now no local SOLAR manufacturers

Submitted: Thursday, Nov 20, 2008 at 09:12
ThreadID: 63676 Views:4492 Replies:10 FollowUps:21
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This morning on "Sunrise" Koshie wanted to know why the Aussie govt was prepared to spend untold Millions $$$ on the local car industry .. but.. was not prepared to assist BP Solar (only Aussie Solar manufacturer) in some way to remain a viable Solar manufacturer here in Australia ?

This move by BP was instigated 12 months ago, (I posted it on EO) so it should have been started then - not now!

Mainey . . .
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Reply By: Member - Porl - Thursday, Nov 20, 2008 at 10:22

Thursday, Nov 20, 2008 at 10:22
The issue has been flogged a bit lately, the car industry wanted the assistance, lobbied for it, begged for it, forewarned the gov of mass unemployment if not bailed out.

BP never approached the government, they didn't want assistance, they just wanted to move offshore, they are not in financial trouble, none is looming, they just decided to take an opportunity to move production offshore to pay people a fraction of what they would have to pay here so they can spend the savings on boosting production.

That was my take of the media take anyhow.

Now in my opinion the Government should have seen this coming and wooed BP with masses of incentives to keep it here. Would take someone a couple hours of economic modelling to work out an advantageous deal i reckon.

Now I suppose the cost of these panels will go through the roof for us because they'll probably be produced with renminbi, sold in US$ and then bought with AUS$ and we will wear the exchange loss as usual.
AnswerID: 336180

Reply By: DIO - Thursday, Nov 20, 2008 at 10:50

Thursday, Nov 20, 2008 at 10:50
Koshie - what a 'wally'.

I guess the automotive manufacturing industry employs a lot more people, generates far more revenue (for the Govt) and helps with balance of trade.

Not every industry should or can expect to get hand-outs from the Govt. Why should they. If they are operating at a loss due to a downturn in their markets - so be it - get out of the business while there's still some (asset) value in it.

Whatever happened to our home grown TV manufacturing (Phillips), white-goods manufacturers, toy manufacturers etc etc. No Govt hand-outs there when perhaps they should have been considered for such.

We can probably buy imported solar panels of equal or superior quality at cheaper prices that locally produced. Guess that's what it all boils down to for the consumer. SAVING MONEY - CHEAPER PRICES. Whats wrong with that. Most vehicle users on this forum probably drive imported vehicles !!
AnswerID: 336182

Follow Up By: Robin Miller - Thursday, Nov 20, 2008 at 11:36

Thursday, Nov 20, 2008 at 11:36
Hi Dio

Remember the Philips one well being first a design engineer then manager down there and after the Whitlam government did their 25% tariff reduction it slowly collapsed first by restricting model variations and slowly becoming unviable over some years.

11,000 employees went to 500.

Still everyone got cheaper tv sets and poorer performance that they never really noticed.

And the end result of BP's move will be less industry here and cheaper panels.
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Follow Up By: Dave Thomson - Thursday, Nov 20, 2008 at 14:04

Thursday, Nov 20, 2008 at 14:04
Yes Koshie, whilst I like the show it has to be said he's the most BIGOTTED, BIASED presenter I've ever seen, no its not a crime to support all things ozzie couldn't agree more, but when your wrong your wrong and he could NEVER admit that, he's an absolute twat,
sorry he gets right up my left nostril !!!
Dave
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Follow Up By: jocker - Thursday, Nov 20, 2008 at 16:21

Thursday, Nov 20, 2008 at 16:21
All that about tarrif reductions back in the 70's is history..dont dwell on it.
Howard's Gov't refused to acknowledge the potential for Solar.
So now we export our high grade silicon so we import the wafers at 100X price so a handfull of assemblers can put some panels together. Not a huge loss in the grand scheme of things so dont compare it with the Whitlam tarrif reductions. Its a policy issue of the intervening years and these are mainly John Howard's dig it up and ship it out approach.
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Reply By: ExplorOz - David & Michelle - Thursday, Nov 20, 2008 at 13:08

Thursday, Nov 20, 2008 at 13:08
Yes this was bound to happen when the Greens cut the solar rebate! This issue upsets me so I won't go on...
MM
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Follow Up By: garrycol - Thursday, Nov 20, 2008 at 18:32

Thursday, Nov 20, 2008 at 18:32
This has nothing to do with the solar rebate - this is simply a manufacturer looking to build their product for the cheapest possible price. This company will still trade in Australia.

