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Tuesday, 05 November 2024

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Spain's solar industry association to accept cap and lower feed-in tariff

Spain's ASIF (Asociación de la Industria Fotovoltaica) has acknowledged the need for a power cap in the new royal decree. Notwithstanding, ASIF wants the figure to be above 1,200 MW, the government's latest proposal.
Mr Javier Anta, ASIF's President, presented yesterday the "ASIF 2008" report, which shows an outlook of the solar PV industry during 2007. According to the report, the installed capacity reached 600 MW by the end of 2007, with an increase of 410% from the year before. Spain thus became the world's second largest market, after Germany. Only in 2007, an impressive 435 MW were installed in Spain, which represents an increase of 408% from the 2006 numbers.
 
Just over half a billion euros were invested in the solar PV manufacturing industry in Spain last year. The country is trying to become competitive in an industry traditionally dominated by German, Japanese and -lately- Chinese companies. In total, 347.2 MW of solar panels were manufactured in Spain last year, or 18% of the world's capacity.
 
Mr Anta acknowledged that the solar PV market has grown in the last years in Spain in an unsustainable way. For this reason, ASIF is calling for a "more adjusted" situation. In this sense, the association has acknowledge the need for a capacity cap, which should be well above 1,200 MW (this was the figure suggested by the Spanish Department of Industry in its latest proposal, presented some months ago).

"I don't think the government is going to present a cap that is already surpassed by the market", said Mr Anta after explaining that at the moment there are 830 MW installed in the country, with approximately 100 new megawatts being connected to the grid each month.

Joint proposal
APPA (Spanish Association of Renewable Energy Producers) and ASIF are currently working on a joint proposal to be presented to the Department of Industry. ASIF has already announced that a drop of 30% in the current feed-in tariff would be acceptable. They also hope that the new tariff is variable depending on the plant's capacity (i.e. bigger plants would get a lower feed-in tariff).

Given the fact that technology prices are expected to go down rapidly, ASIF is also willing to accept a so-called flexible photovoltaic tariff, which would drop by a percentage (between 2% and 10%) each year.

In the coming weeks, Mr Anta will meet Mr Pedro Marín, the country's Secretary General for energy, in order to discuss the new proposal. The new (definitive) proposal is expected to be presented after the summer.

ASIF has announced that in order to ensure sustainability, they will propose a cap of 480 MW for 2009, expecting to see the industry grow by 20% per year from then.

For additional information:
www.asif.org
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