Overview

The new feed-in tariffs applicable to the electricity generated from photovoltaic sources were published in the French Official Journal on 5 March 2011.

The decision of the French government to lower the feed-in tariffs was a result of the need to counter inflation in the photovoltaic sector. In the three last years, electricity generation in the photovoltaic sector has increased from 81 MW at the end of 2008, to 261 MW at the end of 2009 and reached 1025 MW on 31 December 2010.

This new order clearly demonstrates the government’s intention to slow down the number of applications and stop the market bubble. Other countries, such as Germany, are facing the same problem and are also implementing a reduction of the power purchase price.

Holman Fenwick and Willan provides a summary of the new feed-in tariffs.

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