Dutch subsidized PV project slows down
“We may see Dutch-based shopping malls showing unsubsidized projects in the future, but in my opinion, it will not be completed in two or three years,” said Peter Desmet, founder and CEO of Solarclarity.
Desmet attributes the reasons to two typical characteristics of the Netherlands: low light resources and sharp increases in land prices, and the Netherlands is one of the countries with the highest population density in the world. “The competition in the Dutch shopping mall is very intense, so the electricity price is not so high,” he said.
Desmet said that this situation may change in the next few years. The expected increase in electricity prices and the comprehensive reform of the SDE subsidy program will make the unsubsidized approach more attractive.
In the current SDE+ program, from 2GW in 2016 to 2.9GW in 2017 and 4.15GW in 2018, the increase in PV capacity recorded in the Netherlands on IRENA statistics is crucial. However, Desmet indicated that because the unfinished projects still have the qualifications to receive subsidies, this also led to a large backlog of projects.
Regarding foreign developers who are keen to develop large-scale projects, Desmet advocates more consideration of rooftop PV systems. “Given the fact that the Netherlands is a densely populated country, it is best to have great expectations for ground and floating PV projects.”
In his view, the intensity of rooftop PV – almost half of all installed capacity in 2018 – is another notable feature of the Netherlands. “The Dutch PV market is very diverse, from 759W 3 module roof PV to 150MW power station, which can be seen in the Netherlands.”
In addition to SDE+ subsidies for Dutch PV, is there any other possibility? Desmet indicates that in his conversation with the government, it is not a priority to improve the non-subsidy policy compared to the subsidy program itself. He explained: "I have heard this in the field of offshore wind power, but I have not heard of it in the field of photovoltaic power generation. Until now, this issue is not very important on the agenda."
However, Desmet pointed out that Dutch policy makers are indirectly assisting unsubsidized solar energy by dealing with grid bottlenecks and other areas that are critical to the mall. He confessed to congestion is a battle, because the pressure on the grid is too large, the government is also considering technical treatment methods and new legislation.
He pointed out that the solar photovoltaic part of Solarclarity has different conditions. “With the Dutch construction project moving at full speed, the workforce has become a new problem.”
With regard to the Dutch photovoltaic industry, which relies on subsidies, change is imminent. Desmot said that the next year's SDE++ phase, the focus of aid will shift to the issue of cutting carbon emissions. The situation will not get better with regard to ground-based PV projects, but it will be helpful for the current backlog of projects.
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