Feed-in tarriffs

In Germany we will likely install about 8 gigawatts (GW) of new solar systems by the end of this year, meaning Germany will double its market compared to 2009 and hence would follow the worldwide trend (the world market in 2009 was 7.5 GW and 2010 is predicted to be about 14.7 GW).

For 2011, the German industry expects about 6 GW of photovoltaics (PV) to be installed, a number which was published recently in the “Roadmap for the Solar Economy” by the German Solar Industry Association (BSW-Solar).

In a perfect world we would be confident in these numbers and projections, but the situation is much more complex. The following are my thoughts on factors that could impact the solar industry in Germany in the coming year.Read more

The Japanese government has a long history of promoting new energy sources – from supporting research and development, to creating programs that drive adoption. Early last year, the Japanese government unveiled its action plan for achieving a low-carbon society: with its largest-ever economic stimulus program – dedicating $55 billion over the next 5 years. The plan, which includes a huge boost for solar photovoltaic (PV) systems, is aimed at making Japan a global leader in the development and implementation of core clean energy technologies like solar energy and electric cars.

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Today, the solar photovoltaics (PV) industry relies on government incentive programs to be competitive in electricity markets. The main government policy lever has been the use of feed-in tariffs (FiTs). An FiT requires utilities to interconnect with private renewable energy generators and purchase the electricity generated at a pre-determined rate.Read more

New York Times columnist Tom Friedman wrote a great piece in Wednesday's Times entitled "Have a Nice Day" about Applied Materials and what we must do to put America on the path to leadership in solar energy.  The piece is based on his visit to Applied last week.  I would encourage you to check it out.

The feed-in tariff (FiT) and net metering are both methods by which a utility company compensates a homeowner or other producer for the energy fed back into the grid. Simply put, net metering requires one meter, FiT requires two.

In net metering the meter simply “runs backwards” when a homeowner’s solar panels are producing more electricity than the property is using, sending the excess energy back through transmission lines to other energy consumers.Read more