The photovoltaic industry threshold will once again accelerate industrial integration will accelerate

Since September 2013, the Ministry of Industry and Information Technology issued a higher threshold for the "Regulations on Photovoltaic Manufacturing Industry", the Ministry of Industry and Information Technology recently announced on its official website the first batch of enterprises that meet the "Regulations on Photovoltaic Manufacturing Industry", 109 in the country. Jiangsu has the highest proportion of 34. According to industry insiders, the current PV industry has begun to pick up under the double stimulation of policies and markets. However, in order to prevent the backward production capacity from "resurrection" and avoid the recurrence of the overcapacity tragedy, the industry threshold will inevitably increase. Some production capacity will be eliminated this year. The merger and reorganization will be the key word of the photovoltaic industry this year.

80% of enterprises passed the audit

During the one-month publicity period, the Ministry of Industry and Information Technology went to some enterprises for random inspections. There were 25 companies in the country and 5 enterprises in Jiangsu failed to pass the final review due to related problems. The number of companies that passed the audit reached 80%. Photovoltaic giants such as Trina Solar, Yingli, and Artes all obtained the "Certificate of Pass" through the audit.

Wang Shijiang, a researcher at the China Photovoltaic Industry Alliance Secretariat, said that enterprises that do not meet the requirements will not be able to enjoy financial support policies and other support policies. Supporting policies are aimed at high-quality enterprises, and enterprises with backward technology and under-capacity should be eliminated in the market. This is also the current need to promote the integration of the photovoltaic industry and promote the healthy development of the industry.

According to relevant sources, there are four main factors for failing to meet the standards: 1. Failure to pass the EIA acceptance; 2. Capacity or capacity utilization rate is not up to standard; 3. No independent R&D institutions, technical centers or high-tech enterprises above the provincial level. , research and development and process improvement costs are insufficient; Fourth, product attenuation rate and water consumption, energy consumption and other indicators have not met the requirements.

Lu Jinbiao, vice president of GCL-Poly Energy Holdings Co., Ltd., said that most of the polysilicon enterprises that did not meet the "Conditions" were discontinued or reduced production in 2012, resulting in a production volume of less than 50% of the annual production capacity. With the increase in industrial concentration and the acceleration of the survival of the fittest, the industrial adjustment in 2014 will be even more cruel.

Unqualified companies or facing financing difficulties

The "Conditions" have strict regulations on the production scale and technology of photovoltaic enterprises. If the company is required to use the cost of R&D and process improvement every year, it should not be less than 3% of the total sales, and not less than 10 million yuan. If the above criteria are not met, it will be difficult to enjoy relevant policy concessions. This alone has shut down many companies.

According to reports, enterprises through the standard conditions review will become an important basis for obtaining bank credit support, government export tax rebates, etc. Some enterprises that fail to meet the standards will not enjoy policy support, and with high cost and other factors, the possibility of shutting down is very high.

Lu Jinbiao said that the main source of funds for the current construction of power plants is bank loans. The list of qualified enterprises in the Ministry of Industry and Information Technology is out. The difficulty of loans and taxation for unqualified enterprises will inevitably increase, and even the loans may not be withdrawn. A small number of unqualified companies will therefore not be able to survive. This is also an inevitable choice for mergers and acquisitions in the industry.

It is reported that enterprises that fail to meet the standards must meet the standards through mergers and acquisitions, technological transformations, etc. under the guidance of national policies. This means that integration will remain the key word for the PV industry in 2014. Subsequently, the Ministry of Industry and Information Technology will have a second batch and a third batch of audits, but the PV companies that have obtained the "certificate of certification" will be very limited, which will increase the concentration of the industry and bring about a significant drop in the cost of photovoltaic manufacturing and application.

Photovoltaic shuffling accelerated during the year

According to the latest report released by CCID Research Institute, the research institute of the Ministry of Industry and Information Technology, in 2014, with the overall improvement of the industry and the decline in component prices, the cost of photovoltaic power generation is approaching or even reaching parity. It is expected that global component production will continue to grow and the annual output will be this year. The 40GW will increase to 43GW, and China's PV modules are expected to increase from 26GW this year to 28GW.

However, in the view of Yu Wenjun, an industry analyst at Shenyin Wanguo, after the country introduced a series of support policies for the photovoltaic industry this year, the enthusiasm of the local government to develop the photovoltaic industry began to rise again, and the policy given was quite attractive. If left unchecked, the problem of overcapacity in the previous round has not been resolved, and new overcapacity conflicts may occur.

At present, the photovoltaic industry has begun to pick up under the double stimulation of policies and markets. As of January 5, a total of 40 listed companies in the photovoltaic and wind power industry released 2013 performance forecasts, including 28 pre-history companies with pre-increased earnings, profitability and losses, accounting for 70%. While the construction of domestic PV power plants is driving the overall growth of the industry, the maintenance of power generation equipment downstream of the industrial chain has become a new profit growth point for new energy companies.

Therefore, the control of production capacity is even more important now. It is reported that the Ministry of Industry and Information Technology is currently studying and drafting the “Implementation Opinions on Merger and Reorganization of Photovoltaic Enterprises”. In-depth communication with some provinces and cities and China Development Bank to promote the intentional part of the photovoltaic enterprises to carry out mergers and acquisitions in advance, it is foreseeable that mergers and acquisitions will be the top priority of the photovoltaic industry this year.

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