Planned cuts in subsidies to building-mounted solar installations will not be made retroactive after the solar sector successfully lobbied the French government, but other changes will still go ahead.
The government today published final legislation on changes to feed-in tariffs for new solar sites under 500kW capacity mounted on buildings or above fields or car parks. The legislation is intended to reduce the amount of capacity being built in this sector, as it is less cost-effective than larger sites, the government said.
For the 100-500kW segment, for which the government proposed to reduce the tariff retroactively from 1 February, the drop to €95/MWh from €105/MWh will take place for all projects registered from now, rather than since the beginning of February. And a planned monthly reassessment of the tariff — to allow it be to be reduced if too many projects applied — will only kick in from 1 July.
But sharp cuts remain on tariffs for smaller installations, and for self-consumption, although they too are no longer retroactive. Project developers on large installations will now also need to provide a €10,000 deposit, intended to reduce the drop-out rate from projects which do not advance to construction.
The government intends to put in place a tender mechanism for the 100-500kW sector, replacing the current open window system. It hopes to set this up by September to take over when the cut in tariffs for this sector begin to kick in.
Solar actors' reaction to the news was mixed. Renewables association SER welcomed the delay to cuts for the 100-500kW segment. But much uncertainty remains over the volume to be offered and the frequency with which the tenders to replace this sector will take place. There is a risk that the "cliff edge" the association had warned about has just been pushed back to 1 July from 1 February, SER president Jules Nyssen said, if the tenders are not ready to go in time.
