BSW-Solar warns of detrimental effect of econ min's plans on solar industry

(SeeNews) – Jan 26, 2012 - The German Solar Industry Association (BSW-Solar) said on Wednesday that if the government implements the suggestions of economic minister Philipp Roesler the energy transition will become impossible.

Roesler suggested that a new renewable energy act should be enforced. The economic minister also demanded that a limit on how many solar installation could be built should be introduced and that the sector's subsidies should be drastically reduced.

Solar energy has to account for 10% of the total energy consumption by 2020 in order for the energy transition to be successful, Carsten Koernig, CEO of BSW-Solar, added. Currently, the share of the solar power stands at some 4%. If the reduction of the subsidies continues, the market share of solar energy will be frozen at 5%, or 33 GW.

Roesler's plans will threaten some 100,000 jobs in the solar sector. In addition, a large number of Germany's solar companies are already registering negative results.

The German environment ministry also rejected Roesler's plans. Environment minister Norbert Roettgen proposed that the subsidies for the solar sector be adjusted on a monthly basis, but no solid limit on the construction of installations will be established.

Energy prices will hardly be affected by the expansion of the solar sector. According to a study of German research institute Prognos AG, the prices for energy will inch by just 2% if the sector grows by 70% to 2016.

Choose your newsletter by Renewables Now. Join for free!