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Brian Keane

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New Job Growth Numbers Tell the Larger Story of Solar

Posted: 09/20/11 11:40 AM ET

Let's face it: Solyndra wasn't a winner. But it was the company's inability to keep up with rapidly declining solar panel costs -- not its focus on clean energy technology -- that led to its demise.

Nevertheless, the associated job losses and pique of political scandal have overshadowed the real story of the U.S. solar industry. The larger picture shows that solar businesses are growing -- and creating boatloads of jobs. That claim is backed up by preliminary data from The Solar Foundation's National Solar Jobs Census 2011.

As of August 2011, 100,237 solar workers are employed in the United States. Solar is employing workers in all 50 states and across a vast supply chain. To put that in perspective: the solar industry has grown 6.8 percent over the previous year, adding 6,736 new workers in 12 months.

During that same time span, overall national employment grew by only 0.7 percent. The fossil fuel electric generation industry fared even worse, losing 2 percent of its workforce. These are not insignificant numbers -- and all policy makers would be wise to study them carefully.

Unlike the negative conjecture by pundits about the state of the U.S. solar industry, The Solar Foundation's stats are a real snapshot of the industry. (And they're backed by social science researchers at Cornell.) They're also backed up by countless industry success stories. Take solar installation firm SolarCity, which currently employs more than 1,200 people in 11 states. It will create jobs in an additional 22 states thanks to an agreement with the Department of Defense to install 160,000 rooftop solar installations on military housing complexes at 124 military bases across 34 states. The company hopes to fill many of those jobs with veterans and military family members.

Of course we can't forget Sungevity, which just inked a deal to double its workforce. Sungevity founder Danny Kennedy told me recently that all these reports about the death of the solar industry are greatly exaggerated, especially in light of the Solar Foundation's new numbers: "What other industry in America with over 100,000 employees grew at nearly 7 percent year-on-year, while the rest of our economy was doing a dead-cat bounce? The solar industry is one of a few bright spots in America's employment landscape."

Rooftop solar installations are just the beginning. Utility-scale solar provider BrightSource is constructing a solar power plant in the Mojave Desert, a move that will create demand for skilled construction workers. These types of development create jobs along the supply chain, reinvigorating manufacturing companies that had previously supplied parts to older, declining industries.

Meanwhile, the American solar manufacturing industry is holding its own in a competitive global market. America continues to be a net exporter of solar technology -- to the tune of $1.9 billion in 2010. Across the country, solar manufacturing centers are emerging. In the Southwest, SCHOTT employs more than 500 at its flagship factory in Albuquerque, N.M., while Suntech Power employs more than 100 at its factory in Arizona. Other firms -- Hemlock Semiconductor in Michigan, and Wacker Chemie in Tennessee -- prove that solar jobs are growing across the country.

So, yes: Solyndra wasn't a winner. It's disappointing when any American business doesn't make it and jobs are lost. But one isolated case just can't paint an accurate picture of an entire industry. Let's tone down the rhetoric and focus on the data -- and the success stories -- that are abundant in the U.S. solar industry. These should be what guide policy makers and the American public.

Brian Keane is the President of SmartPower, a non-profit marketing organization funded by private foundations to help build the clean energy marketplace by helping the American public become smarter about their energy use.

 

Follow Brian Keane on Twitter: www.twitter.com/SmartPower_org

Let's face it: Solyndra wasn't a winner. But it was the company's inability to keep up with rapidly declining solar panel costs -- not its focus on clean energy technology -- that led to its demise. ...
Let's face it: Solyndra wasn't a winner. But it was the company's inability to keep up with rapidly declining solar panel costs -- not its focus on clean energy technology -- that led to its demise. ...
 
 
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01:04 PM on 09/22/2011
Anybody know of high-profile GOP politicos going on the record supporting renewables? I'm curious.
01:59 PM on 09/21/2011
Photovoltaic production in the US is circling the drain. I/we don't like that, and we can try to stop/reverse that trend, but it doesn't look good.

Your job numbers clearly include large-scale thermal-solar, which is still pretty $$ per-watt, and is less likely to be improved greatly by technological innovation.
09:38 AM on 09/21/2011
The focus after reading this article should not be just solar, solar, solar. The fact is the entire renewable/green energy sector created jobs right through the 2008 crash, and continues to create jobs today. Solar is not the end all answer to all job or energy concerns. Developing and promoting all forms of renewable energy, and cutting ourselves from as much foreign fuel as possible is a goal of everyone. Check out The On Project, so learn about just one fast growing new energy source, and keep up with all kinds of other info. http://tiny.cc/mhfqh
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Malcolm Hensley
Last of the Reagan Republicans
11:35 PM on 09/20/2011
So Brian, I understand leading a non-profit solar energy marketing firm in these times is tough but using Sungevity as an example does not inspire confidence in many of us about future jobs in solar.

