7,604 MWp: Another Solar Record in 2012 Triggers 2.2% Feed-in Tariff Reduction From February

Another 330.102 MWp of new solar capacity were added in December 2012, making 2012 the third record year for solar additions with a total of 7,604 MWp, the grid regulator, the Federal Network Agency (BNetzA) informed. The solar growth triggers a feed-in tariff reduction of 2.2% for each month in the period of 1 February to 30 April 2013, the agency notified.

The BNetzA continuously monitors the installation of new photovoltaic systems to set the feed-in tariffs within the framework provided by the Renewable Energy Sources Act (Erneuerbare-Energien-Gesetz, “EEG”). According to sec. 20a EEG the political corridor for additional installation of photovoltaic energy was set between 2,500 and 3,500 MWp per calendar year. Exceeding these limits, feed-in tariffs for new installations are not only subject to the standard decrease of 1% per month (cf. sec. 20b para. 1 EEG) but to an additional decrease of 0.4 to 1.8%, depending on the extent of such exceedance (sec. 20b para. 2 EEG).

Based on the information published by BNetzA, the December 2012 capacity additions lead to the following table of German PV capacity eligible for financial support pursuant to the EEG.

Year	Month	kWp	kWp
End of 2008			6,120,000
Installed 2009		3,801,572
End of 2009			9,921,572
Installed 2010		7,377,678
End of 2010			17,299,250
Installed 2011		7,485,234
End of 2011			24,784,484
	01/2012	516,582
	02/2012	229,919
	03/2012	1,222,770
	04/2012	358,998
	05/2012	254,232
	06/2012	1,790,921
	07/2012	543,225
	08/2012	329,433
	09/2012	980,829
	10/2012	611,856
	11/2012	435,275
	12/2012	330,102
Installed 12/2012		7,604,142
Total 30.12.2012			32,388,626

Although the overall capacity additions in 2012 lead to another record of 7,604 MWp after roughly 7,500 MWp in 2011 and about 7,400 MWp in 2010, the end of the year shows a steady decline in the last three months. The interesting question will be if this indicates a turnaround.

The latest figures lead to the following solar feed-in tariff table (based on BNetzA information):

Solar Feed-in Tariffs until April 2013
	§ 32 Abs. 2 EEG (Roofs)				§ 32 Abs. 1 EEG
	up to 10 KWp	up to 40 kWp	up to 1 MWp	up to 10 MWp	up to 10 MWp
Start of Operations
from 01.04.2012	19.50	18.50	16.50	13.50	13.50
Degression			1.0%
from 01.05.2012	19.305000	18.315000	16.335000	13.365000	13.365000
Rounding	19.31	18.32	16.34	13.37	13.37
Degression			1.0%
from 01.06.2012	19.111950	18.131850	16.171650	13.231350	13.231350
Rounding	19.11	18.13	16.17	13.23	13.23
Degression			1.0%
from 01.07.2012	18.920831	17.950532	16.009934	13.099037	13.099037
Rounding	18.92	17.95	16.01	13.10	13.10
Degression			1.0%
from 01.08.2012	18.731622	17.771026	15.849834	12.968046	12.968046
Rounding	18.73	17.77	15.85	12.97	12.97
Degression			1.0%
from 01.09.2012	18.544306	17.593316	15.691336	12.838366	12.838366
Rounding	18.54	17.59	15.69	12.84	12.84
Degression			1.0%
from 01.10.2012	18.358863	17.417383	15.534422	12.709982	12.709982
Rounding	18.36	17.42	15.53	12.71	12.71
Degression			2.5%
from 01.11.2012	17.899891	16.981948	15.146062	12.392232	12.392232
Rounding	17.90	16.98	15.15	12.39	12.39
Degression			2.5%
from 01.12.2012	17.452394	16.557399	14.767410	12.082427	12.082427
Rounding	17.45	16.56	14.77	12.08	12.08
Degression			2.5%
from 01.01.2013	17.016084	16.143465	14.398225	11.780366	11.780366
Rounding	17.02	16.14	14.40	11.78	11.78
Degression for next quarter:			2.2%
Degression			2.2%
from 01.02.2013	16.641730	15.788308	14.081464	11.521198	11.521198
Rounding	16.64	15.79	14.08	11.52	11.52
Degression			2.2%
from 01.03.2013	16.275612	15.440966	13.771672	11.267732	11.267732
Rounding	16.28	15.44	13.77	11.27	11.27
Degression			2.2%
from 01.04.2013	15.917549	15.101264	13.468695	11.019841	11.019841
Rounding	15.92	15.10	13.47	11.02	11.02

Sources: Federal Network Agency press release with information on decreasing solar feed-in tariffs; Federal Network Agency information on new solar capacity in December 2012

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