24 Feb '15, 4pm

Japan Panel Considers 16 Percent Cut for Solar Feed-in Tariff

Japan Panel Considers 16 Percent Cut for Solar Feed-in Tariff

TOKYO -- Japan is considering reducing the incentives for developers of solar power projects by as much as 16 percent to reflect lower operating and maintenance costs. The tariff for applications approved between April 1 and June 30 could be cut to 29 yen per kilowatt hour from the current rate of 32 yen under a proposal presented today by a panel in charge of reviewing the country’s renewable-energy incentives. The tariff would be cut again to 27 yen per kilowatt hour beginning in July, the panel recommended. The lower tariff could cool investments in Japan’s booming solar market by making it less attractive for developers eager to lock in contracts at some of the highest rates in the world. The tariff reductions are part of an annual review of the mechanism used by Japan to encourage investments in renewable energy . The incentive, known as a feed-in-tariff , offers long...

Full article: http://www.renewableenergyworld.com/rea/news/article/2015...

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