As expected by solar industry observers and trade groups, Germany’s Chancellor, Angela Merkel has approved plans proposed by Economy Minister Philipp Roesler and Environment Minister Norbert Roettgen to drastically curtail the feed-in tariff in an attempt to limit future PV installations, after a record 7.5GW was installed in 2011.
The proposed changes will now be voted on in the lower house of parliament, which is expected to be challenged more vigorously, though a major challenge and potential halt to the proposals is uncertain.
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German trade organization BSW-Solar fears the FiT changes would lead to a 75% market decline as a result of the plans.
