The US Department of Commerce (DOC) launched an investigation into suspected antidumping and anticircumvention in four Southeastern Asian countries that supply 80% of the nation’s solar panels. If violations are found, a 50-250% tariff can be placed on solar panels entering the US. Module prices can represent 50% or more of a project’s cost, so for a $300 million utility-scale project, that’s as much as $375 million in risk. What’s more, the fee is retroactive to the February 8th petition by Auxin Solar led DOC to launch the investigation.
The Solar Energy Industries Association (SEIA) reports that roughly 75% of companies report cancelled or delayed module supply, 50% said that 80% or more of their 2022 project pipelines are at risk, and that the investigation has a “devastating negative impact” on 60% of solar and 35% of storage businesses.
In his industry note, Philip Shen, managing director, ROTH Capital Partners, wrote, “the module procurement process has been turned upside down.” He continued to share that some solar developers may be willing to take on the risk and continue to procure and deploy, but that activity will mostly occur in the distributed generation space rather than the utility-scale. “Our AntiCirc checks this week suggest C-Si utility scale module volume for the rest of the year may largely shut off,” said the note.
Shen’s team believes the DOC will take the full 150 days it is allotted to make a determination on the case, which places the deadline on August 26th. He notes that the passing of Sen. Jon Ossoff’s (D-GA) Solar Energy Manufacturing for America Act may play a role in the determination.
The note added that mid-week, facilities in Vietnam, Malaysia, and Cambodia have started to reduce production.
Shen’s team has also noted an increase in power purchase agreement (PPA) prices and a trend of smaller developers reselling projects to larger developers.
Costs are particularly rising in the distributed generation space, with pricing skyrocketing to $0.60-$0.70/W, rising from last year’s $0.40-$0.50/W/ This translates to residential end-user costs rising from $4-4.50/W to nearly $6/W, said ROTH.
In reaction to the launched investigation, American Clean Power Association CEO Heather Zichal wrote, “American workers will bear the pain of the decision to allow one rogue antagonist (Auxin Solar) to abuse and manipulate trade laws for their own gain. The 230,000 proud Americans who work in the solar industry are calling on President Biden and Secretary Raimondo to reverse their decision and bring this matter to a speedy conclusion. Every day this investigation hangs over the solar community is a day of lost jobs and postponed solar projects critical to the Administration’s climate agenda.”
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.
C-SI solar panels lack clear recycling policies unlike thin film types that are more recyclable nd cheaper.. We re buying throw away solar panels worsening dump issues.. They think they could dump those near end of life cycle C-Si panels to third world nations for repurposing.. Articles are written about this. It is one thing to get cheap Chinese C-Si and an entirely different thing to find places to dump them at end of lifecycle.. Someone has ot be accountable for that problem that will grow and grow in the future. We have problem with old tires… same thing! We manage to find some repurposes for those old tires used to hold down cover wraps in the agricultural area which is great.. Wht will we do with those old C Si panels/// for repurposing/ I cannto think of anything, can you? Avoid them..
So instead, let’s stick with burning coal and oil and DUMPING the pollution from that into the atmosphere we all breath. And we can go on spilling oil in the oceans, DUMPING mercury from the coal into the environment and DUMPING the leaked methane into the atmosphere and leaving tens of thousands of acres of uncapped wells all over the nation for someone else to clean up. That’s SO much better than using solar panels to harness clean sunlight for energy. And I’m sure we’ll never figure out how to recycle them because, as everyone knows, no new technologies are ever developed. Uh huh.
Auxin Coal & Oil Co. (AKA Auxin Solar) wins the day. Trump would be proud of you. Now, will the Biden Admin step in and undo this mess?
I was comparing between C Si panels and thin film panels like CD TE panels .. I never said to do away with solar panels.. Thiin film panels like CD TE are more readily recyclable so I think thinfilm panels is the way to go. I have seen C Si panels piling up in scrap yards with nowhere to go.. I havent seen any thin metal panels piling up with nowhere to go as they re being recycled by the manufacturer themselves.. Homeowners who bought C Si panels for rooftops will be pressed to foot the bill for recycling at end of lifecycle and this will be a bitter experience for them.. I am thinking twice about installing C Si panels myself even though I want to to save on electricity costs and contribute to environment.. I just think that C Si is inferior ..I think that solar energy is better left to the utitlies or community solar programs to be taken care of. This is probably the reason why we are trying to stop the Chinese from going through Vietnam and other natioins to dump inferior C Si on our markets. . We have our own thin film solar panel manufactuers here. even with factories in malaysia and Vietnam to help keep prices low.. C Si materials are toxic to manufacture and china is ratching down prices for C Si with no regards for environment and worker safety .. Same thing happened to aluminium which China built so many new coal powerplants and aluminium smelters which made climate change worse .. There is stories behind things you may see and think is great and good enough .. Quite to the contrary is often the case.. you have to look 360 degree around it .. Thin film solar panels is best .