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

Premium
October 10, 2025
Gaëtan Masson of IEA PVPS warns of overcapacity, collapsing prices and slipping module quality in the new Trends in PV Applications report.
October 10, 2025
The European solar module market has reached a “state of equilibrium” in recent weeks, with stable prices and regular demand.
October 10, 2025
US solar recycling firm OnePlanet has achieved the R2v3 certification from electronics sustainability non-profit SERI, which represents the “highest standards of traceability”.
October 10, 2025
NTPC Renewable Energy Limited has signed an MoU with the Government of Gujarat to develop 15GW renewable energy projects in Gujarat.
October 10, 2025
Australia's renewable energy sector recorded its slowest month of the year for additions in September, with 5.8GW of new projects added to development pipelines, according to data from Rystad Energy.
October 9, 2025
The Australian government has announced the results of the fourth Capacity Investment Scheme (CIS) tender, with 6.6GW of renewables awarded long-term contracts.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 21, 2025
New York, USA
Solar Media Events
November 25, 2025
Warsaw, Poland
Solar Media Events
December 2, 2025
Málaga, Spain
Solar Media Events
February 3, 2026
London, UK