Garry
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Follow Up By: Davo_60 - Thursday, Nov 20, 2008 at 22:16

Thursday, Nov 20, 2008 at 22:16
True, it doesn't have anything to do with the rebate. But cutting the solar rebate was still a stupid descision and gets up my nose too!!

Dave
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Follow Up By: ExplorOz - David & Michelle - Friday, Nov 21, 2008 at 21:13

Friday, Nov 21, 2008 at 21:13
My thoughts are that with no rebates, less consumers are buying solar equipment, therefore there's a smaller market for the manufacturer so they take action to keep their business profitable closing aussie operations...

MM
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Follow Up By: Member - JohnR (Vic) - Friday, Nov 21, 2008 at 22:52

Friday, Nov 21, 2008 at 22:52
Sales for solar systems took a massive nose dive as soon as the Midnight Oiler dropped the bombshell
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Reply By: Motherhen - Thursday, Nov 20, 2008 at 18:45

Thursday, Nov 20, 2008 at 18:45
The reason why people take they manufacturing off shore (to the detriment of Australia and Australian jobs) is because too many people purchase by only looking at the bottom line (price). The cheaper product gets the business - so to stay in business being the cheapest helps, being the dearest doesn't. It is consumer driven.

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Follow Up By: Gone Bush (WA) - Thursday, Nov 20, 2008 at 22:49

Thursday, Nov 20, 2008 at 22:49
You are absolutely correct MH.

I was in retail for 10 years (boy I really miss it... NOT) and people would buy the cheapest stuff possible and then whinge if it broke.

Buy quality once, paying the appropriate price, and you will have it forever.

cheers
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Reply By: Cram - Thursday, Nov 20, 2008 at 20:03

Thursday, Nov 20, 2008 at 20:03
BP have made it clear that they are not looking for a handout. Their decision is purely related to business. That is solar panels can be made cheaper in other areas.

I remember when I purchased my panel a little while ago Derek Bester was selling both BP and his brand and his brand was considerabally cheaper.

So once again TV does its spin, but the fact is BP does not want to make solar panels in Oz any more.

AnswerID: 336271

Follow Up By: Maîneÿ (wa) - Thursday, Nov 20, 2008 at 22:11

Thursday, Nov 20, 2008 at 22:11
Cram,
You have to be joking don't you!!
Where is the panel you bought actually made ?

Compare these following relevant numbers to your purchase

80 Watt Specifications:
Max. Power: 80 Watt
Max. Power Voltage: 17.2 Volt
Max. Power current: 4.65 Amp

~$207 per Amp

This panel NOT made in Australia !
…………………………………………………..

80 Watt Specifications:
Max. Power: 80 Watt (Warranted minimum power 76 Watt)
Max. Power Voltage: 17.6 Volt
Max. Power Current: 4.55 Amp

~$154 per Amp

This panel is the BP Solar panel

Mainey . . .
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Follow Up By: Cram - Friday, Nov 21, 2008 at 08:03

Friday, Nov 21, 2008 at 08:03
The panel I purchased is not made in Australia. Ask Derek why he imports panels?

The figures you bandy around tell me diddly squat. What they may simply reflect is that the retailer is making more profit on what already is a cheaper item to produce.

It is a fact, if you bother to read factual information rather then listen to sensationalised TV that BP DOES NOT WANT TO MAKE PANELS IN AUSTRALIA.....

