Germany’s upper house of parliament backed reductions in solar-power subsidies of as much as 16 percent after offering the industry an extra three months to adjust to the cuts.
The measure trims so-called feed-in tariffs for solar power fed into Germany’s electricity grid by 16 percent for rooftop equipment, 15 percent for farmland and 11 percent for spaces such as former industrial or military sites, effective July 1.
Shares of manufacturers in Germany, the world’s biggest market for photovoltaic panels, have suffered this year amid uncertainty about how much the tariffs would be reduced. The Bloomberg Global Leaders Solar Index, with 38 members including Q-Cells, First Solar Inc. and Solarworld, has declined 23 percent this year.
After some German state governments objected, the planned eductions were scaled back by three percentage points for each category until Sept. 30, when the full cuts kick in.