Sunday, June 21, 2009

Solar-cell firm focuses on the future

Solar-cell manufacturer Suniva’s plant in Norcross could be something right out of an ad for the Obama administration’s green jobs revolution.

Workers in lab coats quietly scuttle back and forth, adjusting whisper quiet, bright-white machines, checking readings and inspecting newly manufactured solar cells that will one day power homes and businesses in India, Europe and, someday, the U.S.

The plant’s 75 to 80 employees even include a few refugees from Atlanta’s shuttered auto manufacturing sector —- iconic symbols of transformation from old, heavy, energy-intensive manufacturing to the new, clean, energy-producing manufacturing on which President Barack Obama is staking his green-energy policies.

As a U.S.-based manufacturer, Suniva CEO John Baumstark said his company hopes to capture a share of the $150 billion in alternative energy investments promised by the Obama administration over the next 10 years. The company is especially interested in relaxed rules for federal loan guarantees for large-scale alternative energy investments.

What could that mean specifically for the nearly 2-year-old company? A new plant that would more than double Suniva’s current manufacturing capability, Baumstark said. Could the plant end up in Georgia? Maybe.

“We’d love to stay in the U.S.,” he said.

Suniva was founded by Georgia Tech professor Ajeet Rohatgi, who was recently honored by the Environmental Protection Agency for helping protect the world’s climate. He serves as the company’s chief technology officer and sits on the board of directors.

The company opened its Norcross plant amid much fanfare in December. Gov. Sonny Perdue said the plant was the opening salvo in Georgia’s effort to attract a share of the 440,000 new jobs and $325 billion in investment the Solar Energy Industries Association expects the field to produce over the next eight years.

The state and local governments gave Suniva millions of dollars in incentives to locate in Gwinnett County, and Baumstark said the company would very much like to build its second plant in the U.S.

But some analysts caution that as a startup, Suniva could be treading on dangerous ground in trying to get out from under the shadow of larger, more experienced manufacturers, such as California-based SunPower.

“Suniva has high efficiencies, but SunPower has been doing the same thing for four or five years,” said Ted Sullivan, a senior analyst with Lux Research Inc., who follows the solar industry and is predicting a significant shakeout among competitors as the market continues to be glutted with oversupply of solar cell ingredients and products.

“In this environment, I question startup companies with very similar technologies to what’s already out there building new capacity.”

Baumstark says what sets Suniva apart is its ability to create high-efficiency solar cells at a lower cost than its competitors. And he said quick contracts with big module assemblers in India and Europe prove the company’s appeal. More deals are on the way, he said.

Now, with increasing emphasis on alternative energy projects emanating from Washington, Suniva officials say they’re seeing an uptick in interest domestically.

“Made in the U.S., we’re getting a lot of play off that,” Baumstark said.

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