Subsidizing solar power manufacturers is no guarantee of success

In the early 2000s, as part of an effort to reduce greenhouse gas emissions, many US states and cities expanded subsidies for solar power manufacturers, which led to a growing industry. But by the early 2010s, many previously successful companies had gone bankrupt. Joan Fitzgerald writes that these companies were largely undercut by China’s solar industry which dumped its products on the world market at below-cost prices. Rather than providing subsidies, she argues, cities and states should promote solar adoption through power purchase agreements, renewable energy zones and community generation.