"The British energy group will shift its manufacturing operations offshore to lower costs."

http://business.smh.com.au/business/bp-shuts-sydney-solar-plant-20081118-69la.html

"Production of the solar panels will be shifted to "lowest cost manufacturing countries", BP Solar said. The company makes panels in India, China, the US and Spain."

"The company said lowering production costs would bring down the cost of solar power for consumers.

http://www.news.com.au/business/story/0,27753,24669280-31037,00.html



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Follow Up By: Cram - Friday, Nov 21, 2008 at 08:22

Friday, Nov 21, 2008 at 08:22
A 80watt BP Panel at Solar On Line is $735 with a quoted retail price on $902.

A 80watt panel at ABR is $695.00
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Follow Up By: Maîneÿ (wa) - Friday, Nov 21, 2008 at 09:26

Friday, Nov 21, 2008 at 09:26
Cram,
shows just how easy it is to change information on a website :))

Link to BP panel @ $699 or $154 per Watt

You say the numbers mean 'diddly squat' to you, I'm not sure if you refer to the price or the Solar panel performance numbers ?

Mainey . . .


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Follow Up By: Cram - Friday, Nov 21, 2008 at 12:19

Friday, Nov 21, 2008 at 12:19
I am not arguing with you about quality etc and I understand your point about keeping jobs local but from what I read and what I heard on the ABC radio BP does not seem interested in making panels in Australia.

At the end of the day its about their decision to make them in countries such as India. Whether the product remains the same will be up to them but what is certain is that they are after profit and will go whereever they can to get it.

The figures you gave don't seem to be much different in terms of output. Just for my information how did you work out the $$ price. What I can draw from your figures and your link is that if you shop around you can find the BP panel cheaper again highlighting the mark up that must be on the panels in the first instance.

As I said I have no argument with your sentiments but the way I hear it and read it BP is happy to walk out of manufacturing in this country. They won't be the first and unfortunately won't be the last.

For the record I purchased a 100 watt fold out panel. The reason I chose the one I did in comparison to a BP was that overall it was cheaper, in that I got leads, regulator etc with the panel. Also I trust Derek and was satisfied with his assurances of reliability etc of the panel he was selling.

Anyway an interesting topic and interesting replies as is always the case on Exploreoz!

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Follow Up By: Maîneÿ (wa) - Friday, Nov 21, 2008 at 12:34

Friday, Nov 21, 2008 at 12:34
Cram,
you ask: "Just for my information how did you work out the $$ price"

The present (10.30am WA time) price on the net is $1195 for the 100 Watt bi-fold panel system, it works out at $206 per Amp.

Funny how the 80 Watt I quoted yesterday worked out at similar price per Amp ($207)

Work it out-> $ / Amps = price per Amp

Mainey . . .
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Follow Up By: Cram - Friday, Nov 21, 2008 at 12:41

Friday, Nov 21, 2008 at 12:41
You can't really compare the 100watt out from the quoted price as it is not just the panel that price includes regulator cables, anderson plugs etc.

You can quote retail prices till the cows come home. That is the cost to us. What BP is interested is bottom line so unless you know the exact $$ cost of manufacture the figures give no indication of BP's agenda.

What your figures show is the mark up on these panels and the fact that they will be sold for an inflated price no matter what the cost of manufacturing is.
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Reply By: Best Off Road - Thursday, Nov 20, 2008 at 20:24

Thursday, Nov 20, 2008 at 20:24
"Koshie"

Along with the likes of Daryl Sommers, Tony Barber, Eddie McGuire et al, is the reason I don't watch TV.

Boring, no talent fools who make far too much dough for doing too little.

Do you know that Tony Barber got the hump with Channel 9 in about 1990 because he thought he was underpaid. The "no talent runt" was getting $860,000 per year to stand in front of a camera and read questions from a card.

Must have been back breaking work LOL.

Don't get me started on the Tom Cruise's of this world.

Jim.

