Oops: Renewable Energy Costs Shut Down Solar Cell Manufacturing in Europe

Essay by Eric Worrall

First published on JoNova; Despite green claims renewables are the cheapest form of power, renewable manufacturers are struggling to survive Europe’s soaring energy prices.

European solar PV manufacturing at risk from soaring power prices – Rystad

By Jules Scully
October 6, 2022

Around 35GW of PV manufacturing projects in Europe are at risk of being mothballed as elevated power prices damage the continent’s efforts to build a solar supply chain, research from Rystad Energy suggests.

Audun Martinsen, Rystad Energy’s head of energy service research, said high power prices not only pose a significant threat to European decarbonisation efforts but could also result in increased reliance on overseas manufacturing.

“Building a reliable domestic low-carbon supply chain is essential if the continent is going to stick to its goals, including the REPowerEU plan, but as things stand, that is in serious jeopardy,” he added.

Read more: https://www.pv-tech.org/european-solar-pv-manufacturing-at-risk-from-soaring-power-prices-rystad/

Shortly after the above was published, a French solar module plant was closed;

Maxeon closes French solar module manufacturing plant

By Jules Scully
October 7, 2022

Maxeon Solar Technologies has shut down a PV module manufacturing plant in France, citing a challenging price environment.

The facility was impacted by rising costs and taxes on raw material imports, according to a Maxeon spokesperson.

“The production price of the Porcelette plant no longer allows us to be competitive on the European market,” the spokesperson said in a statement sent to PV Tech.

Located in northeastern France, the facility was inaugurated in 2012. According to press release from that year, the plant had a 44MWp production line capable of producing 150,000 solar panels annually.

Read more: https://www.pv-tech.org/maxeon-closes-french-solar-module-manufacturing-plant/

The obvious question, if renewables are so cheap, why don’t these plants relocate to a large plot of land, disconnect from the grid, and power their manufacturing facilities from their own low cost renewable energy products?

Seems an obvious solution – but for some reason renewable manufacturers seem to be choosing to shutter their plants, rather than switching to consuming their own product.

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John
October 9, 2022 7:21 am

Yes the skyrocetingbprice of fossil fuel is badly hurting industry globally. Well that happens when the global price of oil is set by Russia and the Gulf Arabs

Stoic
October 9, 2022 7:25 am

Perhaps the Greens are following this post WW2 proposal: https://en.wikipedia.org/wiki/Allied_plans_for_German_industry_after_World_War_II

Doug S
October 9, 2022 7:28 am

That’s a great line Eric, “The obvious question, if renewables are so cheap, why don’t these plants relocate to a large plot of land, disconnect from the grid, and power their manufacturing facilities from their own low cost renewable energy products?”

In the US Silicon Valley we say something similar about the software that we use to conduct business, “Eating your own dog food”. Many times the marketing and sales people are out in the field promoting the company software but back in the engineering labs we’re often using competitors software because it just works better.

October 9, 2022 8:03 am

Hasn’t it been common knowledge for more than 20 years that Renewable Energy is Not Self Sustainable? Worse, Renewable Energy is not even “Sustainable” in the sense that it is more destructive to the Environment than Coal, NG or Nuclear. The only thing GREEN about Renewable Energy is the Cash that the proponents rake in from subsidies, interest free loans and Declaring bankruptcy after they make a fortune and actually make nothing, following the pattern of Solyndra..

Bill Parsons
October 9, 2022 8:04 am

The “obvious” is never what it seems.

Bjorn Lomborg asked the obvious question: Why do EVs need subsidies if people really wanted them?

WSJ Opinion: Policies Pushing Electric Vehicles Show Why Few People Want OneThey wouldn’t need huge subsidies to sell if they really were a good choice, and consumers know that.

Bjorn Lomborg
September 9, 2022 02:56 pm ET

We constantly hear that electric cars are the future—cleaner, cheaper and better. But if they’re so good, why does California need to ban gasoline-powered cars? Why does the world spend $30 billion a year subsidizing electric ones?

In reality, electric cars are only sometimes and somewhat better than the alternatives, they’re often much costlier, and they aren’t necessarily all that much cleaner. Over its lifetime, an electric car does emit less CO2 than a gasoline car, but the difference can range considerably depending on how the electricity is generated. Making batteries for electric cars also requires a massive amount of energy, mostly from burning coal in China. Add it all up and the International Energy Agency estimates that an electric car emits a little less than half as much CO2 as a gasoline-powered one.

Reply to  Bill Parsons
October 9, 2022 10:28 am

Also, I read just this week that they do not do well when flooded. Several EV fires in FL after the recent Hurricane. This also points out the fact the Special attention is going to be needed for EV Charging Stations. Under ground power distribution of electricity my do well in Tornadoes, severe rain/snow storms and most hurricanes but not well in floods unless designed to withstand maximum/100 year flood height. Worse you could get Boiled alive if you drive into a flooded underpass – like the old baby bottle heaters that heated water with electricity passing through the water.

Reply to  Bill Parsons
October 10, 2022 5:27 am

Hybrids have been a popular choice for company cars in the UK because the tax system incentivises them. Someone looked into the use-patterns of such cars and found that most drivers of them rarely if ever used electric drive.

October 9, 2022 10:03 am

I’ll try to come up with a pertinent comment as soon as I stop laughing.

October 9, 2022 3:12 pm

Solar Cell Manufacturers were hoist with their own petard.

Richard Noakes
October 10, 2022 12:28 am

I have 24 solar panels on the roof of my home. I am paid 7 cents a unit which goes directly into the national grid – I don’t get to use any of it in my home – then the electricity I use is taken out of the national grid and I am charged 23 cents a unit for what I use, which I am told is what it costs for the government to generate it, on top of a connection fee in the region of $45 every two months, so that I can use the national grid electricity. If I were able to run my home from the electricity I generate, I would be able to do that cost free, because I create more electricity than I use and I would have surplus electricity to waste.
Bureaucracy at its finest.

Reply to  Richard Noakes
October 10, 2022 2:26 am

But you would need batteries and more panels to charge them so you would have power at night, when it was cloudy and rainy. Backup is not cheap.

Richard Noakes
Reply to  PCman999
October 10, 2022 4:46 am

But I don’t live in Europe or anywhere where you get rain and clouds most of the time – blue skies and warmth here, most of the year around, in fact by Christmas it will be in the mid 30’s Centigrade and on Christmas day I will probably be in my salt water swimming pool enjoying the heat, with sunnies on and a hat on my head, thinking of you all getting appropriately frozen, over there!!

Ted
Reply to  Richard Noakes
October 10, 2022 5:13 pm

Everywhere on Earth has more hours when the sun is down or blocked by rain clouds than hours of sunlight.

Andy H
October 10, 2022 4:08 am

This is the new green economy the politicians have been promising. Thousands of manufacturing jobs … In China.

October 10, 2022 9:33 am

A snake eating it’s own tale. Wonder how this ends?

October 12, 2022 1:04 am

Of course copper is produced using electrolysis. There goes any chance of producing cheap motors, and the wiring needed to increase the infrastructure to handle 30 million electric cars in the UK!

Steve O
October 12, 2022 4:03 pm

If renewable energy infrastructure had to be manufactured using renewable energy, there wouldn’t be any. That’s why I propose making that mandatory, as a feel-good trojan horse that self-knee-caps renewable energy production.

chadb
October 13, 2022 7:25 am

Renewable energy cost wouldn’t shut down a site in France which is ~90% nuclear.

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