Japan Solar Update: No.80 (Jan 22 ~ 26, 2024)
The Ministry of Economy, Trade and Industry (METI) has set a total of 54.8 billion Yen ($ 389 million) for FY 2024 alone to build a supply chain for perovskite solar cells (PSCs). METI has announced at the Procurement Price Calculation Committee that it will start considering the establishment of a new category of power generation facilities to create demand for PSCs. In addition, the government has indicated a policy to tighten the self-wheeling system.
<Key points>
- The Ministry of Economy, Trade and Industry (METI) has presented the assumed values for calculating purchase prices, etc. of PV power generation for FY 2025. Most of the assumed values for utility-scale (ground-mounted/rooftop installations) and residential applications remain unchanged
- The committee agreed to initiate a study for the creation of a new category of power generation facilities to encourage the creation of demand for perovskite solar cells (PSCs), focusing on the next-generation solar cells
- There were opinions from committee members on the topics including the following: 1) the study of the path to reduce prices; 2) sorting out of the concept of recommending self-consumption and building-integrated PV (BIPV) systems and 3) the need to examine issues from the consumers’ point of view, including harmony with local communities
- The committee proceeded to clarify the coverage of the rooftop installation category and reported on the status of applications for the category
Purchase prices, etc. of utility-scale PV power generation for FY 2025
– Most of the assumed values for both ground-mounted and rooftop installations remain unchanged
– Figures in parentheses are assumed values for FY 2024
The Committee will discuss at upcoming meetings on how to consider the charges on the power producer side upon calculation of the purchase prices, etc.
Purchase prices, etc. of residential PV power generation for FY 2025
Most of the assumed values remain unchanged, including system cost and O&M cost.
Study for the creation of a new category of power generation facilities
The committee agreed to initiate the study for the creation of a category of new power generation facilities to encourage the creation of demand for perovskite solar cells (PSCs), considering the next generation solar cells.
Key opinions from committee members
– To avoid purchasing at an excessively high price, the path to reduce prices should be studied in parallel
– Cooperation with the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) and the concept of recommending self-consumption and BIPV systems should be sorted out
– It is necessary to examine issues from the consumers’ point of view, including harmony with local communities and so on
Target of the FIP program
The Committee will reexamine the target projects in FY 2024 for which only FIP will be applicable in FY 2025.
Clarification of the coverage of the rooftop installation category
– Among the certified livestock barns, PV systems installed on the rooftops of A-structure barns, which meet the equivalent technical standards to those of the Building Standard Act, are included in the rooftop installation category of the FIT/FIP programs
– B-structure barns are not included in the category because their technical standards are more relaxed than those of the Building Standard Act
Status of applications for the rooftop installation category: Applications of 607 projects/85 MW in total were received between October 1 and December 15, 2023.
Figure 1 Summary of discussions concerning PV power generation at the Procurement Price Calculation Committee Source: Materials of the 91st meeting of the Procurement Price Calculation Committee (December 26, 2023), compiled by RTS Corporation