Published on September 30th, 2016 | by Joshua S Hill0
China’s National Energy Administration Proposes Solar FiT Cuts For 2017
September 30th, 2016 by Joshua S Hill
Various Chinese media outlets are reporting a ‘draft’ and ‘unofficial’ proposal put forward by the country’s National Energy Administration to cut feed-in tariff levels for ground mount and distributed generation solar PV power plants for 2017.
The draft version of the proposed modifications for the country’s feed-in tariff (FiT) levels for both ground mount solar and distributed generation solar for 2017 have been making the rounds of Chinese media outlets, and have made their way to English-language outlets as well. Experts are advising all and sundry to note that, as it stands, these proposals are both ‘unofficial’ and a ‘draft’ version, but nevertheless the potential is dramatic.
The proposed changes read thus:
Ground-mounted solar PV Power plants:
- Region 1: RMB 0.80 to RMB 0.55 = -37%
- Region 2: RMB 0.88 to RMB 0.65 = -25%
- Region 3: RMB 0.98 to RMB 0.75 = -23%
Distributed Solar PV:
- Region 1: RMB 0.42 to RMB 0.20 = -52%
- Region 2: RMB 0.42 to RMB 0.25 = -40%
- Region 3: RMB 0.42 to RMB 0.30 = -28%
Mark Osborne, leading solar expert and writer with PV-Tech, notes that the proposed changes “would potentially lower ROI (return on investment) levels significantly for PV project developers and therefore impact installations and demand throughout the supply chain.”