ATHENS, Ala. (WAFF) – We know the supply chain issues are causing massive inconveniences, but this week representatives for a north Alabama solar plant announced it will be shutting down production permanently because of them.
We told you Wednesday night, North Alabama’s only solar panel production company, LG in Huntsville is closing this spring.
For the past four years, LG has produced solar panels at its plant in Huntsville, but surging prices on materials are not making that venture a profitable one.
“They’re very proud of the advances they’ve made in solar technology but unfortunately the margins and the supply chain issues are impacting that business and making it something they are not interested in pursuing,” Chip Cherry said.
Chip Cherry, CEO of the Huntsville Madison County Chamber of Commerce says there is a silver lining for the 220 workers who will soon be out of a job.
“We have a very robust manufacturing market here in north Alabama so we’ve already had employers reach out to us who are very interested in having the opportunity to talk to these employees,” Cherry said.
But the question now is, how can companies stay ahead of the curve and prevent having to shut down?
Athens State professor Lionel Wright says it’s time to rise to the occasion and advance technology.
“What you’re seeing now is kind of a knee jerk effect in that a lot of the planning that we were using was more antiquated and not predictable/ now that we’ve identified this entity, this dynamic, this problem we now need to figure out more ways to plan,” Wright said.
He adds before the pandemic, companies in the U.S. were in a better bargaining position over prices.
“Now you find countries who have set resources are limited so now it becomes where they have the leverage to where they can charge the higher price,” said Wright.
“If we get the analytics involved and get it to the right away, it will be able to predict some of these disruptions ahead of time, so it will be able to save companies some money and resources./ It’s kind of for me a renaissance. A new beginning, a new way of looking at things, a new way of doing business,” said Wright.
Although LG’s solar plant is closing down, customer service headquarters will remain in Huntsville- where 500 employees work to provide assistance for major appliances and consumer electronics products.
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