Following a meeting of the environment committee on Wednesday this week, the German government has agreed on a maximum annual reduction in FiT rates. Effective April 1 and intended to be distributed over several months, the reduction will rise to 28% from 24%.
The government is also trying to introduce 100% incentives towards installations of more than 10kW. Michael Kauch, environmental policy spokesman of the FDP parliamentary group is spearheading for devolution. He wishes for the power to change subsidy rates taken out of the hands of central government and left with local ministers.
Carsten Koernig, head of the BSW solar lobby, told Reuters, “We've got good hopes that some of these points in the proposed changes will be revised. In our view we can't continue cutting incentives at that kind of pace.
“What made Germany the most important solar power market is the world is the confidence investors have in the reliability of government policies on solar.The government was at risk of losing that image with the way things we're headed.”