The Chinese government said today that it would provide new incentives for solar photovoltaic (PV) projects, further opening up this rapidly-growing energy market to the solar industry.
The Chinese Finance Ministry will provide US $2.93 per watt for projects of 50-kilowatts and above.
The Chinese Finance Ministry will provide ¥20 [US $2.93] per watt for projects of 50-kilowatts and above. The move could potentially kick-start the PV industry in China, which up until this point has been almost non-existent. While many solar manufacturers are based in the country, there has been little domestic demand for their products.
Solar stocks rallied on Wall Street today because of the announcement. Suntech Power saw its stock climb 49 percent, while Yingli Green Energy was up 47 percent and JA Solar got a boost of 34 percent.
The solar hot water and wind industries are booming in China. Many analysts believe it is only a matter of time before the PV industry takes off as well. Based upon today’s stock performances, it seems Wall Street agrees.