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DG Trade Proposes New Price Control Mechanism for Solar Panels

The European Commission set out a proposal for a new mechanism for controlling the price of solar panels and cells imported to the European Union from China. The products' prices had previously been governed by a minimum import price (MIP) system that the European Commission acknowledges had
failed. The new system was intended to address that failure.

Commenting on the new proposal, Dr Christian Westermeier, President of SolarPower Europe,
stated 'This proposal from DG Trade looks to divorce the price of solar panels from reality. The European Commission clearly states that market prices recorded in Q1 2017 will only be reached in the EU in September 2018. This implies a full time lag of 1,5 years for European companies to benefit from the true market price of solar. What is even worse, is that the MIP level proposed for July 2018 is still well above today's world market prices in USD/Watt. This is not the way to bring the energy transition in a cost effective manner to the citizens of Europe.'

James Watson, CEO of SolarPower Europe added 'The European Commission is trying to miss another opportunity to bring solar prices in Europe closer to global market prices with this proposal. It is positive that they recognise a difference in price between multi-and mono crystalline panels and cells in the new proposal, but this progress is entirely undone by
keeping the prices of these products artificially high by not basing the new system on an
active market index.'

The new proposal includes a price schedule that will control the prices of panels and cells on
the European market over the next 14 months or so, describing by how much and when
prices will drop. Dr Christian Westermeier commented 'This does not help the solar sector in
Europe. Companies might wait a month or two for the new lower price to come into effect
before realising a project. The Commission proposal could really slow all investment in solar
in Europe, as companies could be tempted to keep waiting until the end of the measures
before making an investment. It is difficult to understand the Commission's decision to
disregard market prices.'

Parties with an interest in the case have until 2nd August to make their comments on the
proposed new system to the European Commission.

The machinery consists of DESERT production machines for high-efficiency DESERT solar modules built specifically for extreme hot climate, such as can be seen in deserts or in tropical areas. Made solely in Germany and built using the latest in DESERT and TROPIC module production, the systems inlcudes all cutting-edge technology.

Certified DESERT solar modules, DESERT containers, DESERT power plants and DESERT manufacturing machinery built using pioneering DESERT and TROPICS technology are now fully set up, and ready to perform. But powering on the machinery has been a long time coming. Up until recently, this advanced piece of equipment had been waiting for clearance at a port in Brazil. Now that the formalities have been dealt with, both J.v.G. Thoma and its customer in Brazil can get production under way.

J.v.G. Thoma GmbH is a company whose vision has always been to harness the infinite power of the sun and convert it into an inexhaustible supply of energy. But a vision such as this requires global reach, and this project has opened new doors. Brazil is not only a gateway to South American cooperation, but also the launchpad to international reach and expansion.

Following the delivery of this initial order, J.v.G. Thoma GmbH will be looking forward to an ongoing collaboration with the Brazilian company. From setup and initial training to setting the scene for a ramp up, J.v.G. Thoma will be there to provide expertise and assistance. Moreover, the company will be jointly responsible, along with the client, for the successful integration of the DESERT solar module factory.

In the future, bigger DESERT power plants will be set up on Brazilian soil, and together with existing turnkey production systems, they intend to take up a large share of the products and assets this sector will possess locally. J.v.G. Thoma plans to build up a local network of sales agents that can extend a premium offering to neighbouring countries in South America. Eventually, the company hopes to be able to expand its customer base to clients in North America.

Hans Thoma, general manager from the Thoma-group, is eager to acquire a substantial market share in Brazil, a growing country with tremendous potential for solar energy output. Having complied with local official procedures (Inmetro, TÜV, Fraunhofer CSP) and cleared the way for future business collaboration, he expresses his hope that the solar industry will henceforth expand quickly.

”Being able to introduce Brazil to the infinite opportunities of a solar industry is a privilege for J.v.G. Thoma GmbH, and one that we are extremely grateful for. At the same time, this placed the ball squarely in our court, and the pressure to get the ball rolling quickly was high. Now that the lengthy initial formalities are out of the way, we can focus on making this project a success.“

The first DESERT solar module production in BRAZIL! Let
Source: SolarPower Europe