The strong incentives developed by France for solar power
projects over the last years have paid off beyond expectation. By
the end of 2006, the total solar capacity connected to the French
mainland grid accounted for six megawatts ("MW"); by the
end of 2008, this figure had already risen to 18 MW and is expected
to boom at 850 MW by the end of 2010. Moreover, the solar power
projects filed to date represent an overall capacity of 3,000 MW.
France is therefore far beyond its objective of 1,100 MW total
connected solar capacity by the end of 2012 and expects to reach
its final objective of 5,400 MW total connected solar capacity much
sooner than the planned deadline of 2020.
This exponential growth of solar projects in the country is due
to France's aggressive development policy, which is served by
strong incentives for investors in terms of tax deductibility of
photovoltaic investments and preferential solar electricity
purchase rates among the highest in Europe, guaranteed on a 20-year
In order to maintain a sustainable development of the solar
power sector and avoid purely speculative projects while the cost
of photovoltaic equipment is continuously decreasing, the French
government passed a first reform of solar electricity purchase
rates last November. This resulted in an increase in the variety of
purchase rates—essentially depending on the location of
the solar project and its degree of integration in existing or new
building frames—and a gradual decrease of the overall
In view of the continuous growth of the sector, in particular in
terms of industrial projects, the French government further reduced
the solar electricity purchase rates by 12 percent on September 1,
2010. It is worth noting that despite such decrease, the French
rates for solar electricity will remain among the most attractive
in Europe. For instance, the two other most dynamic countries in
this sector, Germany and Spain, have recently lowered their
purchase rates—which were already below the French
rates—by 15 percent.
The new base rate for ground solar facilities will be 35.2
c€/kilowatt-hour ("kWh") in the French overseas
districts and range from 27.6 c€/kWh to 33.12
c€/kWh on France mainland, depending on the location of
the project (essentially, projects located in the north of France
will benefit from higher purchase rates to compensate for a lower
sunshine ratio), while the new base rates for solar installations
integrated in building frames will range from 37 to 51
The anticipated change in the rates is seen as the first step in
a broader reform of the regulated preferential solar electricity
purchase rates system, aiming at increasing its responsiveness to
the development of this business sector, while guaranteeing a
yearly growth of 500 MW.
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Turkey has amended the Electricity Market Law numbered 6446 to promote use and security of domestic energy resources. Under the amendments, planned capacity mechanisms must give priority to local energy sources.
Turkey's energy regulator previously ruled (decision numbered 5709, dated 30 July 2015) that a total capacity of 2,000 MW would be reserved in the period up until 2020 for wind power pre-license applicants to connect to the grid.
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