Solar module sales price of $1 per Watt no longer theory
Edwin Coot of Solar Plaza has stated that In 2010, the objective is to reach a selling price for solar modules of $1 per Watt,” says Lynn Sha, Vice President of Chinese manufacturer QS Solar. In other words, it will become possible in 2011 to produce solar energy cheaper than the cost of electricity from the grid (“grid parity”), and this is without subsidies.
By Edwin Koot, Solarplaza
Revolutionary price level will mark start of solar revolution
This revolutionary price level could be sufficient to create sustainable growth in the solar energy market (PV) even without the availability of any government incentives. “The solar industry has always claimed that its goal was to attain this level of $1 per Watt. Reaching this benchmark will be the turning point from which markets will emerge and grow without any government aid. It is the start of the solar future,” says Edwin Koot, CEO of SolarPlaza, the global, independent solar energy platform.
Module prices are currently under pressure. Last year’s enormous growth of the solar industry and market by more than 100% was caused by a generous feed-in tariff in Spain. Many new companies started production of solar modules. This year, support in Spain has been decreased and capped. “This could not have come at a more dramatic moment. The simultaneous loss of Spain as a major market, the inevitable industry oversupply, and the financial crisis have pushed down module prices since Q3 last year,” says Koot. “Good for customers, challenging for the industry.”
QS Solar started production of its amorphous silicon thin-film modules last year. “We will bring down the sales price to our goal of $0.75/Wp through the continuous expansion of our production capacity and process optimization.” The company currently has 3 production lines with an installed capacity of 95 MegaWatts, and it plans to increase another 4 lines by 2009, which will lead to a total capacity of 235 MW by next year.
The $1 per Watt level is already sufficient to achieve grid parity in many markets. A lower level might not even be needed to serve an infinite global market potential for photovoltaic solar energy.
Lynn Sha and CEOs from the world's leading PV companies (such as Q-Cells, Suntech Power, Applied Materials, and Akeena Solar) will be discussing the above topics at "The Solar Future" conference organized by SolarPlaza on May 26th in Munich.
About SolarPlaza
SolarPlaza, based in Rotterdam, Netherlands, Solarplaza.com is the independent global platform for knowledge, trade and events for the photovoltaic solar energy (PV) industry.
Investing in the future of energy is in all our long-term interests but, for those with foresight, the monetary returns could occur sooner than you think.
Showing posts with label Solar. Show all posts
Showing posts with label Solar. Show all posts
Tuesday, February 1, 2011
EEG compromise: PV-funding to be tailored to installed capacity
Solas Power has learned that a heated debate was had in Berlin between branch representatives and members of the German government on the adjustment of solar incentives, a step which can indeed be seen as an earlier than planned reduction. Future feed-in-tariffs (FIT) are to be adjusted in accordance with annual installed capacity. Possible cutbacks are being brought forward to July 1. Market experts see the danger of an artificial stimulation of the market and warn against a misinterpretation of the possible pull-forward effects.
The German solar industry association (BSW-Solar) has agreed to a new compromise on PV funding with the German Federal Ministry for the Environment. The resolution sees further reductions to FIT’s in accordance with the amount of solar electricity installed annually. The expected installed capacity for the year 2011 will be based on the figures for new installations in the period from March to May. By multiplying the result by a factor of four, the Federal Net Agency should then come to a projection of the estimated installed capacity for the year 2011.
Should the calculated PV market capacity be more than 3, 500 MW, further reductions of 3 percent are to be introduced mid-year on July 1. The resolution reached between legislators and BSW-Solar has determined a decline of 6 percent should projected capacity be over 4,500 MW, annually installed capacity of over 5,500 MW would incur cuts of a further 9 percent, more than 6,500 MW by 12 percent and an installed capacity to the same amount as last year, over 7,500 MW, will be subject to a 15 percent reduction. As the planning of open-space plants requires more time, their degression will not come into effect until September 1, 2011.
