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Federal Council urges support for solar industry

A solar module is installed in the production line at the Solarwatt GmbH factory. / Photo: Robert Michael/dpa
A solar module is installed in the production line at the Solarwatt GmbH factory. / Photo: Robert Michael/dpa

Solar manufacturers in Germany have their backs to the wall due to overwhelming competition from China - and are threatening to stop production. Now the federal states are pressing the federal government for support.

In the struggle for the future of the solar industry in Germany, the Bundesrat has called for federal support for the sector. On Friday, the chamber of states agreed to an initiative from Saxony and Saxony-Anhalt, according to which the Bundestag should pass the so-called Solar Package I as quickly as possible. In order to help the industry in Germany and Europe in the short term, so-called resilience tenders and bonuses are also to be anchored in the Renewable Energy Sources Act. Then, for example, a higher feed-in tariff would be paid for solar systems that are primarily produced in Europe.

"Dumping attacks and cheap imports of Chinese solar modules, which are sold at far below production costs, are endangering our solar industry," said Saxony's Energy Minister Wolfram Günther (Alliance 90/Greens). One-sided dependencies in the energy sector are dangerous for the national economy, as has been shown with Russian gas. "Our solar industry needs a perspective and a level playing field again. The ball is in the court of the Bundestag and the Federal Ministry of Finance."

Saxony-Anhalt Energy Minister Armin Willingmann (SPD) also called for swift action from the federal government: "We urgently need adequate funding for the solar industry in the state in order to secure production capacities here and to stimulate expansion in Germany." He referred to the USA, where the solar industry is expanding sites on a large scale. At the same time, he emphasized that new regulations should not lead to negative effects for electricity consumers or the pace of expansion.

In view of the current plight, several solar companies are considering discontinuing their production in Germany. The reason given is that Chinese manufacturers are flooding the market with modules at dumping prices.

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