Beijing plans subsidized pricing for solar power

HONG KONG (Reuters) - Beijing is expected to unveil subsidized prices for solar power production as soon as the second half of the year, the South China Morning Post reported on Monday, citing an industry official.

The National Energy Commission of the National Development and Reform Commission is considering following the lead of developed nations in giving subsidized rates for solar energy, the report cited Zhao Yuwen, head of the China Renewable Energy Society’s photovoltaic committee, as saying.

The subsidy will be paid for by a renewable energy fund collected from electricity end-users in the form of small surcharge based on usage volume, Zhao said.

The same fund was tapped to subsidize other clean energy projects including wind power.

Beijing plans a preferential tariff of 1.09 yuan per kilowatt-hour for solar projects, according to local media reports early this month.

Reporting by Leonora Walet; Editing by Ken Wills