What are we to become a nation of installers of Chinese made solar cells? Excuse me but I really don't see this as a good thing!

And isn't the point of solar - clean energy?
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Malcolm Hensley
Last of the Reagan Republicans
11:35 PM on 09/20/2011
Between the pollution of making them:

http://www.huffingtonpost.com/2011/09/20/jinko-solar-holding-company-toxic-waste-cleanup_n_971419.html

And all the NF3 being released, you know that greenhouse gas growing at leaps and bounds, 17,000 times stronger than CO2, long lived 500+ years:

http://ewasteguide.info/biblio/nf3-greenhous

And finally taking a swipe at Solyndra! Let's face it they lost even with better technology not because they were a loser. They lost because the Chinese knew that with lot's of cheap subsidized dirty coal energy they could melt sand/silica in intensive energy electric arch furnaces and under cut the competition.

It's a winning formula for fast developing nations, use cheap dirty coal while industrial nations saddle their manufactures with restrictions on fossil fuel usage.

Between 1980-2000 the industrial nations and developing nations used about the same amount of coal approximately 45 quadrillion BTU's. However between 2000-2008 while the industrial nations actually reduced their usage of coal (explains the loss in jobs in the fossil fuels generation maybe a lot more besides) the developing world DOUBLED their usage of coal!

Look the only viable way for the U.S. to go green and the rest of the planet with us is to impose an environmental tariff on products sold here based on the manufacturing, transportation, and sustainability of those products.

If we truly have man-made climate change our current trading practices seem to be the express train to this change!
10:28 PM on 09/20/2011
If the solar industry is doing so well, why is Bill "the rapist" Clinton saying they need more money forced into the industry ? Japan has to import almost all their energy, and they have not found solar to be a viable alternative. As others in these comments have stated, without the subsidies of tax credits and regulations forcing utilities to give incentives, this industry would probably would not be growing. And the Democrats in Congress recognize that the industry is a losing proposition. If it really was a viable energy source the Democrats would have made available 100% tax credits for people to install solar devices, instead of the measly $1500 limit and other small limits.
07:04 PM on 09/20/2011
Missing from the article is that the solar companies get 30% of the cost (up to $2,000 per installation) from the federal government to help fuel consumer demand. Without it, how many of those 6,736 would have been created? It doesn't sound like much of an increase anyway.
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fireofenergy
Promote freedom AND science
05:55 PM on 09/20/2011
No!
Don't "buy American" solar panels unless "American" is less expensive.
Solar can not (yet) afford nationalistic idealism.
On the other hand, EVERYTHING ELSE should have a trade tariff slapped on it (if we are to even have a hope of future prosperity). An unlimited supply of really cheap (but must be quality) Chinese panels would virtually guarantee thousands of square miles of install jobs, thus helping with the energy, enviro and economic problems.

It is a shame that our leaders and corporations purposely seek to get rid of jobs. It's a shame that they won't develop robotic factories that make all the parts including batteries 24/7 for (almost) free. It's also a shame that they developed the worst possible kind of nuclear out of many different meltdown proof reactor designs the don't spit out much wastes...

