China’s Massive Solar Rooftop Roll-Out Gains Traction, But Grid Struggles To Keep Pace

Via South China Morning Post, a look at China’s massive ‘distributed’ solar power generation program on roofs of houses, factories and airports is spreading across country, but curtailment rate is also rising:

Former construction contractor Gao Shouguang switched careers last year, abandoning the troubled property sector to become a solar panel distributor – and another example of China’s economic transition – in the southwestern Chinese megacity of Chongqing.

Gao and his team are busy every day, shuttling around the county where they are based to install rooftop solar panels on houses.

Mounted on steel frames, the gleaming striped panels absorb sunlight and generate electricity that can be sold to grid companies, while also shielding the house from rain and heat.

“Solar panels offer waterproofing and can help households earn additional income,” Gao said. “They’re becoming increasingly well-received by farmers.”

Installing solar panels on a typical 100 square metre (1,076 sq ft) rooftop costs more than 100,000 yuan (US$13,700), and that sees most residents opt to rent their rooftop space to solar panel distributors like Gao.

He offers them 25-year contracts that pay 15 yuan per panel a year, plus a first-year incentive payment of 50 yuan a panel. With each solar panel covering about three square metres, the owner of a 100 square metre rooftop can earn around 450 yuan a year.

Solar panel companies can earn an average of about 780 yuan a month by selling the electricity generated by those panels to grid companies, a technician at a power supply station in one Chongqing county said, adding that they purchase the electricity at about 0.39 yuan per kilowatt-hour and distribute it for local use



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About This Blog And Its Author
As potential uses for building and parking lot roofspace continue to grow, unique opportunities to understand and profit from this trend will emerge. Roof Options is committed to tracking the evolving uses of roof estate – spanning solar power, rainwater harvesting, wind power, gardens & farms, “cooling” sites, advertising, apiculture, and telecom transmission platforms – to help unlock the nascent, complex, and expanding roofspace asset class.

Educated at Yale University (Bachelor of Arts - History) and Harvard (Master in Public Policy - International Development), Monty Simus has held a lifelong interest in environmental and conservation issues, primarily as they relate to freshwater scarcity, renewable energy, and national park policy. Working from a water-scarce base in Las Vegas with his wife and son, he is the founder of Water Politics, an organization dedicated to the identification and analysis of geopolitical water issues arising from the world’s growing and vast water deficits, and is also a co-founder of SmartMarkets, an eco-preneurial venture that applies web 2.0 technology and online social networking innovations to motivate energy & water conservation. He previously worked for an independent power producer in Central Asia; co-authored an article appearing in the Summer 2010 issue of the Tulane Environmental Law Journal, titled: “The Water Ethic: The Inexorable Birth Of A Certain Alienable Right”; and authored an article appearing in the inaugural issue of Johns Hopkins University's Global Water Magazine in July 2010 titled: “H2Own: The Water Ethic and an Equitable Market for the Exchange of Individual Water Efficiency Credits.”