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China plans dramatic cut in solar feed-in tariffs for 2017

The National Energy Administration (NEA) of China has proposed significant decreases in solar feed-in tariffs for 2017, for both distributed PV plants and ground-mounted PV plants, ranging between 23% and 52%.



For ground-mounted solar PV power plants, feed-in tariffs may decrease by up to 37% in the Region I (western provinces suffering power restrictions, such as Ningxia, Qinghai and Xinjiang), from Cyu 0.8/kWh to Cyu 0.55/kWh (from US$12c/kWh to US$8c/kWh); the reduction would be 25% for the Region II (Beijing, Tianjin and certain districts in Qinghai, Xinjiang and Gansu), from Cyu 0.88/kWh to Cyu 0.65/kWh (from US$13c/kWh to US$10c/kWh), and 23% for the Region III (eastern China), from Cyu 0.98/kWh to Cyu 0.75/kWh (from US$15c/kWh to US$11c/kWh).



Feed-in tariff cuts would be higher for distributed solar PV (currently Cyu 0.42/kWh, i.e. US$6.3c/kWh): -52% for the Region I (to Cyu 0.2/kWh, or US$3c/kWh), -40% for the Region II (to Cyu 0.25/kWh, or US$3.7c/kWh) and -28% for the Region III (to Cyu 0.3/kWh, or US$4.5c/kWh).

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