Cuts in the federal budget: What do the savings mean for the solar industry?

Cuts in the federal budget: What do the savings mean for the solar industry?

According to a report by www.photovoltaik.eu,

The German federal government is planning drastic cuts in support for the solar industry next year. According to Federal Minister of Economics Robert Habeck, spending from the Climate and Transformation Fund (KTF) should be reduced by 12.7 billion euros. This will also have an impact on the construction of new solar factories, as planned funding for lighthouse projects will be affected. The German Solar Industry Association (BSW Solar) warns of a setback for the solar industry and is calling for alternative funding measures.

12.7 billion euros less: These cuts have far-reaching effects on the solar industry. Funding for flagship projects to increase industrial production capacity in the photovoltaic sector would be affected, meaning a decline in investment and a setback for the industry. The planned savings endanger the competitiveness of the solar industry in Germany.

Rescue through alternative funding: BSW Solar proposes introducing time-limited funding measures for the use of European components in order to compensate for the planned savings. This would not cause any additional costs and would strengthen the domestic market. This could reduce continued dependence on deliveries from the Far East.

Market Outlook: Cuts in support for the solar industry are expected to lead to a decline in investment and industrial production capacity. If alternative support measures are not introduced, the competitiveness of the German solar industry could be seriously damaged. It remains to be seen whether the planned measures to compensate for the cuts will be implemented and whether the expansion of solar energy in Germany can be continued as a result.