Solar heads for a shakeout

After a sharp slowdown in global demand – and a shift away from the core western players – the solar sector's 2012 outlook will depend on new markets, including North America, China, Australia and India.

LONDON (Reuters) - A glut in solar power will drive yet more bankruptcies this year among panel producers after a brutal 2011, but falls in equipment prices will slow and leading firms may recover as spare capacity goes to the wall.

At the heart of solar power problems is a chronic over-capacity now almost double demand.

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