BP Solar Closes Plant and Cuts 320 Jobs
BP Solar recently announced that it will be closing it’s manufacturing plant in Frederick, Maryland as a phase of the reshaping of the U.S. solar industry. This cost cutting move will result in the elimination of 320 jobs at the facility. The company, a unit of London based BP PLC that is based in San Francisco, said the move was due to the falling prices of solar power modules.
The move will shift the remaining in house production to joint ventures that are cheaper in India and China. The company will also be contracting with other manufacturers for other production needs. They announced that the prices of solar panels have decreased almost 50 percent in the past 18 months.
These price drops has driven the cost of solar power much closer to the amount that electricity costs. Last year, BP Solar reported sales increases of over 26 percent around the world. It’s estimated that sales will exceed a 50 percent growth this year.