Over a year and a half ago, Japan brought its grievances against FiTs in the Canadian province of Ontario to the World Trade Organisation (WTO). The EU has now joined the fray and the WTO Dispute Settlement Body has committed itself to establishing a panel to hear the EU’s claims against the apparent discriminatory nature of Ontario's FiTs. Formal panel proceedings, however, are not expected to start before the end of March.
Major polycilicon producer, Wacker Chemie saw an abrupt demand decline in the fourth quarter of 2011 as PV customers reduced inventory levels and cancelled contracts due to some customers exiting the industry. Polysilicon spot prices fell below Wacker’s long-term pricing levels for the first time in many years, sparking price renegotiations.
Continued restructuring, inventory sell-off and higher than expected price declines in the fourth quarter, further impacted fourth quarter and full-year financial results at Conergy. Preliminary revenue results were reported to have reached €755 million in 2011 but losses are expected to be in the range of €80-€85 million, higher than previously guided losses of €50 to €55 million. Operating cash flow was said to be positive in the fourth quarter.
According to Algerian newspaper El Watan, Edielec is to open a 12MW manufacturing facility producing about 54,000 solar modules annually. The plant is to become operational in March.
Investment companies are continuing to investigate opportunities in emerging markets, one of which is Ghana, which is being studied by a Korean company with a view to investing in the company’s solar market. The Ghana Energy Commission and Halla Energy and Environment, a Kyonggi-do, South Korea-based EPC company, have been in discussions to establish a framework under which the latter could invest in the development of 300MW of solar energy in the country.
Financially challenged Q-Cells said it will restructure its finances in 2 key steps to avoid payment defaults to bondholders. The company confirmed 2011 revenue forecast of around €1 billion but said total losses for the year had yet to be concluded. Q-Cells guided a further decline in revenue in 2012 to approximately €865 million. A return to profitability was not expected until 2014, though this would only occur should all three outstanding convertible bond renegotiations prove successful.
Struggling Dutch module manufacturer, Solland Solar said it was forced to drastically reduce its remaining operations after the successful sale of its solar cell production facility, due to tough market conditions. Both its commercial and module assembly operations are being curtailed, without providing details, affecting approximately 100 employees.
MEMC has been forced to lower fourth quarter revenue guidance, just over a month after revisions were made as the company announced a major restructuring effort due to lower than expected PV project interconnections carried out by project developer subsidiary, SunEdison. MEMC revised revenue to be in the range of US$698 million to US$733 million, compared to December, 2011 guidance of between US$789 million to US$861 million.
Tensions in German chancellor Angela Merkel’s government continue over the future of feed-in tariffs. Economy minister Philipp Roesler is calling for an overhaul to the country’s subsidy system for renewable energy, created in the 1990s to ensure the clean-power industry remains competitive.
Better than expected revenue figures have been reported by aleo solar, though previously guided losses of €25-€30 million are still expected for the full-year 2011, according to the company. aleo solar had previously guided revenue to be in the region of €440 million but this has been raised to €462 million, down 17% compared to 2010 revenue of €554 million.
