Installation in Europe's leading solar market is approaching the legal threshold for the cancellation of subsidies, and the watershed is imminent.

This week, BSW Solar, the German Photovoltaic Association, called for the lifting of the subsidy cap once installed capacity reaches the 52GW level, which currently exceeds 47GW solar panels. BSW Solar warned that this milestone could be reached as early as next year.

German parliamentarians have so far failed to update the Renewable Energy Act. However, recent public opinion surveys show that the abolition of the subsidy ceiling adopted in 2012 has received "overwhelming" support. Energy, trade, real estate and consumer associations representing 100,000 enterprises and 10 million citizens supported the lifting of the cap.

Life beyond Subsidies

IRENA statistics record the rapid development of Germany as the largest solar panel country in Europe. In 10 years, German installed capacity jumped from 10 GW (2009) to nearly 46 GW (2018). Although Italy (20GW), the United Kingdom (13GW), France (9.4 GW) and other solar panel hotspot countries also have considerable installed capacity, they still lag far behind Germany.

Bluesun recently found that, Germany's subsidy-based approach meant that Germany did not sign corporate power purchase agreements as quickly as the Iberian Peninsula countries. From EnBW's 175MW project to BayWa R.E.'s 8.8MW Barth V project, non-subsidized projects are slowly emerging.

Not all Germans were satisfied with Germany's current solar program. Most respondents believed that the government had "done too little" to promote solar energy and that legislation should be enacted to make roof development easier.