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17 June 2010

German solar cuts decision expected within weeks

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Sources suggest final decision on proposed feed-in tariff cuts could be announced before the end of June

The German parliamentary mediation committee, tasked with reaching a decision on proposed cuts to the country's solar incentive scheme, is expected to announce its conclusions early next month, according to sources familiar with the matter.

Parliamentary sources told news agency Reuters that the first meeting of the committee had failed to reach a conclusion on whether to approve or reject the proposed cuts to feed-in tariffs for solar installations.

However, they added that the committee did not want to see the decision delayed until after the summer and was expected to announce its conclusions by the beginning of next month.

The stand-off was sparked earlier this month when Germany's upper house, the Bundesrat, voted against cuts to the feed-in tariff that were proposed by the government and approved by the Bundestag lower house. The impasse meant the final decision was referred to the parliamentary mediation committee.

Under the proposed cuts, feed-in tariffs for rooftop solar panels would be cut by 16 per cent, while incentives for solar installations on so-called conversion sites would be cut by 11 per cent, and feed-in tariff payments for new solar sites on agricultural land would be axed.


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