The government's bailout photovoltaic industry lacks planning and leads to disorderly development

Recently, the Ministry of Commerce, the National Energy Administration, the Ministry of Finance, the Ministry of Industry and Information Technology and other representatives of 36 banking institutions held a secret meeting in Baoding, Hebei Province, to discuss the future development direction of China's photovoltaic industry. At the meeting, the various ministries and commissions basically reached an agreement to protect the PV industry by “guaranteeing big and small”. Cheng Peng, vice president of the strategy management consulting company, told reporters that the specific support policies have not yet formed a specific plan. Participants are studying specific rules, but the development of the photovoltaic industry faces too many difficulties. The policy of “guaranteeing big and abandoning small” can be effective. In the same year, the state had similar adjustments to the household appliance industry, but the enterprises that were finally supported were basically bankrupt. The rising home appliance enterprises were all unsupportive, and the photovoltaic industry faced more uncertain factors. Direct government action Although the government has not issued rules, a series of actions have already indicated the government's intentions. On November 6, Dongying Photovoltaic announced that the 50.38% stake of the company had been purchased by the Dongying Municipal Government for a price of 10 million US dollars. Prior to this, a state-owned enterprise in Jiangxi Province acquired a 20% stake in LDK, and recently LDK released by LDK. Announcement, five new directors with the background of the Jiangxi government joined, and three of them were from state-owned companies controlled by the Xinyu Municipal Government of Jiangxi, which is interested in acquiring 19.9% ​​of the company's outstanding share capital. Earlier, China Development Bank, ICBC and other banks intensively investigated several major PV companies, and continued to report that banks continued to provide financial support for PV companies. Such news spread that the share price of PV companies rose slightly. In addition, the domestic market has also started, the national grid to facilitate the integration of photovoltaic power generation, distributed power generation increased to 15GW, almost all of the tools of policy, finance and taxation. Previously, it was reported that the National Development Bank intends to keep the six big six small 12 companies, including 12: LDK, Zhongneng, Suntech Power, Yingli, Trina Solar and Jingao. "Six small" include: Artes, Jingke, Sunshine Power, Zhongdian Photovoltaic, Xinao and Yuhui Sunshine. These companies have generally encountered an unprecedented dilemma. It is still unclear what the object of "guarantee big and abandon the small" is to keep. Now the PV industry seems to be unable to save the government. In 2011, the total global installed capacity was 27GW, but the global production capacity reached 60GW, of which 50GW is in China. In 2011, the global installed capacity was only 29.7GW. As of the end of the third quarter of this year, the inventory of 66 A-share PV companies in China has exceeded 50 billion yuan, while the total sales revenue of the 66 companies in the first three quarters was less than 10 billion yuan. The top ten PV companies in China have debts of more than 110 billion yuan. The photovoltaic industry can be developed. It was formed by the needs of the European and American markets and related stakeholders. Because there is no unified planning, the negative effects of disorderly development have begun to appear. Now Europe and the United States have a double-reverse, excess capacity has to be digested in the domestic market. Some insiders believe that the photovoltaic industry crisis can be said to have arisen in the context of the economic crisis. The government has taken over the industries with huge overcapacity in the absence of domestic market demand. The photovoltaic enterprises have developed blindly in the past few years. It can be said that it is the first time to accept the market. Cruel baptism can be said to be quite weak in the face of adversity. After Wuxi Suntech successfully listed in the US in 2005, Shi Zhengrong became China's richest man in 2006, and PV immediately attracted many capitals to enter. Subsequently, the government led the establishment of numerous “Sun City” and “Photovoltaic Industrial Parks”, attracting more PV companies and projects through vigorous investment promotion. At that time, many local governments had to introduce solar power projects, and they were directly introduced to the project. If there were no conditions, they should first recruit them. Since the beginning of 2008, Jiangsu Province has built photovoltaic industrial parks in Changzhou, Wuxi, Jintan, Changshu, Zhenjiang, Yangzhou, Yancheng, Xuzhou, Taizhou, Gaoyou, Qidong and Suzhou. Jiangsu's output accounts for more than half of the country's total. In 2006, Shi Zhengrong discovered that large-scale PV projects were dangerous, and predicted that the photovoltaic industry would face difficulties before and after 2016. I did not expect to come so early. Polysilicon prices once broke through $500/kg. In April this year, polysilicon prices fell to $23/kg. And photovoltaic modules can hardly cover the cost. Bankruptcy is already unstoppable. The photovoltaic industry was formed under the promotion of the interests of local governments. Because there is no unified planning, the negative effects of disorderly development have begun to appear. Now that Europe and the United States are in opposition, the burden has been given to the country. Between 2006 and 2010, the domestic PV industry's production capacity has grown geometrically. According to EU calculations, in 2011 China exported a total of 21 billion euros of solar panels and related components to the EU, accounting for 70% of China's total PV manufacturing output. On the other hand, under the shadow of overcapacity, the situation of low-cost competition among domestic PV companies is difficult to change in the short term. In the past six years, the price of photovoltaic modules has dropped by 86.6%, and the system price has dropped by 83.3%. At present, the gross profit margin of photovoltaic products including leading enterprises are less than 10%, and some even have negative gross profit margins. Therefore, even if the demand for PV market will pick up again in the future, if the company continues to sell products at low prices to digest inventories, the profitability of PV companies will not return to normal