Abstract The State Council executive meeting recently launched five support policies for the photovoltaic industry, which will set the benchmark price for sub-regional Internet access and implement the same VAT preferential policy as wind power. Experts believe that the five policies are all directional policies, and it is expected that supporting policies will be introduced one after another, and the sub-regional feed-in tariffs...
The State Council executive meeting recently launched five support policies for the photovoltaic industry, which will set the benchmark price for sub-regional Internet access and implement the same VAT preferential policies as wind power. Experts believe that the five policies are all directional policies, and it is expected that supporting policies will be introduced one after another, and the sub-regional on-grid tariffs should be normalized. "Photovoltaic going to the countryside" or driving the trillion market
"In recent years, China's photovoltaic industry has developed rapidly and has formed a relatively complete photovoltaic manufacturing industry system." The meeting believes that the current major problems in the photovoltaic industry are: a serious overcapacity, excessive market dependence on external demand, and widespread business difficulties.
The meeting emphasized that the photovoltaic industry is a strategic emerging industry. The current difficulties encountered by China's photovoltaic industry are not only the severe challenges facing industrial development, but also an opportunity to promote industrial upgrading and upgrading. In particular, the cost of photovoltaic power generation has fallen sharply, providing favorable conditions for expanding the domestic market.
In fact, since the beginning of this year, China's photovoltaic industry has successively encountered US “double-reverse†tariffs and the EU's “anti-dumping†investigation, which exposed the serious overcapacity of the photovoltaic industry and excessive dependence on external demand. Domestic PV companies are generally operating difficulties.
On the basis of this understanding, various ministries and commissions including the National Development and Reform Commission, the Energy Bureau, and the Ministry of Industry and Information Technology have successively issued policies to support the policies of the photovoltaic industry. Recently, it was reported that the Ministry of Industry and Information Technology is taking the lead in organizing a plan to “photovoltaic to the countryside†to promote large-scale entry of solar photovoltaic power into rural markets, photovoltaic powerhouses in rural areas and rooftop power generation, and potential market applications. It can reach more than one trillion yuan.
“This is the first time that the photovoltaic industry support policy has been put into the top-level design perspective.†Lin Boqiang, a member of the Energy Economist and the National Energy Expert Advisory Committee, told the Nanfang Daily reporter that although the five major policies are past policy directions, they will also produce "Life-saving straw" role.
Relevant departments will promptly formulate supporting policies
The five policies promulgated by the State Council include making good use of the market to “forceâ€, encouraging mergers and acquisitions, eliminating backward production capacity, strengthening coordination between photovoltaic power generation planning and supporting power grid planning, establishing an efficient grid-connected service system, and exploring the domestic PV market. Distributed photovoltaic power generation; according to resource conditions, the photovoltaic power station sub-regional benchmarking price is set. The photovoltaic power station project implements the same VAT preferential policy as wind power; plays the role of market mechanism, reduces government intervention, and prohibits local protection.
However, some people in the industry are worried that due to the numerous and chaotic phenomena in the photovoltaic industry, relying solely on the power of the market to eliminate them, I am afraid that "there is more than enough power."
“It is still difficult to rely solely on the market elimination mechanism.†Wang Sicheng, a researcher at the Energy Research Institute of the National Development and Reform Commission, also expressed such concern that the integration of the photovoltaic industry still needs to rely on government intervention.
Similar to Wang Sicheng's point of view, Lin Boqiang also believes that in the short term, some small micro-PV companies will not be eliminated. “The key is whether local governments decentralize.†He explained that most PV companies have a relationship with the local government. Let go, the market elimination effect will be fully exerted.
What makes Lin Boqiang more expect is the introduction of specific supporting measures. The introduction of principled policies is only the basis. “How big is the subsidy, how fast the subsidy rate is, and how the sub-regional feed-in tariff is formulated will have a major impact on the PV industry.â€
The State Council also responded to this. The meeting requested that all relevant departments should promptly formulate and improve supporting policies to ensure that implementation is in place.
Sub-regional on-grid tariffs are expected to be normalized
In the interpretation of the industry's policy, "sub-regional benchmarking electricity price" has become one of the highlights of this policy.
“This is a good policy for the industry.†Wang Sicheng explained to the Nanfang Daily reporter that setting the benchmark price for the sub-regional Internet will help promote the development of the eastern PV market. For developers, they can choose distributed power generation subsidies. You can also choose the on-grid price, which is more flexible.
Lin Boqiang said that due to the inconsistent resource conditions in various places, the cost of generating electricity from photovoltaic power plants varies greatly. Previously, the policy of “one size fits all†could not mobilize the enthusiasm of power stations. He added that, in fact, the benchmark price of sub-regional Internet access has been formulated before, but this time with the support of the State Council policy, it is expected that a more detailed zoning plan will be introduced, and the subsidy authority will be collected at the central rather than local level to improve the efficiency of subsidies.
The reporter noted that the support policy issued this time clearly clarifies that the central government funds support the development mechanism of photovoltaics, and the photovoltaic power station projects implement the same VAT preferential policies as wind power. Wang Sicheng suggested that the electricity price for benchmarking in sub-regional networks can be carried out in batches, and when the time is ripe, normalization operations will be carried out.
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