Reuters: German solar subsidies to fade 15 pct from 2012

An employment crisis of the rich or the poor?

Solar in Germany required less subsidy because the generation alternatives were relatively costlier and the retail tariffs relatively higher than, say, in China.

I think it's worth examining the comparative advantage - if China can produce GHG reductions for the ETS cheaper than Germany (relative to, say, some financial derivatives or loan products to PIGS), China should export GHG reductions to Germany and Germany should export loan products to China.

I wonder if that's what's happening any way! :-)
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German solar subsidies to fade 15 pct from 2012

http://af.reuters.com/article/commoditiesNews/idAFL5E7LR3J020111027

FRANKFURT Oct 27 (Reuters) - Germany's solar feed-in tariffs, subsidies the industry needs to be competitive, will fall 15 percent from 2012.

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Bonn-based Bundesnetzagentur said solar installations in the 12 months to September 2011 -- the reference period determining the size of the cut -- reached about 5,200 megawatts (MW), down from 7,800 MW in the year-earlier period.

For cuts of 15 percent, installations during the 12-month period needed to be greater than 4,500 MW, according to the German renewable act EEG. Latest available statistics had suggested a cut of at least 12 percent.

Germany is the world's largest solar market by installations and therefore a major sales market of sector bellwethers such as U.S.-based First Solar , China's Suntech , Norway's Renewable Energy Corp and Germany's SMA Solar .