Spain: Renewable sector warns 80% of PV producers set to go

17. January 2013 | Global PV markets, Investor news | By:  Vladimir Pekic

Representatives of Spain’s renewable energy sector asked official Brussels to help end "harassment" of the photovoltaic sector in Spain after the sector lost 30% of its revenue as a result of changes to FIT rules that were applied retroactively.

A PV installation in Spain.

ANPIER has warned that Spain could lose the vast majority of its photovoltaic producers as the market slumps in the face of government "harrassment" of the sector.

These new FITs, combined with a new 7% tax charge for energy production, will lead to the bankruptcy of around 80% of small-scale photovoltaic producers in Spain, warned Spain’s National Association of Renewable Energy Producers and Investors (ANPIER).

The warning was issued during a meeting held between ANPIER president Miguel Martínez-Aroca and Tatiana Marquez Uriarte, Assistant to the DG Energy Director General at the European Commission, in Brussels on January 16.

"Tatiana Márquez recognized the inappropriateness of retroactive regulatory changes enforced on Spanish producers and, along those lines, she announced that the Spanish government will soon receive recommendations from the European Union in this regard," ANPIER said in a statement.

ANPIER expressed concern over the serious cash flow problems that Spanish photovoltaic plants now face, especially as they have accumulated large debts with banks and cannot count on new sources of financing. Uriarte informed the ANPIER president of the possibility that the European Investment Fund could be actively used in 2014 to help these Spanish producers.

DG Energy also expressed disappointment with the fact that solar generators in the European Union are exposed to different criteria, referring to the disparate judgments delivered in Spain and the UK on the retroactivity of rules applied to renewables, since the Spanish Supreme Court has considered some of them legal, while UK courts have not granted any legitimacy to retroactive changes, said ANPIER in the release.

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William Hughes-Games from Waipara |

Monday, 18.02.2013 20:46

Spain's problem is that she followed the German FIT system which is a rort on many levels. To be successful, any FIT system has to be fair both to the consumer and to the small installer of panels and the government has to use the tax system to encourage uptake rather than trying to milk a cow that is still only a calf.

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