Funding is, as previously planned, to be cut by a further 9 percent at the turn of the year, 2012. Furthermore, an audit carried out by the Federal Net Agency will verify that the estimations made in spring 2011 were accurate. According to the announcement, subsequent corrections will be made should this be of necessity.
Right Direction – Questionable Impact
Following this announcement, the adjustments presented by Norbert Röttgen, Minister for the Environment and Günter Cramer, president of BSW-Solar are to be sent to parliament for deliberation. A final decision is expected in February. As the country will soon be in the throws of state elections, experts assume that there will not be a lengthy bargaining process on percentage points, as was seen in the year before last.
„The modification of incentives in line with market conditions along with a regular review of tariffs is generally a step in the right direction and is supported by the industry” assessed Markus A.W. Hoehner, CEO of the market research and consulting house EuPD Research. Generally speaking, the fact that tariffs are to be aligned with the figures for installation should also be greeted. However, as to what extent a reduction in FIT’s can contribute to a pacifying of the markets is open to doubt. “The announcement, itself, of an early adjustment on July 1 equates to a simulation of the market,” says the expert and warns against potential pull-forward effects.
Hoehner, a market observer with over a decade of expertise in international markets of renewable energies points out: “The German PV market is still overheated, the reoccurring discussion on amendments to incentives fuels this situation further.” Germany currently finds itself in a dilemma. Without further adjustments the market is threatened by excessive growth, a point which speaks for the measures suggested. Yet a “run” in the first half of the year is likely to overcompensate for the slowdown effects of said adjustments.
„The review of the EEG in 2012 will play a decisive role in the future of photovoltaic in Germany“, believes Markus A.W. Hoehner. “Legislators, industry representatives and stakeholders now face the challenge of developing a concept that encompasses all sources of renewable energy. A clear message on the future of the German renewable energy industry should also be sent to international markets in order to strengthen investment security”. Hoehner sees the tone in which this discussion has taken place as positive. In comparison to last year, there is a greater willingness to enter talks and a clearer course of action can be recognized. Although the current debate may not be crucial to the long-term development of the industry, it certainly shows the direction to be taken. It is imperative that a destabilization of the markets, as seen recently in France, Spain or Czech Republic, is avoided.
The German solar industry association (BSW-Solar) has agreed to a new compromise on PV funding with the German Federal Ministry for the Environment. The resolution sees further reductions to FIT’s in accordance with the amount of solar electricity installed annually. The expected installed capacity for the year 2011 will be based on the figures for new installations in the period from March to May. By multiplying the result by a factor of four, the Federal Net Agency should then come to a projection of the estimated installed capacity for the year 2011.
Should the calculated PV market capacity be more than 3, 500 MW, further reductions of 3 percent are to be introduced mid-year on July 1. The resolution reached between legislators and BSW-Solar has determined a decline of 6 percent should projected capacity be over 4,500 MW, annually installed capacity of over 5,500 MW would incur cuts of a further 9 percent, more than 6,500 MW by 12 percent and an installed capacity to the same amount as last year, over 7,500 MW, will be subject to a 15 percent reduction. As the planning of open-space plants requires more time, their degression will not come into effect until September 1, 2011.
Funding is, as previously planned, to be cut by a further 9 percent at the turn of the year, 2012. Furthermore, an audit carried out by the Federal Net Agency will verify that the estimations made in spring 2011 were accurate. According to the announcement, subsequent corrections will be made should this be of necessity.
Right Direction – Questionable Impact
Following this announcement, the adjustments presented by Norbert Röttgen, Minister for the Environment and Günter Cramer, president of BSW-Solar are to be sent to parliament for deliberation. A final decision is expected in February. As the country will soon be in the throws of state elections, experts assume that there will not be a lengthy bargaining process on percentage points, as was seen in the year before last.
„The modification of incentives in line with market conditions along with a regular review of tariffs is generally a step in the right direction and is supported by the industry” assessed Markus A.W. Hoehner, CEO of the market research and consulting house EuPD Research. Generally speaking, the fact that tariffs are to be aligned with the figures for installation should also be greeted. However, as to what extent a reduction in FIT’s can contribute to a pacifying of the markets is open to doubt. “The announcement, itself, of an early adjustment on July 1 equates to a simulation of the market,” says the expert and warns against potential pull-forward effects.
