The Houston Chronicle is reporting the solar power industry in Texas is concentrating more on engineering solar panels and other solar power systems rather than manufacturing them. The reason is that competing with China is problematic.
Some facts about the growth of solar power industry in Texas:
* Solar firms based in Texas have concluded that low labor costs and high government subsidies in Texas make competing in manufacturing solar panels prohibitive for American companies. This problem is exemplified by the collapse of the California solar firm, Solyndra, despite a $500 million-plus guaranteed loan from the Obama administration. The solar industry in the United States will likely grow in the engineering and installing sectors, leaving manufacturing offshore.
* The current run of bankruptcies for solar companies is seen as the market shaking out weaker firms, leaving the stronger ones to continue.
* AstroWatt, based on Austin, has taken the approach of developing a technology that creates a silicon on metal solar panel that is cheaper to manufacture than standard solar cells. The company has achieved a 13 percent efficiency of sunlight to electricity, but hopes to upgrade that to greater than 20 percent in the near future.
* SolarBridge installs a solar panel which has a microinverter installed on the back of each solar module. The idea is that it lowers installation costs and enhances reliability. The company employs 60 people in the Austin area.
* The Texas Solar Power Co. installs solar systems for residential and commercial customers. Their solar panels include batteries that are charged during the day which provide power at night and during cloudy days and also serve as a backup for power outages.
* South West Texas Solar specializes in installing solar powered water pumps for rural areas. The company claims that with government incentives, their product is competitive with wind powered pumps.
* The Solar Foundation reports Texas has 170 solar firms with a 6,400 workers, most of whom are installers of solar equipment.
* State incentives for solar industry are somewhat meager currently. Solar firms are exempt from the state franchise tax, but do not get breaks like equipment and utility rebates.
* One problem facing the growth of residential solar power in Texas is the resistance of homeowners' associations. The Texas Legislature passed HB 362 in the last session that restricted HOAs power to deny permission of homeowners to install solar systems. The bill provides guidelines for the smooth approval of solar photovoltaic and solar thermal systems in single family homes.
Texas resident Mark Whittington writes about state issues for the Yahoo! Contributor Network.
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