Duke Energy sent a letter to the ITC opposing an injury finding in the solar trade case. Alex Hobson, senior communications manager for SEIA, said it’s a big deal that utilities are clearly on the solar industry’s side in the case.
The letter signed by Diane V. Denton, managing director, federal policy for Duke Energy, details the harm an injury finding could inflict on the solar industry:
“Competitive module pricing has driven the robust growth of solar generation across the country, both for our company and the power sector at large. Historically, demand for solar modules has responded directly to its relative market price and modules typically represent 25% to 30% in the overall installed cost of solar generating capacity. In the event that imported CSPV modules are subject to an artificial floor price or significant import tariff as requested by the petitioners in this case, the module market, and therefore Duke Energy’s plans to procure modules, will likely be significantly disrupted. If such a remedial floor price or tariff is imposed, we expect that the installed cost of solar projects will increase 30% or more and that demand for modules would contract, perhaps even precipitously. As solar energy is just approaching parity with the traditional grid resources in a number of states, a significant reduction in demand for new solar projects could deliver a serious blow to continuing development and evolution of this market.”
Click here to read the entire letter.