Hoehner, a market observer with over a decade of expertise in international markets of renewable energies points out: “The German PV market is still overheated, the reoccurring discussion on amendments to incentives fuels this situation further.” Germany currently finds itself in a dilemma. Without further adjustments the market is threatened by excessive growth, a point which speaks for the measures suggested. Yet a “run” in the first half of the year is likely to overcompensate for the slowdown effects of said adjustments.
„The review of the EEG in 2012 will play a decisive role in the future of photovoltaic in Germany“, believes Markus A.W. Hoehner. “Legislators, industry representatives and stakeholders now face the challenge of developing a concept that encompasses all sources of renewable energy. A clear message on the future of the German renewable energy industry should also be sent to international markets in order to strengthen investment security”. Hoehner sees the tone in which this discussion has taken place as positive. In comparison to last year, there is a greater willingness to enter talks and a clearer course of action can be recognized. Although the current debate may not be crucial to the long-term development of the industry, it certainly shows the direction to be taken. It is imperative that a destabilization of the markets, as seen recently in France, Spain or Czech Republic, is avoided.
Thursday, January 27, 2011
Investors may walk after Spains Solar Cut
Solas Power has noted that the Spanish Governent has again placed their financial future in jeopardy by cutting Solar FIT subsidies. In an article in the Financial Times recently it detailed the Spanish position. This again demonstrates Solas Power's choice of Germany and Italy and why we have always stayed away from the Spanish solar market.
For a full account of the article see the linkbelow "...pre-agreed “trade-in tariffs” for the country’s solar-photovoltaic energy producers by 30 per cent, or €3bn...years. Although many other countries have cut subsidies for new solar energy developments, Spain is the first to do so for existing... "
http://www.ft.com/cms/s/0/a2982e50-1a95-11e0-b100-00144feab49a.html
Solas Power Outlook
Solas Power has seen that thanks largely to hefty government support, Germany's solar market has become the largest in the world. Germany has installed half the world's solar power every year since 2007, adding 8.8 gigawatts in 2010 alone. The trend is expected to continue in 2011, with German installations providing nearly half the world's 20 new gigawatts, according to data provided by research and analysis firm iSuppli Corp. and confirmed by other analysts.
But things could get shaky in 2012. Revisions to the country's Renewable Energy Sources Act are due in mid-2011. If the powers that be decide to cut "feed-in" tariffs—which encourage homeowners to add their unused alternative energy to the grid—it will put the brakes on Germany's solar surge.
New photovoltaic output is projected to continue growing globally over the next five years, as other key markets offset the relative decline in Germany. Leading the pack will be Italy and the United States. The U.S. market alone will rise almost tenfold, from less than half a gigawatt in 2009 to more than 4 GW in 2014, according to iSuppli. Japan will lead a fivefold increase in Asia. The European Photovoltaic Industry Association also foresees fresh demand from markets such as Canada, China, Greece, India, and the United Kingdom. According to Solarbuzz's 2010 industry report, "even in the slowest growth scenario, the global market will be 2.5 times its current size by 2014."
Solar Update, FIT, Italy,
Photovoltaic market to see sunny 2011
Global photovoltaic (PV) solar instillations in 2011 will rise by 39.3% on the strength of Italian and US demand, with growth during the year limited only by reductions in government incentives in certain European countries, according to Solas Power.
It has been recently reported that growth in the PV market in 2011 will cool significantly from the 120.5% increase it saw in 2010, but noted that worldwide installations of renewable solar energy systems this year still will increase at a healthy rate, reaching 22.2 GW, up from 16 GW in 2010.
Germany will continue to be the world's largest PV market this year with an estimated 9.4 GW worth of installations. Italy will be second, Solas Power said, noting that it represents an accelerating market that promises one of the world's highest internal rates of return. Indeed, Solas Power said it expects solar installations in Italy this year will double, growing a full 100% to 3.9GW, up from 1.95GW in 2010, compared to Germany's 19.8% expansion.
