr

By Kieran Cooke

The U.S. solar industry is losing its shine. Although solar power is seen as a key way to avoid the use of climate-changing fossil fuels, U.S. solar companies are cutting investments and laying off workers. An industry employing more than 230,000 people and with an estimated worth of $28 billion is now warning of trouble ahead.


More than 10,000 jobs in solar were lost in 2017, says a report by the Solar Foundation, a non-profit research firm.

The clouds spreading across the U.S. solar sector are in part due to a slowdown in sales in so-called mature markets in California and the Northeast, both areas of double digit solar growth in recent years.

However, industry analysts say the main reason for the present travails in the solar sector is the announcement earlier this year by President Donald Trump of a 30 percent tariff on imported solar panels.

Help at Home

The aim, said Trump, is to support domestic manufacturers and stop the mass import of solar panels, mainly made in southeast Asia, South Korea and China. At present about 90 percent of solar panels installed in the U.S. are imported.

"We'll be making solar products now much more so in the U.S.," said Trump, announcing the imposition of tariffs in January.

"Our companies have been decimated and those companies are going to come back strong … a lot of workers, a lot of jobs."

The overwhelming majority of people involved in the U.S. solar sector are involved with installation and maintenance; a large number of firms also manufacture subsidiary products, such as racks for mounting the panels.

While some U.S.-based manufacturers of solar panels—there are now very few of them—have welcomed news of the tariffs, most in the industry say the move is likely to drive up costs in what is a highly competitive energy sector.

Chinese Domination

China now dominates the global solar power market; it's the source of two thirds of the world's total solar panel capacity and it also buys up half of the world's production.

Chinese manufacturers have invested heavily in research and development and their solar products have become increasingly sophisticated.

U.S. industry analysts say the products of domestic companies will be too expensive and will not be able to compete with other energies such as wind power or gas. Demand will fall, and jobs will be lost rather than gained.

From 2010 to 2016, solar power installations in the U.S. went into overdrive, driven by falling costs and a range of government incentives. The industry says nearly 50GW of capacity is now installed—enough to power 10 million homes.

The Trump administration has made no secret of its wish to promote the use of fossil fuels—including coal—and remove incentives which were aimed at widening the use of renewable energies.

Some in the solar industry say that with or without the tariffs—which have been imposed on a sliding scale for a four-year period, with a 15 percent charge in the final year—solar power is very much here to stay. Demand might slow, but it will not stop.

In anticipation of the tariff hike, solar companies stockpiled a vast amount of imported solar panels last year; in the last three months of 2017, U.S. imports of solar panels from China increased by more than 1,000 percent—enough to supply the industry for several months.

It seems that Trump's efforts to discourage the use of renewable energy are not working in the way he might wish.

Recently, growth in solar power installations has been particularly strong in the Midwest and South—in pro-Trump states that have traditionally turned their backs on renewable energy and supported the president's fossil fuel policies.

Reposted with permission from our media associate Climate News Network.

Former U.S. Sec. of Energy Ernest Moniz listens during the National Clean Energy Summit 9.0 on October 13, 2017 in Las Vegas, Nevada. Isaac Brekken / Getty Images for National Clean Energy Summit

By Jake Johnson

Amid reports that oil industry-friendly former Energy Secretary Ernest Moniz remains under consideration to return to his old post in the incoming Biden administration, a diverse coalition of environmental groups is mobilizing for an "all-out push" to keep Moniz away from the White House and demand a cabinet willing to boldly confront the corporations responsible for the climate emergency.

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Climate change can evoke intense feelings, but a conversational approach can help. Reed Kaestner / Getty Images

Anger, anxiety, overwhelm … climate change can evoke intense feelings.

"It's easy to feel dwarfed in the context of such a global systemic issue," says psychologist Renée Lertzman.

She says that when people experience these feelings, they often shut down and push information away. So to encourage climate action, she advises not bombarding people with frightening facts.

"When we lead with information, we are actually unwittingly walking right into a situation that is set up to undermine our efforts," she says.

She says if you want to engage people on the topic, take a compassionate approach. Ask people what they know and want to learn. Then have a conversation.

This conversational approach may seem at odds with the urgency of the issue, but Lertzman says it can get results faster.

"When we take a compassion-based approach, we are actively disarming defenses so that people are actually more willing and able to respond and engage quicker," she says. "And we don't have time right now to mess around, and so I do actually come to this topic with a sense of urgency… We do not have time to not take this approach."

Reporting credit: ChavoBart Digital Media
Reposted with permission from Yale Climate Connections.

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