US: Stion to ramp production ahead of tariffs on Chinese modules

With manufacturing in Mississippi and and R&D and offices in Silicon Valley, thin film manufacturer Stion can certainly boast of an All American product. In light of this, it has taken the decision to ramp its manufacturing operations in the second half of this year and through 2015.

In a statement released today, Stion announced that it would ramp the production of its Elevation Series CIGS modules on the back of, "demand precipitated by the news of the U.S. Department of Commerce's preliminary tariffs on Chinese solar modules shipped to the U.S."

Stion said that it expects module prices for Chinese producers to increase by an average of 27%, on the back of the U.S. Department of Commerce's ruling last week to apply countervailing duties on the Chinese suppliers.

While some industry players in the U.S. have been strident in their criticism of the move, an increase as expected by Stion would certainly help the producer compete in its domestic market.

“We understand that this preliminary tariff will put a strain on the U.S. solar market as current major Chinese solar equipment supplier pricing increases from 18 to 35%," said Stion President and Chief Executive Officer Chet Farris in today's statement. “Stion is committed to serving the U.S. market with the highest quality U.S. designed and U.S. manufactured solar technologies."

Stion has not released what its capacity will be ramped to by 2015, although its Mississippi fab is sized for 400 MW to 500 MW of tooling. pv magazine understands the modules from Stion's existing production lines are around the 13% to 13.5% conversion efficiency range.

The U.S. firm is pursuing a CIGS tandem junction technology, in parralel to its current module production. In February of this year it announced that it had produced 23.3% conversion efficiency, presumably on a very small cell. It also has achieved an efficiency of 20% on a 20cm by 20cm cell. The high efficiency monolithic deposition process has be named Simply Better Tandem Technology by the firm.

Stion's decision to ramp comes at a time when Taiwanese CIGS producer TSMC is also making similar moves. TSMC produces modules from its Taiching operations using technology licensed from Stion.

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UK surpasses 3 GW mark in April

The United Kingdom has surpassed the 3 GW mark in installed photovoltaic capacity, a figure it is expected to double this year.

The country reached 3,179 MW of solar across 551,939 installations at the end of April, according to recent statistics published by the U.K. Department of Energy & Climate Change (DECC). The figure represents an increase (for both capacity and installations) of 1% from the end of March.

By the end of the year, however, the U.K. is expected to overtake Spain and France to become the third largest solar market in Europe with some 6.3 GW, behind Germany (currently at 35.7 GW) and Italy (17.2 MW).

Capacity accredited under the Renewables Obligation stood at 600 MW across 4,487 installations at the end of April, unchanged from the end of March.

Renewables Obligation capacity accounts for 19% of total solar deployment.
Capacity eligible for feed-in tariffs (FiTs) in the same period stood at 2,315 MW across 544,290 installations – a 1% increase from March for both capacity and installations. Capacity from FiT installations represents 73% of the country’s total solar deployment.

Overall solar PV capacity in the first quarter rose 6.9%, or 189 MW, compared to the fourth quarter of 2013. The number of installations in the first quarter reached 542,817, up 6.7% from the previous quarter.
Meanwhile, capacity commissioned and accredited under the Renewables Obligation in the first three months of the year was up 3.5%, or 12 MW, to 483 MW. Renewable Obligation capacity represents 16% of the U.K.’s total solar deployment.
At the end of 2013, the country had 2,752 MW of PV capacity -- a year-on-year increase of 61%. Installations last year reached 508,322, up 26% from 2012.

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Chinese manufacturers likely to set up shop in Mexico

Chinese modules could soon make it to the United States tariff-free by way of Mexico, according to EnergyTrend, the green energy division of research group TrendForce.

Examining the recent U.S. Commerce Department’s recent preliminary ruling on countervailing duties (CVD) against Chinese manufacturers of solar panels and cells, EnergyTrend predicts Chinese and Taiwanese manufacturers will come up with different strategies to reduce the impact of tariffs if the final ruling is in line with the preliminary ruling and if product volume caps and pricing limitations are not imposed.