The United States is expected to come in third, projected to see 2.1GW worth of PV installations this year. However, commentators cautioned that with federal incentives less likely to be renewed in the near term following a shift to a more conservative US Congress, power now will reside more with individual states to carry out initiatives.
Solas Power woud also warn that the German market might see a further reduction in feed-in tariffs (FIT) in addition to the scheduled annual cut intended to bolster the solar industry. Should the country's FIT be cut by mid-year, PV installations in 2011 might end up at the 7GW level, not the more optimistic forecast of 9.4GW without the FIT rollback, the company said.
Solas Power further reported that the PV markets in Spain, France, and the Czech Republic are not expected to expand in 2011, given the serious measures under way to trim the solar investor business in those countries.
Brightened by the German, Italian, and US markets, photovoltaic solar instillations are expected to rise in 2011, but rollbacks in other countries add clouds to Solas Power's positive outlook.
Global photovoltaic (PV) solar instillations in 2011 will rise by 39.3% on the strength of Italian and US demand, with growth during the year limited only by reductions in government incentives in certain European countries, according to Solas Power.
It has been recently reported that growth in the PV market in 2011 will cool significantly from the 120.5% increase it saw in 2010, but noted that worldwide installations of renewable solar energy systems this year still will increase at a healthy rate, reaching 22.2 GW, up from 16 GW in 2010.
Germany will continue to be the world's largest PV market this year with an estimated 9.4 GW worth of installations. Italy will be second, Solas Power said, noting that it represents an accelerating market that promises one of the world's highest internal rates of return. Indeed, Solas Power said it expects solar installations in Italy this year will double, growing a full 100% to 3.9GW, up from 1.95GW in 2010, compared to Germany's 19.8% expansion.
The United States is expected to come in third, projected to see 2.1GW worth of PV installations this year. However, commentators cautioned that with federal incentives less likely to be renewed in the near term following a shift to a more conservative US Congress, power now will reside more with individual states to carry out initiatives.
Solas Power woud also warn that the German market might see a further reduction in feed-in tariffs (FIT) in addition to the scheduled annual cut intended to bolster the solar industry. Should the country's FIT be cut by mid-year, PV installations in 2011 might end up at the 7GW level, not the more optimistic forecast of 9.4GW without the FIT rollback, the company said.
Solas Power further reported that the PV markets in Spain, France, and the Czech Republic are not expected to expand in 2011, given the serious measures under way to trim the solar investor business in those countries.
German Solar "Gold Rush"; Act now to capitalise on this Opportunity
German Solar "Gold Rush" now on, Invest now.
Solas Power has noted that Germany has mooted that the should cap solar power subsidies, cutting payments for new plants once added capacity exceeds 1 gigawatts nationally in any one year, a panel of experts that advisesChancellor Angela Merkel said.
The Berlin-based panel’s findings, released in a 680-page report today, call on Merkel to steadily reduce aid annually as well as apply a cap on subsidizing “overcapacity.” A jump in capacity is pushing up German power prices and squeezing out investments in other renewable energy sources, the panel said.
“A drastic throttling of solar subsidies in coming years is a must,” the panel said. The subsidies are pushing up power prices at a rate that is “endangering the acceptance” of renewable energy, they said. The government forecasts an added 9.5 gigawatts of solar capacity this year, almost 10-fold growth over what the panel said is acceptable.
Merkel’s government is steadily paring solar aid rates to curb the cost to consumers who pay for subsidies in their power bills.
Solar-panel prices fell about 50 percent in the last two years, spurring a boom in new installations on roof-tops and fields and led to a glut on the German market. The government has so far shied from implementing a cap, which solar power federations claim would dry up panel sales.
The findings of the panel will shore up support among lawmakers in Merkel’s Christian Democrats in parliament who want inclusion of a cap on solar subsidies in a revamp of the renewal energy legislation law this year.
