China’s new grid capacity likely to exceed solar demand

May 27, 2020
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Forecasts expect in the region of 40-45GW of new solar to come forward in China in 2020.

China could accommodate nearly 50GW of new solar PV capacity this year, new analysis has revealed.

Analysis from China’s National New Energy Absorption Monitoring and Early Warning Center, issued earlier this week, confirmed that the country’s vast power grid would be able to incorporate some 48.45GW of new solar installations this year.

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The theoretical maximum would be split between just over 39GW on grids operated by the State Grid Corporation of China, an additional 7.4GW of solar within Southern Power Grid Corporation’s operational area, and a further 2GW of new capacity allowed within the operating area of Inner Mongolia Electric Power Company.

The province with the most capacity for new solar is Shandong, which has room for some 4.4GW of new solar installs, followed by Jiangsu (3.25GW) and Qinghai (3GW).

With the capacity for an additional 48.45GW of new solar installs this year, China is unlikely to encounter any issues around curtailment. Most forecasts have placed new solar project completions in China this year in the 40-45GW range, having installed around 30GW last year.

Deployment of solar has indeed slowed in China in recent years. Last year’s 30.11GW contrasted against the 43.4GW installed in 2018 and 53GW in 2017.

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