23 Sep '13, 3pm

China Boosts Solar Market with New Construction Ban

China Boosts Solar Market with New Construction Ban

Beijing took an important step towards rejuvenating the global solar panel sector last week when it announced new steps that will strictly limit new plant construction. This kind of government-led approach is a good short-term solution, as it will halt the introduction of new supply, which in turn will allow prices to stabilize after more than 2 years of steep declines caused by massive overcapacity. But over the longer term, China needs to address the problem at its root by changing the mindset of state-owned enterprises that own many smaller plants which contributed to the current crisis. It can do that by teaching them to make their decisions based on commercial factors and not simply in blind response to government objectives. The rapid build-up of China’s solar panel-making sector is a typical pattern seen in China during the reform era, when government objectives oft...

Full article: http://www.renewableenergyworld.com/rea/blog/post/2013/09...

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China Boosts Solar With Construction Ban: Filed...

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China halts construction of new solar manufacturing plants Beijing took an important step towards rejuvenating the global ...

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[email protected] has written a fine article on h...

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