The panel’s recommendation of a 1-gigawatt cap “confirms the policy position” of the Christian Democrats, their economic spokesman Joachim Pfeiffer, said in an interview. “We have to look at solar subsidies as well as a cap in the course of amending the renewable energy law,” Pfeiffer said.
Solas Power believes that now is the time to act if investors are to take advantage of the German FIT system and that the window for opportunity is fast closing.
The Berlin-based panel’s findings, released in a 680-page report today, call on Merkel to steadily reduce aid annually as well as apply a cap on subsidizing “overcapacity.” A jump in capacity is pushing up German power prices and squeezing out investments in other renewable energy sources, the panel said.
“A drastic throttling of solar subsidies in coming years is a must,” the panel said. The subsidies are pushing up power prices at a rate that is “endangering the acceptance” of renewable energy, they said. The government forecasts an added 9.5 gigawatts of solar capacity this year, almost 10-fold growth over what the panel said is acceptable.
Merkel’s government is steadily paring solar aid rates to curb the cost to consumers who pay for subsidies in their power bills.
Solar-panel prices fell about 50 percent in the last two years, spurring a boom in new installations on roof-tops and fields and led to a glut on the German market. The government has so far shied from implementing a cap, which solar power federations claim would dry up panel sales.
The findings of the panel will shore up support among lawmakers in Merkel’s Christian Democrats in parliament who want inclusion of a cap on solar subsidies in a revamp of the renewal energy legislation law this year.
The panel’s recommendation of a 1-gigawatt cap “confirms the policy position” of the Christian Democrats, their economic spokesman Joachim Pfeiffer, said in an interview. “We have to look at solar subsidies as well as a cap in the course of amending the renewable energy law,” Pfeiffer said.
Solas Power believes that now is the time to act if investors are to take advantage of the German FIT system and that the window for opportunity is fast closing.
SRU releases report on 100% renewable energy and capping of subsidies
Solas Power has confirmed that the Advisory Committee on Environmental Issues to the German Parliament (Sachverständigenrat für Umweltfragen – SRU) today submitted its special report on ways to achieve a 100% renewable electricity supply to Federal Environment Minister Röttgen. 100% renewable electricity generation is possible by 2050. Subsidies for new PV systems should be capped.
Last May, SRU presented a report, according to which a 100% renewable, yet affordable energy supply was possible in Germany by 2050. The new 663 page expert opinion looks at 8 scenarios for 100% renewable electricity generation. It contains suggestions for an amendment of the Renewable Energy Sources Act (EEG), so as to obtain a cost-efficient renewable energy portfolio by 2050.
SRU member Prof. Dr. Karin Holm-Müller, an economist, called the EEG a success story, which was copied by other countries. Its supporting pillars, the obligation of grid operators to purchase renewable energy (Einspeisevorrang) and the fixed feed-in tariffs, should continue to apply in the future. However, there was a need to amend feed-in tariff to curb costs, Mrs Holm-Müller said. Feed-in tariffs for the rapidly growing but relatively expensive solar electricity should be reduced and capped, SRU demanded.
Solar tariffs were much too high, the report says. Despite cuts in the past, the industry was growing, and expansion forecasts for 2010 exceeded estimates. This expansion was not cost-efficient. There was still a great cost savings potential in the PV market. Not only did the high PV costs endanger consumer acceptance of the EEG system as a whole, but expenses for solar electricity also limited funds for producing renewable energy from more cost-efficient sources.
Therefore, SRU calls for a cap on new PV capacities. Once the annual cap is reached, funding is suspended until next year.
SRU’s recommendations follow shortly after the Federal Ministry for the Environment (BMU) and the solar industry association BSW Solar jointly presented a proposal of solar feed-in tariffs cuts of up to 15% on 1 July and 1 September 2011. The proposal does not contain a hard cap on solar expansion, which has been strictly opposed by the industry association BSW Solar. The magazine Spiegel therefore said the SRU proposal challenged Minister Röttgen. Thomas Bareiß, energy spokesman of the Christian Democratic Party in the Bundestag, a fellow-party member of Minister Röttgen, has repeatedly called a cap the ultima ratio. In October last year, he told Handelsblatt he favoured a cap of 2,000 MWp.
