2. What is in your mind when people talk
about solar energy?
• Solar energy has huge potential so we should all
focus on solar
• Solar energy is not efficient so we should focus
on other renewable energy sources instead
2
3. Germany set solar PV power record by
supplying 40% of total electricity demand.
• On July 7th, 1:45pm, PV power
supplied 40% of the total
electricity demand in Germany
(23.8GW)
• 5% of the electricity came from
PV in 2012
~10 times the world average
(0.5%)
>100 times compared to Taiwan
(0.03%)
3
Source: SMA Solar Technology; Taiwan Power Company; Deutshe Bank
4. Grid parity is a key concept in renewable
energy development.
• PV installation will boom after
grid parity is reached
– residential > commercial > industrial
• Italy and India have reached
grid parity, according to
Deutsche Bank, Germany and
Japan are close
• Before grid parity is reached, PV
development is driven by
subsidies, such as Feed-in-tariff
(FIT)
4
Source: US Department of Energy; Deutsche Bank
Grid parity definition:
LCoE <= Electricity rate
5. Phase I
(2000-2009)
Phase II
(2010-2011)
Phase III
(2012-)
Objective
Ground-mounted Ground-mounted Rooftop
PV system price
(Euro/Wp)
3-5 2 1.6
FIT(ct/kWh) 46-62 24-39 13.5-19.5
FIT rate degression Flat monthly Flat monthly Flat monthly +
Volume-based
Threshold No No 52GW by 2020
German FIT policy is divided into three phases by
different objectives and FIT designs.
5
Source: Deutsche Bank; BSW-Solar;Apricum GmbH
6. German FIT policy successfully drove
domestic PV installations.
6
Cumulative installed PV capacity and YoY% in Germany (2000-2012)
0%
20%
40%
60%
80%
100%
120%
140%
160%
180%
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
YoY%
CumulativeinstalledPVcapacity[MWp]
Year
Source: Bundesministerium für Umwelt, Naturschutz und Reaktorsicherheit - BMU
7. Taiwan has launched Million Rooftop PVs
Promotion with FIT and tender design.
• 130MW of total PV installation is targeted in 2013, which is divided into non-
tendered (40MW) and tendered (90MW)
• The objective is first rooftop, then ground-mounted PV installation
• Appealing FIT is expected to drive PV installation (IRR = 10%, PP = 9yr)
• Threshold yearly installation and tender process are adopted
7
Installation
scale
Phase I
(Jan. 1st-Jun. 30th)
[NTD/kWh]
Phase II
(Jul 1st-Dec. 31st)
[NTD/kWh]
Tender process
Rooftop 1-10kWh 8.3971 8.1836 No
10-100KWh 7.5432 7.3297 No
100-500kWh 7.1162 6.9027 Yes
>500kWh 6.3334 5.9776 Yes
Ground-mounted >1kWh 5.9776 5.6218 Yes
Source: Taiwan Million Rooftop PVs Promotion Office
8. Taiwan PV subsidy policy started slow but is
equipped with comprehensive design.
• High FIT rate at front will boost PV installation, and FIT rate
degression will take place along the timeline
• Threshold yearly installation and tender process are adopted to
control quantity and quality of PV installaiton
• Rooftop PV is targeted as main objective considering Taiwan’s land
limitation, remote PV is recommended
• Other issues as energy transition period and energy storage are
needed to be tackled along the PV development
8