"For Chinese manufacturers, modules’ origins are defined by where they were assembled," EnergyTrend says. "Therefore, Chinese module manufacturers may turn to outsourcing in other countries."

The research group says Mexico is the most likely nation for Chinese manufacturers to build pipelines overseas.

In contrast, Taiwanese manufacturers are less likely to establish foreign factories because its manufacturing capacity is far smaller than that of China and its main export markets remain Japan and Europe. Some Taiwanese manufacturers have built PV factories overseas, however, and they may also consider the possibility of expanding their existing foreign production capacities.

Chinese solar manufacturers have considered setting up shop in Mexico in the past in order to serve the U.S. and local markets. Among the companies that have shown interest in investing in Mexico in recent years is JA Solar. With several fabs in the country, Mexico has the largest solar module production in Latin America. Yet a number of solar factories in Mexico have closed in recent years, including those of Japanese electronics giant Panasonic and Spanish company Siliken, both of which halted production of modules in Mexico in 2012.

The U.S. Commerce Department last week announced plans to impose new import tariffs on PV modules from China after concluding Chinese manufacturers had been unfairly benefitting from government subsidies.

The tariffs would range from 18.56% to 35.21%, the department said, adding that the U.S.' countervailing duty law protects U.S. business and workers from "market distorting effects caused by injurious subsidization of imports into the United States" and establishes "a level playing field."

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Los Angeles greenlights 300 MW of solar projects

The Los Angeles Department of Water and Power (LADWP) has approved agreements for a large 250 MW solar array in neighboring Kern County, which borders Los Angeles County to the north, as well as development of 50 MW of solar projects within the city.

"This is a great milestone in the City of L.A.’s efforts to expand renewable energy and a win-win for the businesses and people of Los Angeles who will benefit from solar power development right in the city," said Board President Mel Levine, president of the Board of Water and Power Commissioners. "These solar projects will help spark economic development and jobs, reduce greenhouse gas emissions from fossil fuel power plants, and meet L.A.’s renewable energy mandates."

LADWP General Manager Marcie Edwards added that the agreements "put us within reach of our targets of 25% renewable energy by 2016 and 33% by 2020."

Combined, the utility-scale solar array and the local solar projects will provide enough energy for about 150,000 homes and offset emissions of close to 500 metric tons of carbon dioxide that would otherwise be produced by fossil fuel power plants, LADWP said.

"Along with helping spur the clean energy economy in Los Angeles and meeting renewable energy goals, the expansion of local solar builds more resiliency and reliability into the power grid," the municipal utility added, pointing out that small solar systems were like "mini power plants" that generate power right where it is being used, saving on transmission costs and taking advantage of the city's abundant sunshine to help meet electrical demand.

The agreements, which require approval by the City Council, pave the way for the 250 MW Beacon Solar Project, which will be built near the town of Mojave some 109 miles (175 kilometers) north of Los Angeles, while rounding out the full 150 MW feed-in tariff (FiT) program. Last year, LADWP launched the FiT set-pricing program for 100 MW, becoming the largest city in the nation to offer a FiT program.

The Beacon land, acquired by LADWP in 2012 and previously permitted in Kern County for solar development, has been divided into five sites. Four sites will be developed through four separate power purchase agreements for a total of 200 MW. Each of these contracts is tied to developing small-scale FiT solar projects in the City of Los Angeles; altogether, these bundled agreements will lead to the construction of 50 MW of local solar within Los Angeles' city limits.

Through a competitive bid for the Beacon 200 MW Bundled Solar Program, the LADWP Board awarded two of the sites (88 MW) to SunEdison and two sites (112 MW) to Hecate Energy. In conjunction with the large solar projects, SunEdison is to develop 22 MW of local solar and Hecate will build 28 MW of solar within Los Angeles.

The fifth solar project that will be installed on the Beacon property is a 50 MW project that is not "bundled" with a FiT component. This contract was also awarded to Hecate Energy.

