The disastrous performance of First Solar (Nasdaq:FSLR), couple with declining subsidies from the two largest solar markets in the world - Germany and Italy - dragged down Jinko Solar (NYSE:JKS), Canadian Solar (NASDAQ:CSIQ), JA Solar (NASDAQ:JASO), Trina Solar (NYSE:TSL) and Suntech Power Holdings (NYSE:STP) Wednesday, as the all closed in the negative.
Sources say Italy has reached an agreement to cut subsidies from current levels by 22-30 percent in 2011, 23-45 percent in 2012 and by 10-45 percent in 2013.
Australia also announced they are going to cut A$1,000 from solar panel subsidies a it is pushing up the price of electricity in the country.
The country has already cut back on an initial individual household subsidy of A$8,000 in 2007 to A$3,700 today.
The Australian government also said federal subsidies on rooftop solar panels will end a year earlier than originally stated, some time in the middle of 2013.
With very little demand in India and America - considered two potential new markets for solar - it appears the solar industry is in for a long, rough ride.
Government just need to end the subsidies completely (as well as with all other energy subsidies), and let the market sort out what it wants for energy.
Suntech Power Holdings (STP) closed Wednesday at $8.23, down $0.34, or 3.97 percent.
Thursday, May 5, 2011
Suntech (STP) (JKS) (CSIQ) (JASO) (TSL) Trade Down as Solar on the Defensive
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2 comments:
And China did not double solar installations until 2015.
What a shorter IDIOT :-)
And more than double to 50GW until 2020.
But he do not really care for facts because he is paid basher. Every few days same stupid posts about oversupply. Only truth here is that FSLR is slowing and loosing market share from chinese peers and it is only overpriced solar stock. Why you didn't wrote about Jinko solar earnings from May 2. In next days JA solar and Trina solar will report and show the earnings power of China solar sector but he will said for sure that will be oversupply. Last 12 months shorters and paid bashers talking about oversupply and every quoter chinese solar companies making more money.
Enough with BS
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