Focus on Arts and Ecology

Subsidies in the solar sector were slashed last May causing half a year of uncertainty. This week, China’s National Reform and Development Councilannounced it will encourage the development of solar and wind farms that can sell electricity at the same price as non-subsidised coal plants. They won’t be subsidised but will enjoy priority access to the grid. The announcement aims to take advantage of rapid falls in the cost of constructing solar and wind farms. It comes just a week after a non-subsidised solar power plant in Qinghai provincemade history as the price of its electricity dipped beneath coal for the first time in China. The announcement added that projects could continue to receive government support for land and financing costs, as well as provincial level subsidies. And it laid out requirements for local governments to help improve market conditions for solar and wind projects.