China to discourage high subsidy, low-tech solar projects


UPDATE 1-China to discourage high subsidy, low-tech solar projects

(Add background on China power generation)
    BEIJING, July 28 (Reuters) - China will discourage the
construction of low-tech solar power projects or projects that
require high subsidies, the National Energy Administration (NEA)
said on Friday.
    The policy statement comes as the country has been
struggling to fund subsidies and tackle high power wastage from
a surge in renewable energy projects.
    China had a total of 101.82 GW installed solar capacity by
June. It will soon reach 110 GW, the target Beijing had aimed to
achieve by 2020. [nL3N1KB453][nL4N1D81TR]
    Environment group Greenpeace said the solar curtailment rate
across China rose 50 percent in 2015 and 2016, with more than 30
percent of available power in northwestern province Gansu and
Xinjiang failing to reach the grid. [nL3N1HQ1KE]
    An official at NEA said on a conference last week that
China's power wastage on renewable energy has been improved,
with curtailment rate on wind and solar power generation
decreased seven percent and five percent respectively in the
first half of this year.
    The administration will set technical standards on solar
products to speed up technological progress and eliminate
outdated capacity, the statement said.
    No new solar power capacity will be added before 2020 in
Gansu, Xinjiang and Ningxia provinces due to high curtailment,
it said.
    New wind power plants in Jilin, Heilongjiang, Gansu,
Ningxia, Inner Mongolia and Xinjiang will not be approved
between 2017 and 2020, because of high power wastage.

 (Reporting by Muyu Xu and Beijing Newsroom; Editing by Richard
Pullin and Michael Perry)
 ((muyu.xu@thomsonreuters.com; +86 010 66271298;))


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