levels for a long time. "We can only bear the tax rate of 10%." Chen Zhuo, special assistant to the president of China Yingli Green Energy Holdings Co., Ltd., said in an interview with the media. An industry insider who did not want to be named said that Europe’s double opposition to China is not only beneficial to European PV companies, but also beneficial to European buyers. According to him, he has exchanged views with the Europeans on China's photovoltaic industry. Europeans believe that China's photovoltaic industry is an industry developed by the government. The understanding of China's photovoltaic industry is high pollution and government subsidies. An industry expert told reporters that the photovoltaic industry is an industry that has grown up under government subsidies. Even in Europe, government subsidies are needed to develop normally. If the European and American market gates are closed to Chinese PV companies, the Chinese PV industry will want to survive. Can only seek the domestic market. According to statistics, during the “Twelfth Five-Year Plan” period, China’s local governments planned to build 20 billion photovoltaic industrial parks, with a planned output value of 2 trillion yuan. According to EPIA, the global installed capacity of photovoltaics is about 45 GW in 2015. If the crisis does not come early, this data may be implemented earlier. Under such circumstances, the domestic market can not be satisfied. According to the calculation of Meng Xianyu, the vice chairman of China Solar Energy Society, the installed capacity of photovoltaics in China has reached 30GW during the “Twelfth Five-Year Plan” period. The average annual installed capacity can reach more than 8GW, almost reaching 2010. The level of the heyday of the year. However, the production capacity of more than 50GW far exceeds the domestic market capacity, and it is an inevitable trend to eliminate most enterprises. The analyst of Treasure Island, a bulk cargo exchange platform, said that whether it is a state-owned PV company or not, it is imperative to optimize the combination of the survival of the fittest in the industry. Only in this way can the scale effect be more effectively achieved, thereby reducing costs and reducing costs. Vicious competition, resulting in a more active, more regulated and more competitive industry structure. According to the reporter's understanding, a large number of enterprises have stopped production at present, and even some enterprises are building when the situation of the photovoltaic industry is good. When the situation is about to be put into production, the situation will turn sharply and will not be put into production, and such enterprises will exist in large numbers. Rescue effect remains to be tested, "Bao Dai abandoned small" policy after the release, companies are hoping to take the opportunity to revitalize. Yingli Energy staff told reporters that the government's policies have given clear guidelines for the development of the industry, which will further accelerate industrial adjustment and maintain healthy and stable development. As Yingli, it will continue to rely on national key laboratories, accelerate technological progress, reduce photovoltaic power generation costs, and promote the era of photovoltaic parity online access, while maintaining and consolidating international leading advantages and promoting China's photovoltaic technology progress. The measures of “protecting big and abandoning small” are divided into strategic level, market level and technical level. From different levels, the way and purpose of protection are different. At the technical level, taking monocrystalline silicon and polycrystalline silicon as examples, this is not only the photovoltaic industry needs crystalline silicon, but the semiconductor industry also needs crystalline silicon. This kind of advanced technology and the needs of domestic economic development, the government must guarantee and must also be guaranteed. This is also a strategic need. However, in the market, it is more important to respect the market rules. Now the protection of enterprises is a helpless move. The key is to respect the rules of the market economy. "Enterprises need to be protected when they are young. If they grow up, they need to go to their own." "This person who does not want to be named said. Therefore, the industry generally believes that “guarantee” is to ensure photovoltaic grid-connected power generation. If it is connected to the grid, it can solve the problem of new energy ratio. If “Bao Da” cannot solve the problem of grid connection, it will keep big. Enterprises will also have new problems again. Grid connection is the key to the problem. However, it remains to be seen whether the policy of “guaranteeing big and abandoning small” can achieve the expected results. Cheng Peng, the vice president of Zhengze Management Consulting Co., Ltd., believes that the enterprises that have been arrested have been better during this period of time. Now they have given money and market, and now they can relax. If the company adjusts this time, it will be able to survived. However, according to past experience, there is often a distance between desire and reality. Taking the adjustment of the household appliance industry as an example, the household appliances companies such as Panda and Yellow River were big government-protected enterprises, but they did not exist. At the time, the so-called small business Skyworth and TCL became well-known companies. Power generation companies are reluctant to enter the photovoltaic power generation industry. Now, under the government's request, they will have limited access. However, it is also a problem whether they can persist. At present, since the publication of the "36 articles" for non-public support in the country, when the state requires it, relevant parties and State-owned enterprises will pay close attention to support. Cheng Peng also believes that there are many difficulties in opening up the domestic market. Because the domestic economic level is limited, the higher electricity prices cannot be afforded, and the cost of photovoltaic power generation is too high. The state subsidies for the photovoltaic industry are far lower than those of Europe and the United States, and new energy development is limited. In this kind of internal and external troubles, the days of unsupported small enterprises are certainly sad, but it is entirely possible to kill a bloody road in the cracks. Now it is a test for small enterprises and will be more than the supported enterprises. Healthy and more vital.

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