Solar Industry “Darwinism” Weeding Out Weaker Companies
Solar panel manufacturer Solyndra, which recently filed for bankruptcy, got special treatment from the Obama administration, some have alleged, since the company’s $535 million in federally guaranteed loans had much lower interest rates than those of other green energy companies, according to an investigative report.
The FBI raided Solyndra’s Fremont, Calif., offices Thursday, although it would not comment on the reason. The company shut without giving notice to its employees and contractors, which many large companies are legally required to do.
However, Lewis Milford of the Clean Energy Group argued critics are inconsistent in highlighting Solyndra’s failure, since there are many examples of failure in government projects—and that a high rate of failure is inevitable in innovative fields. Overall, the Loan Guarantee Program has performed well, and Solyndra’s failure is not a reason to abandon it, Forbes argued.
Solyndra is only one of many solar energy companies around the world struggling recently, due in large part to rising costs of materials and weaker-than-expected demand for panels, which have led to a sharp rise in mergers and acquisitions compared with last year.
Germany has long been a solar powerhouse, but one of its companies—SolarWorld—is also having trouble, and is shutting down factories in Germany and the U.S. and consolidating manufacturing. Another German solar company, Solon, is shutting an Arizona plant and laying off workers.
All this activity “is Darwinism at work in business,” said an executive of manufacturer Abound Solar.
Solar at Scale
Nonetheless, large solar projects are moving ahead. The U.S. has offered a loan guarantee for putting solar panels on military housing, which could double the number of residential rooftop arrays in the country.
With solar panel costs falling, the European Photovoltaic Industry Association said, solar could be competitive with conventional energy within a couple of years in some markets, and across Europe by 2020.
Also, a new projection from the International Energy Agency said in 50 years’ time, solar energy could provide more than half the world’s power.
Spinning up Fresh Debate
Iran joined the list of nuclear countries by connecting its first nuclear power plant to the grid last week, according to the country’s official media.
Also, the International Atomic Energy Agency reported Iran began running upgraded centrifuges. Iran also offered to allow inspectors “full supervision” of its nuclear activities for the next five years, in exchange for lifting sanctions.
Iran has reportedly tested weapons systems, which some experts said cast doubt on Iran’s claim that its nuclear program is limited to producing electricity. But arms expert Mark Fitzpatrick of the International Institute for Strategic Studies said that without proof, it is too soon to jump to the conclusion Iran is pursuing nuclear weapons. Nonetheless, in discussions at the United Nations, several countries kept pressure on Iran to suspend uranium enrichment until a monitoring deal is worked out.
Storm Brewing Over Clouds
A paper in the journal Remote Sensing has generated a lot of thunder, since the authors argued their study of clouds suggested the climate is not as sensitive to greenhouse gas emissions as had been thought. But many other experts have poked holes in the study, with one arguing the controversial study’s model fails to conserve energy, so it violates a basic principle of physics. The journal’s editor resigned over the controversy.
Energetic Ghost Town
To test out new energy technologies in conditions between the overly controlled confines of the lab and the all-too-messy real world, a company is planning to erect in New Mexico a 20-square-mile, $200-million “ghost town” outfitted with real buildings—but no people.
The Climate Post offers a rundown of the week in climate and energy news. It is produced each Thursday for National Geographic’s News Watch by Duke University’s Nicholas Institute for Environmental Policy Solutions.
Go Further
Animals
- Octopuses have a lot of secrets. Can you guess 8 of them?
- Animals
- Feature
Octopuses have a lot of secrets. Can you guess 8 of them? - This biologist and her rescue dog help protect bears in the AndesThis biologist and her rescue dog help protect bears in the Andes
- An octopus invited this writer into her tank—and her secret worldAn octopus invited this writer into her tank—and her secret world
- Peace-loving bonobos are more aggressive than we thoughtPeace-loving bonobos are more aggressive than we thought
Environment
- Listen to 30 years of climate change transformed into haunting musicListen to 30 years of climate change transformed into haunting music
- This ancient society tried to stop El Niño—with child sacrificeThis ancient society tried to stop El Niño—with child sacrifice
- U.S. plans to clean its drinking water. What does that mean?U.S. plans to clean its drinking water. What does that mean?
- Food systems: supporting the triangle of food security, Video Story
- Paid Content
Food systems: supporting the triangle of food security - Will we ever solve the mystery of the Mima mounds?Will we ever solve the mystery of the Mima mounds?
History & Culture
- Strange clues in a Maya temple reveal a fiery political dramaStrange clues in a Maya temple reveal a fiery political drama
- How technology is revealing secrets in these ancient scrollsHow technology is revealing secrets in these ancient scrolls
- Pilgrimages aren’t just spiritual anymore. They’re a workout.Pilgrimages aren’t just spiritual anymore. They’re a workout.
- This ancient society tried to stop El Niño—with child sacrificeThis ancient society tried to stop El Niño—with child sacrifice
- This ancient cure was just revived in a lab. Does it work?This ancient cure was just revived in a lab. Does it work?
Science
- The unexpected health benefits of Ozempic and MounjaroThe unexpected health benefits of Ozempic and Mounjaro
- Do you have an inner monologue? Here’s what it reveals about you.Do you have an inner monologue? Here’s what it reveals about you.
- Jupiter’s volcanic moon Io has been erupting for billions of yearsJupiter’s volcanic moon Io has been erupting for billions of years
- This 80-foot-long sea monster was the killer whale of its timeThis 80-foot-long sea monster was the killer whale of its time
Travel
- How to plan an epic summer trip to a national parkHow to plan an epic summer trip to a national park
- This town is the Alps' first European Capital of CultureThis town is the Alps' first European Capital of Culture
- This royal city lies in the shadow of Kuala LumpurThis royal city lies in the shadow of Kuala Lumpur
- This author tells the story of crypto-trading Mongolian nomadsThis author tells the story of crypto-trading Mongolian nomads