National Energy Administration: The Total Subsidy Budget for New Photovoltaic Power Generation Projects in 2020 Is 1.5 Billion Yuan

PVTIME – Just now, National Energy Administration of China released their policy plan for photovoltaic power generating projects in 2020.

In order to build a clean, low-carbon, safe and efficient energy system, promote the progress of photovoltaic power generation technology and reduce costs, and achieve high-quality development, the relevant requirements for the management of photovoltaic power generation construction in 2020 are notified as follows:

1. Actively promote the construction of grid parity projects

Actively support and prioritize the construction of unsubsidized grid party photovoltaic power generation projects. Provincial energy departments overseeing these projects shall act in accordance with National Development and Reform Commission, National Energy Administration’s relevant requirements outlined in the <Notice on the Active Promotion of Unsubsidized Grid Parity Wind and Photovoltaic Power Generation Projects> when organizing and implementing aspects of the projects such as connection to the grid and consumption of power generated.

Project information shall be reported to the bureau as well as forward to the bureau’s local agencies before the end of April 2020. The bureau will organize the information in a timely manner and announce them in due course. All projects should be able to be put on record and begin construction before the end of 2020. The list of the first batch of projects issued in 2019 will be submitted together with adjustment if necessary.

2. Reasonably determine the competitive allocation scale for projects that require state subsidies

Photovoltaic power generation that require state financial subsidies shall be implemented in accordance with the relevant requirements outlined in the <Notice on Matters Related to the Construction of Wind and Solar Power Generation Projects in 2019>.

The total subsidy budget for new photovoltaic power generation projects in 2020 is 1.5 billion yuan, 500 million yuan for household photovoltaic and 1 billion yuan for subsidized bidding projects (including centralized photovoltaic power stations, industrial and commercial distributed photovoltaic projects). The competitive guidance price shall be implemented in accordance with the relevant national pricing policy.

The construction scale of household photovoltaic included in the scope of national financial subsidies (i.e. the total annual installed capacity of new projects that can be arranged in the current year) is calculated according to the annual utilization hours of 1000 hours based on relevant national pricing policies, and is determined by rounding down to the 500000 kilowatt range.

When the accumulated installed capacity of new grid connected projects for the year up to the end of last month exceeds the total annual installed capacity of new projects that can be arranged in the year, the last day of the month when the household photovoltaic information is released shall mark the deadline for grid-connected household photovoltaics that wish to benefit from the national subsidy policy for the current year.

3. Fully implement the conditions for power transmission as well as consumption

On the basis of fully considering the consumption demand of the grid connected projects and all projects on record, each province’s competent energy department, together with various agencies, shall guide provincial grid enterprises (including local grid enterprises managed by the provincial government) in connecting newly added photovoltaic power generation projects to power transmission projects, and implement a plan for power consumption.

4. Schedule and submission requirements

Provincial (regional, municipal) energy authorities are requested to organize and carry out the relevant work as soon as possible according to the above requirements, review the voluntary applications by enterprises for national subsidy projects, and submit the subsidy bidding projects to be built in 2020 along with the bidding prices and relevant information to the National Energy Administration before midnight of June 15, 2020.

Log in to the National Renewable Energy Power Project Information Management System through the National Energy Administration portal (website: http://www.nea.gov.cn) to fill in relevant information and upload various supporting documents.

5. Strengthen follow-up supervision efforts

Each region’s National Energy Administration agencies should strengthen supervision efforts on matters such as demonstration of regional power consumption ability, competitive allocation scale, grid transmission project construction, grid connectivity and consumption. Agencies shall report on the situation to the National Energy Administration in a timely manner.

Local energy authorities should also increase coordination with national land and environmental departments in order to promote the reduction of non-technical costs, and create an ideal environment for the development of photovoltaic power generation projects.