France to give "made in EU" premium to solar plants
* France to pay 10 percent EU solar premium from April
* Around 60 pct of components have to be made in EU
PARIS Feb 16 (Reuters) - French solar power producers will receive a 10 percent premium on selling green power from April, as long as the electricity is produced using components manufactured in the European Union, France's environment ministry told Reuters on Thursday.
Environment minister Nathalie Kosciusko-Morizet had already announced putting in place a premium on Tuesday when she visited the headquarter of French solar cell producer Photowatt, put under judicial protection, together with President Nicolas Sarkozy, but without giving a timeframe.
The French solar plants that use 60 percent of EU-made equipment, such as panels or inverters, will benefit from a power price bonus of around 10 percent.
This mirrors a programme in Italy which already favours European products in a market dominated by Asian manufacturers.
The ministry is expected to publish a tariff decree in April, when presidential elections take place, following a consultation period with the industry which will determine the final details of the premium.
Nicolas Sarkozy on Tuesday visited the headquarters of the bankrupt photovoltaic cell manufacturer, the only one in France, to announce a takeover offer by state-owned utility EDF .
Like many other French photovoltaic companies, Photowatt was a victim of a reduction in tax breaks on solar panels decided at the end of 2010, after a speculative bubble fed by a boom in connection demands and a backlog of solar power projects in the pipeline. (Reporting by Marion Douet; Writing by Karolin Schaps)
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