Photovoltaic plant return rate will rise 1%-2%

On August 2nd, some media said that it was learned from authoritative sources that relevant departments will clarify the 50 percent preferential policy for the value-added tax of photovoltaic power plant projects. This will be another good news from the photovoltaic industry after China and the EU reached an understanding on the photovoltaic trade dispute and authorities reported that photovoltaic grid-connected power generation has subsidized 0.42 yuan per kilowatt-hour. The person in charge of a number of local photovoltaic companies in Hubei Province indicated that this series of favorable years will be introduced in succession.

Limited benefits but significant signal effect At present, the value-added tax of photovoltaic power plant operating companies is 17%. According to an analysis agency, if value-added tax is halved, that is, 8.5 percentage points downward, equivalent to an increase in grid-connected electricity price of 0.02-0.04 yuan/kWh, and the return rate of power stations will increase by 1%-2%, which will directly benefit photovoltaic power plant operators. With the increase in the operating profit of photovoltaic power plants, it will also have a positive effect on the upstream equipment production.

After the news was reported, the reporter contacted the local photovoltaic company in Hubei for the first time. Assistant Wang Guodong, chairman of Wuhan Xinglongyuan Solar Energy Technology Co., Ltd., said that the value-added tax will be halved and will be converted into electricity per kilowatt hour. Although there is no stronger rate of 0.42 yuan per kilowatt hour electricity subsidy sent out in July this year, the country will be released. Continually introduce preferential policies to stimulate the healthy development of the photovoltaic industry.

Wang Guodong introduced that in fact, as early as last year, Jiangsu and Zhejiang started piloting a half-value-added tax policy; Xinjiang, Gansu, Inner Mongolia and other places, the full tax-free photovoltaic power plants as a major preferential incentives. Therefore, in the past year, the company has been focusing its investment in photovoltaic power plants on the aforementioned tax-exempt areas. The total contracted investment has reached 2 billion yuan. Among them, only a project in Xinjiang, the investment reached nearly 900 million yuan.

The reporter learned that according to the Circular on Comprehensive Utilization of Resources and Value-added Tax Policies for Other Products issued by the Ministry of Finance and the State Administration of Taxation in 2008, using wind-generated electricity, VAT shall be refunded at the rate of 50%. At the end of last year, the executive meeting of the State Council made it clear that it is necessary to improve the central government's financial resources to support the photovoltaic development mechanism. The photovoltaic power station project implements the same VAT preferential policies as wind power. It can be seen from this that the preferential policy of 50% for the value-added tax of PV power plants is not groundless.

“The New Deal will reduce the cost of photovoltaic power plant construction and shorten the period of investment return.” Deputy Director-General of Wuhan Chengguang Bode Optoelectronics Technology Co., Ltd. said that the enthusiasm of government agencies, enterprises, and families investing in photovoltaic power stations may be stimulated.

It took four months for good news that the industry is unanimous that the recent positive news in the photovoltaic industry has been passed down. This may mean that there will be a series of intensive introductions to follow up, thereby stimulating the domestic PV market.

As we all know, China's photovoltaic industry has long been in the raw materials, the market "two out" pattern. Since last year, after the United States, Europe, and other countries successively resorted to the "double reverse" policy, China's photovoltaic industry had to turn its attention from abroad to the country. Therefore, how to maximize the activation of the domestic photovoltaic market has become a top priority.

In March of this year, the National Development and Reform Commission issued a draft of the “Notice on Perfecting the Electricity Pricing Policy for Photovoltaic Power Generation”, involving the benchmark price of photovoltaics and subsidies for distributed photovoltaics. However, a few months after the release of the draft, the details were not announced.

At the end of May, the Ji Dongjun told reporters that although the company was less affected by the “double reaction” in the short term, if there were no subsidies, the long-term market expansion would be limited. He said that no matter whether it is upstream panel components companies, mid- and downstream power plant operators and equipment manufacturers, or end-users, they are eagerly looking forward to the New Deal. "In a sense, 'double reverse' or will be forced Photovoltaic new regulations will be introduced as soon as possible."

In a language. In early July, the State issued the “Several Opinions on Promoting the Healthy Development of the Photovoltaic Industry”, and put forward specific requirements for improving electricity prices and subsidy policies, increasing financial and tax support, and strengthening the construction of distribution networks. At the end of July, industry experts such as the China Energy Society revealed that the subsidy quota for each unit of grid-connected PV power plant demonstration zones was finalized at 0.42 yuan, which was an exciting time.

"Now, it is reported that the value-added tax of PV power plants will be 50% of the sign-off," said Dongdong Jun, which means that the photovoltaic company's four-month waiting period should have a quick result. A series of good news may completely get rid of the negative effects of the trade friction that the photovoltaic industry has for more than a year.