For two billion euros: Solar companies want to build up photovoltaic production in Germany

Chinese manufacturers dominate the European solar industry. Now three German companies want to invest in their own production – if the federal government takes over most of the costs.

The three solar specialists Heckert Solar, Wattkraft and Interfloat want to set up their own photovoltaic production in Germany, from cell production to the solar module. The companies announced on Wednesday that they had now applied for funding from the Federal Ministry of Economics. Advertisement

"We've been producing exclusively in Germany for 20 years and we're good at it. But we can't sell at the prices of Chinese manufacturers," said Markus Träger, head of technology at Chemnitz module manufacturer Heckert Solar, to the Handelsblatt.

The European solar industry is currently completely dependent on the market leaders from China. Only a few companies are still producing in this country. Heckert Solar from Chemnitz, for example, manufactures its modules in Germany, but the cells come from China. That should change.

One person alone cannot survive in the industry against foreign market suppliers, said Träger. That is why they have formed a consortium and are hoping for funding from the Federal Ministry of Economics.
According to the three solar companies, the plans would cost almost two billion euros. The federal government would have to take on most of it. Then, according to Träger, 90 percent of the value chain in Germany would also be mapped.
Production could start in 2026. Locations have already been decided. Heckert Solar wants to expand its existing production hall in Langenwetzendorf, Thuringia, to a total of 2.8 gigawatts per year. In Frankfurt (Oder), the inverter manufacturer Wattkraft would set up cell production, including polysilicon production and wafer production, each with a volume of five gigawatts per year.

Interfloat, the last remaining solar glass manufacturer in Europe, wants to expand its location in Brandenburg. The German company was taken over by the Indian competitor Borosil at the end of last year.

Photovoltaics in Germany: great interest in solar subsidies
Two months ago, Economics Minister Robert Habeck (Greens) announced subsidies for the construction of solar factories in Germany. "Germany and Europe need their own substantial production capacities for central transformation technologies, for example for wind turbines, solar systems, electrolysers and batteries," explained Habeck. This is not only an economic question, but also one of reason and necessity in terms of security policy.

As a first step, the ministry initiated a procedure for expressions of interest in order to find out which companies would like to set up or expand production capacities. Subsidies are then to be distributed in auction procedures. First of all, the size of the auctions should be limited to 10 to 20 gigawatt projects and three to four consortia,
it said. According to information from the Handelsblatt, however, the number of applicants should now be in the two-digit range. According to industry circles, the Chinese company Longi has also applied for funding.

"At the prices at which Chinese competitors are currently selling, we can't even procure the material," said Heckert's technical director, Träger. The government's commitment to Germany as a business location is needed. “Europe should have an interest in being independent. The technological lead is currently in China,” explained the manager. Appropriate funding is needed to change that. After all, these are also available in China and the USA, said Träger. Heckert Solar submitted its application for funding on Tuesday. You have already received an acknowledgment of receipt. The first content-related feedback should be available by autumn. More: "We're running out of time": That's how big the China risk is for the solar industry

Original link: https://amp2.handelsblatt.com/unternehmen/energie/heckert-solar-wattkraft-interfloat-solarfimen-wollen-photovoltaik-produktion-in-deutschland-aufbauen/29335070.html
First publication in German: 08/16/2023, 4:52 p.m by Kathrin Witsch

17.08.2023, Handelsblatt/Germany

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