On July 15, the Chinese State Council issued the "Several Opinions of the State Council on Promoting the Healthy Development of the Photovoltaic Industry," commonly referred to as the "State Six Articles." This policy aims to boost domestic photovoltaic demand by expanding the installed capacity of solar power generation in China by 75% from a base of 20 million kilowatts in 2015. It also outlines strategies for industry consolidation, clarifies electricity pricing and subsidy mechanisms, and sets new access standards for photovoltaic projects.
The term "Six Countries" was coined under the influence of U.S. and European policies on solar energy, reflecting strong national support for the sector. However, the broader economic context suggests that the government is focusing on structural reforms rather than direct stimulus, adding an air of uncertainty around the implementation of these six key measures.
As a crucial part of automation, the solar industry's growth will significantly impact related sectors. The "State Six Articles" have sparked discussions among experts, companies, and media about their potential to drive development. Key debates include whether the grid can support unconditional solar integration, how subsidies should be managed post-Golden Sun program, and whether technical standards are being set appropriately.
One major concern is whether grid companies can fully support solar projects without restrictions. While the policy mandates prioritized grid connection and full acquisition of generated power, experts highlight ambiguities in defining "distributed" versus "large-scale" projects and the feasibility of full power acquisition without legislative backing.
Another debate centers on the future of subsidies after the Golden Sun project, which faced criticism for mismanagement and lack of oversight. Some argue that while subsidies are necessary, current methods need reform. Others stress the importance of learning from past mistakes to avoid similar issues in the future.
Technical standards also remain a point of contention. Critics suggest that the focus on large-scale demonstration projects may hinder core technological innovation. They advocate for more targeted investment in research and development, ensuring that smaller but technologically advanced companies are not overlooked.
Before the introduction of the "State Six Articles," the solar industry faced a challenging period, with many listed companies suffering losses due to global market pressures. However, the new policy has reignited interest, attracting overseas investments and sparking a rare surge in solar panel demand.
Despite this optimism, concerns remain about achieving the ambitious targets set for 2015. Experts warn that rapid expansion must consider practical limitations such as rooftop solar feasibility in densely populated urban areas. Many companies are now shifting focus toward commercial and utility-scale systems, which are seen as the next big opportunity.
The upcoming price subsidy policy is highly anticipated, as it will play a critical role in determining the industry’s financial viability. While the recent draft of the "Notice on Perfecting the Power Generation Price Policy" offers some clarity, the actual impact will depend on the timely release of detailed regulations on tariffs, subsidies, and grid connectivity.
In conclusion, while the "State Six Articles" mark a significant step forward for China’s solar industry, their success hinges on effective implementation, clear guidelines, and continued support from both the government and the private sector.
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