Solar Panel Demand to Rise Ahead of German Subsidy Cut (CSIQ, TSL, JASO)
Germany is expected to lower its subsidy for solar projects again this year, and the predicted cut is increasing demand for solar panels in the country. At least that’s the view of Canadian Solar Inc. (NASDAQ: CSIQ). Germany added 7,500…
Germany is expected to lower its subsidy for solar projects again this year, and the predicted cut is increasing demand for solar panels in the country. At least that’s the view of Canadian Solar Inc. (NASDAQ: CSIQ).
Germany added 7,500 megawatts of solar generation in 2011, a record amount that easily surpassed expectations. Solar makers like Canadian, Trina Solar Ltd. (NYSE: TSL), and JA Solar Holdings Co. Ltd. (NASDAQ: JASO) had been expecting an over-supply situation in 2012 and had cut production.
But Canadian’s CEO told Reuters that demand spiked just ahead of the lunar new year holiday and the company has been unable to respond because all of its employees took the time off.
Germany is set to cut its subsidy by April 1st, so the window for the new demand is small but welcome.
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Paul Ausick has been writing for 247Wallst.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.
He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.