Good News & Bad News, page-3382

Often overlooked key part of reneweables of all kinds. I learn from precedent, not some dogmatic logic even when it makes perfect sense. Does anyone remember the subsidies offered in Oz for roof top solar? At the time spruikers were looking at the +ve and payback time frame that makes perfect sense. How many of those actually believe in climate change as opposed to the economics?

It is just the ratio to me. The rush to roof solar with generous subsidies draws in the demand thus prices of these solar+fix labor cost rises. As the popularity increased, the electric company got a heap of flow back of generated power or rather it was too much. State Govts started cutting the buy back until is went to Zero but grandfathered. No one talks Roof solar anymore, newspaper adverts died and the industry moved on. In fact the power companies are now complaining that their generators are constantly cycling up and down as the surge of power flowed back to them.

I see parallel to the Chinese EV subsidies and as @babaroga stated that the chaff are removed. Those large battery production will have to keep finding a demand for their products which was based on a very artificial market that brought in profiteering EV makers that does not really hep the industry as a whole, short termism.

In the midst of China's slowing economy, there will be some ST pain for their car industry (sales). They still have many economic levers to pull to stimulate their economy but gone are the days when globalisation was a global aspiration. We now have potentially 2 separate system of trading blocks, the them and us polarisation. Trade war impact has not been calculated besides the periphery damage analysis as no one know how it infects the intertwined value chain manufacturing. It has been almost 2 years that trade war started from threat to execution and here we are still speculating a phase 1! We will find out on Monday the fate of Trump's decision if the 'sell first ask Q later' mentality starts seeping in like a year ago.