TEMPE, Ariz.--(BUSINESS WIRE)--Robert Kaapke, CEO of Evolution Solar Corp. (Pink Sheets: EVSO), makes the following observations:
The solar industry has gone through a recent shakeout with most major Solar companies' stock prices down 60%, which includes the largest players by market cap, First Solar (NASDAQ:FSLR), SunPower (NASDAQ:SPWRA), LDK Solar (NYSE:LDK), Suntech Power (NYSE:STP), and Energy Conversion Devices (NADSAQ:ENER). Naysayers are pointing to a bad economy, poor financing options, the value decline in the euro, and anything else they can think of, however there is a light at the end of the solar tunnel.
Home owners, businesses, and now utilities are beginning to enjoy great tax benefits from solar investment. Florida Power and Light and Pacific Gas and Electric (NYSE:PCG) recently announced large solar investments. Alternative energy companies are enjoying strong public support and a recent poll from Zogby found that 78% of voters favor investment in clean energy as a way to revive the U.S. economy.
Bill Roth of Entrepreneur.com recently attended The West Coast Green Conference held in San Jose, Calif., which is a showcase for green technology companies and the people who finance them. Bill came away with the following observations: 1. There is an explosion of new green products. 2. Business is booming. 3. Prices are getting competitive. As the world yearns for fossil fuel price relief and ways to achieve lower greenhouse gas emissions, over the next 10 years the revolution is estimated to grow into a trillion-dollar annual economy.
My conclusion is that there will be many mergers and takeovers as solar companies work hard to improve on their economies of scale and technology. Credit has already eased, the economy will show improvement as the new green administration takes control, the new tax credits make the U.S. a strong target for growth, and electric utilities continue to tack on double-digit rate increases. Evolution Solar Corp. is currently filling purchase orders for high-output panels, is eyeing several merger candidates, has purchased Synergy Design and Development Co., based in Shanghi, opened a second office in Xiemen, hired a very talented individual to run Asian operations, and announced a new 300 watt panel. Our future is bright.
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