The global solar energy sector is facing the brunt of dwindling imports of vital materials as export countries grapple with the Covid-19 pandemic.
The Solar Energy Industries Association (SEIA) warns first-impact countries such as China, Malaysia, Vietnam, Singapore, Thailand and South Korea have shrunk operations, creating a shortage of construction items used to create solar panels and arrays.
President and CEO of the SEIA, Abigail Ross Hopper, announced the pandemic and the subsequent production setbacks “have been impacting the ability to finish projects on time.”
She said: “It is evident that the Covid-19 pandemic is taking a toll on our industry. We are getting reports from our members about supply chain disruptions, project delays, sales challenges and more. It is clear that companies will feel the effects of these market disruptions.”
Addressing the issue of strained network of suppliers for solar material and likely increase in the dwindling tax benefits, she added: “It is possible that companies could be unable to meet project delivery deadlines, which could change the tax treatment or eligibility for state incentives for those projects.
“We are looking into this and other implications at the federal and state level and advocating for policies as appropriate to accommodate the unexpected delays and detrimental impacts our industry is facing.”