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Hidden Communication Devices in Chinese Solar Equipment Raise U.S. Grid Security Concerns

Discovery of undocumented components in Chinese-made inverters and batteries prompts U.S. energy officials to reassess risks and utilities to prepare for potential restrictions.

Solar panels fields on the green hills stock photo
Solar panels are arrayed on Earth Day in Northfield, Massachusetts, U.S., April 22, 2022. Picture taken with a drone. REUTERS/Brian Snyder/File Photo
Plants grow through an array of solar panels in Fort Lauderdale, Florida, U.S., May 6, 2022. REUTERS/Brian Snyder/File Photo
High-voltage power lines and an electricity pylon next to a group of wind turbines are pictured in Barranco de Tirajana, in the island of Gran Canaria, Spain, May 11, 2022. REUTERS/Borja Suarez/File Photo

Overview

  • U.S. experts have identified undocumented communication modules in Chinese-made solar inverters and batteries, raising concerns about potential remote manipulation of power grids.
  • The Department of Energy is working to improve transparency through enhanced disclosure standards, such as Software Bills of Materials, to address hidden functionalities in imported equipment.
  • Utilities are preparing for possible bans on Chinese-manufactured inverters, echoing prior restrictions on telecom equipment due to national security concerns.
  • Chinese firms, led by Huawei, dominate the global inverter market, with Huawei alone accounting for 29% of shipments in 2022, despite exiting the U.S. market in 2019.
  • China has dismissed the allegations, calling them distortions of its infrastructure achievements, while NATO and European nations are also reviewing their dependencies on Chinese renewable technologies.