Solar panel firm cuts staff in blow to Albanese renewable dreams

SunDrive Solar, backed by a strong of high-profile names including Mike Cannon-Brookes, Cameron Adams and Robyn Denholm, is reportedly preparing to restructure.

SunDrive workers during Prime Minister Anthony Albanese tour of the company’s factory.

A solar panel manufacturer backed by Mike Cannon-Brookes and former prime minister Malcolm Turnbull is preparing to cut up to 35 jobs in a possible setback to Anthony Albanese’s renewables manufacturing plans.

Sydney-based SunDrive Solar this year signed a preliminary deal with AGL to establish a solar manufacturing facility at the former Liddell coal-fired power station in the Hunter Valley as part of the federal Sunshot program.

SunDrive has cut staff and announced senior management changes “as it gears up for its next phase of commercialisation”, industry publication Renew Economy reported.

The cuts could affect up to half of the company’s staff numbers, with SunDrive co-founder and chief executive Vince Allen transitioning to the role of chief technology officer, allowing chief operating officer Natalie Malligan to become CEO.

Comment has been sought from SunDrive.

The company in 2023 raised $21m with big-name backers, including Atlassian’s Mr Cannon-Brookes, Canva co-founder Cameron Adams, Mr Turnbull and Tesla chair Robyn Denholm.

The SunDrive board includes “Sun King” Zhengrong Shi, founder of Suntech, once the world’s largest manufacturer of solar panels.

The AGL agreement followed the Prime Minister’s announcement of $1bn of subsidies, grants and other support to increase Australia’s role in the global solar manufacturing supply chain.

Prime Minister Anthony Albanese at the SunDrive factory in Sydney.

Mr Allen welcomed the initiative at the time, saying it was a significant day for the company, the Hunter Valley and the country. “It’s an inflection point for turning our R&D into commercialisation and manufacturing, so yes, it’s a very exciting moment,” he said.

“Australia has led the world in solar innovation and today’s $1bn Sunshot announcement means that Australia cannot only be a renewable energy innovation powerhouse, but also a renewable energy manufacturing powerhouse.”

SunDrive claims it has developed the world’s most efficient commercial-size solar cell and now plans to manufacture those cells onshore.

The company is trying to crack one of the challenges of building more solar panels that require the element silver. SunDrive is aiming to use copper in its cells, allowing Australia to take back a bigger share of manufacturing from international competitors.

AGL has previously announced plans to repurpose the existing infrastructure at Liddell near Muswellbrook in the Upper Hunter to support the construction of new generation and storage infrastructure.

SunDrive said the world-class facility would produce hundreds of thousands of panels, scaling to millions, and creating hundreds of highly skilled jobs.

SunDrive said it was negotiating a material offtake agreement with AGL for the purchase of SunDrive’s high-performing solar modules.

The Coalition warned in July that Labor’s Future Made in Australia legislation failed to provide “clarity” for manufacturers about how the scheme worked in practice, as industry urged the government to ensure a “level playing field” as well as transparency for businesses seeking support.

Labor introduced legislation in July for a national interest framework to ensure investments made under the Future Made in Australia scheme were subject to proper rigour.

Two contentious billion-dollar announcements were made under the program before the government even introduced the legislation for its national interest framework – $1bn for US-based PsiQuantum to build a world-first quantum computer in Brisbane, and $1bn for the Solar Sunshot program.

Originally published as Solar panel firm cuts staff in blow to Albanese renewable dreams