Chinese FiT cuts won’t quell demand, says EnergyTrend

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on email
Project development is not expected to be hit by the decrease in FiT. Source: United PV.

Recently confirmed cuts to China’s feed-in tariff will not dampen project deployment next year, analyst firm EnergyTrend has said.

High-irradiance western provinces, including Xinjiang, will see FiTs cut by 5.56% from next year. The rest of the country will have reductions of less than 5%. It is the first significant tariff alteration since 2011.

EnergyTrend analyst Corrine Lin said project demand was likely to undergo a moderate increase following the confirmation of the reductions with equipment prices also increasing.

“Prices are projected to rise in November and December. However, the market outlook for the end of this year remains uncertain,” said Lin citing uncertainty in the US as a result of the ongoing trade dispute and the unknown impact of major Chinese manufacturers expanding production overseas.

According to EnergyTrend, Chinese module manufacturers have experienced an immediate boom in orders as developers look to secure supply for 2016. Price increases have already begun as a result.

Read Next

April 9, 2021
A draft proposal put forward by China’s National Development and Reform Commission could see subsidies for new solar projects phased out, starting this year.
April 6, 2021
SunPower is to allow Maxeon Solar to the Performance Series (P Series) p-type mono-Passivated Emitter Rear Cell (PERC) shingled PV modules into the US market as part of a major change to initial manufacturing agreements.
April 6, 2021
The International Renewable Energy Agency’s (IRENA) director-general has hailed the start of a “decade of renewables”, following a 2020 that saw China and the US drive global solar installations.
PV Tech Premium
March 30, 2021
In exclusive analysis for PV Tech Premium subscribers, Mark Osborne scrutinises JA Solar's plans to have 40GW of module assembly capacity by the end of this year, and how it reached that capacity.
March 29, 2021
Despite additional solar and wind contributing to a record reduction in global coal generation last year, new renewable energy projects are still not being built quickly enough to keep pace with rising electricity demand.
March 29, 2021
More than 180GW of solar will be deployed globally this year as the sector defies headwinds including higher module prices and supply chain constraints, IHS Markit has said.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
April 13, 2021
Solar Media Events
April 20, 2021
Upcoming Webinars
April 28, 2021
4:00 - 4:30 PM CET