Solar glut hurts Origin’s US j/v
A global oversupply of solar panels could force Origin Energy to write down the value of its US joint venture, valued by the company at A$134 million.
Origin said this week that its Transform Solar 50/50 joint venture in the US with Micron Technology had discontinued production of photovoltaic modules in Idaho due to the global glut.
The market has been flooded with cheaply produced panels from emerging market economies such as China, putting pressure on producers based in countries such as the US and Germany. This has occurred as many incentive schemes for solar around the world have been wound back.
Origin said it would wind down the operations and workforce numbers in Idaho in the coming months.
Origin releases its annual results in August, and any writedown will be announced then.
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