China Photovoltaic companies are facing an unprecedented crisis that the EU Antidumping Investigation case maybe will come along with devastating blow on the Photovoltaic Industry. In this background, these companies are gradually turning to the domestic market.

To encourage the rapid development of domestic photovoltaic market, the 12th five-year plan of China adjusted again from 21GW to 40GW on the capacity .

A insider said, “Exactly should that it was adjusted to 40W, which has no ceiling, and other conditions will not be changed”, which has been confirmed by one official.

At the end of 2011, the total of national PV capacity is just 3.6GW, which means the capacity of China PV is expected to expand in China more than 10 times in future three years.

Adjusted again

So far, PV power “12th five-year” plan of China has been adjusted four times. The first time, policymakers have considered this goal as 5GW ; then second per cent to 10GW. In a debate on may 8 this year, again per cent to 15gw.

On July 7, the National Energy Board issued documents, which adapted the target once again, that by the end of 2015, solar power installed capacity reached more than 21 million-kilowatt per hour ( 21GW ), and the annual Electricity generation can up to 25 billion-kilowatt per hour.

The PV “12th five-year” plan will not adjusted again after it has been adjusted to 21GW. But after less than two months, this goal is adjusted again. The person said that the main consideration in the capacity of 21GW does not meet the domestic market.

Adjusted logic

Over the past 10 years, the output of global PV cell grows by about 6 times a year, with an average annual increase of over 50%. By contrast, in China’s total installed capacity, distributed PV has minuscule.

At the beginning of the 2011 quarter of fourth, the PV Industry became in the winter. On September 6, China PV industry in the EU officially launched antidumping investigation case. It is buried beneath the waves for the PV companies, which are depend on 70% European market.

But compared with China's large output of photovoltaic modules, the scale of generating machine is still very small. Due to the sharp fall in the cost of PV is, close to the "cheap application ", eliminating the need for large-scale through financial subsidies to support, which makes it possible to promote large-scale photovoltaic power generation.

" The only way in the early phase of the use of subsidies to stimulate. And if PV capacity is large, which unable afford to financial subsidies. Development of Photovoltaic Industry is ultimately depends on the market to stimulate. Only Photovoltaic power generation by achieving cheap application, will be a burst of development. " The National Energy Board officials said.

From hexun