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China cuts red tape for distributed PV as it chases 8GW target

  • Goldpoly Greenhouse
    A greenhouse rooftop installation in China. The country is keen to boost its distributed solar generation. Source: Goldpoly.

The Chinese government has announced changes to tax rules for distributed PV as it looks to make up ground on its 8GW target for 2014.

China has several invoicing protocols, some simple, as used between retailers and customers, and a more complex system for corporate transactions.

Under the new rules, invoices for electricity sold to the national grid by owners of small PV systems, can use the simpler invoicing system.

In addition, VAT claims will be handled by the State Grid Company on behalf of the country’s tax authorities, reducing the number of agencies PV owners need to liaise with.

A sluggish start to the year led some commentators to predict that 1GW was a more realistic distributed generation figure for China in 2014.

Market research firm IHS predicted last month that the Chinese government would intervene in order to hand the sector a boost.

Additional reporting by Huangye Jiang.


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