Randy Howard, LADWP senior assistant general manager - Power System, said the Beacon solar agreements were part of a comprehensive strategy that has evolved over the past several years with public input. "These new solar projects will add to the existing Pine Tree wind and solar projects, and form a cluster of renewables in this area to help LADWP meet its renewable energy objectives near the Los Angeles Basin," Howard said.

To support the increase in renewable energy in Kern County, LADWP has begun construction of the Barren Ridge Renewable Transmission Project (BRRTP), which will expand the capacity of the utility's existing transmission. In addition to providing all transmission and distribution infrastructure for the Beacon Solar Project, LADWP is also building a switchyard for the installation as well as expanding the transmission line itself. As part of the transmission project, LADWP is likewise building a new switching station near the city of Santa Clarita, which will also improve overall reliability by adding a second connection to the Castaic Power Plant in L.A. County.

Located at Castaic Lake, the Castaic Power Plant serves as pumped storage for solar and wind energy and is vital to integrating the renewables into the electric grid.

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EU ProSun accuses Chinese PV manufacturers of 'massive violation of EU trade deal'

European solar industry initiative EU ProSun said on Thursday that it had submitted more than 1,000 pages of documentation to the European Commission’s directorate-general for Trade containing some 1,500 alleged proposals by Chinese solar companies offering prices below the minimum level agreed by the EU Commission and China.

EU ProSun President Milan Nitzschke said: "EU trade rules are being systematically violated by Chinese manufacturers."

Nitschke, who also serves as marketing and communications chief of SolarWorld AG, which has led the anti-dumping and anti-subsidy campaigns against Chinese PV manufacturers on both sides of the Atlantic, added: "Dumped Chinese solar products continue to flood the EU market, destroying European industry and jobs. The Commission must act fast to stop these violations and implement sanctions."

The EU imposed anti-dumping duties on Chinese solar imports last year after dozens of European solar companies folded, unable to compete with state-subsidized rivals from China.

"In order to circumvent these duties of around 50%, over 100 Chinese solar manufacturers offered the EU a contractual undertaking to only import above a minimum price of €.056 per watt,” EU ProSun said in a statement. "The European Commission and the European Council agreed to this minimum price offer. However, it is obvious that Chinese companies are neither paying duties nor observing the minimum price agreement."

Nitzschke stressed that the contract between the EU Commission and the Chinese companies clearly states: "The affected manufacturer will be barred from the minimum price agreement for even minor violations of the requirements. The duty of around 50% of the import price is then due immediately."

EU ProSun said this duty has to be paid by the European importer, even after the fact when applicable, and added that in the case of grave customs violations, criminal prosecution was also possible.

The lobby group is calling for the entire minimum price agreement between the EU and China to be reviewed.

"The minimum price agreement that the European Commission negotiated with China is unworkable," Nitzschke argued. "There is still no end in sight for Chinese dumping and the EU must impose duties across the board in the face of such illegal and flagrant trade violations."

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Chile inaugurates Latin America's largest PV plant

Chilean President Michelle Bachelet on Friday inaugurated the largest PV power plant so far in operation in Latin America.

Located in Chile's Copiapo municipality, the $250 million Amanecer Solar CAP plant has 100 MW of total installed capacity -- the amount of energy consumed each year by approximately 125,000 Chilean homes, or equivalent to 10% of the renewable energy generation capacity goal established by the Chilean government for 2014.

SunEdison developed, built and interconnected the installation under an offtake agreement with Chilean mining and steel giant CAP Group.

Located 37 kilometers from Copiapo in the Atacama Desert, the plant has more than 310,000 PV modules spread over 250 acres (101 hectares). Energy produced by the Amanecer Solar CAP plant is being injected into Chile's Central Interconnected System, lowering the net cost of grid electricity.

CAP Group President Roberto de Andraca B. said the plant would generate the equivalent of 15% of the group's energy demand.

