Central enterprises invest in solar power generation

Why did China promote the solar PV industry?

The solar PV industry (as well as wind power) was supported and promoted with the explicit aim to create a leader in the global renewable energy market and to export equipment made in China to the promising solar markets in Europe and in USA. China’s government wanted to take its export-oriented, “factory of the world” economy to the next level.

What are the financing channels for China's Wind power & photovoltaic power developers?

The main financing channels for China's wind power and photovoltaic power developers are bank loans, stock market, bonds, etc. Bank is the main financing channel. By the end of 2011, a total renewable energy loan amount issued by banks was about 300 billion RMB, of which the largest share was China Development Bank.

How do financial incentives work for solar companies?

Financial incentives came in two different forms: market-based tools to spur investment into the new strategic industry, and access to credit when necessary. When the financial crisis hit, the China Development Bank (CDB) made $43.2 billion available to 15 solar companies in 2010 which supported them despite global uncertainty.

Why do Chinese companies invest in solar?

Unlike China's wind industry, the solar industries largely relied on an international market for many of its early years, prompting Chinese companies to make greenfield investments in solar abroad as early as 2009 (AEI, 2019). The dominant investment trend, in addition to a growing market size, is also a shift toward emerging markets.

How much money did China invest in solar energy?

During the12th Five-Year Plan (2011–2015), the support for PV fields covered the entire manufacturing chain. The average annual investment in R&D from MOST was approximately USD 75 million during this period. In 2006, China began to enact the “Renewable Energy Law.” The law was a national framework for promoting renewable energy development.

Is China a leader in solar energy technology?

Over the past 20 years China has emerged as the world leader in solar energy technology. At the end of 2019, China’s total installed capacity of solar PV power made up 204 GW of energy.