While the SRU report stresses that it was up to the government where exactly it wanted to set the cap, Financial Times Deutschland said SRU member Prof. Olav Hohmeyer spoke out in favour of a 1,000 MWp cap in an article to be published by the newspaper Die Zeit on Thursday. The economist, who lectures at the university of Flensburg, said he believed that PV would only play a “miniscule role” in the renewable energy supply of the future.
SRU does not consider the extension of the operation times of the German nuclear power stations necessary. Furthermore, it does not consider the construction of new coal-fired power plants using CCS technology necessary.
The report also focuses on ways to accelerate the necessary national and international grid expansion, as well as efforts to link the national transformation process with the European energy and climate policy.
SRU also suggests to accelerate grid expansion by drawing up a national plan for transmission networks until 2030 (Bundesfachplan Stromübertragungsnetz 2030). Besides, the committee recommends to render investments in networks more attractive and to hold tender procedures for important power lines. Also, the great storage potential that exists in Norway with its hydro power plants, should be made accessible, SRU says. To this end the German government should strive for a close cooperation with Norway, SRU recommends.
SRU believes that it is of great importance that the national transitition process towards a renewable energy supply is supplemented by a European climate and energy policy, in particular an expansion of the European transmission networks and a “European Renewable Energy Roadmap until 2030″.
Last May, SRU presented a report, according to which a 100% renewable, yet affordable energy supply was possible in Germany by 2050. The new 663 page expert opinion looks at 8 scenarios for 100% renewable electricity generation. It contains suggestions for an amendment of the Renewable Energy Sources Act (EEG), so as to obtain a cost-efficient renewable energy portfolio by 2050.
SRU member Prof. Dr. Karin Holm-Müller, an economist, called the EEG a success story, which was copied by other countries. Its supporting pillars, the obligation of grid operators to purchase renewable energy (Einspeisevorrang) and the fixed feed-in tariffs, should continue to apply in the future. However, there was a need to amend feed-in tariff to curb costs, Mrs Holm-Müller said. Feed-in tariffs for the rapidly growing but relatively expensive solar electricity should be reduced and capped, SRU demanded.
Solar tariffs were much too high, the report says. Despite cuts in the past, the industry was growing, and expansion forecasts for 2010 exceeded estimates. This expansion was not cost-efficient. There was still a great cost savings potential in the PV market. Not only did the high PV costs endanger consumer acceptance of the EEG system as a whole, but expenses for solar electricity also limited funds for producing renewable energy from more cost-efficient sources.
Therefore, SRU calls for a cap on new PV capacities. Once the annual cap is reached, funding is suspended until next year.
SRU’s recommendations follow shortly after the Federal Ministry for the Environment (BMU) and the solar industry association BSW Solar jointly presented a proposal of solar feed-in tariffs cuts of up to 15% on 1 July and 1 September 2011. The proposal does not contain a hard cap on solar expansion, which has been strictly opposed by the industry association BSW Solar. The magazine Spiegel therefore said the SRU proposal challenged Minister Röttgen. Thomas Bareiß, energy spokesman of the Christian Democratic Party in the Bundestag, a fellow-party member of Minister Röttgen, has repeatedly called a cap the ultima ratio. In October last year, he told Handelsblatt he favoured a cap of 2,000 MWp.
While the SRU report stresses that it was up to the government where exactly it wanted to set the cap, Financial Times Deutschland said SRU member Prof. Olav Hohmeyer spoke out in favour of a 1,000 MWp cap in an article to be published by the newspaper Die Zeit on Thursday. The economist, who lectures at the university of Flensburg, said he believed that PV would only play a “miniscule role” in the renewable energy supply of the future.
SRU does not consider the extension of the operation times of the German nuclear power stations necessary. Furthermore, it does not consider the construction of new coal-fired power plants using CCS technology necessary.
