Potential funding threats place solar-related jobs at risk, according to Solarhandwerk. - Solar artisan faces potential job loss threat due to potential issues
In a recent development, the German Economy Minister, Katherina Reiche, has proposed ending feed-in subsidies for new small rooftop solar systems, citing their profitability in the market due to falling costs[1][3]. However, this move has sparked concern within the solar industry, with fears that it could slow down the adoption and investment in solar energy, potentially leading to job losses and hindering Germany's climate and renewable energy targets[1][3].
Industry groups like BSW-Solar and the German Solar Energy Society (DGS) strongly oppose subsidy removals, emphasizing the importance of feed-in tariffs (FITs) for maintaining steady growth and investor confidence, particularly for small-scale solar that drives significant local job creation[1][2]. They argue that the proposed cuts could disrupt the momentum of rooftop solar adoption, leading to fewer new projects and thus potential job losses in the installation, maintenance, and supply sectors[1][2][3].
The European solar market is currently experiencing its first growth slowdown in a decade, partly due to subsidy reductions and policy uncertainty in key countries, including Germany. This added pressure on solar jobs and industry expansion could be exacerbated by subsidy cuts, further jeopardising Germany's renewable energy ambitions[4].
Despite this, Minister Reiche has suggested that PV installations should be connected to storage, participate in the market, and sell their electricity[5]. This shift towards market-based solutions could help alleviate the financial burden on the government while maintaining the growth of the solar industry.
The Institute for Employment Research estimates that around 160,000 additional workers will be needed in Germany by 2030 to expand renewable energies such as wind and photovoltaics[6]. However, the solar industry is facing a workforce shortage, with skilled workers leaving the industry, making it difficult to get them back once they leave[7].
The potential subsidy cuts have left many consumers uncertain about their solar projects, causing some to postpone their decisions[1]. This uncertainty could further hinder the growth of the solar industry and delay Germany's transition to renewable energy.
In summary, the proposed subsidy cuts for small-scale solar systems could impact jobs in solar installation, manufacturing, and related services. Industry groups warn that these cuts threaten Germany’s climate and renewable energy targets, indirectly risking green job growth. The current debates highlight the tension between government budget priorities and the need to sustain a stable solar market to preserve jobs. Maintaining or clarifying subsidies and investment frameworks is crucial to continue job growth in Germany's solar sector[1][2][3][4].
