Roadmap Tackles Lagging U.S. Solar Industry

"We now have a choice: do we create those jobs in the US, or do we watch them go overseas to Japan and Germany?"

- Rhone Resch, Executive Director of the Solar Energy Industries Association

San Francisco, California [RenewableEnergyAccess.com] With the backdrop of a major solar energy conference, solar industry business and technology leaders called on the federal government with a plan to put the U.S. back at the forefront of the booming worldwide solar industry. Modeled after successful strategies in California, Japan, and Germany, "Our Solar Future: The U.S. Photovoltaic Industry Roadmap for 2005 and Beyond" identifies the necessary steps to speed the decline in prices for solar electricity, spur the growth of markets, and generate clean industry jobs for a quarter of a million Americans.

"California's leadership and forward-thinking policies have created the largest solar market in the US, and the third largest solar market in the world," said Chris O'Brien, President, Solar Energy Industries Association and Vice President, Sharp Solar USA. "We need similar leadership and vision on a national level. By embracing Our Solar Power Future, Washington can tap these proven policy strategies, restore our solar manufacturing strength, and allow our country to enjoy the benefits of solar power."

Our Solar Power Future underscores both the promise of solar power and the challenge facing U.S. lawmakers, as the domestic industry loses ground to Europe and Asia. While the size of the global solar industry has increased 10-fold in the past eight years, and solar prices are down more than 95 percent since 1978, the United States actually experienced its first-ever decline in solar manufacturing in 2003.

"This roadmap outlines policies that will produce 250,000 high-quality jobs," said Rhone Resch, Executive Director of the Solar Energy Industries Association. "We now have a choice: do we create those jobs in the US, or do we watch them go overseas to Japan and Germany?"

Our Solar Power Future was drafted by leading solar experts in industry, government and academia, and was unveiled in San Francisco at Solar Power 2004, the largest business-to-business and business-to-consumer solar expo and conference ever in the United States. The conference was presented by SEIA and the Solar Electric Power Association, and co-hosted by Pacific Gas & Electric and the San Francisco Public Utilities Commission.

To obtain a summary and full version of the roadmap, please visit the link below

-- Graham Owen, October 20, 2004

I agree, it is essential to have the federal Government as our “solar champion”, selling and educating the nation on the benefits of solar energy. Only the federal government is positioned to be that champion, to take the initiative in leading the charge in changing the way we use energy. Of course, none of this is worth the effort if no one is interested in conservation, sustainability and environmental standards. But the tighter the supply/cost crunch of energy, the greater the incentive to consider alternatives among users. I wish we could be loud and feisty in our recommendations that Washington “initiate an aggressive, multifaceted campaign to enlist Americans in this effort by appealing to their pocketbooks as well as their patriotism and quality-of-life-interests.” Substantial federal tax credits, accelerated depreciation and consumer education should be promoted as viable means to dramatically reduce costs and energy use. We need to sell the government before we can sell mainstream consumer ROI. So much of this involves, simply, marketing. And American business knows marketing like no one else.

-- Sick of Excuses, October 21, 2004

I disagree with the idea that the government should be the major driver in renewables -- the markets should decide. The solar industry needs to be weaned from government subsidies so that it may flourish. The boom and bust cycles in this industry are caused because of knee jerk reactions at a governmental level. For example, there would be another massive bust period if the German government was to suddenly stop funding solar incentive programs -- the damage would be quick and very violent. In California small solar companies work very hard until the rebates are near exhausted and then they close up shop and go to Mexico in the Fall to drink Margaritas. No rebates -- no work. Economic cycles of + $bnn industries can not successfully work in the long term when they only RESPOND to government handouts. Initially there would be pain but then industry would really take off because competitive pricing forces would kick in. The solar industry has come to believe they can only survive if the government keeps handing out subsidies – absolute baloney, what’s happening is that this has created an environment where price to end user is held artificially high because there is a subsidy injected. The industry needs to get off of “government crack” and make an honest go of it and only then will it REALLY take off.

-- Steve Erlsten, October 22, 2004

I agree that the solar industry must be weaned from government hand-outs, but it must be done gently. It must also be accompanied by some changes in the electricity industry. I (and millions of other people) will voluntarily pay a little extra on my electric bill to increase solar power. Solar might soon be price competitive with natural gas peaking electricity, but it doesn't have to compete on price alone. There are millions of people who would pay a premium for solar electricity. We need systems in place so everyone can pay a premium for premium power, then we need to gradually remove government subsidies.