The report also focuses on ways to accelerate the necessary national and international grid expansion, as well as efforts to link the national transformation process with the European energy and climate policy.
SRU also suggests to accelerate grid expansion by drawing up a national plan for transmission networks until 2030 (Bundesfachplan Stromübertragungsnetz 2030). Besides, the committee recommends to render investments in networks more attractive and to hold tender procedures for important power lines. Also, the great storage potential that exists in Norway with its hydro power plants, should be made accessible, SRU says. To this end the German government should strive for a close cooperation with Norway, SRU recommends.
SRU believes that it is of great importance that the national transitition process towards a renewable energy supply is supplemented by a European climate and energy policy, in particular an expansion of the European transmission networks and a “European Renewable Energy Roadmap until 2030″.
Discussion About Mid-Year Solar Feed-in Tariff Cuts Gathers Momentum
Solas Power News has learned that with massive solar expansion despite regular cuts of feed-in tariffs and rising electricity prices, the debate about further cuts is gathering momentum. However, information about an agreement between the Federal Government and the solar industry is still limited.
According to the news agency Reuters, the ministries involved and the solar industry agreed to bring forward the solar feed-in cuts due at the beginning of next year to July of this year. Cuts could be as high as 12%, depending on the expansion.
Referring to information from dpa, the internet site Verivox, a provider of electricity price comparisons, confirms that additional mid-year cuts of up to 12% are being discussed, but says a spokesperson of Environment Minister Norbert Röttgen (CDU) had pointed out that the details are still to be decided.
A number of papers reported that the solar industry association BSW Solar continues to be strictly opposed to a cap on solar expansion. Thomas Bareiß, energy spokesman of the Christian Democratic Party in the Bundestag, a fellow-party member of Minister Röttgen, has repeatedly called a cap the ultima ratio. At the beginning of the week, Minister Röttgen stressed in the newspaper Weser Kurier that solar feed-in tariffs should pave the way for a market introduction of solar power, but were not intended to become long-term subsidies.
According to the news agency Reuters, the ministries involved and the solar industry agreed to bring forward the solar feed-in cuts due at the beginning of next year to July of this year. Cuts could be as high as 12%, depending on the expansion.
Referring to information from dpa, the internet site Verivox, a provider of electricity price comparisons, confirms that additional mid-year cuts of up to 12% are being discussed, but says a spokesperson of Environment Minister Norbert Röttgen (CDU) had pointed out that the details are still to be decided.
A number of papers reported that the solar industry association BSW Solar continues to be strictly opposed to a cap on solar expansion. Thomas Bareiß, energy spokesman of the Christian Democratic Party in the Bundestag, a fellow-party member of Minister Röttgen, has repeatedly called a cap the ultima ratio. At the beginning of the week, Minister Röttgen stressed in the newspaper Weser Kurier that solar feed-in tariffs should pave the way for a market introduction of solar power, but were not intended to become long-term subsidies.
Wednesday, January 26, 2011
German FIT Analysis
Figure 1. End-user electricity consumption (gray columns, left Y-axis), and physically measured cumulative feed-in of renewable electricity with EEG incentives (green columns, right Y-axis). 2000 has been measured only from April 1st (BMU spreadsheet). Germany's end-user electricity consumption more or less stabilized in 2005-2008. 2009 has been a global crisis year, with a considerable drop in electricity consumption (Germany: minus 5,6% as compared to 2008). Renewable electricity production under EEG feed-in conditions - almost all fed directly into the net - grew continuously, up till 74,9 TWh in that "crisis" year, with strong to massive (PV) growth of new installations promising more full-year renewable electricity production in coming years. Average growth of EEG production in this period has been 7,2 TWh/year. Year-on-year growth percentage was, on average, 26%.
Tuesday, January 25, 2011
German Government announces FIT reduction for 2011
Solas Power News - The German Government has reached an agreement with the country’s solar industry to tailor solar photovoltaic (PV) feed-in tariffs to installed capacity.
Monday, January 24, 2011
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