German PV subsidy cuts: yes no…oh yes!

Facebook
Twitter
LinkedIn
Reddit
Email

The new German Government didn’t spend much time after the recent election to propose changes in the FiT program above and beyond the planned yearly declines. Then under pressure from the PV industry and certain states, politicians became more conciliatory to less than ‘aggressive’ changes, even though it was never made clear what the degree of changes would inevitably be.

However, with the increasing belief of a growing number of industry observers and players, PV installations in the country are set for record levels, far beyond what the new Government would accept under ‘reasonable’ growth.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The catch is that while projections for installations this year have helped ease the pain of an industry struggling under the global economic recession, it looks increasingly likely that there will be more aggressive changes made to the FiT to counter the huge growth.

The industry will find that its arguments for a ‘reasonable’ approach to changes could fall on deaf-ears.

I was actually hoping that the MW installations didn’t reach the levels some are suggesting as this would help the industry argue effectively that a good FiT system is good for all. That would now seem to be under serious threat as Bloomberg reports that Germany’s Environment Minister, Norbert Roettgen was quoted as saying that there was now the situation of ‘overburdening’ and that a new mechanism would have to be flexible ‘to market conditions.’

I take that political speak to mean deeper cuts to the FiT than was expected after the pressure from the industry had sunk in. Whether we are back to the levels of cuts muted by the Government upon election or perhaps even worse, are impossible to tell at this moment.

One way to gauge the severity level is if proposals with more clearly stated aims are issued early next year so that they could even be implemented mid-year. If we get a more pragmatic approach adopted then implementation would occur for 2011 as per normal changes.

Read Next

October 14, 2026
The Becquerel Institute has released a segment briefing on the potential impact that AI and robotics can have on solar PV installations.
Premium
October 14, 2026
Australia ranks second to the US for data centre investment, driving demand for solar power and battery storage.
October 14, 2026
The prices of European renewable energy power purchase agreements (PPAs) rose by 5.0% in September, according to figures from Pexapark.
October 14, 2026
Arevon Energy signed three 20-year Indexed REC contracts with Illinois utilities for its 200MWac/275MWdc Panther Energy solar project.
Sponsored
October 14, 2026
Leon Zhang, President of Utility Europe, LONGi, discusses the changing economics of European solar and the strategic role of storage.
October 14, 2026
India’s solar generation rose 39% year-on-year to a record 705MU on 30 September, CREA’s latest snapshot reported.

Upcoming Events

Solar Media Events, Upcoming Webinars
October 21, 2026
2pm AEDT
Solar Media Events
November 3, 2026
Málaga, Spain
Solar Media Events
November 24, 2026
Warsaw, Poland
Solar Media Events
February 2, 2027
London, UK