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During Q1/2018, China added in total 9.65 GW of solar PV power generation capacities

During Q1/2018, China added in total 9.65 GW of solar PV power generation capacities

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On April 24th, China’s National Energy Administration (NEA) during a press conference officially released the following data:

During Q1/2018, China added in total 9.65 GW of solar PV power generation capacities, made up by 1.97 GW of utility-scale and 7.68 GW of distributed solar PV respectively.

Overall, YoY 9.65 GW represents an increase of approx. 22%. However, YoY the utility segment dropped by 64%, whereas the DG segment increased by impressive 217%.

AECEA forecasted that approx. 7.5 GW will be installed during the 1st quarter of 2018.

Q1/2018 as well noticed a further improvement of the prevailing grid curtailment. Notably in the autonomous region of Xinjiang and province of Gansu, were the curtailment were above 20% for the entire year of 2017.

Last week, NEA distributed a draft version of it’s to be amended solar PV policy and has requested the industry to submit comments by April 25th.

Some excerpts below:

v  Three Types of Operation Mode:

v  Mode 1: 100% Self-Consumption

v  Mode 2: less than 50% feed-into the grid

v  Mode 3: 100% feed-into the grid

v   Three Project Capacities:

v  Less than 6 MW (residential systems below 50 kW – can choose any of the three modes) can only apply for mode 1 + 2;
excess power subject to regular local retail tariff – no FIT

v  6 MW to 20 MW (can only apply for mode 1)

v  Larger than 20 MW (can only apply for mode 3, subject to regular FIT via competition)

v   Rooftop systems larger than 20 MW are not considered “distributed generation”, but rather as regular power plants and therefore subject to regular FIT via competitive bidding

v   Projects which have received approval in 2018, but are unable to start construction shall be cancelled and not rolled-over to 2019

v   Stricter enforcement of annual guiding targets

v   Unapproved, non-registered and projects initiated construction without prior govt consultation shall no longer be accepted

v   Strengthen monitoring of project construction and in case rules were violated to levy a fine

v   Strengthen market monitoring

v   Poverty alleviation projects are subject to corresponding regulations

v   DG projects are administered by local provincial governmental – not central govt. – and are encouraged to award DG projects via competitive bidding

v   Project developers shall make sure that lease contracts for roofs, bldg., ground are at least 10 years

In light of the forthcoming policy changes, AECEA maintains it view that for the full year possibly btw. 40-45 GW will be installed.

Anand Gupta Editor - EQ Int'l Media Network

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