SunEdison estimates that in its first year of operation, the plant will inject 270 gigawatt hours of energy into the system. (The same amount of energy using diesel would require more than 71 million liters of fuel, SunEdison points out.)

"This project has changed the course of renewable energy development not only in Chile and Latin America, but throughout the world," said SunEdison President and CEO Ahmad Chatila. "Amanecer Solar CAP has become a benchmark for SunEdison in how to develop photovoltaic solar energy on an international level."

Jose Perez, SunEdison's president for Europe, Africa and Latin America, added: "This plant demonstrates that photovoltaic solar energy is an ideal way of diversifying the energy matrix in Chile, reducing costs and contributing towards meeting the demand for clean and sustainable energy. SunEdison has now interconnected 150 MW in the Atacama Desert - the 100 MW Amanecer Solar CAP plant plus a 50 MW power plant in San Andres - and this is just the starting point."

CAP Group General Manager Fernando Reitich added that the Amanecer Solar CAP plant was "a concrete example" of the company’s strategy to use technologies and practices that are compatible with the environment and neighboring communities. "We believe that this style of mining is part of a business vision that allows for the development of our present and future activities," Reitich added.

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Cyprus welcomes 'new era' of international cooperation on renewable energy between island countries

In a sign of the growing significance of renewable energy for Cyprus, the country's president, Nicos Anastasiades, addressed attendees of the recent Renewable Energy Applications for Island Tourism conference, stressing that "establishing and enhancing energy cooperation with neighboring countries is one of our top priorities."

Organized by the International Renewable Energy Agency (IRENA) and the Cypriot government, the event, which took place May 29-30, presented a wide variety of renewable energy applications and solutions for island nations burdened by the high costs of imported fossil fuel and isolated power grids but blessed with great clean energy potential.

Anastasiades told the audience of international policymakers, renewable energy industry representatives and government officials that closer energy cooperation with neighboring countries was of the utmost importance for Cyprus, which, as a small island nation in the Eastern Mediterranean, has an energy system isolated from the European and regional grids and remains  dependent on expensive energy imports.

IRENA established the Global Renewable Energy Islands Network (GREIN) in 2012 as part of its Malta Communique in an effort to pool knowledge, share best practices and find innovative solutions for the accelerated uptake of cost-effective renewable energy.

Some 120 guests and participants from around the globe, including representatives from as far away as Fiji and Tonga, attended the event, held at the Aphrodite Hills Resort Hotel near the city of Paphos.

"I have no doubt that through the discussions held and the resulting exchange of knowledge and best practices, this important event has already ushered a new era of bilateral, regional and international cooperation on renewable energy between island countries and territories, all over the world," Anastasiades said.

The president added that "by highlighting the significance of the contribution of renewables to the tourism sector, the workshop is actively supporting the ongoing efforts made by such countries, including Cyprus, in introducing and accelerating the deployment of renewable energy sources in their energy mix. Our shared vision is that through IRENA networks and support, the private sector will be greatly facilitated in developing the viable business models necessary to expand the energy market in the crucial tourism industry."

Cyprus became a member of IRENA’s Policy and Strategy Committee in 2011 and this year it was selected as a council member of the agency. Cyprus has also been a GREIN member since the network’s inception in 2012.

Pointing out that Cyprus enjoyed more than 300 days with 75% of sunshine annually, the president added that the country had the highest solar heating capacity installed per capita of all European countries, with approximately 93% of households and 53% of hotels being equipped with solar water heating systems.

The "accelerated deployment of renewable energy sources, in conjunction with tourism activities, can play a pivotal role in overcoming our country’s current economic troubles," Anastasiades stressed.

The president said Cyprus’ trajectory targets on renewable energy sources had already been met and exceeded, adding that the country’s new National Action Plan set even higher renewable energy penetration targets.

Cyprus' 2020 target calls for a 13% renewable energy sources contribution to its gross final energy consumption. With a current renewables share of about 9% (160 MW), the country is well on its way to achieving the goal.

Anastasiades said the success of the country’s renewable energy policy relied on three main pillars:

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