Japan solar subsidies lure fewer users than planned

Japan’s subsidies for home solar panels have attracted far fewer applicants than planned, industry data showed on Wednesday, underscoring the likelihood of bold government steps to promote solar power.

Greater spending on solar power systems is expected to be a key feature of Japan’s new stimulus plan, its fourth such package in the last year. The plan is expected to include fiscal spending of up to $150 billion and some details are expected later on Wednesday.
A top economic and fiscal policy advisory committee said last month that Japan should increase its solar power capacity 20-fold by 2020 from 2005 levels, double its previous target.

In January, the government introduced a subsidy of 70,000 yen ($700) per kilowatt of solar panel equipment, aiming to attract 35,000 applications in the January-March quarter.

But data from the Japan Photovoltaic Energy Association showed that there were so far only 21,653 applications.

Reuters