According to Reuter’s sources at the parliamentary meeting in Germany on April 22, Chancellor Angela Merkel’s centre-right administration has agreed that the ruling coalition will cut solar power incentives.
The feed-in tariff rate for rooftop solar installations will be cut by 16% in a one-off slashing in July, while the incentives for most open-field, ground-mounted installations will receive cuts of 15%. Farmland solar systems will be hit worst, as they will no longer receive any subsidy payments.
Cuts of one percentage point in addition to those set out in the German renewable energy act (EEG) will also be made by the beginning of 2011 if newly installed capacity exceeds 3.5GW within a year. A further percentage point will also be added if installed capacity exceeds 4.5GW.