Only through robotic manufacture (anywhere) could solar ever be cheap enough to create real jobs (without subsidies) and do any real good.
05:02 PM on 10/01/2011
Really??? Have you ever been inside of a solar manufacturing plant??? I work for the largest solar manufacturing plant in the US, we do everything from the silcon rock all the way to assembly of the module. Our factories are SO automated that we have almost 1 million sq. ft. of production floor, we run 24/7 and still only have 400 operators!! I challenge you to go to any solar manufacturing plant in China and you will see over 1,200 operators in their plants, I know, I have been to several plants in China that are this way!
How can we compete with China when their goverment gives solar companies billions of dollars in intrest free loans, free land and free electricty for their plants and not to mention they pay their workers $12.00 a day!!!??? How can anybody compete with that unfair advantage???
Our state senator here in Oregon is actually trying to SAVE jobs by places tafiffs on China because of this unfair advantage, we are trying to build american and keep american jobs at the same time using a highly robtic plant, I could gladley show you pictures of exactly how robtic it really is!!
So, I am sorry but I completly disagree with you here, BUY AMERICAN!!!
05:21 PM on 09/20/2011
One thing that would be helpful to the US green energy industry would be fror the Govt to require "buy American" for all taxpayer suppored projects such as the solar panels on military bases.
05:18 PM on 09/20/2011
One important piece of data left out of the increase in green jobs is the tens of billions of dollars spent in the form of Govt subsidies and the state regs requiring a certain percentage of green power. Latest estimate is the Dept of Energy spent about $600,000 per green job created. Wonder what the green jobs number would be without taxpayers subsidies?
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morshan
Freedom allows progress
02:07 PM on 09/20/2011
I am blessed to be part of the solar industry. It is amazing that this country gives the fossil fuel industry between $800B to $1T a year in subsidies and can barely eek out a few billion for a growing industry. That aside Solyndra was a nontraditional solar company and a risky investment. The USA is so far behind in the solar industry I can understand the thinking that a risky investment might be the only way to go because traditional solar companies have the risk of slim margins competing against the Chinese and other low cost players. However, it should be notes that both First Solar and Sunpower are world leaders in solar and are based in the USA. Their solar devices however, are built all around the world. The USA has been a place for innovation, high cost high profit manufacturing and then move the manufacturing to a low cost producer as products become commodities. . Many of these jobs are companies from China, Germany, Spain, Korea and Japan selling their advanced products here. It is interesting that the commodity products are coming back, for now.
Genders
Love, Tolerance, Enlightenment
05:20 PM on 09/20/2011
FF.
07:10 PM on 09/20/2011
18 cents go to the fed for each gallon of gas purchased. Up to $2,000 is given out for each solar panel that is installed. Now exactly what subsidy to the oil companies are you talking about?

The U.S. would be the leader in solar panel production if the environmentalist would allow us to mine rare earth minerals. This is the stupidity of the green movement. You can only get rare earth metals in China because as greenies champion solar, they don't allow mining. So China get the industry, and dare I say the jobs. The greenies are shipping our jobs overseas.
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morshan
Freedom allows progress
11:49 PM on 09/20/2011
We give the fossil fuel companies $50B in subsides for drilling, transportation, storage, etc. We spend $300-$500B on health and environmental issues. Most of that is actually repairing the earth and river ways. $100B-$300B is protecting our oil interests in the middle east. We can argue that, but we all have the sun. What rare earth metals do the Chinese have? Silicon? Iron? Heck the northern Mexico, southwest we have tons of the stuff. And the $2000 a solar panel? You are somewhere between 50% and 60% too high and that is going down dramatically every month.

The problem isn't the jobs overseas, we are building mostly commodity goods there. The problem is that the previous administration slashed and burned our science budget. Now innovation, what really made the USA, happens more overseas and that is what has caused the issues we face today. I guess fighting Iraq and Afgan was money well spent.
01:07 PM on 09/20/2011
this does not mean another US company can take over Solyndra and make it profitable . all the Solar panel do not need to come from china .
Genders
Love, Tolerance, Enlightenment
05:32 PM on 09/20/2011
Here's the list. http://solarcellcentral.com/companies_page.html
first solar has one of the lowest prices 2.5$ installed per Wp.
01:00 PM on 09/20/2011
Thanks for highlighting the National Solar Jobs Census. Another study came out by Pike Research that also gets me thinking (kinda like George Wallace). This one shows how competitive purchases of electricity by commercial and industrial users could spur growth of green energy. This is also another example of how a prediction by Al Weinrub of decentralized clean energy may come to pass.
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Scholastica8
PEOPLE MATTER!
11:23 AM on 09/20/2011
Certain elements want to focus on the non-success stories of the solar industry and paint a picture that it is all a dead end. They hope to score points against Obama, against environmentalists, against those who believe in science and climate change, against anything that is not fossil fuel and the American Way. They don't really care about global advances in solar, geothermal, wind. They would rather see the US ride the fossil fuel Titanic to the bottom because they are stuffing their pockets with the money and jewels of trapped passengers, while they have a private life boat ready and waiting.
Genders
Love, Tolerance, Enlightenment
05:41 PM on 09/20/2011
FF. Those same certain elements, the corporatist sellout GOP/Tea want to ignore the world wide disasters of nukes, and fossils too! Or the 50% Nuke power default rate, or the 54B$ in loan backs to nukes.
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fireofenergy
Promote freedom AND science
06:04 PM on 09/20/2011
And I thought my "...into fossil fueled depletion" was good!
Keep up the good work!