Photovoltaic Sector Outlook

The National Development and Reform Commission announced in June that China will remove subsidies for new centralized photovoltaic (PV) stations and distributed PV projects from the central government budget in 2021 to achieve grid parity. The policies, effective from August 1, aim to promote high-quality development of new energy and better use of resources. The PV industry is expected to play a key role in the rapid development of renewable energy during the 14th Five-Year Plan (2021-2025). Government data shows that total installed capacity of wind and solar power reached 530 million kilowatts at the end of 2020, ranking first in the world. China’s goals of peaking carbon emissions by 2030 and achieving carbon neutrality by 2060 are heavily dependent on clean energy like wind and PV power. PV power enterprises nationwide must increase their sci-tech capacities and competitiveness to brace for the new era.