The US promotes solar power in the face of the risk of electricity shortage

US President Joe Biden – Photo: REUTERS

According to the Associated Press, Mr. Biden ordered urgent measures to be taken to boost essential supplies to US solar producers.

Mr. Biden also announced a 2-year tax exemption for solar panels imported from Southeast Asian countries, including Cambodia, Malaysia, Thailand and Vietnam.

Observers say the latest move shows Biden is trying to kickstart his climate change goals.

The US president invoked the Defense Production Act and executive orders amid complaints from many industry groups that development of the solar energy industry is slowing due to supply chain issues.

Part of the problem stems from the US Department of Commerce’s investigation into the risk of trade violations related to Chinese products and equipment.

In the White House statement on June 6, Mr. Biden acknowledged many factors that are threatening the ability to supply electricity to serve the American people.

These factors include disruptions to energy markets due to the war in Ukraine and extreme weather events due to climate change, Biden said.

“In many parts of the country, drought and heatwaves are simultaneously leading to forecasts of power supply shortages and record electricity demand,” Biden said.

In an article in early May, newspaper Wall Street Journal said that from California to Texas and Indiana, grid operators are warning power capacity is struggling to meet demand.

This shortage could lead to power outages during heatwaves or other peak periods in 2022.

Specifically, California’s grid operator predicts a supply shortfall this summer, particularly if extreme heat, wildfires or delays occur in bringing new sources of power to the grid.

In Texas, where several power plants have been shut down for maintenance, the grid operator has warned of shortages during a heatwave expected to last next week. The risk of power shortages is growing across the United States.