AnswerID: 336273

Follow Up By: Member - Stuart W (NSW) - Thursday, Nov 20, 2008 at 20:28

Thursday, Nov 20, 2008 at 20:28
Damn right Jim
Academy awards: It's for people who are good at their job. Where is the red carpet for all the doctors ,nurses ,teachers, policemen,firemen the list goes on
Stuart
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Follow Up By: Shaker - Thursday, Nov 20, 2008 at 22:27

Thursday, Nov 20, 2008 at 22:27
Personally, I am not a fan of David Koch, but to call him a " boring no talent fool" is totally unfounded: ..............

Koch founded Personal Investment magazine and My Business magazine, the largest-circulation small business magazine in Australia. He also provides business and financial commentary for several publications, including Pacific Magazines and AFR Investor. He was formerly associated with Palamedia, a media organisation devoted to business and financial news.

Koch was a director of the NSW Small Business Development Corporation for eight years after its inception in 1996. As a former business owner and operator and now director of Pinstripe Media Pty Ltd, David speaks regularly at corporate events about small business, finance and investment issues.

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Follow Up By: Maîneÿ (wa) - Thursday, Nov 20, 2008 at 22:40

Thursday, Nov 20, 2008 at 22:40
just a quick note
I wasn't having a go at 'kochie'
just passing on relevant information
but I'm sure you already know that :))

Mainey . . .
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Follow Up By: Best Off Road - Friday, Nov 21, 2008 at 06:25

Friday, Nov 21, 2008 at 06:25
Fair call Shaker, but I was referring to his job as a TV presenter.

I find him to be an interminable bore. He thinks he some kind of of comedian. I reckon he's about as funny as a fart in an elevator. Perhaps he should stick to what he knows.

Cheers,

Jim.

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Follow Up By: Gone Bush (WA) - Friday, Nov 21, 2008 at 10:09

Friday, Nov 21, 2008 at 10:09
Good advice Jim,

stick to making boxes for the back of cars,

give up on being a social commentator. Give your poison pen a rest.



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Reply By: blue one - Thursday, Nov 20, 2008 at 20:53

Thursday, Nov 20, 2008 at 20:53
Maybe they should make more of the Solar Roof sheets that are made in Brisbane from Colorbond of several standard Colorbond colours, with unisolar 64 watt or 128 watt solar panels bonded to the roofing sheets. The roofing sheets are compatible with Spandeck profile, and come in lengths up to 9 metres. The solar panels actually form part of the completed roof. Electrical connection can be specified either from above or beneath the solar panel, at the top, allowing the wiring to be either totally inside the roof, or accessible from under a roof cap.

Imagine all the colourbond roof's making electricity.

Cheers

AnswerID: 336277

Reply By: madcow - Friday, Nov 21, 2008 at 07:36

Friday, Nov 21, 2008 at 07:36
Now i maybe wrong but wasnt Origin Energy involved with building a solar Cell plant in SA? They were involved with the development of "Sliver Cell" solar collecting panels.

link here

http://www.originenergy.com.au/1233/SLIVER-technology

AnswerID: 336306

Reply By: Mad Cowz (VIC) - Friday, Nov 21, 2008 at 08:38

Friday, Nov 21, 2008 at 08:38
A-Ha, off topic posts are allowed again
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Reply By: Gone Bush (WA) - Friday, Nov 21, 2008 at 10:22

Friday, Nov 21, 2008 at 10:22
Just as an aside, I recently discovered a very good alternative to the morning breakfast shows on commercial TV.

On ABC2, there is the ABC's version from 6am to 9am.

No ads, no rock bands, it's a pretty good alternative.

cheers
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Follow Up By: Mad Cowz (VIC) - Friday, Nov 21, 2008 at 12:07

Friday, Nov 21, 2008 at 12:07
Gotta get a new set top box then, abc2 is quite good, nearly worth the $70, scrapheap challenge was a good show too.

MC
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