Evergreen Solar sees demand plunge

Nasdaq-listed Evergreen Solar has disclosed preliminary information for the first quarter of 2010, revealing that its shipments have dramatically dropped compared to the previous quarter.

Shipments for the first quarter of 2011 were about 18MW at an average selling price of USD1.86 per watt, compared to the fourth quarter of 2010 where they amounted to 47MW and sold at USD1.90.

Michael El-Hillow, president CEO, said uncertainties regarding feed-in tariffs and other subsidiary programmes have substantially slowed the demand for solar panels. The UK has begun the process of reducing its FIT scheme as has Germany and Italy may now face legal battles against its plans.

"While the first quarter has historically been slow for the industry, the sluggish demand has unexpectedly continued early into the second quarter. This longer-than-expected slowdown combined with the continued worldwide capacity expansion has contributed to a significant increase in solar panel inventory throughout the distribution channel," El-Hillow said.