Recession has taken toll on alternative energy

(03-10) 18:07 PDT — Worldwide sales of solar cells, biofuels and wind turbines soared 53 percent last year to hit $115.9 billion before the global recession started sapping their strength, according to an annual report issued Tuesday.

The report by the Clean Edge research firm shows the alternative energy industry at a turning point in 2008.

After years of rapid growth fueled by rising oil prices and fears of global warming, the industry was finally making serious cash. Green businesses were hiring, with solar and wind companies accounting for a total of 600,000 jobs worldwide, according to the report.

But as 2008 wore on, the world slid deeper into recession, the oil market crashed and banks stopped lending to green startups. As a result, the report’s authors expect the industry’s sales to flatline or fall slightly in 2009. And some green-tech companies won’t live to see 2010.

San Francisco Chronicle