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| Mon, 8th Jun 2020 13:45:00 |
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Announcement of solar grid caps in China could mark fightback by network operators |
After managing to bear down on costs enough to compete with coal-fired generation, it appears solar developers in China now face a new hurdle to overcome – resistance from grid companies.
With the China Photovoltaic Industry Association predicting 30-40 GW of solar capacity will be added in the nation this year, the 48.5 GW cap announced by grid operators for 2020 is unlikely to affect project deployment in real terms.
However the official announcement of 'adoption capacity' limits by the country's three main grid operators this year appears to mark a determination by the networks to resist unrestricted expansion of solar power generation.
The caps on new PV capacity, also known as 'connection limitations', have been confirmed by China's National Energy Administration (NEA) after lengthy internal discussions.
The State Grid Corporation of China, which caters to more than 80% of the nation's power consumption, announced it would be able to make no more than 39.05 GW of network capacity available for solar facilities on its grid this year. The state grid's smaller state-owned cousin, the China Southern Power Grid – one of the two national networks to cover wealthy Guangdong province – has made 7.4 GW of capacity available. China's only provincial grid operator, the Inner Mongolia Power Corp, has offered 2 GW for solar.
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