This group brings together the best thinkers on energy and climate. Join us for smart, insightful posts and conversations about where the energy industry is and where it is going.

Post

Chinese Plan To Boost Solar Energy Capacity Boosts Solar Energy Stocks

Joshua Hill's picture
Cleantechnica.com
  • Member since 2018
  • 56 items added with 37,976 views
  • Jul 19, 2013
  • 559 views

Chinese Solar Plan

The past few years has seen China supplant European countries as the world’s largest solar manufacturer as well as begin to dominate the installation process as well, with Chinese solar installations becoming more and more a mainstay in the electricity generation mix.

This trend will only continue, especially in light of news posted on the government’s website, which states that China is aiming to add 10 GW of solar power a year over the next three years. This would boost China’s solar capacity fivefold, up to 35 GW by 2015.

As a result of this news, both Xinyu-based LDK Solar Co. (LDK) and Wuxi-based Suntech Power Holdings Co. rose more than 19% in New York trading.

Bloomberg analysts believe that the added demand created by installing more solar photovoltaic installations will help alleviate industry oversupply, oversupply that contributed to a 20% plunge in the average price of solar panels in 2012.

“I think they’re going to sustain these high levels of growth and soak up some of the excess capacity, maybe getting up to 8 to 9 gigawatts a year,” Angelo Zino, an analyst at Standard & Poor’s in New York, said today in an interview.

The statement released by the Chinese government is available to read here, but you’ll need a pretty decent grasp of a) Chinese or b) Google translator. China is prepared to provide credit support to support profitable photovoltaic manufacturers and encourage restructuring and overseas investment, though no measuring stick for ‘profitable’ was given.

This comes at a rough time for the Chinese solar industry as they have found themselves in disfavour in Europe and the US. However, tariffs and other restrictions may soon be worked out.

Photo Credit: Chinese Solar Plan Boosts Stocks/shutterstock

Chinese Plan To Boost Solar Capacity Boosts Solar Stocks was originally published on: CleanTechnica. To read more from CleanTechnica, join over 30,000 others and subscribe to our free RSS feed, follow us on Facebook (also free!), follow us on Twitter, or just visit our homepage (yep, free).

Joshua Hill's picture
Thank Joshua for the Post!
Energy Central contributors share their experience and insights for the benefit of other Members (like you). Please show them your appreciation by leaving a comment, 'liking' this post, or following this Member.
More posts from this member
Discussions
Spell checking: Press the CTRL or COMMAND key then click on the underlined misspelled word.

No discussions yet. Start a discussion below.

Get Published - Build a Following

The Energy Central Power Industry Network is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.

If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.

                 Learn more about posting on Energy Central »