The bankruptcy of a Silicon Valley-based solar panel manufacturer, announced Aug. 31, followed by an FBI raid on the company a week later, sent shock waves through the solar industry and provided an easy opening for congressional Republicans to question the wisdom of the federal government's $535-million loan guarantee as well as its investment in renewable projects in general.
But solar industry sources claim the bankruptcy of Solyndra LLC is an isolated case. And the Obama administration so far is showing no signs of faltering in its commitment to solar power, announcing on Sept. 14 that it has finalized a $1.2-billion loan guarantee to Abengoa Solar Inc. The Denver, Colo.-based firm plans to build a 250-MW solar power plant in California's Mojave Desert.