Analysis of Main Factors Restricting the Development of China's PV Market

Restricting China's PV market is mainly caused by the following three issues: 1) The problem of grid connection of large-scale ground power stations. 3) Subsidy arrears of photovoltaic power plants. 2) Definite subsidy electricity price for distributed power plants.

This year's meeting of the State Council's photovoltaic conference, the support measures proposed for the above issues are more specific and targeted. The power grid companies are required to ensure that the supporting power grids and photovoltaic power generation projects are simultaneously built and put into operation, with priority given to the photovoltaic power generation plan and full purchase of the generated power. The full acquisition is not limited to distributed power stations, but also includes the western ground power stations with huge power generation.

The second meeting stated that it is necessary to expand the scale of renewable energy funds and ensure timely distribution of funds for distributed PV power generation subsidies.

The power station development model has matured. After the power station is connected to the grid and the subsidies and arrears have been resolved, the power grid connection and subsidies have become clear and standardized, the investment rate of the power station development investment has been determined, the investment risk of the power station has been reduced, and the energy companies have been improved. Some industrial funds have laid out the enthusiasm of photovoltaic power plants. The uncertain risks faced by the power station development companies will be greatly reduced, and the development of the power station will contribute stable profits for the photovoltaic companies. ? We have selected several companies with the highest scale of power plant development in the country for comparison. Among them, the top three in terms of elasticity coefficient are Zhongli Technology, Hairun Solar and Longji.

The power station development process requires a lot of funds to test the company's financial status and financing capabilities. According to the comprehensive comparison between the quick ratio and the balance sheet, Sunlight Power, Longji Group and Aerospace Electromechanical Co., Ltd. have better financial positions. Large-scale development of power plants, Zhongli Science and Technology, and Hairun Photovoltaic have relatively large financial pressure.

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