Why Germany’s shrinking solar subsidy is good

Last week the German government announced that it would be lower the current subsidies that it provides for individuals and companies that purchase and install solar power. Their environmental ministry is proposing a cut of 9.1% next year, while other lawmakers say the rate should be closer to 30%. This cut, while lower than the expected latter figure, was welcomed with a sigh of relief, but is still a cut, leading many to speculate troubles for the solar industry ahead, but I look upon it from a different angle.