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“The train is leaving now”: the traffic light solar dispute becomes the next disaster for Habeck

2024-02-24T06:23:33.649Z

Highlights: Meyer Burger announced on Friday that it would stop producing solar modules in Germany in March and prepare to close the factory in Freiberg, Saxony. Chinese manufacturers are currently flooding the market with cheaper solar modules. The federal government, especially Economics Minister Robert Habeck (Greens), had promised to take countermeasures. But the problem is once again that the three coalition partners simply cannot agree on what is best to do. “The train is leaving now’: the traffic light solar dispute becomes the next disaster for Habecking.



As of: February 24, 2024, 7:08 a.m

By: Amy Walker

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The federal government actually wanted to strengthen German solar production.

But little has happened so far - and soon it could be too late.

Once again the traffic lights cannot agree.

Berlin – It hardly came as a surprise to the industry, but the news about the end of industrial solar cell production in Saxony is still causing frustration.

The Swiss solar cell manufacturer Meyer Burger announced on Friday (February 23) that it would stop producing solar modules in Germany in March and prepare to close the factory in Freiberg, Saxony.

The reason is that there is “still no decision on political support measures to remedy the current market distortions caused by oversupply and dumping prices”.

The closure “would take effect at the end of April.”

500 employees are affected.

The industry had warned so urgently about exactly this scenario for so long.

Chinese manufacturers are currently flooding the market with cheaper solar modules, which has been putting German manufacturers in trouble for some time.

And the federal government, especially Economics Minister Robert Habeck (Greens), had promised to take countermeasures.

But the problem is once again that the three coalition partners simply cannot agree on what is best to do.

And as with so many projects, what happens now instead is: nothing.

Solar industry: Traffic lights must be activated before Easter

Carsten König, Managing Director of the Federal Solar Industry Association BSW, speaks plainly in an interview with

Ippen.Media

: “Only if the traffic light coalition agrees on the introduction of temporary resilience bonuses before Easter will we have solar module factories on site at the required gigawatt scale Germany a future.

We appeal to the FDP to give up its resistance to the introduction of a resilience component.

We don’t see an alternative to this and the train is leaving now.”

Parts of the solar industry such as BSW, but also Meyer Burger, have been calling for the introduction of so-called “resilience bonuses” for at least six months in order to encourage consumers to buy European solar modules.

In addition to funding for the actual purchase, the Ministry of Economics also wants to improve the feed-in tariff from European modules.

So: Anyone who produces solar power from European modules gets more money.

FDP rejects subsidies for the solar industry

But the FDP rejects this - and this view is also supported by other parts of the solar industry.

It would only heap more bureaucracy on companies, and subsidies do not help with the long-term support of an industry, according to the counterarguments.

Robert Habeck (Greens) wants to promote the expansion of solar energy.

But there is trouble in the coalition.

© IMAGO/Frank Ossenbrink

“If we want to keep the solar industry in Germany and Europe, we have to develop instruments that make the business locations attractive and not discuss bonuses for end customers as a detour that is lengthy, bureaucratic and, above all, uncertain in terms of success.

In this way we are only endangering jobs in Germany and Europe,” says Sarah Müller, managing director of the solar company Zolar, to

Ippen.Media

.  

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The dispute is simmering, but both sides fundamentally agree that the government must act.

But the solar package is stuck in the cabinet as long as the SPD, Greens and FDP cannot agree on a common denominator.

But solar producers won't last much longer.

In addition to Meyer Burger, Solarwatt and Heckart Solar have already announced that they are considering ending production in Germany.

Pressure on the traffic light government is growing

The loss of 500 jobs because of the new traffic light dispute is also attracting attention from the opposition.

Immediately after the announcement, the Left in the Bundestag reacted and shot against the FDP.

“You really can't explain to any sensible person why this government is letting the strategically important future industry of solar production, including jobs in the energy transition, go down the drain just to avoid stepping on the toes of a minority of dogmatic neoliberals and their investment brake fetish,” said Linken- Boss Martin Schirdewan on Friday in Berlin.

In an interview with Ippen.Media, CDU economic politician Tilmann Kuban warns that we must arm ourselves against aggressive economic policies from China.

“Instead of looking anxiously at the location policies of other countries, we have to do our homework: lower taxes, more affordable energy, less bureaucracy and more flexibility in the labor market.

For the solar industry, the federal government must now quickly convert existing funding programs to panels that are produced in Europe,” he continues.

And the Saxon Prime Minister Michael Kretschmer (CDU) is also increasing the pressure on the federal government.

“It is unbearable that German industry is in such distress despite the solar boom.”

The prime ministers made a concrete proposal to protect the domestic economy.

Now the federal government must agree on the saving resilience bonus. 

Robert Habeck's (Greens) Ministry of Economics reacted cautiously and on Friday referred to the EU's so-called Net Zero Industry Act, which is intended to strengthen the solar and wind power industries.

Specifically, it is about tenders for renewable energies.

Criteria such as resilience and sustainability should be rewarded in 30 percent of all tenders.

It remained unclear whether there would soon be an agreement at the federal level.

Meanwhile, the solar company 1Komma5° announced interest in taking over parts of solar production.

With material from dpa

Source: merkur

All news articles on 2024-02-24

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