That’s because the market to install solar panels on building rooftops, homes and at businesses, otherwise known as distributed generation, is “slow-going,” Chief Financial Officer Teresa Tan said today on a conference call with analysts.
“We doubt that this 8-gigawatt goal will be reached this year simply because of the complicated business model,” Tan said. “From our research, it’s very clear that the distributed generation market is relatively immature.”
China set targets in February to install 14 gigawatts of solar power this year, up from 12 gigawatts in 2013, with 8 gigawatts coming from distributed systems and 6.05 gigawatts from utility-scale power plants.
Such a large proportion of distributed generation would be a turnaround from last year when solar growth in China was led by large-scale projects in the country’s sunny western provinces.
Tan expects the government to announce new incentives to boost the industry’s prospects.
“The government has been very determined in the push towards the distributed generation business and we certainly see this as one of the bright futures as solar energy is being deployed in China,” she said.
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