I’ve been trying to understand how tariffs on imported solar technology are impacting the cost and the rate at which people are choosing to install solar panels. It seems like these tariffs could make a big difference in how affordable solar energy is for the average person, and I’m wondering if that’s slowing down how quickly people are switching to solar power.
I read that different countries have different tariffs on solar panels and related equipment, which can either increase or decrease the prices. Besides, the overall costs also rely a lot on how each of us uses (or will use) this technology. So, if you’re not keeping them well-maintained, you can still get a [high electric bill with solar panels](https://www.staticelectrics.com.au/electricians-blog/high-electric-bill-with-solar-panels/), apparently.
But I’m interested in how these changes in cost are affecting people’s decisions to go solar in various parts of the world. Are there places where tariffs have made solar panels much more expensive? Or maybe there are examples where reduced tariffs have boosted solar adoption?
I’m also interested in the broader economic and policy impacts of these tariffs. For instance, do these tariffs help local manufacturers of solar panels by protecting them from cheaper imports, or do they end up hurting the overall growth of the solar industry? And how do these tariffs impact job creation in the renewable energy sector?
I’d love to hear from anyone who has insights into the topic, both in the US and internationally. Please do share your thoughts!
Source: 0Event_Horizon0
5 Comments
You are asking about a very involved topic that applies to almost all manufacturing.
I will say the unpopular truth: the most efficient government is a beneficial dictatorship. Not what I want to live under due to frequent rights abuse, but the most efficient.
Democracy with capitalism is less efficient as there is always a battle for power, morality and money. But generally the best to live under, but a constant struggle for what is right (which varies from person to person).
The root debate is if the good from installing cheaper manufactured products made in a dictatorship in a democracy with capitalism outweighs losing the ability to manufacture said products.
You can purchase a “reasonable quality” PV panel for about USD 0.11 per Watt ex China. Excluding all taxes that makes less than USD 0.12 per Watt delivered. Add VAT/GST/Duty etc means PV panels are about USD 0.19
Branded Tier-1 panels are about USD 0.24 landed.
Why are Americans paying about $14,000 (Ca) 6KW or $17,000 (Co)?
In Australia, a 6KW PV system installed s USD 2,500.
The tariffs are a big giveaway to powerful US investor-owned utilities, which then turn around and use ratepayer dollars to gut net metering, to expand gas-fired generation, to lobby against rooftop solar, to pay builders to install gas appliances in new homes, etc..
This prevents solar costs from plunging as fast as they have elsewhere, reducing their ability to displace fossil fuels, to distribute more generation to rooftops and so on. It’s a win for utilities and for a few localities that make solar gear, but a big loss overall.
Australian perspective…
40% of residential customers now have solar PV, and still growing.
Some locations are now occasionally 100% served through local PV with excess being sold interstate. This is creating reverse flows up to the transmission level. Some works are required to manage this level of PV, including protection settings, voltage management, etc. This is driving negative market prices in the markets – particularly on sunny spring and autumn days.
The key change is that companies are now introducing “solar soaker” tariffs where electricity is free or very cheap during the daylight hours. Of course, this means that the payments for PV export are also dropping.
The vertical separation of energy retailing and the “wires” (similar to Texas) means that the wires businesses are less adverse to solar PV. PV doesn’t eat into their generation and sales markets.
California seller of Chinese solar thermal vacuum tubes for hot tubs and swimming pools from 2006 till 2017. In 2017 the Trump tariffs destroyed the business. I voted for Biden assuming he would end the tariffs, he didn’t. I’m still out of business. No sales for seven years. Zero. No taxes paid, nothing.
The US is the world’s third largest oil exporter and an enemy of renewables. The two party system is simply there to mask this fact. Do I sound bitter? You bet your ass I’m bitter.